Document:

Exhibit
4.1

 

 

DUKE
REALTY LIMITED PARTNERSHIP, as Issuer,

DUKE
REALTY CORPORATION, and

THE BANK
OF NEW YORK TRUST COMPANY, N.A., as Trustee

 

 

INDENTURE

Dated as
of

November 22, 2006

 

 

3.75%
Exchangeable Senior Notes due 2011

 

 

TABLE OF
CONTENTS

	
  

  	
   

  	
  PAGE

  
	
   

  	
   

  	
   

  
	
  ARTICLE 1

  DEFINITIONS

  
	
   

  	
   

  	
   

  
	
  Section 1.01. 

  	
  Definitions

  	
   

  	
  1

  
	
   

  	
   

  	
   

  
	
  ARTICLE 2

  ISSUE, DESCRIPTION, EXECUTION, REGISTRATION AND EXCHANGE OF NOTES

  
	
   

  	
   

  	
   

  
	
  Section 2.01. 

  	
  Designation Amount and Issue of Notes

  	
   

  	
  11

  
	
  Section 2.02. 

  	
  Form of Notes

  	
   

  	
  11

  
	
  Section 2.03. 

  	
  Date and Denomination of Notes; Payments of Interest

  	
   

  	
  12

  
	
  Section 2.04. 

  	
  Execution of Notes

  	
   

  	
  14

  
	
  Section 2.05. 

  	
  Exchange and Registration of Transfer of Notes;
  Restrictions on Transfer

  	
   

  	
  14

  
	
  Section 2.06. 

  	
  Mutilated, Destroyed, Lost or Stolen Notes

  	
   

  	
  20

  
	
  Section 2.07. 

  	
  Temporary Notes

  	
   

  	
  21

  
	
  Section 2.08. 

  	
  Cancellation of Notes

  	
   

  	
  21

  
	
  Section 2.09. 

  	
  CUSIP Numbers

  	
   

  	
  21

  
	
   

  	
   

  	
   

  
	
  ARTICLE 3

  REDEMPTION AND REPURCHASE OF NOTES

  
	
   

  	
   

  	
   

  
	
  Section 3.01. 

  	
  Redemption of Notes

  	
   

  	
  22

  
	
  Section 3.02. 

  	
  Notice of Optional Redemption; Selection of Notes

  	
   

  	
  22

  
	
  Section 3.03. 

  	
  Payment of Notes Called for Redemption by the Issuer

  	
   

  	
  24

  
	
  Section 3.04. 

  	
  Sinking Fund

  	
   

  	
  24

  
	
  Section 3.05. 

  	
  Repurchase at Option of Holders Upon a Designated
  Event

  	
   

  	
  25

  
	
  Section 3.06. 

  	
  Issuer Repurchase Notice

  	
   

  	
  26

  
	
  Section 3.07. 

  	
  Effect of Designated Event Repurchase Notice;
  Withdrawal

  	
   

  	
  28

  
	
  Section 3.08. 

  	
  Deposit of Repurchase Price

  	
   

  	
  29

  
	
  Section 3.09. 

  	
  Notes Repurchased in Part

  	
   

  	
  29

  
	
  Section 3.10. 

  	
  Repayment to the Issuer

  	
   

  	
  30

  
	
   

  	
   

  	
   

  
	
  ARTICLE 4

  PARTICULAR COVENANTS OF THE ISSUER

  
	
   

  	
   

  	
   

  
	
  Section 4.01. 

  	
  Payment of Principal, Premium and Interest

  	
   

  	
  30

  
	
  Section 4.02. 

  	
  Maintenance of Office or Agency

  	
   

  	
  30

  
	
  Section 4.03. 

  	
  Appointments to Fill Vacancies in Trustee’s Office

  	
   

  	
  31

  
	
  Section 4.04. 

  	
  Provisions as to Paying Agent

  	
   

  	
  31

  
	
  Section 4.05. 

  	
  Existence

  	
   

  	
  32

  

 

 

 

	
  Section 4.06. 

  	
  Stay, Extension and Usury Laws

  	
   

  	
  32

  
	
  Section 4.07. 

  	
  Compliance Certificate

  	
   

  	
  32

  
	
  Section 4.08. 

  	
  Additional Interest Notice

  	
   

  	
  33

  
	
   

  	
   

  	
   

  
	
  ARTICLE 5

  NOTEHOLDERS’ LISTS AND REPORTS BY THE ISSUER AND THE TRUSTEE

  
	
   

  	
   

  	
   

  
	
  Section 5.01. 

  	
  Noteholders’ Lists

  	
   

  	
  33

  
	
  Section 5.02. 

  	
  Preservation and Disclosure of Lists

  	
   

  	
  33

  
	
  Section 5.03. 

  	
  Reports by Trustee

  	
   

  	
  34

  
	
  Section 5.04. 

  	
  Reports by Issuer

  	
   

  	
  34

  
	
   

  	
   

  	
   

  
	
  ARTICLE 6

  REMEDIES OF THE TRUSTEE AND NOTEHOLDERS ON AN EVENT OF DEFAULT

  
	
   

  	
   

  	
   

  
	
  Section 6.01. 

  	
  Events of Default

  	
   

  	
  35

  
	
  Section 6.02. 

  	
  Payments of Notes on Default; Suit Therefor

  	
   

  	
  37

  
	
  Section 6.03. 

  	
  Application of Monies Collected by Trustee

  	
   

  	
  39

  
	
  Section 6.04. 

  	
  Proceedings by Noteholders

  	
   

  	
  39

  
	
  Section 6.05. 

  	
  Proceedings by Trustee

  	
   

  	
  40

  
	
  Section 6.06. 

  	
  Remedies Cumulative and Continuing

  	
   

  	
  40

  
	
  Section 6.07. 

  	
  Direction of Proceedings and Waiver of Defaults by
  Majority of Noteholders

  	
   

  	
  41

  
	
  Section 6.08. 

  	
  Undertaking to Pay Costs

  	
   

  	
  41

  
	
   

  	
   

  	
   

  
	
  ARTICLE 7

  THE TRUSTEE

  
	
   

  	
   

  	
   

  
	
  Section 7.01. 

  	
  Notice of Defaults

  	
   

  	
  42

  
	
  Section 7.02. 

  	
  Certain Rights of Trustee

  	
   

  	
  42

  
	
  Section 7.03. 

  	
  Not Responsible for Recitals or Issuance of Notes

  	
   

  	
  45

  
	
  Section 7.04. 

  	
  May Hold Notes and Common Stock.

  	
   

  	
  45

  
	
  Section 7.05. 

  	
  Money Held in Trust.

  	
   

  	
  45

  
	
  Section 7.06. 

  	
  Compensation and Reimbursement.

  	
   

  	
  45

  
	
  Section 7.07. 

  	
  Corporate Trustee Required; Eligibility; Conflicting
  Interests.

  	
   

  	
  46

  
	
  Section 7.08. 

  	
  Resignation and Removal; Appointment of Successor.

  	
   

  	
  46

  
	
  Section 7.09. 

  	
  Acceptance of Appointment By Successor

  	
   

  	
  48

  
	
  Section 7.10. 

  	
  Merger, Conversion, Consolidation or Succession to
  Business.

  	
   

  	
  49

  
	
  Section 7.11. 

  	
  Appointment of Authenticating Agent.

  	
   

  	
  49

  
	
  Section 7.12. 

  	
  Certain Duties and Responsibilities of the Trustee.

  	
   

  	
  50

  
	
   

  	
   

  	
   

  
	
  ARTICLE 8

  THE NOTEHOLDERS

  
	
   

  	
   

  	
   

  
	
  Section 8.01. 

  	
  Action by Noteholders

  	
   

  	
  52

  

 

 ii
 

 

 

	
  Section 8.02. 

  	
  Proof of Execution by Noteholders

  	
   

  	
  52

  
	
  Section 8.03. 

  	
  Absolute Owners

  	
   

  	
  52

  
	
  Section 8.04. 

  	
  Issuer-owned Notes Disregarded

  	
   

  	
  53

  
	
  Section 8.05. 

  	
  Revocation of Consents; Future Holders Bound

  	
   

  	
  53

  
	
   

  	
   

  	
   

  
	
  ARTICLE 9

  SUPPLEMENTAL INDENTURES

  
	
   

  	
   

  	
   

  
	
  Section 9.01. 

  	
  Supplemental Indentures Without Consent of
  Noteholders

  	
   

  	
  54

  
	
  Section 9.02. 

  	
  Supplemental Indenture With Consent of Noteholders

  	
   

  	
  55

  
	
  Section 9.03. 

  	
  Effect of Supplemental Indenture

  	
   

  	
  56

  
	
  Section 9.04. 

  	
  Notation on Notes

  	
   

  	
  56

  
	
  Section 9.05. 

  	
  Evidence of Compliance of Supplemental Indenture to
  Be Furnished to Trustee

  	
   

  	
  56

  
	
   

  	
   

  	
   

  
	
  ARTICLE 10

  CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE

  
	
   

  	
   

  	
   

  
	
  Section 10.01. 

  	
  Issuer May Consolidate on Certain Terms

  	
   

  	
  57

  
	
  Section 10.02. 

  	
  Issuer Successor to Be Substituted

  	
   

  	
  57

  
	
   

  	
   

  	
   

  
	
  ARTICLE 11

  SATISFACTION AND DISCHARGE OF INDENTURE

  
	
   

  	
   

  	
   

  
	
  Section 11.01. 

  	
  Satisfaction and Discharge of Indenture

  	
   

  	
  58

  
	
  Section 11.02. 

  	
  Application of Trust Funds

  	
   

  	
  59

  
	
  Section 11.03. 

  	
  Paying Agent to Repay Monies Held

  	
   

  	
  59

  
	
  Section 11.04. 

  	
  Return of Unclaimed Monies

  	
   

  	
  59

  
	
  Section 11.05. 

  	
  Reinstatement

  	
   

  	
  60

  
	
   

  	
   

  	
   

  
	
  ARTICLE 12

  IMMUNITY OF INCORPORATORS, SHAREHOLDERS, OFFICERS AND DIRECTORS

  
	
   

  	
   

  	
   

  
	
  Section 12.01. 

  	
  Indenture and Notes Solely Corporate Obligations

  	
   

  	
  60

  
	
   

  	
   

  	
   

  
	
  ARTICLE 13

  EXCHANGE OF NOTES

  
	
   

  	
   

  	
   

  
	
  Section 13.01. 

  	
  Right to Exchange

  	
   

  	
  61

  
	
  Section 13.02. 

  	
  Exercise of Exchange Right; No Adjustment for
  Interest or Dividends

  	
   

  	
  64

  
	
  Section 13.03. 

  	
  Cash Payments in Lieu of Fractional Shares

  	
   

  	
  66

  
	
  Section 13.04. 

  	
  Exchange Rate

  	
   

  	
  67

  
	
  Section 13.05. 

  	
  Adjustment of Exchange Rate

  	
   

  	
  67

  
	
  Section 13.06. 

  	
  Taxes on Shares Issued

  	
   

  	
  75

  

 

 iii
 

 

 

	
  Section 13.07. 

  	
  Reservation of
  Shares, Shares to Be Fully Paid; Compliance with Governmental Requirements;
  Listing of Common Stock

  	
   

  	
  75

  
	
  Section 13.08. 

  	
  Responsibility
  of Trustee

  	
   

  	
  76

  
	
  Section 13.09. 

  	
  Notice to
  Holders Prior to Certain Actions

  	
   

  	
  76

  
	
  Section 13.10. 

  	
  Settlement upon
  Exchange

  	
   

  	
  77

  
	
  Section 13.11. 

  	
  Exchange Rate
  Adjustment After Certain Designated Events

  	
   

  	
  79

  
	
  Section 13.12. 

  	
  Recapitalization,
  Reclassifications and Changes of Common Stock

  	
   

  	
  80

  
	
  Section 13.13. 

  	
  Calculations in
  Respect of Notes

  	
   

  	
  81

  
	
   

  	
   

  	
   

  
	
  ARTICLE 14

  MEETINGS OF HOLDERS OF NOTES

  
	
   

  	
   

  	
   

  
	
  Section 14.01. 

  	
  Purposes for Which Meetings May Be Called

  	
   

  	
  81

  
	
  Section 14.02. 

  	
  Call, Notice and Place of Meetings

  	
   

  	
  81

  
	
  Section 14.03. 

  	
  Persons Entitled to Vote at Meetings

  	
   

  	
  82

  
	
  Section 14.04. 

  	
  Quorum; Action

  	
   

  	
  82

  
	
  Section 14.05. 

  	
  Determination of Voting Rights; Conduct and
  Adjournment of Meetings

  	
   

  	
  83

  
	
  Section 14.06. 

  	
  Counting Votes and Recording Action of Meetings

  	
   

  	
  84

  
	
   

  	
   

  	
   

  
	
  ARTICLE 15

  MISCELLANEOUS PROVISIONS

  
	
   

  	
   

  	
   

  
	
  Section 15.01. 

  	
  Provisions Binding on Issuer’s and the Company’s
  Successors

  	
   

  	
  84

  
	
  Section 15.02. 

  	
  Common Stock Delivery Agreement

  	
   

  	
  84

  
	
  Section 15.03. 

  	
  Official Acts by Successor Corporation

  	
   

  	
  85

  
	
  Section 15.04. 

  	
  Addresses for Notices, etc

  	
   

  	
  85

  
	
  Section 15.05. 

  	
  Governing Law

  	
   

  	
  86

  
	
  Section 15.06. 

  	
  Evidence of Compliance with Conditions Precedent,
  Certificates to Trustee

  	
   

  	
  86

  
	
  Section 15.07. 

  	
  Legal Holidays

  	
   

  	
  86

  
	
  Section 15.08. 

  	
  No Security Interest Created

  	
   

  	
  87

  
	
  Section 15.09. 

  	
  Benefits of Indenture

  	
   

  	
  87

  
	
  Section 15.10. 

  	
  Table of Contents, Headings, etc

  	
   

  	
  87

  
	
  Section 15.11. 

  	
  Execution in Counterparts

  	
   

  	
  87

  
	
  Section 15.12. 

  	
  Severability

  	
   

  	
  87

  
	
  Section 15.13. 

  	
  No Shareholder Rights for Noteholders

  	
   

  	
  87

  
	
   

  	
   

  	
   

  
	
  Exhibit A Form of Note

  	
   

  	
  A-1

  

 

 

 iv

INDENTURE

INDENTURE dated as of November 22, 2006 by and between
Duke Realty Limited Partnership, an Indiana limited partnership (hereinafter
called the “Issuer”), Duke Realty Corporation,
an Indiana corporation (hereinafter called the “Company”),
each having its principal office at 600 East 96th Street, Suite 100,
Indianapolis, Indiana 46240, and The Bank of New York Trust Company, N.A., as
trustee hereunder (hereinafter called the “Trustee”).

Each party agrees as follows for the benefit of the
other parties and for the equal and ratable benefit of the holders of the
Issuer’s 3.75% Exchangeable Senior Notes due 2011 (hereinafter called the “Notes”).

ARTICLE
1

Definitions

Section 1.01.  Definitions. 
The terms defined in this Section 1.01 (except as herein otherwise
expressly provided or unless the context otherwise requires) for all purposes
of this Indenture and of any indenture supplemental hereto shall have the
respective meanings specified in this Section 1.01. The words “herein,” “hereof,” “hereunder” and words of similar import refer to this
Indenture as a whole and not to any particular Article, Section or other
subdivision. The terms defined in this Article include the plural as well as
the singular.

“Additional Interest”
has the meaning assigned the term “additional interest” in the Registration
Rights Agreement (as defined below).

“Additional Interest Notice”
has the meaning specified in Section 4.08.

“Additional Notes”
has the meaning specified in Section 2.01.

“Additional Designated
Event Shares” has the meaning specified in Section 13.11(a).

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

“Agent Members”
has the meaning specified in Section 2.05(b)(v).

 

“Applicable Exchange Rate”
as of any Trading Day means the Exchange Rate in effect on such date, after
giving effect to any adjustment provided for in Section 13.05 or Section 13.11.

“Applicable Observation
Period” with respect to any Note means the 60 consecutive Trading
Day period beginning on and including the second Trading Day after the Exchange
Date relating to such Note, except that with respect to any Note surrendered
for exchange (other than Notes that have been called for redemption) during the
period beginning on August 1, 2011 and ending on the second Business Day prior
to the Maturity Date, “Applicable Observation
Period” means the first 60 Trading Days beginning on and including
the 62nd Scheduled Trading Day prior to the Maturity Date.

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

“Board of Directors”
means the board of directors of the Company or a committee of that board duly
authorized to act hereunder.

“Board Resolution” means a copy
of a resolution certified by the Secretary or an Assistant Secretary of the
Company to have been duly adopted by the Board of Directors 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, other than (i) a
day on which banking institutions in The City of New York are authorized or
obligated by law or executive order to close, or (ii) a day on which the
Corporate Trust Office of the Trustee is authorized or obligated by law or
executive order to close.

“close of business”
means 5:00 p.m., New York City time.

“Closing Sale Price”
of Common Stock or other capital stock or similar equity interests or other
publicly traded securities on any Trading Day means the closing sale price per
share (or, if no closing sale price is reported, the average of the closing bid
and ask prices or, if more than one in either case, the average of the average
closing bid and the average closing ask prices) on such date as reported on the
principal United States securities exchange on which Common Stock or such other
capital stock or similar equity interests or other securities are traded or, if
Common Stock or such other capital stock or similar equity interests or other
securities are not listed on a United States national or regional securities exchange,
any United States system of automated dissemination of quotations of securities
prices or an established over-the-counter trading market in the United States.
The Closing Sale Price will be determined without regard to after-hours trading
or extended market making. In the absence of the foregoing, the board of
directors of the Issuer will determine the Closing Sale Price on such basis as
it considers appropriate.

 2
 

 

“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.

“Common Stock”
means all shares of capital stock issued by the Company other than Preferred
Stock. Shares of Common Stock issuable on exchange of Notes shall include only
shares of the class designated as common stock of the Company at the date of
this Indenture (namely, the common stock, par value $0.01) or shares of any
class or classes resulting from any reclassification or reclassifications
thereof and which have no preference in respect of dividends or of amounts
payable in the event of any voluntary or involuntary liquidation, dissolution
or winding up of the Company and which are not subject to redemption by the
Company; provided that if at any time there shall
be more than one such resulting class, the shares of each such class then so
issuable on exchange shall be substantially in the proportion which the total
number of shares of such class resulting from all such reclassifications bears
to the total number of shares of all such classes resulting from all such
reclassifications.

“Common Stock Delivery Agreement”
means the Common Stock Delivery Agreement dated as of November 22, 2006,
between the Issuer and the Company, as amended from time to time in accordance
with its terms.

“Company” means
the corporation named as the “Company” in the
first paragraph of this Indenture, and, subject to the provisions of Article
10, shall include its successors and assigns.

“Continuing Director”
means a director who either was a member of the Board of Directors on November
16, 2006 or who becomes a member of the Board of Directors subsequent to that
date and whose election, appointment or nomination for election by the Company’s
shareholders, is duly approved by a majority of the Continuing Directors on the
Board of Directors at the time of such approval, either by a specific vote or
by approval of the proxy statement issued by the Issuer on behalf of the entire
Board of Directors in which such individual is named as nominee for director.

“Corporate Trust Office”
or other similar term, means the designated office of the Trustee at which, at
any particular time, its corporate trust business as it relates to this
Indenture shall be administered, which office is, at the date as of which this
Indenture is dated, located at 227 West Monroe Street, Suite 2600, Chicago,
Illinois  60606, Attention: Corporate
Trust Services, or at any other time at such other address as the Trustee may
designate from time to time by notice to the Issuer.

“CUSIP” means
the Committee on Uniform Securities Identification Procedures.

“Custodian”
means The Bank of New York Trust Company, N.A., as custodian for the Depositary
with respect to the Global Notes, or any successor entity thereto.

 3
 

 

“Daily Exchange Value”
means, for each of the 60 consecutive Trading Days during the Applicable
Observation Period, one-sixtieth of the product of (i) the Applicable Exchange
Rate and (ii) the Daily VWAP of shares of Common Stock on such Trading Day.

“Daily Settlement Amount”
for each of the 60 Trading Days during the Applicable Observation Period, shall
consist of: (i) cash equal to the lesser of (x) one-sixtieth of $1,000 and (y)
the Daily Exchange Value on such Trading Day; and (ii) to the extent the Daily
Exchange Value on such Trading Day exceeds one-sixtieth of $1,000, a number of
shares (the “Daily Share Amount”), subject to
the Issuer’s right to pay cash in lieu of all or a portion of such shares of
Common Stock, as described in Section 13.10, equal to (x) the difference
between the Daily Exchange Value on such Trading Day and one-sixtieth of
$1,000, divided by (y) the Daily VWAP for such
Trading Day.

“Daily Share Amount”
has the meaning specified in “Daily Settlement Amount.”

“Daily VWAP”
means, for each of the 60 consecutive Trading Days during the Applicable
Observation Period, the per share volume-weighted average price as displayed
under the heading “Bloomberg VWAP” on Bloomberg page “DRE.N <equity> AQR”
(or its equivalent successor if such page is not available) in respect of the
period from the scheduled open of the primary exchange or market on which the
Common Stock is listed or traded to the scheduled close of such exchange or
market on such Trading Day (or if such volume-weighted average price is
unavailable, the market value of one share of Common Stock on such Trading Day
determined, using a volume-weighted average method, by a nationally recognized
independent investment banking firm retained for this purpose by the
Issuer).  Daily VWAP will be determined
without regard to after hours trading or any other trading outside of the
regular trading session hours.

“default” means
any event that is, or after notice or lapse of time or both would become, an
Event of Default.

“Defaulted Interest”
has the meaning specified in Section 2.03.

“Depositary”
means the clearing agency registered under the Exchange Act that is designated
to act as the depositary for the Global Notes. DTC shall be the initial
Depositary, until a successor shall have been appointed and become such
pursuant to the applicable provisions of this Indenture, and thereafter, “Depositary” shall mean or include such successor.

“Designated Event”
means the occurrence at any time of any of the following events: (1)
consummation of any transaction or event (whether by means of a share exchange
or tender offer applicable to the Common Stock, a liquidation, consolidation,
recapitalization, reclassification, combination or merger of the Company or a
sale, lease or other transfer of all or substantially all of the consolidated
assets of the Company) or a series of related transactions or events pursuant
to which all of the outstanding Common 

 4
 

 

Stock is exchanged for,
converted into or constitutes solely the right to receive cash, securities or
other property, more than ten percent (10%) of which consists of cash,
securities or other property that is not, or will not be upon consummation of
such transaction, listed on a national securities exchange; (2) any “person” or
“group” (as such terms are used for purposes of Sections 13(d) and 14(d) of the
Exchange Act, whether or not applicable), other than the Company, the Issuer,
any majority-owned Subsidiary of the Company or the Issuer, or any employee
benefit plan of the Company, the Issuer or any such Subsidiary, is or becomes
the “beneficial owner,” directly or indirectly, of more than fifty percent
(50%) of the total voting power in the aggregate of all classes of capital
stock of the Company then outstanding and entitled to vote generally in
elections of directors (it being understood and agreed that the ownership of
Units will not be deemed to constitute beneficial ownership of capital stock of
the Company); (3) Continuing Directors cease to constitute at least a majority
of the Board of Directors; (4) the Common Stock has ceased to be listed on a
United States national or regional securities exchange for 30 consecutive
Trading Days or (5) the Company (or any successor thereto permitted pursuant to
the terms of this Indenture) ceases to be the general partner of, or to
control, the Issuer; provided, however,
that for purposes of this clause (5), the pro
rata distribution by the Company to its shareholders of shares of
the Company’s capital stock or shares of any of the Company’s Subsidiaries
(other than the Issuer) will not, in and of itself, constitute a Designated
Event for purposes of this definition.

For the purposes of this definition, “person” includes any syndicate or group that would be deemed
to be a “person” under Section 13(d)(3) of the
Exchange Act.

“Designated Event
Repurchase Date” has the meaning specified in Section 3.05(a).

“Designated Event Repurchase
Notice” has the meaning specified in Section 3.05(c).

“DTC” means The
Depository Trust Company.

“Effective Date”
has the meaning specified in Section 13.11(b).

“Event of Default”
has the meaning specified in Section 6.01.

“ex-dividend date”
has the meaning specified in Section 13.01(a)(iv).

“Exchange Act”
means the Securities Exchange Act of 1934, as amended, and the rules and
regulations promulgated thereunder, as in effect from time to time.

“Exchange Agent”
means the exchange agent appointed by the Issuer to act as set forth in Article
13, which, initially, shall be the Trustee.

“Exchange Date”
has the meaning specified in Section 13.02.

 5
 

 

“Exchange Notice”
has the meaning specified in Section 13.02.

“Exchange Price”
means, on any date of determination, $1,000, divided by
the Exchange Rate as of such date.

“Exchange Rate”
has the meaning specified in Section 13.04.

“Expiration Time”
has the meaning specified in Section 13.05(e).

“Global Note”
has the meaning specified in Section 2.02.

“Indenture”
means this instrument as originally executed or, if amended or supplemented as
herein provided, as so amended or supplemented.

“Initial Notes”
has the meaning specified in Section 2.01.

“Initial Purchasers”
means each of Morgan Stanley & Co. Incorporated, Citigroup Global Markets
Inc., UBS Securities LLC, Banc of America Securities LLC and J.P. Morgan
Securities Inc. (each an “Initial Purchaser”).

“interest”
means, when used with reference to the Notes, any interest payable under the
terms of the Notes, including Additional Interest, if any, payable under the
terms of the Registration Rights Agreement.

“Issuer” means
the limited partnership named as the “Issuer” in the
first paragraph of this Indenture, and, subject to the provisions of Article
10, shall include its successors and assigns.

“Issuer Request” and “Issuer Order”
mean, respectively, a written request or order signed in the name of the Issuer
by the Company by its Chairman of the Board of Directors, the President or a
Vice President, and by its Treasurer, an Assistant Treasurer, the Secretary or
an Assistant Secretary, of the Company, and delivered to the Trustee.

“Issuer Repurchase Notice”
has the meaning specified in Section 3.06(b).

“Issuer Repurchase Notice
Date” has the meaning specified in Section 3.06(a).

“Make Whole Cap”
has the meaning specified in Section 13.11(f)(ii).

“Make Whole Floor”
has the meaning specified in Section 13.11(f)(iii).

“Market Disruption Event”
means the occurrence or existence for more than one half-hour period in the
aggregate on any Scheduled Trading Day for the Common Stock of any suspension
or limitation imposed on trading (by reason of movements in price exceeding
limits permitted by the New York Stock Exchange or otherwise) in the Common
Stock or in any options, contracts or future contracts relating to the Common 

 6
 

 

Stock, and such
suspension or limitation occurs or exists at any time before 1:00 p.m. (New
York City time) on such day.

“Maturity Date”
means December 1, 2011.

“Note” or “Notes” means any Note or Notes, as the case may be,
authenticated and delivered under this Indenture, including the Initial Notes,
any Additional Notes and any Global Note.

“Note Register”
has the meaning specified in Section 2.05(a).

“Note Registrar”
has the meaning specified in Section 2.05(a).

“Noteholder” or “Holder” as applied to any Note, or other similar terms (but
excluding the term “beneficial holder”),
means any Person in whose name at the time a particular Note is registered on
the Note Register.

“Offering Memorandum”
means the Issuer’s offering memorandum dated November 16, 2006 relating to the
Notes.

“Officer” means
the Chairman of the Board of Directors, the President, one of the Vice
Presidents, the Treasurer, the Assistant Treasurer, the Secretary or an
Assistant Secretary of the Company.

“Officers’ Certificate,”
when used with respect to the Issuer, means a certificate signed by the
Chairman of the Board of Directors, the President or a Vice President and by
the Treasurer, the Chief Financial Officer, an Assistant Treasurer, the
Secretary or an Assistant Secretary of the Company, and delivered to the
Trustee.

“Opinion of Counsel”
means a written opinion of counsel, who may be counsel for the Issuer or who
may be an employee of or other counsel for the Issuer, that shall be satisfactory
to the Trustee and delivered to the Trustee.

“outstanding,”
when used with respect to Notes, means, as of the date of determination, all
Notes theretofore authenticated and delivered under this Indenture, except:

(a)           Notes
theretofore canceled by the Trustee or delivered to the Trustee for
cancellation;

(b)           Notes,
or portions thereof, for the payment of which (including redemption or
repurchase pursuant to Article 3) money in the necessary amount has been
theretofore deposited with the Trustee or any Paying Agent (other than the
Issuer) in trust or set aside and segregated in trust by the Issuer (if the
Issuer shall act as its own Paying Agent) for the Holders of such Notes; provided however, that, if such Notes are to be redeemed,
notice of such redemption has 

 7
 

 

been duly given pursuant
to this Indenture or provision therefor satisfactory to the Trustee has been
made;

(c)           Notes
that have been discharged in accordance with Article 11; and

(d)           Notes
that have been paid pursuant to Section 2.06 or in exchange for or in lieu of
which other Notes have been authenticated and delivered pursuant to this
Indenture, other than any such Notes in respect of which there shall have been
presented to the Trustee proof satisfactory to it that such Notes are held by a
protected purchaser in whose hands such Notes are valid obligations of the Issuer;

provided,
however, that in determining whether the
Holders of the requisite principal amount of the outstanding Notes have given
any request, demand, authorization, direction, notice, consent or waiver
hereunder or are present at a meeting of Holders for quorum purposes, Notes
owned by the Issuer or any other obligor upon the Notes or any Affiliate of the
Issuer or of such other obligor shall be disregarded and deemed not to be
outstanding, except that, in determining whether the Trustee shall be protected
in making such calculation or in relying upon any such request, demand,
authorization, direction, notice, consent or waiver, only Notes that a
Responsible Officer of the Trustee actually knows to be so owned shall be so
disregarded. Notes that have been pledged in good faith may be regarded as
outstanding if the pledgee establishes to the satisfaction of the Trustee the
pledgee’s right so to act with respect to such Notes and that the pledgee is
not the Issuer or any other obligor upon the Notes or any Affiliate of the
Issuer or of such other obligor. In case of a dispute as to such right, the
advice of counsel shall be full protection in respect of any decision made by
the Trustee in accordance with such advice.

“Paying Agent”
has the meaning specified in Section 2.08.

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

“PORTAL Market”
means The PORTAL Market operated by the Nasdaq Stock Market or any successor
thereto.

“Predecessor Note”
of any particular Note means any previous Note evidencing all or a portion of
the same debt as that evidenced by such particular Note, and, for the purposes
of this definition, any Note authenticated and delivered under Section 2.06 in
lieu of a mutilated, lost, destroyed or stolen Note shall be deemed to evidence
the same debt as the mutilated, lost, destroyed or stolen Note that it
replaces.

“Preferred Stock”
means, with respect to any Person, all capital stock issued by such Person that
is entitled to a preference or priority over any other capital stock issued by
such Person with respect to any distribution of such Person’s assets, whether
by dividend or upon any voluntary or involuntary liquidation, dissolution or
winding up.

 8
 

 

“premium” means
any premium payable under the terms of the Notes.

“Purchase Agreement”
means the Purchase Agreement, dated as of November 16, 2006, among the Issuer,
the Company, Morgan Stanley & Co. Incorporated, Citigroup Global Markets
Inc. and UBS Securities LLC.

“Record Date”
has the meaning specified in Section 2.03.

“Redemption Date”
means, with respect to any Note or portion thereof to be redeemed in accordance
with the provisions of Section 3.01 hereof, the date fixed for such redemption
in accordance with the provisions of Section 3.01 hereof.

“Redemption Price”
has the meaning provided in Section 3.01 hereof.

“Registration Rights
Agreement” means the Registration Rights Agreement, dated as of
November 22, 2006, among the Issuer, the Company, Morgan Stanley & Co.
Incorporated, Citigroup Global Markets Inc. and UBS Securities LLC, as amended
from time to time in accordance with its terms.

“Repurchase Price”
has the meaning provided in Section 3.05 hereof.

“Responsible Officer”
when used with respect to the Trustee, means the chairman or vice-chairman of
the board of directors, the chairman or vice-chairman of the executive
committee of the board of directors, the president, any vice president (whether
or not designated by a number or a word or words added before or after the
title “vice president”), the secretary, any assistant secretary, the treasurer,
any assistant treasurer, the cashier, any assistant cashier, any trust officer
or assistant trust officer, the controller or any other officer in the
Corporate Trust Office of the Trustee with direct responsibility for the administration
of this Indenture and also means, with respect to a particular corporate trust
matter, any other officer of the Trustee to whom such matter is referred
because of such officer’s knowledge of and familiarity with the particular
subject.

“Restricted Securities”
has the meaning specified in Section 2.05(c).

“Rule 144A”
means Rule 144A as promulgated under the Securities Act as it may be amended
from time to time hereafter.

“Scheduled Trading Day”
means a day that is scheduled to be a Trading Day.

“Securities Act”
means the Securities Act of 1933, as amended, and the rules and regulations
promulgated thereunder, as in effect from time to time.

“Significant Subsidiary”
means any Subsidiary which is a “significant subsidiary” (as defined in Article
I, Rule 1-02 of Regulation S-X, promulgated under the Securities Act) of the
Issuer.

 9
 

 

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

“Stock Price”
has the meaning specified in Section 13.11(b).

“Subsidiary”
means a Person (other than an individual), a majority of the outstanding voting
stock, partnership interests, membership interests or other equity interest, as
the case may be, of which is owned or controlled, directly or indirectly, by
another Person or by one or more other Subsidiaries of such other Person. For
the purposes of this definition, “voting stock” means stock having voting power
for the election of directors, trustees or managers, as the case may be,
whether at all times or only so long as no senior class of stock has such
voting power by reason of any contingency.

“Trading Day”
means a day on which (i) there is no Market Disruption Event and (ii) trading
in securities generally occurs on the New York Stock Exchange or, if the Common
Stock is not then listed on the New York Stock Exchange, on the principal other
United States national or regional securities exchange on which the Common
Stock is then listed or, if the Common Stock is not then listed on a United
States national or regional securities exchange, on the principal other market
on which the Common Stock is then traded; provided, however,
that if the Common Stock (or other security for which a Closing Sale Price must
be determined) is not so listed or quoted, “Trading Day” means a Business Day.

 “Trading Price” has the meaning specified in Section
13.01(a)(ii).

“transfer” has
the meaning specified in Section 2.05(c).

“Trust Indenture Act”
or “TIA” means the Trust Indenture
Act of 1939, as amended, as it was in force at the date of this Indenture; provided that, in the case of a supplemental indenture
executed pursuant to this Indenture, “Trust Indenture Act” or “TIA” means the
Trust Indenture Act of 1939, as amended, as it was in force at the date of such
supplemental indenture.

“Trustee” means
The Bank of New York Trust Company, N.A., solely in its capacity as Trustee under
this Indenture and not in its individual capacity, and its successors and any
corporation resulting from or surviving any consolidation or merger to which it
or its successors may be a party and any successor trustee at the time serving
as successor trustee hereunder.

“Units” means
the limited partnership units of the Issuer.

 10
 

 

ARTICLE 2

Issue, Description, Execution, Registration and Exchange of Notes

Section 2.01.  Designation Amount and Issue of Notes.  The Notes shall be designated as “3.75% Exchangeable Senior Notes due 2011.” Upon the execution of
this Indenture, and from time to time thereafter, Notes may be, subject to this
Section 2.01, executed by the Issuer and delivered to the Trustee for
authentication, and the Trustee shall thereupon authenticate and deliver Notes
upon a written order of the Issuer, such order signed by one Officer, without
any further action by the Issuer or the Company hereunder.

The aggregate principal amount of Notes which may be
authenticated and delivered under this Indenture is unlimited; provided that upon initial issuance the aggregate principal
amount of Notes outstanding shall not exceed $575,000,000, except as provided
in Section 2.06. The Issuer may, without the consent of the Holders of Notes,
issue additional Notes (the “Additional Notes”)
from time to time in the future with the same terms and the same CUSIP number
as the Notes originally issued under this Indenture (the “Initial
Notes”) in an unlimited principal amount, provided
that such Additional Notes must be part of the same issue as and fungible with
the Initial Notes for United States federal income tax purposes. The Initial
Notes and any such Additional Notes will constitute a single series of debt
securities, and in circumstances in which this Indenture provides for the
Holders of Notes to vote or take any action, the Holders of Initial Notes and
the Holders of any such Additional Notes will vote or take that action as a
single class.

Section 2.02.  Form of Notes.  The Notes and the Trustee’s
certificate of authentication to be borne by such Notes shall be substantially
in the form set forth in Exhibit A hereto. The terms and provisions contained
in the form of Note attached as Exhibit A hereto shall constitute, and are
hereby expressly made, a part of this Indenture and, to the extent applicable,
the Issuer and the Trustee, by their execution and delivery of this Indenture,
expressly agree to such terms and provisions and to be bound thereby.

Any of the Notes may have such letters, numbers or
other marks of identification and such notations, legends, endorsements or
changes as the officers executing the same may approve (execution thereof to be
conclusive evidence of such approval) and as are not inconsistent with the
provisions of this Indenture, or as may be required by the Custodian, the
Depositary or by the National Association of Securities Dealers, Inc. in order
for the Notes to be tradable on The PORTAL Market or as may be required for the
Notes to be tradable on any other market developed for trading of securities
pursuant to Rule 144A or as may be required to comply with any applicable law
or with any rule or regulation made pursuant thereto or with any rule or
regulation of any securities exchange or automated quotation system on which
the Notes may be listed, or to conform to usage, or to indicate any special
limitations or restrictions to which any particular Notes are subject.

 11
 

 

So long as the Notes are eligible for book-entry
settlement with the Depositary, or unless otherwise required by law, or
otherwise contemplated by Section 2.05(b), all of the Notes will be represented
by one or more Notes in global form registered in the name of the Depositary or
the nominee of the Depositary (a “Global Note”).
The transfer, redemption, repurchase, exchange, and all dispositions of
beneficial interests in any such Global Note shall be effected through the
Depositary in accordance with this Indenture and the applicable procedures of
the Depositary. Except as provided in Section 2.05(b), beneficial owners of a
Global Note shall not be entitled to have certificates registered in their
names, will not receive or be entitled to receive physical delivery of
certificates in definitive form and will not be considered Holders of such
Global Note.

Any Global Note shall represent such of the
outstanding Notes as shall be specified therein and shall provide that it shall
represent the aggregate amount of outstanding Notes from time to time endorsed
thereon and that the aggregate amount of outstanding Notes represented thereby
may from time to time be increased or reduced to reflect redemptions,
repurchases, exchanges, or transfers permitted hereby. Any endorsement of a
Global Note to reflect the amount of any increase or decrease in the amount of
outstanding Notes represented thereby shall be made by the Trustee or the
Custodian, at the direction of the Trustee, in such manner and upon
instructions given by the Holder of such Notes in accordance with this
Indenture. Payment of principal of, interest on and premium, if any, on any
Global Note shall be made to the Holder of such Note.

So long as any Notes are represented by one or more
Global Notes, the parties hereto will be bound at all times by the applicable
procedures of the Depositary with respect to such Notes.

Section 2.03.  Date and Denomination of Notes; Payments of
Interest.  The Notes shall be
issuable in registered form without coupons in minimum denominations of $1,000
principal amount and in integral multiples of $1,000 in excess thereof. Each
Note shall be dated the date of its authentication and shall bear interest from
the date specified on the face of the Note. Interest on the Notes shall be
computed on the basis of a 360-day year consisting of twelve 30-day months.

The Person in whose name any Note is registered on the
Note Register at the close of business on any Record Date with respect to any
interest payment date shall be entitled to receive the interest payable on such
interest payment date. Notwithstanding the foregoing, any Note or portion
thereof surrendered for exchange during the period from the close of business
on the Record Date for any interest payment to the close of business on the
applicable interest payment date must be accompanied by payment, in immediately
available funds or other funds acceptable to the Issuer, of an amount equal to
the interest otherwise payable on such interest payment date on the principal
amount being exchanged; provided, however, that
no such payment need be made (1) if a Holder exchanges its Notes as permitted
by Section 13.01(a)(iii) and the Issuer has specified a Redemption Date that is
after a Record Date and on or prior to the Business Day 

 12
 

 

immediately succeeding
the corresponding interest payment date, (2) if a Holder exchanges its Notes in
connection with a Designated Event and the Issuer has specified a Designated
Event Repurchase Date that is after a Record Date and on or prior to the
Business Day immediately succeeding the corresponding interest payment date,
(3) with respect to any exchange on or following the Record Date immediately
preceding the Maturity Date, or (4) to the extent of any Defaulted Interest, if
any Defaulted Interest exists at the time of exchange with respect to such
Note. Interest on any Global Note shall be paid by wire transfer of immediately
available funds to the account of the Depositary or its nominee. Payment of the
principal and interest on the Notes not represented by a Global Note will be
made at the Corporate Trust Office, or the office maintained for that purpose
by the Issuer in the Borough of Manhattan, The City of New York, New York, 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
Issuer, payments of interest on the Notes may be made (i) by check mailed to
the address of the Person entitled thereto as such address shall appear in the
Note Register or (ii) by wire transfer to an account maintained by the Person
entitled thereto located within the United States.

If a payment date is not a Business Day, payment shall
be made on the next succeeding Business Day, and no additional interest shall
accrue thereon. The term “Record Date”
with respect to any interest payment date shall mean the May 15 or November 15
preceding the applicable June 1 or December 1 interest payment date,
respectively.

Any interest on any Note that is payable, but is not
punctually paid or duly provided for, on any June 1 or December 1 (herein
called “Defaulted Interest”) shall forthwith
cease to be payable to the Noteholder registered as such on the relevant Record
Date, and such Defaulted Interest shall be paid by the Issuer, at its election
in each case, as provided in clause (a) or (b) below:

(a)           The
Issuer 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 Issuer shall notify the Trustee in writing of the
amount of Defaulted Interest proposed to be paid on each Note and the date of
the proposed payment (which shall be not less than twenty (20) calendar days
after the receipt by the Trustee of such notice, unless the Trustee shall
consent to an earlier date), and at the same time the Issuer shall deposit with
the Trustee an amount of money equal to the aggregate amount to be paid in
respect of such Defaulted Interest or shall make arrangements satisfactory to
the Trustee for such deposit on or 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 clause provided. Thereupon the
Trustee shall fix a special record date for the payment of such Defaulted
Interest which shall be not more than fifteen (15) calendar days and not less
than ten (10) calendar days prior to the date of the proposed payment, and not
less than ten (10) calendar days after the receipt by 

 13
 

 

the Trustee of the notice
of the proposed payment (unless, the Trustee shall consent to an earlier date).
The Trustee shall promptly notify the Issuer of such special record date and,
in the name and at the expense of the Issuer, 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 its
address as it appears in the Note Register, not less than ten (10) calendar
days prior to such special record date (unless, the Trustee shall consent to an
earlier 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 are registered at the
close of business on such special record date and shall no longer be payable
pursuant to the following clause (b) of this Section 2.03.

(b)           The
Issuer may make payment of any Defaulted Interest in any other lawful manner
not inconsistent with the requirements of any securities exchange or automated
quotation system on which the Notes may be listed or designated for issuance,
and upon such notice as may be required by such exchange or automated quotation
system, if, after notice given by the Issuer to the Trustee of the proposed
payment pursuant to this clause, such manner of payment shall be deemed
practicable by the Trustee.

Section 2.04.  Execution of Notes.  The Notes shall be signed in the
name and on behalf of the Issuer by the manual or facsimile signature of an
Officer. Only such Notes as shall bear thereon a certificate of authentication
substantially in the form set forth on the form of Note attached as Exhibit A
hereto, executed manually or by facsimile by the Trustee (or an authenticating
agent appointed by the Trustee as provided by Section 7.11), shall be entitled
to the benefits of this Indenture or be valid or obligatory for any purpose.
Such certificate by the Trustee (or such an authenticating agent) upon any Note
executed by the Issuer shall be conclusive evidence that the Note so
authenticated has been duly authenticated and delivered hereunder and that the
Holder is entitled to the benefits of this Indenture.

In case any Officer who shall have signed any of the
Notes shall cease to be such Officer before the Notes so signed shall have been
authenticated and delivered by the Trustee, or disposed of by the Issuer, such
Notes nevertheless may be authenticated and delivered or disposed of as though
the person who signed such Notes had not ceased to be such Officer, and any
Note may be signed on behalf of the Issuer by such persons as, at the actual
date of the execution of such Note, shall be the proper Officers, although at
the date of the execution of this Indenture any such person was not such an
Officer.

Section 2.05.  Exchange and Registration of Transfer of
Notes; Restrictions on Transfer.  (a)
The Trustee shall cause to be kept at the Corporate Trust Office a register
(the register maintained in such office and in any office or agency of the
Issuer designated pursuant to Section 4.02 being herein sometimes collectively
referred to as the “Note Register”)
in which, subject to such reasonable regulations as it may prescribe, the
Trustee shall provide for the registration of Notes and of transfers and
exchanges of Notes. The Note Register shall be in written form or in any form
capable of being 

 14
 

 

exchanged into written
form within a reasonably prompt period of time. The Trustee is hereby appointed
“Note Registrar” for the purpose of registering
Notes and transfers and exchanges of Notes as herein provided. The Issuer may
appoint one or more co-registrars in accordance with Section 4.02.

Upon surrender for registration of transfer of any
Note to the Note Registrar or any office or agency maintained by the Issuer
pursuant to Section 4.02, and satisfaction of the requirements for such
transfer set forth in this Section 2.05, the Issuer shall execute, and upon
receipt thereof the Trustee shall authenticate and deliver, in the name of the
designated transferee or transferees, one or more new Notes of any authorized
denominations and of a like aggregate principal amount and bearing such
restrictive legends as may be required by this Indenture.

Notes may be exchanged for other Notes of any authorized
denominations and of a like aggregate principal amount, upon surrender of the
Notes to be exchanged at the Corporate Trust Office or any such office or
agency maintained by the Issuer pursuant to Section 4.02. Whenever any Notes
are so surrendered for exchange, the Issuer shall execute, and upon receipt
thereof the Trustee shall authenticate and deliver, the Notes which the
Noteholder making the exchange is entitled to receive bearing registration
numbers not contemporaneously outstanding.

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

All Notes presented or surrendered for registration of
transfer or for exchange, redemption, or repurchase shall (if so required by
the Issuer or the Note Registrar) be duly endorsed, or be accompanied by a
written instrument or instruments of transfer in form satisfactory to the
Issuer and the Note Registrar, duly executed by the Noteholder thereof or its
attorney duly authorized in writing.

No service charge shall be made to any Holder for any
registration of transfer or exchange of Notes, but the Issuer may require
payment by the Holder of a sum sufficient to cover any transfer or similar tax
that may be imposed in connection with any registration of transfer or exchange
of Notes.

In the event of any redemption in part, the Issuer
shall not be required to: (i) issue or register the transfer or exchange of any
Note during a period beginning at the opening of business 15 days before any
selection of Notes for redemption and ending at the close of business on the
earliest date on which the relevant notice of redemption is deemed to have been
given to all Holders of Notes to be so redeemed, or (ii) register the transfer
or exchange of any Note so selected for redemption, in whole or in part, except
the unredeemed portion of any Note being redeemed in part.

 

 15

 

 

 

(b)           The following provisions shall apply
only to Global Notes:

 

(i)             Each Global Note authenticated
under this Indenture shall be registered in the name of the Depositary or a
nominee thereof and delivered to such Depositary or a nominee thereof or Custodian
therefor, and each such Global Note shall constitute a single Note for all
purposes of this Indenture.

 

(ii)            Notwithstanding any other provision
in this Indenture, no Global Note may be exchanged in whole or in part for
Notes registered, and no transfer of a Global Note in whole or in part may be
registered, in the name of any Person other than the Depositary or a nominee
thereof unless (1) the Depositary (x) has notified the Issuer that it is
unwilling or unable to continue as Depositary for such Global Note or (y) has
ceased to be a clearing agency registered under the Exchange Act, and a
successor depositary has not been appointed by the Issuer within ninety (90)
calendar days, (2) an Event of Default has occurred and is continuing or (3)
the Issuer, in its sole discretion, determines at any time that the Notes shall
no longer be represented by a Global Note and any Global Note Exchange pursuant
to clause (3) above may be exchanged in whole or from time to time in part as
directed by the Issuer. Any Global Note exchanged pursuant to clause (1) or (2)
above shall be so exchanged in whole and not in part. Any Note issued in
exchange for a Global Note or any portion thereof shall be a Global Note;
provided that any such Note so issued that is registered in the name of a
Person other than the Depositary or a nominee thereof shall not be a Global
Note.

 

(iii)           Notes issued in exchange for a Global
Note or any portion thereof pursuant to clause (ii) above shall be issued in
definitive, fully registered form, without interest coupons, shall have an
aggregate principal amount equal to that of such Global Note or portion thereof
to be so exchanged, shall be registered in such names and be in such authorized
denominations as the Depositary shall designate and shall bear any legends
required hereunder. Any Global Note to be exchanged in whole shall be
surrendered by the Depositary to the Trustee, as Note Registrar. With regard to
any Global Note to be exchanged in part, either such Global Note shall be so
surrendered for exchange or, if the Trustee is acting as Custodian for the
Depositary or its nominee with respect to such Global Note, the principal
amount thereof shall be reduced, by an amount equal to the portion thereof to
be so exchanged, by means of an appropriate adjustment made on the records of
the Trustee. Upon any such surrender or adjustment, the Trustee shall
authenticate and make available for delivery the Note issuable on such exchange
to or upon the written order of the Depositary or an authorized representative
thereof.

 

(iv)           In the event of the occurrence of any
of the events specified in clause (ii) above, the Issuer will promptly make
available to the Trustee a reasonable supply of certificated Notes in
definitive, fully registered form, without interest coupons.

 16
 

 

 

(v)            Neither any members of, or
participants in, the Depositary (“Agent Members”)
nor any other Persons on whose behalf Agent Members may act shall have any
rights under this Indenture with respect to any Global Note registered in the
name of the Depositary or any nominee thereof, and the Depositary or such
nominee, as the case may be, may be treated by the Issuer, the Trustee and any
agent of the Issuer or the Trustee as the absolute owner and Holder of such
Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing
herein shall prevent the Issuer, the Trustee or any agent of the Issuer or the
Trustee from giving effect to any written certification, proxy or other
authorization furnished by the Depositary or such nominee, as the case may be,
or impair, as between the Depositary, its Agent Members and any other Person on
whose behalf an Agent Member may act, the operation of customary practices of
such Persons governing the exercise of the rights of a Holder of any Note.

 

(vi)           At such time as all interests in a
Global Note have been redeemed, repurchased, exchanged, or canceled for Notes
in certificated form, such Global Note shall, upon receipt thereof, be canceled
by the Trustee in accordance with standing procedures and instructions existing
between the Depositary and the Custodian. At any time prior to such
cancellation, if any interest in a Global Note is redeemed, repurchased,
exchanged, or canceled for Notes in certificated form, the principal amount of
such Global Note shall, in accordance with the standing procedures and
instructions existing between the Depositary and the Custodian, be
appropriately reduced, and an endorsement shall be made on such Global Note, by
the Trustee or the Custodian, at the direction of the Trustee, to reflect such
reduction.

 

(c)            Every Note (and all securities
issued in exchange therefor or in substitution thereof) that bears or is
required under this Section 2.05(c) to bear the legend set forth in this
Section 2.05(c) (the “Restricted Notes Legend”),
and any Common Stock that bears or is required under this Section 2.05(c) to
bear the Common Stock legend set forth in this Section 2.05(c) (the “Common Stock Legend”) (collectively, the “Restricted Securities”) shall be subject to the restrictions
on transfer set forth in this Section 2.05(c) (including those set forth in the
legends below) unless such restrictions on transfer shall be waived by written
consent of the Issuer, and the Holder of each such Restricted Security, by such
Holder’s acceptance thereof, agrees to be bound by all such restrictions on
transfer. As used in this Section 2.05(c), the term “transfer”
means any sale, pledge, loan, transfer or other disposition whatsoever of any
Restricted Security or any interest therein.

 

Until the Maturity Date
for the Notes any certificate evidencing a Restricted Security shall bear a
legend in substantially the following form, or unless otherwise agreed by the
Issuer in writing, with written notice thereof to the Trustee:

 

THIS SECURITY HAS NOT
BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES 

 17
 

 

ACT”), AND ACCORDINGLY,
MAY NOT BE OFFERED OR SOLD EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY
ITS ACQUISITION HEREOF, THE HOLDER AGREES THAT IT WILL NOT RESELL OR OTHERWISE
TRANSFER THE SECURITY EVIDENCED HEREBY, EXCEPT (A) TO THE ISSUER, DUKE REALTY
CORPORATION OR A SUBSIDIARY OF THE ISSUER OR OF DUKE REALTY CORPORATION; OR (B)
TO A PERSON THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER
(AS DEFINED IN RULE 144A ADOPTED UNDER THE SECURITIES ACT) THAT IS PURCHASING
FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF ANOTHER QUALIFIED INSTITUTIONAL BUYER
AND TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE
144A, ALL IN COMPLIANCE WITH RULE 144A (IF AVAILABLE).

 

Until the expiration of
the holding period applicable to sales thereof under Rule 144(k) under the
Securities Act (or any successor provision), any stock certificate representing
shares of Common Stock issued upon exchange of any Note shall bear a Common
Stock Legend unless such Common Stock has been sold pursuant to a registration
statement that has been declared effective under the Securities Act (and that
continues to be effective at the time of such transfer) or pursuant to Rule 144
under the Securities Act or any similar provision then in force, or unless
otherwise agreed by the Issuer in writing, with written notice thereof to the
Trustee:

 

THIS SECURITY HAS NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), AND ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT AS SET
FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF, THE HOLDER AGREES
(1) THAT IT WILL NOT RESELL OR OTHERWISE TRANSFER THE SECURITY EVIDENCED HEREBY,
EXCEPT (A) TO THE ISSUER, DUKE REALTY CORPORATION OR A SUBSIDIARY OF THE ISSUER
OR OF DUKE REALTY CORPORATION; (B) UNDER A REGISTRATION STATEMENT THAT HAS BEEN
DECLARED EFFECTIVE UNDER THE SECURITIES ACT; (C) TO A PERSON THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
ADOPTED UNDER THE SECURITIES ACT) THAT IS PURCHASING FOR ITS OWN ACCOUNT OR FOR
THE ACCOUNT OF ANOTHER QUALIFIED INSTITUTIONAL BUYER AND TO WHOM NOTICE IS
GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, ALL IN
COMPLIANCE WITH RULE 144A (IF AVAILABLE); OR (D) UNDER ANY OTHER AVAILABLE
EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT; AND (2)
THAT IT WILL, PRIOR TO ANY TRANSFER OF THIS SECURITY, FURNISH TO THE TRANSFER
AGENT AND THE ISSUER SUCH CERTIFICATIONS, LEGAL 

 18
 

 

OPINIONS OR OTHER INFORMATION AS
MAY BE REQUIRED TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN
EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT.

 

Any such shares of Common
Stock as to which such restrictions on transfer shall have expired in
accordance with their terms or as to which the conditions for removal of the
Common Stock Legend set forth therein have been satisfied may, upon surrender
of the certificates representing such shares of Common Stock for exchange in
accordance with the procedures of the transfer agent for the Common Stock, be
exchanged for a new certificate or certificates for a like number of shares of
Common Stock, which shall not bear the Common Stock Legend required by this
Section 2.05(c).

 

(d)           By its acceptance of any Note bearing
the Restricted Notes Legend, each Holder of such Note acknowledges the
restrictions on transfer of such Note set forth in this Indenture and in the
Restricted Notes Legend and agrees that it will transfer such Note only as
provided in this Indenture and as permitted by applicable law.

 

(e)            Any Restricted Securities purchased
or owned by the Issuer or any Affiliate thereof may not be resold by the Issuer
or such Affiliate unless registered under the Securities Act or resold pursuant
to an exemption from the registration requirements of the Securities Act in a
transaction which results in such Notes or Common Stock, as the case may be, no
longer being “restricted securities” (as defined under Rule 144).

 

(f)            The Trustee, the Issuer, and the
Company shall have no responsibility or obligation to any Agent Members or any
other Person with respect to the accuracy of the books or records, or the acts
or omissions, of the Depositary or its nominee or of any participant or member
thereof, with respect to any ownership interest in the Notes or with respect to
the delivery to any Agent Member or other Person (other than the Depositary) of
any notice (including any notice of redemption or selection of Global Notes for
redemption) or the payment of any amount, under or with respect to such Notes.
All notices and communications to be given to the Noteholders and all payments
to be made to Noteholders under the Notes shall be given or made only to or
upon the order of the registered Noteholders (which shall be the Depositary or
its nominee in the case of a Global Note). The rights of beneficial owners in
any Global Note shall be exercised only through the Depositary subject to the
customary procedures of the Depositary. The Trustee may rely and shall be fully
protected in relying upon information furnished by the Depositary with respect
to its Agent Members.

 

The Trustee shall have no
obligation or duty to monitor, determine or inquire as to compliance with any
restrictions on transfer imposed under this Indenture or under applicable law
with respect to any transfer of any interest in any Note (including any
transfers between or among Agent Members in any Global Note) other than to
require delivery of such certificates and other documentation or evidence as
are expressly required by, and to do so if and when expressly required by, the
terms of this Indenture, 

 19
 

 

and to examine the same to determine substantial compliance as to form
with the express requirements hereof.

 

Section 2.06.  Mutilated, Destroyed, Lost
or Stolen Notes.  In case any
Note shall become mutilated or be destroyed, lost or stolen, the Issuer in its
discretion may execute, and upon its written request and receipt of such new
Note the Trustee or an authenticating agent appointed by the Trustee shall
authenticate and make available for delivery, a new Note, bearing a number not
contemporaneously outstanding, in exchange and substitution for the mutilated
Note, or in lieu of and in substitution for the Note so destroyed, lost or
stolen. In every case, the applicant for a substituted Note shall furnish to
the Issuer, to the Trustee and, if applicable, to such authenticating agent
such security or indemnity as may be required by them to save each of them
harmless for any loss, liability, cost or expense caused by or connected with
such substitution, and, in every case of destruction, loss or theft, the
applicant shall also furnish to the Issuer, to the Trustee and, if applicable,
to such authenticating agent evidence to their satisfaction of the destruction,
loss or theft of such Note and of the ownership thereof.

 

Following receipt by the
Trustee or such authenticating agent, as the case may be, of satisfactory
security or indemnity and evidence, as described in the preceding paragraph,
the Trustee or such authenticating agent may authenticate any such substituted
Note and make available for delivery such Note. Upon the issuance of any
substituted Note, the Issuer may require the payment by the Holder of a sum
sufficient to cover any tax, assessment or other governmental charge that may
be imposed in relation thereto and any other expenses connected therewith. In
case any Note which has matured or is about to mature or has been called for
redemption or has been properly tendered for repurchase on a Designated Event
Repurchase Date (and not withdrawn) or is to be exchanged pursuant to this
Indenture, shall become mutilated or be destroyed, lost or stolen, the Issuer
may, instead of issuing a substitute Note, pay or authorize the payment of or
exchange or authorize the exchange of the same (without surrender thereof
except in the case of a mutilated Note), as the case may be, if the applicant
for such payment or exchange shall furnish to the Issuer, to the Trustee and,
if applicable, to such authenticating agent such security or indemnity as may
be required by them to save each of them harmless for any loss, liability, cost
or expense caused by or in connection with such substitution, and, in every
case of destruction, loss or theft, the applicant shall also furnish to the
Issuer, the Trustee and, if applicable, any Paying Agent or Exchange Agent
evidence to their satisfaction of the destruction, loss or theft of such Note
and of the ownership thereof.

 

Every substitute Note
issued pursuant to the provisions of this Section 2.06 by virtue of the fact
that any Note is mutilated, destroyed, lost or stolen shall constitute an
additional contractual obligation of the Issuer, whether or not the mutilated,
destroyed, lost or stolen Note shall be found at any time, and shall be
entitled to all the benefits of (but shall be subject to all the limitations
set forth in) this Indenture equally and proportionately with any and all other
Notes duly issued hereunder. To the extent permitted by law, all Notes shall be
held and owned upon the express condition that the 

 20
 

 

foregoing provisions are exclusive with respect to the replacement or
payment or exchange or redemption or repurchase of mutilated, destroyed, lost
or stolen Notes and shall preclude any and all other rights or remedies
notwithstanding any law or statute existing or hereafter enacted to the
contrary with respect to the replacement or payment or exchange or redemption
or repurchase of negotiable instruments or other securities without their
surrender.

 

Section 2.07.  Temporary Notes.  Pending the preparation of Notes in
certificated form, the Issuer may execute and the Trustee or an authenticating
agent appointed by the Trustee shall, upon the written request of the Issuer,
authenticate and deliver temporary Notes (printed or lithographed). Temporary
Notes shall be issuable in any authorized denomination, and substantially in
the form of the Notes in certificated form, but with such omissions, insertions
and variations as may be appropriate for temporary Notes, all as may be
determined by the Issuer. Every such temporary Note shall be executed by the
Issuer and upon the written request of the Issuer authenticated by the Trustee
or such authenticating agent upon the same conditions and in substantially the
same manner, and with the same effect, as the Notes in certificated form.
Without unreasonable delay, the Issuer will execute and deliver to the Trustee
or such authenticating agent Notes in certificated form and thereupon any or
all temporary Notes may be surrendered in exchange therefor, at each office or
agency maintained by the Issuer pursuant to Section 4.02 and, upon receipt of
the Certificated Notes, the Trustee or such authenticating agent shall
authenticate and make available for delivery in exchange for such temporary
Notes an equal aggregate principal amount of Notes in certificated form. Such
exchange shall be made by the Issuer at its own expense and without any charge
therefor. Until so exchanged, the temporary Notes shall in all respects be
entitled to the same benefits and subject to the same limitations under this
Indenture as Notes in certificated form authenticated and delivered hereunder.

 

Section 2.08.  Cancellation of Notes.  All Notes surrendered for the purpose of
payment, redemption, repurchase, exchange or registration of transfer shall, if
surrendered to the Issuer or any paying agent to whom Notes may be presented
for payment (the “Paying Agent”)
or Exchange Agent, which shall initially be the Trustee, be surrendered to the
Trustee and promptly canceled by it or, if surrendered to the Trustee, shall be
promptly canceled by it and no Notes shall be issued in lieu thereof except as
expressly permitted by any of the provisions of this Indenture. The Trustee
shall dispose of such canceled Notes in accordance with its customary
procedures. If the Issuer shall acquire any of the Notes, such acquisition
shall not operate as a redemption, repurchase, exchange or satisfaction of the
indebtedness represented by such Notes unless and until the same are delivered
to the Trustee for cancellation.

 

Section 2.09.  CUSIP Numbers.  The Issuer in issuing the Notes 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 Noteholders; provided
that any such notice may state that no representation is made as to the
correctness of such numbers either as printed on the Notes or as contained in
any notice of a redemption and 

 21
 

 

that reliance may be placed only on the other identification numbers
printed on the Notes, and any such redemption shall not be affected by any
defect in or omission of such numbers. The Issuer will promptly notify the
Trustee of any change in the “CUSIP” numbers.

 

ARTICLE 3

Redemption and Repurchase of Notes

 

Section 3.01.  Redemption of Notes.  (a) 
The Issuer shall have the right to redeem the Notes for cash, in whole
or in part, if the Issuer determines it is necessary to redeem the Notes in
order to preserve the Company’s qualification as a real estate investment
trust, upon the notice set forth in Section 3.02 at a redemption price (the “Redemption Price”) equal to 100% of the principal amount of
the Notes to be redeemed plus unpaid interest, if any, accrued thereon to, but
excluding, the Redemption Date; provided, however that if the Redemption Date falls after a Record
Date and on or prior to the corresponding interest payment date, the Issuer
will pay the full amount of accrued and unpaid interest, if any, on such
interest payment date to the Holder of record at the close of business on the
corresponding Record Date (instead of the Holder surrendering its Notes for
redemption) and the Redemption Price shall be equal to 100% of the principal
amount of the Notes to be redeemed.  In
connection with any redemption by the Issuer pursuant to this Section 3.01(a),
the Issuer shall provide the Trustee with a Board Resolution received by the
Trustee not fewer than five (5) Business Days prior (or such shorter period of
time as may be acceptable to the Trustee) to the date the notice of redemption
is to be mailed,  evidencing that the
Board of Directors has, in good faith, made the determination that it is
necessary to redeem the Notes in order to preserve the Company’s qualification
as a real estate investment trust.

 

(b)           The Issuer shall not redeem the Notes
pursuant to Section 3.01(a) on any date if the principal amount of the Notes
has been accelerated, and such an acceleration has not been rescinded or cured
on or prior to such date (except in the case of an acceleration resulting from
a default by the Issuer in the payment of the Redemption Price with respect to
the Notes to be redeemed).

 

Section 3.02.  Notice of Optional
Redemption; Selection of Notes. 
In case the Issuer shall desire to exercise the right to redeem all or,
as the case may be, any part of the Notes pursuant to Section 3.01, it shall
fix a date for redemption and it or, at its written request received by the
Trustee not fewer than five (5) Business Days prior (or such shorter period of
time as may be acceptable to the Trustee) to the date the notice of redemption
is to be mailed, the Trustee in the name of and at the expense of the Issuer,
shall mail or cause to be mailed a notice of such redemption not fewer than
thirty (30) calendar days nor more than sixty (60) calendar days prior to the
Redemption Date to each Holder of Notes so to be redeemed in whole or in part
at its last address as the same appears on the Note Register; provided that if the Issuer makes such request of the
Trustee, it shall, together with such request, also give written notice of the
Redemption 

 22
 

 

Date to the Trustee; provided further
that the text of the notice shall be prepared by the Issuer, and the Trustee
may rely and shall be fully protected in relying upon such text prepared by the
Issuer.

 

Each such notice of
redemption shall specify: (i) the aggregate principal amount of Notes to be
redeemed, (ii) the CUSIP number or numbers of the Notes being redeemed, (iii)
the Redemption Date (which shall be a Business Day), (iv) the Redemption Price
at which Notes are to be redeemed, (v) the place or places of payment and that
payment will be made upon presentation and surrender of such Notes, (vi) that
interest accrued and unpaid to, but excluding, the Redemption Date will be paid
as specified in said notice, and that on and after said date interest thereon
or on the portion thereof to be redeemed will cease to accrue, (vii) that the
Holder has a right to exchange the Notes called for redemption, (viii) the
Applicable Exchange Rate on the date of such notice and (ix) the time and date
on which the right to exchange such Notes or portions thereof pursuant to this
Indenture will expire.

 

Without limiting the generality of the foregoing, whenever any Notes
are to be redeemed, the Issuer will give the Trustee written notice of the
Redemption Date, together with an Officers’ Certificate as to the aggregate
principal amount of Notes to be redeemed, not fewer than 5 Business Days prior
(or such shorter period of time as may be acceptable to the Trustee) to the
date the notice of redemption is to be mailed.

 

.

On or prior to the
Redemption Date specified in the notice of redemption given as provided in this
Section 3.02, the Issuer will deposit with the Paying Agent (or, if the Issuer
is acting as its own Paying Agent, set aside, segregate and hold in trust as
provided in Section 4.04) an amount of money in immediately available funds
sufficient to redeem on the Redemption Date all the Notes (or portions thereof)
so called for redemption (other than those theretofore surrendered for
exchange) at the appropriate Redemption Price; provided
that if such payment is made on the Redemption Date, it must be received by the
Paying Agent by 11:00 a.m., New York City time, on such date. The Issuer shall
be entitled to retain any interest, yield or gain on amounts deposited with the
Paying Agent pursuant to this Section 3.02 in excess of amounts required
hereunder to pay the Redemption Price. If any Note called for redemption is
exchanged pursuant hereto prior to such Redemption Date, any money deposited
with the Paying Agent or so segregated and held in trust for the redemption of
such Note shall be paid to the Issuer or, if then held by the Issuer, shall be
discharged from such trust.

 

If less than all of the
outstanding Notes are to be redeemed, the Trustee as instructed in an Issuer
Order shall select the Notes or portions thereof of the Notes in certificated
form to be redeemed (in principal amounts of $1,000 and integral multiples
thereof) on a pro rata basis or by another
method that the Trustee deems fair and appropriate. Global Notes shall be
selected in accordance with the standard procedures of the Depositary. If any
Note selected for redemption is submitted for exchange in part after such
selection, the portion of such Note submitted for exchange shall be deemed (so 

 23
 

 

far as may be possible) to be the portion to be selected for
redemption. The Notes (or portions thereof) so selected for redemption shall be
deemed duly selected for redemption for all purposes hereof, notwithstanding
that any such Note is submitted for exchange in part before the mailing of the
notice of redemption.

 

Upon any redemption of
less than all of the outstanding Notes, the Issuer and the Trustee may (but
need not), solely for purposes of determining the pro rata
allocation among such Notes that are unexchanged and outstanding at the time of
redemption, treat as outstanding any Notes surrendered for exchange during the
period of fifteen (15) calendar days preceding the mailing of a notice of
redemption and may (but need not) treat as outstanding any Note authenticated
and delivered during such period in exchange for the unexchanged portion of any
Note exchanged in part during such period.

 

Section 3.03.  Payment of Notes Called
for Redemption by the Issuer. 
If notice of redemption has been given as provided in Section 3.02, the
Notes or portions of Notes with respect to which such notice has been given
shall, unless exchanged pursuant to the terms hereof, become due and payable on
the Redemption Date and at the place or places stated in such notice at the
Redemption Price, and unless the Issuer shall default in the payment of the
Redemption Price, (a) such Notes will cease to be outstanding and (b) interest
on the Notes or portions of Notes so called for redemption shall cease to
accrue on and after the Redemption Date, and all rights of Holders of such
Notes will terminate except for the right to receive the Redemption Price (or
if the Notes have been surrendered for exchange, the cash and, if applicable,
shares of Common Stock due upon such exchange) and, after the close of business
on the second Business Day immediately preceding the Redemption Date (unless
the Issuer shall default in the payment of the Redemption Price), such Notes
shall cease to be exchangeable pursuant to this Indenture and, except as
provided in Section 11.02, to be entitled to any benefit or security under this
Indenture, and the Holders thereof shall have no right in respect of such Notes
except the right to receive the Redemption Price thereof or, if the Notes have
been tendered for exchange, the cash and, if applicable, shares of Common Stock
due upon such exchange. On presentation and surrender of such Notes at the
place of payment specified in said notice, such Notes or the specified portions
thereof shall be paid and redeemed by the Issuer at the Redemption Price,
together with interest accrued thereon to, but excluding, the Redemption Date.

 

Upon presentation of any
Note redeemed in part only, the Issuer shall execute and upon receipt of such
new Note the Trustee shall authenticate and make available for delivery to the
Holder thereof, at the expense of the Issuer, a new Note or Notes, of
authorized denominations, in principal amount equal to the unredeemed portion
of the Notes so presented.

 

Section 3.04.  Sinking Fund.  There shall be no sinking fund provided for
the Notes.

 24
 

 

 

Section 3.05.  Repurchase at Option of
Holders Upon a Designated Event. 
(a) If there shall occur a Designated Event at any time prior to the
Maturity Date, then each Noteholder shall have the right, at such Holder’s
option, to require the Issuer to repurchase all of such Holder’s Notes, or any
portion thereof that is a multiple of $1,000 principal amount, in cash, on a
date (the “Designated Event Repurchase Date”)
specified by the Issuer, which may be no earlier than fifteen (15) days and no
later than thirty (30) days after the date of the Issuer Repurchase Notice
related to such Designated Event, at a repurchase price equal to 100% of the
principal amount of the Notes being repurchased, plus accrued and unpaid
interest to, but excluding, the Designated Event Repurchase Date (the “Repurchase Price”); provided, however, that if the Designated Event Repurchase Date falls
after a Record Date and on or prior to the corresponding interest payment date,
the Issuer shall pay the full amount of accrued and unpaid interest, if any, on
such interest payment date to the Holder of record at the close of business on
the corresponding Record Date, and the Repurchase Price will be 100% of the
principal amount of the Notes to be repurchased.

 

(b)           On or before the tenth calendar day
after the occurrence of a Designated Event, the Issuer shall give or cause to
be given to all Holders of record on the date of the Designated Event (and to
beneficial owners as required by applicable law) an Issuer Repurchase Notice as
set forth in Section 3.06 with respect to such Designated Event. The Issuer
shall also deliver a copy of the Issuer Repurchase Notice to the Trustee,
Exchange Agent and the Paying Agent at such time as it is given to Noteholders.
In addition to the giving of such Issuer Repurchase Notice, the Issuer shall
disseminate a press release through Dow Jones & Company, Inc. or Bloomberg
Business News announcing the occurrence of such Designated Event or publish
such information in The Wall Street Journal or another newspaper of general
circulation in The City of New York or on the Company’s website, or through
such other public medium as the Issuer shall deem appropriate at such time.

 

No failure of the Issuer
to give the foregoing notices and no defect therein shall limit the
Noteholders’ repurchase rights or affect the validity of the proceedings for
the repurchase of the Notes pursuant to this Section 3.05.

 

(c)            For a Note to be repurchased at the
option of the Holder pursuant to this Section 3.05(c), the Holder must deliver
to the Paying Agent, prior to the close of business on the second Business Day
immediately prior to the Designated Event Repurchase Date, (i) a written notice
of repurchase (the “Designated Event
Repurchase Notice”) in the form set forth on the reverse of the Note
duly completed specifying (A) (if the Note is certificated) the certificate
number of the Note that the Holder will deliver to be repurchased or (if the
Note is represented by a Global Note) that the relevant Designated Event
Repurchase Notice complies with the appropriate Depositary procedures, (B) the
portion of the principal amount of the Note which the Holder will deliver to be
repurchased, which portion must be in principal amounts of $1,000 or an
integral multiple of $1,000 (provided that
the remaining principal amount of Notes not subject to repurchase must be in an
authorized denomination) and (C) that such Note 

 25
 

 

shall be repurchased as of the Designated Event Repurchase Date
pursuant to the terms and conditions specified in the Note and in this
Indenture; together with (ii) such Notes duly endorsed for transfer (if the
Note if certificated) or book-entry transfer of such Note (if such Note is
represented by a Global Note). The delivery of such Note to the Paying Agent
with, or at any time after delivery of, the Designated Event Repurchase Notice
(together with all necessary endorsements) at the office of the Paying Agent
shall be a condition to the receipt by the Holder of the Repurchase Price
therefore; provided, however, that such Repurchase
Price shall be so paid pursuant to this Section 3.05 only if the Notes so
delivered to the Paying Agent shall conform in all respects to the description
thereof in the Designated Event Repurchase Notice. All questions as to the
validity, eligibility (including time of receipt) and acceptance of any Note
for repurchase shall be determined by the Issuer, whose determination shall be
final and binding absent manifest error, and the Trustee may rely and shall be
fully protected in relying on such determination by the Issuer.

 

(d)           The Issuer, if so requested, shall
repurchase from the Holder thereof, pursuant to this Section 3.05, a portion of
a Note, if the principal amount of such portion is $1,000 or an integral
multiple of $1,000. Provisions of this Indenture that apply to the repurchase
of all of a Note also apply to the repurchase of such portion of such Note.

 

(e)            Notwithstanding the foregoing, no
Notes may be repurchased by the Issuer pursuant to this Section 3.05 if the
principal amount of the Notes has been accelerated, and such acceleration has
not been rescinded or cured, on or prior to the relevant Repurchase Date
(except in the case of an acceleration resulting from a default by the Issuer
in the payment of the Repurchase Price pursuant to this Section 3.05 with
respect to the Notes to be repurchased).

 

(f)            The Paying Agent shall promptly
notify the Issuer of the receipt by it of any Designated Event Repurchase
Notice or written notice of withdrawal thereof.

 

Any repurchase by the
Issuer contemplated pursuant to the provisions of this Section 3.05 shall be
consummated by the delivery of the consideration to be received by the Holder
on the later of (x) two (2) Business Days following the time of book-entry
transfer or delivery of such Note to the Paying Agent by the Holder thereof in
the manner required by this Section 3.05 and (y) the Designated Event
Repurchase Date with respect to such Note (provided the Holder has satisfied
the conditions in this Section 3.05). Payment of the Repurchase Price on the
Designated Event Repurchase Date for a Note for which a Designated Event
Repurchase Notice has been delivered and not withdrawn is conditioned upon
book-entry transfer or delivery of the Notes, together with necessary
endorsements, to the Paying Agent prior to the close of business on the second
Business Day prior to the Designated Event Repurchase Date.

 

Section 3.06. Issuer Repurchase Notice. 
(a) The Issuer Repurchase Notice, as provided in Section 3.06(b), shall
be given to Holders in the event of a Designated Event, 

 26
 

 

on or before the tenth calendar day after the occurrence of such a
Designated Event as provided in Section 3.05(b) (the “Issuer
Repurchase Notice Date”).

 

(b)              In connection with any repurchase
of Notes, the Issuer shall, on the applicable Issuer Repurchase Notice Date,
give written notice to Holders (with a copy to the Trustee) setting forth
information specified in this Section (in either case, the “Issuer Repurchase Notice”).

 

Each Issuer Repurchase
Notice shall:

 

(i)             state the Repurchase Price, and the
Designated Event Repurchase Date to which the relevant Issuer Repurchase Notice
relates;

 

(ii)            state, if applicable, the
circumstances constituting the Designated Event;

 

(iii)           state that Holders must exercise
their right to elect to repurchase prior to the close of business on the second
Business Day immediately prior to the Designated Event Repurchase Date;

 

(iv)           include a form of Designated Event
Repurchase Notice;

 

(v)            state the name and address of the
Trustee, the Paying Agent and, if applicable, the Exchange Agent;

 

(vi)           state that Notes must be surrendered
to the Paying Agent to collect the Repurchase Price;

 

(vii)          state that a Holder may withdraw its
Designated Event Repurchase Notice at any time prior to the close of business
on the second Business Day immediately prior to the Designated Event Repurchase
Date, by delivering a valid written notice of withdrawal in accordance with
Section 3.07;

 

(viii)         if the Notes are then exchangeable,
state that Notes as to which the Designated Event Repurchase Notice has been
given may be exchanged only if the Designated Event Repurchase Notice is
withdrawn in accordance with the terms of this Indenture;

 

(ix)            state the amount of interest accrued
and unpaid per $1,000 principal amount of Notes to, but excluding, the Designated
Event Repurchase Date;

 

(x)             state that, unless the Issuer
defaults in making payment of the Repurchase Price, interest on Notes covered
by any Designated Event Repurchase Notice shall cease to accrue on and after
the Designated Event Repurchase Date;

 27
 

 

 

(xi)            state the CUSIP number of the Notes,
if CUSIP numbers are then in use; and

 

(xii)           state the procedures for withdrawing
a Designated Event Repurchase Notice, including a form of notice of withdrawal
(as specified in Section 3.07).

 

An Issuer Repurchase
Notice may be given by the Issuer or, at the Issuer’s Request, the Trustee
shall give such Issuer Repurchase Notice in the Issuer’s name and at the
Issuer’s expense; provided that the text of the
Issuer Repurchase Notice shall be prepared by the Issuer, and the Trustee, in
giving such notice, may rely and shall be fully protected in relying upon such
Issuer Request and shall have no responsibility for text prepared by the
Issuer.

 

If any of the Notes is
represented by a Global Note, then the Issuer will modify such Issuer
Repurchase Notice to the extent necessary to accord with the applicable
procedures of the Depositary that apply to the repurchase of Global Notes, and
the Trustee may rely and shall be fully protected in relying upon such text
prepared by the Issuer.

 

(c)            The Issuer will, to the extent
applicable, comply with the provisions of Rule 13e-4, Rule 14e-1 (or any
successor provision) and other tender offer rules under the Exchange Act that
may be applicable at the time of the repurchase of the Notes, file the related
Schedule TO (or any successor schedule, form or report) under the Exchange Act
and comply with all other applicable federal and state securities laws in
connection with the repurchase of the Notes.

 

Section 3.07.  Effect of Designated Event
Repurchase Notice; Withdrawal. 
Upon receipt by the Paying Agent of the Designated Event Repurchase
Notice, the Holder of the Note in respect of which such Designated Event
Repurchase Notice was given shall (unless such Repurchase Notice is validly
withdrawn in accordance with this Section 3.07) thereafter be entitled to
receive solely the Repurchase Price with respect to such Note.  Such Repurchase Price shall be paid to such
Holder on the later of (x) two (2) Business Days following the time of
book-entry transfer or delivery of such Note to the Paying Agent by the Holder
thereof in the manner required by this Section 3.05 and (y) the Designated
Event Repurchase Date with respect to such Note (provided the Holder has
satisfied the conditions in Section 3.05).

 

Notes in respect of which
a Designated Event Repurchase Notice has been given by the Holder thereof may
not be exchanged pursuant to Article 13 hereof on or after the date of the
delivery of such Designated Event Repurchase Notice unless such Designated
Event Repurchase Notice has first been validly withdrawn.

 

A Designated Event
Repurchase Notice may be withdrawn by means of a written notice of withdrawal
delivered to the office of the Paying Agent at any time prior to the 

 28
 

 

close of business on the second Business Day immediately prior to the
Designated Event Repurchase Date specifying:

 

(a)            the name of the Holder;

 

(b)           the certificate number(s) of all
withdrawn Notes in certificated form or that the notice of withdrawal complies
with appropriate Depositary procedures with respect to all withdrawn Notes
represented by a Global Note;

 

(c)            the principal amount of Notes with
respect to which such notice of withdrawal is being submitted, which must be an
integral multiple of $1,000; and

 

(d)           the principal amount of Notes, if
any, that remains subject to the original Designated Event Repurchase Notice
and that has been or will be delivered for repurchase by the Issuer.

 

If a Designated Event
Repurchase Notice is properly withdrawn, the Issuer shall not be obligated to
repurchase the Notes listed in such Repurchase Notice.

 

Section 3.08.  Deposit of Repurchase
Price.  (a) Prior to 11:00
a.m., New York City time, on the Designated Event Repurchase Date, the Issuer
shall deposit with the Paying Agent or, if the Issuer is acting as the Paying
Agent, shall segregate and hold in trust as provided in Section 4.04 an amount
of cash (in immediately available funds if deposited on the Designated Event
Repurchase Date), sufficient to pay the aggregate Repurchase Price of all the
Notes or portions thereof that are to be repurchased as of the Designated Event
Repurchase Date.

 

(b)           If on the Designated Event Repurchase
Date the Paying Agent holds money sufficient to pay the Repurchase Price of the
Notes that Holders have elected to require the Issuer to repurchase in
accordance with Section 3.05, then, on the Designated Event Repurchase Date
such Notes will cease to be outstanding, interest will cease to accrue and all
other rights of the Holders of such Notes will terminate, other than the right
to receive the Repurchase Price upon delivery or book-entry transfer of the
Note or, if such Notes have been timely tendered for exchange, the cash and, if
applicable, shares of Common Stock due upon such exchange. This will be the
case whether or not book-entry transfer of the Note has been made or the Note
has been delivered to the Paying Agent.

 

Section 3.09.  Notes Repurchased in Part.  Upon presentation of any Note repurchased
only in part, the Issuer shall execute and upon receipt of such new Note or
Notes the Trustee shall authenticate and make available for delivery to the
Holder thereof, at the expense of the Issuer, a new Note or Notes in aggregate
principal amount equal to the unrepurchased portion of the Notes presented
(provided that the unrepurchased portion of the Notes must be in an integral
multiple of $1,000).

 29
 

 

 

Section 3.10.  Repayment to the Issuer. 
Subject to Section 11.04, upon Issuer Request the Paying Agent shall
return to the Issuer any cash that remains unclaimed, held by it for the
payment of the Repurchase Price; provided that
to the extent that the aggregate amount of cash deposited by the Issuer
pursuant to Section 3.08 exceeds the aggregate Repurchase Price of the Notes or
portions thereof which the Issuer is obligated to repurchase as of the
Designated Event Repurchase Date then, unless otherwise agreed in writing with
the Issuer, promptly after the second Business Day following the Designated
Event Repurchase Date the Paying Agent shall return any such excess to the
Issuer, together with interest, if any, thereon.

 

ARTICLE 4

Particular Covenants of the Issuer

 

Section 4.01.  Payment of Principal,
Premium and Interest.  The
Issuer covenants and agrees that it will duly and punctually pay or cause to be
paid when due the principal of (including the Redemption Price upon redemption
or the Repurchase Price upon repurchase, in each case pursuant to Article 3),
and premium, if any, and interest on each of the Notes at the places, at the
respective times and in the manner provided herein and in the Notes.

 

Section 4.02.  Maintenance of Office or
Agency.  The Issuer will
maintain an office or agency in the Borough of Manhattan, where the Notes may
be surrendered for registration of transfer or exchange or for presentation for
payment or for exchange, redemption or repurchase and where notices and demands
to or upon the Issuer in respect of the Notes and this Indenture may be served; provided, however, that the Notes may be so surrendered or
presented instead to the Trustee at the Corporate Trust office at the Holder’s
or Issuer’s option. The Issuer will give prompt written notice to the Trustee
of the location, and any change in the location, of such office or agency. If
at any time the Issuer shall fail to maintain any such required office or
agency or shall fail to furnish the Trustee with the address thereof, such
presentations, surrenders, notices and demands may be made or served at the
Corporate Trust Office.

 

The Issuer may also from
time to time designate co-registrars and one or more offices or agencies where
the Notes may be presented or surrendered for any or all such purposes and may
from time to time rescind such designations. The Issuer will give prompt
written notice to the Trustee of any such designation or rescission and of any
change in the location of any such other office or agency.

 

The Issuer hereby
initially designates the Trustee as Paying Agent, Note Registrar, Custodian and
Exchange Agent and the Corporate Trust Office shall be considered as one such
office or agency of the Issuer for each of the aforesaid purposes. The
provisions of Article 7 of this Indenture shall also apply to the Trustee in
each of its roles as Paying Agent, Note Registrar, Custodian, and Exchange
Agent, respectively.

 

 

 30

 

 

 

So long as the Trustee is
the Note Registrar, the Trustee agrees to mail, or cause to be mailed, at the
expense of the Issuer, the notices set forth in Section 7.08(f). If
co-registrars have been appointed in accordance with this Section, the Trustee
shall mail such notices only to the Issuer and the Holders of Notes it can
identify from its records.

 

Section 4.03.  Appointments to Fill
Vacancies in Trustee’s Office. 
The Issuer, whenever necessary to avoid or fill a vacancy in the office
of Trustee, will appoint, upon the terms and conditions and otherwise as
provided in Section 7.08, a Trustee, so that there shall at all times be a
Trustee hereunder.

 

Section 4.04.  Provisions as to Paying
Agent.  (a) If the Issuer
shall appoint a Paying Agent other than the Trustee, or if the Trustee shall
appoint such a Paying Agent, the Issuer will cause such Paying Agent to execute
and deliver to the Trustee an instrument in which such agent shall agree with
the Trustee, subject to the provisions of this Section 4.04:

 

(i)             that it will hold all sums held by
it as such agent for the payment of the principal of and premium, if any, or
interest on the Notes (whether such sums have been paid to it by the Issuer or
by any other obligor on the Notes) in trust for the benefit of the Holders of
the Notes;

 

(ii)            that it will give the Trustee notice
of any failure by the Issuer (or by any other obligor on the Notes) to make any
payment of the principal of and premium, if any, or interest on the Notes when
the same shall be due and payable; and

 

(iii)           that at any time during the
continuance of an Event of Default, upon request of the Trustee, it will
forthwith pay to the Trustee all sums so held in trust.

 

The Issuer shall, on or
before each due date of the principal of, premium, if any, or interest on the
Notes, deposit with the Paying Agent a sum (in funds which are immediately
available on the due date for such payment) sufficient to pay such principal,
premium, if any, or interest and (unless such Paying Agent is the Trustee) the
Issuer will promptly notify the Trustee of any failure to take such action;
provided that if such deposit is made on the due date, such deposit shall be
received by the Paying Agent by 11:00 a.m. New York City time, on such date.

 

(b)           If the Issuer shall act as its own
Paying Agent, it will, on or before each due date of the principal of, premium,
if any, or interest on the Notes, set aside, segregate and hold in trust for
the benefit of the Holders of the Notes a sum sufficient to pay such principal,
premium, if any, and interest so becoming due and will promptly notify the
Trustee of any failure to take such action and of any failure by the Issuer (or
any other obligor under the Notes) to make any payment of the principal of,
premium, if any, or interest on the Notes when the same shall become due and
payable.

 31
 

 

 

 

(c)            Anything in this Section 4.04 to the
contrary notwithstanding, the Issuer may, at any time, for the purpose of
obtaining a satisfaction and discharge of this Indenture, or for any other
reason, pay or cause to be paid to the Trustee all sums held in trust by the
Issuer or any Paying Agent hereunder as required by this Section 4.04, such
sums to be held by the Trustee upon the trusts herein contained and upon such
payment by the Issuer or any Paying Agent to the Trustee, the Issuer or such
Paying Agent shall be released from all further liability with respect to such
sums.

 

(d)           Anything in this Section 4.04 to the
contrary notwithstanding, the agreement to hold sums in trust as provided in
this Section 4.04 is subject to Section 11.02 and Section 11.03.

 

The Trustee shall not be
responsible for the actions of any other Paying Agents (including the Issuer if
acting as its own Paying Agent) and shall have no control of any funds held by
such other Paying Agents.

 

Section 4.05.  Existence.  Subject to Article 10, each of the Issuer and
the Company will do or cause to be done all things necessary to preserve and
keep in full force and effect its existence all material rights and material
franchises; provided, however, that neither the Issuer nor the Company shall be
required to preserve any such right or franchise if the Issuer or the Board of
Directors, as applicable, shall determine that the preservation thereof is no
longer desirable in the conduct of the business of the Issuer or the Company,
as applicable.

 

Section 4.06. Stay, Extension and Usury Laws.  The Issuer and the Company each 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 usury, stay or extension law wherever enacted, now or at any
time hereafter in force, which may affect the covenants or the performance of
this Indenture; and the Issuer and the Company each (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, but will suffer and permit the execution
of every such power as though no such law had been enacted.

 

Section 4.07.  Compliance Certificate.  The Issuer and the Company will deliver to
the Trustee, within 120 days after the end of each fiscal year, a brief
certificate from the principal executive officer, principal financial officer
or principal accounting officer of the Company as to his or her knowledge of
the Issuer’s and the Company’s compliance with all conditions and covenants
under this Indenture and, in the event of any noncompliance, specifying such
noncompliance and the nature and status thereof. For purposes of this Section
4.07, such compliance shall be determined without regard to any period of grace
or requirement of notice under this Indenture.

 

The Issuer will deliver
to the Trustee, promptly upon becoming aware of (i) any default in the
performance or observance of any covenant, agreement or condition 

 32
 

 

contained in this Indenture, or (ii) any Event of Default, an Officers’
Certificate specifying with particularity such default or Event of Default and
further stating what action the Issuer has taken, is taking or proposes to take
with respect thereto.

 

Any notice required to be
given under this Section 4.07 shall be delivered to a Responsible Officer of
the Trustee at its Corporate Trust Office.

 

Section 4.08.  Additional Interest Notice.  In the event that the Issuer is required to
pay Additional Interest to Holders of Notes pursuant to the Registration Rights
Agreement, the Issuer will provide written notice (“Additional
Interest Notice”) to the Trustee of its obligation to pay Additional
Interest no later than fifteen (15) calendar days prior to the proposed
interest payment date for Additional Interest, and the Additional Interest
Notice shall set forth the amount of Additional Interest to be paid by the
Issuer on such interest payment date. 
The Trustee shall not at any time be under any duty or responsibility to
any Holder of Notes to determine the Additional Interest, or with respect to
the nature, extent or calculation of the amount of Additional Interest when
made, or with respect to the method employed in such calculation of the
Additional Interest.

 

ARTICLE 5

Noteholders’ Lists and Reports by the Issuer and the Trustee

 

Section 5.01.  Noteholders’ Lists.  The Issuer will furnish or cause to be
furnished to the Trustee:

 

(a)            semiannually, not later than 15 days
after the Record Date for interest for the Notes, a list, in such form as the
Trustee may reasonably require, of the names and addresses of the Holders of
Notes as of such Record Date, and

 

(b)           at such other times as the Trustee
may request in writing, within 30 days after the receipt by the Issuer 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, so long as the Trustee is the Note Registrar,
no such list shall be required to be furnished.

 

Section 5.02.  Preservation and
Disclosure of Lists.  Every
Holder of Notes, by receiving and holding the same, agrees with the Issuer and
the Trustee that neither the Issuer nor the Trustee nor any Authenticating
Agent nor any Paying Agent nor any Note Registrar shall be held accountable by
reason of the disclosure of any information as to the names and addresses of
the Holders of Notes in accordance with TIA 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 TIA Section 312(b).

 33
 

 

 

 

Section 5.03.  Reports by Trustee.  The Trustee shall transmit to the Holders of
Notes such reports concerning the Trustee and its actions under this Indenture
as may be required by TIA Section 313 at the times and in the manner provided
by the TIA, which shall initially be not less than every twelve months
commencing on June 1, 2007 and may be dated as of a date up to 75 days prior to
such transmission.  A copy of each such
report shall, at the time of such transmission to Holders of Notes, be filed by
the Trustee with each stock exchange, if any, upon which any Notes are listed,
with the Commission and with the Issuer. 
The Issuer will notify the Trustee when any Notes are listed on any
stock exchange.

 

Section 5.04.  Reports by Issuer.  The Issuer will:

 

(a)            deliver to the Trustee, within 15
days after the Issuer actually files 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 Issuer may be required to
file with the Commission pursuant to Section 13 or Section 15(d) of the
Securities Exchange Act of 1934;

 

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

 

(c)            transmit by mail to the Holders of
Notes, within 30 days after the filing thereof with the Trustee, in the manner
and to the extent provided in TIA Section 313(c), such summaries of any
information, documents and reports required to be filed by the Issuer pursuant
to paragraphs (a) and (b) of this Section as may be required by rules and
regulations prescribed from time to time by the Commission;

 

(d)           until the Maturity Date, provide upon
request the information required by Rule 144A(d)(4) to each Noteholder and to
each beneficial owner and prospective purchaser of Notes and of any shares of
Common Stock delivered upon exchange of the Notes, unless such information has
been furnished to the Commission pursuant to Section 13 or 15(d) of the
Exchange Act; and

 

(e)            be deemed, for purposes of this
Section 5.04, to have furnished or delivered reports to the Noteholders if (i)
such reports are filed with the Commission via the EDGAR filing system and (ii)
such reports are currently available. Delivery of such reports, information and
documents to the Trustee is for informational purposes only and the Trustee’s
receipt of such shall not constitute constructive notice of any information
contained therein or determinable from information contained therein, including
the Issuer’s compliance with any of its covenants hereunder (as to which the
Trustee is entitled to rely exclusively on Officers’ Certificates).

 34
 

 

 

 

ARTICLE 6

Remedies of the Trustee and Noteholders on an Event of Default

 

Section 6.01.  Events of Default.  In case one or more of the following (“Events
of Default”) (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) shall have occurred and
be continuing:

 

(a)            default in the payment of any
interest on the Notes when such interest becomes due and payable, that continues
for a period of 30 days;

 

(b)           default in the payment of the
principal of the Notes or any Repurchase Price or Redemption Price due with
respect to the Notes, when due and payable;

 

 

(c)            failure to deliver cash and, if
applicable, Common Stock within five (5) days after the due date upon an
exchange of Notes pursuant to Article 13, together with any cash due in lieu of
fractional shares;

 

(d)           default in the performance, or
breach, of any of the Issuer’s other covenants or warranties in this Indenture with
respect to the Notes and continuance of such default or breach for a period of
60 days after the Issuer has been given written notice as provided in Section
7.01 by the Trustee or by the Holders of at least 25% in principal amount of
the Notes specifying such default or breach and requiring it to be remedied and
stating that such notice is a “Notice of Default” under Section 7.01;

 

(e)            default under any bond, evidence of
recourse indebtedness of the Issuer, or under any mortgage, indenture or other
instrument under which there may be issued or by which there may be secured or
evidenced any recourse indebtedness for money borrowed by the Issuer (or by any
Subsidiary the repayment of which the Issuer has guaranteed or for which the
Issuer is directly responsible or liable as obligor or guarantor), whether such
indebtedness now exists or shall hereafter be created, which default shall
constitute a failure to pay an aggregate principal amount exceeding $25,000,000
of such indebtedness when due and payable after the expiration of any
applicable grace period and shall have resulted in such indebtedness in an
aggregate principal amount exceeding $25,000,000 becoming or being declared due
and payable prior to the date on which it would otherwise have become due and
payable, without such indebtedness having been discharged, or such acceleration
having been rescinded or annulled, within a period of 15 days after the Issuer
has been given written notice as provided in Section 7.01 by the Trustee or by
the Holders of at least 10% in principal amount of the Notes specifying such
default and requiring the Issuer to cause such indebtedness to be discharged or
cause such acceleration to be rescinded or annulled and stating that such
notice is a “Notice of Default” under Section 7.01;

 35
 

 

 

(f)            the Issuer’s failure to issue notice
of any event described under Section 13.01(a)(iv) of this Indenture as required
under this Indenture and such failure continues for five days;

 

(g)           the Issuer’s failure to provide on a
timely basis an Issuer Repurchase Notice after the occurrence of a Designated
Event as provided in Section 3.05(b) and Section 3.06(b);

 

(h)           the Company, the Issuer, or any of
its Significant Subsidiaries pursuant to or under or within meaning of any
Bankruptcy Law:

 

(i)             commences a voluntary case; or

 

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

 

(iii)           consents to the appointment of any
receiver, trustee, assignee, liquidator or other similar official under any
Bankruptcy Law of it or for all or substantially of its property; or

 

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

 

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

 

(i)             is for relief against the Company,
the Issuer or any of its Significant Subsidiaries in an involuntary case; or

 

(ii)            appoints a trustee, receiver,
liquidator, custodian or other similar official of the Company, the Issuer or
any of its Significant Subsidiaries or for all or substantially all of its
property; or

 

(iii)           orders the liquidation of the
Company, the Issuer or a Significant Subsidiary;

 

and, in each case in this clause (i), the order or decree remains
unstayed and in effect for 90 calendar days;

 

then, and in each and every such case (other than an Event of Default
specified in Section 6.01(h) and Section 6.01(i) with respect to the Issuer),
unless the principal of all of the Notes shall have already become due and
payable, either the Trustee or the Holders of at least 25% in aggregate
principal amount of the Notes then outstanding, by notice in writing to the
Issuer and the Company (and to the Trustee if given by Noteholders), may
declare the principal amount of and premium, if any, and interest accrued and
unpaid on all the Notes to be immediately due and payable, and upon any such
declaration the same shall be immediately due and payable.

 36
 

 

 

 

If an Event of Default
specified in Section 6.01(h) or Section 6.01(i) occurs and is continuing, then
the principal amount of and premium, if any, and interest accrued and unpaid on
all the Notes shall be immediately due and payable without any declaration or
other action on the part of the Trustee or any Holder of Notes.

 

If, at any time after the
principal amount of and premium, if any, and interest on the Notes shall have
been so declared due and payable, and before any judgment or decree for the
payment of the monies due shall have been obtained or entered as hereinafter
provided, Holders of a majority in aggregate principal amount of the Notes then
outstanding on behalf of the Holders of all of the Notes then outstanding, by
written notice to the Issuer and to the Trustee, may waive all defaults or
Events of Default and rescind and annul such declaration and its consequences,
subject in all respects to Section 6.07, if: (a) all Events of Default, other
than the nonpayment of the principal amount and any accrued and unpaid
interest, in each case, that have become due solely because of such
acceleration, have been cured or waived; (b) interest on overdue installments
of interest (to the extent that payment of such interest is lawful) and on
overdue principal, which has become due otherwise than by such declaration of
acceleration, has been deposited with the Trustee; and (c) the Issuer or the
Company has paid the Trustee its reasonable compensation and reimbursed the
Trustee for its expenses, disbursements and advances pursuant to Section 7.06.
No such rescission and annulment shall extend to or shall affect any subsequent
default or Event of Default, or shall impair any right consequent thereon.

 

In case the Trustee shall
have proceeded to enforce any right under this Indenture and such proceedings
shall have been discontinued or abandoned because of such waiver or rescission
and annulment or for any other reason or shall have been determined adversely
to the Trustee, then and in every such case the Issuer, the Holders of Notes,
and the Trustee shall be restored respectively to their several positions and
rights hereunder, and all rights, remedies and powers of the Issuer, the
Holders of Notes, and the Trustee shall continue as though no such proceeding
had been taken.

 

Section 6.02.  Payments of Notes on
Default; Suit Therefor.  The
Issuer covenants that in the case of an Event of Default pursuant to Section
6.01(a) or 6.01(b), upon demand of the Trustee, the Issuer will pay to the
Trustee, for the benefit of the Holders of the Notes, (i) the whole amount that
then shall be due and payable on all such Notes for principal and premium, if
any, or interest, as the case may be, with interest upon the overdue principal
and premium, if any, and (to the extent that payment of such interest is
enforceable under applicable law) upon the overdue installments of accrued and
unpaid interest at the rate borne by the Notes from the required payment date
and, (ii) in addition thereto, any amounts due the Trustee under Section 7.06.
Until such demand by the Trustee, the Issuer may pay the principal of and
premium, if any, and interest on the Notes to the registered Holders, whether
or not the Notes are overdue.

 

In case the Issuer shall
fail forthwith to pay such amounts upon such demand, the Trustee, in its own
name and as trustee of an express trust, shall be entitled and 

 37
 

 

empowered to institute any actions or proceedings at law or in equity
for the collection of the sums so due and unpaid, and may prosecute any such
action or proceeding to judgment or final decree, and may enforce any such
judgment or final decree against the Issuer or any other obligor on the Notes and
collect in the manner provided by law out of the property of the Issuer or any
other obligor on the Notes wherever situated the monies adjudged or decreed to
be payable.

 

In case of the pendency
of any receivership, insolvency, liquidation, bankruptcy, reorganization,
arrangement, adjustment, composition or other judicial proceeding relative to
the Company, the Issuer or any other obligor upon the Notes or the property of
the Company, the Issuer or of such other obligor or their creditors, the
Trustee (irrespective of whether the principal of the Notes 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 Issuer
for the payment of overdue principal (including the Redemption Price or
Repurchase Price upon redemption or repurchase pursuant to Article 3)) shall be
entitled and empowered, by intervention in such proceeding or otherwise: (i) to
file and prove a claim for the whole amount of principal (including the
Redemption Price or Repurchase Price upon redemption or repurchase pursuant to
Article 3) and interest owing and unpaid in respect of the Notes 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 of Notes allowed in such judicial proceeding,
and (ii) to collect and receive any moneys or other property payable or
deliverable on any such claims and to distribute the same; and any custodian,
receiver, assignee, trustee, liquidator, sequestrator (or other similar
official) in any such judicial proceeding is hereby authorized by each Holder of
Notes 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 of Notes,
to pay to the Trustee any amount due to it for the reasonable compensation,
expenses, disbursements and advances of the Trustee and any predecessor
Trustee, their agents and counsel, and any other amounts due the Trustee or any
predecessor Trustee under Section 7.06. Nothing herein contained shall be
deemed to authorize the Trustee to authorize or consent to or accept or adopt
on behalf of any Holder of a Note any plan of reorganization, arrangement,
adjustment or composition affecting the Notes or the rights of any Holder
thereof, or to authorize the Trustee to vote in respect of the claim of any
Holder of Notes in any such proceeding; provided, however, that the Trustee
may, on behalf of the Holders of Notes, vote for the election of a trustee in
bankruptcy or similar official and may be a member of the creditors’ committee.

 

All rights of action and
of asserting claims under this Indenture, or under any of the Notes, may be
enforced by the Trustee without the possession of any of the Notes, or the
production thereof at any trial or other proceeding relative thereto, and any
such suit or proceeding instituted by the Trustee shall be brought in its own
name 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 

 38
 

 

agents and counsel, and any other amounts owed to the Trustee or any
predecessor Trustee under Section 7.06, be for the ratable benefit of the
Holders of the Notes.

 

In any proceedings
brought by the Trustee (and in any proceedings involving the interpretation of
any provision of this Indenture to which the Trustee shall be a party) the
Trustee shall be held to represent all the Holders of the Notes, and it shall
not be necessary to make any Holders of the Notes parties to any such
proceedings.

 

Section 6.03.  Application of Monies
Collected by Trustee.  Any
monies collected by the Trustee pursuant to this Article 6 shall be applied, in
the following order, at the date or dates fixed by the Trustee for the
distribution of such monies, upon presentation of the several Notes, and
stamping thereon the payment, if only partially paid, and upon surrender
thereof, if fully paid:

 

FIRST: To the payment of
costs and expenses of collection, including all sums paid or advanced by the
Trustee hereunder and the reasonable compensation, expenses and disbursements
of the Trustee, its agents and counsel and all other amounts due the Trustee
and any predecessor Trustee under Section 7.06;

 

SECOND: To the payment of
the amounts then due and unpaid upon the Notes for principal (including the
Redemption Price or Repurchase Price upon redemption or repurchase pursuant to
Article 3) 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 aggregate amounts due and payable on the Notes for principal
(including the Redemption Price or Repurchase Price upon redemption or
repurchase pursuant to Article 3) and interest, respectively; and

 

THIRD: To the payment of
the remainder, if any, to the Issuer.

 

The Trustee may fix a
record date and payment date for any such payment to Holders.

 

Section 6.04.  Proceedings by Noteholders.  No Holder of any Note shall have any right by
virtue of or by reference to any provision of this Indenture to institute any
suit, action or proceeding in equity or at law upon or under or with respect to
this Indenture, or for the appointment of a receiver, trustee, liquidator,
custodian or other similar official, or for any other remedy hereunder, except
in the case of a default in the payment of principal, premium, if any, or
interest on the Notes, unless (a) such Holder previously shall have given to
the Trustee written notice of an Event of Default and of the continuance
thereof, as hereinbefore provided, (b) the Holders of at least twenty-five
percent (25%) in aggregate principal amount of the Notes then outstanding shall
have made written request upon the Trustee to institute such action, suit or
proceeding in its own name as Trustee hereunder and shall have offered to the
Trustee such reasonable indemnity as it may require against the costs,
liabilities or expenses to be incurred therein or thereby, (c) the Trustee for
sixty (60) calendar days after its receipt of such notice, 

 39
 

 

request and offer of indemnity, shall have failed to institute any such
action, suit or proceeding and (d) no direction inconsistent with such written
request shall have been given to the Trustee by Holders of a majority in
aggregate principal amount of Notes then outstanding; it being understood and
intended, and being expressly covenanted by the taker and Holder of every Note
with every other taker and Holder and the Trustee, that no one or more Holders
of Notes shall have any right in any manner whatever by virtue of or by
reference to any provision of this Indenture to affect, disturb or prejudice
the rights of any other Holder of Notes, or to obtain or seek to obtain
priority over or preference to any other such Holder, or to enforce any right
under this Indenture, except in the manner herein provided and for the equal,
ratable and common benefit of all Holders of Notes (except as otherwise
provided herein). For the protection and enforcement of this Section 6.04, each
and every Noteholder and the Trustee shall be entitled to such relief as can be
given either at law or in equity.

 

Notwithstanding any other
provision of this Indenture and any provision of any Note, the right of any
Holder of any Note to receive payment of the principal of (including the
Redemption Price or Repurchase Price upon redemption or repurchase pursuant to
Article 3) and premium, if any, and accrued interest on such Note, on or after
the respective due dates expressed in such Note or in the event of redemption
or repurchase, or to institute suit for the enforcement of any such payment on
or after such respective dates against the Issuer shall not be impaired or
affected without the consent of such Holder.

 

Anything contained in
this Indenture or the Notes to the contrary notwithstanding, the Holder of any
Note, without the consent of either the Trustee or the Holder of any other
Note, in its own behalf and for its own benefit, may enforce, and may institute
and maintain any proceeding suitable to enforce, its rights of exchange as
provided in Article 13.

 

Section 6.05.  Proceedings by Trustee.  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 of Notes under this Indenture by such
appropriate judicial proceedings as the Trustee shall deem most effectual to
protect and enforce any such rights, 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 to enforce any other proper remedy.

 

Section 6.06.  Remedies Cumulative and
Continuing.  All powers and
remedies given by this Article 6 to the Trustee or to the Noteholders shall, to
the extent permitted by law, be deemed cumulative and not exclusive of any
thereof or of any other powers and remedies available to the Trustee or the
Holders of the Notes, by judicial proceedings or otherwise, to enforce the
performance or observance of the covenants and agreements contained in this
Indenture, and no delay or omission of the Trustee or of any Holder of any of
the Notes to exercise any right or power accruing upon any default or Event of
Default occurring and continuing as aforesaid shall impair any such right or
power, or 

 40
 

 

shall be construed to be a waiver of any such default or any
acquiescence therein, and, subject to the provisions of Section 6.04, every
power and remedy given by this Article 6 or by law to the Trustee or to the
Noteholders may be exercised from time to time, and as often as shall be deemed
expedient, by the Trustee or by the Noteholders.

 

Section 6.07.  Direction of Proceedings
and Waiver of Defaults by Majority of Noteholders.  The Holders of not less than a majority in
aggregate principal amount of the Notes at the time outstanding 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; provided that (a) such direction shall not be in conflict with any
rule of law or with this Indenture, (b) the Trustee may take any other action
deemed proper by the Trustee which is not inconsistent with such direction, and
(c) the Trustee need not take any action which might involve it in personal
liability or expense for which the Trustee has not received satisfactory
indemnity or be unduly prejudicial to the Holders of Notes not joining therein,
it being understood that (subject to Section 7.02) the Trustee shall have no
duty to ascertain whether or not such actions or forbearance are unduly
prejudicial to such Holders.

 

The Holders of a majority
in aggregate principal amount of the Notes at the time outstanding may, on
behalf of the Holders of all of the Notes, waive any past default or Event of
Default hereunder and its consequences subject to Section 6.01, except (i) a
default in the payment of the principal of (including the Redemption Price or
Repurchase Price upon redemption or repurchase pursuant to Article 3), premium,
if any, or interest on the Notes, (ii) a failure by the Issuer to exchange any
Notes as required by this Indenture or (iii) a default in respect of a covenant
or provisions hereof which under Article 9 cannot be modified or amended
without the consent of the Holders of all Notes then outstanding or each Note
affected thereby.

 

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 Event of Default
or impair any right consequent thereon.

 

Section 6.08.  Undertaking to Pay Costs.  All parties to this Indenture agree, and each
Holder of any Note by its 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
for any action taken or omitted by it as Trustee, 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 and expenses, 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; provided that the provisions of this Section 6.08 (to the
extent permitted by law) shall not apply to any suit instituted by the Trustee,
to any suit instituted by any Noteholder, or group of Noteholders, holding in
the aggregate more than ten percent in principal amount of the Notes at the
time outstanding determined in accordance with 

 41
 

 

Section 8.04, or to any suit instituted by any Noteholder for the
enforcement of the payment of the principal of (including the Redemption Price
or Repurchase Price upon redemption or repurchase pursuant to Article 3), or
interest on any Note on or after the due date expressed in such Note or to any
suit for the enforcement of the right to exchange any Note in accordance with
the provisions of Article 13.

 

ARTICLE 7

The Trustee

 

Section 7.01.  Notice of Defaults.  Within 90 days after the occurrence of any
default hereunder, the Trustee shall transmit, in the manner and to the extent
provided in TIA Section 313(c), notice of such default hereunder actually known
to a Responsible Officer of the Trustee, unless a Responsible Officer of the
Trustee shall have actual knowledge that 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 (including the Redemption Price or Repurchase Price upon
redemption or repurchase pursuant to Article 3) or interest on any Note or a
default with respect to the Issuer’s obligation to deliver, upon exchange, cash
and shares of Common Stock, if applicable, the Trustee shall be protected in
withholding such notice if and so long as Responsible Officers of the Trustee
in good faith determine that the withholding of such notice is in the interests
of the Holders of the Notes; and provided further that in the case of any
default or breach of the character specified in Section 6.01(d), no such notice
to Holders of Notes shall be given until at least 60 days after the occurrence
thereof.

 

Section 7.02.  Certain Rights of Trustee.  Subject to the provisions of TIA Section
315(a) through 315(d):

 

(a)            the Trustee may rely and shall be
protected in acting or refraining from acting upon any resolution, Officers’
Certificate, Issuer Request, Issuer Order, written request or order of the
Issuer, certificate, statement, calculations, instrument, Opinion of Counsel,
opinion, report, notice, request, direction, consent, order, bond, debenture,
note, coupon or other paper or document believed by it to be genuine and to
have been signed or presented by the proper party or parties;

 

(b)           any request or direction of the
Issuer mentioned herein shall be sufficiently evidenced by an Issuer Request,
Issuer Order, or written request or order of the Issuer (other than delivery of
any Note to the Trustee for authentication and delivery pursuant to  Sections 2.01 and 2.04 which shall be
sufficiently evidenced as provided therein) and any resolution or determination
of the Board of Directors may be sufficiently evidenced by a Board Resolution;

 

(c)            whenever in the administration of
this Indenture the Trustee shall deem it desirable that a matter be proved or
established prior to taking, suffering or omitting any 

 42
 

 

action hereunder, the Trustee (unless other evidence be herein
specifically prescribed) may, in the absence of bad faith on its part, require
and rely upon an Officers’ Certificate;

 

(d)           before the Trustee acts or refrains
from acting, the Trustee may consult with counsel and the 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;

 

(e)            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 of Notes pursuant
to this Indenture, unless such Holders shall have offered to the Trustee
security or indemnity reasonably satisfactory to the Trustee against the costs,
expenses and liabilities which might be incurred by it in compliance with such
request or direction;

 

(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, bond, debenture, note, coupon or other paper or
document, unless requested in writing so to do by the Holders of not less than
a majority in aggregate principal amount of the Outstanding Notes; provided that, if the payment within a reasonable time to
the Trustee of the costs, expenses or liabilities likely to be incurred by it
in the making of such investigation is, in the opinion of the Trustee, not
reasonably assured to the Trustee by the security afforded to it by the terms
of this Indenture, the Trustee may require reasonable indemnity against such
expenses or liabilities as a condition to proceeding; the reasonable expenses
of every such examination shall be paid by the Holders or, if paid by the
Trustee, shall be repaid by the Holders upon demand. The Trustee, in its
discretion, may make such further inquiry or investigation into such facts or
matters as it may see 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 Issuer, relevant to the facts or matters that are
the subject of its inquiry, 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)           the Trustee shall not be liable for
any action taken, suffered or omitted by it in good faith and reasonably
believed by it to be authorized or within the discretion or rights or powers
conferred upon it by this Indenture;

 

(i)             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;

 43
 

 

 

(j)             the Trustee shall not be required
to give any bond or surety in respect of the performance of its powers and
duties hereunder;

 

(k)            the permissive rights of the Trustee
to do things enumerated in this Indenture shall not be construed as a duty and
the Trustee shall not be answerable for other than its negligence or willful
misconduct; and

 

(l)             except for any event of which a
Responsible Officer of the Trustee has “actual knowledge” and which event, with
the giving of notice or the passage of time or both, would constitute an Event
of Default under this Indenture, the Trustee shall not be deemed to have notice
of any default or Event of Default unless specifically notified in writing of
such event by the Issuer or the Holders of not less than 25% in aggregate
principal amount of the Notes then outstanding; as used herein, the term
“actual knowledge” means the actual fact or state of knowing, without any duty
to make any investigation with regard thereto.

 

The Trustee shall not be
required 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, if it shall have reasonable grounds for
believing that repayment of such funds or adequate indemnity against such risk
or liability is not reasonably assured to it. Except during the continuance of
an Event of Default, the Trustee undertakes to perform only such duties as are
specifically to be performed by it as set forth in this Indenture, and no
implied covenants or obligations shall be read into this Indenture against the
Trustee.

 

The Trustee shall not be
obligated to perform any obligation hereunder and shall not incur any liability
for the nonperformance or breach of any obligation hereunder to the extent that
the Trustee is delayed in performing, unable to perform or breaches such
obligation because of acts of God, war, terrorism, fire, floods, strikes,
electrical outages, equipment or transmission failures, or other causes
reasonably beyond its control, it being understood that the Trustee shall use
commercially reasonable efforts consistent with accepted practices for
corporate trustees to maintain performance without delay or resume performance
as soon as reasonably practicable under the circumstances.

 

The Issuer will provide
any information reasonably requested by the Trustee, the Exchange Agent, or any
Paying Agent in order to comply with any applicable tax reporting requirements
relating to the Notes.

 

All of the benefits,
protections, privileges, immunities, indemnities, and rights under this
Indenture that apply to the Trustee also apply to The Bank of New York Trust
Company, N.A., in its individual capacity and in its respective other
capacities hereunder (including, without limitation, as Note Registrar, Paying
Agent, Exchange Agent, and Custodian).

 

 

 44

 

Section 7.03.  Not Responsible for Recitals or Issuance of
Notes. The recitals contained herein and in the Notes, except the
Trustee’s certificate of authentication, shall be taken as the statements of
the Issuer, and neither the Trustee nor any Authenticating Agent assumes any
responsibility for their correctness. The Trustee makes no representations as
to the validity or sufficiency of this Indenture or of the Notes or of the
Common Stock, the Common Stock Delivery Agreement, the Offering Memorandum, or
the Registration Rights Agreement except that the Trustee represents that it is
duly authorized to execute and deliver this Indenture, authenticate the Notes
and perform its obligations hereunder. Neither the Trustee nor any
Authenticating Agent shall be accountable for the use or application by the
Issuer of Notes or the proceeds thereof.

Section 7.04.  May Hold Notes and Common Stock. The Trustee, any Paying
Agent, Exchange Agent, Note Registrar, the Custodian, Authenticating Agent or
any other agent of the Issuer and their affiliates, in its individual or any
other capacity, may become the owner or pledgee of Notes or Common Stock and,
subject to TIA Sections 310(b) and 311, may otherwise deal with the Issuer and
the Company with the same rights it would have if it were not Trustee, Paying
Agent, Exchange Agent, Security Registrar, Authenticating Agent or such other
agent.

Section 7.05. Money Held in Trust.
Money held by the Trustee in trust hereunder need not be segregated from other
funds except to the extent required by law. The Trustee shall be under no
liability for interest on any money received by it hereunder except as
otherwise agreed with the Issuer in writing.

Section 7.06. Compensation and
Reimbursement. The Issuer and the Company agree:

(a)           to
pay to the Trustee from time to time, and the Trustee shall be entitled to,
reasonable compensation for all services rendered by it hereunder (which
compensation shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust);

(b)           to
reimburse each of the Trustee and any predecessor Trustee upon its request for
all reasonable expenses, disbursements and advances incurred or made by the
Trustee in accordance with any provision of this Indenture (including the reasonable
compensation and the reasonable expenses and disbursements of its agents and
counsel), except any such expense, disbursement or advance as may be
attributable to its negligence or willful misconduct; and

(c)           to
indemnify each of the Trustee (including its officers, agents, and employees)
and any predecessor Trustee for, and to hold it harmless against, any loss,
liability or expense incurred without negligence or willful misconduct on its
part, arising out of or in connection with the acceptance or administration of
the trust or trusts hereunder, including the costs and expenses of defending
itself against or investigating

 45
 

 

any claim or liability in
connection with the exercise or performance of any of its powers or duties
hereunder.

When the Trustee incurs expenses or renders services
in connection with an Event of Default specified in Sections 6.01(h) or
6.01(i), the expenses (including the reasonable charges and expenses of its
counsel) and the compensation for the services are intended to constitute
expenses of administration under any applicable federal or state bankruptcy,
insolvency or other similar law.

As security for the performance of the obligations of
the Issuer under this Section, the Trustee shall have a lien prior to the Notes
upon all property and funds held or collected by the Trustee as such, except
funds held in trust for the payment of principal of (including the Redemption
Price or Repurchase Price upon redemption or repurchase pursuant to Article 3)
or interest on any Notes. The provisions of this Section shall survive the
termination of this Indenture, the payment or exchange of the Notes, and the
resignation or removal of the Trustee.

Section 7.07.  Corporate Trustee Required; Eligibility;
Conflicting Interests. There shall at all times be a Trustee
hereunder which shall be eligible to act as Trustee under TIA Section 310(a)(1)
and shall have a combined capital and surplus of at least $50,000,000. If such
corporation publishes reports of condition at least annually, pursuant to law or
the requirements of federal, state, 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. Neither the Issuer nor any Person directly or
indirectly controlling, controlled by, or under common control with the Issuer
shall serve as Trustee. If at any time the Trustee shall cease to be eligible
in accordance with the provisions of this Section, it shall resign immediately
in the manner and with the effect hereinafter specified in this Article.

Section 7.08.  Resignation and Removal; Appointment of
Successor.

(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 in accordance with the applicable
requirements of Section 7.09.

(b)           The
Trustee may resign at any time by giving written notice thereof to the Issuer.
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 petition any court of competent
jurisdiction for the appointment of a successor Trustee.

 46
 

 

(c)           The
Trustee may be removed at any time by Act of the Holders of a majority in
principal amount of the Outstanding Notes delivered to the Trustee and to the
Issuer.

(d)           If
at any time:

(i)            the
Trustee shall fail to comply with the provisions of TIA Section 310(b) after
written request therefor by the Issuer or by any Holder of a Note who has been
a bona fide Holder of a Note for at least six months, or

(ii)           the
Trustee shall cease to be eligible under Section 7.07 and shall fail to resign
after written request therefor by the Issuer or by any Holder of a Note who has
been a bona fide Holder of a Note for at least six months, or

(iii)          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 such case,
(A) the Issuer by or pursuant to a Board Resolution may remove the Trustee and
appoint a successor Trustee, or (B) subject to TIA Section 315(e), any Holder
of a Note who has been a bona fide Holder of a Note 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 or Trustees.

(e)           If
the Trustee shall resign, be removed or become incapable of acting, or if a
vacancy shall occur in the office of Trustee for any cause, the Issuer, by or
pursuant to a Board Resolution, shall promptly appoint a successor Trustee or
Trustees. If, within one year after such resignation, removal or incapability,
or the occurrence of such vacancy, a successor Trustee shall be appointed by
Act of the Holders of a majority in principal amount of the Outstanding Notes
delivered to the Issuer and the retiring Trustee, the successor Trustee so
appointed shall, forthwith upon its acceptance of such appointment, become the
successor Trustee and to that extent supersede the successor Trustee appointed
by the Issuer. If no successor Trustee shall have been so appointed by the
Issuer or the Holders of Notes and accepted appointment in the manner
hereinafter provided, any Holder of a Note who has been a bona fide Holder of a
Note for at least six months may, on behalf of himself and all others similarly
situated, petition any court of competent jurisdiction for the appointment of a
successor Trustee.

(f)            The
Issuer shall give notice of each resignation and each removal of the Trustee
and each appointment of a successor Trustee by mailing or causing to be mailed
such notice to the Holders of Notes as they appear on the Note Register. Each
notice shall include the name of the successor Trustee and the address of its
Corporate Trust Office.

 47
 

 

Section 7.09.  Acceptance of Appointment By Successor.  (a) In case of the appointment
hereunder of a successor Trustee, every such successor Trustee so appointed
shall execute, acknowledge and deliver to the Issuer 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; but, on
request of the Issuer or the successor Trustee, such retiring Trustee shall, upon
payment of its charges, execute and deliver an instrument transferring to such
successor Trustee all the rights, powers and trusts of the retiring Trustee,
and shall duly assign, transfer and deliver to such successor Trustee all
property and money held by such retiring Trustee hereunder, subject
nevertheless to its claim, if any, provided for in Section 7.06.

(b)           In
case of the appointment hereunder of a successor Trustee, the Issuer, the
retiring Trustee and each successor Trustee shall execute and deliver an
indenture supplemental hereto, pursuant to Article 9 hereof, wherein each
successor Trustee shall accept such appointment and which (i) shall contain
such provisions as shall be necessary or desirable to transfer and confirm to,
and to vest in, each successor Trustee all the rights, powers, trusts and
duties of the retiring Trustee to which the appointment of such successor
Trustee relates, (ii) if the retiring Trustee is not retiring with respect to
all Notes, 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 as to which the retiring Trustee is not retiring shall
continue to be vested in the retiring Trustee, and (iii) 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, trust sand duties
of the retiring Trustee to which the appointment of such successor Trustee
relates; but, on request of the Issuer 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 to which the
appointment of such successor Trustee relates.

(c)           Upon
request of any such successor Trustee, the Issuer 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 paragraph
(a) or (b) of this Section 7.09, as the case may be.

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

 48
 

 

Section 7.10.  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 otherwise qualified and eligible under this Article, without the
execution or filing of any paper or any further act on the part of any of the
parties hereto. In case any Notes shall have been authenticated, but not
delivered, by the Trustee then in office, any successor by merger, conversion
or consolidation to such authenticating Trustee may adopt such authentication
and deliver the Notes so authenticated with the same effect as if such
successor Trustee had itself authenticated such Notes. In case any Notes shall
not have been authenticated by such predecessor Trustee, any such successor
Trustee may authenticate and deliver such Notes, in either its own name or that
of its predecessor Trustee, with the full force and effect which this Indenture
provides for the certificate of authentication of the Trustee.

Section 7.11.  Appointment of Authenticating Agent. At any time when any of
the Notes remain Outstanding, the Trustee may appoint an Authenticating Agent
or Agents which shall be authorized to act on behalf of the Trustee to
authenticate Notes issued upon exchange, registration of transfer or partial
redemption or repayment thereof, and Notes so authenticated shall be entitled
to the benefits of this Indenture and shall be valid and obligatory for all
purposes as if authenticated by the Trustee hereunder. Any such appointment
shall be evidenced by an instrument in writing signed by a Responsible Officer
of the Trustee, a copy of which instrument shall be promptly furnished to the
Issuer.  Wherever reference is made in
this Indenture to the authentication and delivery of Notes by the Trustee or
the Trustee’s certificate of authentication, such reference shall be deemed to
include authentication and delivery on behalf of the Trustee by an Authenticating
Agent and a certificate of authentication executed on behalf of the Trustee by
an Authenticating Agent. Each Authenticating Agent shall be acceptable to the
Issuer and shall at all times be a bank or trust company or corporation
organized and doing business and in good standing under the laws of the United
States of America or of any state or the District of Columbia, authorized under
such laws to act as Authenticating Agent, having a combined capital and surplus
of not less than $50,000,000 and subject to supervision or examination by
Federal or state authorities. If such Authenticating Agent publishes reports of
condition at least annually, pursuant to law or the requirements of the
aforesaid supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such Authenticating Agent shall be
deemed to be its combined capital and surplus asset forth in its most recent
report of condition so published. In case at any time an Authenticating Agent
shall cease to be eligible in accordance with the provisions of this Section,
such Authenticating Agent shall resign immediately in the manner and with the
effect specified in this Section.

Any corporation into which an Authenticating Agent may
be merged or converted or with which it may be consolidated, or any corporation
resulting from any merger, conversion or consolidation to which such
Authenticating Agent shall be a party, or any

 49
 

 

corporation succeeding to
the corporate agency or corporate trust business of an Authenticating Agent,
shall continue to be an Authenticating Agent, provided
such corporation shall be otherwise eligible under this Section, without the
execution or filing of any paper or further act on the part of the Trustee or
the Authenticating Agent.

An Authenticating Agent may at any time resign by
giving written notice of resignation to the Trustee and to the Issuer. The
Trustee may at any time terminate the agency of an Authenticating Agent by
giving written notice of termination to such Authenticating Agent and to the
Issuer. Upon receiving such a notice of resignation or upon such a termination,
or in case at any time such Authenticating Agent shall cease to be eligible in
accordance with the provisions of this Section, the Trustee may appoint a
successor Authenticating Agent which shall be acceptable to the Issuer and
shall give notice of such appointment to all Holders of Notes by mailing or
causing to be mailed such notice to the Holders of Notes as they appear on the
Note Register. Any successor Authenticating Agent upon acceptance of its
appointment hereunder shall become vested with all the rights, powers and
duties of its predecessor hereunder, with like effect as if originally named as
an Authenticating Agent herein. No successor Authenticating Agent shall be
appointed unless eligible under the provisions of this Section.

The Issuer agrees to pay to each Authenticating Agent
from time to time reasonable compensation including reimbursement of its
reasonable expenses for its services under this Section.

If an appointment is made pursuant to this Section,
the Notes may have endorsed thereon, in addition to or in lieu of the Trustee’s
certificate of authentication, an alternate certificate of authentication
substantially in the following form:

This is one of the Notes designated therein referred
to in the within-mentioned Indenture.

	
  

  	
  The Bank of New York Trust Company, N.A., 

  
	
   

  	
     as Trustee

  
	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   as Authenticating Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   Authorized Signatory

  

 

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Section 7.12. Certain Duties and Responsibilities of
the Trustee.

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

(i)            the
Trustee undertakes to perform such duties and only such duties as are
specifically to be performed by it as set forth in this Indenture, and no
implied covenants or obligations shall be read into this Indenture against the
Trustee; and

(ii)           in
the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed
therein, upon certificates or opinions furnished to the Trustee and conforming
to the requirements of this Indenture; but in the case of any such certificates
or opinions which by any provision hereof are specifically required to be
furnished to the Trustee, the Trustee shall be under a duty to examine the same
to determine whether or not they conform to the requirements of this Indenture,
but shall not be under any duty to verify the contents or accuracy thereof.

(b)           In
case 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 their exercise, as a prudent man would
exercise or use under the circumstances in the conduct of his own affairs.

(c)           No
provision of this Indenture shall be construed to relieve the Trustee from
liability for its own negligent action, its own negligent failure to act, or
its own willful misconduct, except that:

(i)            this
Subsection shall not be construed to limit the effect of Subsection (a) of this
Section;

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

(iii)          the
Trustee shall not be liable with respect to any action taken or omitted to be
taken by it in good faith in accordance with the direction of the Holders of a
majority in principal amount of the Outstanding Notes relating to the time,
method and place of conducting any proceeding for any remedy available to the
Trustee, or exercising any trust or power conferred upon the Trustee, under
this Indenture; and

(iv)          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, if it
shall have reasonable grounds for believing that repayment of such funds or
adequate indemnity against such risk or liability is not reasonably assured to
it.

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(d)           Whether
or not therein expressly so provided, every provision of this Indenture
relating to the conduct or affecting the liability of or affording protection
to the Trustee shall be subject to the provisions of this Section 7.12.

ARTICLE
8

The Noteholders

Section 8.01.  Action by Noteholders.  Whenever in this Indenture it is
provided that the Holders of a specified percentage in aggregate principal
amount of the Notes may take any action (including the making of any demand or
request, the giving of any notice, consent or waiver or the taking of any other
action), the fact that, at the time of taking any such action, the Holders of
such specified percentage have joined therein may be evidenced (a) by any
instrument or any number of instruments of similar tenor executed by
Noteholders in person or by agent or proxy appointed in writing, or (b) by the
record of the Holders of Notes voting in favor thereof at any meeting of
Noteholders, or (c) by a combination of such instrument or instruments and any
such record of such a meeting of Noteholders. Whenever the Issuer or the
Trustee solicits the taking of any action by the Holders of the Notes, the
Issuer or the Trustee may fix in advance of such solicitation a date as the
record date for determining Holders entitled to take such action. Such record
date shall be the record date specified in or pursuant to such Board
Resolution, which shall be a date not earlier than the date 30 days prior to
the first solicitation of Noteholders generally in connection therewith and not
later than the 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 Noteholders of record at
the close of business on such record date shall be deemed to be Noteholders for
the purposes of determining whether Holders of the requisite proportion of
outstanding Notes have authorized or agreed or consented to such request,
demand, authorization, direction, notice, consent, waiver or other act, and for
that purpose the outstanding notes shall be computed as of such record date; provided that no such authorization, agreement or consent by
the Noteholders on such record date shall be deemed effective unless it shall
become effective pursuant to the provisions of this Indenture not later than
eleven months after the record date.

Section 8.02.  Proof of Execution by Noteholders.  Subject to the provisions of
Sections 7.02 and 7.12, proof of the execution of any instrument by a
Noteholder or its agent or proxy shall be sufficient if made in accordance with
such reasonable rules and regulations as may be prescribed by the Trustee or in
such manner as shall be satisfactory to the Trustee. The holding of Notes shall
be proved by the registry of such Notes or by a certificate of the Note
Registrar.

Section 8.03.  Absolute Owners.  The Issuer, the Trustee, any
Paying Agent, any exchange agent and any Note Registrar may deem the Person in
whose name such Note shall be registered upon the Note Register to be, and may
treat it as, the absolute owner of such Note (whether or not such Note shall be
overdue and notwithstanding any notation

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of ownership or other
writing thereon made by any Person other than the Issuer or any Note Registrar)
for the purpose of receiving payment of or on account of the principal of
(including the Redemption Price or Repurchase Price upon redemption or
repurchase pursuant to Article 3), premium, if any, and interest on such Note,
for exchange of such Note and for all other purposes; and neither the Issuer
nor the Trustee nor any Paying Agent nor any exchange agent nor any Note
Registrar shall be affected by any notice to the contrary. All such payments so
made to any Holder for the time being, or upon its order, shall be valid, and,
to the extent of the sum or sums so paid, effectual to satisfy and discharge
the liability for monies payable upon any such Note.

Section 8.04.  Issuer-owned Notes Disregarded.  In determining whether the Holders
of the requisite aggregate principal amount of Notes have given any request,
demand, authorization, direction, notice, consent or waiver under this Indenture
or whether a quorum is present a meeting of Noteholders, Notes that are owned
by the Issuer or any other obligor upon the Notes or any Affiliate of the
Issuer or any other obligor on the Notes shall be disregarded and deemed not to
be outstanding for the purpose of any such determination; provided
that for the purposes of determining whether the Trustee shall be protected in
relying on any such direction, consent, waiver or other action, only Notes
which a Responsible Officer of the Trustee actually knows are so owned shall be
so disregarded. Notes so owned which have been pledged in good faith may be
regarded as outstanding for the purposes of this Section 8.04 if the pledgee
shall establish to the satisfaction of the Trustee the pledgee’s right to vote
such Notes and that the pledgee is not the Issuer, any other obligor on the
Notes or any Affiliate of the Issuer or any such other obligor. In the case of
a dispute as to such right, any decision by the Trustee taken upon the advice
of counsel shall be full protection to the Trustee. Upon request of the
Trustee, the Issuer shall furnish to the Trustee promptly an Officers’
Certificate listing and identifying all Notes, if any, known by the Issuer to
be owned or held by or for the account of any of the above described Persons,
and, subject to Section 7.12, the Trustee shall be entitled to accept such
Officers’ Certificate as conclusive evidence of the facts therein set forth and
of the fact that all Notes not listed therein are outstanding for the purpose
of any such determination.

Section 8.05.  Revocation of Consents; Future Holders
Bound.  At any time prior to
(but not after) the evidencing to the Trustee, as provided in Section 8.01, of
the taking of any action by the Holders of the percentage in aggregate
principal amount of the Notes specified in this Indenture in connection with
such action, any Holder of a Note which is shown by the evidence to be included
in the Notes the Holders of which have consented to such action may, by filing
written notice with the Trustee at its Corporate Trust Office and upon proof of
holding as provided in Section 8.02, revoke such action so far as concerns such
Note. Except as aforesaid, any such action taken by the Holder of any Note
shall be conclusive and binding upon such Holder and upon all future Holders
and owners of such Note and of any Notes issued in exchange or substitution
therefor, irrespective of whether any notation in regard thereto is made upon
such Note or any Note issued in exchange or substitution therefor.

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ARTICLE
9

Supplemental Indentures

Section 9.01.  Supplemental Indentures Without Consent of
Noteholders.  The Issuer, when
authorized by the resolutions of the Board of Directors, the Company, the
Issuer and the Trustee may, from time to time, and at any time enter into an
indenture or indentures supplemental without the consent of any Holder of the
Notes hereto for any of the following purposes:

(a)           to
evidence a successor to the Issuer as obligor or to the Company under this
Indenture;

(b)           to
add Events of Default for the benefit of the Holders of the Notes;

(c)           to
secure the Notes;

(d)           to
provide for the acceptance of appointment of a successor Trustee or facilitate
the administration of the trusts under this Indenture by more than one Trustee;

(e)           to
cure any ambiguity, defect or inconsistency in this Indenture; provided that this action shall not materially adversely
affect the interests of the Holders of the Notes in any respect; provided that no modification or amendment to cure any
ambiguity, defect or inconsistency in the indenture or the Notes made solely to
conform the indenture to the “Description of Notes” contained in the Offering
Memorandum will be deemed to adversely affect the interests of the holders of
the Notes;

(f)            to
amend or supplement any provisions of this Indenture; provided
that no amendment or supplement shall materially adversely affect the interests
of the Holders of any Notes then outstanding;

(g)           to
add to the covenants of the Issuer or the Company for the benefit of the
Holders of the Notes or to surrender any right or power conferred upon the
Issuer or the Company in this Indenture or in the Notes;

(h)           to
provide for Global Notes in addition to or in place of Certificated Notes, as
provided in this Indenture; and

(i)            to
modify this Indenture and the Notes to increase the Exchange Rate or reduce the
Exchange Price; provided that the increase or
reduction, as the case may be, is in accordance with the terms of the Notes or
will not adversely affect the interests of the Holders of the Notes.

Upon the written request of the Issuer, accompanied by
a copy of the resolutions of the Board of Directors certified by the Company’s
Secretary or Assistant Secretary authorizing the execution of any supplemental
indenture, the Trustee is hereby authorized to join with the Issuer and the
Company in the execution of any such supplemental

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indenture, to make any
further appropriate agreements and stipulations that may be therein contained
and to accept the conveyance, transfer and assignment of any property
thereunder, but the Trustee shall not be obligated to, but may in its
discretion, enter into any supplemental indenture that affects the Trustee’s
own rights, duties or immunities under this Indenture or otherwise.

Any supplemental indenture authorized by the
provisions of this Section 9.01 may be executed by the Issuer, the Company and
the Trustee without the consent of the Holders of any of the Notes at the time
outstanding, notwithstanding any of the provisions of Section 9.02.

Section 9.02.  Supplemental Indenture With Consent of
Noteholders.  With the consent
(evidenced as provided in Article 8) of the Holders of not less than a majority
in aggregate principal amount of the Notes at the time outstanding, the
Company, when authorized by the resolutions of the Board of Directors, the
Issuer and the Trustee may, from time to time and at any time, enter into an
indenture or indentures supplemental hereto for the purpose of adding any
provisions to or changing in any manner or eliminating any of the provisions of
this Indenture or any supplemental indenture or modifying in any manner the
rights of the Holders of the Notes; provided that
no such supplemental indenture shall, without the consent of the Holder of each
Note so affected:

(a)           change
the Maturity Date of the principal of or any installment of interest on the
Notes, reduce the principal amount of, or the rate or amount of interest on, or
any premium payable on redemption of, the Notes, or adversely affect any right
of repayment of the Holder of the Notes, change the place of payment, or the
coin or currency, for payment of principal of or interest on any Note or impair
the right to institute suit for the enforcement of any payment on or with
respect to the Notes;

(b)           reduce
the percentage in principal amount of the outstanding Notes necessary to modify
or amend this Indenture as provided in this Section 9.02, to waive compliance
with certain provisions of this Indenture or certain defaults and their
consequences provided in this Indenture, or to reduce the quorum or change
voting requirements set forth in this Indenture;

(c)           modify
or affect in any manner adverse to the Holders of the Notes the terms and
conditions of the obligations of the Company in respect of the payments of
principal and interest;

(d)           modify
any of this Section 9.02 or any of the provisions relating to the waiver of
certain past defaults or certain covenants, except to increase the required
percentage to effect the action or to provide that certain other provisions may
not be modified or waived without the consent of the Holders of the Notes;

(e)           change
the ranking of the Notes;

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(f)            modify
the provisions of Section 3.05 in a manner adverse to the Holders of the Notes,
including the Issuer’s obligation to repurchase the Notes following a
Designated Event; or

(g)           adversely
affect the rights of Holders of the Notes contained in Section 13.01 of this
Indenture.

Upon the written request of the Issuer, accompanied by
a copy of the resolutions of the Board of Directors certified by the Company’s
Secretary or Assistant Secretary authorizing the execution of any supplemental
indenture, and upon the filing with the Trustee of evidence of the consent of
Noteholders as aforesaid, the Trustee shall join with the Issuer and the
Company in the execution of such supplemental indenture unless such
supplemental indenture affects the Trustee’s own rights, duties or immunities
under this Indenture or otherwise, in which case the Trustee may in its
discretion, but shall not be obligated to, enter into such supplemental
indenture.

It shall not be necessary for the consent of the
Noteholders under this Section 9.02 to approve the particular form of any
proposed supplemental indenture, but it shall be sufficient if such consent
shall approve the substance thereof.

Section 9.03.  Effect of Supplemental Indenture.  Upon the execution of any
supplemental indenture pursuant to the provisions of this Article 9, this
Indenture shall be and be deemed to be modified and amended in accordance
therewith and the respective rights, limitation of rights, obligations, duties
and immunities under this Indenture of the Trustee, the Issuer and the Holders
of Notes shall thereafter be determined, exercised and enforced hereunder,
subject in all respects to such modifications and amendments and all the terms
and conditions of any such supplemental indenture shall be and be deemed to be
part of the terms and conditions of this Indenture for any and all purposes.

Section 9.04.  Notation on Notes.  Notes authenticated and delivered
after the execution of any supplemental indenture pursuant to the provisions of
this Article 9 may bear a notation in form approved by the Trustee as to any
matter provided for in such supplemental indenture. If the Issuer or the
Trustee shall so determine, new Notes so modified as to conform, in the opinion
of the Trustee and the Board of Directors, to any modification of this
Indenture contained in any such supplemental indenture may, at the Issuer’s
expense, be prepared and executed by the Issuer, authenticated by the Trustee
(or an authenticating agent duly appointed by the Trustee pursuant to Section
7.11) and delivered in exchange for the Notes then outstanding, upon surrender
of such Notes then outstanding.

Section 9.05.  Evidence of Compliance of Supplemental
Indenture to Be Furnished to Trustee.  Prior
to entering into any supplemental indenture pursuant to this Article 9, the
Trustee shall be provided with an Officers’ Certificate and an Opinion of
Counsel as conclusive evidence that any supplemental indenture executed
pursuant hereto

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complies with the
requirements of this Article 9 and is otherwise authorized or permitted by this
Indenture.

ARTICLE
10

Consolidation, Merger, Sale, Conveyance and Lease

Section 10.01.  Issuer May Consolidate on Certain Terms.  Nothing contained in this
Indenture or in the Notes shall prevent any consolidation or merger of the
Issuer with or into any other Person or Persons (whether or not affiliated with
the Issuer), or successive consolidations or mergers in which either the Issuer
will be the continuing entity or the Issuer or its successor or successors
shall be a party or parties, or shall prevent any sale, lease or conveyance, of
all or substantially all of the property of the Issuer, to any other Person
(whether or not affiliated with the Issuer) so long as the following conditions
are met:

(a)           the
Issuer shall be the continuing entity, or the successor entity (if other than
the Issuer) formed by or resulting from any consolidation or merger or which
shall have received the transfer of assets shall expressly assume payment of
the principal of and interest on all of the Notes and the due and punctual performance
and observance of all of the covenants and conditions in this Indenture;

(b)           if
as a result of such transaction the Notes become exchangeable into common stock
or other securities issued by a third party, such third party fully and
unconditionally guarantees all obligations under such Notes and this Indenture;

(c)           immediately
after giving effect to such transaction, no Event of Default and no event
which, after notice or lapse of time, or both, would become an Event of
Default, shall have occurred and be continuing; and

(d)           either
the Issuer or the successor Person, as the case may be, shall have delivered to
the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating
that such consolidation, merger, sale, lease or conveyance and, if a
supplemental indenture is required in connection with such transaction, such
supplemental indenture comply with this Article 10 and that all conditions
precedent herein provided for relating to such transaction have been complied
with.

No such consolidation, merger, sale, lease or
conveyance shall be permitted by this Section 10.01 unless prior thereto the
Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that the Company’s obligations hereunder shall
remain in full force and effect thereafter.

Section 10.02.  Issuer Successor to Be Substituted.  Upon any consolidation by the
Issuer with or merger of the Issuer into any other Person or any sale, lease or
conveyance of all or substantially all of the properties and assets of the
Issuer to any Person in

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accordance with Section
10.01, the successor Person formed by such consolidation or into which the
Issuer is merged or to which such sale, lease or conveyance is made shall
succeed to, and be substituted for, and may exercise every right and power of,
the Issuer under this Indenture with the same effect as if such successor
Person had been named as the Issuer herein, and thereafter, except in the case
of a lease, the predecessor Person shall be released from all obligations and
covenants under this Indenture and the Notes.

In case of any such consolidation, merger, sale, lease
or conveyance, such changes in phraseology and form (but not in substance) may
be made in the Notes thereafter to be issued as may be appropriate.

ARTICLE
11

Satisfaction and Discharge of Indenture

Section 11.01.  Satisfaction and Discharge of Indenture.  This Indenture shall cease to be of further
effect (except as to any surviving rights of exchange or registration of
transfer or exchange of the Notes herein expressly provided for and except as
provided below), and the Trustee, upon Issuer Order and demand of and at the
expense of the Issuer, shall execute instruments in form and substance
satisfactory to the Trustee and the Issuer acknowledging satisfaction and
discharge of this Indenture when:

(a)           either

(i)            all
Notes theretofore authenticated and delivered (other than (A) Notes which have
been destroyed, lost or stolen and which have been replaced or paid as provided
in Section 11.04, and (B) Notes for whose payment money has theretofore been
deposited in trust or segregated and held in trust by the Issuer and thereafter
repaid to the Issuer or discharged from such trust, as provided in Section
11.04) have been delivered to the Trustee for cancellation; or

(ii)           all
such Notes not theretofore delivered to the Trustee for cancellation have
become due and payable,

and the Issuer has
irrevocably (except as provided in the second proviso to Section 11.05)
deposited or caused to be deposited with the Trustee, a Paying Agent or the
Exchange Agent (other than the Issuer or any of its Affiliates), as applicable,
as trust funds in trust cash and/or shares of Common Stock (as applicable under
the terms of this Indenture) in an amount sufficient to pay and discharge the
entire indebtedness on such Notes not theretofore delivered to the Trustee for
cancellation, for principal (and premium, if any) and interest to the date of
such deposit (in the case of Notes which have become due and payable) or to the
Stated Maturity or Redemption Date or Designated Redemption Date, as the case
may be;

 

 58

 

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

(c)           the
Issuer has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent herein provided for relating
to the satisfaction and discharge of this Indenture have been complied with.

Notwithstanding
the satisfaction and discharge of this Indenture, the obligations of the Issuer
to the Trustee and any predecessor Trustee under Section 7.06 and, if money
shall have been deposited with and held by the Trustee pursuant to subclause
(ii) of clause (a) of this Section 11.01, the provisions of Sections 2.05,
2.06, 2.07 and 3.06 and Article 13 and this Article 11 shall survive until the
Notes have been paid in full.

Notwithstanding
the reference to premium under subclause (ii) of clause (a) of this Section
11.01, the Issuer shall not be required to deposit pursuant thereto any premium
that would be payable on the Notes only upon acceleration of the maturity thereof
pursuant to Section 6.01.

Section 11.02.  Application of Trust Funds.  All money deposited with the Trustee pursuant
to Section 11.01 shall be held in trust and applied by it, in accordance with
the provisions of the Notes and this Indenture, to the payment, either directly
or through any Paying Agent (including the Issuer acting as its own Paying
Agent) as the Trustee may determine, to the Persons entitled thereto, of the
principal (and premium, if any), and any interest for whose payment such money
has been deposited with or received by the Trustee, but such money need not be
segregated from other funds except to the extent required by law.  All moneys deposited with the Trustee (and
held by it or any Paying Agent) for the payment of Notes subsequently exchanged
shall be returned to the Issuer upon request.

Section 11.03.  Paying Agent to Repay Monies
Held.  Subject to the
provisions of Section 11.04 the Trustee or a Paying Agent shall hold in trust,
for the benefit of the Noteholders, all money deposited with it pursuant to
Section 11.01 and shall apply the deposited money in accordance with this
Indenture and the Notes to the payment of the principal of (including the
Redemption Price or Repurchase Price upon redemption or repurchase pursuant to
Article 3) and interest on the Notes.

Section 11.04.  Return of Unclaimed Monies.  The Trustee and each Paying Agent shall pay
to the Issuer upon request any money held by them for the payment of principal
or interest that remains unclaimed for two years after a right to such money
has matured; provided, however,
that the Trustee or such Paying Agent, before being required to make any such
payment, may, at the expense of the Issuer, either publish in a newspaper of
general circulation in The City of New York, or cause to be mailed to each
Holder entitled to such money, notice that such money remains unclaimed and
that after a date specified therein, which shall be at least thirty (30)
calendar days from the date of such mailing or publication, any unclaimed balance
of such money then remaining will be 

 59
 

 

repaid to the Issuer. After payment to the Issuer,
Holders entitled to money must look to the Issuer for payment as general
creditors unless an applicable abandoned property law designates another
person, and the Trustee and each Paying Agent shall be relieved of all
liability with respect to such money.

Section 11.05.  Reinstatement.  If the Trustee or the Paying Agent is unable
to apply any money in accordance with this Article 11 by reason of any order or
judgment of any court or governmental authority enjoining, restraining or
otherwise prohibiting such application, the Issuer’s obligations under this
Indenture and the Notes shall be revived and reinstated as though no deposit
had occurred pursuant to this Article 11 until such time as the Trustee or
Paying Agent is permitted to apply all money held in trust with respect to the
Notes; provided, however,
that if the Issuer makes any payment of principal of or any premium or interest
on any Notes following the reinstatement of its obligations, the Issuer shall
be subrogated to the rights of the Holders of the Notes to receive such payment
from the money so held by the Trustee or Paying Agent in trust; provided,
further, that, if the Issuer’s obligations are revived and reinstated as herein
provided, the Trustee or Paying Agent shall discharge from trust and pay to the
Issuer all funds (together with the earnings thereon, if any) previously
deposited therewith pursuant to Section 11.02 and thereupon the Issuer, the Trustee,
any Paying Agent and the holders of the Notes shall be restored severally and
respectively to their former positions hereunder as if no satisfaction and
discharge had been effected.

ARTICLE 12

Immunity of Incorporators,
Shareholders, Officers and Directors

Section 12.01.  Indenture and Notes Solely
Corporate Obligations.  No
recourse for the payment of the principal of (including the Redemption Price or
Repurchase Price upon redemption or repurchase pursuant to Article 3) or,
premium, if any, or interest on any Note, or for any claim based thereon or
otherwise in respect thereof, and no recourse under or upon any obligation,
covenant or agreement of the Issuer in this Indenture or in any supplemental
indenture or in any Note, or because of the creation of any indebtedness
represented thereby, shall be had against any incorporator, shareholder,
partner, member, manager, employee, agent, officer, director or subsidiary, as
such, past, present or future, of the Company, the Issuer or any of the Company’s
subsidiaries or of any successor thereto, either directly or through the
Company, the Issuer or any of the Company’s subsidiaries or of any successor
thereto, whether by virtue of any constitution, statute or rule of law, or by
the enforcement of any assessment or penalty or otherwise; it being expressly
understood that all such liability is hereby expressly waived and released as a
condition of, and as a consideration for, the execution of this Indenture and
the issue of the Notes.

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ARTICLE 13

Exchange Of Notes

Section 13.01.  Right to Exchange.  (a) Upon compliance with the
provisions of this Indenture, on or prior to the close of business on the
second Business Day immediately preceding the Maturity Date, the Holder of any
Notes not previously redeemed or repurchased shall have the right, at such
Holder’s option, to exchange its Notes, or any portion thereof which is a
multiple of $1,000, into cash and, if applicable, Common Stock, as provided in
Section 13.10, by surrender of such Notes so to be exchanged in whole or in
part, together with any required funds, under the circumstances and in the
manner described in this Article 13. Holders may exchange their Notes at any
time on or after August 1, 2011 until the close of business on the second
Business Day immediately preceding the Maturity Date.  In addition, Holders may exchange their Notes
at any time prior to August 1, 2011 only upon occurrence of one of the
following events:

(i)            Exchange Upon Satisfaction of Market Price Condition. A
Holder may surrender any of its Notes for exchange during any calendar quarter
beginning after December 31, 2006 (and only during such calendar quarter) if
the Closing Sale Price of the Common Stock for at least 20 Trading Days in the
period of 30 consecutive Trading Days ending on the last Trading Day of the
preceding calendar quarter is more than 120% of the Exchange Price per share of
Common Stock in effect on the applicable Trading Day. The Board of Directors
will make appropriate adjustments, in its good faith determination, to account
for any adjustment to the Exchange Rate that becomes effective, or any event
requiring an adjustment to the Exchange Rate where the ex-dividend date of the
event occurs, during that 30 consecutive Trading Day period.

The Issuer shall determine on a daily basis during the
time period specified in this Section 13.01(a)(i) whether the Notes shall be
exchangeable as a result of the occurrence of an event specified in this clause
(i) and, if the Notes shall be so exchangeable, the Issuer shall promptly
deliver to the Trustee and the Exchange Agent (if the Trustee is not the
Exchange Agent) written notice thereof.

(ii)           Exchange Upon Satisfaction of Trading Price Condition. A
Holder may surrender any of its Notes for exchange during the 5 consecutive Trading
Day period following any 5 consecutive Trading Days in which the Trading Price
per $1,000 principal amount of Notes (as determined following a reasonable
request by a Holder of the Notes) was less than 98% of the product of the
Closing Sale Price of the Common Stock, multiplied by
the Applicable Exchange Rate.

“Trading Price”
of the Notes on any date of determination means the average of the secondary
market bid quotations per $1,000 principal amount of such Notes obtained by the
Trustee for a $2,000,000 principal amount of Notes at approximately 3:30 p.m.,
New York City time, on such determination date from two independent nationally
recognized securities dealers the Issuer selects, which 

 61
 

 

may include the Initial
Purchasers; provided that if at least two such bids
cannot reasonably be obtained by the Trustee, but one such bid can reasonably
be obtained by the Trustee, then one bid shall be used. If the Trustee cannot
reasonably obtain at least one bid for a $2,000,000 principal amount of such
Notes from a nationally recognized securities dealer or, in the Issuer’s
reasonable judgment, the bid quotations are not indicative of the secondary
market value of such Notes, then the Trading Price per $1,000 principal amount
of such Notes will be deemed to be less than 98% of the product of the Closing
Sale Price of Common Stock and the Applicable Exchange Rate on such
determination date.

The Trustee shall have no obligation to determine the
Trading Price of the Notes unless the Issuer shall have requested such
determination, and the Issuer shall have no obligation to make such request
unless a Holder provides the Issuer with reasonable evidence that the Trading
Price per $1,000 principal amount of Notes would be less than 98% of the
product of the Closing Sale Price of the Common Stock and the Applicable
Exchange Rate, whereupon the Issuer shall instruct the Trustee to determine the
Trading Price of the Notes beginning on the next Trading Day and on each
successive Trading Day until the Trading Price is greater than or equal to 98%
of the product of the Closing Sale Price of the Common Stock and the Applicable
Exchange Rate. If the Issuer does not so instruct the Trustee after a Holder of
Notes provides the Issuer with reasonable evidence that the Trading Price per
$1,000 principal amount of Notes would be less than 98% of the product of the
Closing Sale Price of the Common Stock and the Applicable Exchange Rate, the
Trading Price of the Notes will be deemed to be less than 98% of the Closing
Sale Price of the Common Stock multiplied by
the Applicable Exchange Rate on each Trading Day the Issuer fails to do so.

(iii)          Exchange Upon Notice of Redemption. A Holder may surrender
for exchange any of the Notes called for redemption at any time prior to the
close of business on the second Business Day prior to Redemption Date, even if
the Notes are not otherwise exchangeable at such time. The right to exchange
Notes pursuant to this clause (iii) shall expire after the close of business on
the second Business Day immediately preceding the Redemption Date, unless the
Issuer defaults in payment of the Redemption Price.

(iv)          Exchange Upon Specified Transactions. If the Company elects
to: (1) distribute to all holders of the Common Stock any rights, warrants or
options entitling them for a period of not more than 45 days after the issuance
thereof to subscribe for or purchase Common Stock at an exercise price per
share of Common Stock less than the Closing Sale Price of the Common Stock on
the Business Day immediately preceding the time of announcement of such
issuance; or (2) distribute to all holders of Common Stock assets, debt
securities or certain rights to purchase securities of the Issuer or the
Company, which distribution (excluding for this purpose a distribution solely in
the form of cash required to preserve the status of the Company as a real
estate investment trust) has a per 

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share value exceeding 15%
of the average of the Closing Sale Prices of the Common Stock for the 5
consecutive Trading Days ending on the date immediately preceding the
declaration date of such distribution, the Issuer must notify the Holders of
Notes at least 65 Scheduled Trading Days prior to the ex-dividend date for such
distribution described in clause (1) or clause (2).

Following the issuance of
such notice, Holders may surrender their Notes for exchange at any time until
the earlier of the close of business on the Business Day prior to the
ex-dividend date or an announcement that such distribution will not take place;
provided, however, that no adjustment to
the ability of the Holders of Notes to exchange their Notes will be made if the
Holders of Notes, as a result of holding the Notes, are entitled to participate
at the same time as Common Stock holders participate in such transaction or distribution
as if such Holders of the Notes held a number shares of Common Stock equal to
the Applicable Exchange Rate, multiplied by
the principal amount (expressed in thousands) of Notes held by such Holder,
without having to exchange their Notes. The “ex-dividend
date” means, with respect to any distribution on shares of Common
Stock, the first date upon which a sale of the Common Stock does not
automatically transfer the right to receive the relevant distribution from the
seller of the Common Stock to its buyer.

In addition, (1) if the Company otherwise is a party
to a share exchange or tender offer, liquidation, consolidation,
recapitalization, reclassification, combination or merger, or a sale or lease
or other transfer of all or substantially all of its respective properties and
assets, or a series of related transactions or events, in each case pursuant to
which all of the outstanding Common Stock would be exchanged for, converted
into or constitute solely the right to receive cash, securities or other
property, or (2) if a Designated Event occurs, a Holder may surrender its Notes
for exchange at any time from and including the date that is 65 Scheduled
Trading Days prior to the anticipated effective time of the transaction or
event up to and including 35 Business Days after the actual date of such
transaction or event, unless such transaction or event also constitutes a
Designated Event, in which case the Notes may be surrendered for exchange until
the related Designated Event Repurchase Date. The Issuer will notify Holders of
Notes and the Trustee as promptly as reasonably practicable following the date
such transaction or event is publicly announced (but in no event less than 65
Scheduled Trading Days prior to the effective time of such transaction or event).

(v)           Exchange Upon Delisting of the Common Stock. A Holder may
surrender for exchange any of its Notes at any time beginning on the first
Business Day after the Common Stock has ceased to be listed on a U.S. national
or regional securities exchange for 30 consecutive Trading Days.

(b)           Whenever
the Notes shall become exchangeable pursuant to this Section 13.01, the Issuer
or, at the Issuer’s Request, the Trustee in the name and at the expense of 

 63
 

 

the Issuer, shall notify the Holders of the event triggering
such exchangeability in the manner provided in Section 15.04, and the Issuer
shall also publicly announce such information and publish it on the Issuer’s
website. Any notice so given shall be conclusively presumed to have been duly
given, whether or not the Holder receives such notice. The text of such notice
shall be prepared by the Issuer, and in giving such notice the Trustee may rely
and shall be fully protected in relying upon such Issuer Request and shall have
no responsibility for text prepared by the Issuer.

(c)           A
Note in respect of which a Holder has delivered a Designated Event Repurchase
Notice exercising such Holder’s right to require the Issuer to repurchase such
Note pursuant to Section 3.05 may be exchanged only if such Designated Event
Repurchase Notice is withdrawn in accordance with Section 3.07 prior to the
close of business on the second Business Day immediately prior to the
Designated Event Repurchase Date, as applicable.

(d)           A
Holder of Notes is not entitled to any rights of a Holder of Common Stock until
the close of business on the last Trading Day of the Applicable Observation
Period for the exchange in connection with which it is entitled to receive
shares of Common Stock.

Section 13.02.  Exercise of Exchange Right; No
Adjustment for Interest or Dividends.  In
order to exercise the exchange right with respect to any Note in certificated
form, the Issuer must receive at the office or agency of the Issuer maintained
for that purpose in the Borough of Manhattan or, at the option of such Holder,
the Corporate Trust Office, such Note with the original or facsimile of the
form entitled “Exchange Notice” on the reverse
thereof, duly completed and signed manually or by facsimile, together with such
Notes duly endorsed for transfer, accompanied by the funds, if any, required by
this Section 13.02. Such notice shall also state the name or names (with
address or addresses) in which the certificate or certificates for shares of
Common Stock that shall be issuable on such exchange shall be issued, and shall
be accompanied by transfer or similar taxes, if required pursuant to Section
13.06.

To
exchange the Notes, a Holder must (a) complete and manually sign the Exchange
Notice on the reverse of the Note (or complete and manually sign a facsimile of
such notice) and deliver such notice to the Exchange Agent at the office
maintained by the Exchange Agent for such purpose, (b) with respect to Notes
that are in certificated form, surrender the Notes to the Exchange Agent, (c)
furnish appropriate endorsements and transfer documents if required by the
Exchange Agent and (d) pay any transfer or similar tax, if required. The date
on which the Holder satisfies all such requirements shall be deemed to be the
date on which the applicable Notes shall have been tendered for exchange.

Whether
the Notes to be exchanged are held in book-entry or certificated form, the
Exchange Notice will require the Holder to certify that it is a qualified
institutional buyer within the meaning of Rule 144A under the Securities Act.

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Notes
in respect of which a Holder has delivered a Designated Event Repurchase Notice
may be exchanged only if such notice is withdrawn in accordance with the terms
of Section 3.07.

If
the Issuer is required to deliver shares of Common Stock (upon settlement in
accordance with Sections 13.10 and 13.11, if applicable, on the third Business
Day immediately following the last day of the Applicable Observation Period),
after satisfaction of the requirements for exchange set forth above, subject to
compliance with any restrictions on transfer if shares issuable on exchange are
to be issued in a name other than that of the Noteholder (as if such transfer
were a transfer of the Note or Notes (or portion thereof) so exchanged), and in
accordance with the time periods set forth in this Article 13, the Issuer shall
deliver to such Noteholder at the office or agency maintained by the Issuer for
such purpose pursuant to Section 4.02, (i) a certificate or certificates for
the number of full shares of Common Stock (if any) deliverable upon the
exchange of such Note or portion thereof as determined by the Issuer in
accordance with the provisions of Sections 13.10 and 13.11 and (ii) a check or
cash in respect of any fractional interest in respect of a share of Common Stock
arising upon such exchange, calculated by the Issuer as provided in Section
13.03. The cash, and, if applicable, a certificate or certificates for the
number of full shares of Common Stock into which the Notes are exchanged (and
cash in lieu of fractional shares) will be delivered to an exchanging Holder
after satisfaction of the requirements for exchange set forth above, in
accordance with this Section 13.02 and Sections 13.10 and, if applicable,
13.11.

Each
exchange shall be deemed to have been effected as to any such Note (or portion
thereof) on the date on which the requirements set forth above in this Section
13.02 have been satisfied as to such Note (or portion thereof) (the “Exchange Date”), and the Person in whose name any
certificate or certificates for shares of Common Stock shall be issuable upon
such exchange shall be deemed to have become on said date the holder of record
of the shares represented thereby; provided that
any such surrender on any date when the stock transfer books of the Company
shall be closed shall constitute the Person in whose name the certificates are
to be issued as the record holder thereof for all purposes on the next
succeeding day on which such stock transfer books are open, but such exchange
shall be at the Applicable Exchange Rate in effect on the Exchange Date.

Any
Note or portion thereof surrendered for exchange during the period from the
close of business on the Record Date for any interest payment date to the close
of business on the applicable interest payment date shall be accompanied by
payment, in immediately available funds or other funds acceptable to the
Issuer, of an amount equal to the interest otherwise payable on such interest
payment date on the principal amount being exchanged; provided
that no such payment need be made (1) if a Holder exchanges its Notes in
connection with a redemption and the Issuer has specified a Redemption Date
that is after a Record Date and on or prior to the Business Day immediately
succeeding the corresponding interest payment date, (2) if a Holder exchanges
its Notes in connection with a Designated Event and the Issuer has specified a
Designated Event Repurchase Date that is after a Record Date and on or prior to
the Business Day 

 65
 

 

immediately succeeding the corresponding interest
payment date, (3) with respect to any exchange on or following the Record Date
immediately preceding the Maturity Date, or (4) to the extent of any Defaulted
Interest, if any Defaulted Interest exists at the time of exchange with respect
to such Note. Except as otherwise provided above in this Article 13, no payment
or other adjustment shall be made for interest accrued on any Note exchanged or
for dividends on any shares issued upon the exchange of such Note as provided
in this Article 13. Notwithstanding the foregoing, in the case of Notes
submitted for exchange in connection with a Designated Event, such Notes shall
continue to represent the right to receive the Additional Designated Event
Shares, if any, payable pursuant to Section 13.11, until such Additional
Designated Event Shares are so paid.

Upon
the exchange of an interest in a Global Note, the Trustee (or other Exchange
Agent appointed by the Issuer), or the Custodian at the direction of the
Trustee (or other Exchange Agent appointed by the Issuer), shall make a
notation on such Global Note as to the reduction in the principal amount
represented thereby. The Issuer shall notify the Trustee in writing of any
exchanges of Notes effected through any Exchange Agent other than the Trustee.

Upon
the exchange of a Note, the accrued but unpaid interest attributable to the
period from the issue date of the Note to the Exchange Date, with respect to
the exchanged Note, shall not be deemed canceled, extinguished or forfeited,
but rather shall be deemed to be paid in full to the Holder thereof through
delivery of cash and, if applicable, shares of Common Stock (together with the
cash payment, if any in lieu of fractional shares) in exchange for the Note
being exchanged pursuant to the provisions hereof.

In
case any Note of a denomination greater than $1,000 shall be surrendered for
partial exchange, and subject to Section 2.04, the Issuer shall execute and
upon receipt of such new Note or Notes the Trustee shall authenticate and
deliver to the Holder of the Note so surrendered, without charge to the Holder,
a new Note or Notes in authorized denominations in an aggregate principal
amount equal to the unexchanged portion of the surrendered Note.

Section 13.03.  Cash Payments in Lieu of
Fractional Shares.  No fractional
shares of Common Stock or scrip certificates representing fractional shares
shall be issued upon exchange of Notes. If more than one Note shall be
surrendered for exchange at one time by the same Holder, the number of full
shares that shall be issuable upon exchange shall be computed on the basis of
the aggregate principal amount of the Notes (or specified portions thereof to
the extent permitted hereby) so surrendered and the aggregate sum of all Daily
Settlement Amounts for each of the 60 Trading Days during the Applicable
Observation Period (and not in respect of each Daily Settlement Amount nor some
portion of the Daily Settlement Amounts for one or some portion of the 60
Trading Days during the Applicable Observation Period). If any fractional share
of Common Stock would be issuable upon the exchange of any Note or Notes, the
Issuer shall make an adjustment and payment therefor in cash to the Holder of
Notes at a price equal to the 

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Closing Sale Price of the Common Stock on the last day
of the Applicable Observation Period.

Section 13.04.  Exchange Rate.  The initial Exchange Rate for the
Notes is 20.4298 shares of Common Stock per each $1,000 principal amount of the
Notes, subject to adjustment as provided in Sections 13.05 and 13.11 (herein
called the “Exchange Rate”).

Section 13.05.  Adjustment of Exchange
Rate.  The Exchange Rate shall
be adjusted from time to time as follows:

(a)   If the Company issues Common Stock as a
dividend or distribution on the Common Stock to all holders of Common Stock, or
if the Company effects a share split or share combination, the Exchange Rate
will be adjusted based on the following formula:

ER1 = ER0 × OS1 /
OS0

where

ER0 = the Exchange Rate in effect immediately
prior to the ex-dividend date for such dividend or distribution, or the
effective date of such share split or share combination;

ER1 = the new Exchange Rate in effect immediately
on and after the ex-dividend date for such dividend or distribution, or the
effective date of such share split or share combination;

OS0 = the number of shares of Common Stock outstanding immediately prior to such
dividend or distribution, or the effective date of such share split or share
combination; and

OS1 = the number of shares of Common Stock
outstanding immediately after such dividend or distribution, or the effective
date of such share split or share combination.

Any adjustment made pursuant to this paragraph (a)
shall become effective as of the open of business on (x) the ex-dividend date
for such dividend or other distribution or (y) the date on which such split or
combination becomes effective, as applicable. If any dividend or distribution
described in this paragraph (a) is declared but not so paid or made, the new
Exchange Rate shall be readjusted to the Exchange Rate that would then be in
effect if such dividend or distribution had not been declared.

(b)           If
the Company distributes to all holders of Common Stock any rights, warrants or
options entitling them for a period of not more than forty-five (45) days after
the date of issuance thereof to subscribe for or purchase Common Stock, in any
case at an exercise price per share of Common Stock less than the Closing Sale
Price of the 

 67
 

 

Common Stock on the Business Day immediately preceding
the time of announcement of such issuance, the Exchange Rate will be adjusted
based on the following formula:

ER1 = ER0 × (OS0 + X) / (OS0 + Y)

where

ER0 = the Exchange Rate in effect immediately
prior to the ex-dividend date for such distribution;

ER1 = the new Exchange Rate in effect immediately
on and after the ex-dividend date for such distribution;

OS0 = the number of shares of Common Stock
outstanding immediately prior to the ex-dividend date for such distribution;

X = the aggregate number of shares of Common
Stock issuable pursuant to such rights, warrants or options; and

Y = the number of shares of Common Stock
equal to the quotient of (A) the aggregate price payable to exercise such
rights, warrants or options and (B) the average of the Closing Sale Prices of
the Common Stock for the 10 consecutive Trading Days ending on the Business Day
immediately preceding the date of announcement for the issuance of such rights,
warrants or options.

For purposes of this paragraph (b), in determining
whether any rights, warrants or options entitle the holders to subscribe for or
purchase Common Stock at less than the applicable Closing Sale Price of the
Common Stock, and in determining the aggregate exercise or conversion price
payable for such Common Stock, there shall be taken into account any consideration
received by the Company for such rights, warrants or options and any amount
payable on exercise or conversion thereof, with the value of such
consideration, if other than cash, to be determined by the Board of Directors.
If any right, warrant or option described in this paragraph (b) is not
exercised or converted prior to the expiration of the exercisability or
convertibility thereof, the new Exchange Rate shall be readjusted to the
Exchange Rate that would then be in effect if such right, warrant or option had
not been so issued.

(c)           If
the Company distributes shares of capital stock, evidences of indebtedness or
other assets or property of the Company to all holders of Common Stock,
excluding:

(A)          dividends,
distributions, rights, warrants or options referred to in paragraph (a) or (b)
above;

(B)           dividends
or distributions paid exclusively in cash; and

(C)           Spin-Offs
described below in this paragraph (c),

 68
 

 

then the Exchange Rate will
be adjusted based on the following formula:

ER1 = ER0 × SP0 /
(SP0 – FMV)

where

ER0 = the Exchange Rate in effect immediately
prior to the ex-dividend date for such distribution;

ER1 = the new Exchange Rate in effect immediately
on and after the ex-dividend date for such distribution;

SP0 = the Closing Sale Price of the Common Stock
on the Trading Day immediately preceding the earlier of the record date or the
ex-dividend date for such distribution; and

FMV = the fair market
value (as determined in good faith by the Board of Directors) of the shares of
capital stock, evidences of indebtedness, assets or property distributed with
respect to each outstanding share of Common Stock on the earlier of the record
date or the ex-dividend date for such distribution.

provided that if “FMV” with
respect to any distribution of shares of capital stock, evidences of
indebtedness or other assets or property of the Company is equal to or greater
than “SP0” with
respect to such distribution, then in lieu of the foregoing adjustment,
adequate provision shall be made so that each holder of Notes shall have the
right to receive on the date such shares of capital stock, evidences of
indebtedness or other assets or property of the Company are distributed to
holders of Common Stock, for each Note, the amount of shares of capital stock,
evidences of indebtedness or other assets or property of the Company such
holder of Notes would have received had such holder of Notes owned a number of
shares of Common Stock equal to a fraction the numerator of which is the
product of the Exchange Rate in effect immediately prior to the ex-dividend
date for such distribution, and the
aggregate principal amount of Notes held by such Holder and the denominator of
which is one thousand ($1,000). An adjustment to the Exchange Rate made
pursuant to the immediately preceding paragraph shall become effective on the
ex-dividend date for such distribution.

If
the Company distributes to all holders of Common Stock capital stock of any
class or series, or similar equity interest, of or relating to a Subsidiary or
other business unit of the Company (a “Spin-Off”), the
Exchange Rate in effect immediately following the 10th Trading Day from and
including the effective date of the Spin-Off will be adjusted based on the
following formula:

ER1 = ER0 × (FMV0 +
MP0) / MP0

where

 69
 

 

ER0 = the Exchange Rate in effect on the 10th
Trading Day immediately following, and including, the effective date of the
Spin-Off;

ER1 = the new Exchange Rate immediately after the
10th Trading Day immediately following, and including, the effective date of the
Spin-Off;

FMV0 = the average of the Closing Sale Prices of
the capital stock or similar equity interest distributed to holders of Common
Stock applicable to one share of Common Stock over the first 10 consecutive
Trading Days after the effective date of the Spin-Off; and

MP0 = the average of the Closing Sale Prices of
the Common Stock over the first 10 consecutive Trading Days after the effective
date of the Spin-Off.

An adjustment to the Exchange Rate made pursuant to
the immediately preceding paragraph will occur on the 10th Trading Day from and
including the effective date of the Spin-Off; provided that
in respect of any exchange within the 10 Trading Days following the effective
date of any Spin-Off, references within this paragraph (c) to 10 Trading Days
shall be deemed replaced with such lesser number of Trading Days as have
elapsed between the effective date of such Spin-Off and the Exchange Date in
determining the Applicable Exchange Rate. If any such dividend or distribution
described in this paragraph (c) is declared but not paid or made, the new
Exchange Rate shall be readjusted to be the Exchange Rate that would then be in
effect if such dividend or distribution had not been declared.

(d)           If
the Company distributes cash to all or substantially all holders of outstanding
Common Stock (excluding any dividend or distribution in connection with the
liquidation, dissolution or winding up or any regular quarterly cash dividend
on the Common Stock to the extent that the aggregate amount of such regular quarterly
cash dividend per share of Common Stock does not exceed $0.475 for the relevant
quarterly period ($0.475 being the “Reference Dividend Amount”)),
the Exchange Rate will be adjusted based on the following formula:

ER1 = ER0 × (SP0 –
RDA) / (SP0 – C)

where

ER0 = the Exchange Rate in effect immediately
prior to the ex-dividend date for such distribution;

ER1 = the new Exchange Rate immediately on and
after the ex-dividend date for such distribution;

SP0 = the Closing Sale Price of the Common Stock
on the Trading Day immediately preceding the earlier of the record date or the
day prior to the ex-dividend date for such distribution;

 70
 

 

RDA = the Reference Dividend Amount; and

C = the amount in cash per share that the Company
distributes to holders of Common Stock.

provided that if “C” with respect
to any such cash dividend or distribution is equal to or greater than “SP0” with respect to any such cash
dividend or distribution, then in lieu of the foregoing adjustment, adequate
provision shall be made so that each holder of Notes shall have the right to
receive on the date such cash is distributed to holders of Common Stock, for
each Note, the amount of cash such holder of Notes would have received had such
holder of Notes owned a number of shares of Common Stock equal to a fraction
the numerator of which is the product of the Exchange Rate in effect
immediately prior to the ex-dividend date for such dividend or distribution, and the aggregate principal amount of Notes held by such
Holder and the denominator of which is one thousand ($1,000).

An
adjustment to the Exchange Rate made pursuant to this paragraph (d) shall
become effective on the ex-dividend date for such dividend or distribution. If
any dividend or distribution described in this paragraph (d) is declared but
not so paid or made, the new Exchange Rate shall be readjusted to the Exchange
Rate that would then be in effect if such dividend or distribution had not been
declared.

The
Reference Dividend amount is subject to adjustment in a manner inversely
proportional to adjustments to the Exchange Rate; provided
that no adjustment will be made to the Reference Dividend Amount for any
adjustment made to the Exchange Rate under this paragraph (d).

Notwithstanding
the foregoing, if an adjustment is required to be made under this paragraph as
a result of a distribution that is not a quarterly dividend, the Reference
Dividend Amount will be deemed to be zero.

(e)           If
the Company or any of its Subsidiaries makes a payment in respect of a tender
offer or exchange offer for Common Stock to the extent that the cash and value
of any other consideration included in the payment per share of Common Stock
exceeds the Closing Sale Price of the Common Stock on the Trading Day next
succeeding the last date on which tenders or exchanges may be made pursuant to
such tender offer or exchange offer (the “Expiration Time”),
the Exchange Rate will be adjusted based on the following formula:

ER1 = ER0 × (AC + (SPI × OS1))
/ (SP1 × OS0)

where

ER0 = the Exchange Rate in effect on the Trading
Day immediately following the date such tender offer or exchange offer expires;

 71
 

 

ER1 = the Exchange Rate in effect on the second
Trading Day immediately following the date such tender offer or exchange offer
expires;

AC = the aggregate value of all cash and any
other consideration (as determined by the Board of Directors) paid or payable
for the Common Stock purchased in such tender or exchange offer;

OS0 = the number of shares of Common Stock
outstanding immediately prior to the date such tender offer or exchange offer
expires;

OS1 = the number of shares of Common Stock
outstanding immediately after the date such tender or exchange offer expires
(after giving effect to the purchase or exchange of shares pursuant to such
tender offer or exchange offer); and

SP1 = the Closing Sale Price of the Common Stock
for the Trading Day next succeeding the date such tender offer or exchange
offer expires.

If the application of the foregoing formula would
result in a decrease in the Exchange Rate, no adjustment to the Exchange Rate
will be made. Any adjustment to the Exchange Rate made pursuant to this
paragraph (e) shall become effective on the second day immediately following
the Expiration Time. If the Company or one of its Subsidiaries is obligated to
purchase Common Stock pursuant to any such tender offer or exchange offer but
is permanently prevented by applicable law from effecting any such purchase or
all such purchases are rescinded, the new Exchange Rate shall be readjusted to
be the Exchange Rate that would be in effect if such tender offer or exchange
offer had not been made.

(f)            If
the Company has in effect a rights plan while any Notes remain outstanding,
Holders of Notes will receive, upon an exchange of Notes, in addition to Common
Stock, if any, rights under the Company’s shareholder rights agreement unless,
prior to exchange, the rights have expired, terminated or been redeemed or
unless the rights have separated from the Common Stock. If the rights provided
for in the rights plan adopted by the Company have separated from the Common
Stock in accordance with the provisions of the applicable shareholder rights
agreement so that Holders of Notes would not be entitled to receive any rights
in respect of any shares of Common Stock delivered upon an exchange of Notes,
the Exchange Rate will be adjusted at the time of separation as if the Company
had distributed, to all holders of Common Stock, capital stock, evidences of
indebtedness or other assets or property pursuant to paragraph (c) above,
subject to readjustment upon the subsequent expiration, termination or
redemption of the rights.

Notwithstanding the foregoing, in the event of an
adjustment to the Exchange Rate pursuant to paragraphs (d) and (e) above, in no
event will the Exchange Rate exceed 24.5158 shares of Duke Realty common stock
per $1,000 principal amount of notes, subject to adjustment pursuant to
paragraphs (a), (b) and (c) above.

 

 72

 

 

In addition to the adjustments pursuant to paragraphs
(a) through (f) above, the Issuer may increase the Exchange Rate in order to
avoid or diminish any income tax to holders of Common Stock resulting from any
dividend or distribution of capital stock (or rights to acquire Common Stock)
or from any event treated as such for income tax purposes. The Issuer may also,
from time to time, to the extent permitted by applicable law, increase the
Exchange Rate by any amount for any period if the Issuer has determined that
such increase would be in the best interests of the Issuer or the Company. If
the Issuer makes such determination, it will be conclusive and the Issuer will
mail to Holders of the Notes and the Trustee a notice of the increased Exchange
Rate and the period during which it will be in effect at least fifteen (15)
days prior to the date the increased Exchange Rate takes effect in accordance
with applicable law.

The Issuer shall not make any adjustment to the
Exchange Rate if Holders of the Notes participate in the dividend, distribution
or transaction that would otherwise result in an adjustment to the Exchange
Rate at the same time as holders of the Common Stock and as if such Holders of
Notes owned a number of shares of Common Stock equal to a fraction the
numerator of which is the product of the Exchange Rate in effect on the
ex-dividend date or effective date for the relevant dividend, distribution or
transaction, and the aggregate principal amount of Notes held by such Holder
and the denominator of which is one thousand ($1,000).

Notwithstanding anything to the contrary contained
herein, in addition to the other events set forth herein on account of which no
adjustment to the Exchange Rate shall be made, the Applicable Exchange Rate
shall not be adjusted for:

(i)             the
issuance of any Common Stock pursuant to any present or future plan providing
for the reinvestment of dividends or interest payable on securities of the
Issuer or those of the Company and the investment of additional optional
amounts in shares of Common Stock under any plan;

(ii)           the
issuance of any Common Stock or options or rights to purchase those shares
pursuant to any present or future employee, director, trustee or consultant
benefit plan, employee agreement or arrangement or program of the Issuer or the
Company;

(iii)           the
issuance of any Common Stock pursuant to any option, warrant, right, or
exercisable, exchangeable or convertible security outstanding as of the date
the Notes were first issued;

(iv)           a
change in the par value of the Common Stock;

(v)            accumulated
and unpaid dividends or distributions; and

(vi)           the
issuance of Units by the Issuer and the issuance of the Common Stock or the
payment of cash upon redemption thereof.

 73
 

 

No adjustment in
the Exchange Rate will be required unless the adjustment would require an
increase or decrease of at least 1% of the Exchange Rate. If the adjustment is
not made because the adjustment does not change the Exchange Rate by at least
1%, then the adjustment that is not made will be carried forward and taken into
account in any future adjustment. All required calculations will be made to the
nearest cent or 1/1000th of a share, as the case may be. Notwithstanding the
foregoing, on each annual anniversary of the first original issuance date of the
Notes, upon redemption of the Notes, and on August 1, 2011, all adjustments not
previously made will be made on such date.

Whenever the
Exchange Rate is adjusted as herein provided, the Company or the Issuer shall
as promptly as reasonably practicable file with the Trustee and any Exchange
Agent other than the Trustee an Officers’ Certificate setting forth the
Exchange Rate after such adjustment and setting forth a brief statement of the
facts requiring such adjustment. Promptly after delivery of such certificate,
the Company or the Issuer shall prepare a notice of such adjustment of the
Exchange Rate setting forth the adjusted Exchange Rate and the date on which
each adjustment becomes effective and shall mail such notice of such adjustment
of the Exchange Rate to the Holders of the Notes within 20 Business Days of the
Effective Date of such adjustment. Failure to deliver such notice shall not
affect the legality or validity of any such adjustment.

For purposes of
this Section 13.05, the number of shares of Common Stock at any time
outstanding shall not include shares held in the treasury of the Company but
shall include shares issuable in respect of scrip certificates issued in lieu
of fractions of shares of Common Stock.

In addition the
adjustments to the Applicable Exchange Rate as set forth in this Article 13,
the Exchange Rate in respect of any Notes tendered for exchange shall be
increased, effective on the related Exchange Date, by 3% if such Notes are
tendered for exchange during an Additional Interest Accrual Period as defined
in the Registration Rights Agreement.

If any of the
following events occur, namely (i) any reclassification or change of the
outstanding Common Stock (other than a subdivision or combination to which
Section 13.05(a) applies, or a change in par value, or from par value to no par
value, or from no par value to par value), (ii) any consolidation, merger or
combination of the Company with another Person, or a binding share exchange in
respect of all of the outstanding Common Stock as a result of which holders of
Common Stock shall be entitled to receive stock, other securities or other
property or assets (including cash) with respect to or in exchange for such the
Common Stock or (iii) any sale or conveyance of all or substantially all of the
properties and assets of the Company to any other Person as a result of which
holders of Common Stock shall be entitled to receive stock, other securities or
other property or assets (including cash) with respect to or in exchange for
such the Common Stock, then the Issuer and the Company or the successor or
purchasing Person, as the case may be, shall execute with the Trustee (which
shall be instructed by an Issuer Order together with the Officers’ Certificate
and Opinion of Counsel pursuant

 74
 

 

to Section 9.05) a
supplemental indenture. Such supplemental indenture shall provide for
adjustments which shall be as nearly equivalent as may be practicable to the
adjustments provided for in this Section 13.05. The Company shall cause notice
of the execution of such supplemental indenture to be mailed to each Holder of
Notes within 20 Business Days after execution thereof. Failure to deliver such
notice shall not affect the legality or validity of such supplemental
indenture. The provisions of this paragraph shall similarly apply to successive
reclassifications, changes, consolidations, mergers, combinations, sales and
conveyances. If the provisions of this paragraph apply to any event or
occurrence, then the provisions of Sections 13.05(a) through (e) shall not
apply.

Section
13.06.  Taxes on
Shares Issued.  The issue of
stock certificates, if any, on exchange of Notes shall be made without charge
to the exchanging Noteholder for any documentary, stamp or similar issue or
transfer tax in respect of the issue thereof. The Issuer shall not, however, be
required to pay any such tax which may be payable in respect of any transfer
involved in the issue and delivery of stock in any name other than that of the
holder of any Note exchanged, and the Issuer shall not be required to issue or
deliver any such stock certificate unless and until the Person or Persons
requesting the issue thereof shall have paid to the Issuer the amount of such
tax or shall have established to the satisfaction of the Issuer that such tax
has been paid.

Section
13.07.  Reservation
of Shares, Shares to Be Fully Paid; Compliance with Governmental Requirements;
Listing of Common Stock.  The
Company shall provide, free from preemptive rights, out of its authorized but
unissued shares or shares held in treasury, sufficient shares of Common Stock
to provide for the exchange of the Notes as required by this Indenture from
time to time as such Notes are presented for exchange.

The Company
covenants that all shares of Common Stock which may be issued upon exchange of
Notes will upon issue be fully paid and non-assessable by the Company and free
from all taxes, liens and charges with respect to the issue thereof.

The Company
covenants that, if any shares of Common Stock to be provided for the purpose of
exchange of Notes hereunder require registration with or approval of any
governmental authority under any federal or state law before such shares may be
validly issued upon exchange, the Company shall, as expeditiously as possible
secure such registration or approval, as the case may be.

The Company
further covenants that, if at any time the Common Stock shall be listed on The
New York Stock Exchange or any other national or regional securities exchange
or automated quotation system, the Company will, if permitted by the rules of
such exchange or automated quotation system, list and keep listed, so long as
the Common Stock shall be so listed on such exchange or automated quotation
system, all the Common Stock issuable upon exchange of the Notes; provided that if the rules of such exchange or automated
quotation system permit the Company to defer the listing of such Common Stock
until the first exchange of the Notes in accordance with the provisions of this
Indenture, the Company covenants to list such Common Stock issuable

 75
 

 

upon exchange of the
Notes in accordance with the requirements of such exchange or automated
quotation system at such time.

Section
13.08.  Responsibility
of Trustee.  The Trustee and
any other Exchange Agent shall not at any time be under any duty or
responsibility to determine the Applicable Exchange Rate or whether any facts
exist which may require any adjustment of the Exchange Rate, or with respect to
the nature or extent or calculation of any such adjustment when made, or with
respect to the method employed, or herein or in any supplemental indenture
provided to be employed, in making the same. The Trustee and any other Exchange
Agent shall not be accountable with respect to the validity or value (or the
kind or amount) of any shares of Common Stock, or of any capital stock, other
securities or other assets or property, which may at any time be issued or
delivered upon the exchange of any Note; and the Trustee and any other Exchange
Agent make no representations with respect thereto. Neither the Trustee nor any
Exchange Agent shall be responsible for any failure of the Issuer or the
Company to issue, transfer or deliver any shares of Common Stock or stock
certificates or other securities or property or cash upon the surrender of any
Note for the purpose of exchange or to comply with any of the duties,
responsibilities or covenants of the Issuer or the Company contained in this
Article 13. Without limiting the generality of the foregoing, neither the
Trustee nor any Exchange Agent shall be under any responsibility to determine
the correctness of any provisions contained in any supplemental indenture
entered into pursuant to Section 13.05 relating either to the kind or amount of
shares of capital stock or other securities or other assets or property
(including cash) receivable by Noteholders upon the exchange of their Notes
after any event referred to in such Section 13.05 or to any adjustment to be
made with respect thereto, but, subject to the provisions of Section 7.12, may
accept as conclusive evidence of the correctness of any such provisions, and
shall be protected in relying upon, the Officers’ Certificate and Opinion of
Counsel (which the Issuer shall be obligated to file with the Trustee prior to
the execution of any such supplemental indenture) with respect thereto. The
Trustee shall not at any time be under any duty or responsibility to determine
the accuracy of the method employed in calculating the Trading Price or whether
any facts exist which may require any adjustment of the Trading Price.

Section
13.09.  Notice to
Holders Prior to Certain Actions. 
In case:

(a)           the Company shall declare a dividend
(or any other distribution) on the Common Stock that would require an
adjustment in the Exchange Rate pursuant to Section 13.05; or

(b)           the Company shall authorize the
granting to the holders of all or substantially all of the Common Stock of
rights or warrants to subscribe for or purchase any share of any class or any
other rights or warrants; or

(c)           of any reclassification or
reorganization of the Common Stock (other than a subdivision or combination of
its outstanding Common Stock, or a change in par value, or from par value to no
par value, or from no par value to par value), or of any

 76
 

 

consolidation,
combination, merger or share exchange to which the Issuer or the Company is a
party and for which approval of any shareholders of the Company is required, or
of the sale or transfer of all or substantially all of the assets of the
Company; or

(d)           of the voluntary or involuntary
dissolution, liquidation or winding up of the Company;

the Issuer shall cause to
be filed with the Trustee and to be mailed to each holder of Notes at its
address appearing on the Note Register provided for in Section 2.05 of this
Indenture, as promptly as possible but in any event at least ten (10) calendar
days prior to the applicable date hereinafter specified, a notice stating (x)
the date on which a record is to be taken for the purpose of such dividend,
distribution or rights or warrants, or, if a record is not to be taken, the
date as of which the holders of Common Stock of record to be entitled to such
dividend, distribution or rights are to be determined, or (y) the date on which
such reclassification, consolidation, merger, sale, transfer, dissolution,
liquidation or winding up is expected to become effective or occur, and the
date as of which it is expected that holders of Common Stock of record shall be
entitled to exchange their Common Stock for securities or other property
deliverable upon such reclassification, consolidation, merger, sale, transfer,
dissolution, liquidation or winding up. Failure to give such notice, or any
defect therein, shall not affect the legality or validity of such dividend,
distribution, reclassification, consolidation, merger, sale, transfer,
dissolution, liquidation or winding up.

Section
13.10.  Settlement
upon Exchange.  (a) Upon
exchange of any Notes, subject to Sections 13.01, 13.02 and this Section 13.10,
the Issuer shall satisfy its obligation upon exchange (the “Exchange Obligation”) by payment and delivery of cash,
shares of Common Stock, or a combination thereof, as described below, for each
$1,000 aggregate principal amount of Notes tendered for exchange in accordance
with their terms.

(b)           Upon exchange of Notes, the Issuer
will deliver, in respect of each $1,000 principal amount of Notes tendered for
exchange in accordance with their terms:

(i)            cash
and Common Stock, subject to clause (d) below with respect to all or any
portion of Common Stock the Issuer elects to settle in cash, or a combination
thereof, equal to the sum of the Daily Settlement Amounts for each of the 60
Trading Days during the Applicable Observation Period; and

(ii)           an
amount in cash in lieu of any fractional shares of Common Stock as provided in
Section 13.03.

(c)           The
Daily Settlement Amounts for each of the sixty (60) Trading Days during the
Applicable Observation Period and any amount in cash to be delivered in lieu

 77
 

 

of any fractional shares of Common Stock will be determined by the
Issuer promptly after the end of the Applicable Observation Period and notified
in writing to the Trustee.

(d)           By
the close of business on the Business Day prior to the first Scheduled Trading
Day of the Applicable Observation Period, the Issuer may specify a percentage
of each Daily Share Amount that will be settled in cash (the “Cash Percentage”) and will notify the Holder of such Cash
Percentage through written notice to the Trustee (the “Cash
Percentage Notice”).  If the
Issuer elects to specify a Cash Percentage, (x) the amount of cash that the
Issuer will deliver in lieu of all or an applicable portion of the Daily Share
Amount in respect of each Trading Day in the Applicable Observation Period will
equal the product of: (i) the Cash Percentage, (ii) the Daily Share Amount for
such Trading Day (assuming for this purpose the Issuer has not specified a Cash
Percentage), and (iii) the Daily VWAP for such Trading Day and (y) the number
of shares of Common Stock deliverable in respect of each Trading Day in the
Applicable Observation Period (in lieu of the full Daily Share Amount for such
Trading Day) will be a percentage of the Daily Share Amount (assuming the
Issuer has not specified a Cash Percentage) equal to 100% minus the Cash
Percentage.

(e)           If
the Company does not specify  a Cash
Percentage by the close of business on the Trading Day prior to the first
scheduled Trading Day of the Applicable Observation Period, the Issuer shall
settle 100% of the Daily Share Amount for each Trading Day in the Applicable
Observation Period with shares of Common Stock; provided,
however, that the Issuer shall pay cash in lieu of fractional shares
otherwise issuable upon exchange of such Note. 
The Issuer may, at its option, revoke any Cash Percentage Notice through
written notice to the Trustee by the close of business on the Business Day
prior to the first Scheduled Trading Day of the Applicable Observation Period.

(f)            Payment
of the cash and, if applicable, shares of Common Stock pursuant to Section
13.10(b) shall be made by the Issuer on the third Business Day immediately
following the last Trading Day of the Applicable Observation Period to the
holder of a Note surrendered for exchange, or such holder’s nominee or
nominees, and the Issuer shall deliver to the Exchange Agent or to such holder,
or such holder’s nominee or nominees, certificates or a book-entry transfer
through the Depositary for the number of full shares of Common Stock, if any,
to which such holder shall be entitled as part of such Exchange Obligation.

(g)           Upon
exchange of Notes, the Holder will deliver to the Issuer cash equal to the
amount the Issuer is required to deduct or withhold under applicable law in
connection with such exchange; provided, however, that if the Holder does not
deliver such cash, the Issuer may (or may instruct the Exchange Agent to)
deduct and withhold from the consideration otherwise deliverable to such Holder
the amount required to be deducted and withheld under applicable law.

 78
 

 

Section 13.11.  Exchange Rate Adjustment After
Certain Designated Events.  (a)
Subject to the provisions hereof, if a Noteholder elects to exchange its Notes
in connection with the occurrence of a transaction described in clause (1) or
clause (2) of the definition of Designated Event, the Issuer will increase the
Applicable Exchange Rate for the Notes so surrendered for exchange by a number
of additional shares of Common Stock (the “Additional Designated
Event Shares”) as specified below; provided that
the Additional Designated Event Shares will only be payable as set forth below.
An exchange of Notes will be deemed for these purposes to be “in connection
with” such a Designated Event if the Exchange Notice is received by the
Exchange Agent from and after the Effective Date of the Designated Event until
the corresponding Designated Event Repurchase Date.

(b)           The number of Additional Designated
Event Shares will be determined by reference to the table in paragraph (e)
below and is based on the date on which the Designated Event transaction
becomes effective (the “Effective Date”)
and the price paid per share of Common Stock in the relevant Designated Event
(in the case of a Designated Event described in the clause (1) of the
definition thereof in which holders of the Common Stock receive only cash), or
in the case of any other Designated Event described in clause (1) or clause (2)
of the definition thereof, the average of the Closing Sale Prices of the Common
Stock over the ten Trading Day period ending on the Trading Day preceding the
Effective Date of such other Designated Event (the “Stock Price”).

(c)           The Stock Prices set forth in the
first row of the table below shall be adjusted as of any date on which the
Exchange Rate of the Notes is adjusted. The adjusted Stock Prices will equal
the Stock Prices applicable immediately prior to such adjustment, multiplied by
a fraction, (i) the numerator of which is the Exchange Rate immediately prior
to the adjustment giving rise to the Stock Price adjustment and (ii) the
denominator of which is the Exchange Rate as so adjusted.

(d)           The number of Additional Designated
Event Shares will be adjusted in the same manner and for the same events as the
Exchange Rate is adjusted pursuant to Section 13.05.

(e)        The following table sets forth the Stock
Price and number of Additional Designated Event Shares to be added to the
Applicable Exchange Rate per $1,000 principal amount of Notes:

	
  Effective
  Date

  	
   

  	
  $40.79

  	
   

  	
  $45.00

  	
   

  	
  $50.00

  	
   

  	
  $55.00

  	
   

  	
  $60.00

  	
   

  	
  $65.00

  	
   

  	
  $70.00

  	
   

  	
  $75.00

  	
   

  	
  $80.00

  	
   

  	
  $85.00

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  November 16,
  2006

  	
   

  	
  4.0860

  	
   

  	
  2.3674

  	
   

  	
  1.3406

  	
   

  	
  0.7327

  	
   

  	
  0.3888

  	
   

  	
  0.2069

  	
   

  	
  0.1225

  	
   

  	
  0.0904

  	
   

  	
  0.0790

  	
   

  	
  0.0730

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  December 1, 2007

  	
   

  	
  4.0860

  	
   

  	
  2.4035

  	
   

  	
  1.3237

  	
   

  	
  0.6994

  	
   

  	
  0.3589

  	
   

  	
  0.1880

  	
   

  	
  0.1149

  	
   

  	
  0.0902

  	
   

  	
  0.0813

  	
   

  	
  0.0757

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  December 1, 2008

  	
   

  	
  4.0860

  	
   

  	
  2.3495

  	
   

  	
  1.2342

  	
   

  	
  0.6162

  	
   

  	
  0.3005

  	
   

  	
  0.1570

  	
   

  	
  0.1043

  	
   

  	
  0.0882

  	
   

  	
  0.0811

  	
   

  	
  0.0757

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  December 1, 2009

  	
   

  	
  4.0860

  	
   

  	
  2.2453

  	
   

  	
  1.0875

  	
   

  	
  0.4932

  	
   

  	
  0.2255

  	
   

  	
  0.1256

  	
   

  	
  0.0968

  	
   

  	
  0.0873

  	
   

  	
  0.0811

  	
   

  	
  0.0757

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  December 1, 2010

  	
   

  	
  4.0860

  	
   

  	
  2.0558

  	
   

  	
  0.8284

  	
   

  	
  0.3079

  	
   

  	
  0.1428

  	
   

  	
  0.1048

  	
   

  	
  0.0942

  	
   

  	
  0.0871

  	
   

  	
  0.0811

  	
   

  	
  0.0757

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  December 1, 2011

  	
   

  	
  4.0860

  	
   

  	
  1.7924

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  

 

 79
 

 

(f)            If the exact Stock Price and
Effective Date are not set forth on the table above, then:

(i)            if
the Stock Price is between two Stock Prices in the table or the Effective Date
is between two Effective Dates in the table, the Additional Designated Event
Shares will be determined by a straight-line interpolation between the number
of Additional Designated Event Shares set forth for the higher and lower Stock
Prices and the earlier and later Effective Dates, as applicable, based on a
365-day year;

(ii)           if
the Stock Price is in excess of $85.00 per share of Common Stock (the “Make Whole Cap”) (subject to adjustment as described below)
no additional Designated Event Shares will be added to the Applicable Exchange
Rate; and

(iii)          if
the Stock Price is less than $40.79 per share of Common Stock (the “Make Whole Floor”) (subject to adjustment as described
below) no additional Designated Event Shares will be added to the Applicable
Exchange Rate.

The Make Whole Cap
and Make Whole Floor shall be adjusted as of any date on which the Exchange
Rate of the Notes is adjusted pursuant to Section 13.05. The adjusted Make
Whole Cap or Make Whole Floor, as the case may be, shall equal the Make Whole
Cap or Make Whole Floor, as the case may be, applicable immediately prior to
such adjustment, multiplied by a fraction, (i) the numerator of which is the
Exchange Rate immediately prior to the adjustment giving rise to the adjustment
and (ii) the denominator of which is the Exchange Rate as so adjusted.

(g)           Notwithstanding anything in this
Section 13.11 to the contrary, in no event will the total number of shares of
Common Stock issuable upon exchange of the Notes exceed 24.5158 per $1,000
principal amount of Notes, subject to adjustment in the same manner as the
Exchange Rate pursuant to Section 13.05.

Section 13.12.  Recapitalization,
Reclassifications and Changes of Common Stock. 
If the Company is a party to a consolidation, merger, binding
share exchange,

 80
 

 

reclassification or sale
or conveyance of all or substantially all of its properties and assets, in each
case pursuant to which all of the Common Stock is exchanged for cash,
securities or other property, then at the effective time of the transaction,
the Daily VWAP, each Daily Settlement Amount and each Daily Exchange Value will
be calculated based on the kind and amount of cash, securities or other
property that a holder of such a number of shares of Common Stock equal to the
Applicable Exchange Rate would have received in such transaction. For purposes
of the foregoing, where a consolidation, merger or binding share exchange
involves a transaction that causes shares of Common Stock to be exchanged into
the right to receive more than a single type of consideration based upon any
form of shareholder election, such consideration will be deemed to be the
weighted average of the types and amounts of consideration received by the
holders of Common Stock that affirmatively make such an election.

Section 13.13.  Calculations in Respect of
Notes.  Except as otherwise
specifically stated herein or in the Notes, all calculations to be made in
respect of the Notes, including, but not limited to, the Exchange Price and the
Exchange Rate, shall be the obligation of the Issuer. All calculations made by
the Issuer or its agent as contemplated pursuant to the terms hereof and of the
Notes shall be made in good faith and be final and binding on the Notes and the
Holders of the Notes absent manifest error. The Issuer shall provide a schedule
of calculations to the Trustee, and the Trustee shall be entitled to rely upon
the accuracy of the calculations by the Issuer without independent
verification. The Trustee shall forward calculations made by the Issuer to any
Holder of Notes upon request.

ARTICLE
14

Meetings of Holders of Notes

Section 14.01.  Purposes for Which Meetings
May Be Called.  A meeting of
Holders of Notes may be called at any time and from time to time pursuant to
this Article 14 to make, give or take any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture
to be made, given or taken by Holders of Notes.

Section 14.02.  Call, Notice and Place of Meetings.  (a) The Trustee may at any time call a
meeting of Holders of Notes for any purpose specified in Section 14.01, to be
held at such time and at such place as the Trustee shall determine.  Notice of every meeting of Holders of Notes,
setting forth the time and the place of such meeting and in general terms the
action proposed to be taken at such meeting, shall be given, in the manner
provided in Section 15.04, not less than 20 nor more than 180 days prior to the
date fixed for the meeting.

(b)           In case at any time the Issuer,
pursuant to a Board Resolution, the Company, or the Holders of at least 25% in
principal amount of the outstanding Notes shall have requested the Trustee to
call a meeting of the Holders of Notes for any purpose specified in Section
14.01, by written request setting forth in reasonable detail the action
proposed

 81
 

 

to be taken at the
meeting, and the Trustee shall not have made the first publication of the
notice of such meeting within 20 days after receipt of such request or shall not
thereafter proceed to cause the meeting to be held as provided herein, then the
Issuer, the Company or the Holders of Notes in the amount above specified, as
the case may be, may determine the time and the place for such meeting and may
call such meeting for such purposes by giving notice thereof as provided in
subsection (a) of this Section 14.02.

Section 14.03.  Persons Entitled to Vote at
Meetings.  To be entitled to
vote at any meeting of Holders of Notes, a Person shall be (a) a Holder of one
or more outstanding Notes, or (b) a Person appointed by an instrument in
writing as proxy for a Holder or Holders of one or more outstanding Notes by
such Holder or Holders. The only Persons who shall be entitled to be present or
to speak at any meeting of Holders of Notes shall be the Persons entitled to
vote at such meeting and their counsel, any representatives of the Trustee and
its counsel and any representatives of the Issuer and the Company and their
respective counsel.

Section 14.04.  Quorum; Action.  The Persons entitled to vote a majority in
principal amount of the outstanding Notes shall constitute a quorum for a
meeting of Holders of Notes; provided, however, that if any action is to be taken at such meeting
with respect to a consent or waiver which this Indenture expressly provides may
be given by the Holders of not less than a specified percentage in principal
amount of the outstanding Notes, the Persons entitled to vote such specified
percentage in principal amount of the outstanding Notes shall constitute a
quorum. In the absence of a quorum within 30 minutes after the time appointed
for any such meeting, the meeting shall, if convened at the request of Holders
of Notes, be dissolved. In any other case the meeting may be adjourned for a
period of not less than 10 days as determined by the chairman of the meeting
prior to the adjournment of such meeting. In the absence of a quorum at the
reconvening of any such adjourned meeting, such adjourned meeting may be
further adjourned for a period of not less than 10 days; at the reconvening of
any meeting adjourned or further adjourned for lack of a quorum, the persons
entitled to vote 25% in aggregate principal amount of the then outstanding
Notes shall constitute a quorum for the taking of any action set forth in the
notice of the original meeting. Notice of the reconvening of any adjourned
meeting shall be given as provided in Section 14.02(a), except that such notice
need be given only once not less than five days prior to the date on which the
meeting is scheduled to be reconvened.

Except as limited
by the proviso to Section 9.02, any resolution presented to a meeting or
adjourned meeting duly reconvened at which a quorum is present as aforesaid may
be adopted by the affirmative vote of the persons entitled to vote a majority
in aggregate principal amount of the outstanding Notes; provided,
however, that, except as limited by the
proviso to Section 9.02, any resolution with respect to any request, demand,
authorization, direction, notice, consent, waiver or other action which this
Indenture expressly provides may be made, given or taken by the Holders of a
specified percentage, which is less than a majority, in principal amount of the
outstanding Notes may be adopted at a meeting or an adjourned meeting duly
reconvened and at which a quorum is

 82
 

 

present as aforesaid by
the affirmative vote of the Holders of such specified percentage in principal
amount of the outstanding Notes.

Any resolution
passed or decision taken at any meeting of Holders of Notes duly held in
accordance with this Section 14.04 shall be binding on all the Holders of
Notes, whether or not present or represented at the meeting.

Notwithstanding
the foregoing provisions of this Section 14.04, if any action is to be taken at
a meeting of Holders of Notes with respect to any request, demand,
authorization, direction, notice, consent, waiver or other action that this
Indenture expressly provides may be made, given or taken by the Holders of a
specified percentage in principal amount of all outstanding Notes affected
thereby:

(i)            there
shall be no minimum quorum requirement for such meeting; and

(ii)           the
principal amount of the outstanding Notes that vote in favor of such request,
demand, authorization, direction, notice, consent, waiver or other action shall
be taken into account in determining whether such request, demand,
authorization, direction, notice, consent, waiver or other action has been
made, given or taken under this Indenture.

Section 14.05.  Determination of Voting
Rights; Conduct and Adjournment of Meetings.  (a) Notwithstanding any provisions of this
Indenture, the Trustee may make such reasonable regulations as it may deem
advisable for any meeting of Holders of Notes in regard to proof of the holding
of Notes and of the appointment of proxies and in regard to the appointment and
duties of inspectors of votes, the submission and examination of proxies,
certificates and other evidence of the right to vote, and such other matters
concerning the conduct of the meeting as it shall deem appropriate.  Except as otherwise permitted or required by
any such regulations, the holding of Notes shall be proved in the manner
specified in Section 8.01 and the appointment of any proxy shall be proved in
the manner specified in Section 8.01 or by having the signature of the Person
executing the proxy witnessed or guaranteed by any trust company, bank or
banker authorized by Section 8.01 to certify to the holding of the Notes. Such
regulations may provide that written instruments appointing proxies, regular on
their face, may be presumed valid and genuine without the proof specified in
Section 8.01 or other proof.

(b)           The Trustee shall, by an instrument
in writing appoint a temporary chairman of the meeting, unless the meeting
shall have been called by the Issuer, the Company or by Holders of Notes as
provided in Section 14.02(b), in which case the Issuer, the Company or the
Holders of Notes calling the meeting, as the case may be, shall in like manner
appoint a temporary chairman. A permanent chairman and a permanent secretary of
the meeting shall be elected by vote of the Persons entitled to vote a majority
in principal amount of the outstanding Notes represented at the meeting.

 83
 

 

(c)           At any meeting each Holder of such
Notes or proxy shall be entitled to one vote for each $1,000 principal amount
of the outstanding Notes held or represented by him; provided,
however, that no vote shall be cast or
counted at any meeting in respect of any Note challenged as not outstanding and
ruled by the chairman of the meeting to be not outstanding. The chairman of the
meeting shall have no right to vote, except as a Holder of Notes or proxy.

(d)           Any meeting of Holders of Notes duly
called pursuant to Section 14.02 at which a quorum is present may be adjourned
from time to time by Persons entitled to vote a majority in principal amount of
the outstanding Notes represented at the meeting, and the meeting may be held
as so adjourned without further notice.

Section 14.06.  Counting Votes and Recording
Action of Meetings.  The vote
upon any resolution submitted to any meeting of Holders of Notes shall be by
written ballots on which shall be subscribed the signatures of the Holders of
Notes or of their representatives by proxy and the principal amounts and serial
numbers of the outstanding Notes held or represented by them. The permanent
chairman of the meeting shall appoint two inspectors of votes who shall count
all votes cast at the meeting for or against any resolution and who shall make
and file with the secretary of the meeting their verified written reports in
duplicate of all votes cast at the meeting. A record, at least in duplicate, of
the proceedings of each meeting of Holders of Notes shall be prepared by the
secretary of the meeting and there shall be attached to said record the
original reports of the inspectors of votes on any vote by ballot taken thereat
and affidavits by one or more persons having knowledge of the fact, setting
forth a copy of the notice of the meeting and showing that said notice was
given as provided in Section 14.02 and, if applicable, Section 14.04. Each copy
shall be signed and verified by the affidavits of the permanent chairman and
secretary of the meeting and one such copy shall be delivered to the Issuer and
the Company and another to the Trustee to be preserved by the Trustee, the
latter to have attached thereto the ballots voted at the meeting. Any record so
signed and verified shall be conclusive evidence of the matters therein stated.

ARTICLE
15

Miscellaneous Provisions

Section 15.01.  Provisions Binding on Issuer’s
and the Company’s Successors.  All
the covenants, stipulations, promises and agreements by the Issuer or the
Company contained in this Indenture shall bind their respective successors and
assigns whether so expressed or not.

Section 15.02.  Common Stock Delivery
Agreement.  The Issuer has
entered into an agreement with the Company pursuant to which the Company has
agreed that, in the event the Issuer elects to deliver any shares of Common
Stock upon exchange of the Notes, the Company will deliver such shares of
Common Stock to the Issuer for delivery

 84
 

 

to the Holder upon
exchange of the Notes and the Issuer will issue a corresponding number of Units
to the Company or one of its Affiliates.

Section 15.03.  Official Acts by Successor Corporation.  Any act or proceeding by any
provision of this Indenture authorized or required to be done or performed by
any board, committee or officer of the Issuer shall and may be done and
performed with like force and effect by the like board, committee or officer of
any Person that shall at the time be the lawful sole successor of the Issuer or
the Company.

Section 15.04.  Addresses for Notices,
etc.  Any notice or demand
which by any provision of this Indenture is required or permitted to be given
or served by the Trustee or by the Holders of Notes on the Issuer or the
Company shall be in writing and shall be deemed to have been sufficiently given
or made, for all purposes, if given or served by being deposited postage
prepaid by registered or certified mail in a post office letter box, or sent by
overnight courier, or sent by telecopier transmission addressed as follows:

	
   

  	
  To Issuer:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Duke Realty Limited Partnership

  	
   

  
	
   

  	
  600 East 96th Street, Suite 100

  	
   

  
	
   

  	
  Indianapolis, Indiana 46240

  	
   

  
	
   

  	
  Telecopier No.: 317-808-6770

  	
   

  
	
   

  	
  Attention: General Counsel

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  To the Company:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Duke Realty Corporation

  	
   

  
	
   

  	
  600 East 96th Street, Suite 100

  	
   

  
	
   

  	
  Indianapolis, Indiana 46240

  	
   

  
	
   

  	
  Telecopier No.: 317-808-6770

  	
   

  
	
   

  	
  Attention: General Counsel

  	
   

  

 

Any notice,
direction, request or demand hereunder to or upon the Trustee shall be deemed
to have been sufficiently given or made, for all purposes, if given or served
by being deposited, postage prepaid, by registered or certified mail in a post
office letter box, or sent by overnight courier, or sent by facsimile
transmission addressed as follows:

	
   

  	
  The Bank of New York Trust Company, N.A., as Trustee

  	
   

  
	
   

  	
  227 West Monroe Street, Suite 2600

  	
   

  
	
   

  	
  Chicago, IL 
  60606

  	
   

  
	
   

  	
  Attention: 
  Corporate Trust Services

  	
   

  
	
   

  	
  Facsimile No.: 
  (312) 267-5207

  	
   

  
	
   

  	
   

  	
   

  

 

The Trustee, by notice to
the Issuer, may designate additional or different addresses for subsequent
notices or communications.

 85
 

 

Any notice or
communication mailed to a Noteholder shall be mailed by first class mail,
postage prepaid, at such Noteholder’s address as it appears on the Note
Register and shall be sufficiently given to such Noteholder if so mailed within
the time prescribed.

Failure to mail a
notice or communication to a Noteholder or any defect in it shall not affect
its sufficiency with respect to other Noteholders. If a notice or communication
is mailed or given in the manner provided above, it is duly given, whether or
not the addressee receives it.

Section 15.05.  Governing Law.  This Indenture and the Notes shall
be governed by, and construed in accordance with, the laws of the State of New
York.

Section 15.06.  Evidence of Compliance with
Conditions Precedent, Certificates to Trustee. 
Upon any application or demand by the Issuer to the Trustee
to take any action under any of the provisions of this Indenture, the Issuer
shall furnish to the Trustee an Officers’ Certificate stating that all
conditions precedent, if any, provided for in this Indenture relating to the
proposed action have been complied with, and, if requested by the Trustee, an
Opinion of Counsel stating that, in the opinion of such counsel, all such
conditions precedent have been complied with, except that in the case of any
such application or request as to which the furnishing of such documents is
specifically required by any provision of this Indenture relating to such
particular application or request, no additional certificate or opinion need be
furnished.

Each certificate
or opinion provided for in this Indenture and delivered to the Trustee with
respect to compliance with a condition or covenant provided for in this
Indenture shall include: (1) a statement that the person making such
certificate or opinion has read such covenant or condition; (2) a brief
statement as to the nature and scope of the examination or investigation upon
which the statement or opinion contained in such certificate or opinion is
based; (3) a statement that, in the opinion of such person, such person has
made such examination or investigation as is necessary to enable such person to
express an informed opinion as to whether or not such covenant or condition has
been complied with; and (4) a statement as to whether or not, in the opinion of
such person, such condition or covenant has been complied with; provided, however, that with respect to matters of fact an
Opinion of Counsel may rely on an Officers’ Certificate or certificates of
public officials.

Section 15.07.  Legal Holidays.  In any case where any interest payment date,
Redemption Date, Designated Event Repurchase Date, Stated Maturity or maturity
date of any Note, or the last date on which a Holder has the right to exchange
a Note, shall not be a Business Day at any place of payment, then
(notwithstanding any other provision of this Indenture or any Note other than a
provision in such Note which specifically states that such provision shall
apply in lieu hereof), payment of interest or principal (and premium, if any)
or exchange of such security need not be made at such place of payment on such
date, but  may be made on the next succeeding
Business Day at such place of

 86
 

 

payment with the same
force and effect as if made on the interest payment date, Redemption Date,
Designated Event Repurchase Date, Stated Maturity or maturity date, or on such
last day for exchange, provided that
no interest shall accrue on the amount so payable for the period from and after
such interest payment date, Redemption Date, Designated Event Repurchase Date,
Stated Maturity or maturity date, as the case may be.

Section 15.08.  No Security Interest
Created.  Nothing in this
Indenture or in the Notes, expressed or implied, shall be construed to
constitute a security interest under the Uniform Commercial Code or similar
legislation, as now or hereafter enacted and in effect, in any jurisdiction in
which property of the Issuer or its subsidiaries is located.

Section 15.09.  Benefits of Indenture.  Nothing in this Indenture or in
the Notes, express or implied, shall give to any Person, other than the parties
hereto, any Paying Agent, any authenticating agent, any Note Registrar, any
Exchange Agent and their successors hereunder and the Holders of Notes any
benefit or any legal or equitable right, remedy or claim under this Indenture.

Section 15.10.  Table of Contents, Headings,
etc.  The table of contents
and the titles and headings of the Articles and Sections of this Indenture have
been inserted for convenience of reference only, are not to be considered a
part hereof, and shall in no way modify or restrict any of the terms or
provisions hereof.

Section 15.11.  Execution in
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.

Section 15.12.  Severability. 
In case any provision in this Indenture or in the Notes shall
be invalid, illegal or unenforceable, then the validity, legality and
enforceability of the remaining provisions shall not in any way be affected or
impaired thereby.

Section
15.13.  No
Shareholder Rights for Noteholders. 
Noteholders, as such, will not have any rights as shareholders of the
Company, including, without limitation, voting rights and rights to receive any
dividends or other distributions on the Common Stock.

 87
 

 

IN WITNESS
WHEREOF, the parties hereto have caused this Indenture to be duly executed.

	
  

  	
  DUKE REALTY LIMITED PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
  By: Duke Realty Corporation

  
	
   

  	
  Its: Sole General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Howard L. Feinsand

  
	
   

  	
  Name:

  	
  Howard L. Feinsand

  
	
   

  	
  Title:

  	
  Executive Vice President, General 

  
	
   

  	
   

  	
  Counsel and Secretary

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  DUKE REALTY CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Howard L. Feinsand

  
	
   

  	
  Name:

  	
  Howard L. Feinsand

  
	
   

  	
  Title:

  	
  Executive Vice President, General 

  
	
   

  	
   

  	
  Counsel and Secretary

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  THE BANK OF NEW YORK TRUST

  COMPANY, N.A.,

  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Janice Ott Rotunno

  
	
   

  	
  Name:

  	
  Janice Ott Rotunno

  
	
   

  	
  Title:

  	
  Vice President

  

 

 

 88

 

 

EXHIBIT A

[Include only for Global
Notes]

UNLESS THIS CERTIFICATE
IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY
(55 WATER STREET, NEW YORK, NEW YORK) (THE “DEPOSITARY,” WHICH TERM INCLUDES
ANY SUCCESSOR DEPOSITARY FOR THE CERTIFICATES) TO THE ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS REQUESTED BY
AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITARY (AND ANY PAYMENT HEREIN IS MADE
TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITARY), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

THIS NOTE IS ISSUED WITH
ORIGINAL ISSUE DISCOUNT FOR PURPOSES OF SECTION 1271 ET SEQ. OF THE INTERNAL
REVENUE CODE OF 1986, AS AMENDED, AND THE RULES AND REGULATIONS THEREUNDER. FOR
EACH $1,000 PRINCIPAL AMOUNT OF THIS NOTE, (1) THE ISSUE PRICE IS $985;
(2) THE AMOUNT OF THE ORIGINAL ISSUE DISCOUNT IS $15; (3) THE ISSUE
DATE IS NOVEMBER 22, 2006; AND (4) THE YIELD TO MATURITY IS 4.08691%
(COMPOUNDED SEMI-ANNUALLY).

[Include only for Notes
that are Restricted Securities]

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), AND ACCORDINGLY, MAY NOT BE OFFERED OR
SOLD EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF,
THE HOLDER AGREES THAT IT WILL NOT RESELL OR OTHERWISE TRANSFER THE SECURITY
EVIDENCED HEREBY, EXCEPT (A) TO THE ISSUER, DUKE REALTY CORPORATION OR A
SUBSIDIARY OF THE ISSUER OR OF DUKE REALTY CORPORATION; OR (B) TO A PERSON THE
SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN
RULE 144A ADOPTED UNDER THE SECURITIES ACT) THAT IS PURCHASING FOR ITS OWN
ACCOUNT OR FOR THE ACCOUNT OF ANOTHER QUALIFIED INSTITUTIONAL BUYER AND TO WHOM
NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, ALL
IN COMPLIANCE WITH RULE 144A (IF AVAILABLE).

THIS NOTE IS ISSUED WITH
ORIGINAL ISSUE DISCOUNT FOR PURPOSES OF SECTION 1271 ET SEQ. OF THE INTERNAL
REVENUE CODE OF 1986, AS 

 A-1
 

 

AMENDED, AND THE RULES
AND REGULATIONS THEREUNDER. FOR EACH $1,000 PRINCIPAL AMOUNT OF THIS NOTE,
(1) THE ISSUE PRICE IS $985; (2) THE AMOUNT OF THE ORIGINAL ISSUE
DISCOUNT IS $15; (3) THE ISSUE DATE IS NOVEMBER 22, 2006; AND (4) THE
YIELD TO MATURITY IS 4.08691% (COMPOUNDED SEMI-ANNUALLY).

[Include
only for shares of Common Stock that are Restricted Securities]

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), AND ACCORDINGLY, MAY NOT BE OFFERED OR
SOLD EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF,
THE HOLDER AGREES (1) THAT IT WILL NOT RESELL OR OTHERWISE TRANSFER THE
SECURITY EVIDENCED HEREBY, EXCEPT (A) TO THE ISSUER, DUKE REALTY CORPORATION OR
A SUBSIDIARY OF THE ISSUER OR OF DUKE REALTY CORPORATION; (B) UNDER A REGISTRATION
STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT; (C) TO A
PERSON THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS
DEFINED IN RULE 144A ADOPTED UNDER THE SECURITIES ACT) THAT IS PURCHASING FOR
ITS OWN ACCOUNT OR FOR THE ACCOUNT OF ANOTHER QUALIFIED INSTITUTIONAL BUYER AND
TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE
144A, ALL IN COMPLIANCE WITH RULE 144A (IF AVAILABLE); OR (D) UNDER ANY OTHER
AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT;
AND (2) THAT IT WILL, PRIOR TO ANY TRANSFER OF THIS SECURITY, FURNISH TO THE
TRANSFER AGENT AND THE ISSUER SUCH CERTIFICATIONS, LEGAL OPINIONS OR OTHER
INFORMATION AS MAY BE REQUIRED TO CONFIRM THAT SUCH TRANSFER IS BEING MADE
PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT.

 A-2
 

 

DUKE REALTY LIMITED PARTNERSHIP

3.75% EXCHANGEABLE SENIOR NOTES DUE 2011

No.[  ]

CUSIP: 26441YAN7

$[     ]

Duke Realty
Limited Partnership, an Indiana limited partnership (herein called the “Issuer,” which term includes any successor under the
Indenture referred to on the reverse hereof), for value received hereby
promises to pay to Cede & Co., or its registered assigns, the principal sum
of [    ] ($[    ]), or such lesser
amount as is set forth in the Schedule of Increases or Decreases in Note on the
other side of this Note, on December 1, 2011 at the office or agency of the
Issuer maintained for that purpose in accordance with the terms of the
Indenture, in such coin or currency of the United States of America as at the
time of payment shall be legal tender for the payment of public and private
debts, and to pay interest, semi-annually on June 1 and December 1 of each
year, commencing June 1, 2007, on said principal sum at said office or agency,
in like coin or currency, at the rate per annum of 3.75%, from the June 1 or
December 1, as the case may be, next preceding the date of this Note to which
interest has been paid or duly provided for, unless no interest has been paid
or duly provided for on the Notes, in which case from November 22, 2006 until
payment of said principal sum has been made or duly provided for. Payment of
the principal of and interest on the Notes not represented by a Global Note
will be made at the Corporate Trust Office or the office maintained for that
purpose in the Borough of Manhattan, The City of New York, New York, 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
Issuer, payments of interest on the Notes may be made (i) by check mailed to
the address of the Person entitled thereto as such address shall appear in the
Note Register or (ii) by wire transfer to an account maintained by the Person
entitled thereto located within the United States.

The Issuer
promises to pay interest on overdue principal, premium, if any, and (to the
extent that payment of such interest is enforceable under applicable law)
interest at the rate borne by the Notes.

Reference is made
to the further provisions of this Note set forth on the reverse hereof,
including, without limitation, provisions giving the Holder of this Note the
right to exchange this Note into cash and, if applicable, shares of Common
Stock, on the terms and subject to the limitations referred to on the reverse
hereof and as more fully specified in the Indenture. Such further provisions
shall for all purposes have the same effect as though fully set forth at this
place.

 A-3
 

 

This Note shall
not be valid or become obligatory for any purpose until the certificate of
authentication hereon shall have been signed manually or by facsimile by the
Trustee or a duly authorized authenticating agent under the Indenture.

 A-4
 

 

IN WITNESS
WHEREOF, the Issuer has caused this Note to be duly executed.

Dated:
November 22, 2006

	
  

  	
   

  	
  DUKE REALTY LIMITED PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Duke Realty Corporation

  
	
   

  	
   

  	
  Its: Sole General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  

 

 A-5
 

 

TRUSTEE’S
CERTIFICATE OF AUTHENTICATION

This is one of the
Notes described in the within-named Indenture.

Dated:

	
  

  	
   

  	
  THE BANK OF NEW YORK TRUST

  COMPANY, N.A., as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 A-6

 

 

[FORM OF
REVERSE SIDE OF NOTE]

DUKE
REALTY LIMITED PARTNERSHIP

3.75% EXCHANGEABLE SENIOR NOTES DUE 2011

This Note is one
of a duly authorized issue of Notes of the Issuer, designated as its 3.75%
Exchangeable Senior Notes due 2011 (herein called the “Notes”),
issued under and pursuant to an Indenture dated as of November 22, 2006 (herein
called the “Indenture”), among the Issuer, the
Company and The Bank of New York Trust Company, N.A., as trustee (herein called
the “Trustee”), to which Indenture and all indentures
supplemental thereto reference is hereby made for a description of the rights,
limitations of rights, obligations, duties and immunities thereunder of the
Trustee, the Issuer and the Holders of the Notes. Defined terms used but not
otherwise defined in this Note shall have the respective meanings ascribed
thereto in the Indenture.

If an Event of
Default (other than an Event of Default specified in Section 6.01(h) or 6.01(i)
of the Indenture) occurs and is continuing, the principal of, premium, if any,
and accrued and unpaid interest on all Notes may be declared to be due and
payable by either the Trustee or the Holders of at least 25% in aggregate
principal amount of the Notes then outstanding, and, upon said declaration the
same shall be immediately due and payable. If an Event of Default specified in
Section 6.01(h) or 6.01(i) of the Indenture occurs and is continuing, then the
principal of and premium, if any, and interest accrued and unpaid on all the
Notes shall be immediately due and payable without any declaration or other
action on the part of the Trustee or any Holder of Notes.

The Indenture
contains provisions permitting the Issuer and the Trustee, with the consent of
the Holders of not less than a majority in aggregate principal amount of the
Notes at the time outstanding, to execute supplemental indentures adding any
provisions to or changing in any manner or eliminating any of the provisions of
the Indenture or of any supplemental indenture or modifying in any manner the
rights of the Holders of the Notes, subject to exceptions set forth in Section
9.02 of the Indenture. Subject to the provisions of the Indenture, the Holders
of not less than a majority in aggregate principal amount of the Notes at the
time outstanding may, on behalf of the Holders of all of the Notes, waive
certain past defaults or Events of Default.

No reference
herein to the Indenture and no provision of this Note or of the Indenture shall
impair, as among the Issuer and the Holder of the Notes, the obligation of the
Issuer, which is absolute and unconditional, to pay the principal of, premium,
if any, on and interest on this Note at the place, at the respective times, at
the rate and in the coin or currency herein and in the Indenture prescribed.

Interest on the
Notes shall be computed on the basis of a 360-day year of twelve 30-day months.

 A-7
 

 

The Notes are
issuable in fully-registered form, without coupons, in minimum denominations of
$1,000 principal amount and in integral multiples of $1,000 in excess thereof.
At the office or agency of the Issuer referred to on the face hereof, and in
the manner and subject to the limitations provided in the Indenture, without
payment of any service charge but with payment of a sum sufficient to cover any
tax, assessment or other governmental charge that may be imposed in connection
with any registration or exchange of Notes, Notes may be exchanged for a like
aggregate principal amount of Notes of any other authorized denominations.

The Issuer shall
have the right to redeem the Notes under certain circumstances as set forth in
Section 3.01 of the Indenture.

The Notes are not
subject to redemption through the operation of any sinking fund.

Upon the
occurrence of a Designated Event, Holders of shall have the right to require
the Issuer to repurchase all or a portion of their Notes pursuant to Article 13
of the Indenture.

Subject to and in
compliance with the provisions of the Indenture, the Holder hereof shall have
the right to exchange each $1,000 principal amount of this Note into cash and,
if applicable, shares of Common Stock as provided in Article 13 of the
Indenture.

In the event the
Holder surrenders this Note for exchange in connection with certain Designated
Events, the Issuer will increase the Applicable Exchange Rate by the Additional
Designated Event Shares as and when provided in the Indenture.

No recourse for
the payment of the principal of (including the Redemption Price or Repurchase
Price upon redemption or repurchase pursuant to Article 3 of the Indenture) or
any premium, if any, or interest on this Note, or for any claim based hereon or
otherwise in respect hereof, and no recourse under or upon any obligation,
covenant or agreement of the Issuer in the Indenture or any supplemental
indenture or in this Note, or because of the creation of any indebtedness
represented thereby, shall be had against any incorporator, shareholder,
partner, member, manager, employee, agent, officer, director or subsidiary, as
such, past, present or future, of the Company, the Issuer or any of the Company’s
Subsidiaries or of any successor thereto, either directly or through the
Company, the Issuer or any of the Company’s Subsidiaries or of any successor
thereto, whether by virtue of any constitution, statute or rule of law, or by
the enforcement of any assessment or penalty or otherwise; it being expressly
understood that all such liability is hereby expressly waived and released as a
condition of, and as consideration for, the execution of the Indenture and the
issue of this Note.

In addition to the
rights provided to Holders of Notes under the Indenture, Holders shall have all
the rights set forth in the Registration Rights Agreement dated as 

 A-8
 

 

of November 22, 2006,
among the Issuer, the Company and the Initial Purchasers named therein (the “Registration Rights Agreement”).

 A-9
 

 

ABBREVIATIONS

The
following abbreviations, when used in the inscription of the face of this Note,
shall be construed as though they were written out in full according to
applicable laws or regulations.

	
  TEN-COM

  	
   

  	
  as tenants in common

  	
   

  	
  UNIF GIFT MIN ACT -___ 

  Custodian ___

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TEN-ENT

  	
   

  	
  as tenant by the entireties

  	
   

  	
  (Cust) (Minor)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  JT-TEN

  	
   

  	
  as joint tenants with right of survivorship and not
  under Uniform Gifts to Minors Act

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  as tenants in common

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (State)

  

 

Additional
abbreviations may also be used though not in the above list.

 A-10
 

 

EXCHANGE
NOTICE

	
  TO:

  	
   

  	
  DUKE REALTY LIMITED PARTNERSHIP

  
	
   

  	
   

  	
  The Bank of New York Trust Company, N.A., as Trustee

  

 

The undersigned
registered owner of this Note hereby irrevocably exercises the option to
exchange this Note, or the portion thereof (which is $1,000 or a multiple
thereof) below designated, into cash and, if applicable, shares of Common
Stock, in accordance with the terms of the Indenture referred to in this Note,
and directs that the shares of Common Stock, if any, issuable and deliverable
upon such exchange, together with any check in payment for cash, if any,
payable upon exchange or for fractional shares and any Notes representing any
unexchanged principal amount hereof, be issued and delivered to the registered
holder hereof unless a different name has been indicated below. Capitalized
terms used herein but not defined shall have the meanings ascribed to such
terms in the Indenture. If shares or any portion of this Note not exchanged are
to be issued in the name of a person other than the undersigned, the
undersigned will provide the appropriate information below and pay all transfer
taxes payable with respect thereto. Any amount required to be paid by the
undersigned on account of interest accompanies this Note.

The undersigned
registered owner of this Note hereby certifies that it or the Person on whose
behalf the Notes are being exchanged is a qualified institutional buyer within the
meaning of Rule 144A under the Securities Act of 1933, as amended.

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	
  Signature(s)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature(s) must be guaranteed by an “eligible guarantor institution” meeting the requirements
  of the Note Registrar, which requirements include membership or participation
  in the Security Transfer Agent Medallion Program (“STAMP”)
  or such other “signature guarantee program” as
  may be determined by the Note Registrar in addition to, or in substitution
  for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
  amended.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	
  Signature Guarantee

  

 

 A-11
 

 

Fill in the
registration of shares of Common Stock, if any, if to be issued, and Notes if
to be delivered, and the person to whom cash and payment for fractional shares
is to be made, if to be made, other than to and in the name of the registered
holder:

	
  Please print name and
  address

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
  (Name)

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (Street Address)

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
  (City, State and
  Zip Code)

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Principal amount
  to be exchanged

  	
   

  	
   

  
	
  (if less than
  all):

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  $

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Social Security or Other Taxpayer

  	
   

  
	
   

  	
  Identification Number:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
					

 

NOTICE: The signature on
this Exchange Notice must correspond with the name as written upon the face of
the Note in every particular without alteration or enlargement or any change
whatever.

 A-12
 

 

REPURCHASE
NOTICE

	
  TO:

  	
   

  	
  DUKE REALTY LIMITED PARTNERSHIP

  
	
   

  	
   

  	
  The Bank of New York Trust Company, N.A., as Trustee

  

 

The undersigned
registered owner of this Note hereby irrevocably acknowledges receipt of a
notice from Duke Realty Limited Partnership (the “Issuer”)
regarding the right of Holders to elect to require the Issuer to repurchase the
Notes and requests and instructs the Issuer to repay the entire principal
amount of this Note, or the portion thereof (which is $1,000 or an integral
multiple thereof) below designated, in cash, in accordance with the terms of
the Indenture at the price of 100% of such entire principal amount or portion
thereof, together with accrued and unpaid interest to, but excluding, the
Designated Event Repurchase Date, as the case may be, to the registered holder
hereof. Capitalized terms used herein but not defined shall have the meanings
ascribed to such terms in the Indenture. The Notes shall be repurchased by the
Issuer as of the Designated Event Repurchase Date, as the case may be, pursuant
to the terms and conditions specified in the Indenture.

NOTICE: The
signatures of the Holder(s) hereof must correspond with the name as written
upon the face of the Note in every particular without alteration or enlargement
or any change whatever. Note Certificate Number (if applicable):

	
   

  	
   

  	
   

  

 

Principal amount
to be repurchased (if less than all, must be $1,000 or whole multiples
thereof): ______________________

Social Security or Other
Taxpayer Identification Number: ________________

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature(s)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature(s) must be guaranteed by an “eligible guarantor institution” meeting the requirements
  of the Note Registrar, which requirements include membership or participation
  in the Security Transfer Agent Medallion Program (“STAMP”)
  or such other “signature guarantee program” as
  may be determined by the Note Registrar in addition to, or in substitution
  for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
  amended.

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

 A-13
 

 

 

	
  

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature Guarantee

  	
   

  

 

 A-14
 

 

ASSIGNMENT

For value received
________________________________________ hereby sell(s) assign(s) and
transfer(s) unto ___________________________________ (Please insert social
security or other Taxpayer Identification Number of assignee) the within Note,
and hereby irrevocably constitutes and appoints ____________________________ attorney
to transfer said Note on the books of the Issuer, with full power of
substitution in the premises.

In connection with
any transfer of the Note, the undersigned confirms that such Note is being
transferred:

o                                    To
Duke Realty Limited Partnership, Duke Realty Corporation or a subsidiary of
Duke Realty Limited Partnership or Duke Realty Corporation; or

o                                    To
a “qualified institutional buyer” in
compliance with Rule 144A under the Securities Act of 1933, as amended.

Unless one of the boxes is
checked, the Trustee will refuse to register any of the Notes evidenced by this
certificate in the name of any person other than the registered holder thereof.

	
  Dated:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature(s)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature(s) must be guaranteed by an “eligible guarantor institution” meeting the requirements
  of the Note Registrar, which requirements include membership or participation
  in the Security Transfer Agent Medallion Program (“STAMP”)
  or such other “signature guarantee program” as
  may be determined by the Note Registrar in addition to, or in substitution
  for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
  amended.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature Guarantee

  	
   

  

 

 A-15
 

 

NOTICE: The signature on
this Assignment must correspond with the name as written upon the face of the
Note in every particular without alteration or enlargement or any change
whatever.

 A-16
 

 

ASSIGNMENT

For value received
________________________________________ hereby sell(s) assign(s) and
transfer(s) unto ___________________________________ (Please insert social
security or other Taxpayer Identification Number of assignee) ___________
shares of Common Stock, and hereby irrevocably constitutes and appoints
______________________________________ attorney to transfer said shares of
Common Stock on the books of the Issuer, with full power of substitution in the
premises.

In connection with
any transfer of the shares of Common Stock prior to the expiration of the
holding period applicable to sales thereof under Rule 144(k) under the
Securities Act (or any successor provision) (other than any transfer pursuant
to a registration statement that has been declared effective under the
Securities Act), the undersigned confirms that such shares of Common Stock are
being transferred:

o                                    To
Duke Realty Limited Partnership, Duke Realty Corporation or a subsidiary of
Duke Realty Limited Partnership or Duke Realty Corporation; or

o                                    Pursuant
to and in compliance with Rule 144 under the Securities Act of 1933, as
amended; or

o                                    To
a person the undersigned reasonably believes is a qualified institutional buyer
that is purchasing for its own account or for the account of another qualified
institutional buyer and to whom notice is given that the transfer is being made
in reliance on Rule 144A, all in compliance with Rule 144A (if available); or

o                                    Pursuant
to a Registration Statement which has been declared effective under the
Securities Act of 1933, as amended, and which continues to be effective at the
time of transfer.

Unless one of the boxes is
checked, the Transfer Agent will refuse to register any of the shares of Common
Stock evidenced by this certificate in the name of any person other than the
registered holder thereof.

 A-17
 

 

[Include Schedule
I only for a Global Note]

SCHEDULE
OF INCREASES OR DECREASES IN NOTE

The initial
principal amount of this Global Note is [    ] Dollars
($[    ]). The following increases or decreases in part of
this Note have been made:

 

	
  Date

  	
   

  	
  Amount of

  Increase in

  Principal

  Amount of this

  Note

  	
   

  	
  Amount of

  Decrease in

  Principal

  Amount of this

  Note

  	
   

  	
  Principal

  Amount of this

  Note following

  such Increase or

  Decrease

  	
   

  	
  Signature of Authorized

  Officer of Trustee

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 A-18Exhibit
10.1

 

 

 

 

DUKE REALTY CORPORATION

and

DUKE REALTY LIMITED PARTNERSHIP

REGISTRATION
RIGHTS AGREEMENT

 

November 22, 2006

 

 

 

REGISTRATION RIGHTS AGREEMENT

THIS
REGISTRATION RIGHTS AGREEMENT (the “Agreement”) is made and
entered into as of November 22, 2006, by and among Duke Realty Limited
Partnership, an Indiana limited partnership (the “Issuer”), Duke Realty
Corporation, an Indiana corporation (the “Company”), and Morgan Stanley
& Co. Incorporated, Citigroup Global Markets Inc. and UBS Securities LLC,
as representatives (the “Representatives”) of the initial purchasers
(collectively, the “Initial Purchasers”) pursuant to that certain
Purchase Agreement, dated November 16, 2006 (the “Purchase Agreement”),
among the Issuer, the Company and the Initial Purchasers.

In order to induce
the Initial Purchasers to enter into the Purchase Agreement, the Company has
agreed to provide the registration rights set forth in this Agreement.  The execution and delivery of this Agreement
is a condition to the closing under the Purchase Agreement.  The terms “herein,” “hereof,” “hereto,”
“hereinafter” and similar terms, as used in this Agreement, shall in each case
refer to this Agreement as a whole and not to any particular section,
paragraph, sentence or other subdivision of this Agreement.

The Company and
the Issuer agree with the Initial Purchasers (i) for their benefit as Initial
Purchasers and (ii) for the benefit of the beneficial owners (including the
Initial Purchasers) from time to time of the Notes and the Covered Securities
(as defined herein) (each of the foregoing a “Holder” and, together, the
“Holders”), as follows:

1.             Definitions.  Capitalized terms used herein without
definition shall have the respective meanings set forth in the Purchase
Agreement.  As used in this Agreement,
the following terms shall have the following meanings:

(a)           “additional
interest” has the meaning set forth in Section 2(e) hereof.

(b)           “Additional
Interest Accrual Period” has the meaning set forth in Section 2(e) hereof.

(c)           “Additional
Interest Amount” has the meaning set forth in Section 2(e) hereof.

(d)           “Additional
Interest Payment Date” means each June 1 and December 1 of each year.

(e)           “Affiliate”
means, with respect to any specified person, an “affiliate,” as defined in Rule
144, of such person.

(f)            “Amendment
Effectiveness Deadline Date” has the meaning set forth in Section 2(d)
hereof.

(g)           “Applicable
Exchange Rate” has the meaning ascribed to it in the Indenture.

 1
 

 

(h)           “Applicable
Observation Period” has the meaning set forth in the Indenture.

(i)            “Automatic
Shelf Registration Statement” has the meaning ascribed to it in Rule 405.

(j)            “Business
Day” means each day on which the New York Stock Exchange is open for
trading.

(k)           “Claim”
has the meaning set forth in Section 9(o) hereof.

(l)            “Common
Stock” means the shares of common stock, $0.01 par value per share, of the
Company and any other shares of capital stock as may constitute “Common Stock”
for purposes of the Indenture, deliverable upon exchange of the Notes.

(m)          “Covered
Security” has the meaning set forth in Section 1(ss) hereof.

(n)           “Designated
Event Repurchase Date” has the meaning ascribed to it in the Indenture.

(o)           “Effectiveness
Deadline Date” has the meaning set forth in Section 2(a) hereof.

(p)           “Effectiveness
Period” means a period that begins as of the date the Initial Shelf
Registration Statement becomes effective under the Securities Act and
terminates (subject to extension pursuant to Section 3(k) hereof) when there
are no Registrable Securities outstanding.

(q)           “Event”
has the meaning set forth in Section 2(e) hereof.

(r)            “Event
Date” has the meaning set forth in Section 2(e) hereof.

(s)           “Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules
and regulations of the SEC promulgated thereunder.

(t)            “Exchange
Price” has the meaning ascribed to it in the Indenture.

(u)           “Filing
Deadline Date” has the meaning set forth in Section 2(a) hereof.

(v)           “Form
S-1” means Form S-1 under the Securities Act.

(w)          “Form
S-3” means Form S-3 under the Securities Act.

(x)            “Holder”
has the meaning set forth in the preamble hereto.

(y)           “Holder
Information” has the meaning set forth in Section 6(b) hereof.

 2
 

 

(z)            “Indemnified
Party” has the meaning set forth in Section 6(c) hereof.

(aa)         “Indemnifying
Party” has the meaning set forth in Section 6(c) hereof.

(bb)         “Indenture”
means the Indenture, dated as of November 22, 2006, among the Company, the
Issuer and the Trustee, pursuant to which the Notes are being issued.

(cc)         “Initial
Purchasers” has the meaning set forth in the preamble hereto.

(dd)         “Initial
Shelf Registration Statement” has the meaning set forth in Section 2(a)
hereof.

(ee)         “Issue
Date” means November 22, 2006.

(ff)           “Managing
Underwriters” has the meaning set forth in Section 8(a) hereof.

(gg)         “Material
Event” has the meaning set forth in Section 3(k) hereof.

(hh)         “NASD
Rules” has the meaning set forth in Section 3(t) hereof.

(ii)           “Notes”
means the 3.75% Exchangeable Senior Notes due 2011 of the Issuer to be
purchased pursuant to the Purchase Agreement.

(jj)           “Notice
and Questionnaire” means a written questionnaire containing substantially
the information called for by the Selling Securityholder Notice and
Questionnaire attached as Annex A to the offering memorandum, dated November
16, 2006, relating to the offering of the Notes.

(kk)         “Notice
Holder” means, on a given date, any Holder that has delivered a Notice and
Questionnaire to the Company on or prior to such date, provided not all of such
Holder’s Registrable Securities that have been registered for resale pursuant
to a Notice and Questionnaire have been sold in accordance with a Shelf
Registration Statement.

(ll)           “Proceeding”
has the meaning set forth in Section 6(c) hereof.

(mm)       “Prospectus”
means each prospectus relating to any Shelf Registration Statement, including
all supplements and amendments to such prospectus, in each case in the form
furnished pursuant to this Agreement by the Company to Holders or filed by the
Company with the SEC pursuant to Rule 424 or as part of such Shelf Registration
Statement, as the case may be, and in each case including all materials, if
any, incorporated by reference or deemed to be incorporated by reference in
such prospectus.

(nn)         “Purchase
Agreement” has the meaning set forth in the preamble hereof.

 3
 

 

(oo)         “Record
Date” means, (i) May 15, with respect to an Additional Interest Payment
Date that occurs on June 1 and (ii) November 15, with respect to an Additional
Interest Payment Date that occurs on December 1.

(pp)         “Record
Holder” means, with respect to an Additional Interest Payment Date relating
to the Notes for which any Additional Interest Amount has accrued, a Holder of
Notes that was the holder of record of such Notes at the close of business on
the Record Date relating to such Additional Interest Payment Date.

(qq)         “Redemption”
means the redemption of the Notes pursuant to Section 3.01 of the Indenture.

(rr)           “Redemption
Date” has the meaning ascribed to it in the Indenture.

(ss)         “Registrable
Securities” means the Common Stock deliverable by the Issuer upon exchange
for the Notes pursuant to the terms of the Indenture, and any securities into
or for which such Common Stock has been converted or exchanged, and any
security issued with respect thereto upon any stock dividend, split or similar
event (each of the foregoing, a “Covered Security”) until, in the case
of any such security, the earliest of:

(i)            the
date on which such security has been effectively registered under the
Securities Act and disposed of in accordance with the Registration Statement
relating thereto;

(ii)           the
date on which such security may be resold without restriction pursuant to Rule
144(k) or any successor provision thereto;

(iii)          the
date on which such security has been publicly sold pursuant to Rule 144 or any
successor provision thereto; or

(iv)          the
date on which such security ceases to be outstanding.

(tt)           “Registration
Expenses” has the meaning set forth in Section 5 hereof.

(uu)         “Registration
Statement” means each registration statement, under the Securities Act, of
the Company that covers any of the Registrable Securities pursuant to this
Agreement, including amendments and supplements to such registration statement
and including all post-effective amendments to, all exhibits of, and all
materials incorporated by reference or deemed to be incorporated by reference
in, such registration statement, amendment or supplement.

(vv)         “Repurchase
Upon Designated Event” means a repurchase of the Notes pursuant to Section
3.05 of the Indenture.

(ww)       “Rule
144” means Rule 144 under the Securities Act, as such Rule may be 

 4
 

 

amended from time to time, or any similar rule or regulation hereafter
adopted by the SEC.

(xx)          “Rule
144A” means Rule 144A under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(yy)         “Rule
405” means Rule 405 under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(zz)          “Rule
415” means Rule 415 under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(aaa)       “Rule
424” means Rule 424 under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(bbb)      “Rule
430B” means Rule 430B under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(ccc)       “Rule
456” means Rule 456 under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(ddd)      “Rule
457” means Rule 457 under the Securities Act, as such Rule may be amended
from time to time, or any similar rule or regulation hereafter adopted by the
SEC.

(eee)       “SEC”
means the Securities and Exchange Commission.

(fff)         “Securities
Act” means the Securities Act of 1933, as amended, and the rules and
regulations promulgated by the SEC thereunder.

(ggg)      “Shelf
Registration Statement” means the Initial Shelf Registration Statement and
any Subsequent Shelf Registration Statement.

(hhh)      “Subsequent
Shelf Registration Statement” has the meaning set forth in Section 2(b)
hereof.

(iii)          “Subsequent
Shelf Registration Statement Effectiveness Deadline Date” has the meaning
set forth in Section 2(d) hereof.

(jjj)          “Suspension
Notice” has the meaning set forth in Section 3(k) hereof.

 5
 

 

(kkk)       “Suspension
Period” has the meaning set forth in Section 3(k) hereof.

(lll)          “Trading
Day” has the meaning set forth in the Indenture.

(mmm)    “Trustee”
means The Bank of New York Trust Company, N.A., the trustee under the
Indenture.

(nnn)     
“Well-Known Seasoned Issuer” has the meaning ascribed to it in Rule 405.

2.             Shelf Registration.

(a)           The
Company shall prepare and file, or cause to be prepared and filed, with the
SEC, as soon as practicable but in any event by the date (the “Filing
Deadline Date”) that is ninety (90) days after the Issue Date, a
Registration Statement (the “Initial Shelf Registration Statement”) for
an offering to be made on a delayed or continuous basis pursuant to Rule 415
registering the resale from time to time by Holders thereof of all of the
Registrable Securities (or, if registration of Registrable Securities not held
by Notice Holders is not permitted by the rules and regulations of the SEC,
then registering the resale from time to time by Notice Holders of their
Registrable Securities).  The Initial
Shelf Registration Statement shall provide for the registration of such
Registrable Securities for resale by such Holders in accordance with any
reasonable method of distribution elected by the Holders.  In no event shall the Initial Shelf
Registration Statement be filed with the SEC prior to completion of the
offering of the Notes contemplated by the Purchase Agreement.  If the Initial Shelf Registration Statement
is not an Automatic Shelf Registration Statement, the Company shall use its
commercially reasonable efforts to cause the Initial Shelf Registration
Statement to become effective under the Securities Act as promptly as
practicable but in any event by the date (the “Effectiveness Deadline Date”)
that is one hundred eighty (180) days after the Issue Date.  The Company shall use its commercially
reasonable efforts to keep the Initial Shelf Registration Statement (and any
Subsequent Shelf Registration Statement) continuously effective under the
Securities Act from the date the Shelf Registration Statement is declared
effective until the earlier of (i) the thirty-fifth (35th) Trading Day immediately following
the maturity date of the Notes and (ii) the date upon which there are no Notes
or Registrable Securities outstanding. 
At the time the Initial Shelf Registration Statement becomes effective
under the Securities Act, each Holder that became a Notice Holder on or before
the 15th day before the date of such effectiveness shall be named as a selling
securityholder in the Initial Shelf Registration Statement and the related
Prospectus in such a manner as to permit such Holder to deliver such Prospectus
to purchasers of Registrable Securities in accordance with applicable law.

(b)           If,
for any reason, at any time during the Effectiveness Period any Shelf
Registration Statement ceases to be effective under the Securities Act, or
ceases to be usable for the purposes contemplated hereunder, the Company shall
use its commercially reasonable efforts to promptly cause such Shelf Registration
Statement to become 

 6
 

 

effective or usable under the Securities Act (including obtaining the
prompt withdrawal of any order suspending the effectiveness of such Shelf
Registration Statement), and in any event shall, within thirty (30) days of
such cessation of effectiveness or usability, (i) amend such Shelf
Registration Statement in a manner reasonably expected to obtain the withdrawal
of any order suspending the effectiveness of such Shelf Registration Statement
or (ii) file an additional Registration Statement (a “Subsequent Shelf
Registration Statement”) for an offering to be made on a delayed or
continuous basis pursuant to Rule 415 registering the resale from time to time
by Holders thereof of all securities that are Registrable Securities as of the
time of such filing (or, if registration of Registrable Securities not held by
Notice Holders is not permitted by the rules and regulations of the SEC, then
registering the resale from time to time by Notice Holders of their securities
that are Registrable Securities as of the time of such filing).  If a Subsequent Shelf Registration Statement
is filed and such Subsequent Shelf Registration Statement is not an Automatic
Shelf Registration Statement, the Company shall use its commercially reasonable
efforts to cause such Subsequent Shelf Registration Statement to become
effective under the Securities Act as promptly as practicable after such
filing, but in no event later than the Subsequent Shelf Registration Statement
Effectiveness Deadline Date.  The Company
shall use its commercially reasonable efforts to keep such Subsequent Shelf
Registration Statement (or another Subsequent Shelf Registration Statement)
continuously effective under the Securities Act from the date the Subsequent
Shelf Registration Statement is declared effective until the earlier of (i) the
thirty-fifth (35th)
Trading Day immediately following the maturity date of the Notes and (ii) the
date upon which there are no Notes or Registrable Securities outstanding.  Each such Subsequent Shelf Registration
Statement, if any, shall provide for the registration of such Registrable
Securities for resale by such Holders in accordance with any reasonable method
of distribution elected by the Holders.

(c)           The
Company shall supplement and amend any Shelf Registration Statement if required
by the rules, regulations or instructions applicable to the registration form
used by the Company for such Shelf Registration Statement, if required by the
Securities Act or, if necessary to make the statements therein, in light of the
circumstances under which they were made, not misleading, as reasonably
requested by the Representatives or the Trustee on behalf of the Holders of the
Registrable Securities covered by such Shelf Registration Statement.

(d)

(i)            Each
Holder of Registrable Securities agrees that, if such Holder wishes to sell
Registrable Securities pursuant to a Shelf Registration Statement and related
Prospectus, it will do so only in accordance with this Section 2(d) and Section
3(k).  Each Holder of Registrable
Securities wishing to sell Registrable Securities pursuant to a Shelf
Registration Statement and related Prospectus agrees to deliver a completed and
executed Notice and Questionnaire to the Company, together with any other
information the Company may reasonably request, prior to any attempted or
actual distribution of Registrable Securities under a Shelf Registration
Statement.  If a Holder becomes a Notice
Holder after 

 7
 

 

the 15th day before the date the Initial Shelf Registration Statement
becomes effective under the Securities Act, the Company shall use its
commercially reasonable best efforts to, after the date such Holder became a
Notice Holder, and in any event, subject to clause (B) below, within the later
of (x) twenty (20) Business Days after such date or (y) twenty (20) Business
Days after the expiration of any Suspension Period that either (I) is in effect
when such Holder became a Notice Holder or (II) is put into effect within
twenty (20) Business Days after the date such Holder became a Notice Holder;

(A)          file
with the SEC a supplement to the related Prospectus (or, if required by
applicable law, a post-effective amendment to the Shelf Registration Statement
or a Subsequent Shelf Registration Statement), and all other document(s), in
each case as is required so that such Notice Holder is named as a selling
securityholder in a Shelf Registration Statement and the related Prospectus in
such a manner as to permit such Notice Holder to deliver a Prospectus to
purchasers of the Registrable Securities in accordance with the Securities Act;
provided, however, that, if a post-effective amendment or a
Subsequent Shelf Registration Statement is required by the rules and
regulations of the SEC in order to permit resales by such Notice Holder, the
Company shall not be required to file more than one (1) post-effective
amendment or Subsequent Shelf Registration Statement for such purpose in any
ninety (90) day period;

(B)           if,
pursuant to Section 2(d)(i)(A), the Company shall have filed a post-effective
amendment to the Shelf Registration Statement or filed a Subsequent Shelf
Registration Statement, the Company shall use its commercially reasonable
efforts to cause such post-effective amendment or Subsequent Shelf Registration
Statement, as the case may be, to become effective under the Securities Act as
promptly as practicable, but in any event by the date (the “Amendment
Effectiveness Deadline Date,” in the case of a post-effective amendment,
and the “Subsequent Shelf Registration Statement Effectiveness Deadline Date,”
in the case of a Subsequent Shelf Registration Statement) that is ninety (90)
days after the date such post-effective amendment or Subsequent Shelf
Registration Statement, as the case may be, is required by this Section 2(d) to
be filed with the SEC;

(C)           the
Company shall provide such Notice Holder a reasonable number of copies of any
documents filed pursuant to clause (A) above, if requested by such Notice
Holder;

(D)          the
Company shall notify such Notice Holder as promptly as practicable after the
effectiveness under the Securities Act of any post-effective amendment or
Subsequent Shelf Registration Statement filed pursuant to clause (A) above;

 8
 

 

(E)           if
such Holder became a Notice Holder during a Suspension Period, or a Suspension
Period is put into effect within twenty (20) Business Days after the date such
Holder became a Notice Holder, the Company shall so inform such Notice Holder
and shall take the actions set forth in clauses (A), (B), (C) and (D) above
within fifteen (15) Business Days after expiration of such Suspension Period in
accordance with Section 3(k);

(F)           if
(A) the Notes are called for redemption and the then prevailing market price of
the Common Stock is above the Exchange Price or (B) the Notes are exchanged as
provided for in Sections 13.01(i), 13.01(ii) or 13.01(iv)of the Indenture, then
the Company shall take the actions set forth in clauses (A), (B), (C) and (D)
above within five (5) Business Days of the Redemption Date or the end of the
Applicable Observation Period, as applicable, or if such Notice and
Questionnaire is delivered during a Suspension Period, upon expiration of the
Suspension Period in accordance with Section 3(k); and

(G)           if,
under applicable law, the Company has more than one option as to the type or
manner of making any such filing, the Company shall make the required filing or
filings in the manner or of a type that is reasonably expected to result in the
earliest availability of a Prospectus for effecting resales of Registrable
Securities under the Securities Act.

(ii)           Notwithstanding
anything contained herein to the contrary, the Company shall be under no
obligation to name any Holder that is not a Notice Holder as a selling
securityholder in any Shelf Registration Statement or related Prospectus; provided,
however, that any Holder that becomes a Notice Holder (regardless of
when such Holder became a Notice Holder) shall be named as a selling
securityholder in a Shelf Registration Statement or related Prospectus in
accordance with the requirements of this Section 2(d) or Section 2(a), as
applicable.

(e)           The
parties hereto agree that the Holders of Registrable Securities will suffer
damages, and that it would not be feasible to ascertain the extent of such
damages with precision, if:

(i)            the
Initial Shelf Registration Statement (which shall be an Automatic Shelf
Registration Statement if the Company is a Well-Known Seasoned Issuer) has not
been filed with the SEC on or prior to the Filing Deadline Date;

(ii)           the
Company is not a Well Known Seasoned Issuer, the Initial Shelf Registration
Statement has not been declared or become effective under the Securities Act on
or prior to the Effectiveness Deadline Date;

 9
 

 

(iii)          the
Initial Shelf Registration Statement or any Subsequent Registration Statement
is filed with the SEC and is declared or becomes effective under the Securities
Act but shall thereafter cease to be effective (without being succeeded
immediately by a new Registration Statement that is filed and immediately
becomes effective under the Securities Act) or usable under the Securities Act
for the offer and sale of Registrable Securities in the manner contemplated by
this Agreement and (I) other than in connection with (A) a Suspension Period or
(B) as a result of a requirement to file a post-effective amendment or
supplement to the Prospectus to make changes to the information regarding
selling securityholders provided for therein, the Company does not cure the
lapse of effectiveness or usability within ten (10) Business Days or (II) the
Suspension Period, when aggregated with other Suspension Periods, shall exceed
the number of days permitted in Section 3(k); or

(iv)          any
Registration Statement or amendment thereto, at the time it becomes effective
under the Securities Act, or any Prospectus relating thereto, at the time it is
filed with the SEC or, if later, at the time the Registration Statement to
which such Prospectus relates becomes effective under the Securities Act, shall
fail to name each Holder as a selling securityholder in such a manner as to
permit such Holder to sell its Registrable Securities pursuant to such
Registration Statement and Prospectus in accordance with the Securities Act,
which Holder was required, pursuant to the terms of this Agreement, to be so
named (it being understood that, without limitation, naming such Holder in a
manner that permits such Holder to sell only a portion of such Holder’s
Registrable Securities referenced in such Holder’s Notice and Questionnaire
shall be deemed to be an “Event” (as defined below) for purposes of this clause
(iv)).

Each of the events of a type described in any of the foregoing clauses
(i) through (iv) are individually referred to herein as an “Event,” and

(W)         the
Filing Deadline Date, in the case of clause (i) above,

(X)          the
Effectiveness Deadline Date, in the case of clause (ii) above,

(Y)           the
date on which the duration of the ineffectiveness or unusability of the Shelf
Registration Statement exceeds the number of days permitted by clause (iii)
above, in the case of clause (iii) above, and

(Z)           the
date the applicable Registration Statement or amendment thereto shall become
effective under the Securities Act, or the date the applicable Prospectus is
filed with the SEC or, if later, the time the Registration Statement to which
such Prospectus relates becomes effective under the Securities Act, as the case
may be, in the case of clause (iv) above,

are each herein referred to as an “Event Date.”  Events shall be deemed to continue until the
following dates with respect to the respective types of Events:

 10

 

(A)          the
date the Initial Shelf Registration Statement is filed with the SEC, in the
case of an Event of the type described in clause (i) above;

(B)           the
date the Initial Shelf Registration Statement is declared or becomes effective
under the Securities Act, in the case of an Event of the type described in
clause (ii) above;

(C)           the
date the Initial Shelf Registration Statement or the Subsequent Shelf
Registration Statement, as the case may be, becomes effective and usable again,
or the date another Subsequent Shelf Registration Statement is filed with the
SEC pursuant to Section 2(b) and becomes effective, in the case of an Event of
the type described in clause (iii) above; or

(D)          the
date a supplement to the Prospectus is filed with the SEC, or the date a post-effective
amendment to the Registration Statement becomes effective under the Securities
Act, or the date a Subsequent Shelf Registration Statement becomes effective
under the Securities Act, which supplement, post-effective amendment or
Subsequent Shelf Registration Statement, as the case may be, names as selling
securityholders, in such a manner as to permit them to sell their Registrable
Securities pursuant to the Registration Statement and Prospectus supplement in
accordance with the Securities Act, all Holders required as herein provided to
be so named, in the case of an Event of the type described in clause (iv)
above.

Accordingly, commencing on (and including) any Event Date and ending on
(but excluding) the earlier of (i) the next date on which there are no Events
that have occurred and are continuing and (ii) the date the Registration
Statement is no longer required to be kept in effect (an “Additional
Interest Accrual Period”), the Issuer agrees to pay, as additional interest
(“additional interest”) and not as a penalty, an amount (the “Additional
Interest Amount”) at the rate described below, payable periodically on each
Additional Interest Payment Date to Record Holders, to the extent of, for each
such Additional Interest Payment Date, the unpaid Additional Interest Amount
that has accrued to (but excluding) such Additional Interest Payment Date (or,
if the Additional Interest Accrual Period shall have ended prior to such
Additional Interest Payment Date, to, but excluding, the day immediately after,
the last day of such Additional Interest Accrual Period); provided, however,
that any unpaid Additional Interest Amount that has accrued with respect to any
Note, or portion thereof, called for Redemption on a Redemption Date, or
purchased by the Issuer pursuant to a Repurchase Upon Designated Event on a
Designated Event Repurchase Date, as the case may be, that is after the close
of business on the Record Date relating to such Additional Interest Payment
Date and before such Additional Interest Payment Date, shall, in each case, be
instead paid, on such Redemption Date or Designated Event Repurchase Date, as
the case may be, to the Holder of such Notes on such Record Date.

The Additional Interest Amount shall accrue at a rate per annum equal
to one quarter of 

 11
 

 

one percent (0.25%) for the ninety (90) day period beginning on, and
including, the Event Date and thereafter at a rate per annum equal to one half
of one percent (0.50%) of the aggregate principal amount of the Notes of which
such Record Holders were holders of record at the close of business on the
applicable Record Date; provided, however, that:

(I)            unless
there shall be a default in the payment of any Additional Interest Amount, no
Additional Interest Amounts shall accrue as to any Note from and after the
earlier of (x) the date such security is no longer a Registrable Security, (y)
the date, and to the extent, such Note is exchanged for cash and, if
applicable, shares of Common Stock in accordance with the Indenture and (z) the
expiration of the Effectiveness Period;

(II)           only
those Holders (or their subsequent transferees) failing to be named as selling
securityholders in the manner prescribed in Section 2(e)(iv) above shall be
entitled to receive any Additional Interest Amounts that have accrued solely
with respect to an Event of the type described in Section 2(e)(iv) above (it
being understood that this clause (II) shall not impair any right of any Holder
to receive Additional Interest Amounts that have accrued with respect to an
Event other than an Event of the type described in Section 2(e)(iv) above); and

(III)         if
a Note ceases to be outstanding during an Additional Interest Accrual Period
for which an Additional Interest Amount would be payable with respect to such
Note, then the Additional Interest Amount payable hereunder with respect to
such Note shall be prorated on the basis of the number of full days such Note
is outstanding during such Additional Interest Accrual Period.

Except as provided in the final paragraph of this Section 2(e), (i) the
rate of accrual of the Additional Interest Amount with respect to any period
shall not exceed 0.5% per annum notwithstanding the occurrence of multiple
concurrent Events and (ii) following the cure of all Events requiring the
payment by the Issuer of Additional Interest Amounts to the Holders pursuant to
this Section and following the date the Registration Statement is no longer
required to be kept in effect, the accrual of Additional Interest Amounts shall
cease (without in any way limiting the effect of any subsequent Event requiring
the payment of Additional Interest Amounts by the Company).  All Additional Interest Amounts shall be
payable in the same manner as interest under the Indenture.

All of the Company’s obligations set forth in this Section 2(e) that
are outstanding with respect to any Registrable Security at the time such
Registrable Security ceases to be a Registrable Security shall survive until
such time as all such obligations with respect to such security have been
satisfied in full (notwithstanding termination of this Agreement pursuant to
Section 9(n)).

The parties hereto agree that the additional interest provided for in
this Section 2(e) constitutes a reasonable estimate of the damages that may be
incurred by Holders by reason of an Event, including, without limitation, the
failure of a Shelf Registration Statement to be filed, become effective under
the Securities Act, amended or replaced to 

 12
 

 

include the names of all Notice Holders or available for effecting
resales of Registrable Securities in accordance with the provisions hereof.

If any Additional Interest Amounts are not paid when due, then, to the
extent permitted by law, such overdue Additional Interest Amounts, if any,
shall bear interest, compounded semi-annually, until paid at the rate of
interest payable with respect to overdue amounts on the Notes pursuant to the
Indenture.

Notwithstanding any provision in this Agreement, in no event shall an
Additional Interest Amount accrue to holders of Common Stock issued upon exchange
of Notes.  In lieu thereof, if during an
Additional Interest Accrual Period a Holder shall exchange their Notes for
Common Stock, the Company shall increase the Applicable Exchange Rate by 3% for
each $1,000 principal amount of Notes exchanged.

(f)            The
Trustee shall be entitled, on behalf of Holders, to seek any available remedy
for the enforcement of this Agreement, including for the payment of any
Additional Interest Amount.

3.             Registration Procedures.  In connection with the registration
obligations of the Company under Section 2 hereof, the Company shall:

(a)           Prepare
and file with the SEC a Shelf Registration Statement or Shelf Registration
Statements in the manner provided in this Agreement and use its commercially
reasonable efforts to cause each such Shelf Registration Statement to become
effective under the Securities Act and remain effective under the Securities
Act as provided herein; provided, that, before filing any Shelf
Registration Statement or Prospectus or any amendments or supplements thereto
with the SEC, the Company shall furnish to the Representatives and counsel for
the Holders and for the Representatives (or, if applicable, a single separate
counsel for the Holders) copies of all such documents proposed to be filed with
the SEC and shall use reasonable efforts to reflect in such documents, when
filed with the SEC, such comments as the Representatives or such counsel
reasonably shall propose within three (3) Business Days of the delivery of such
copies to the Representatives and such counsel. 
Each Registration Statement that is or is required by this Agreement to
be filed with the SEC shall be filed on Form S-3 if the Company is then
eligible to use Form S-3 for the purposes contemplated by this Agreement, or,
if the Company is not then so eligible to use Form S-3, shall be on Form S-11
or another appropriate form that is then available to the Company for the
purposes contemplated by this Agreement. 
Each such Registration Statement that is filed on Form S-3 shall
constitute an Automatic Shelf Registration Statement if the Company is then
eligible to file an Automatic Shelf Registration Statement on Form S-3 for the
purposes contemplated by this Agreement. 
If, at the time any Registration Statement is filed with the SEC, the
Company is eligible, pursuant to Rule 430B(b), to omit, from the prospectus
that is filed as part of such Registration Statement, the identities of selling
securityholders and amounts of securities to be registered on their behalf,
then the Company shall prepare and file such Registration Statement in a manner
as to permit such omission and to allow for the subsequent filing of such
information in a prospectus pursuant to Rule 424(b) in 

 13
 

 

the manner contemplated by Rule 430B(d).

(b)           Prepare
and file with the SEC such amendments and post-effective amendments to each
Shelf Registration Statement as may be necessary to keep such Shelf
Registration Statement or Subsequent Shelf Registration Statement continuously
effective until the expiration of the Effectiveness Period; cause the related
Prospectus to be supplemented by any required Prospectus supplement and, as so
supplemented, to be filed with the SEC pursuant to Rule 424; and comply with
the provisions of the Securities Act applicable to it with respect to the
disposition of all securities covered by each Shelf Registration Statement
during the Effectiveness Period in accordance with the intended methods of
disposition by the sellers thereof set forth in the applicable Notice and
Questionnaires, the information from which is included in such Shelf
Registration Statement as so amended or such Prospectus as so supplemented.

(c)           If
the third anniversary of the initial effective date of any Registration
Statement (within the meaning of Rule 415(a)(5) under the Securities Act) shall
occur at any time during the Effectiveness Period, to the extent required
pursuant to Rule 415(a)(5) under the Securities Act in order to permit the
Registrable Securities to continue to be offered, file with the SEC, prior to
such third anniversary, a new Registration Statement covering the Registrable
Securities, in the manner contemplated by, and in compliance with, Rule
415(a)(6), and use its commercially reasonable efforts to cause such new
Registration Statement to become effective under the Act as soon as
practicable, but in any event within 180 days after such third
anniversary.  Each such new Registration
Statement, if any, shall be deemed, for purposes of this Agreement, to be a
Subsequent Shelf Registration Statement.

(d)           If,
at any time during the Effectiveness Period, any Registration Statement shall
cease to comply with the requirements of the Securities Act with respect to
eligibility for the use of the form on which such Registration Statement was
filed with the SEC (or if such Registration Statement constituted an Automatic
Shelf Registration Statement at the time it was filed with the SEC and shall
thereafter cease to constitute an Automatic Shelf Registration Statement, or if
the Company shall have received, from the SEC, a notice, pursuant to Rule
401(g)(2) under the Securities Act, of objection to the use of the form on
which such Registration Statement was filed with the SEC), (i) promptly give
notice to the Notice Holders and counsel for the Holders and for the
Representatives (or, if applicable, a single separate counsel for the Holders)
and to the Representatives and (ii) promptly file with the SEC a new
Registration Statement under the Securities Act, or a post-effective amendment
to such Registration Statement, to effect compliance with the Securities
Act.  The Company shall use its
commercially reasonable efforts to cause such new Registration Statement or
post-effective amendment to become effective under the Securities Act as soon
as practicable, but subject to compliance with Section 3(a) hereof, and shall
promptly give notice of such effectiveness to the Notice Holders and counsel
for the Holders and for the Representatives (or, if applicable, a single
separate counsel for the Holders) and to the Representatives.  Each such new Registration Statement, if any,
shall be deemed, for purposes of this Agreement, to be a Subsequent Shelf
Registration Statement.

 14
 

 

(e)           As
promptly as practicable during the Effectiveness Period, give notice to the
Notice Holders, the Representatives and counsel for the Holders and for the
Representatives (or, if applicable, a single separate counsel for the Holders):

(i)            when
any Prospectus, Prospectus supplement, Shelf Registration Statement or
post-effective amendment to a Shelf Registration Statement has been filed with
the SEC and, with respect to a Shelf Registration Statement or any
post-effective amendment, when the same has become effective under the
Securities Act.

(ii)           of
any request, following the effectiveness of a Shelf Registration Statement
under the Securities Act, by the SEC or any other governmental authority for
amendments or supplements to such Shelf Registration Statement or the related
Prospectus or for additional information,

(iii)          of
the issuance by the SEC or any other governmental authority of any stop order
suspending the effectiveness of any Shelf Registration Statement or the
initiation or threatening of any proceedings for that purpose,

(iv)          of
the receipt by the Company or its legal counsel of any notification with
respect to the suspension of the qualification or exemption from qualification
of any of the Registrable Securities for sale in any jurisdiction or the
initiation or threatening of any proceeding for such purpose,

(v)           after
the effective date of any Shelf Registration Statement filed with the SEC
pursuant to this Agreement, of the occurrence of (but not the nature of or
details concerning) a Material Event, and

(vi)          of
the determination by the Company that a post-effective amendment to a Shelf
Registration Statement or a Subsequent Shelf Registration Statement will be
filed with the SEC, which notice may, at the discretion of the Company (or as
required pursuant to Section 3(k)), state that it constitutes a Suspension
Notice, in which event the provisions of Section 3(k) shall apply.

(f)            Use
its commercially reasonable efforts to (i) prevent the issuance of, and, if
issued, to obtain the withdrawal of, any order suspending the effectiveness of
a Shelf Registration Statement and (ii) obtain the lifting of any suspension of
the qualification (or exemption from qualification) of any of the Registrable
Securities for sale in any jurisdiction in which they have been qualified for
sale, in either case at the earliest practicable moment, and provide prompt
notice to each Notice Holder and the Representatives, and counsel for the
Holders and for the Representatives (or, if applicable, a single separate
counsel for the Holders), of the withdrawal or lifting of any such order or
suspension.

(g)           If
requested in writing by the Representatives or any Notice Holder, as 

 15
 

 

promptly as practicable incorporate in a Prospectus supplement or a
post-effective amendment to a Shelf Registration Statement such information as
counsel for the Holders and for the Initial Purchasers (or, if applicable, a
single separate counsel for the Holders) shall determine to be required to be
included therein by applicable law and make any required filings of such
Prospectus supplement or such post-effective amendment; provided, however,
that the Company shall not be required to take any actions under this Section
3(g) that, in the written opinion of counsel for the Company, are not required
to be included therein by applicable law.

(h)           As
promptly as practicable, furnish to each Notice Holder (but only upon such
Notice Holder’s request), counsel for the Holders and for the Representatives
(or, if applicable, a single separate counsel for the Holders) and the
Representatives, without charge, at least one (1) conformed copy of each Shelf
Registration Statement and each amendment thereto, including financial
statements but excluding schedules, all documents incorporated or deemed to be
incorporated therein by reference and all exhibits (unless requested in writing
to the Company by such Notice Holder, such counsel or the Representatives).

(i)            During
the Effectiveness Period, deliver to each Notice Holder, counsel for the
Holders and for the Representatives (or, if applicable, a single separate
counsel for the Holders) and the Representatives, in connection with any sale
of Registrable Securities pursuant to a Shelf Registration Statement, without
charge, as many copies of the Prospectus or Prospectuses relating to such
Registrable Securities (including each preliminary prospectus) and any
amendment or supplement thereto as such Notice Holder or the Representatives
may reasonably request; and the Company hereby consents (except during such
periods that a Suspension Notice is outstanding and has not been revoked) to
the use of such Prospectus and each amendment or supplement thereto by each
Notice Holder, in connection with any offering and sale of the Registrable
Securities covered by such Prospectus or any amendment or supplement thereto in
the manner set forth therein.

(j)            Prior
to any public offering of the Registrable Securities pursuant to a Shelf
Registration Statement, use its commercially reasonable efforts to register or
qualify or cooperate with the Notice Holders in connection with the
registration or qualification (or exemption from such registration or qualification)
of such Registrable Securities for offer and sale under the securities or Blue
Sky laws of such jurisdictions within the United States as any Notice Holder
reasonably requests in writing (which request may be included in the Notice and
Questionnaire); use its commercially reasonable efforts to keep each such
registration or qualification (or exemption therefrom) effective during the
Effectiveness Period in connection with such Notice Holder’s offer and sale of
Registrable Securities pursuant to such registration or qualification (or
exemption therefrom) and do any and all other acts or things reasonably
necessary or advisable to enable the disposition in such jurisdictions of such
Registrable Securities in the manner set forth in the relevant Shelf Registration
Statement and the related Prospectus; provided, however, that the
Company will not be required to (i) qualify generally to do business in any
jurisdiction where it is not then so qualified; (ii) 

 16
 

 

take any action that would subject it to general service of process in
suits, other than those arising out of the offering or sale of Registrable
Securities or arising in connection with this Agreement, in any jurisdiction
where it is not now so subject; or (iii) take any action that would subject it
to taxation in any jurisdiction where it is not then so subject.

(k)           Upon
the occurrence or existence of any pending corporate development, public
filings with the SEC or any other material event (a “Material Event”)
that, in the reasonable discretion of the Company, makes it appropriate to
suspend the availability of any Shelf Registration Statement and the related
Prospectus:

(i)            subject
to the next sentence, as promptly as practicable, prepare and file, if
necessary pursuant to applicable law, a post-effective amendment to such Shelf
Registration Statement or a supplement to such Prospectus or any document
incorporated therein by reference or file any other required document that
would be incorporated by reference into such Shelf Registration Statement and
Prospectus so that such Shelf Registration Statement does not contain any
untrue statement of a material fact or omit to state any material fact required
to be stated therein or necessary to make the statements therein not
misleading, and so that such Prospectus does not contain any untrue statement
of a material fact or omit to state any material fact necessary in order to
make the statements therein, in the light of the circumstances under which they
were made, not misleading, as thereafter delivered to the purchasers of the
Registrable Securities being sold thereunder, and, in the case of a
post-effective amendment to a Shelf Registration Statement, subject to the next
sentence, use its commercially reasonable efforts to cause it to become
effective under the Securities Act as promptly as practicable, and

(ii)           give
notice (without notice of the nature or details of such events) to the Notice
Holders and counsel for the Holders and for the Representatives (or, if
applicable, a single separate counsel for the Holders) and to the
Representatives that the availability of the Shelf Registration Statement is
suspended (a “Suspension Notice”) (and, upon receipt of any Suspension
Notice, each Notice Holder agrees (x) not to sell any Registrable Securities
pursuant to such Shelf Registration Statement until such Notice Holder’s
receipt of copies of the supplemented or amended Prospectus provided for in
clause (i) above or until such Notice Holder is advised in writing by the
Company that the Prospectus may be used and (y) to hold such Suspension Notice
in confidence).

The Company will use its commercially reasonable efforts to ensure that
the use of the Prospectus may be resumed as soon as, in the reasonable
discretion of the Company, such suspension is no longer appropriate.  Except in the case of a suspension of the
availability of the Shelf Registration Statement and the related Prospectus
solely as the result of the filing of a post-effective amendment or supplement
to the Prospectus to add additional selling securityholders therein, the period
during which the availability of the Shelf Registration Statement and any
Prospectus may be suspended (the “Suspension Period”) without the
Company incurring any obligation to pay additional interest pursuant to 

 17
 

 

Section 2(e) shall not exceed forty-five (45) days in the aggregate in
any ninety (90) day period or ninety (90) days in the aggregate in any three
hundred and sixty (360) day period, provided, that,
if the event triggering the Suspension Period relates to a proposed or pending
material business transaction, the disclosure of which the board of directors
of the Company determines in good faith would be reasonably likely to impede
the ability to consummate the transaction or would otherwise be seriously
detrimental to the Company and its subsidiaries taken a whole, the Company may
extend the Suspension Period from forty-five (45) days to sixty (60) days in
any ninety (90) day period or from ninety (90) days to one hundred and twenty
(120) days in any three hundred and sixty (360) day period.  The Effectiveness Period shall be extended by
the number of days from and including the date of the giving of the Suspension
Notice to and including the date on which the Notice Holder received copies of
the supplemented or amended Prospectus provided in clause (i) above, or the
date on which it is advised in writing by the Company that the Prospectus may
be used and has received copies of any additional or supplemental filings that
are incorporated or deemed incorporated by reference in such Prospectus.

(l)            Make
reasonably available for inspection during normal business hours by
representatives for the Notice Holders and any underwriters participating in
any disposition pursuant to any Shelf Registration Statement and any broker-dealers,
attorneys and accountants retained by such Notice Holders or any such
underwriters, all relevant financial and other records and pertinent corporate
documents and properties of the Company and its subsidiaries, and cause the
appropriate officers, directors and employees of the Company and its
subsidiaries to make available for inspection during normal business hours all
relevant information reasonably requested by such representatives for the
Notice Holders, or any such underwriters, broker-dealers, attorneys or
accountants in connection with such disposition, in each case as is customary
for similar “due diligence” examinations; provided, however, that
such persons shall, at the Company’s request, first agree in writing with the
Company that such person will not engage in any transaction involving
securities of the Company in violation of applicable law (including, without
limitation, federal securities laws prohibiting trading on the basis of
material non-public information) and that any information that is reasonably
and in good faith designated by the Company in writing as confidential at the
time of delivery of such information shall be kept confidential by such persons
and shall be used solely for the purposes of exercising rights under this Agreement,
unless (i) disclosure of such information is required by court or
administrative order or is necessary to respond to inquiries of governmental or
regulatory authorities, (ii) disclosure of such information is required by law
(including any disclosure requirements pursuant to federal securities laws in
connection with the filing of any Shelf Registration Statement or the use of
any Prospectus referred to in this Agreement) or necessary to defend or
prosecute a claim brought against or by any such persons (e.g., to establish a “due diligence”
defense), (iii) such information becomes generally available to the public
other than as a result of a disclosure or failure to safeguard by any such
person or (iv) such information becomes available to any such person from a
source other than the Company and such source is not bound by a confidentiality
agreement or is not otherwise under a duty of trust to the Company; provided
further, that the foregoing inspection and information gathering shall, 

 18
 

 

to the greatest extent possible, be coordinated on behalf of all the
Notice Holders and the other parties entitled thereto by the counsel, referred
to in Section 5, for the Holders in connection with Shelf Registration
Statements.

(m)          Comply in all
material respects with all applicable rules and regulations of the SEC; and
make generally available to its securityholders earnings statements (which need
not be audited) satisfying the provisions of Section 11(a) of the Securities
Act and Rule 158 thereunder (or any similar rule promulgated under the
Securities Act), which statements shall cover a period of twelve (12) months commencing on the first day of
the first fiscal quarter of the Company commencing after the effective date of
each Shelf Registration Statement (within
the meaning of Rule 158(c) under the Securities Act), and which statements
shall be so made generally available to the Company’s securityholders as
follows: (i) with respect to an earnings statement which will be contained in
one report on Form 10-K (or any other form as may then be available for such
purpose), such earnings statement shall be made so generally available no later
than the due date by which the Company is required, pursuant to the Exchange
Act (subject to any applicable extensions under Rule 12b-25 thereunder), to
file such report with the SEC; and (ii) with respect to an earnings statement
which will be contained in any combination of reports on Form 10-K or Form 10-Q
(or any other form(s) as may then be available for such purpose), such earnings
statement shall be made so generally available no later than the due date by
which the Company is required, pursuant to the Exchange Act (subject to any
applicable extensions under Rule 12b-25 thereunder), to file the last of such
reports which together constitute such earnings statement.

(n)           Cooperate
with each Notice Holder to facilitate the timely preparation and delivery of
certificates representing Registrable Securities sold pursuant to a Shelf
Registration Statement, which certificates shall not bear any restrictive
legends, and cause such Registrable Securities to be in such denominations as
are permitted by the Indenture and registered in such names as such Notice
Holder may request in writing at least three (3) Business Days prior to any sale
of such Registrable Securities.

(o)           Provide
a CUSIP number for all Registrable Securities covered by a Shelf Registration
Statement not later than the effective date of the Initial Shelf Registration
Statement and provide the Trustee and the transfer agent for the Common Stock
with certificates for the Registrable Securities that are in a form eligible
for deposit with The Depository Trust Company.

(p)           Cooperate
and assist in any filings required to be made with the National Association of
Securities Dealers, Inc.

(q)           Upon
the filing of the Initial Shelf Registration Statement, and upon the
effectiveness under the Securities Act of the Initial Shelf Registration
Statement, announce the same, in each case by release through a reputable
national newswire service.

(r)            Take
all actions and enter into such customary agreements (including, if 

 19
 

 

requested, an underwriting agreement in customary form) as are
necessary, or reasonably requested by the Holders of a majority of the
Registrable Securities being sold, in order to expedite or facilitate
disposition of such Registrable Securities; and in such connection, if an
underwriting agreement or similar agreement is entered into and whether or not
the registration is an underwritten registration:

(i)            the
Company shall make such representations and warranties to the Holders of such
Registrable Securities and the underwriters, if any, in form, substance and
scope as would be customarily made by the Company to underwriters in similar
offerings of securities;

(ii)           the
Company shall obtain opinions of counsel of the Company and updates thereof
(which counsel and opinions (in form, scope and substance) shall be reasonably
satisfactory to the Managing Underwriters, if any, and to the counsel to the
Holders of the Registrable Securities being sold) addressed to each selling
Holder and the underwriters, if any, covering the matters that would be
customarily covered in opinions requested in sales of securities or
underwritten offerings;

(iii)          the
Company shall obtain “comfort letters” and updates thereof from the Company’s
independent certified public accountants (and, if necessary, any other
independent certified public accountants of any subsidiary of the Company or of
any business acquired by the Company for which financial statements are, or are
required to be, included in any Shelf Registration Statement) addressed to the
underwriters, if any, and the selling Holders of Registrable Securities (to the
extent consistent with Statement on Auditing Standards No. 72 of the American Institute
of Certified Public Accounts), such letters to be in customary form and
covering matters of the type that would customarily be covered in “comfort
letters” to underwriters in connection with similar underwritten offerings;

(iv)          the
Company shall, if an underwriting agreement is entered into, cause any such
underwriting agreement to contain customary indemnification provisions and
procedures; and

(v)           the Company shall deliver such documents and
certificates as may be reasonably requested and as are customarily delivered in
similar offerings to the holders of a majority of the Registrable Securities
being sold and to the Managing Underwriters, if any;

the above to be done in connection with any underwriting or similar
agreement as and to the extent required thereunder.

(s)           Cause
the Covered Security to be listed on the New York Stock Exchange.

(t)            In
the event that any broker-dealer registered under the Exchange Act 

 20
 

 

shall underwrite any Registrable Securities or participate as a member
of an underwriting syndicate or selling group or “participate in a public
offering” (within the meaning of the Conduct Rules (the “NASD Rules”) of
the National Association of Securities Dealers, Inc.) thereof, whether as a
Holder of such Registrable Securities or as an underwriter, a placement or
sales agent or a broker or dealer in respect thereof, or otherwise, the Company
will assist such broker-dealer in complying with the requirements of such NASD
Rules, including, without limitation, by: (i) if such NASD Rules, including
NASD Rule 2720, shall so require, engaging a “qualified independent
underwriter” (as defined in NASD Rule 2720) to participate in the preparation
of the Shelf Registration Statement relating to such Registrable Securities, to
exercise usual standards of due diligence in respect thereof and, if any
portion of the offering contemplated by such Shelf Registration Statement is an
underwritten offering or is made through a placement or sales agent, to
recommend the yield or price, as the case may be, of such Registrable
Securities; (ii) indemnifying any such qualified independent underwriter to the
extent of the indemnification of underwriters provided in Section 6 hereof; and
(iii) providing such information to such broker-dealer as may be required in order
for such broker-dealer to comply with the requirements of the NASD Rules.

4.             Holder’s Obligations.  Each Holder agrees, by acquisition of the
Registrable Securities, that no Holder of Registrable Securities shall be
entitled to sell any of such Registrable Securities pursuant to a Shelf
Registration Statement or to receive a Prospectus relating thereto, unless such
Holder has furnished the Company with a Notice and Questionnaire as required
pursuant to Section 2(d) hereof (including the information required to be
included in such Notice and Questionnaire) and the information set forth in the
next sentence. Each Notice Holder agrees promptly to furnish to the Company all
information required to be disclosed in order to make the information
previously furnished to the Company by such Notice Holder not misleading and
any other information regarding such Notice Holder and the distribution of such
Registrable Securities as the Company may from time to time reasonably request.
Any sale of any Registrable Securities by any Holder shall constitute a
representation and warranty by such Holder that the Holder Information of such
Holder furnished in writing by or on behalf of such Holder to the Company does
not include an untrue statement of a material fact or omit to state a material fact necessary in
order to make the statements in such Holder Information, in the light of the
circumstances under which they were made, not misleading.

5.             Registration Expenses.  The Company shall bear all fees and expenses
incurred in connection with the performance by the Company of its obligations
under Section 2 and Section 3 of this Agreement whether or not any of the Shelf
Registration Statements are filed or declared effective under the Securities
Act. Such fees and expenses (“Registration Expenses”) shall include,
without limitation, (i) all registration and filing fees and expenses
(including, without limitation, fees and expenses (x) with respect to filings
required to be made with the National Association of Securities Dealers, Inc.
and (y) of compliance with federal securities laws and state securities or Blue
Sky laws (including, without limitation, reasonable fees and disbursements of
counsel for the Holders in connection with Blue Sky qualifications of the
Registrable Securities under the laws of such jurisdictions as the Notice
Holders of a majority of the Registrable Securities being sold pursuant to a
Shelf Registration Statement may designate), (ii) all printing expenses
(including, without limitation, expenses of printing certificates for 

 21
 

 

Registrable
Securities in a form eligible for deposit with The Depository Trust Company and
printing Prospectuses), (iii) all duplication and mailing expenses relating to
copies of any Shelf Registration Statement or Prospectus delivered to any
Holders hereunder, (iv) all fees and disbursements of counsel for the Company,
(v) all fees and disbursements of the Trustee and its counsel and of the
registrar and transfer agent for the Common Stock and (vi) Securities Act
liability insurance obtained by the Company in its sole discretion. In
addition, the Company shall pay the internal expenses of the Company
(including, without limitation, all salaries and expenses of officers and
employees performing legal or accounting duties), the expense of any annual
audit or quarterly review, the fees and expenses incurred in connection with
the listing by the Company of the Registrable Securities on any securities
exchange or quotation system on which similar securities of the Company are
then listed and the fees and expenses of any person, including, without
limitation, special experts, retained by the Company.  If the Company shall, pursuant to Rule
456(b), defer payment of any registration fees due under the Securities Act
with respect to any Registration Statement, the Company agrees that it shall pay the fees applicable to such Registration
Statement within the time required by Rule 456(b)(1)(i) (without
reliance on the proviso to Rule
456(b)(1)(i)) and in compliance with Rule 456(b) and Rule 457(r).  In addition and notwithstanding the foregoing,
the Company shall pay the reasonable fees and disbursements of only one counsel
for the Holders in connection with the Shelf Registration Statement.

6.             Indemnification, Contribution.

(a)           The
Company and the Issuer agree to indemnify, defend and hold harmless each
Initial Purchaser, each Holder, each person (a “Controlling Person”), if
any, who controls any Initial Purchaser or Holder within the meaning of Section
15 of the Securities Act or Section 20 of the Exchange Act and the respective
officers, directors, partners, employees, representatives and agents of any
Initial Purchaser, the Holders or any Controlling Person (each, an “Indemnified
Party”), from and against any loss, damage, expense, liability, claim or
any actions in respect thereof (including the reasonable cost of investigation)
which such Indemnified Party may incur or become subject to under the
Securities Act, the Exchange Act or otherwise, insofar as such loss, damage,
expense, liability, claim or action arises out of or is based upon any untrue
statement or alleged untrue statement of a material fact contained in any Shelf
Registration Statement or Prospectus, including any document incorporated by
reference therein, or in any amendment or supplement thereto or in any
preliminary prospectus, or arises out of or is based upon any omission or
alleged omission to state a material fact required to be stated in any Shelf
Registration Statement or in any amendment or supplement thereto or necessary to
make the statements therein not misleading, or arises out of or is based upon
any omission or alleged omission to state a material fact necessary in order to
make the statements made in any Prospectus or in any amendment or supplement
thereto or in any preliminary prospectus, in the light of the circumstances
under which such statements were made, not misleading, and the Company and the
Issuer shall reimburse, as incurred, the Indemnified Parties for any legal or
other expenses reasonably incurred by them in connection with investigating or
defending any such loss, damage, expense, liability, claim or action in respect
thereof; provided, however, that the Company and the Issuer shall
not be required to provide any indemnification pursuant to 

 22
 

 

this Section 6(a) in any such case insofar as any such loss, damage,
expense, liability, claim or action arises out of or is based upon (i) any
untrue statement or omission or alleged untrue statement or omission of a
material fact contained in, or omitted from, and in conformity with information
furnished in writing by or on behalf of an Initial Purchaser or a Holder to the
Company expressly for use in, any Shelf Registration Statement or any
Prospectus or (ii) a disposition, pursuant to a Shelf Registration Statement,
of Registrable Securities by an Indemnified Party during a Suspension Period,
provided such Indemnified Party received, prior to such disposition, a
Suspension Notice with respect to such Suspension Period; provided  further,
however, that this indemnity agreement will be in addition to any
liability which the Company and the Issuer may otherwise have to such
Indemnified Party.

(b)           Each
Holder, severally and not jointly, agrees to indemnify, defend and hold
harmless the Company and the Issuer, each of its directors, officers,
employees, representatives, agents and any person who controls the Company and
the Issuer within the meaning of Section 15 of the Securities Act or Section 20
of the Exchange Act (each, a “Company Indemnified Party”) from and
against any loss, damage, expense, liability, claim or any actions in respect
thereof (including the reasonable cost of investigation) which such Company
Indemnified Party may incur or become subject to under the Securities Act, the
Exchange Act or otherwise, insofar as such loss, damage, expense, liability,
claim or action arises out of or is based upon (A) any untrue statement or
alleged untrue statement of a material fact contained in, and in conformity
with information (the “Holder Information”) furnished in writing by or
on behalf of such Holder to the Company expressly for use in, any Shelf
Registration Statement or Prospectus, or arises out of or is based upon any
omission or alleged omission to state a material fact in connection with such
Holder Information, which material fact was not contained in such Holder
Information, and which material fact was either required to be stated in any
Shelf Registration Statement or Prospectus or necessary to make such Holder
Information not misleading, (B) a sale, by such Holder pursuant to a Shelf
Registration Statement in or with respect to which such Holder is named as a
selling securityholder, of Registrable Securities during a Suspension Period,
provided that the Company shall have theretofore provided such Holder a Suspension
Notice in accordance with Section 3(k), or (C) a public sale of Registrable
Securities by such Holder without delivery, if required by the Securities Act,
of the most recent applicable Prospectus provided to such Holder by the Company
pursuant to Section 3(i) or Section 2(d)(i)(C), provided the Company shall have
theretofore provided such Holder with copies of such Prospectus in a timely
manner so as to permit such delivery; and, subject to the limitation set forth
in the immediately preceding clause, each Holder shall reimburse, as incurred,
the Company and the Issuer for any legal or other expenses reasonably incurred
by the Company and the Issuer or any such controlling person in connection with
investigating or defending any loss, damage, expense, liability, claim or
action in respect thereof.  This
indemnity agreement will be in addition to any liability which such Holder may
otherwise have to the Company and the Issuer or any of its controlling persons.  In no event shall the liability of any selling
Holder of Registrable Securities hereunder be greater in amount than the dollar
amount of the proceeds received by such Holder upon the sale, pursuant to the
Shelf Registration Statement, of the Registrable Securities giving rise to such
indemnification obligation.

 23

 

(c)           If any action, suit or proceeding
(each, a “Proceeding”) is brought against any person in respect of which
indemnity may be sought pursuant to either Section 6(a) or Section 6(b), such
person (the “Indemnified Party”) shall promptly notify the person against
whom such indemnity may be sought (the “Indemnifying Party”) in writing
of the institution of such Proceeding and the Indemnifying Party shall assume
the defense of such Proceeding; provided, however, that the
omission to so notify such Indemnifying Party shall not relieve such
Indemnifying Party from any liability which it may have to such Indemnified
Party or otherwise.  The Indemnifying Party shall be entitled to appoint counsel (including local
counsel) of the Indemnifying Party’s choice at the Indemnifying Party’s expense to represent the Indemnified
Party in any action for which
indemnification is sought (in which case the Indemnifying Party shall
not thereafter be responsible for the fees and expenses of any separate
counsel, other than local counsel if not appointed by the Indemnifying Party, retained by the Indemnified Party or parties except as set forth below); provided, however,
that such counsel shall be reasonably satisfactory to the Indemnified Party. Notwithstanding the Indemnifying
Party’s election to appoint counsel
(including local counsel) to represent the Indemnified Party in an action, the Indemnified Party shall have the right to employ separate
counsel (including local counsel), and the Indemnifying Party shall
bear the reasonable fees, costs and expenses of such separate counsel (it
being understood, however, that such Indemnifying Party shall not be liable for
the expenses of more than one separate counsel in any one Proceeding or series
of related Proceedings together with reasonably necessary local counsel
representing the Indemnified Parties who are parties to such action) if (i) the use of counsel chosen
by the Indemnifying Party to represent
the Indemnified Party would
present such counsel with a conflict of interest; (ii) the actual or
potential defendants in, or targets of, any such action include both the
Indemnified Party and the Indemnifying Party and the Indemnified Party shall
have reasonably concluded that there may be legal defenses available to
it and/or other Indemnified Parties
that are different from or additional to those available to the
Indemnifying Party; (iii) the Indemnifying Party shall not have employed counsel satisfactory to the Indemnified
Party to represent the Indemnified Party
within thirty (60) days after
notice of the institution of such action; or (iv) the Indemnifying Party shall authorize the
Indemnified Party to employ separate
counsel at the expense of the Indemnifying
Party. No Indemnifying Party shall, without the prior written
consent of the Indemnified Party,
effect any settlement of any pending or threatened action in respect of
which any Indemnified Party is or could
have been a party and indemnity could have been sought hereunder by such
Indemnified Party unless such settlement (i) includes
an unconditional release of such Indemnified Party from all liability on any claims that are the subject matter of
such action, (ii) does not include a statement as to, or an admission of,
fault, culpability or a failure to act by or on behalf of an Indemnified
Party, and (iii) does not include
any undertaking or obligation to act or to refrain from acting by the
Indemnified Party.

(d)           If the indemnification provided for
in this Section 6 is unavailable to an Indemnified Party under Section 6(a) or
Section 6(b), or
insufficient to hold such Indemnified Party harmless, in respect of any
losses, damages, expenses, liabilities, claims or actions referred to therein,
then each applicable Indemnifying Party, in lieu of 

 24
 

 

indemnifying
such Indemnified Party, shall contribute to the amount paid or payable by such
Indemnified Party as a result of such losses, damages, expenses, liabilities,
claims or actions (i) in such proportion as is appropriate to reflect the
relative benefits received by the Company and the Issuer, on the one hand, and
by the Holders or the Initial Purchasers, on the other hand, from the offering
of the Registrable Securities or (ii) if the allocation provided by clause (i)
above is not permitted by applicable law, in such proportion as is appropriate
to reflect not only the relative benefits referred to in clause (i) above but
also the relative fault of the Company and the Issuer, on the one hand, and of
the Holders or the Initial Purchasers, on the other hand, in connection with
the statements or omissions which resulted in such losses, damages, expenses,
liabilities, claims or actions, as well as any other relevant equitable
considerations.  The relative fault of
the Company and the Issuer, on the one hand, and of the Holders or the Initial
Purchasers, on the other hand, shall be determined by reference to, among other
things, whether the untrue statement or alleged untrue statement of a material
fact or omission or alleged omission relates to information supplied by the
Company and the Issuer or by the Holders or the Initial Purchasers and the
parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission. 
The amount paid or payable by a party as a result of the losses,
damages, expenses, liabilities, claims and actions referred to above shall be
deemed to include any reasonable legal or other fees or expenses reasonably
incurred by such party in connection with investigating or defending any
Proceeding.

(e)           The Company, the Issuer, the Holders
and the Initial Purchasers agree that it would not be just and equitable if
contribution pursuant to this Section 6 were determined by pro rata allocation
or by any other method of allocation which does not take account of the
equitable considerations referred to in Section 6(d) above.  Notwithstanding the provisions of this
Section 6, no Holder shall be required to contribute any amount in excess of
the amount by which the total price at which the Registrable Securities giving
rise to such contribution obligation and sold by such Holder were offered to
the public exceeds the amount of any damages which it has otherwise been
required to pay by reason of such untrue or alleged untrue statement or
omission or alleged omission.  No person
guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of
the Securities Act) shall be entitled to contribution from any person who was
not guilty of such fraudulent misrepresentation.  The Holders’ respective obligations to
contribute pursuant to this Section 6 are several in proportion to the
respective amount of Registrable Securities they have sold pursuant to a Shelf
Registration Statement, and not joint. 
The remedies provided for in this Section 6 are not exclusive and shall
not limit any rights or remedies which may otherwise be available to any
indemnified party at law or in equity.

(f)            The indemnity and contribution
provisions contained in this Section 6 shall remain operative and in full force
and effect regardless of (i) any termination of this Agreement, (ii) any
investigation made by or on behalf of any Holder or the Initial Purchasers or
any person controlling any Holder or Initial Purchaser, or the Company, or the
Issuer, or the Company’s or the Issuer’s officers or directors or any person
controlling the Company or the Issuer and (iii) the sale of any Registrable
Security by any Holder.

 25
 

 

7.             Information Requirements.

(a)           The Company covenants that, if at any
time before the end of the Effectiveness Period it is not subject to the reporting
requirements of the Exchange Act, it will cooperate with any Holder of
Registrable Securities and take such further action as any Holder of
Registrable Securities may reasonably request in writing (including, without
limitation, making such representations as any such Holder may reasonably
request), all to the extent required from time to time to enable such Holder to
sell Registrable Securities without registration under the Securities Act
within the limitations of the exemptions provided by Rule 144, Rule 144A and
Regulation S under the Securities Act and customarily taken in connection with
sales pursuant to such exemptions. Upon the written request of any Holder, the
Company shall deliver to such Holder a written statement as to whether the Company
has complied with the reporting requirements of the Exchange Act, unless such a
statement has been included in the Company’s most recent report filed with the
SEC pursuant to Section 13 or Section 15(d) of Exchange Act. Notwithstanding
the foregoing, nothing in this Section 7 shall be deemed to require the Company
to register any of its securities (other than the Common Stock) under any
section of the Exchange Act.

(b)           The Company shall file the reports
required to be filed by it under the Exchange Act and shall comply with all
other requirements set forth in the instructions to Form S-3 in order to allow
the Company to be eligible to file registration statements on Form S-3.  The Company shall use its commercially reasonable
efforts to remain eligible, pursuant to Rule 430B(b), to omit, from the
prospectus that is filed as part of a Registration Statement, the identities of
selling securityholders and amounts of securities to be registered on their
behalf.

8.             Underwritten Registrations.

(a)           If any of the Registrable Securities
covered by the Shelf Registration Statement are to be offered and sold in an
underwritten offering, the investment banker or investment bankers and manager
or managers that will administer the offering (“Managing Underwriters”)
shall be selected by the holders of a majority of such Registrable Securities
to be included in such offering.

(b)           No person may participate in any
underwritten registration hereunder unless such person (i) agrees to sell such
person’s Registrable Securities on the basis reasonably provided in any
underwriting arrangements approved by the persons entitled hereunder to approve
such arrangements and (ii) completes and executes all questionnaires, powers of
attorney, indemnities, underwriting agreements and other documents reasonably
required under the terms of such underwriting arrangements.

(c)           Notwithstanding anything herein to
the contrary, in no event shall Registrable Securities be offered and sold
pursuant hereto through a Shelf Registration Statement pursuant to an
underwritten offering without the prior written agreement of the Company.

 26
 

 

9.             Miscellaneous.

(a)           Remedies.  The Company and the Issuer acknowledge and
agree that any failure by the Company or the Issuer to comply with their
obligations under this Agreement may result in material irreparable injury to
the Initial Purchasers and the Holders for which there is no adequate remedy at
law, that it will not be possible to measure damages for such injuries
precisely and that, in the event of any such failure, any Initial Purchaser or
Holder may obtain such relief as may be required to specifically enforce the
Company’s and the Issuer’s obligations under this Agreement.  The Company and the Issuer further agree to
waive the defense in any action for specific performance that a remedy at law
would be adequate.  Notwithstanding the
foregoing two sentences, this Section 9(a) shall not apply to the subject
matter referred to in and contemplated by Section 2(e).

(b)           No Conflicting Agreements.  The Company and the Issuer are not, as of the
date hereof, a party to, nor shall they, on or after the date of this
Agreement, enter into, any agreement with respect to the Company’s securities
that conflicts with the rights granted to the Holders in this Agreement.  The Company and the Issuer represent and
warrant that the rights granted to the Holders hereunder do not in any way
conflict with the rights granted to the holders of the Company’s or the Issuer’s
securities under any other agreements. 
The Company and the Issuer will not take any action with respect to the
Registrable Securities which would adversely affect the ability of any of the
Holders to include such Registrable Securities in a registration undertaken
pursuant to this Agreement.  The Company
represents and covenants that it has not granted, and shall not grant, to any
of its securityholders (other than the Holders in such capacity) the right to
include any of the Company’s securities in any Shelf Registration Statement
filed pursuant to this Agreement.

(c)           Amendments and Waivers.  The provisions of this Agreement, including
the provisions of this sentence, may not be amended, modified or supplemented,
and waivers or consents to departures from the provisions hereof may not be
given, unless the Company has obtained the written consent of Holders of a
majority of outstanding Registrable Securities; provided, however,
that, no consent is necessary from any of the Holders in the event that this
Agreement is amended, modified or supplemented for the purpose of curing any
ambiguity, defect or inconsistency that does not adversely affect the rights of
any Holders.  Notwithstanding the
foregoing, a waiver or consent to depart from the provisions hereof with
respect to a matter that relates exclusively to the rights of Holders of
Registrable Securities whose securities are being sold pursuant to a Shelf
Registration Statement and that does not directly or indirectly affect the
rights of other Holders of Registrable Securities may be given by Holders of at
least a majority of the Registrable Securities being sold by such Holders
pursuant to such Shelf Registration Statement; provided, however,
that the provisions of this sentence may not be amended, modified, or
supplemented except in accordance with the provisions of the immediately
preceding sentence.  Each Holder of
Registrable Securities outstanding at the time of any 

 27
 

 

such
amendment, modification, supplement, waiver or consent or thereafter shall be
bound by any such amendment, modification, supplement, waiver or consent
effected pursuant to this Section 9(c), whether or not any notice, writing or
marking indicating such amendment, modification, supplement, waiver or consent
appears on the Registrable Securities or is delivered to such Holder.

(d)           Notices.  All notices and other communications provided
for or permitted hereunder shall be made in writing by hand delivery, by
telecopier, by courier guaranteeing overnight delivery or by first-class mail,
return receipt requested, and shall be deemed given (A) when made, if made by
hand delivery, (B) upon confirmation, if made by telecopier, (C) one (1)
Business Day after being deposited with such courier, if made by overnight
courier or (D) on the date indicated on the notice of receipt, if made by
first-class mail, to the parties as follows:

(i)            if to a Holder, at the most current
address given by such Holder to the Company in a Notice and Questionnaire or
any amendment thereto;

(ii)           if
to the Company or the Issuer, to:

                600 East 96th Street, Suite 100

                Indianapolis, Indiana 46240

                Attention: Matthew Cohoat

                Telecopy
No.: (317) 808-6065

(iii)          if
to the Initial Purchasers, to:

                c/o Morgan Stanley &
Co. Incorporated

                1585 Broadway, 38th Floor

                New York, New York 10036

                Attention:
Eric Benedict

or to such other address as such person may have furnished to the other
persons identified in this Section 9(d) in writing in accordance herewith.

(e)           Majority of Registrable Securities.  For purposes of determining what constitutes
holders of a majority of Registrable Securities, as referred to in this
Agreement, a majority shall constitute a majority in aggregate principal amount
of Registrable Securities, treating each relevant holder of shares of Common
Stock, Redemption or Repurchase Upon Designated Event of the Notes as a holder
of the aggregate principal amount of Notes in respect of which such Common
Stock was issued.

(f)            Approval of Holders.  Whenever the consent or approval of Holders
of a specified percentage of Registrable Securities is required hereunder,
Registrable Securities held by the Company or its “affiliates” (as such term is
defined in Rule 405 under the Securities Act) (other than the Initial
Purchasers or subsequent Holders of Registrable Securities, if the Initial
Purchasers or such subsequent Holders are deemed to 

 28
 

 

be such
affiliates solely by reason of their holdings of such Registrable Securities)
shall not be counted in determining whether such consent or approval was given
by the Holders of such required percentage.

(g)           Third Party Beneficiaries.  The Holders shall be third party
beneficiaries to the agreements made hereunder between the Company and the
Issuer, on the one hand, and the Initial Purchasers, on the other hand, and
shall have the right to enforce such agreements directly to the extent they may
deem such enforcement necessary or advisable to protect their rights or the
rights of Holders hereunder. The Trustee shall be entitled to the rights
granted to it pursuant to this Agreement.

(h)           Successors and Assigns.  Any person who purchases any Notes or Covered
Security from any Initial Purchaser or from any Holder shall be deemed, for
purposes of this Agreement, to be an assignee of such Initial Purchaser or such
Holder, as the case may be.  This
Agreement shall inure to the benefit of and be binding upon the respective
successors and assigns of each of the parties hereto and shall inure to the
benefit of and be binding upon each Holder of any Notes or Covered Security.

(i)            Counterparts. This Agreement may
be executed in any number of counterparts and by the parties hereto in separate
counterparts, each of which when so executed shall be deemed to be original and
all of which taken together shall constitute one and the same agreement.

(j)            Headings.  The headings in this Agreement are for
convenience of reference only and shall not limit or otherwise affect the
meaning hereof.

(k)           Governing Law. THIS AGREEMENT
SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE
OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES THEREOF.

(l)            Severability.  If any term, provision, covenant or
restriction of this Agreement is held to be invalid, illegal, void or
unenforceable, the remainder of the terms, provisions, covenants and
restrictions set forth herein shall remain in full force and effect and shall
in no way be affected, impaired or invalidated thereby, and the parties hereto
shall use their best efforts to find and employ an alternative means to achieve
the same or substantially the same result as that contemplated by such term,
provision, covenant or restriction, it being intended that all of the rights
and privileges of the parties shall be enforceable to the fullest extent
permitted by law.

(m)          Entire Agreement.  This Agreement is intended by the parties
hereto as a final expression of their agreement and is intended to be a
complete and exclusive statement of the agreement and understanding of the
parties hereto in respect of the subject matter contained herein and the
registration rights granted by the Company with respect to the Registrable
Securities. Except as provided in the Purchase Agreement, there are no
restrictions, promises, warranties or undertakings, other than those set forth 

 29
 

 

or referred to
herein, with respect to the registration rights granted by the Company with
respect to the Registrable Securities. 
This Agreement supersedes all prior agreements and undertakings among
the parties with respect to such registration rights.  No party hereto shall have any rights, duties
or obligations other than those specifically set forth in this Agreement.

(n)           Termination.  This Agreement and the obligations of the
parties hereunder shall terminate upon the end of the Effectiveness Period,
except for any liabilities or obligations under Section 4, Section 5 or Section
6 hereof and the obligations to make payments of and provide for additional
interest under Section 2(e) hereof to the extent such additional interest
accrues prior to the end of the Effectiveness Period and to the extent any
overdue additional interest accrues in accordance with the last paragraph of
such Section 2(e), each of which shall remain in effect in accordance with its
terms.

(o)           Submission to Jurisdiction.  Except as set forth
below, no claim, counterclaim or
dispute of any kind or nature whatsoever arising out of or in any way relating
to this Agreement (“Claim”) may be commenced, prosecuted or
continued in any court other than the courts of the State of New York located
in the City and County of New York or in the United States District Court for
the Southern District of New York, which courts shall have jurisdiction over
the adjudication of such matters, and the Company and the Issuer hereby
consents to the jurisdiction of such courts and personal service with respect
thereto.  The Company and the Issuer
hereby consents to personal jurisdiction, service and venue in any court in
which any Claim arising out of or in any way relating to this Agreement is
brought by any third party against any Initial Purchaser.  THE COMPANY AND THE ISSUER HEREBY WAIVES ALL
RIGHTS TO TRIAL BY JURY IN ANY PROCEEDING (WHETHER BASED UPON CONTRACT, TORT OR
OTHERWISE) IN ANY WAY ARISING OUT OF OR RELATING TO THIS AGREEMENT.  The Company and the Issuer agrees that a
final judgment in any such Proceeding brought in any such court shall be conclusive
and binding upon the Company or the Issuer and may be enforced in any other
courts in the jurisdiction of which the Company or the Issuer is or may be
subject, by suit upon such judgment.

The
Remainder of This Page Intentionally Left Blank; Signature Page Follows

 

 30

 

In Witness Whereof, the parties have executed this Agreement
as of the date first written above.

	
   

  	
  Very truly yours,

  
	
   

  	
   

  	
   

  
	
   

  	
  DUKE REALTY CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Howard L. Feinsand

  
	
   

  	
   

  	
  Name:

  	
  Howard L. Feinsand

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice President, General Counsel and
  Secretary

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  DUKE REALTY LIMITED PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Duke Realty Corporation

  
	
   

  	
   

  	
  Its: Sole Member

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Howard L. Feinsand

  
	
   

  	
   

  	
  Name:

  	
  Howard L. Feinsand

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice President, General

  
	
   

  	
   

  	
   

  	
  Counsel and Secretary

  
					

 

 

 

	
  Accepted and agreed to as of the date first
  above written, on behalf of itself and the other several Initial Purchasers:

  	
   

  
	
   

  	
   

  	
   

  
	
  MORGAN STANLEY & CO. INCORPORATED

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ Todd L. Singer

  	
   

  
	
   

  	
  Name:

  	
  Todd L. Singer

  
	
   

  	
  Title:

  	
  Executive Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  CITIGROUP GLOBAL MARKETS INC.

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ David Kieske

  	
   

  
	
   

  	
  Name:

  	
  David Kieske

  
	
   

  	
  Title:

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  UBS SECURITIES LLC

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ Simon Ollerenshaw

  	
   

  
	
   

  	
  Name:

  	
  Simon Ollernenshaw

  
	
   

  	
  Title:

  	
  Executive Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ James Park

  	
   

  
	
   

  	
  Name:

  	
  James Park

  
	
   

  	
  Title:

  	
  Director

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