Document:

EXHIBIT 4.4

                                 AMENDMENT NO. 2

                                       TO

               REVOLVING CREDIT, TERM LOAN AND SECURITY AGREEMENT

     THIS AMENDMENT NO. 2 ("Amendment") is entered into as of May__, 2003 by and
among PERMA-FIX ENVIRONMENTAL SERVICES, INC., a corporation organized under the
laws of the State of Delaware ("Borrower"), PNC BANK, NATIONAL ASSOCIATION
("PNC"), the various other financial institutions (together with PNC,
collectively the "Lenders") named in or which hereafter become a party to the
Loan Agreement (as hereafter defined) and PNC as agent for Lenders (in such
capacity, "Agent") and as Issuing Bank.

                                   BACKGROUND

     Borrower, Agent and Lenders are parties to a Revolving Credit, Term Loan
and Security Agreement dated as of December 22, 2000 (as amended, supplemented
or otherwise modified from time to time, the "Loan Agreement") pursuant to which
Lenders provides Borrower with certain financial accommodations.

     Borrower has requested that Lenders amend certain provisions of the Loan
Agreement and Agent, on behalf of Lenders is willing to do so on the terms and
conditions hereafter set forth.

     NOW, THEREFORE, in consideration of any loan or advance or grant of credit
heretofore or hereafter made to or for the account of Borrower by Lenders, and
for other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto hereby agree as follows:

     1. Definitions. All capitalized terms not otherwise defined herein shall
have the meanings given to them in the Loan Agreement.

     2. Amendment to Loan Agreement. Subject to satisfaction of the conditions
precedent set forth in Section 3 below, the Loan Agreement is hereby amended as
follows:

          (a) Section 1.2 of the Loan Agreement is hereby amended by inserting
the following defined terms in their appropriate alphabetical order:

          "Amendment No. 2" shall mean Amendment No. 2 to Revolving Credit, Term
Loan and Security Agreement dated as of May _, 2003.

          "Amendment No. 2 Effective Date" shall mean the date when the
conditions of effectiveness set forth in Section 3 of Amendment No. 2 have been
met to Agent's satisfaction.

<PAGE>

          (b) Section 1.2 of the Loan Agreement is hereby amended by amending
the following defined terms to provide as follows:

          "Amortizing Availability" shall mean $4,000,000, less $66,666.67, on
     the fifteenth (15th) day of each month commencing with July 15, 2003 and
     reducing to $0 upon the end of the Term. In the event any Equipment of East
     Tennessee Materials & Energy Corporation is sold on or after the Amendment
     No. 2 Effective Date, the Amortizing Availability shall be further reduced
     by the greater of (i) 75% of the fair market value of such Equipment or
     (ii) 45% of the liquidation in place value of such Equipment, in each case
     as set forth in the appraisal dated March 2, 2002 conducted by Marshall and
     Stevens Valuation Consulting.

          "Documentary L/C" means any commercial documentary letter of credit
     issued by the Issuing Bank pursuant to Section 2.14.

          "L/C Commitment" means the commitment of the Issuing Bank to Issue,
     and the commitment of the Lenders severally to participate in, Letters of
     Credit from time to time Issued or outstanding as provided herein, in an
     aggregate amount not to exceed on any date the sum of $500,000; provided
     that the L/C Commitment is part of the Revolving Commitment Facility,
     rather than a separate independent commitment.

          "Letter of Credit" shall mean and include Documentary L/Cs and Standby
     L/Cs.

          "Standby L/C" means any commercial standby letter of credit issued by
     the Issuing Bank pursuant to Section 2.14.

          (c) Section 2.14(i)(i) of the Loan Agreement is hereby amended by
amending the first sentence thereof in its entirety to provide as follows:

          "Borrower shall pay to the Agent for the account of the Lenders a
          letter of credit fee with respect to Letters of Credit equal to the
          rate per annum equal to three percent (3%) per annum, (which rate
          shall be increased by 2% per annum at any time when an Event of
          Default shall have occurred and be continued) of the average daily
          maximum amount available to be drawn of the outstanding Letters of
          Credit, computed on a quarterly basis in arrears on the last Business
          Day of each calendar quarter based upon the applicable Letters of
          Credit outstanding for that quarter as calculated by Agent, such
          computation be made on the basis of actual days elapsed in a 360-day
          year."

<PAGE>

          (d) Section 2.14(k) of the Loan Agreement is hereby amended in its
          entirety to provide as follows:

                    (a) "Uniform Customs and Practice and International Standby
                    Practices. Each Documentary L/Credit shall be subject to the
                    Uniform Customs and Practice for Documentary Credits (1993
                    Revision), International Chamber of Commerce Publication No.
                    500 and any amendments or revision thereof adhered to by the
                    Issuing Bank. Each Standby L/C shall be subject to the
                    International Standby Practices (ISP98 - International
                    Chamber of Commerce Publication Number 590) (the "ISP98
                    Rules") and, as to matters not governed by the ISP98 Rules
                    or UCP500, the laws of the State of New York."

     3. Conditions of Effectiveness. This Amendment shall become effective upon
satisfaction of the following conditions precedent: Agent shall have received
(i) four (4) copies of this Amendment executed by Borrower and consented and
agreed to by Guarantors, (ii) an amendment fee of $25,000 (which fee shall be
charged to Borrower's Account), and (iii) such other certificates, instruments,
documents, agreements and opinions of counsel as may be required by Agent or its
counsel, each of which shall be in form and substance satisfactory to Agent and
its counsel.

     4. Representations and Warranties. Borrower hereby represents and warrants
as follows:

               (a) This Amendment and the Loan Agreement, as amended hereby,
          constitute legal, valid and binding obligations of Borrower and are
          enforceable against Borrower in accordance with their respective
          terms.

               (b) Upon the effectiveness of this Amendment, Borrower hereby
          reaffirms all covenants, representations and warranties made in the
          Loan Agreement to the extent the same are not amended hereby and
          agrees that all such covenants, representations and warranties shall
          be deemed to have been remade as of the effective date of this
          Amendment, except that such representations and warranties shall be
          qualified by the matters set forth on Schedule A attached hereto and
          made a part hereof.

               (c) No Event of Default or Default has occurred and is continuing
          or would exist after giving effect to this Amendment.

               (d) Borrower has no defense, counterclaim or offset with respect
          to the Loan Agreement.

               (e) Borrower is incorporated in the State of Delaware.

<PAGE>

     5. Effect on the Loan Agreement.

          (a) Upon the effectiveness of Section 2 hereof, each reference in the
Loan Agreement to "this Agreement," "hereunder," "hereof," "herein" or words of
like import shall mean and be a reference to the Loan Agreement as amended
hereby.

          (b) Except as specifically amended herein, the Loan Agreement, and all
other documents, instruments and agreements executed and/or delivered in
connection therewith, shall remain in full force and effect, and are hereby
ratified and confirmed.

          (c) The execution, delivery and effectiveness of this Amendment shall
not operate as a waiver of any right, power or remedy of Agent or any Lender,
nor constitute a waiver of any provision of the Loan Agreement, or any other
documents, instruments or agreements executed and/or delivered under or in
connection therewith.

     6. Governing Law. This Amendment shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns and
shall be governed by and construed in accordance with the laws of the State of
New York.

     7. Headings. Section headings in this Amendment are included herein for
convenience of reference only and shall not constitute a part of this Amendment
for any other purpose.

     8. Counterparts. This Amendment may be executed by the parties hereto in
one or more counterparts, each of which shall be deemed an original and all of
which when taken together shall constitute one and the same agreement.

     IN WITNESS WHEREOF, this Amendment has been duly executed as of the day and
year first written above.

                                       PERMA-FIX ENVIRONMENTAL SERVICES, INC.

                                       By:  /s/ Richard T. Kelecy
                                           -------------------------------------
                                                Name:  Richard T. Kelecy
                                                Title: Vice President

                                       PNC BANK, NATIONAL ASSOCIATION, as
                                       Agent and Lender

                                       By:  /s/ Alex M. Council IV
                                           -------------------------------------
                                                Name:  Alex M. Council IV
                                                Title: Vice President

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

<PAGE>

CONSENTED AND AGREED TO:

SCHREIBER, YONLEY AND ASSOCIATES, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX TREATMENT SERVICES, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF NEW MEXICO, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF FLORIDA, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF MEMPHIS, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

<PAGE>

PERMA-FIX OF DAYTON, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF FT. LAUDERDALE, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF ORLANDO, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF SOUTH GEORGIA, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

PERMA-FIX OF MICHIGAN, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

DIVERSIFIED SCIENTIFIC SERVICES, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

<PAGE>

INDUSTRIAL WASTE MANAGEMENT, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

MINTECH, INC.

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

RECLAMATION SYSTEMS, INC.
By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice President

EAST TENNESSEE MATERIALS & ENERGY
CORPORATION

By:  /s/ Richard T. Kelecy
     ----------------------------------
         Name:    Richard T. Kelecy
         Title:   Vice PresidentExhibit 4.1

	
      
        Exhibit
          4.1 

        

        

         

         

        BRADLEY
          PHARMACEUTICALS, INC. 

          and

          AMERICAN STOCK TRANSFER & TRUST COMPANY

          as Trustee

        

        INDENTURE

        Dated as of June 11, 2003

        

        $25,000,000 Principal Amount

        (Plus Initial Purchasers’ Option)

        4% Convertible Senior Subordinated Notes
          due 2013

         

        

        

        
        
      CROSS-REFERENCE TABLE

    

	TIA Section 	Indenture

      Section
	
      310(a)(1) 

    	
      7.10

    
	
             (a)(2) 

    	
      7.10

    
	
             (a)(3) 

    	
      N.A.

    
	
             (a)(4)

    	
      N.A.

    
	
             (b) 

    	
      7.08; 7.10; 12.02

    
	
             (c) 

    	
      N.A.

    
	
      311(a) 

    	
      7.11

    
	
             (b) 

    	
      7.11

    
	
             (c) 

    	
      N.A.

    
	
      312(a) 

    	
      2.05

    
	
             (b) 

    	
      12.03

    
	
             (c) 

    	
      12.03

    
	
      313(a) 

    	
      7.06

    
	
             (b)(1) 

    	
      N.A.

    
	
             (b)(2) 

    	
      7.06

    
	
             (c) 

    	
      7.06; 12.02

    
	
             (d) 

    	
      7.06

    
	
      314(a) 

    	
      4.02

    
	
             (b) 

    	
      N.A.

    
	
             (c)(1) 

    	
      12.04

    
	
             (c)(2) 

    	
      12.04

    
	
             (c)(3) 

    	
      N.A.

    
	
             (d) 

    	
      N.A.

    
	
             (e) 

    	
      12.05

    
	
             (f) 

    	
      N.A.

    
	
      315(a) 

    	
      7.01(B)

    
	
             (b) 

    	
      7.05; 12.02

    
	
             (c) 

    	
      7.01(A)

    
	
             (d) 

    	
      7.01(C)

    
	
             (e) 

    	
      6.11

    
	
      316(a)(last sentence) 

    	
      2.09

    
	
             (a)(1)(A) 

    	
      6.05

    
	
             (a)(1)(B) 

    	
      6.04

    
	
             (a)(2) 

    	
      N.A.

    
	
             (b) 

    	
      6.07

    
	
      317(a)(1) 

    	
      6.08

    
	
             (a)(2) 

    	
      6.09

    
	
             (b) 

    	
      2.04

    
	
      318(a) 

    	
      12.01

    

	
      
    
	
       

    	
      Page 

    
	
      I. DEFINITIONS AND INCORPORATION 

        BY REFERENCE

    
	 	 	 
	
      1.01

    	
      Definitions.

    	
      1

    
	
      1.02

    	
      Other Definitions.

    	
      4

    
	
      1.03

    	
      Incorporation by Reference of Trust
        Indenture Act.

    	
      5

    
	
      1.04

    	
      Rules of Construction.

    	
      6

    
	
      1.05

    	
      Calculations.

    	
      6

    
	
       

    	
       

    	
       

    
	
      II. THE SECURITIES 

    
	 	 	 
	
      2.01

    	
      Form and Dating.

    	
      6

    
	
      2.02

    	
      Execution and Authentication.

    	
      7

    
	
      2.03

    	
      Registrar, Paying Agent and Conversion
        Agent.

    	
      8

    
	
      2.04

    	
      Paying Agent To Hold Money in Trust.

    	
      8

    
	
      2.05

    	
      Securityholder Lists.

    	
      9

    
	
      2.06

    	
      Transfer and Exchange.

    	
      9

    
	
      2.07

    	
      Replacement Securities.

    	
      9

    
	
      2.08

    	
      Outstanding Securities.

    	
      10

    
	
      2.09

    	
      Securities Held by the Company
        or an Affiliate.

    	
      10

    
	
      2.10

    	
      Temporary Securities.

    	
      10

    
	
      2.11

    	
      Cancellation.

    	
      10

    
	
      2.12

    	
      Defaulted Interest.

    	
      11

    
	
      2.13

    	
      CUSIP Numbers.

    	
      11

    
	
      2.14

    	
      Deposit of Moneys.

    	
      11

    
	
      2.15

    	
      Book-Entry Provisions for Global
        Securities.

    	
      11

    
	
      2.16

    	
      Special Transfer Provisions.

    	
      12

    
	
      2.17

    	
      Restrictive Legends.

    	
      13

    
	 
	
      III. REDEMPTION

    
	 	 	 
	
      3.01

    	
      Right of Redemption.

    	
      13

    
	
      3.02

    	
      Notices to Trustee.

    	
      14

    
	
      3.03

    	
      Selection of Securities to Be Redeemed.

    	
      14

    
	
      3.04

    	
      Notice of Redemption.

    	
      14

    
	
      3.05

    	
      Effect of Notice of Redemption.

    	
      15

    
	
      3.06

    	
      Deposit of Redemption Price.

    	
      16

    
	
      3.07

    	
      Securities Redeemed in Part.

    	
      16

    
	
      3.08

    	
      Purchase of Securities at Option
        of the Holder.

    	
      16

    
	
      3.09

    	
      Repurchase at Option of Holder
        upon a Repurchase Event.

    	
      19

    
	
      3.10

    	
      Conversion Arrangement on Call
        for Redemption.

    	
      23

    
	

	
      IV. COVENANTS 

    
	 	 	 
	
      4.01

    	
      Payment of Securities.

    	
      24

    
	
      4.02

    	
      Maintenance of Office or Agency.

    	
      24

    
	
      4.03

    	
      Reports.

    	
      25

    
	
      4.04

    	
      Compliance Certificate.

    	
      25

    
	
      4.05

    	
      Stay, Extension and Usury Laws.

    	
      25

    
	
      4.06

    	
      Corporate Existence.

    	
      25

    
	
      4.07

    	
      Notice of Default.

    	
      26

    
	 
	
      V. SUCCESSORS 

    
	 	 	 
	
      5.01

    	
      When Company May Merge, etc.

    	
      26

    
	
      5.02

    	
      Successor Substituted.

    	
      26

    
	 
	
      VI. DEFAULTS AND
        REMEDIES

    
	 	 	 
	
      6.01

    	
      Events of Default.

    	
      27

    
	
      6.02

    	
      Acceleration.

    	
      28

    
	
      6.03

    	
      Other Remedies.

    	
      29

    
	
      6.04

    	
      Waiver of Past Defaults.

    	
      29

    
	
      6.05

    	
      Control by Majority.

    	
      29

    
	
      6.06

    	
      Limitation on Suits.

    	
      30

    
	
      6.07

    	
      Rights of Holders to Receive Payment.

    	
      30

    
	
      6.08

    	
      Collection Suit by Trustee.

    	
      30

    
	
      6.09

    	
      Trustee May File Proofs of Claim.

    	
      31

    
	
      6.10

    	
      Priorities.

    	
      31

    
	
      6.11

    	
      Undertaking for Costs.

    	
      31

    
	 
	
      VII. TRUSTEE 

    
	 	 	 
	
      7.01

    	
      Duties of Trustee.

    	
      32

    
	
      7.02

    	
      Rights of Trustee.

    	
      33

    
	
      7.03

    	
      Individual Rights of Trustee.

    	
      34

    
	
      7.04

    	
      Trustee’s Disclaimer.

    	
      34

    
	
      7.05

    	
      Notice of Defaults.

    	
      34

    
	
      7.06

    	
      Reports by Trustee to Holders.

    	
      34

    
	
      7.07

    	
      Compensation and Indemnity.

    	
      34

    
	
      7.08

    	
      Replacement of Trustee.

    	
      35

    
	
      7.09

    	
      Successor Trustee by Merger, etc.

    	
      36

    
	
      7.10

    	
      Eligibility; Disqualification.

    	
      36

    
	
      7.11

    	
      Preferential Collection of Claims
        Against Company.

    	
      36

    
	 
	
      VIII. DISCHARGE
        OF INDENTURE 

    
	 	 	 
	
      8.01

    	
      Termination of the Obligations
        of the Company.

    	
      36

    
	
      8.02

    	
      Application of Trust Money.

    	
      37

    
	
      8.03

    	
      Repayment to Company.

    	
      37

    
	

	
      8.04

    	
      Reinstatement.

    	
      37

    
	 
	
      IX. AMENDMENTS 

    
	 	 	 
	
      9.01

    	
      Without Consent of Holders.

    	
      38

    
	
      9.02

    	
      With Consent of Holders.

    	
      38

    
	
      9.03

    	
      Compliance with Trust Indenture
        Act.

    	
      40

    
	
      9.04

    	
      Revocation and Effect of Consents.

    	
      40

    
	
      9.05

    	
      Notation on or Exchange of Securities.

    	
      40

    
	
      9.06

    	
      Trustee Protected.

    	
      40

    
	 
	
      X. CONVERSION 

    
	 	 	 
	
      10.01

    	
      Conversion Privilege; Restrictive
        Legends.

    	
      40

    
	
      10.02

    	
      Conversion Procedure.

    	
      41

    
	
      10.03

    	
      Fractional Shares.

    	
      42

    
	
      10.04

    	
      Taxes on Conversion.

    	
      42

    
	
      10.05

    	
      Company to Provide Stock.

    	
      42

    
	
      10.06

    	
      Adjustment of Conversion Rate.

    	
      42

    
	
      10.07

    	
      No Adjustment.

    	
      48

    
	
      10.08

    	
      Other Adjustments.

    	
      48

    
	
      10.09

    	
      Adjustments for Tax Purposes.

    	
      48

    
	
      10.10

    	
      Notice of Adjustment.

    	
      49

    
	
      10.11

    	
      Notice of Certain Transactions.

    	
      49

    
	
      10.12

    	
      Effect of Reclassifications, Consolidations,
        Mergers, Binding Share Exchanges or Sales on Conversion Privilege.

    	
      49

    
	
      10.13

    	
      Trustee’s Disclaimer.

    	
      50

    
	
      10.14

    	
      Limitations on Conversion

    	
      51

    
	 
	
      XI. SUBORDINATION 

    
	 	 	 
	
      11.01

    	
      Agreement to Subordinate.

    	
      51

    
	
      11.02

    	
      Certain Definitions.

    	
      52

    
	
      11.03

    	
      Liquidation; Dissolution; Bankruptcy.

    	
      52

    
	
      11.04

    	
      Default on Designated Senior Indebtedness

    	
      53

    
	
      11.05

    	
      Acceleration of Securities.

    	
      54

    
	
      11.06

    	
      When Distribution Must Be Paid
        Over.

    	
      54

    
	
      11.07

    	
      Notice by the Company.

    	
      54

    
	
      11.08

    	
      Subrogation.

    	
      55

    
	
      11.09

    	
      Relative Rights.

    	
      55

    
	
      11.10

    	
      Subordination May Not Be Impaired
        by the Company.

    	
      55

    
	
      11.11

    	
      Distribution or Notice to Representative.

    	
      56

    
	
      11.12

    	
      Rights of Trustee and Paying Agent.

    	
      56

    
	 
	
      XII. MISCELLANEOUS

    
	 	 	 
	
      12.01

    	
      Trust Indenture Act Controls.

    	
      56

    
	
      12.02

    	
      Notices.

    	
      56

    
	

	
      12.03

    	
      Communication by Holders with Other
        Holders.

    	
      57

    
	
      12.04

    	
      Certificate and Opinion as to Conditions
        Precedent.

    	
      57

    
	
      12.05

    	
      Statements Required in Certificate
        or Opinion.

    	
      58

    
	
      12.06

    	
      Rules by Trustee and Agents.

    	
      58

    
	
      12.07

    	
      Legal Holidays.

    	
      58

    
	
      12.08

    	
      Duplicate Originals.

    	
      58

    
	
      12.09

    	
      Governing Law.

    	
      58

    
	
      12.10

    	
      No Adverse Interpretation of Other
        Agreements.

    	
      59

    
	
      12.11

    	
      Successors.

    	
      59

    
	
      12.12

    	
      Separability.

    	
      59

    
	
      12.13

    	
      Table of Contents, Headings, etc.

    	
      59

    

	Exhibit A         
      -	Form of Global Security
	 	 
	Exhibit B-1      
      -	Form of Private Placement Legend
	 	 
	Exhibit B-2      
      -	Form of Legend for Global Security
	 	 
	Exhibit C         
      -	Form of Notice of Transfer Pursuant to Registration
      Statement
	 	 
	Exhibit D         
      -	Form of Opinion of Counsel in Connection with
      Registration of Securities

	     INDENTURE, dated as of June 11, 2003,
      between Bradley Pharmaceuticals, Inc., a Delaware corporation (the “Company”),
      and American Stock Transfer and Trust Company, as trustee (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 Company’s 4% Convertible Senior Subordinated Notes
        due 2013 (the “Securities”).

      I.                   
        DEFINITIONS AND INCORPORATION BY REFERENCE

      1.01     DEFINITIONS.
           “Affiliate” means any person
        directly or indirectly controlling or controlled by or under direct or
        indirect common control with the Company.  For this purpose, “control”
        shall mean the power to direct the management and policies of a person
        through the ownership of securities, by contract or otherwise.

           “Agent” means any Registrar,
        Paying Agent, Conversion Agent or co-registrar.

           “Board of Directors” means
        the Board of Directors of the Company or any committee thereof authorized
        to act for it 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 its Board of Directors and
        to be in full force and effect on the date of such certification, and
        delivered to the Trustee.

           “Capital Stock” means any
        and all shares, interests, participations or other equivalents (however
        designated) of capital stock of the Company and all warrants or options
        to acquire such capital stock.

           “Closing Sale Price” means
        the price of a share of Common Stock on the relevant date, determined
        (a) on the basis of the closing per share sale price (or if no closing
        sale price is reported, the average of the bid and ask prices or, if more
        than one in either case, the average of the average bid and the average
        ask prices) on such date on the New York Stock Exchange (the “NYSE”),
        or if the Common Stock is not listed on the NYSE, on the principal national
        securities exchange on which the Common Stock is listed; or (b) if the
        Common Stock is not listed on a national securities exchange, as reported
        by the National Association of Securities Dealers Automated Quotation
        System; or (c) if not so quoted, as reported by National Quotation Bureau,
        Incorporated or a similar organization.  In the absence of a quotation,
        the Closing Sale Price shall be such price as the Company shall reasonably
        determine on the basis of such quotations as most accurately reflecting
        the price that a fully informed buyer, acting on his own accord, would
        pay to a fully informed seller, acting on his own accord in an arms-length
        transaction, for a share of such Common Stock.

           “Common Stock” means the
        common stock, par value $.01 per share, of the Company, or such other
        Capital Stock into which the Company’s common stock is reclassified or
        changed.

      
        
           “Company” means the party
        named as such above until a successor replaces it pursuant to the applicable
        provision hereof and thereafter means the successor.

           “Company Request” or “Company
        Order” means a written request or order signed on behalf of the Company
        by its Chairman of the Board, its Chief Executive Officer, its President,
        its Chief Operating Officer, its Chief Financial Officer, any Executive
        Vice President or any Vice President and by its Treasurer or an Assistant
        Treasurer or its Secretary or an Assistant Secretary, and delivered to
        the Trustee.

           “Conversion Rate” means the
        number of shares of Common Stock issuable upon conversion of a Security
        per $1,000 of principal amount, which Conversion Rate shall initially
        be 50.0000 shares of Common Stock per $1,000 principal amount.

           “Conversion Price” means,
        as of any date of determination, the dollar amount derived by dividing
        $1,000 of principal amount by the Conversion Rate then in effect.

           “Corporate Trust Office of the
        Trustee” shall be at the address of the Trustee specified in Section 12.02
        or such other address as the Trustee may give notice of to the Company.

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

           “Depositary” means The Depository
        Trust Company, its nominees and successors.

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

           “Holder” or “Securityholder”
        means a person in whose name a Security is registered on the Registrar’s
        books.

           “Indenture” means this Indenture
        as amended or supplemented from time to time.

           “Initial Purchasers” means
        UBS Securities LLC and Raymond James & Associates, Inc.

           “interest” includes liquidated
        damages, unless the context otherwise requires.

           “Issue Date” means June 11,
        2003.

           “liquidated damages” has
        the meaning provided in the Registration Rights Agreement.

           “Maturity Date” means June
        15, 2013.

           “Officer” means the Chairman
        of the Board, the Chief Executive Officer, the President, the Chief Operating
        Officer, the Chief Financial Officer, any Executive Vice President, any
        Vice President, the Treasurer or the Secretary of the Company.

           “Officers’ Certificate” means
        a certificate signed by two Officers or by an Officer and an Assistant
        Treasurer or an Assistant Secretary of the Company.

      
        
           “Opinion of Counsel” means
        a written opinion from legal counsel who may be an employee of or counsel
        for the Company, or other counsel reasonably acceptable to the Trustee.

           “Option” means the Initial Purchasers’
        option to acquire up to $8,000,000 of additional Securities (“Additional
        Securities”) as provided for in the Purchase Agreement.

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

           “Purchase Agreement” means
        the Purchase Agreement dated as of June 6, 2003 between the Company and
        the Initial Purchasers.

           “QIB” means a “qualified
        institutional buyer” within the meaning of Rule 144A under the Act.

           “Redemption Date” means the
        date specified for redemption of the Securities in accordance with the
        terms of the Securities and this Indenture.

           “Redemption Price” means,
        with respect to a Security to be redeemed by the Company in accordance
        with Article III, 100% of the outstanding principal amount
        of such Security, or portion thereof, to be redeemed, payable in cash.

           “Registration Rights Agreement”
        means the Registration Rights Agreement dated as of  June 11, 2003 between
        the Company and the Initial Purchasers.

           “Repurchase Price” means,
        with respect to a Security duly tendered for purchase by the Company in
        accordance with Section 3.09, 100% of the outstanding principal
        amount of such Security, or portion thereof, so tendered, payable in cash.

           “Responsible Officer” shall
        mean, when used with respect to the Trustee, any officer within the corporate
        trust department of the Trustee, including any vice president, assistant
        vice president, assistant secretary, assistant treasurer, trust officer
        or any other officer of the Trustee who customarily performs functions
        similar to those performed by the Persons who at the time shall be such
        officers, respectively, or to whom any corporate trust matter is referred
        because of such person’s knowledge of and familiarity with the particular
        subject and who shall have direct responsibility for the administration
        of this Indenture.

           “Restricted Security” means
        a Security that constitutes a “restricted security” within the meaning
        of Rule 144(a)(3) under the Securities Act; provided, however,
        that the Trustee shall be entitled to request and conclusively rely on
        an Opinion of Counsel with respect to whether any Security constitutes
        a Restricted Security.

           “Rule 144A” means
        Rule 144A under the Securities Act.

           “SEC” means the
        Securities and Exchange Commission.

      
        
           “Securities” means the 4%
        Convertible Senior Subordinated Notes due 2013 issued by the Company pursuant
        to this Indenture.

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

           “Significant Subsidiary”
        with respect to any person means any subsidiary of such person that constitutes
        a “significant subsidiary” within the meaning of Rule 1-02 of Regulation
        S-X under the Securities Act, as such regulation is in effect on the date
        of this Indenture.

           “Subsidiary” means (i) a
        corporation a majority of whose capital stock with voting power, under
        ordinary circumstances, to elect directors is at the time, directly or
        indirectly, owned by the Company, by one or more subsidiaries of the Company
        or by the Company and one or more of its subsidiaries or (ii) any
        other person (other than a corporation) in which the Company, one or more
        its subsidiaries or the Company and one or more its subsidiaries, directly
        or indirectly, at the date of determination thereof, have at least majority
        ownership interest.

           “TIA” means the Trust Indenture
        Act of 1939 (15 U.S. Code §§ 77aaa-77bbbb) as in effect on the date of
        this Indenture, except as provided in Section 9.03.

           “Trading Day” means a day
        during which trading in securities generally occurs on the NYSE or, if
        the Common Stock is not listed on the NYSE, on the principal other national
        or regional securities exchange on which the Common Stock is then listed
        or, if the Common Stock is not listed on a national or regional securities
        exchange, on the National Association of Securities Dealers Automated
        Quotation System or, if the Common Stock is not quoted on the National
        Association of Securities Dealers Automated Quotation System, on the principal
        other market on which the Common Stock is then traded.

           “Trustee” means the party
        named as such in this Indenture until a successor replaces it in accordance
        with the provisions hereof and thereafter means the successor.

           “Voting Stock” of any Person
        means the Capital Stock of such Person that is entitled to vote generally
        in the election of directors.

      1.02     OTHER DEFINITIONS.
    

	
               Term

    	
      Defined in Section 

    
	
      “Additional Securities”

    	
      1.01

      

    
	
      “Bankruptcy Law”

    	
      6.01

      

    
	
      “Business Day”

    	
      12.07

      

    
	
      “Change in Control”

    	
      3.09

      

    
	
      “Combined Amount”

    	
      10.06

      

    
	
      “Commencement Date”

    	
      10.06

      

    
	
      “Conversion Agent”

    	
      2.03

      

    
	
      “Conversion Shares”

    	
      10.06

    
	
      “Custodian”

    	
      6.01

      

    
	
      “Designated Senior Indebtedness”

    	
      10.06

      

    
	
      “Determination Date”

    	
      10.06

      

    
	

	
      “Distribution Declaration
        Date”

    	
      10.06

      

    
	
      “Distribution Date”

    	
      10.06

      

    
	
      “Event of Default”

    	
      6.01

      

    
	
      “Expiration Time”

    	
      10.06

      

    
	
      “Global Security”

    	
      2.01

      

    
	
      “Indebtedness”

    	
      11.02

      

    
	
      “Legal Holiday”

    	
      12.07

      

    
	
      “Non-Electing Shares”

    	
      10.12

      

    
	
      “Non-Payment Default”

    	
      11.04

      

    
	
      “Notice of Default”

    	
      11.04

      

    
	
      “NYSE”

    	
      1.01

      

    
	
      “Option Purchase Date”

    	
      3.08

      

    
	
      “Option Purchase Price”

    	
      3.08

      

    
	
      “Participants”

    	
      2.15

      

    
	
      “Paying Agent”

    	
      2.03

      

    
	
      “Payment Blockage Period”

    	
      11.04

      

    
	
      “Payment Blockage Notice”

    	
      11.04

      

    
	
      “Payment Default”

    	
      11.04

      

    
	
      “Physical Securities”

    	
      2.01

      

    
	
      “Private Placement Legend”

    	
      2.17

      

    
	
      “Purchase Notice”

    	
      3.08

    
	
      “Purchased Shares”

    	
      10.06

    
	
      “Redemption” 

    	
      3.01

    
	
      “Registrar”

    	
      2.03

      

    
	
      “Representative”

    	
      11.02

      

    
	
      “Repurchase at Holder’s
        Option” 

    	
      3.01

    
	
      “Repurchase Date”

    	
      3.09

      

    
	
      “Repurchase Event”

    	
      3.09

      

    
	
      “Repurchase Event Notice”

    	
      3.09

      

    
	
      “Repurchase Right”

    	
      3.09

      

    
	
      “Repurchase Upon Repurchase
        Event” 

    	
      3.01

    
	
      “Resale Restriction Termination
        Date” 

    	
      2.17

    
	
      “Rights”

    	
      10.06

    
	
      “Senior Indebtedness”

    	
      11.02

      

    
	
      “Termination of Trading”

    	
      3.09

      

    
	
      “Triggering Distribution”

    	
      10.06

    

	 1.03     INCORPORATION BY REFERENCE
      OF TRUST INDENTURE ACT.
           Whenever this Indenture refers to
        a provision of the TIA, the provision is incorporated by reference in
        and made a part of this Indenture.

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

           “Commission” means the
        SEC;

             “indenture securities”
        means the Securities;

             “indenture security holder”
        means a Securityholder or a Holder;

      
        
        
             “indenture to be qualified”
        means this Indenture;

             “indenture trustee” or
        “institutional trustee” means the Trustee; and

             “obligor” on the indenture
        securities means the Company or any successor.

           All other terms used in this Indenture
        that are defined by the TIA, defined by TIA reference to another statute
        or defined by SEC rule under the TIA and not otherwise defined herein
        have the meanings so assigned to them.

      1.04     RULES OF CONSTRUCTION.
           Unless the context otherwise requires:

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

              (ii) an accounting term
          not otherwise defined has the meaning assigned to it in accordance with
          generally accepted accounting principles in effect from time to time;

              (iii) “or”
          is not exclusive;

              (iv) words in the singular
          include the plural and in the plural include the singular;

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

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

      

      1.05     CALCULATIONS.
           The Company will be responsible
        for making all calculations called for under the Securities.  The
        Company will make all of these calculations in good faith and, absent
        manifest error, the Company’s calculations will be final and binding
        on Securityholders.  The Company will provide a schedule of its calculations
        to the Trustee, and the Trustee is entitled to rely upon the accuracy
        of the Company’s calculations without independent verification. 

      II.                
        THE SECURITIES 

      2.01     FORM AND DATING.
           The Securities and the Trustee’s
        certificate of authentication shall be substantially in the form set forth
        in Exhibit A, which is incorporated in and forms a part of this
        Indenture.  The Securities may have notations, legends or endorsements
        required by law, stock exchange rule or usage.  Each Security shall
        be dated the date of its authentication.

           Securities offered and sold in reliance
        on Rule 144A under the Securities Act shall be issued initially in
        the form of one or more Global Securities, substantially in the form set
        forth in 

      
        
      Exhibit A (the “Global Security”), deposited
        with the Trustee, as custodian for the Depositary, duly executed by the
        Company and authenticated by the Trustee as hereinafter provided and bearing
        the legends set forth in Exhibits B-1 and B-2. 
        The aggregate principal amount of the Global Security may from time to
        time be increased or decreased by adjustments made on the records of the
        Trustee, as custodian for the Depositary, as hereinafter provided; provided,
        that in no event shall the aggregate principal amount of the Global Security
        or Securities exceed $25,000,000, or up to $33,000,000 if the Initial
        Purchasers elect to purchase Additional Securities pursuant to the Initial
        Purchasers’ Option provided for in the Purchase Agreement.

           Securities issued in exchange for
        interests in a Global Security pursuant to Section 2.15 may
        be issued in the form of permanent certificated Securities in registered
        form in substantially the form set forth in Exhibit A (the
        “Physical Securities”) and, if applicable, bearing any
        legends required by Section 2.17.

      2.02     EXECUTION AND AUTHENTICATION.
           One Officer shall sign the Securities
        for the Company by manual or facsimile signature.

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

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

           Upon a written order of the Company
        signed by two Officers of the Company or by an Officer and an Assistant
        Treasurer or an Assistant Secretary of the Company, the Trustee shall
        authenticate Securities for original issue in the aggregate principal
        amount of $25,000,000 and such additional principal amount, if any, as
        shall be determined pursuant to the next sentence of this Section 2.02. 
        Upon receipt by the Trustee of a written order of the Company signed by
        two Officers of the Company or by an Officer and an Assistant Treasurer
        or an Assistant Secretary of the Company stating that the Initial Purchasers
        have elected to purchase from the Company a specified principal amount
        of Additional Securities, not to exceed $8,000,000, pursuant to the Purchase
        Agreement, the Trustee shall authenticate and deliver such specified principal
        amount of Additional Securities to or upon the written order of the Company
        signed as provided in the immediately preceding sentence.  Such written
        order must be received by the Trustee not later than the proposed date
        for delivery of such Additional Securities.  The aggregate principal
        amount of Securities outstanding at any time may not exceed $33,000,000,
        except as provided in Section 2.07. 

           Upon a written order of the Company
        signed by two Officers of the Company or by an Officer and an Assistant
        Treasurer or an Assistant Secretary of the Company, the Trustee shall
        authenticate Securities not bearing the Private Placement Legend to be
        issued to the transferee when sold pursuant to an effective registration
        statement under the Securities Act as set forth in Section 2.16(B).

           The Trustee may appoint an authenticating
        agent acceptable to the Company to authenticate Securities.  An authenticating
        agent may authenticate Securities whenever the 

      
        
      Trustee may do so.  Each reference in this Indenture to authentication
        by the Trustee includes authentication by such Agent.  An authenticating
        agent has the same rights as an Agent to deal with the Company and its
        Affiliates.

           If a written order of the Company
        pursuant to this Section 2.02 of the Indenture has been, or simultaneously
        is, delivered, any instructions by the Company to the Trustee with respect
        to endorsement, delivery or redelivery of a Security issued in global
        form shall be in writing but need not comply with Section 12.04
        hereof and need not be accompanied by an Opinion of Counsel.

           The Securities shall be issuable
        only in registered form without interest coupons and only in denominations
        of $1,000 principal amount and any integral multiple thereof.

      2.03     REGISTRAR, PAYING AGENT AND
      CONVERSION AGENT.
           The Company shall maintain an office
        or agency where Securities may be presented for registration of transfer
        or for exchange (“Registrar”), an office or agency where
        Securities may be presented for payment (“Paying Agent”)
        and an office or agency where Securities may be presented for conversion
        (“Conversion Agent”).  The Registrar shall keep
        a register of the Securities and of their transfer and exchange. 
        The Company may appoint or change one or more co-registrars, one or more
        additional paying agents and one or more additional conversion agents
        without notice and may act in any such capacity on its own behalf. 
        The term “Registrar” includes any co-registrar; the term
        “Paying Agent” includes any additional paying agent;
        and the term “Conversion Agent” includes any additional
        conversion agent.

           The Company shall enter into an
        appropriate agency agreement with any Agent not a party to this Indenture. 
        The agreement shall implement the provisions of this Indenture that relate
        to such Agent.  The Company shall notify the Trustee of the name
        and address of any Agent not a party to this Indenture.  If the Company
        fails to maintain a Registrar, Paying Agent or Conversion Agent, the Trustee
        shall act as such.

           The Company initially appoints the
        Trustee as Paying Agent, Registrar and Conversion Agent.

      2.04     PAYING AGENT TO HOLD MONEY
      IN TRUST.
           Each Paying Agent shall hold in
        trust for the benefit of the Securityholders or the Trustee all moneys
        held by the Paying Agent for the payment of the Securities, and shall
        notify the Trustee of any default by the Company in making any such payment. 
        While any such default continues, the Trustee may require a Paying Agent
        to pay all money held by it to the Trustee.  The Company at any time
        may require a Paying Agent to pay all money held by it to the Trustee. 
        Upon payment over to the Trustee, the Paying Agent shall have no further
        liability for the money.  If the Company acts as Paying Agent, it
        shall segregate and hold as a separate trust fund all money held by it
        as Paying Agent.

      
        
      2.05     SECURITYHOLDER LISTS.
           The Trustee shall preserve in as
        current a form as is reasonably practicable the most recent list available
        to it of the names and addresses of Securityholders.  If the Trustee
        is not the Registrar, the Company shall furnish to the Trustee on or before
        each interest payment date and at such other times as the Trustee may
        request in writing a list, in such form and as of such date as the Trustee
        may reasonably require, of the names and addresses of Securityholders.

      2.06     TRANSFER AND EXCHANGE.
           Subject to Sections 2.15
        and 2.16 hereof, where Securities are presented to the Registrar
        with a request to register their transfer or to exchange them for an equal
        principal amount of Securities of other authorized denominations, the
        Registrar shall register the transfer or make the exchange if its requirements
        for such transaction are met.  To permit registrations of transfer
        and exchanges, the Trustee shall authenticate Securities at the Registrar’s
        request.  The Company or the Trustee, as the case may be, shall not
        be required (a) to issue, authenticate, register the transfer of or exchange
        any Security during a period beginning at the opening of business 15 days
        before the mailing of a notice of redemption of the Securities selected
        for redemption under Section 3.04 and ending at the
        close of business on the day of such mailing or (b) to register the transfer
        of or exchange any Security so selected for redemption or repurchase in
        whole or in part, except the unredeemed or unrepurchased portion of Securities
        being redeemed or repurchased in part.

           No service charge shall be made
        for any transfer, exchange or conversion of Securities, but the Company
        may require payment of a sum sufficient to cover any tax or other governmental
        charge that may be imposed in connection with any transfer, exchange or
        conversion of Securities, other than exchanges pursuant to Sections 2.10,
        3.07, 3.08, 3.09, 9.05 or 10.02 not involving any transfer.

      2.07     REPLACEMENT SECURITIES.
           If the Holder of a Security claims
        that the Security has been mutilated, lost, destroyed or wrongfully taken,
        the Company shall issue and the Trustee shall authenticate a replacement
        Security upon surrender to the Trustee of the mutilated Security, or upon
        delivery to the Trustee of evidence of the loss, destruction or theft
        of the Security satisfactory to the Trustee and the Company.  In
        the case of lost, destroyed or wrongfully taken Securities, if required
        by the Trustee, an indemnity bond must be provided by the Holder that
        is sufficient in the judgment of the Trustee and the Company to protect
        the Company, the Trustee or any Agent from any loss which any of them
        may suffer if a Security is replaced.  The Trustee may charge for
        its expenses in replacing a Security.

           In case any such mutilated, lost,
        destroyed or wrongfully taken Security has become or is about to become
        due and payable, the Company in its discretion may, instead of issuing
        a new Security, pay such Security when due.

           Every replacement Security is an
        additional obligation of the Company only as provided in Section 2.08.

      
        
      2.08     OUTSTANDING SECURITIES.
           Securities outstanding at any time
        are all the Securities authenticated by the Trustee except for those converted,
        those cancelled by it, those delivered to it for cancellation and those
        described in this Section 2.08 as not outstanding.  Except
        to the extent provided in Section 2.09, a Security does not cease
        to be outstanding because the Company or one of its Subsidiaries or Affiliates
        holds the Security.

           If a Security is replaced pursuant
        to Section 2.07, it ceases to be outstanding unless
        the Trustee receives proof satisfactory to it, or a court holds, that
        the replaced Security is held by a protected purchaser.

           If the Paying Agent (other than
        the Company) holds on the Option Purchase Date, Redemption Date, Repurchase
        Date or Maturity Date, money sufficient to pay Securities payable on such
        date, then immediately after such date such Securities shall be deemed
        to be no longer outstanding and interest on them shall cease to accrue,
        and such Security shall be deemed paid whether or not the Security is
        delivered to the Paying Agent.  Thereafter, all other rights of the
        Holders of such Securities shall terminate with respect to such Securities,
        other than the right to receive the principal amount, the Redemption Price,
        the Option Purchase Price or the Repurchase Price, as the case may be,
        plus, if applicable, accrued and unpaid interest, if any, payable as herein
        provided upon Redemption, Repurchase at Holder’s Option, Repurchase
        Upon Repurchase Event or the Maturity Date.

      2.09     SECURITIES HELD BY THE COMPANY
      OR AN AFFILIATE.
           In determining whether the Holders
        of the required aggregate principal amount of Securities have concurred
        in any direction, waiver or consent, Securities owned by the Company or
        any of its Subsidiaries or an Affiliate shall be considered as though
        not outstanding, except that for the purposes of determining whether a
        Responsible Officer of the Trustee shall be protected in relying on any
        such direction, waiver or consent, only Securities which the Trustee knows
        are so owned shall be so disregarded.

     2.10     TEMPORARY SECURITIES.
           Until definitive Securities are
        ready for delivery, the Company may prepare and the Trustee shall authenticate
        temporary Securities.  Temporary Securities shall be substantially
        in the form of definitive Securities but may have variations that the
        Company considers appropriate for temporary Securities.  Without
        unreasonable delay, the Company shall prepare and the Trustee shall authenticate
        definitive Securities in exchange for temporary Securities.

     2.11     CANCELLATION.
           The Company at any time may deliver
        Securities to the Trustee for cancellation.  The Registrar, Paying
        Agent and Conversion Agent shall forward to the Trustee any Securities
        surrendered to them for transfer, exchange, payment or conversion. 
        The Trustee shall cancel all Securities surrendered for transfer, exchange,
        payment, conversion or cancellation in accordance with its customary procedures.
         The Company may not issue new Securities to replace Securities 

      
        
      that it has paid or delivered to the Trustee for cancellation or that
        any Securityholder has converted pursuant to Article X.

      2.12     DEFAULTED INTEREST.
           If and to the extent the Company
        defaults in a payment of interest on the Securities, the Company shall
        pay the defaulted interest in any lawful manner plus, to the extent not
        prohibited by applicable statute or case law, interest payable on the
        defaulted interest at the rate provided in the Securities.  The Company
        may pay the defaulted interest to the persons who are Securityholders
        on a subsequent special record date.  The Company shall fix such
        record date and payment date.  At least 15 days before the record
        date, the Company shall mail to Securityholders a notice that states the
        record date, payment date and amount of interest to be paid.

      2.13     CUSIP NUMBERS.
           The Company in issuing the Securities
        may use one or more “CUSIP” numbers, and if so, the Trustee
        shall use the CUSIP numbers in notices of redemption or exchange as a
        convenience to Holders; provided, however, that no representation
        is hereby deemed to be made by the Trustee as to the correctness or accuracy
        of the CUSIP numbers printed in the notice or on the Securities, and that
        reliance may be placed only on the other identification numbers printed
        on the Securities.  The Company shall promptly notify the Trustee
        of any change in the CUSIP numbers.

    2.14     DEPOSIT OF MONEYS.
           Prior to 11:00 A.M., New York City
        time, on each interest payment date, Maturity Date, Redemption Date, Option
        Purchase Date and Repurchase Date, the Company shall have deposited with
        the Paying Agent in immediately available funds money sufficient to make
        payments in cash, due on such interest payment date, Maturity Date, Redemption
        Date, Option Purchase Date and Repurchase Date, as the case may be, in
        a timely manner which permits the Paying Agent to remit payment to the
        Holders on such interest payment date, Maturity Date, Redemption Date,
        Option Purchase Date and Repurchase Date, as the case may be.

      2.15     BOOK-ENTRY PROVISIONS
        FOR GLOBAL SECURITIES.      

           (A)      
        The Global Securities initially shall (i) be registered in the name
        of the Depositary or the nominee of such Depositary, (ii) be delivered
        to the Trustee as custodian for such Depositary and (iii) bear legends
        as set forth in Section 2.17. 

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

      
        
      the Depositary or impair, as between the Depositary and Participants,
        the operation of customary practices governing the exercise of the rights
        of a Holder of any Security.

           (B)      
        Transfers of Global Securities shall be limited to transfers in whole,
        but not in part, to the Depositary, its successors or their respective
        nominees.  In addition, Physical Securities shall be transferred
        to all beneficial owners, as identified by the Depositary, in exchange
        for their beneficial interests in Global Securities if (i) the Depositary
        notifies the Company that it is unwilling or unable to continue as depositary
        for any Global Security and a successor depositary is not appointed by
        the Company within 90 days of such notice or (ii) an Event of Default
        has occurred and is continuing and the Registrar has received a written
        request from the Depositary to issue Physical Securities.

             (C)      
        In connection with the transfer of a Global Security in its entirety to
        beneficial owners pursuant to Section 2.15(B), such Global
        Security shall be deemed to be surrendered to the Trustee for cancellation,
        and the Company shall execute, and the Trustee shall upon written instructions
        from the Company authenticate and deliver, to each beneficial owner identified
        by the Depositary in exchange for its beneficial interest in such Global
        Security, an equal aggregate principal amount of Physical Securities of
        authorized denominations.

            (D)      
        Any Physical Security constituting a Restricted Security delivered in
        exchange for an interest in a Global Security pursuant to Section 2.15(B)
        shall, except as otherwise provided by Section 2.16, bear
        the Private Placement Legend (as defined).

            (E)      
        The Holder of any Global Security may grant proxies and otherwise authorize
        any Person, including Participants and Persons that may hold interests
        through Participants, to take any action which a Holder is entitled to
        take under this Indenture or the Securities. 

      2.16     SPECIAL TRANSFER PROVISIONS.
           (A)      
        Restrictions on Transfer and Exchange of Global Securities. 
        Notwithstanding any other provisions of this Indenture, a Global Security
        may not be transferred except as a whole by the Depositary to a nominee
        of the Depositary or by a nominee of the Depositary to the Depositary
        or another nominee of the Depositary or by the Depositary or any such
        nominee to a successor Depositary or a nominee of such successor Depositary.

           (B)      
        Private Placement Legend.  Upon the transfer, exchange or replacement
        of Securities not bearing the Private Placement Legend, the Registrar
        or co-Registrar shall deliver Securities that do not bear the Private
        Placement Legend.  Upon the transfer, exchange or replacement of
        Securities bearing the Private Placement Legend, the Registrar or co-Registrar
        shall deliver only Securities that bear the Private Placement Legend unless
        (i) the requested transfer is after the second anniversary of the
        issue date for the Securities (provided, however, that neither
        the Company nor any of its Affiliates has held any beneficial interest
        in such Security, or portion thereof, at any time prior to or on the second
        anniversary of the issue date), (ii) there is delivered to the Trustee
        an Opinion of Counsel reasonably satisfactory to the Company to the effect
        that neither such legend nor the related restrictions on transfer are
        required in order to maintain compliance with the provisions of the Securities
        Act or (iii) such Security has been sold pursuant to an effective
        registration statement under the Securities Act 

      
        
      and the Holder selling such Securities has delivered to
        the Registrar or co-Registrar a notice in the form of Exhibit C hereto. 
        Upon the effectiveness of the Shelf Registration Statement (as defined
        in the Registration Rights Agreement), the Company shall deliver to the
        Trustee a notice of effectiveness, a Security or Securities, an authentication
        order in accordance with Section 2.02 and an Opinion of Counsel in
        the form of Exhibit D hereto and, if required by the Depositary,
        the Company shall deliver to the Depositary a letter of representations
        in a form reasonably acceptable to the Depositary.

           (C)      
        General.  By its acceptance of any Security bearing the Private
        Placement Legend, each Holder of such a Security acknowledges the restrictions
        on transfer of such Security set forth in this Indenture and in the Private
        Placement Legend and agrees that it will transfer such Security only as
        provided in this Indenture.

           The Registrar shall retain copies
        of all letters, notices and other written communications received pursuant
        to Section 2.15 or this Section 2.16.  The
        Company shall have the right to inspect and make copies of all such letters,
        notices or other written communications at any reasonable time upon the
        giving of reasonable written notice to the Registrar.

           (D)      
        Transfers of Securities Held by Affiliates.  Any certificate
        (i) evidencing a Security that has been transferred to an Affiliate
        of the Company within two years after the Issue Date, as evidenced by
        a notation on the assignment form for such transfer or in the representation
        letter delivered in respect thereof or (ii) evidencing a Security
        that has been acquired from an Affiliate (other than by an Affiliate)
        in a transaction or a chain of transactions not involving any public offering,
        shall, until two years after the last date on which the Company or any
        Affiliate of the Company was an owner of such Security, in each case,
        bear the Private Placement Legend, unless otherwise agreed by the Company
        (with written notice thereof to the Trustee).

      2.17     RESTRICTIVE LEGENDS.
           Each Global Security and Physical
        Security that constitutes a Restricted Security shall bear the legend
        (the “Private Placement Legend”) as set forth in Exhibit B-1
        on the face thereof until after the second anniversary of the later
        of (i) the Issue Date, (ii) the last date on which the Company or
        any Affiliate of the Company was the owner of such Security (or any predecessor
        security) (or such shorter period of time as permitted by Rule 144(k)
        under the Securities Act or any successor provision thereunder) (or such
        longer period of time as may be required under the Securities Act or applicable
        state securities laws in the opinion of counsel for the Company, unless
        otherwise agreed between the Company and the Holder thereof) (such date,
        the “Resale Restriction Termination Date”).

           Each Global Security shall also
        bear the legend as set forth in Exhibit B-2.

       III.               
        REDEMPTION

      3.01     RIGHT OF REDEMPTION.
           Redemption of the Securities,
          as permitted by any provision of this Indenture, shall be made in accordance
          with paragraphs 6 and 7 (a “Redemption”),
          with respect to a repurchase at 

        
          
        the Holder’s option, paragraph 8 (a “Repurchase
          at Holder’s Option”), and with respect to any repurchase
          upon a Repurchase Event, paragraph 9 (a “Repurchase Upon
          Repurchase Event”) of the Securities, in each case in accordance
          with the applicable provisions of this Article III.  

             The Company will comply with all
          federal and state securities laws in connection with any offer to sell
          or solicitations of offers to buy Common Stock pursuant to this Section
          3.01.

             Prior to June 15, 2008, the Company
          will not have the right to redeem any Securities.  On or after
          June 15, 2008, the Company will have the right to redeem all or any
          part of the Securities at the Redemption Price, plus accrued and unpaid
          interest, if any, to the Redemption Date.

        3.02     NOTICES TO TRUSTEE.
             If the Company elects to redeem
          Securities pursuant to paragraph 6 of the Securities, it shall
          notify the Trustee at least 15 days prior to the mailing of the notice
          of Redemption (unless a shorter notice period shall be satisfactory
          to the Trustee) of the Redemption Date and the aggregate principal amount
          of Securities to be redeemed.

        3.03     SELECTION OF SECURITIES
          TO BE REDEEMED.
             If less than all the Securities
          are to be redeemed, the Trustee shall select the Securities to be redeemed
          by lot, on a pro rata basis or in accordance with any other method
          the Trustee considers fair and appropriate.  The Trustee shall
          make the selection from Securities outstanding not previously called
          for Redemption.  The Trustee may select for Redemption portions
          of the principal of Securities that have denominations larger than $1,000
          principal amount.  Securities and portions of them the Trustee
          selects shall be in amounts of $1,000 principal amount or integral multiples
          of $1,000 principal amount.  The Trustee shall promptly notify
          the Company in writing of the Securities selected for Redemption and
          the principal amount thereof to be redeemed.

             The Registrar need not transfer
          or exchange any Securities selected for Redemption, except the unredeemed
          portion of the Securities redeemed in part.  Also, the Registrar
          need not transfer or exchange any Securities for a period of 15 days
          before selecting Securities to be redeemed.

        3.04     NOTICE OF REDEMPTION.
             At least 30 days but not more
          than 60 days before a Redemption Date, the Company shall mail by first-class
          mail a notice of Redemption to each Holder whose Securities are to be
          redeemed, at the address of such Holder appearing in the security register.

             The notice shall identify the
          Securities and the aggregate principal amount thereof to be redeemed
          and shall state:

        
               (i)        
            the Redemption Date;

        

        
          
        
               (ii)       
            the Redemption Price, plus the amount of accrued and unpaid interest,
            if any, to be paid on the Securities called for redemption;

               (iii)      
            the Conversion Rate and the Conversion Price;

               (iv)      
            the name and address of the Paying Agent and the Conversion Agent;

               (v)       
            the date on which the right to convert the principal of the Securities
            called for Redemption will terminate and the place or places where
            such Securities may be surrendered for conversion;

               (vi)      
            that Holders who want to convert Securities must satisfy the requirements
            in Article X of this Indenture;

               (vii)     
            the paragraph of the Securities pursuant to which the Securities are
            to be redeemed;

               (viii)     
            that Securities called for Redemption must be surrendered to the Paying
            Agent to collect the Redemption Price plus the accrued and unpaid
            interest, if any,  payable as herein provided upon Redemption;

               (ix)      
            that unless the Company shall default in the payment of the Redemption
            Price, or accrued and unpaid interest, if any, payable as herein provided
            upon Redemption, interest on Securities called for redemption ceases
            to accrue on and after the Redemption Date and that the Securities
            will cease to be convertible after the close of business on the Business
            Day immediately preceding the Redemption Date; and

               (x)       
            the CUSIP number or numbers, as the case may be, of the Securities.

        

             The date on which the right to
          convert the principal of the Securities called for Redemption will terminate
          shall be at the close of business on the Business Day immediately preceding
          the Redemption Date.

             At the Company’s request,
          upon reasonable prior notice, the Trustee shall give the notice of Redemption
          in the Company’s name and at the Company’s expense; provided
          that the form and content of such notice shall be prepared by the Company.

        3.05     EFFECT OF NOTICE OF REDEMPTION.
             Once notice of Redemption is mailed,
          Securities called for Redemption become due and payable on the Redemption
          Date at the Redemption Price plus accrued and unpaid interest to the
          Redemption Date, and, on and after such Redemption Date (unless the
          Company shall default in the payment of the Redemption Price, or accrued
          and unpaid interest, if any, to the Redemption Date), such Securities
          shall cease to bear interest.  Upon surrender to the Paying Agent,
          such Securities shall be paid at the Redemption Price, plus accrued
          and unpaid interest to the 

        
          
        Redemption Date, unless the Redemption Date is an interest payment
          date, in which case the accrued and unpaid interest will be paid in
          the ordinary course.

        3.06     DEPOSIT OF REDEMPTION
          PRICE.
             On or before the Redemption Date,
          the Company shall deposit with the Paying Agent, in cash, money in funds
          immediately available on the Redemption Date sufficient to pay the Redemption
          Price, plus accrued and unpaid interest on, all Securities to be redeemed
          on that date.  The Paying Agent shall return to the Company, as
          soon as practicable, any money not required for that purpose.

      3.07     SECURITIES REDEEMED IN PART.
           Upon surrender of a Security that
          is redeemed in part, the Company shall execute and the Trustee shall
          authenticate for the Holder a new Security or Securities in an aggregate
          principal amount equal to the unredeemed portion of the Security surrendered.

             If any Security selected for partial
          Redemption is converted in part, the converted portion of such Security
          shall be deemed to be the portion selected for Redemption.

        3.08     PURCHASE OF SECURITIES
          AT OPTION OF THE HOLDER.
             (A)      
          Subject to the rights of holders of Senior Indebtedness under Article
          XI of this Indenture, Securities shall be purchased by the Company pursuant
          to paragraph 8 of the Securities on June 15, 2008 (the “Option
          Purchase Date”), at 100% of the principal amount of the Securities
          or portion thereof to be purchased (the “Option Purchase Price”),
          plus accrued and unpaid interest, if any, to the Option Purchase Date,
          at the option of the Holder thereof, upon:

        
               (i)        
            delivery to the Paying Agent, by the Holder, of a written notice of
            purchase (a “Purchase Notice”), in the form set forth
            in the Securities, or any other form of written notice substantially
            similar thereto, at any time from the opening of business on the date
            that is 20 Business Days prior to the Option Purchase Date until the
            close of business on the Business Day immediately preceding the Option
            Purchase Date stating:

          
                 (A)      
              the certificate number of the Security which the Holder will deliver
              to be purchased,

                 (B)      
              the principal amount of Securities to be purchased, which must be
              $1,000 or an integral multiple thereof, and 

                 (C)      
              that such Principal amount of Securities shall be purchased as of
              the Option Purchase Date pursuant to the terms and conditions specified
              in paragraph 8 of the Securities and in this Indenture; and
            

          

               (ii)       
            delivery of such Security (together with all necessary endorsements)
            to the Paying Agent, such delivery being a condition to receipt by
            the Holder of the Option 

        

        
          
        
          Purchase Price therefore plus accrued and unpaid interest thereon,
            if any, to the Option Purchase Date.

        

             Any purchase by the Company contemplated
          pursuant to the provisions of this Section 3.08 shall be consummated
          by the delivery of the consideration to be received by the Holder (together
          with accrued and unpaid interest, if any,) as promptly as practicable
          following the later of the Option Purchase Date and the time of delivery
          of the Security, but in no event more than 3 Business Days following
          the later of the Option Purchase Date or the time of delivery of the
          Security.

             Notwithstanding anything herein
          to the contrary, any Holder delivering to the Paying Agent the Purchase
          Notice contemplated by this Section 3.08(A) shall have the right
          to withdraw such Purchase Notice by delivery, at any time prior to the
          close of business on the Business Day prior to the Option Purchase Date,
          of a written notice of withdrawal to the Paying Agent, which notice
          shall contain the information specified in Section 3.08(B)(viii).
        

             The Paying Agent shall promptly
          notify the Company of the receipt by it of any Purchase Notice or written
          notice of withdrawal thereof.

             (B)      
          The Company shall give notice on a date not less than 20 Business Days
          prior to the Option Purchase Date to all Holders at their addresses
          shown in the register and to beneficial owners as required by applicable
          law.  Such notice shall state: 

        
               (i)        
            the Option Purchase Price, plus accrued and unpaid interest, if any,
            to the Option Purchase Date and the Conversion Rate;

               (ii)       
            the name and address of the Paying Agent and the Conversion Agent;

               (iii)      
            that Securities as to which a Purchase Notice has been given may be
            converted pursuant to Article X hereof only if the applicable
            Purchase Notice has been withdrawn in accordance with the terms of
            this Indenture;

               (iv)      
            that Securities must be surrendered to the Paying Agent to collect
            payment of the Option Purchase Price plus accrued and unpaid interest,
            if any, to the Option Purchase Date;

               (v)       
            that the Option Purchase Price, plus accrued and unpaid interest,
            if any, to the Option Purchase Date, for any Security as to which
            a Purchase Notice has been given and not withdrawn, will be paid as
            promptly as practicable following the later of the Option Purchase
            Date and the time of delivery of the Security, but in no event more
            than 3 Business Days following the later of the Option Purchase Date
            or the time of delivery of the Security as described in (iv);

               (vi)      
            the procedures the Holder must follow to exercise rights under this
            Section 3.08 and a brief description of those rights;

        

        
          
        
               (vii)     
            briefly, the conversion rights of the Securities and that Holders
            who want to convert Securities must satisfy the requirements set forth
            in paragraph 10 of the Securities;

               (viii)     
            that a Holder will be entitled to withdraw its election if the Company
            (if acting as its own Paying Agent), or the Paying Agent receives,
            at any time prior to the close of business on the Business Day prior
            to the Option Purchase Date, or such longer period as may be required
            by law, a letter or telegram, telex or facsimile transmission (receipt
            of which is confirmed and promptly followed by a letter) setting forth
            (I) the name of such Holder, (II) a statement that such Holder is
            withdrawing his election to have Securities repurchased, (III) the
            principal amount of Securities of such Holder to be so withdrawn,
            which amount must be $1,000 or an integral multiple thereof, (IV)
            the certificate number of such Securities to be so withdrawn, (V)
            the principal amount, if any, of Securities of such Holder that remain
            subject to the Purchase Notice delivered by such Holder in accordance
            with this Section 3.08, which amount must be $1,000 or an integral
            multiple thereof, and (VI) that Securities with respect to which a
            Purchase Notice is given by such Holder may be converted, if otherwise
            convertible, only if the Purchase Notice has been withdrawn in accordance
            with the terms hereof;

               (ix)      
            that, unless the Company defaults in making payment of such Option
            Purchase Price plus such accrued and unpaid interest, interest on
            Securities surrendered for purchase will cease to accrue, and such
            Securities shall cease to be convertible on and after the Option Purchase
            Date; and

               (x)       
            the CUSIP number of the Securities.

        

             At the Company’s request,
          the Trustee shall give such notice in the Company’s name and at
          the Company’s expense; provided, however, that, in all cases,
          the text of such notice shall be prepared by the Company.  

             There shall be no purchase of
          any Securities pursuant to this Section 3.08 if there has occurred
          (at the time of, or after, as the case may be, the giving, by the Holders
          of such Securities, of the required Purchase Notice) and is continuing
          an Event of Default (other than a default in the payment of the Option
          Purchase Price, plus accrued and unpaid interest, if any, payable as
          herein provided upon Repurchase at Holder’s Option.  The Paying
          Agent will promptly return to the respective Holders thereof any Securities
          held by it during the continuance of an Event of Default (other than
          a default in the payment of the Option Purchase Price plus such accrued
          and unpaid interest) in which case, upon such return, the Purchase Notice
          with respect thereto shall be deemed to have been withdrawn.

           Notwithstanding anything herein
        to the contrary, if the option granted to Securityholders to require the
        repurchase of the Securities at the Option Purchase Date is determined
        to constitute a tender offer, the Company will comply with all applicable
        tender offer rules under the Exchange Act, including Rules 13e-4 and 14e-1,
        and file Schedule a TO or any other schedules required under the Exchange
        Act.

        
          
        3.09     Repurchase at Option of
          Holder upon a Repurchase Event.

             Upon any Repurchase Event (as
          defined below), each Holder of Securities shall have the right (the
          “Repurchase Right”), at the Holder’s option, subject
          to the rights of the holders of Senior Indebtedness under Article
          XI of this Indenture, to require the Company to repurchase all of
          such Holder’s Securities, or a portion thereof which is $1,000
          in principal amount or any integral multiple thereof, on a date (the
          “Repurchase Date”) no later than 30 days after the
          date the Repurchase Event Notice (as defined below) is mailed in accordance
          with the immediately succeeding paragraph, at the Repurchase Price plus
          accrued and unpaid interest, if any, to the Repurchase Date.

             Within 15 days after the occurrence
          of a Repurchase Event of the Company, the Company shall mail to all
          Holders of record of the Securities at their addresses shown in the
          security register, and to beneficial owners as required by applicable
          law, a notice (the “Repurchase Event Notice”) of the
          occurrence of such Repurchase Event and the Repurchase Right arising
          as a result thereof.  The Company shall deliver a copy of the Repurchase
          Event Notice to the Trustee and shall cause a copy to be published at
          the expense of the Company in The New York Times or The Wall
          Street Journalor another newspaper of national circulation. 
          To exercise the Repurchase Right, a Holder of Securities must deliver
          on or before the close of business on the Business Day immediately preceding
          the Repurchase Date written notice to the Company (or an agent designated
          by the Company for such purpose), and the Trustee of the Holder’s
          exercise of such right together with the Securities with respect to
          which the right is being exercised, duly endorsed for transfer.

             Each Repurchase Event Notice shall
          state:

        
               (i)        
            the events causing the Repurchase Event;

               (ii)       
            the date of such Repurchase Event;

               (iii)      
            the Repurchase Date;

               (iv)      
            the date by which the Repurchase Right must be exercised;

               (v)       
            the Repurchase Price, plus accrued and unpaid interest, if any, to
            the Repurchase Date;

               (vi)      
            the name and address of the Paying Agent and the Conversion Agent;

               (vii)     
            a description of the procedure which a Holder must follow to exercise
            a Repurchase Right;

               (viii)     
            that, in order to exercise the Repurchase Right, the Securities must
            be surrendered for payment of the Repurchase Price plus accrued and
            unpaid interest, if any, payable as herein provided upon Repurchase
            Upon Repurchase Event;

        

        
          
        

             (ix)      
          that a Holder will be entitled to withdraw its election if the Company
          (if acting as its own Paying Agent), or the Paying Agent receives, prior
          to the close of business on the Business Day immediately preceding the
          Repurchase Date, or such longer period as may be required by law, a
          letter or telegram, telex or facsimile transmission (receipt of which
          is confirmed and promptly followed by a letter) setting forth (I) the
          name of such Holder, (II) a statement that such Holder is withdrawing
          his election to have Securities repurchased, (III) the principal amount
          of Securities of such Holder to be so withdrawn, which amount must be
          $1,000 or an integral multiple thereof, (IV) the certificate number
          of such Securities to be so withdrawn, (V) the principal amount, if
          any, of Securities of such Holder that remains subject to the Purchase
          Notice delivered by such Holder in accordance with this Section 3.09,
          which amount must be $1,000 or an integral multiple thereof, and (VI)
          that Securities with respect to which a Purchase Notice is given by
          such Holder may be converted, if otherwise convertible, only if the
          Purchase Notice has been withdrawn in accordance with the terms hereof;

             x)       
          the Conversion Rate, and any adjustments to the Conversion Rate that
          will result from the Repurchase Event; 

               (xi)      
            that Securities with respect to which a Purchase Notice is given by
            a Holder may be converted, only if such Purchase Notice has been withdrawn
            in accordance with this Section 3.09;

               (xii)     
            the place or places where such Securities may be surrendered for conversion;
            and

               (xiii)     
            the CUSIP number or numbers, as the case may be, of the Securities.

      

           No failure of the Company to give the foregoing
        notice shall limit any Holder’s right to exercise a Repurchase Right.

             To exercise a Repurchase Right,
          a Holder shall deliver to the Company (if it is acting as its own Paying
          Agent), or to a Paying Agent designated by the Company for such purpose
          in the Repurchase Event Notice (i) no later than the close of business
          on the Business Day immediately preceding the Repurchase Date, a Purchase
          Notice, in the form set forth in the Securities or any other form of
          written notice substantially similar thereto, in each case, duly completed
          and signed, with appropriate signature guarantee, and stating (A) the
          certificate number of the Security which the Holder will deliver to
          be repurchased, (B) the principal amount of Securities to be repurchased,
          which must be $1,000 or an integral multiple thereof, and (C) that such
          Security is being tendered for repurchase pursuant to the terms and
          conditions specified in paragraph 9 of the Securities and in this Indenture;
          and (ii) at any time after the delivery of such Repurchase Notice, such
          Securities with respect to which the Repurchase Right is being exercised,
          duly endorsed for transfer to the Company.  Upon such delivery
          of Securities to the Company (if it is acting as its own Paying Agent)
          or such Paying Agent, such Holder shall be 

        
          
        entitled to receive from the Company or such Paying Agent, as the case
          may be, a nontransferable receipt of deposit evidencing such delivery.

             In the event a Repurchase Right
          shall be exercised in accordance with the terms hereof, the Company
          shall pay or cause to be paid the Repurchase Price, plus accrued and
          unpaid interest, if any, to the Repurchase Date, with respect to the
          Securities as to which the Repurchase Right shall have been exercised
          to the Holder promptly following the later of the Repurchase Date or
          the time of delivery of the Security, subject to the provisions of the
          immediately preceding paragraph.

             On or prior to a Repurchase Date,
          the Company shall deposit with the Trustee or with a Paying Agent (or,
          if the Company is acting as its own Paying Agent, segregate and hold
          in trust in accordance with Section 2.04) an amount of money
          (to be available on the Repurchase Date) sufficient to pay the Repurchase
          Price, plus accrued and unpaid interest, if any, to the Repurchase Date,
          of all of the Securities which are to be repurchased on that date.

             Both the Repurchase Event Notice
          and the notice of the Holder to exercise a Repurchase Right having been
          duly given as specified in this Section 3.09, the Securities
          so to be repurchased shall, on the Repurchase Date, become due and payable
          at the Repurchase Price (plus accrued and unpaid interest , if any,
          to the Repurchase Date applicable thereto and from and after such date
          (unless there shall be a default in the payment of the Repurchase Price
          or such accrued and unpaid interest) such Securities shall cease to
          bear interest and shall cease to be convertible.  Upon surrender
          of any such Security for repurchase in accordance with said notice,
          such Security shall be paid by the Company at the Repurchase Price plus
          such accrued and unpaid interest.

             If any Security shall not be paid
          upon surrender thereof for repurchase, the principal shall, until paid,
          bear interest from the Repurchase Date at the rate borne by such Security
          on the principal amount of such Security and shall continue to be convertible.

             Any Security which is to be submitted
          for repurchase only in part shall be delivered pursuant to this Section 3.09
          (with, if the Company or the Trustee so requires, due endorsement by,
          or a written instrument of transfer in form satisfactory to the Company
          and the Trustee duly executed by the Holder thereof or its attorney
          duly authorized in writing), and the Company shall execute, and the
          Trustee shall authenticate and make available for delivery to the Holder
          of such Security without service charge, a new Security or Securities,
          of any authorized denomination as requested by such Holder, of the same
          tenor and in aggregate principal amount equal to the portion of such
          Security not submitted for repurchase.

             There shall be no purchase of
          any Securities pursuant to this Section 3.09 if there has occurred
          (at the time of, or after, as the case may be, the giving, by the Holders
          of such Securities, of the required Repurchase Event Notice) and is
          continuing an Event of Default (other than a default in the payment
          of the Repurchase Price, plus accrued and unpaid interest, if any, payable
          as herein provided upon Repurchase Upon Repurchase Event).  The
          Paying Agent will promptly return to the respective Holders thereof
          any Securities held by it during the continuance of an Event of Default
          (other than a default in the payment of the Repurchase Price plus 
        

        
          
        such accrued and unpaid interest) in which case, upon such return,
          the Repurchase Event Notice with respect thereto shall be deemed to
          have been withdrawn.

           Notwithstanding anything herein
        to the contrary, if the option granted to Securityholders to require the
        repurchase of the Securities upon the occurrence of a Repurchase Event
        is determined to constitute a tender offer, the Company will comply with
        all applicable tender offer rules under the Exchange Act, including Rules
        13e-4 and 14e-1, and file Schedule a TO or any other schedules required
        under the Exchange Act.

             As used in this Section 3.09
          and in the Securities:

             A “Repurchase Event”
          of the Company shall be deemed to have occurred upon the occurrence
          of either a “Change in Control” or a “Termination of
          Trading.”

             A “Change in Control”
          of the Company shall be deemed to have occurred at such time as:

        
               (i)        
            any “person” or “group” (as such terms are used
            for purposes of Sections 13(d) and 14(d) of the Exchange Act) is or
            becomes the “beneficial owner” (as such term is used in
            Rule 13d-3 under the Exchange Act), directly or indirectly, of 50%
            or more of the total voting power of all classes of the Company’s
            Capital Stock entitled to vote generally in the election of directors
            (other than Daniel Glassman, Iris Glassman, Bradley Glassman, trusts
            for their benefit and heirs, lineal descendants, legatees and legal
            representatives of any of the foregoing and the trustee of any bona
            fide trust of which one or more of the foregoing are the sole
            beneficiaries or the grantors thereof, unless, after giving effect
            to such transaction, (1) the Company’s Common Stock ceases to
            be listed on a United States national securities exchange or approved
            for quotation on the Nasdaq National Market or any similar United
            States system for automated dissemination of quotations of securities
            prices or (2) less than 40% of the outstanding shares of the Company’s
            Common Stock remain beneficially owned by persons other than the Glassman
            family); or

               (ii)       
            any “person” or “group” (as such terms are used
            for purposes of Sections 13(d) and 14(d) of the Exchange Act) is or
            becomes the “beneficial owner” (as such term is used in
            Rule 13d-3 under the Exchange Act), directly or indirectly, of 50%
            or more of the total voting power of the Company’s Class B common
            stock (other than Daniel Glassman, Iris Glassman, Bradley Glassman,
            trusts for their benefit and heirs, lineal descendants, legatees and
            legal representatives of any of the foregoing and the trustee of any
            bona fide trust of which one or more of the foregoing are the
            sole beneficiaries or the grantors thereof); or

               (iii)      
            at any time the following persons cease for any reason to constitute
            a majority of the Company’s Board of Directors:

          
                 (1)       
              individuals who on the Issue Date constituted the Company’s
              Board of Directors; and

          

        

        
          
        
          
                 (2)       
              any new directors whose election by the Company’s Board of
              Directors or whose nomination for election by the Company’s
              stockholders was approved by at least a majority of the directors
              then still in office who were either directors on the Issue Date
              or whose election or nomination for election was previously so approved;
              or

          

               (iv)      
            The Company consolidates with, or merges with or into, another person
            or any person consolidates with, or merges with or into, the Company,
            in any such event other than pursuant to a transaction in which the
            persons that “beneficially owned,” directly or indirectly,
            the shares of the Company’s Voting Stock immediately prior to
            such transaction, “beneficially own,” directly or indirectly,
            shares of the Company’s Voting Stock representing at least a
            majority of the total voting power of all outstanding classes of Voting
            Stock of the continuing or surviving corporation in substantially
            the same proportion as such ownership prior to the transaction; or

               (v)       
            the sale, lease, transfer or other conveyance or disposition of all
            or substantially all of the assets or property of the Company to any
            “person” or “group” (as such terms are used in
            Sections 13(d) and 14(d) of the Exchange Act), including any group
            acting for the purpose of acquiring, holding, or disposing of securities
            within the meaning of Rule 13d-5(b)(1) under the Exchange Act; or

               (vi)      
            the Company is liquidated or dissolved or the holders of the Company’s
            Capital Stock approve any plan or proposal for the liquidation or
            dissolution of the Company.

        

             A “Termination
          of Trading” shall occur if the Common Stock of the Company
          (or other common stock into which the Securities are then convertible)
          is neither listed for trading on a U.S. national securities exchange
          nor approved for trading on an established automated over-the-counter
          trading market in the United States.

        3.10     CONVERSION ARRANGEMENT
          ON CALL FOR REDEMPTION.
             In connection with any redemption
          of Securities, the Company may arrange, in lieu of redemption, for the
          purchase and conversion of any Securities called for redemption by an
          agreement with one or more investment bankers or other purchasers to
          purchase all or a portion of such Securities by paying to the Trustee
          in trust for the Holders whose Securities are to be so purchased, on
          or before the close of business on the Redemption Date, an amount that,
          together with any amounts deposited with the Trustee by the Company
          for redemption of such Securities, is not less than the Redemption Price,
          together with interest, if any, accrued to the Redemption Date, of such
          Securities.  Notwithstanding anything to the contrary contained
          in this Article III, the obligation of the Company to pay the
          Redemption Price of such Securities, including all accrued interest,
          if any, shall be deemed to be satisfied and discharged to the extent
          such amount is so paid by such purchasers, but no such agreement shall
          relieve the Company of its obligation to pay such Redemption Price and
          such accrued interest, if any.  If such an agreement is entered
          into, any Securities not duly surrendered for conversion by the Holders
          thereof may, at the option of the Company, be deemed, to the fullest
          extent permitted by law, acquired by such purchasers 

        
          
        from such Holders and (notwithstanding anything to the contrary contained
          in Article X) surrendered by such purchasers for conversion,
          all as of immediately prior to the close of business on the Redemption
          Date, subject to payment of the above amount as aforesaid.  The
          Trustee shall hold and pay to the Holders whose Securities are selected
          for redemption any such amount paid to it for purchase and conversion
          in the same manner as it would moneys deposited with it by the Company
          for the redemption of Securities.  Without the Trustee’s prior
          written consent, no arrangement between the Company and such purchasers
          for the purchase and conversion of any Securities shall increase or
          otherwise affect any of the powers, duties, rights, immunities, responsibilities
          or obligations of the Trustee as set forth in this Indenture, and the
          Company agrees to indemnify the Trustee from, and hold it harmless against,
          any and all loss, liability or expense arising out of or in connection
          with any such arrangement for the purchase and conversion of any Securities
          between the Company and such purchasers, including the costs and expenses
          (including counsel fees and expenses) incurred by the Trustee in the
          defense of any claim or liability arising out of or in connection with
          the exercise or performance of any of its powers, duties, responsibilities
          or obligations under this Indenture except to the extent arising from
          its bad faith, willful misconduct or negligence.  

      IV.             
        COVENANTS 

      
        4.01     PAYMENT OF SECURITIES.
        
     The Company shall pay all amounts
          due with respect to the Securities on the dates and in the manner provided
          in the Securities.  All such amounts shall be considered paid on
          the date due if the Paying Agent holds (or, if the Company is acting
          as Paying Agent, if the Company has segregated and holds in trust in
          accordance with Section 2.04) on that date money sufficient
          to pay the amount then due with respect to the Securities.

             The Company shall pay interest
          on any overdue amount (including, to the extent permitted by applicable
          law, overdue interest) at the rate borne by the Securities.

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

             The Company may also from time
          to time designate one or more other offices or agencies where the Securities
          may be presented or surrendered for any or all such purposes and may
          from time to time rescind such designations; provided, however,
          that no such designation or rescission shall in any manner relieve the
          Company of its obligation to maintain an office or agency in the Borough
          of Manhattan, the City of New York for such purposes.  The Company
          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 Company hereby designates
          the Corporate Trust Office of the Trustee as an agency of the Company
          in accordance with Section 2.03.

        4.03     REPORTS.
             (A)      
          The Company will promptly provide to the Trustee and shall, upon request,
          provide to any Holder or beneficial owner of Securities or prospective
          purchaser of Securities that so requests, the information required to
          be delivered pursuant to Rule 144A(d)(4) until such time as the Securities
          and the underlying Common Stock have been registered by the Company
          for resale under the Securities Act pursuant to the Registration Rights
          Agreement.  In addition, the Company will furnish such Rule 144A(d)(4)
          information if, at any time while the Securities or the Common Stock
          issuable upon conversion of the Securities are restricted securities
          within the meaning of the Securities Act, the Company is not subject
          to the informational requirements of the Exchange Act.

             (B)      
          The Company will comply with the provisions of TIA § 314(a).
          

        4.04     COMPLIANCE CERTIFICATE.
             The Company shall deliver to the
          Trustee within 90 days after the end of each fiscal year of the Company
          an Officers’ Certificate stating whether or not the signers know
          of any Default or Event of Default by the Company in performing any
          of its obligations under this Indenture or the Securities.  If
          they do know of any such Default or Event of Default, the certificate
          shall describe the Default or Event of Default and its status.

        4.05     STAY, EXTENSION AND USURY
          LAWS.
             The Company covenants (to the
          extent that it may lawfully do so) that it will not at any time insist
          upon, plead, or in any manner whatsoever claim or take the benefit or
          advantage of, any stay, extension or usury law wherever enacted, now
          or at any time hereafter in force, which may affect the covenants or
          the performance of this Indenture; and the Company (in each case, 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, by resort
          to any such law, 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 has been enacted.

        4.06     CORPORATE EXISTENCE.
             Subject to Article V,
          the Company will do or cause to be done all things necessary to preserve
          and keep in full force and effect its corporate existence and the corporate
          existence of each of its Subsidiaries in accordance with the respective
          organizational documents of each Subsidiary and the rights (charter
          and statutory), licenses and franchises of the Company and its Subsidiaries;
          provided, however, that the Company shall not be required
          to preserve any such right, license or franchise, or the corporate existence
          of any Subsidiary, if in the judgment of the Board of Directors (i)
          such preservation or existence is not material to the conduct of business
          of 

        
          
         the Company and (ii) the loss of such right, license or franchise
          or the dissolution of such Subsidiary does not have a material adverse
          impact on the Holders.

        4.07     NOTICE OF DEFAULT.
             In the event that any Default
          or Event of Default shall occur, the Company will give prompt written
          notice of such Default or Event of Default to the Trustee, and any remedial
          action proposed to be taken.

        4.08     LIMITATION ON LAYERING INDEBTEDNESS

             The Company shall not incur, create,
          issue, assume, guarantee or otherwise become liable for any Indebtedness
          that is subordinate or junior in right of payment to any Senior Indebtedness
          and senior in any respect in right of payment to the Securities. 

      V.                
        SUCCESSORS

        5.01     WHEN COMPANY MAY MERGE,
          ETC.
             The Company shall not consolidate
          with or merge with or into any other person or sell, convey, transfer,
          lease or otherwise dispose of its properties and assets substantially
          as an entirety to another person (whether in a single or series of related
          transactions) unless (i) such other person is a corporation organized
          under the laws of the United States, any State thereof or the District
          of Columbia; (ii) such person assumes by supplemental indenture all
          the obligations of the Company, under the Securities and this Indenture;
          and (iii) immediately after giving effect to the transaction, no Default
          or Event of Default shall exist.

             The Company shall deliver to the
          Trustee prior to the consummation of the proposed transaction an Officers’
          Certificate to the foregoing effect and an Opinion of Counsel, which
          may rely upon such Officers’ Certificate as to the absence of Defaults
          and Events of Default, stating that the proposed transaction and such
          supplemental indenture will, upon consummation of the proposed transaction,
          comply with this Indenture.

        5.02     SUCCESSOR SUBSTITUTED.
             Upon any consolidation or merger
          or sale, conveyance, transfer, lease, or other disposition of all or
          substantially all of the assets of the Company in accordance with Section 5.01,
          the successor person formed by such consolidation or into which the
          Company is merged or to which such sale, conveyance, transfer, lease,
          or other disposition is made shall succeed to, and, except in the case
          of a lease, be substituted for, and may exercise every right and power
          of, and shall assume every duty and obligation of, the Company under
          this Indenture with the same effect as if such successor had been named
          as the Company herein.  When the successor assumes all obligations
          of the Company hereunder, except in the case of a lease, all obligations
          of the predecessor shall terminate.

        
          

      VI.             
        DEFAULTS AND REMEDIES 

      
        6.01     EVENTS OF DEFAULT.
        
     An “Event of Default”
          occurs if:

        
               (i)        
            the Company fails to pay the principal of or premium, if any, of any
            Security when the same becomes due and payable, whether at maturity,
            upon Redemption, on the Option Purchase Date with respect to a Repurchase
            at Holder’s Option, on a Repurchase Date with respect to a Repurchase
            Upon Repurchase Event or otherwise, whether or not such payment shall
            be prohibited by the provisions of Article XI hereof;

               (ii)       
            the Company fails to pay an installment of interest or liquidated
            damages, if any, on the Securities when due, if such failure continues
            for 30 days after the date when due, whether or not such payment shall
            be prohibited by the provisions of Article XI hereof;

               (iii)      
            the Company fails to provide timely notice of a Repurchase Event,
            or a notice required under Section 3.08(B), as required by the provisions
            of this Indenture;

               (iv)      
            the Company fails to comply with any other term, covenant, or agreement
            set forth in the Securities or this Indenture and such failure continues
            for the period, and after the notice, specified below;

               (v)       
            the Company or any of its Subsidiaries defaults in the payment when
            due, after the expiration of any applicable grace period, of principal
            of, or premium, if any, or interest on indebtedness for money borrowed,
            in the aggregate principal amount then outstanding of $5,000,000 or
            more, or the acceleration of indebtedness for money borrowed in such
            aggregate principal amount so that it becomes due and payable prior
            to the date on which it would otherwise become due and payable and
            such acceleration is not rescinded or such default is not cured within
            30 days after notice to the Company by the Trustee or to the Company
            and the Trustee by holders of not less than 25% in the aggregate principal
            amount of the Securities then outstanding, each in accordance with
            this Indenture;

               (vi)      
            the Company or any of its Subsidiaries fails to pay final judgments,
            the uninsured portion of which aggregates in excess of $5,000,000,
            and such judgments are not paid, discharged or stayed for a period
            of 30 days;

               (vii)     
            the Company or any of its Significant Subsidiaries or any group of
            Subsidiaries that in the aggregate would constitute a Significant
            Subsidiary pursuant to or within the meaning of any Bankruptcy Law:

          
                 (A)      
              commences a voluntary case,

          

        

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

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

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

          

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

          
                 (A)      
              is for relief against the Company or any of its Significant Subsidiaries
              or any group of Subsidiaries that in the aggregate constitute a
              significant part of the Company’s business in an involuntary
              case or proceeding, or adjudicates the Company or any Significant
              Subsidiary or any group of Subsidiaries that in the aggregate constitute
              a significant part of the Company’s business insolvent or bankrupt,

                 (B)      
              appoints a Custodian of the Company or any of its Significant Subsidiaries
              or any group of Subsidiaries that in the aggregate constitute a
              significant part of the Company’s business for all or substantially
              all of the property of the Company or any such Significant Subsidiary
              or any group of Subsidiaries that in the aggregate constitute a
              significant part of the Company’s business, as the case may
              be, or

                 (C)      
              orders the winding up or liquidation of the Company or any of its
              Significant Subsidiaries or any group of Subsidiaries that in the
              aggregate constitute a significant part of the Company’s business,
              and the order or decree remains unstayed and in effect for 90 consecutive
              days.

          

        

             The term “Bankruptcy Law”
          means Title 11, U.S. Code or any similar Federal or State law for the
          relief of debtors.  The term “Custodian” means
          any receiver, trustee, assignee, liquidator or similar official under
          any Bankruptcy Law.

             A default under clause (iv)
          is not an Event of Default until the Trustee notifies the Company
          or the Holders of at least 25% in aggregate principal amount of the
          Securities then outstanding notify the Company and the Trustee of the
          default and the default is not cured within 30 days after receipt
          of the notice.  The notice must specify the default, demand that
          it be remedied and state that the notice is a “Notice of Default”. 
          If the Holders of 25% in aggregate principal amount of the outstanding
          Securities request the Trustee to give such notice on their behalf,
          the Trustee shall do so.  When a default is cured, it ceases. 

        6.02     ACCELERATION.
             If an Event of Default (other
          than an Event of Default specified in Section 6.01(vii) or
          (viii) with respect to the Company) as to which the Trustee has
          received notice pursuant to the provisions of this Indenture occurs
          and is continuing, the Trustee by notice to the Company or 

        
          
        the Holders of at least 25% in principal amount of the Securities then
          outstanding by notice to the Company and the Trustee may declare the
          Securities to be due and payable.  Upon such declaration such principal
          and interest shall be due and payable immediately.  If an Event
          of Default specified in Section 6.01(vii) or 6.01(viii)
          with respect to the Company occurs, the principal of and accrued
          interest on all the Securities shall ipso facto become and be
          immediately due and payable without any declaration or other act on
          the part of the Trustee or any Securityholder.  The Holders of
          a majority in aggregate principal amount of the Securities then outstanding
          by written notice to the Trustee may rescind or annul an acceleration
          and its consequences if the rescission would not conflict with any order
          or decree and if all existing Events of Default have been cured or waived
          except nonpayment of principal or interest that has become due solely
          because of the acceleration and if all amounts due to the Trustee under
          Section 7.07 have been paid.

       6.03    OTHER REMEDIES.
             Notwithstanding any other provision
          of this Indenture, if an Event of Default occurs and is continuing,
          the Trustee may pursue any available remedy by proceeding at law or
          in equity to collect the payment of amounts due with respect to the
          Securities or to enforce the performance of any provision of the Securities
          or this Indenture.

             The Trustee may maintain a proceeding
          even if it does not possess any of the Securities or does not produce
          any of them in the proceeding.  A delay or omission by the Trustee
          or any Securityholder in exercising any right or remedy accruing upon
          an Event of Default shall not impair the right or remedy or constitute
          a waiver of or acquiescence in the Event of Default.  All remedies
          are cumulative.

        6.04     WAIVER OF PAST DEFAULTS.
             Subject to Sections 6.07
          and 9.02, the Holders of a majority in aggregate principal
          amount of the Securities then outstanding by notice to the Trustee may
          waive any past Default or Event of Default and its consequences; provided,
          however, that a default or Event of Default in the payment of the principal
          of, premium, if any, or interest on any Security or in the payment of
          the Redemption Price, the Option Purchase Price or the Repurchase Price
          (or accrued and unpaid interest, if any, payable as herein provided
          upon Redemption, Repurchase at Holder’s Option or Repurchase Upon
          Repurchase Event), a failure by the Company to convert any Securities
          into Common Stock or any default or Event of Default in respect of any
          provision of this Indenture or the Securities which, under Section
          9.02, cannot be modified or amended without the consent of the Holder
          of each Security affected.  When a Default or an Event of Default
          is waived, it is cured and ceases for every purpose of this Indenture.

        6.05     CONTROL BY MAJORITY.
             The Holders of a majority in aggregate
          principal amount of the Securities then outstanding may 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 it. 
          However, the Trustee may refuse to follow any direction that conflicts
          with law or this Indenture, is unduly prejudicial to the rights of other
          Securityholders or would involve the Trustee in personal liability unless
          the 

        
          
        Trustee is offered indemnity reasonably satisfactory to it; provided
          that the Trustee may take any other action deemed proper by the Trustee
          which is not inconsistent with such direction.

        6.06     LIMITATION ON SUITS.
             Except as provided in Section 6.07,
          a Securityholder may not pursue a remedy with respect to this Indenture
          or the Securities unless:

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

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

               (iii)      
            such Holder or Holders offer and, if requested, provide to the Trustee
            indemnity reasonably satisfactory to the Trustee against any loss,
            liability or expense;

               (iv)      
            the Trustee does not comply with the request within 60 days after
            receipt of notice, the request and the offer of indemnity; and

               (v)       
            during such 60 day period, the Holders of a majority in aggregate
            principal amount of the Securities then outstanding do not give the
            Trustee a direction inconsistent with the request.

        

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

        6.07     RIGHTS OF HOLDERS TO RECEIVE
          PAYMENT.
             Notwithstanding any other provision
          of this Indenture, the right of any Holder to receive payment of all
          amounts due with respect to the Securities, on or after the respective
          due dates expressed in the Securities, or to bring suit for the enforcement
          of any such payment on or after such respective dates, shall not be
          impaired or affected without the consent of the Holder.  

             Notwithstanding any other provision
          of this Indenture, the right of any Holder to bring suit for the enforcement
          of the right to convert the Security in accordance with this Indenture
          shall not be impaired or affected without the consent of the Holder.

        6.08     COLLECTION SUIT BY TRUSTEE.
             If an Event of Default specified
          in Section 6.01(i) or (ii) occurs and is continuing,
          the Trustee may recover judgment in its own name and as trustee of an
          express trust against the Company for the whole amount due with respect
          to the Securities, including any unpaid and accrued interest.

        
          
        6.09     TRUSTEE MAY FILE PROOFS
          OF CLAIM.
             The Trustee may file such proofs
          of claim and other papers or documents as may be necessary or advisable
          in order to have the claims of the Trustee, any predecessor Trustee
          and the Securityholders allowed in any judicial proceedings relative
          to the Company or its creditors or properties.

             The Trustee may 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 similar official in any judicial proceeding
          is hereby authorized by each Holder to make such payments to the Trustee
          and, in the event that the Trustee shall consent to the making of such
          payments directly to the Holders, to pay the Trustee any amount due
          it for the reasonable compensation, expenses, disbursements and advances
          of the Trustee, its agents and counsel, and any other amounts due the
          Trustee under Section 7.07.

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

        6.10     PRIORITIES.
             If the Trustee collects any money
          pursuant to this Article VI, it shall pay out the money in the
          following order:

        
          First:          
            to the Trustee for amounts due under Section 7.07;

        Second:      to holders of
          Senior Indebtedness to the extent required by 

                            Article XI;

          Third:         
            to Securityholders for all amounts due and unpaid on the Securities,
            without 

                               preference
            or priority of any kind, according to the amounts due and                    payable
            on the Securities; and

          Fourth:       
            to the Company.

        

             The Trustee, upon prior written
          notice to the Company may fix a record date and payment date for any
          payment by it to Securityholders pursuant to this Section 6.10.

        6.11     UNDERTAKING FOR COSTS.
             In any suit for the enforcement
          of any right or remedy under this Indenture or in any suit against the
          Trustee for any action taken or omitted by it as Trustee, a court in
          its discretion may require the filing by any party litigant in the suit
          other than the Trustee of an undertaking to pay the costs of the suit,
          and the court in its discretion may assess reasonable costs, including
          reasonable attorneys’ fees, against any party litigant in the suit,
          having due regard to the merits and good faith of the claims or defenses
          made by the party litigant.  This Section 6.11 does
          not 

        
          
        apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07
          or a suit by Holders of more than 10% in aggregate principal amount
          of the outstanding Securities.

      VII.           
        TRUSTEE 

      
        7.01     DUTIES OF TRUSTEE.
        
     (A)      
          If an Event of Default has occurred and is continuing, the Trustee shall
          exercise such of the rights and powers vested in it by this Indenture,
          and use the same degree of care and skill in their exercise, as a prudent
          person would exercise or use under the circumstances in the conduct
          of his or her own affairs.

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

        
               (i)        
            the Trustee need perform only those duties that are specifically 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, willful misconduct or negligence 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 examine the certificates and opinions
            to determine whether or not they conform to the requirements of this
            Indenture (but need not confirm or investigate the accuracy of mathematical
            calculations or other facts stated therein).

        

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

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

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

        

           (D)      
        Every provision of this Indenture that in any way relates to the Trustee
        is subject to the provisions of this Section 7.01.

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

        
          
        7.02     RIGHTS OF TRUSTEE.
             (A)      
          Subject to Section 7.01, the Trustee may conclusively rely on any document
          believed by it to be genuine and to have been signed or presented by
          the proper person.  The Trustee need not investigate any fact or
          matter stated in the document; if, however, the Trustee shall determine
          to make such further inquiry or investigation, it shall be entitled
          during normal business hours to examine the relevant books, records
          and premises of the Company, personally or by agent or attorney upon
          reasonable prior notice.

             (B)      
          Before the Trustee acts or refrains from acting, it may require an Officers’
          Certificate and/or an Opinion of Counsel.  The Trustee shall not
          be liable for any action it takes or omits to take in good faith in
          reliance on such Officers’ Certificate or Opinion of Counsel.

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

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

             (F)      
          The Trustee shall not be liable for any action it takes or omits to
          take in good faith which it believes to be authorized or within its
          discretion, rights or powers conferred upon it by this Indenture.

             (G)      
          Except with respect to Section 6.01, the Trustee shall have
          no duty to inquire as to the performance of the Company with respect
          to the covenants contained in Article IV.  In addition,
          the Trustee shall not be deemed to have knowledge of an Event of Default
          except (i) any Default or Event of Default occurring pursuant to Sections 6.01(i)
          and (ii) or (ii) any Default or Event of Default of which a Responsible
          Officer of the Trustee shall have received written notification or obtained
          actual knowledge.  Delivery of reports, information and documents
          to the Trustee under Article IV (other than Sections 4.04
          and 4.07) is for informational purposes only and the Trustee’s
          receipt of the foregoing shall not constitute constructive notice of
          any information contained therein or determinable from information contained
          therein, including the Company’s compliance with any of its covenants
          hereunder (as to which the Trustee is entitled to rely exclusively on
          Officers’ Certificates).

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

             (I)       
          The rights, privileges, protections, immunities and benefits given to
          the Trustee, including without limitation, its right to be indemnified,
          are extended to, and shall be enforceable

        
          
         by, the Trustee in each of its capacities hereunder,
          and each agent, custodian and other Person employed to act hereunder.

             (J)       
          The Trustee may request that the Company deliver an Officers’ Certificate
          setting forth the names of individuals and/or titles of officers authorized
          at such time to take specified actions pursuant to this Indenture, which
          Officers’ Certificate may be signed by any person authorized to
          sign an Officers’ Certificate, including any person specified as
          so authorized in any such certificate previously delivered and not superseded.

        7.03     INDIVIDUAL RIGHTS OF TRUSTEE.
             The Trustee in its individual
          or any other capacity may become the owner or pledgee of Securities
          and may otherwise deal with the Company or any of its Affiliates with
          the same rights it would have if it were not Trustee.  Any Agent
          may do the same with like rights.  The Trustee, however, must comply
          with Sections 7.10 and 7.11.

        7.04     TRUSTEE’S DISCLAIMER.
             The Trustee makes no representation
          as to the validity or adequacy of this Indenture or the Securities;
          it shall not be accountable for the Company’s use of the proceeds
          from the Securities; and it shall not be responsible for any statement
          in the Securities other than its certificate of authentication.

        7.05     NOTICE OF DEFAULTS.
             If a Default or Event of Default
          occurs and is continuing as to which the Trustee has received notice
          pursuant to the provisions of this Indenture, the Trustee shall mail
          to each Securityholder a notice of the Default or Event of Default within
          30 days after it occurs unless such Default or Event of Default has
          been cured or waived.  Except in the case of a Default or Event
          of Default in payment of any amounts due with respect to any Security,
          the Trustee may withhold the notice if and so long as it in good faith
          determines that withholding the notice is in the interests of Securityholders.

        7.06     REPORTS BY TRUSTEE TO
          HOLDERS.
             Within 60 days after each May
          15 beginning with May 15, 2004, the Trustee shall mail to each Securityholder
          if required by TIA § 313(a) a brief report dated as of such
          May 15 that complies with TIA § 313(c).  In such event,
          the Trustee also shall comply with TIA § 313(b).

             A copy of each report at the time
          of its mailing to Securityholders shall be mailed to the Company and
          filed by the Trustee with the SEC and each stock exchange, if any, on
          which the Securities are listed.  The Company shall promptly notify
          the Trustee when the Securities are listed on any stock exchange.

        7.07     COMPENSATION AND INDEMNITY.
             The Company shall pay to the Trustee
          from time to time such compensation for its services as shall be agreed
          upon in writing.  The Trustee’s compensation shall not be
          limited by 

       
          
        any law on compensation of a trustee of an express trust.  The
          Company shall reimburse the Trustee upon request for all reasonable
          out-of-pocket expenses incurred by it.  Such expenses shall include
          the reasonable compensation and out-of-pocket expenses of the Trustee’s
          agents and counsel.

             The Company shall indemnify the
          Trustee against any and all loss, liability, damage, claim or expense
          (including the reasonable fees and expenses of counsel and taxes other
          than those based upon the income of the Trustee) incurred by it in connection
          with the acceptance or administration of this trust and the performance
          of its duties hereunder, including the reasonable costs and expenses
          of defending itself against any claim (whether asserted by the Company,
          any Holder or any other Person) or liability in connection with the
          exercise or performance of any of its powers and duties hereunder. 
          The Company need not pay for any settlement made without its consent. 
          The Trustee shall notify the Company promptly of any claim for which
          it may seek indemnification.  The Company need not reimburse any
          expense or indemnify against any loss or liability incurred by the Trustee
          through the Trustee’s negligence, bad faith or willful misconduct.

             To secure the Company’s payment
          obligations in this Section 7.07, the Trustee shall have
          a lien prior to the Securities on all money or property held or collected
          by the Trustee, except that held in trust to pay amounts due on particular
          Securities.

             The indemnity obligations of the
          Company with respect to the Trustee provided for in this Section 7.07
          shall survive any resignation or removal of the Trustee.

             When the Trustee incurs expenses
          or renders services after an Event of Default specified in Section 6.01(vii)
          or 6.01(viii) occurs, the expenses and the compensation for
          the services are intended to constitute expenses of administration under
          any Bankruptcy Law.

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

             The Trustee may resign by so notifying
          the Company in writing 30 Business Days prior to such resignation. 
          The Holders of a majority in aggregate principal amount of the Securities
          then outstanding may remove the Trustee by so notifying the Trustee
          and the Company in writing and may appoint a successor Trustee with
          the Company’s consent.  The Company may remove the Trustee
          if:

        
               (i)        
            the Trustee fails to comply with Section 7.10;

               (ii)       
            the Trustee is adjudged a bankrupt or an insolvent;

               (iii)      
            a receiver or other public officer takes charge of the Trustee or
            its property; or

               (iv)      
            the Trustee becomes incapable of acting.

        

        
          
             If the Trustee resigns or is removed
          or if a vacancy exists in the office of Trustee for any reason, the
          Company shall promptly appoint a successor Trustee.

             If a successor Trustee does not
          take office within 30 days after the retiring Trustee resigns or is
          removed, the retiring Trustee (at the Company’s expense), the Company
          or the Holders of at least 10% in aggregate principal amount of the
          outstanding Securities may petition any court of competent jurisdiction
          for the appointment of a successor Trustee.

             If the Trustee fails to comply
          with Section 7.10, any Holder may petition any court of
          competent jurisdiction for the removal of the Trustee and the appointment
          of a successor Trustee.

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

        7.09     SUCCESSOR TRUSTEE BY MERGER,
          ETC.
             If the Trustee consolidates with,
          merges or converts into, or transfers all or substantially all of its
          corporate trust business to, another corporation, the successor corporation
          without any further act shall be the successor Trustee, if such successor
          corporation is otherwise eligible hereunder.

        7.10     ELIGIBILITY; DISQUALIFICATION.
             There shall at all times be a
          Trustee hereunder that is a corporation organized and doing business
          under the laws of the United States of America or of any state thereof
          that is authorized under such laws to exercise corporate trustee power,
          that is subject to supervision or examination by federal or state authorities
          and that has a combined capital and surplus of at least $10 million
          as set forth in its most recent published annual report of condition. 
          The Trustee shall comply with TIA § 310(b).

        7.11     PREFERENTIAL COLLECTION
          OF CLAIMS AGAINST COMPANY.
             The Trustee shall comply with
          TIA § 311(a), excluding any creditor relationship listed in
          TIA § 311(b).  A Trustee who has resigned or been removed
          shall be subject to TIA § 311(a) to the extent indicated.

      VIII.        
        DISCHARGE OF INDENTURE 

      
        8.01     TERMINATION OF THE OBLIGATIONS
          OF THE COMPANY.
        
     When (a) the Company delivers
          to the Trustee all outstanding Securities (other than Securities replaced
          pursuant to Section 2.07 hereof) for cancellation or (b) all
          outstanding Securities have become due and payable and the Company irrevocably
          deposits with the Trustee 

        
          
        or the Paying Agent (if the Paying Agent is not the Company or any
          of its Affiliates) cash sufficient to pay all amounts due and owing
          on all outstanding Securities (other than Securities replaced pursuant
          to Security 2.07 hereof), and if in either case the Company pays
          all other sums payable hereunder by the Company, then this Indenture
          shall, subject to Section 7.07 hereof, cease to be of further
          effect.  The Trustee shall join in the execution of a document
          prepared by the Company acknowledging satisfaction and discharge of
          this Indenture on demand of the Company accompanied by an Officers’
          Certificate of the Company and Opinion of Counsel and at the cost and
          expense of the Company.

        8.02     APPLICATION OF TRUST MONEY.
             The Trustee shall hold in trust
          money deposited with it pursuant to Section 8.01. 
          It shall apply the deposited money through the Paying Agent and in accordance
          with this Indenture to the payment of the principal of and any unpaid
          and accrued interest on the Securities.  Money and securities so
          held in trust are not subject to the subordination provisions of Article XI.

        8.03     REPAYMENT TO COMPANY.
             The Trustee and the Paying Agent
          shall promptly notify the Company of, and pay to the Company upon the
          request of the Company, any excess money or securities held by them
          at any time.  The Trustee and the Paying Agent shall pay to the
          Company upon the written request of the Company any money held by them
          for the payment of the principal of and any unpaid and accrued interest
          that remains unclaimed for two years; provided, however,
          that the Trustee or such Paying Agent, before being required to make
          any such repayment, may, at the expense and request of the Company,
          cause to be published once in a newspaper of general circulation in
          the City of New York or cause to be mailed to each Holder, notice stating
          that such money remains and that, after a date specified therein, which
          shall not be less than 30 days from the date of such publication or
          mailing, any unclaimed balance of such money then remaining will be
          repaid to the Company.  After payment to the Company, Securityholders
          entitled to the money must look to the Company for payment as general
          creditors unless an applicable abandoned property law designates another
          person and all liability of the Trustee and the Paying Agent shall cease.

        8.04     REINSTATEMENT.
             If the Trustee or Paying Agent
          is unable to apply any money in accordance with Sections 8.01
          and 8.02 by reason of any legal proceeding or by reason of any
          order or judgment of any court or governmental authority enjoining,
          restraining or otherwise prohibiting such application, the obligations
          of the Company under this Indenture and the Securities shall be revived
          and reinstated as though no deposit had occurred pursuant to Sections 8.01
          and 8.02 until such time as the Trustee or Paying Agent is permitted
          to apply all such money in accordance with Sections 8.01 and
          8.02; provided, however, that if the Company has
          made any payment of amounts due with respect to any Securities because
          of the reinstatement of its obligations, the Company shall be subrogated
          to the rights of the Holders of such Securities to receive such payment
          from the money held by the Trustee or Paying Agent.

        
          

      IX.             
        AMENDMENTS 

      
        9.01     WITHOUT CONSENT OF HOLDERS.
        
     The Company, with the consent
          of the Trustee, may amend or supplement this Indenture or the Securities
          without notice to or the consent of any Securityholder:

        
               (i)     
            to comply with Sections 5.01 and 10.12;

               (ii)     
            to make any changes or modifications to this Indenture necessary in
            connection with the registration of the Securities under the Securities
            Act pursuant to the Registration Rights Agreement and the qualification
            of the Indenture under the TIA;

               (iii)    
            to secure the obligations of the Company in respect of the Securities;

               (iv)    
            to add to the covenants of the Company described in this Indenture
            for the benefit of Securityholders or to surrender any right or power
            conferred upon the Company; and

               (v)    
            to make provisions with respect to adjustments to the Conversion Rate
            as required by this Indenture or to increase the Conversion Rate in
            accordance with this Indenture.

        

             In addition, the Company and the
          Trustee may enter into a supplemental indenture without the consent
          of Holders of the Securities to cure any ambiguity, defect, omission
          or inconsistency in this Indenture in a manner that does not adversely
          affect the rights of any Holder.

       9.02     WITH CONSENT OF HOLDERS.
             The Company, with the consent
          of the Trustee, may amend or supplement this Indenture or the Securities
          without notice to any Securityholder but with the written consent of
          the Holders of at least a majority in aggregate principal amount of
          the outstanding Securities.  Subject to Section 6.07,
          the Holders of a majority in aggregate principal amount of the outstanding
          Securities may waive compliance by the Company with any provision of
          this Indenture or the Securities without notice to any other Securityholder. 
          However, without the consent of each Securityholder affected, an amendment,
          supplement or waiver, including a waiver pursuant to Section 6.04,
          may not:

        
               (a)       
            change the stated maturity of the principal of, or interest on, any
            Security;

               (b)       
            reduce the principal amount of, or any premium or interest or liquidated
            damages on, any Security;

        

        
          
        
               (c)       
            reduce the amount of principal payable upon acceleration of the maturity
            of any Security;

               (d)       
            change the place or currency of payment of principal of, or any premium
            or interest or liquidated damages on, any Security;

               (e)       
            impair the right to institute suit for the enforcement of any payment
            on, or with respect to, any Security;

               (f)        
            modify the provisions with respect to the right of Holders pursuant
            to Article III to require the Company to purchase Securities on the
            Option Purchase Date or to repurchase Securities upon the occurrence
            of Repurchase Event in a manner adverse to Holders;

               (g)       
            modify the provisions of Article XI in a manner adverse to Holders;

               (h)       
            adversely affect the right of Holders to convert Securities other
            than as provided in or under Article X of this Indenture;

               (i)        
            reduce the percentage of the aggregate principal amount of the outstanding
            Securities whose Holders must consent to a modification or amendment;
            

               (j)        
            reduce the percentage of the aggregate principal amount of the outstanding
            Securities necessary for the waiver of compliance with certain provisions
            of this Indenture or the waiver of certain defaults under this Indenture;
            and

               (k)       
            modify the provisions of this Indenture with respect to modification
            and waiver (including waiver of Events of Default), except to increase
            the percentage required for modification or waiver or to provide for
            consent of each affected Holder.

        

             An amendment under this Section 9.02
          may not make any change that adversely affects the rights under Article XI
          of any holder of Senior Indebtedness unless the holders of such Senior
          Indebtedness pursuant to its terms consent to the change.

             Promptly after an amendment under
          Section 9.01 and this Section 9.02 becomes effective,
          the Company shall mail to Securityholders a notice briefly describing
          the amendment.  Any failure of the Company to mail such notice
          shall not in any way impair or affect the validity of such amendment,
          supplement or waiver.

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

        
          
        9.03     COMPLIANCE WITH TRUST
          INDENTURE ACT.
             Every amendment, waiver or supplement
          to this Indenture or the Securities shall comply with the TIA as then
          in effect.

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

             After an amendment, supplement
          or waiver becomes effective with respect to the Securities, it shall
          bind every Securityholder unless it makes a change described in Section 9.02. 
          In that case, the amendment, supplement or waiver shall bind each Holder
          of a Security who has consented to it and every subsequent Holder of
          a Security or portion of a Security that evidences the same debt as
          the consenting Holder’s Security, even if notation of the consent
          is not made on any Security. 

        9.05     NOTATION ON OR EXCHANGE
          OF SECURITIES.
             If an amendment, supplement or
          waiver changes the terms of a Security, the Trustee may require the
          Holder of the Security to deliver it to the Trustee.  The Trustee
          may place an appropriate notation on the Security as directed and prepared
          by the Company about the changed terms and return it to the Holder. 
          Alternatively, if the Company so determines, the Company in exchange
          for the Security shall issue and the Trustee shall authenticate a new
          Security that reflects the changed terms.

        9.06     TRUSTEE PROTECTED.
             The Trustee need not sign any
          amendment, supplement or waiver authorized pursuant to this Article IX
          that adversely affects the Trustee’s rights, duties, liabilities
          or immunities.  The Trustee shall be entitled to receive and conclusively
          rely upon an Opinion of Counsel and an Officers’ Certificate that
          any supplemental indenture, amendment or waiver is permitted or authorized
          pursuant to this Indenture.

      X.                
        CONVERSION 

      
        10.01   CONVERSION PRIVILEGE; RESTRICTIVE
          LEGENDS.
        
     A Holder of a Security may convert
          such Security into Common Stock at any time prior to Maturity, subject
          to Section 10.14 hereof.  The initial Conversion Rate is 50.0000
          shares of 

        
          
        Common Stock per $1,000 principal amount.  The Conversion Rate
          is subject to adjustment in accordance with Sections 10.06
          through 10.12.

             A Holder may convert a portion
          of the principal of such Security if the portion is $1,000 principal
          amount or an integral multiple of $1,000 principal amount.  Provisions
          of this Indenture that apply to conversion of all of a Security also
          apply to conversion of a portion of it.

             Any shares issued upon conversion
          of a Security shall bear the Private Placement Legend until after the
          second anniversary of the later of the Issue Date and the last date
          on which the Company or any Affiliate of the Company was the owner of
          such shares or the Security (or any predecessor security) from which
          such shares were converted (or such shorter period of time as permitted
          by Rule 144(k) under the Securities Act or any successor provision thereunder)
          (or such longer period of time as may be required under the Securities
          Act or applicable state securities laws in the Opinion of Counsel for
          the Company, unless otherwise agreed by the Company and the Holder thereof).

        10.02   CONVERSION PROCEDURE.
             To convert a Security, a Holder
          must satisfy the requirements of paragraph 10 of the Securities. 
          The date on which the Holder satisfies all those requirements is the
          conversion date.  As soon as practicable following the conversion
          date, the Company shall deliver to the Holder through the Conversion
          Agent a certificate for the number of full shares of Common Stock issuable
          upon the conversion and a check in lieu of any fractional share. 
          The person in whose name the certificate is registered shall be treated
          as a stockholder of record on and after the conversion date.

             Except as described below, no
          payment or adjustment will be made for accrued interest on, or liquidated
          damages with respect to, a converted Security or for dividends on any
          Common Stock issued on or prior to conversion.  If any Holder surrenders
          a Security for conversion after the close of business on the record
          date for the payment of an installment of interest and prior to the
          next succeeding interest payment date, then, notwithstanding such conversion,
          the interest payable on such interest payment date shall be paid to
          the Holder of such Security on such record date; provided, however,
          that such Security, when surrendered for conversion, must be accompanied
          by payment to the Trustee on behalf of the Company of an amount equal
          to the interest payable on such interest payment date on the portion
          so converted; provided, further, however, that such payment to
          the Trustee described in the immediately preceding proviso shall not
          be required in connection with any conversion of a Security called for
          Redemption pursuant to Section 3.04 hereof.

             If a Holder converts more than
          one Security at the same time, the number of full shares issuable upon
          the conversion shall be based on the total principal amount of the Securities
          converted.

             Upon surrender of a Security that
          is converted in part the Trustee shall authenticate for the Holder a
          new Security equal in principal amount to the unconverted portion of
          the Security surrendered.

        
          
             If the last day on which a Security
          may be converted is a Legal Holiday in a place where a Conversion Agent
          is located, the Security may be surrendered to that Conversion Agent
          on the next succeeding day that is not a Legal Holiday.

       10.03   FRACTIONAL SHARES.
             The Company will not issue fractional
          shares of Common Stock upon conversion of Securities and instead will
          deliver a check in an amount equal to the value of such fraction computed
          on the basis of the Closing Sale Price.

        10.04   TAXES ON CONVERSION.
             If a Holder converts its Security,
          the Company shall pay any documentary, stamp or similar issue or transfer
          tax due on the issue of shares of Common Stock upon the conversion. 
          However, the Holder shall pay any such tax which is due because the
          shares are issued in a name other than the Holder’s name.

        10.05   COMPANY TO PROVIDE STOCK.
             The Company shall reserve out
          of its authorized but unissued Common Stock or Common Stock held in
          its treasury enough shares of Common Stock to permit the conversion
          of all of the Securities.

             All shares of Common Stock which
          may be issued upon conversion of the Securities shall be validly issued,
          fully paid and non-assessable and shall be free of preemptive rights
          and free of any lien or adverse claim created by the Company.

             The Company shall comply with
          all securities laws regulating the offer and delivery of shares of Common
          Stock upon conversion of Securities and shall list such shares on each
          national securities exchange or automated quotation system on which
          the Common Stock is listed.

        10.06   ADJUSTMENT OF CONVERSION RATE.
             The Conversion Rate shall be subject
          to adjustment from time to time as follows:

        
               (a)       
            In case the Company shall (1) pay a dividend in shares of Common Stock
            to all holders of Common Stock, (2) make a distribution in shares
            of Common Stock to all holders of Common Stock, (3) subdivide the
            outstanding shares of Common Stock into a greater number of shares
            of Common Stock or (4) combine the outstanding shares of Common Stock
            into a smaller number of shares of Common Stock, the Conversion Rate
            in effect immediately prior to such action shall be adjusted so that
            the holder of any Security thereafter surrendered for conversion shall
            be entitled to receive the number of shares of Common Stock which
            he would have owned immediately following such action had such Securities
            been converted immediately prior thereto.  Any adjustment made
            pursuant to this Section 10.06(a) shall become effective immediately
            after the 

        

        
          
        
          record date in the case of a dividend or distribution
            and shall become effective immediately after the effective date in
            the case of a subdivision or combination.

               (b)       
            In case the Company shall issue rights or warrants to all or substantially
            all holders of Common Stock, as the case may be, entitling them for
            a period commencing on the record date for the determination of holders
            of Common Stock entitled to receive such rights or warrants and expiring
            not more than 60 days after such record date, to subscribe for or
            purchase shares of Common Stock (or securities convertible into Common
            Stock), at a price per share less than the then current market price
            (as determined pursuant to Section 10.06(g) below) of Common
            Stock on such record date, the Conversion Rate shall be increased
            by multiplying the Conversion Rate in effect immediately prior to
            such record date by a fraction of which the numerator shall be the
            number of shares of Common Stock outstanding on such record date,
            plus the number of shares of Common Stock so offered for subscription
            or purchase, and the denominator of which shall be the number of shares
            of Common Stock outstanding at the close of business on such record
            date plus the number of shares of Common Stock which the aggregate
            of the offering price of the total number of shares of Common Stock
            so offered for subscription or purchase would purchase at such current
            market price.  Such adjustments shall become effective immediately
            after such record date.

             (c)       
          In case the Company shall dividend or distribute to all or substantially
          all holders of Common Stock shares of Capital Stock of the Company other
          than Common Stock, evidences of indebtedness or other assets (other
          than cash dividends), or shall dividend or distribute to all or substantially
          all holders of Common Stock rights or warrants to subscribe for securities
          (other than those referred to in Section 10.06(b) above),
          then in each such case the Conversion Rate shall be increased by multiplying
          the Conversion Rate in effect immediately prior to the close of business
          on the record date for the determination of shareholders entitled to
          such distribution by a fraction of which the numerator shall be the
          current market price of Common Stock (as determined pursuant to Section 10.06(g)
          below), on such date and the denominator shall be such current market
          price less the fair market value (as determined by the Board of Directors
          whose determination shall be conclusive and described in a Board Resolution)
          on such date of the portion of the evidences of indebtedness, shares
          of Capital Stock, cash and other assets to be distributed or of such
          subscription rights or warrants applicable to one share of Common Stock,
          such increase to become effective immediately prior to the opening of
          business on the day following such record date.  Notwithstanding
          the foregoing, in the event that the Company shall distribute rights
          or warrants (other than those referred to in Section 10.06(b)
          above) (“Rights”) pro rata to holders of Common
          Stock, the Company may, in lieu of making any adjustment pursuant to
          this Section 10.06(c), make proper provision so that each
          Holder of a Security who converts such Security (or any portion thereof)
          after the record date for such distribution and prior to the expiration
          or redemption of the Rights shall be entitled to receive upon such conversion,
          in addition to the shares of Common Stock issuable upon such conversion
          (the 

        

        
          
        
          “Conversion Shares”), a number of
            Rights to be determined as follows:  (i) if such conversion occurs
            on or prior to the date for the distribution to the holders of Rights
            of separate certificates evidencing such Rights (the “Distribution
            Date”), the same number of Rights to which a holder of a number
            of shares of Common Stock equal to the number of shares of Conversion
            Shares is entitled at the time of such conversion in accordance with
            the terms and provisions of and applicable to the Rights; and (ii)
            if such conversion occurs after the Distribution Date, the same number
            of Rights to which a holder of the number of shares of Common Stock
            into which the principal amount of the Security so converted was convertible
            immediately prior to the Distribution Date would have been entitled
            on the Distribution Date in accordance with the terms and provisions
            of and applicable to the Rights.  

          In the event that the Company implements a stockholders' rights plan
            after the date hereof, the Company shall provide that the Holders
            will receive, in addition to Common Stock, the rights described therein
            upon conversion of the Securities (whether or not the rights have
            separated from the Common Stock prior to the time of conversion),
            subject to the limitations set forth in the stockholders' rights plan. 
            Any distribution of rights or warrants pursuant to a stockholders’
            rights plan complying with the requirements set forth in the two preceding
            sentences of this paragraph shall not constitute a distribution of
            rights or warrants pursuant to this Section 10.06(c).

               (d)       
            In case the Company shall, by dividend or otherwise, at any time make
            a distribution (the “Triggering Distribution,” and the amount
            of the Triggering Distribution, together with the sum of (w) and (x)
            below, the “Combined Amount”) to all or substantially all
            holders of its Common Stock of cash (including any distributions of
            cash out of current or retained earnings of the Company, but excluding
            any cash that is distributed as part of a distribution requiring a
            Conversion Rate adjustment pursuant to subsection (c) above or subsection
            (e) below) in an aggregate amount that, together with the sum of (w)
            the aggregate amount of any cash and the fair market value (as determined
            in good faith by the Board of Directors, whose determination shall
            be conclusive thereof and described in a Board Resolution), as of
            the expiration of the tender or exchange offer referred to below,
            of any other consideration payable in respect of any tender or exchange
            offer by the Company or a Subsidiary of the Company for all or any
            portion of the Common Stock consummated within the 12 months preceding
            the date of payment of the Triggering Distribution and in respect
            of which no Conversion Rate adjustment has been made pursuant to this
            Section 10.06, and (x) the aggregate amount of all other cash dividends
            or distributions to all or substantially all holders of Common Stock
            made within the 12 months preceding the date of payment of the Triggering
            Distribution and in respect of which no Conversion Rate adjustment
            has been made pursuant to this Section 10.06, exceeds 10% of the product
            of the current market price per share (as determined pursuant to Section 10.06(g)
            below) of the Common Stock on the close of business, New York City
            time, on the Business Day (the “Distribution Declaration Date”)
            immediately preceding the day on which the Triggering 

        

        
          
        
          Distribution is declared by the Company and the number
            of shares of Common Stock outstanding on the Distribution Declaration
            Date (excluding shares held in the treasury of the Company), the Conversion
            Rate shall be adjusted by multiplying the Conversion Rate in effect
            immediately prior to the effectiveness of the Conversion Rate adjustment
            contemplated by this subsection (d) by a fraction (y) the numerator
            of which shall be such current market price per share of Common Stock
            and (z) the denominator of which shall be (I) such current market
            price per share of Common Stock less (II) the number obtained by dividing
            the Combined Amount by such number of shares of Common Stock outstanding. 
            Such adjustment shall become effective immediately prior to the opening
            of business on the day following the Distribution Declaration Date.
            

               (e)       
            In case a tender or exchange offer made by the Company or any of its
            Subsidiaries for all or any portion of the Common Stock shall expire
            and such tender offer or exchange offer (as amended upon the expiration
            thereof) shall require the payment to stockholders (based on the acceptance
            (up to any maximum specified in the terms of the tender offer or exchange
            offer) of Purchased Shares (as defined below)) of an aggregate consideration
            having a fair market value (as determined by the Board of Directors,
            whose determination shall be conclusive and set forth in a Board Resolution)
            that combined together with:  

        

        	 the aggregate of the cash
            plus the fair market value (as determined by the Board of Directors,
            whose determination shall be conclusive and set forth in a Board Resolution),
            as of the expiration of such tender or exchange offer, of consideration
            payable in respect of any other tender offers or exchange offers,
            by the Company or any of its Subsidiaries for all or any portion of
            the Common Stock expiring within the 12 months preceding the expiration
            of such tender offer or exchange offer and in respect of which no
            adjustment pursuant to this Section 10.06 has been made, and
            

            

          
	 the aggregate amount of any
            dividends or distributions to all or substantially all holders of
            the Company’s Common Stock made exclusively in cash within the
            12 months preceding the expiration of such tender offer or exchange
            offer and in respect of which no adjustment pursuant to Section
            10.06 has been made, 

        
          exceeds 10% of the product of the current market price per share
            (as determined pursuant to Section 10.06(g) below)
            as of the last time (the “Expiration Time”) tenders
            or exchanges could have been made pursuant to such tender or exchange
            offer (as it may be amended) times the number of shares of Common
            Stock outstanding (including any tendered shares or exchanged shares)
            at the Expiration Time, then, and in each such case, immediately prior
            to the opening of business on the day after the date of the Expiration
            Time, the Conversion Rate shall be adjusted by multiplying the Conversion
            Rate in effect immediately prior to the close of business on the date
            of the Expiration Time by a fraction:

        

        
          

      
             (i)
          the numerator of which shall be the sum of (x) the fair market
          value (determined as aforesaid) of the aggregate consideration payable
          to stockholders based on the acceptance (up to any maximum specified
          in the terms of the tender offer or exchange offer) of all shares validly
          tendered or exchanged and not withdrawn as of the Expiration Time (the
          shares deemed so accepted, up to any such maximum, being referred to
          as the “Purchased Shares”) and (y) the product of the
          number of shares of Common Stock outstanding (less any Purchased Shares)
          at the Expiration Time and the current market price of the Common Stock
          as of the Expiration Time; and

             (ii)
          the denominator of which shall be the number of shares of Common
          Stock outstanding (including any tendered or exchanged shares) at the
          Expiration Time multiplied by the current market price of the Common
          Stock as of the Expiration Time.

          Such adjustment (if any) shall become effective immediately prior
            to the opening of business on the day following the Expiration Time. 
            In the event that the Company is obligated to purchase shares pursuant
            to any such tender offer or exchange offer, but the Company is permanently
            prevented by applicable law from effecting any such purchases or all
            such purchases are rescinded, the Conversion Rate shall again be adjusted
            to be the Conversion Rate which would then be in effect if such tender
            offer or exchange offer had not been made.  If the application
            of this Section 10.06(e) to any tender offer or exchange offer
            would result in a decrease in the Conversion Rate, no adjustment shall
            be made for such tender offer or exchange offer under this Section
            10.06(e).

               (f)        
            In addition to the foregoing adjustments in subsections (a), (b),
            (c), (d) and (e) above, the Company, from time to time and to the
            extent permitted by law, may increase the Conversion Rate by any amount
            for at least 20 days or such longer period as may be required by law,
            if the Board of Directors of the Company has made a determination,
            which determination shall be conclusive, that such increase would
            be in the best interests of the Company, provided that the then effective
            Conversion Price is not less than the par value of a share of Common
            Stock.  The Company shall give notice to the Trustee and cause
            notice of such increase to be mailed to each Holder of Securities
            at such Holder’s address as the same appears on the registry
            books of the Registrar, at least 15 days prior to the date on which
            such increase commences.  Such Conversion Rate increase shall
            be irrevocable during such period.  

               (g)       
            For the purpose of any computation under subsections (a), (b), (c),
            (d) and (e) above of this Section 10.06, the current market price
            per share of Common Stock on the date fixed for determination of the
            stockholders entitled to receive the issuance or distribution requiring
            such computation (the “Determination Date”) shall be deemed
            to be the average of the Closing Sale Prices for the 10 consecutive
            Trading Days immediately preceding the 

        

        
          
        
          Determination Date; provided, however,
            that (i) if the “ex” date for any event (other than
            the issuance or distribution requiring such computation) that requires
            an adjustment to the Conversion Rate pursuant to subsection (a), (b),
            (c), (d) or (e) above occurs on or after the tenth Trading Day prior
            to the Determination Date and prior to the “ex” date for
            the issuance or distribution requiring such computation, the Closing
            Sale Price for each Trading Day prior to the “ex” date for
            such other event shall be adjusted by multiplying such Closing Sale
            Price by the reciprocal of the fraction by which the Conversion Rate
            is so required to be adjusted as a result of such other event, (ii) if
            the “ex” date for any event (other than the issuance or
            distribution requiring such computation) that requires an adjustment
            to the Conversion Rate pursuant to subsection (a), (b), (c), (d) or
            (e) above occurs on or after the “ex” date for the issuance
            or distribution requiring such computation and on or prior to the
            Determination Date, the Closing Sale Price for each Business Day on
            and after the “ex” date for such other event shall be adjusted
            by multiplying such Closing Sale Price by the same fraction by which
            the Conversion Rate is so required to be adjusted as a result of such
            other event, and (iii) if the “ex” date for the issuance
            or distribution requiring such computation is on or prior to the Determination
            Date, after taking into account any adjustment required pursuant to
            clause (i) or (ii) of this proviso, the Closing Sale Price for
            each Trading Day on and after the “ex” date shall be adjusted
            by adding thereto the amount of any cash and the fair market value
            (as determined by the Board of Directors in a manner consistent with
            any determination of such value for the purposes of this Section 10.06,
            whose determination shall be conclusive and described in a Resolution
            of the Board of Directors) of the evidences of indebtedness, shares
            of Capital Stock or other securities or assets being distributed (in
            the distribution requiring such computation) applicable to one share
            of Common Stock as of the close of business on the day before such
            “ex” date.  For the purpose of any computation under
            subsection (e) of this Section 10.06, the current market price
            per share of Common Stock at the expiration time for the tender offer
            requiring such computation shall be deemed to be the average of the
            Closing Sale Price for the 10 consecutive Trading Days commencing
            on the Business Day immediately following the expiration time of such
            tender offer (the “Commencement Date”); provided,
            however, that if the “ex” date for any event (other
            than the tender offer requiring such computation) that requires an
            adjustment to the Conversion Rate pursuant to subsection (a), (b),
            (c), (d) or (e) above occurs on or after the expiration time for the
            tender offer requiring such computation and prior to the day in question,
            the Closing Sale Price for each Trading Day on or after to the “ex”
            date for such other event shall be adjusted by multiplying such Closing
            Sale Price by the same fraction by which the Conversion Rate is so
            required to be adjusted as a result of such other event.  For
            purposes of this subsection, the term “ex” date, (i) when
            used with respect to any issuance or distribution, means the first
            date on which the Common Stock trades regular way on the relevant
            exchange or in the relevant market from which the Closing Sale Price
            was obtained without the right to receive such issuance or distribution,
            (ii) when used with respect to any subdivision or combination
            of shares of Common Stock, means the first date on which the Common
            Stock trades 

        

        
          
        
          regular way on such exchange or in such market after
            the time at which such subdivision or combination becomes effective,
            and (iii) when used with respect to any tender offer means the
            first date on which the Common Stock trades regular way on such exchange
            or in such market after the expiration time of such tender offer (as
            it may be amended or extended). 

        

        10.07   NO ADJUSTMENT.
             No adjustment in the Conversion
          Rate shall be required until cumulative adjustments amount to 1% or
          more of the Conversion Price as last adjusted; provided, however,
          that any adjustments which by reason of this Section 10.07
          are not required to be made shall be carried forward and taken into
          account in any subsequent adjustment.  All calculations under this
          Article X shall be made to the nearest cent or to the nearest
          one-hundredth of a share, as the case may be.  

             If any rights, options or warrants
          issued by the Company as described in Section 10.06 are only
          exercisable upon the occurrence of certain triggering events, then the
          Conversion Rate will not be adjusted as provided in Section 10.06
          until the earliest of such triggering event occurs.  Upon the expiration
          or termination of any rights, options or warrants without the exercise
          of such rights, options or warrants, the Conversion Rate then in effect
          shall be adjusted immediately to the Conversion Rate which would have
          been in effect at the time of such expiration or termination had such
          rights, options or warrants, to the extent outstanding immediately prior
          to such expiration or termination, never been issued.

             No adjustment need be made for
          a transaction referred to in this Article X if Securityholders
          are to participate in the transaction without conversion on a basis
          and with notice that the Board of Directors determines to be fair and
          appropriate in light of the basis and notice on which holders of Common
          Stock participate in the transaction.

        10.08   OTHER ADJUSTMENTS.
             In the event that, as a result
          of an adjustment made pursuant to Section 10.06 hereof,
          the Holder of any Security thereafter surrendered for conversion shall
          become entitled to receive any shares of Capital Stock other than shares
          of Common Stock, thereafter the Conversion Rate of such other shares
          so receivable upon conversion of any Security shall be subject to adjustment
          from time to time in a manner and on terms as nearly equivalent as practicable
          to the provisions with respect to Common Stock contained in this Article X.

        10.09   ADJUSTMENTS FOR TAX PURPOSES.
             The Company may make such increases
          in the Conversion Rate, in addition to those required by Section 10.06
          hereof, as it determines to be advisable in order that any stock dividend,
          subdivision of shares, distribution or rights to purchase stock or securities
          or distribution of securities convertible into or exchangeable for stock
          made by the Company or to its stockholders will not be taxable to, or
          minimize the income tax payable by, the recipients thereof.

        
          
        10.10   NOTICE OF ADJUSTMENT.
             Whenever the Conversion Rate is
          adjusted, the Company shall promptly mail to Holders at the addresses
          appearing on the Registrar’s books a notice of the adjustment and
          file with the Trustee an Officers’ Certificate briefly stating
          the facts requiring the adjustment and the manner of computing it. 
          The certificate shall be conclusive evidence of the correctness of such
          adjustment.

        10.11   NOTICE OF CERTAIN TRANSACTIONS.
             In the event that:

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

               (2)       
            the Company takes any action that would require a supplemental indenture
            pursuant to Section 10.12; or

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

        

        a Holder of a Security may wish to convert such Security into shares
          of Common Stock prior to the record date for or the effective date of
          the transaction so that he may receive the rights, warrants, securities
          or assets which a holder of shares of Common Stock on that date may
          receive.  Therefore, the Company shall mail to Holders at the addresses
          appearing on the Registrar’s books and the Trustee a notice stating
          the proposed record or effective date, as the case may be, of any transaction
          referred to in clause (1), (2) or (3) of this
          Section 10.11.  The Company shall mail such notice
          at least 15 days before such date; however, failure to mail such notice
          or any defect therein shall not affect the validity of any transaction
          referred to in clause (1), (2) or (3) of this
          Section 10.11.

        10.12      EFFECT OF RECLASSIFICATIONS,
          CONSOLIDATIONS, MERGERS, BINDING SHARE EXCHANGES OR SALES ON CONVERSION
          PRIVILEGE.
             If any of the following shall
          occur, namely:  (i) any reclassification or change in the Common
          Stock issuable upon conversion of Securities (other than a change in
          par value, or from par value to no par value, or from no par value to
          par value, or as a result of a subdivision or combination), (ii) any
          consolidation, merger or binding share exchange to which the Company
          is a party other than a merger in which the Company is the continuing
          corporation and which does not result in any reclassification of, or
          change (other than a change in name, or par value, or from par value
          to no par value, or from no par value to par value or as a result of
          a subdivision or combination) in, the Common Stock, or (iii) any sale
          or conveyance of all or substantially all of the property or business
          of the Company as an entirety, then the Company or such successor or
          purchasing corporation, as the case may be, shall, as a condition precedent
          to such reclassification, change, consolidation, merger, 

        
          
        binding share exchange, sale or conveyance, execute and deliver to
          the Trustee a supplemental indenture in form reasonably satisfactory
          to the Trustee providing that the Holder of each Security then outstanding
          shall have the right to convert such Security into the kind and amount
          of shares of stock and other securities and property (including cash)
          receivable upon such reclassification, change, consolidation, merger,
          binding share exchange, sale or conveyance by a holder of the number
          of shares of Common Stock, deliverable upon conversion of such Security
          immediately prior to such reclassification, change, consolidation, merger,
          binding share exchange, sale or conveyance, assuming such holder of
          Common Stock did not exercise his rights of election, if any, as to
          the kind or amount of securities, cash or other property receivable
          upon such reclassification, change, consolidation, merger, binding share
          exchange, sale or conveyance (provided that, if the kind or amount
          of securities, cash or other property receivable upon such reclassification,
          change, consolidation, merger, binding share exchange, sale or conveyance
          is not the same for each share of Common Stock in respect of which such
          rights of election shall not have been exercised (“Non-Electing
          Share”), then for the purposes of this Section 10.12 the kind
          and amount of securities, cash or other property receivable upon such
          reclassification, change, consolidation, merger, binding share exchange,
          sale or conveyance for each Non-Electing Share shall be deemed to be
          the kind and amount so receivable per share by a plurality of the Non-Electing
          Shares).  Such supplemental indenture shall provide for adjustments
          of the Conversion Rate which shall be as nearly equivalent as may be
          practicable to the adjustments of the Conversion Rate provided for in
          this Article X.  The foregoing, however, shall not
          in any way affect the right a Holder of a Security may otherwise have,
          pursuant to clause (ii) of the last sentence of the first
          paragraph of subsection (c) of Section 10.06
          hereof, to receive Rights upon conversion of a Security.  If, in
          the case of any such consolidation, merger, binding share exchange,
          sale or conveyance, the stock or other securities and property (including
          cash) receivable thereupon by a holder of Common Stock includes shares
          of stock or other securities and property of a corporation other than
          the successor or purchasing corporation, as the case may be, in such
          consolidation, merger, binding share exchange, sale or conveyance, then
          such supplemental indenture shall also be executed by such other corporation
          and shall contain such additional provisions to protect the interests
          of the Holders of the Securities as the Board of Directors shall reasonably
          consider necessary by reason of the foregoing.  The provision of
          this Section 10.12 shall similarly apply to successive consolidations,
          mergers, binding share exchanges, sales or conveyances.

             In the event the Company shall
          execute a supplemental indenture pursuant to this Section 10.12,
          the Company shall promptly file with the Trustee an Officers’ Certificate
          briefly stating the reasons therefor, the kind or amount of shares of
          stock or securities or property (including cash) receivable by Holders
          of the Securities upon the conversion of their Securities after any
          such reclassification, change, consolidation, merger, binding share
          exchange, sale or conveyance and any adjustment to be made with respect
          thereto.

      10.13      TRUSTEE’S DISCLAIMER.
           The Trustee has no duty to determine
          when an adjustment under this Article X should be made,
          how it should be made or what such adjustment should be, but may accept
          as conclusive evidence of the correctness of any such adjustment, and
          shall be protected in relying upon the Officers’ Certificate with
          respect thereto which the Company is obligated to file with the Trustee
          pursuant to Section 10.10 hereof.  The Trustee makes
          no representation as to the validity or value of any securities or assets
          issued upon conversion of Securities, and the Trustee shall not be responsible
          for the failure by the Company to comply with any provisions of this
          Article X.

             The Trustee shall not be under
          any responsibility to determine the correctness of any provisions contained
          in any supplemental indenture executed pursuant to Section 10.12,
          but may 

        
          
        accept as conclusive evidence of the correctness thereof, and shall
          be protected in relying upon, the Officers’ Certificate with respect
          thereto which the Company is obligated to file with the Trustee pursuant
          to Section 10.12 hereof.

        10.14      LIMITATIONS ON
          CONVERSION
             A Holder shall not have the right
          to convert any portion of the Securities to the extent that after giving
          effect to such conversion the Holder (together with the Holder's Affiliates)
          would beneficially own in excess of 4.99% of the number of shares of
          Common Stock outstanding immediately after giving effect to such conversion. 
          For purposes of the foregoing sentence, the number of shares of Common
          Stock beneficially owned by the Holder and its Affiliates shall include
          the number of shares of Common Stock issuable upon conversion of the
          Securities with respect to which the determination of such sentence
          is being made, but shall exclude the number of shares of Common Stock
          which would be issuable upon (A) conversion of the remaining, non-converted
          portion of the Securities beneficially owned by the Holder or any of
          its Affiliates and (B) exercise or conversion of the unexercised or
          non-converted portion of any other securities of the Company (including,
          without limitation, any other Securities or warrants) subject to a limitation
          on conversion or exercise analogous to the limitation contained herein
          beneficially owned by the Holder or any of its Affiliates.  Except
          as set forth in the preceding sentence, for purposes of this Section
          10.14, beneficial ownership shall be calculated in accordance with
          Section 13(d) of the Securities Exchange Act of 1934, as amended. 
          For purposes of this Section 10.14, in determining the number
          of outstanding shares of Common Stock, the Holder may rely on the number
          of outstanding shares of Common Stock as reflected in (x) the Company's
          most recent Quarterly Report on Form 10-Q or Annual Report on Form 10-K,
          as the case may be, (y) a more recent public announcement by the Company
          or (z) any other notice by the Company or its transfer agent setting
          forth the number of shares of Common Stock outstanding.  Upon the
          written or oral request of the Holder, the Company shall within two
          Business Days confirm orally and in writing to the Holder the number
          of shares of Common Stock then outstanding.  In any case, the number
          of outstanding shares of Common Stock shall be determined after giving
          effect to the conversion or exercise of securities of the Company, including
          the Securities, by the Holder or its Affiliates since the date as of
          which such number of outstanding shares of Common Stock was reported.

      XI.             
        SUBORDINATION 

      
        11.01   AGREEMENT TO SUBORDINATE.
        
     The Company agrees, and each Securityholder
          by accepting a Security agrees, that the payment of all amounts due
          with respect to the Securities is subordinated in right of payment,
          to the extent and in the manner provided in this Article XI,
          to the prior payment in full in cash or cash equivalents of all Senior
          Indebtedness (whether outstanding on the date hereof or hereafter created,
          incurred, assumed or guaranteed) and that the subordination is for the
          benefit of the holders of Senior Indebtedness.

        
          
        11.02   CERTAIN DEFINITIONS.
             “Designated Senior Indebtedness”
          means any Senior Indebtedness in which the instrument creating or evidencing
          the indebtedness expressly provides that such indebtedness is “designated
          senior indebtedness.” 

             “Indebtedness”
          means, with respect to any person, the principal of, and premium, if
          any, and interest on and all other obligations in respect of (a) all
          indebtedness of such person for borrowed money (including all indebtedness
          evidenced by notes, bonds, debentures or other securities), (b) all
          obligations (other than trade payables) incurred by such person in the
          acquisition (whether by way of purchase, merger, consolidation or otherwise
          and whether by such person or another person) of any business, real
          property or other assets, (c) all reimbursement obligations of such
          person with respect to letters of credit, bankers’ acceptances
          or similar facilities issued for the account of such person, (d) all
          capital lease obligations of such person, (e) all net obligations of
          such person under interest rate swap, currency exchange or similar agreements
          of such person and (f) all obligations and other liabilities, contingent
          or otherwise, under any lease or related document, including a purchase
          agreement, conditional sale or other title retention agreement, in connection
          with the lease of real property or improvements thereon (or any personal
          property included as part of any such lease) which provides that such
          person is contractually obligated to purchase or cause a third party
          to purchase the leased property or pay an agreed upon residual value
          of the leased property, including such person’s obligations under
          such lease or related document to purchase or cause a third party to
          purchase such leased property or pay an agreed upon residual value of
          the leased property to the lessor, (g) guarantees by such person of
          indebtedness described in clauses (a) through (f) of another
          person, and (h) all renewals, extensions, refundings, deferrals, restructurings,
          amendments and modifications of any indebtedness, obligation, guarantee
          or liability of the kind described in clauses (a) through (g).

             “Representative”
          means the indenture trustee or other trustee, agent or representative
          for an issue of Senior Indebtedness.

             “Senior Indebtedness”
          means all Indebtedness of the Company outstanding at any time, except
          the Securities, Indebtedness that by its terms provides that it shall
          not be “senior” in right of payment to the Securities or Indebtedness
          that by its terms provides that it shall be “pari passu” or
          “junior” in right of payment to the Securities.  Senior
          Indebtedness does not include Indebtedness for trade payables or any
          account payable or other accrued current liability or obligation incurred
          in the ordinary course of business in connection with the obtaining
          of materials or services.  In addition, Senior Indebtedness does
          not include Indebtedness of the Company to any of its Subsidiaries.

        11.03   LIQUIDATION; DISSOLUTION; BANKRUPTCY.
             In the event of any insolvency
          or bankruptcy case or proceeding, or any receivership, liquidation,
          reorganization or other similar case or proceeding in connection therewith,
          relating to the Company or to its assets, or any liquidation, dissolution
          or other winding-up of the Company, whether voluntary or involuntary,
          or any assignment for the benefit of creditors or other marshaling of
          assets or liabilities of the Company (except in connection with the
        

        
          
        consolidation or merger of the Company or its liquidation or dissolution
          following the conveyance, transfer or lease of its properties and assets
          substantially upon the terms and conditions described in Article
          V), the holders of Senior Indebtedness will be entitled to
          receive payment in full in cash or cash equivalents of all Senior Indebtedness,
          or provision shall be made for such payment in full, before the Securityholders
          will be entitled to receive any payment or distribution of any kind
          or character on account of principal of, or premium, if any, or interest
          or liquidated damages on the Securities; and any payment or distribution
          of assets of the Company of any kind or character, whether in cash,
          property or securities, by set-off or otherwise, to which the Securityholders
          or the Trustee would be entitled but for the provisions of this Article
          XI shall be paid by the liquidating trustee or agent or other person
          making such payment or distribution, whether a trustee in bankruptcy,
          a receiver or liquidating trustee or otherwise, directly to the holders
          of Senior Indebtedness or their representative or representatives ratably
          according to the aggregate amounts remaining unpaid on account of the
          Senior Indebtedness to the extent necessary to make payment in full
          of all Senior Indebtedness remaining unpaid, after giving effect to
          any concurrent payment or distribution to the holders of such Senior
          Indebtedness.  

      11.04   DEFAULT ON DESIGNATED SENIOR INDEBTEDNESS.
           No payment or distribution of
          any assets of the Company of any kind or character, whether in cash,
          property or securities, may be made by or on behalf of the Company on
          account of the principal of, or premium, if any, or interest on the
          Securities or on account of the purchase, redemption or other acquisition
          of Securities, upon the occurrence of any Payment Default in respect
          of Designated Senior Indebtedness until such payment default shall have
          been cured or waived in writing or shall have ceased to exist or such
          Designated Senior Indebtedness shall have been discharged or paid in
          full in cash or cash equivalents.  A “Payment Default”
          shall mean a default in payment, whether at scheduled maturity, upon
          a scheduled installment, by acceleration or otherwise, of principal
          of, or premium, if any, or interest on Designated Senior Indebtedness
          beyond any applicable grace period.  

             No payment or distribution of
          any assets of the Company of any kind or character, whether in cash,
          property or securities, may be made by or on behalf of the Company on
          account of principal of, or premium, if any, or interest on the Securities
          or on account of the purchase, redemption or other acquisition of Securities
          for the period specified below (a “Payment Blockage Period”),
          upon the occurrence of any default or event of default with respect
          to any Designated Senior Indebtedness, other than a Payment Default,
          pursuant to which the maturity thereof may be accelerated (a “Non-Payment
          Default”) and receipt by the Trustee of written notice thereof
          from the Company or a Representative with respect to such Designated
          Senior Indebtedness (a “Payment Blockage Notice”).

             The Payment Blockage Period shall
          mean the period (each a “Payment Blockage Period”)
          that shall commence upon receipt by the Trustee of the Payment Blockage
          Notice, and shall end on the earliest of:

        
               (i)        
            179 days thereafter, (provided that any Designated Senior Indebtedness
            to which the non-payment default relates shall not theretofore have
            been accelerated);

        

        
          
        
               (ii)       
            the date on which such Non-Payment Default is cured, waived or ceases
            to exist;

               (iii)      
            the date on which such Designated Senior Indebtedness is discharged
            or paid in full; or

               (iv)      
            the date on which such Payment Blockage Period shall have been terminated
            by written notice to the Trustee from the Representative initiating
            such Payment Blockage Period, after which the Company will resume
            making any and all required payments in respect of the Securities,
            including any missed payments.  In any event, not more than one
            Payment Blockage Period may be commenced during any period of 365
            consecutive days.  No Non-Payment Default that existed or was
            continuing on the date of the commencement of any Payment Blockage
            Period will be, or can be made, the basis for the commencement of
            a subsequent Payment Blockage Period, unless such Non-Payment default
            has been cured or waived for a period of not less than 90 consecutive
            days subsequent to the commencement of such initial Payment Blockage
            Period.

        

        11.05   ACCELERATION OF SECURITIES.
             If payment of the Securities is
          accelerated because of an Event of Default, the Company shall promptly
          notify holders of Senior Indebtedness of the acceleration.

        11.06   WHEN DISTRIBUTION MUST BE PAID OVER.
             In the event that, notwithstanding
          the provisions of Sections 11.03 and 11.04, any payment or distribution
          of any kind or character, whether in cash, property or securities, shall
          be received by the Trustee or any Holder which is prohibited by such
          provisions, then and in such event such payment shall be held in trust
          for the benefit of, and shall be paid over and delivered by such Trustee
          or Holder to, the trustee or Representative with respect to holders
          of Senior Indebtedness, as their interest may appear, for application
          to Senior Indebtedness remaining unpaid until all such Senior Indebtedness
          has been paid in full in cash or cash equivalents after giving effect
          to any concurrent distribution to or for the holders of Senior Indebtedness.

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

        11.07   NOTICE BY THE COMPANY.
             The Company shall promptly notify
          the Trustee and the Paying Agent of any facts known to the Company that
          would cause a payment of any obligations with respect to the Securities
          to 

        
          
        violate this Article XI, but failure to give such notice shall
          not affect the subordination of the Securities to the Senior Indebtedness
          as provided in this Article XI.

        11.08   SUBROGATION.
             After all Senior Indebtedness
          is paid in full and until the Securities are paid in full, Securityholders
          shall be subrogated (equally and ratably with all other Indebtedness
          that is equal in right of payment to the Securities) to the rights of
          holders of Senior Indebtedness to receive distributions applicable to
          Senior Indebtedness to the extent that distributions otherwise payable
          to the Securityholders have been applied to the payment of Senior Indebtedness. 
          A distribution made under this Article XI, to holders of Senior
          Indebtedness that otherwise would have been made to Securityholders
          is not, as between the Company and Securityholders a payment by the
          Company of the Securities.

        11.09   RELATIVE RIGHTS.
             This Article XI, defines
          the relative rights of Holders and holders of Senior Indebtedness. 
          Nothing in this Indenture shall:  (i) impair, as between the Company
          and Holders, the obligation of the Company, which is absolute and unconditional,
          to pay principal of and interest on the Securities in accordance with
          their terms; (ii) affect the relative rights of Holders and creditors
          of Holders other than their rights in relation to holders of Senior
          Indebtedness; or (iii) prevent the Trustee or any Holder from exercising
          its available remedies upon a Default or Event of Default, subject to
          the rights of holders and owners of Senior Indebtedness to receive distributions
          and payments otherwise payable to Holders of Securities.  If the
          Company fails because of this Article XI, to pay principal of
          or interest on a Security on the Maturity Date, the failure is still
          a Default or Event of Default.

        11.10   SUBORDINATION MAY NOT BE IMPAIRED
          BY THE COMPANY.
             No right of any holder of Senior
          Indebtedness to enforce the subordination of the Indebtedness evidenced
          by the Securities shall be impaired by any act or failure to act by
          the Company or any Holder or by the failure of the Company or any Holder
          to comply with this Indenture.

             Without in any way limiting the
          generality of this Section 11.10, the holders of Senior Indebtedness
          may, at any time and from time to time, without the consent of or notice
          to the Trustee or the Holders, without incurring responsibility to the
          Trustee or the Holders and without impairing or releasing the subordination
          provided in this Article XI, or the obligations hereunder of
          the Holders to the holders of Senior Indebtedness, do any one or more
          of the following: (a) change the manner, place or terms of payment or
          extend the time of payment of, or renew or alter, Senior Indebtedness,
          or any instrument evidencing the same or any agreement under which Senior
          Indebtedness is outstanding or secured; (b) sell, exchange, release,
          foreclose against or otherwise deal with any property pledged, mortgaged
          or otherwise securing Senior Indebtedness; (c) release any person liable
          in any manner for the collection of Senior Indebtedness; and (d) exercise
          or refrain from exercising any rights against the Company, and Subsidiary
          thereof or any other person.

        

        
          
        11.11   DISTRIBUTION OR NOTICE TO REPRESENTATIVE.
             Whenever a distribution is to
          be made or a notice given to holders of any Senior Indebtedness, the
          distribution may be made and the notice given to their trustee or Representative.

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

        11.12   RIGHTS OF TRUSTEE AND PAYING AGENT.
             Notwithstanding the provisions
          of this Article XI, or any other provision of this Indenture,
          the Trustee shall not be charged with knowledge of the existence of
          any facts that would prohibit the making of any payment or distribution
          by the Trustee, and the Trustee and the Paying Agent may continue to
          make payments on the Securities, unless a Responsible Officer of the
          Trustee shall have received at its Corporate Trust Office of the Trustee
          at least three Business Days prior to the date of such payment written
          notice of facts that would cause the payment of any obligations with
          respect to the Securities to violate this Article XI.  Only
          the Company or a trustee or Representative with respect to Senior Indebtedness
          may give the notice.  Nothing in this Article XI, shall
          impair the claims of, or payments to, the Trustee under or pursuant
          to Section 7.07.

             The Trustee in its individual
          or any other capacity may hold Senior Indebtedness with the same rights
          it would have if it were not Trustee.

      XII.           
        MISCELLANEOUS 

      
        12.01   TRUST INDENTURE ACT CONTROLS.
        
     If any provision of this Indenture
          limits, qualifies or conflicts with another provision which is required
          to be included in this Indenture by the TIA, the required provision
          of the TIA shall control.

        12.02   NOTICES.
             Any notice or communication by
          the Company or the Trustee to one or both of the others is duly given
          if in writing and delivered in person, mailed by first-class mail or
          by express delivery to the other parties’ addresses stated in this
          Section 12.02.  The Company or the Trustee by notice
          to the others may designate additional or different addresses for subsequent
          notices or communications.

        
          
             Any notice or communication to
          a Securityholder shall be mailed to its address shown on the register
          kept by the Registrar.  Failure to mail a notice or communication
          to a Securityholder or any defect in it shall not affect its sufficiency
          with respect to other Securityholders.

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

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

             All notices or communications
          shall be in writing.

             The Company’s address is:

             Bradley Pharmaceuticals, Inc.

               383 Route 46 West

               Fairfield, New Jersey  07004

               Attention:  R. Brent Lenczycki

             The Trustee’s address is:

             American Stock
          Transfer & Trust Company

               59 Maiden
          Lane

               New York,
          New York 10038

               Attention:
          Corporate Trust Administration

        12.03   COMMUNICATION BY HOLDERS WITH OTHER
          HOLDERS.
             Securityholders may communicate
          pursuant to TIA § 312(b) with other Securityholders with respect
          to their rights under this Indenture or the Securities.  The Company,
          the Trustee, the Registrar and anyone else shall have the protection
          of TIA § 312(c).

        12.04   CERTIFICATE AND OPINION AS TO CONDITIONS
          PRECEDENT.
             Upon any request or application
          by the Company to the Trustee to take any action under this Indenture,
          the Company shall furnish to the Trustee:

        
               (i)        
            an Officers’ Certificate stating that, in the opinion of the
            signers, all conditions precedent, if any, provided for in this Indenture
            relating to the proposed action have been complied with; and

               (ii)       
            an Opinion of Counsel stating that, in the opinion of such counsel,
            all such conditions precedent have been complied with.

        

             Each signer of an Officers’
          Certificate or an Opinion of Counsel may (if so stated) rely, effectively,
          upon an Opinion of Counsel as to legal matters and an Officers’
          Certificate as to factual matters if such signer reasonably and in good
          faith believes in the accuracy of the document relied upon.

        
          
        12.05   STATEMENTS REQUIRED IN CERTIFICATE
          OR OPINION.
             Each Officers’ Certificate
          or Opinion of Counsel with respect to compliance with a condition or
          covenant provided for in this Indenture shall include:

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

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

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

               (iv)      
            a statement as to whether or not, in the opinion of such person, such
            condition or covenant has been complied with.

        

        12.06   RULES BY TRUSTEE AND AGENTS.
             The Trustee may make reasonable
          rules for action by or at a meeting of Securityholders.  The Registrar,
          Paying Agent or Conversion Agent may make reasonable rules and set reasonable
          requirements for their respective functions.

        12.07   LEGAL HOLIDAYS.
             A “Legal Holiday”
          is a Saturday, a Sunday or a day on which banking institutions are not
          required to be open in the City of New York, in the State of New York
          or in the city in which the Trustee administers its corporate trust
          business.  If a payment date is a Legal Holiday at a place of payment,
          payment may be made at that place on the next succeeding day that is
          not a Legal Holiday, and no interest shall accrue on that payment for
          the intervening period.

             A “Business Day”
          is a day other than a Legal Holiday.

        12.08   DUPLICATE ORIGINALS.
             The parties may sign any number
          of copies of this Indenture.  Each signed copy shall be an original,
          but all of them together represent the same agreement.  Delivery
          of an executed counterpart by facsimile shall be effective as delivery
          of a manually executed counterpart thereof.

        12.09   GOVERNING LAW.
             The laws of the State of New York,
          without regard to principles of conflicts of law, shall govern this
          Indenture and the Securities.

        
          
        12.10   NO ADVERSE INTERPRETATION OF OTHER
          AGREEMENTS.
             This Indenture may not be used
          to interpret another indenture, loan or debt agreement of the Company
          or any of its Subsidiaries.  Any such indenture, loan or debt agreement
          may not be used to interpret this Indenture.

        12.11   SUCCESSORS.
             All agreements of the Company
          in this Indenture and the Securities shall bind their respective successors. 
          All agreements of the Trustee in this Indenture shall bind its successors.

        12.12   SEPARABILITY.
             In case any provision in this
          Indenture or in the Securities shall be invalid, illegal or unenforceable,
          the validity, legality and enforceability of the remaining provisions
          shall not in any way be affected or impaired thereby and a Holder shall
          have no claim therefor against any party hereto.

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

        
          
        

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

                                                                     
            BRADLEY PHARMACEUTICALS, INC.

           

                                                                     
            By:    /s/ R. Brent Lenczycki                             
            

                                                                             
            Name:  R. Brent Lenczycki

                                                                             
            Title:     Chief Financial Officer

           

                                                                     
            AMERICAN STOCK TRANSFER & TRUST 

                                                                       
            COMPANY

           

                                                                     
            By:    /s/ Herbert J. Lemmer                             
            

                                                                       
                  Name:  Herbert J. Lemmer

                                                                        
                 Title:     Vice
            President

          
           
        

        

           EXHIBIT A

        [Face of Security]

        BRADLEY PHARMACEUTICALS, INC.

        [Certificate No. _______]

        [INSERT PRIVATE PLACEMENT LEGEND AND GLOBAL SECURITY LEGEND
          AS REQUIRED]

        4% Convertible Senior Subordinated Note due 2013

          CUSIP No. ____________

             Bradley Pharmaceuticals, Inc., a Delaware
          corporation (herein called the “Company”), for value
          received, hereby promises to pay to Cede & Co. or registered assigns,
          the principal sum of _________________ Dollars ($_______________) on
          June 15, 2013, and to pay interest thereon, as provided on the reverse
          hereof, until the principal and any unpaid and accrued interest is paid
          or duly provided for.  The right to payment of the principal and
          all other amounts due with respect hereto is subordinated to the rights
          of Senior Indebtedness as set forth in the Indenture referred to on
          the reverse side hereof.

             Interest Payment Dates:  June 15
          and December 15, with the first payment to be made on December 15, 2003.

             Record Dates:  June 1 and December
          1.

             The provisions on the back of this certificate
          are incorporated as if set forth on the face hereof.

             IN WITNESS WHEREOF, BRADLEY PHARMACEUTICALS,
          INC. has caused this instrument to be duly signed.

                                                                         BRADLEY
          PHARMACEUTICALS, INC.

         

                                                                         By:                                                                  
          

                                                                                Name:

                                                                                Title:

        Dated:  _______________

        
        
        TRUSTEE’S CERTIFICATE OF AUTHENTICATION

        This is one of the Securities referred to 

          in the within-mentioned Indenture.

        AMERICAN STOCK TRANSFER & TRUST COMPANY, as
          Trustee

        By:                                                                  
          

        Authorized Signatory

        Dated:  ________________

        
        
        [REVERSE OF SECURITY]

          

          BRADLEY PHARMACEUTICALS, INC.

          

          4% Convertible Senior Subordinated Note due 2013

             1.             
          Interest.  Bradley Pharmaceuticals, Inc., a Delaware
          corporation (the “Company”), promises to pay interest
          on the principal amount of this Security at the rate per annum
          shown above.  The Company will pay interest semi-annually on June
          15 and December 15 of each year, with the first payment to be made on
          December 15, 2003.  Interest on the Securities will accrue on the
          principal amount from the most recent date to which interest has been
          paid or provided for or, if no interest has been paid, from June 11,
          2003.  Interest will be computed on the basis of a 360-day year
          of twelve 30-day months.

             2.             
          Maturity.  The Securities will mature on June 15,
          2013.

             3.             
          Method of Payment.  The Company will pay interest
          on the Securities (except defaulted interest) to the persons who are
          registered Holders of Securities at the close of business on the record
          date set forth on the face of this Security next preceding the applicable
          interest payment date.  Holders must surrender Securities to a
          Paying Agent to collect the principal, Redemption Price, Option Purchase
          Price or Repurchase Price of the Securities, plus, if applicable, accrued
          and unpaid interest payable, if any, as herein provided upon Redemption,
          Repurchase at Holder’s Option, Repurchase Upon Repurchase Event
          or Maturity, as the case may be.  The Company will pay all amounts
          due with respect to the Securities in money of the United States that
          at the time of payment is legal tender for payment of public and private
          debts.  If this Security is in global form, the Company will pay
          interest on the Securities by wire transfer of immediately available
          funds to the account specified by the Holder.  With respect to
          securities held other than in global form, the Company will make payments
          by wire transfer of immediately available funds to the account specified
          by the Holders thereof or, if no such account is specified with respect
          to a Holder, by mailing a check to the Holder’s registered address.

             4.             
          Paying Agent, Registrar, Conversion Agent.  Initially,
          American Stock Transfer & Trust Company (the “Trustee”)
          will act as Paying Agent, Registrar and Conversion Agent.  The
          Company may change any Paying Agent, Registrar or Conversion Agent without
          notice.  

             5.             
          Indenture.  The Company issued the Securities under
          an Indenture dated as of  June 11, 2003 (the “Indenture”)
          between the Company and the Trustee.  The terms of the Securities
          include those stated in the Indenture and those made part of the Indenture
          by reference to the Trust Indenture Act of 1939 (15 U.S. Code §§ 77aaa-77bbbb)
          (the “Act”) as in effect on the date of the Indenture. 
          The Securities are subject to all such terms, and Securityholders are
          referred to the Indenture and the Act for a statement of such terms. 
          The Securities are general unsecured senior subordinated obligations
          of the Company limited to $25,000,000 aggregate principal amount (up
          to $33,000,000 if the Initial Purchasers have elected to exercise the
          Initial Purchasers’ Option to purchase up to an additional $8,000,000
          of the Securities), except as 

        
          
        otherwise provided in the Indenture.  Terms used
          herein which are defined in the Indenture have the meanings assigned
          to them in the Indenture.

             6.             
          Optional Redemption.  Subject to the terms and conditions
          of the Indenture, the Securities will be redeemable prior to maturity
          at the option of the Company, in whole or in part, at any time on or
          after June 15, 2008 (the date of such time, the “Redemption
          Date”) at a redemption price equal to 100% of the principal
          amount of the Securities to be redeemed, plus any accrued and unpaid
          interest to the Redemption Date; provided that if such Redemption
          Date is also an interest payment date, such accrued and unpaid interest
          will be payable in the ordinary course to the holder of record on the
          relevant record date.

             7.             
          Notice of Redemption.  Notice of redemption will
          be mailed at least 30 days but not more than 60 days before the Redemption
          Date to each Holder of Securities to be redeemed at its registered address. 
          Securities in denominations larger than $1,000 principal amount may
          be redeemed in part but only in integral multiples of $1,000 principal
          amount.  On and after the Redemption Date, interest will cease
          to accrue on Securities or portions of them called for redemption (except
          to the extent the Company defaults in the payment of the Redemption
          Price or accrued and unpaid interest, if any, to the Redemption Date).

             8.             
          Purchase by the Company at the Option of the Holder. 
          Subject to the terms and conditions of the Indenture, the Company shall
          become obligated to purchase, at the option of the Holder, the Securities
          held by such Holder on June 15, 2008 (the “Option Purchase Date”)
          at an Option Purchase Price of 100% of the principal amount of Securities
          to be purchased, plus accrued and unpaid interest to the Option Purchase
          Date, upon delivery of a Purchase Notice containing the information
          set forth in the Indenture, at any time from the opening of business
          on the date that is 20 Business Days prior to the Option Purchase Date
          until the close of business on the day immediately preceding such Option
          Purchase Date and upon delivery of the Securities to the Paying Agent
          by the Holder as set forth in the Indenture.

             Holders have the right to withdraw any
          Purchase Notice by delivering to the Paying Agent a written notice of
          withdrawal in accordance with the provisions of the Indenture.

             9.             
          Repurchase at Option of Holder Upon a Repurchase Event. 
          Subject to the terms and conditions of the Indenture, in the event of
          a Repurchase Event, then each Holder of the Securities shall have the
          right, at the Holder’s option to require the Company to repurchase
          such Holder’s Securities including any portion thereof which is
          $1,000 in principal amount or any integral multiple thereof on a date
          (the “Repurchase Date”) no later than 30 days after
          the date on which notice of such Repurchase Event is mailed in accordance
          with the immediately succeeding paragraph, at a price equal to 100%
          of the outstanding principal amount of the Securities tendered, plus
          accrued and unpaid interest to the Repurchase Date.

             A “Repurchase Event”
          of the Company shall be deemed to have occurred upon the occurrence
          of either a “Change in Control” or a “Termination of
          Trading.”

             A “Change in Control”
          of the Company shall be deemed to have occurred at such time as: 
        

        
          
        
               (i)        
            any “person” or “group” (as such terms are used
            for purposes of Sections 13(d) and 14(d) of the Exchange Act), is
            or becomes the “beneficial owner” (as such term is used
            in Rule 13d-3 under the Exchange Act), directly or indirectly, of
            50% or more of the total voting power of all classes of the Company’s
            Capital Stock entitled to vote generally in the election of directors
            (other than Daniel Glassman, Iris Glassman, Bradley Glassman, trusts
            for their benefit and heirs, lineal descendants, legatees and legal
            representatives of any of the foregoing and the trustee of any bona
            fide trust of which one or more of the foregoing are the sole
            beneficiaries or the grantors thereof, unless, after giving effect
            to such transaction, (1) the Company’s Common Stock ceases to
            be listed on a United States national securities exchange or approved
            for quotation on the Nasdaq National Market or any similar United
            States system for automated dissemination of quotations of securities
            prices or (2) less than 40% of the outstanding shares of the Company’s
            Common Stock remain beneficially owned by persons other than the Glassman
            family); or

               (ii)       
            any “person” or “group” (as such terms are used
            for purposes of Sections 13(d) and 14(d) of the Exchange Act) is or
            becomes the “beneficial owner” (as such term is used in
            Rule 13d-3 under the Exchange Act), directly or indirectly, of 50%
            or more of the total voting power of the Company’s Class B common
            stock (other than Daniel Glassman, Iris Glassman, Bradley Glassman,
            trusts for their benefit and heirs, lineal descendants, legatees and
            legal representatives of any of the foregoing and the trustee of any
            bona fide trust of which one or more of the foregoing are the
            sole beneficiaries or the grantors thereof); or

               (iii)      
            at any time the following persons cease for any reason to constitute
            a majority of the Company’s Board of Directors:

          
                 (1)       
              individuals who on the Issue Date constituted the Company’s
              Board of Directors; and

                 (2)       
              any new directors whose election by the Company’s Board of
              Directors or whose nomination for election by the Company’s
              stockholders was approved by at least a majority of the directors
              then still in office who were either directors on the Issue Date
              or whose election or nomination for election was previously so approved;
              or

          

               (iv)      
            The Company consolidates with or merges with or into, another person
            or any person consolidates with, or merges with or into the Company,
            in any such event other than pursuant to a transaction in which the
            persons that “beneficially owned,” directly or indirectly,
            the shares of the Company’s Voting Stock immediately prior to
            such transaction, “beneficially own,” directly or indirectly
            shares of the Company’s Voting Stock representing at least a
            majority of the total voting power of all outstanding classes of Voting
            Stock of the continuing or surviving corporation in substantially
            the same proportion as such ownership prior to the transaction; or

        

        
          
        
               (v)       
            the sale, lease, transfer or other conveyance or disposition of all
            or substantially all of the assets or property of the Company to any
            “person” or “group” (as such terms are used in
            Sections 13(d) and 14(d) of the Exchange Act), including any group
            acting for the purpose of acquiring, holding, or disposing of securities
            within the meaning of Rule 13d-5(b)(1) under the Exchange Act; or

               (vi)      
            the Company is liquidated or dissolved or the holders of the Company’s
            Capital Stock approve any plan or proposal for the liquidation or
            dissolution of the Company.

        

             A “Termination of Trading”
          shall occur if the Common Stock of the Company (or other common stock
          into which the Securities are then convertible) is neither listed for
          trading on a U.S. national securities exchange nor approved for trading
          on an established automated over-the-counter trading market in the United
          States.

             10.   
                Conversion. 
          A holder may convert his or her Security into Common Stock of the Company
          at any time prior to the close of business on June 15, 2013, or if the
          Security is called for redemption by the Company, the Holder may convert
          it at any time before the close of business on the business day immediately
          preceding the date fixed for such redemption.

             A Holder shall not have the right to
          convert any portion of the Securities to the extent that after giving
          effect to such conversion the Holder (together with the Holder's Affiliates)
          would beneficially own in excess of 4.99% of the number of shares of
          Common Stock outstanding immediately after giving effect to such conversion.

             The initial Conversion Rate is 50.0000
          shares of Common Stock per $1,000 principal amount of Securities, or
          an effective initial Conversion Price of $20.00 per share, subject to
          adjustment as specified in the Indenture.  The Company will deliver
          a check in lieu of any fractional share.  On conversion no payment
          or adjustment for any unpaid and accrued interest with respect to the
          Securities will be made.  If a Holder surrenders a Security for
          conversion between the record date for the payment of interest and prior
          to the next interest payment date, such Security, when surrendered for
          conversion, must be accompanied by payment of an amount equal to the
          interest thereon which the registered Holder on such record date is
          to receive, unless the Securities have been called for redemption as
          described in the Indenture.

             Securities as to which a Purchase Notice
          has been given may be converted only if the applicable Purchase Notice
          has been withdrawn in accordance with the terms of this Indenture.

             To convert a Security, a Holder must
          (1) complete and sign the Conversion Notice, with appropriate signature
          guarantee, on the back of the Security, (2) surrender the Security to
          a Conversion Agent, (3) furnish appropriate endorsements and transfer
          documents if required by the Registrar or Conversion Agent, (4) pay
          the amount of interest, if any, the Holder may be paid as provided in
          the last sentence of the above paragraph and (5) pay any transfer or
          similar tax if required.  A Holder may convert a portion of a Security
          if the portion is $1,000 principal amount or an integral multiple of
          $1,000 principal amount.

             Any shares issued upon conversion of
          a Security shall bear the Private Placement Legend until after the second
          anniversary of the later of the Issue Date and the last date on which
          the 

        
          
        Company or any Affiliate of the Company was the owner of such shares
          or the Security (or any predecessor security) from which such shares
          were converted (or such shorter period of time as permitted by Rule
          144(k) under the Securities Act or any successor provision thereunder)
          (or such longer period of time as may be required under the Securities
          Act or applicable state securities laws in the opinion of counsel for
          the Company, unless otherwise agreed by the Company and the Holder thereof).

             11.   
                Subordination. 
          The Securities are subordinated in right of payment, in the manner and
          to the extent set forth in the Indenture, to the prior payment in full
          of all Senior Indebtedness.  Each Holder by accepting a Security
          agrees to such subordination and authorizes the Trustee to give it effect.

             12.   
                Denominations,
          Transfer, Exchange.  The Securities are in registered form
          without coupons in denominations of $1,000 principal amount and integral
          multiples of $1,000 principal amount.  The transfer of Securities
          may be registered and Securities may be exchanged as provided in the
          Indenture.  The Registrar may require a Holder, among other things,
          to furnish appropriate endorsements and transfer documents.  No
          service charge shall be made for any such registration of transfer or
          exchange, but the Company may require payment of a sum sufficient to
          cover any tax or other governmental charge payable in connection therewith. 
          The Registrar need not exchange or register the transfer of any Security
          selected for redemption in whole or in part, except the unredeemed portion
          of Securities to be redeemed in part.  Also, it need not exchange
          or register the transfer of any Securities for a period of 15 days before
          the mailing of a notice of redemption of the Securities selected to
          be redeemed and in certain other circumstances provided in the Indenture.

             13.   
                Persons Deemed
          Owners.  The registered Holder of a Security may be treated
          as the owner of such Security for all purposes.

             14.   
                Merger or Consolidation. 
          The Company shall not consolidate with or merge with or into any other
          person or sell, convey, transfer, lease or otherwise dispose of its
          properties and assets substantially as an entirety to another person
          (whether in a single or series of related transactions) unless (i) such
          other person is a corporation organized under the laws of the United
          States, any State thereof or the District of Columbia; (ii) such person
          assumes by supplemental indenture all the obligations of the Company,
          under the Securities and this Indenture; and (iii) immediately after
          giving effect to the transaction, no Default or Event of Default shall
          exist.

             15.   
                Amendments,
          Supplements and Waivers.  Subject to certain exceptions, the
          Indenture or the Securities may be amended or supplemented with the
          consent of the Holders of at least a majority in aggregate principal
          amount of the Securities then outstanding, and any existing Default
          or Event of Default may be waived with the consent of the Holders of
          a majority in aggregate principal amount of the Securities then outstanding. 
          In accordance with the terms of the Indenture, without notice to or
          the consent of any Securityholder, the Indenture or the Securities may
          be amended or supplemented to cure any ambiguity, defect, omission or
          inconsistency, to comply with Sections 5.01 and 10.12
          of the Indenture, to make any changes or modifications to the Indenture
          necessary in connection with the registration of the Securities under
          the Securities Act pursuant to the Registration Rights Agreement and
          the qualification of the Indenture under the TIA, to secure the obligations
          of the Company in respect of the 

        
          
        Securities, or to add to covenants of the Company described
          in the Indenture for the benefit of Securityholders or to surrender
          any right or power conferred upon the Company or to make provisions
          with respect to adjustments to the Conversion Rate as required by the
          Indenture or to increase the Conversion Rate in accordance with the
          Indenture.

             16.   
                Defaults and
          Remedies.  As more fully described in the Indenture, an Event
          of Default includes the occurrence of any of the following: default
          in payment of principal, when due, whether at maturity, upon redemption,
          upon exercise by the Holder of its right to require the Company to repurchase
          Securities on the Option Purchase Date, upon exercise of a Repurchase
          Right or otherwise; default for 30 days in payment of interest or liquidated
          damages; failure to provide timely notice of a Repurchase Event or Repurchase
          at Holder’s Option, as required; failure by the Company for 30
          days after notice to it to comply with any of its other agreements in
          the Indenture or the Securities; certain payment defaults or the acceleration
          of other Indebtedness of the Company and its Subsidiaries; failure by
          the Company or any of its Subsidiaries to pay final judgments for certain
          amounts, which judgments are not paid, discharged, or stayed, for a
          period of 30 days; and certain events of bankruptcy or insolvency involving
          the Company or its Subsidiaries.  If any Event of Default occurs
          and is continuing, the Trustee or the Holders of at least 25% in aggregate
          principal amount of the Securities then outstanding may declare all
          the Securities to be due and payable immediately, except as provided
          in the Indenture.  If an Event of Default specified in Section 6.01(vii)
          or (viii) of the Indenture with respect to the Company occurs,
          the principal of and accrued interest on all the Securities shall ipso
          facto become and be immediately due and payable without any declaration
          or other act on the part of the Trustee or any Securityholder. 
          Securityholders may not enforce the Indenture or the Securities except
          as provided in the Indenture.  The Trustee may require indemnity
          reasonably satisfactory to it before it enforces the Indenture or the
          Securities.  Subject to certain limitations, Holders of a majority
          in principal amount of the Securities then outstanding may direct the
          Trustee in its exercise of any trust or power.  The Trustee may
          withhold from Securityholders notice of any continuing Default or Event
          of Default (except a Default or Event of Default in payment) if it determines
          that withholding notice is in the interests of the Securityholders. 
          The Company must furnish an annual compliance certificate to the Trustee.

             17.   
                Registration
          Rights.  The Holders are entitled to registration rights as
          set forth in the Registration Rights Agreement (as defined in the Indenture). 
          The Holders shall be entitled to receive liquidated damages in certain
          circumstances, all as set forth in the Registration Rights Agreement.

             18.   
                Trustee Dealings
          with the Company.  The Trustee under the Indenture, or any
          banking institution serving as successor Trustee thereunder, in its
          individual or any other capacity, may make loans to, accept deposits
          from, and perform services for the Company or its Affiliates, and may
          otherwise deal with the Company or its Affiliates, as if it were not
          Trustee.

             19.   
                No Recourse
          Against Others.  No past, present or future director, officer,
          employee or stockholder, as such, of the Company shall have any liability
          for any obligations of the Company under the Securities or the Indenture
          or for any claim based on, in respect of or by reason of such obligations
          or their creation.  Each Securityholder by accepting a Security
          waives and releases all such liability.  The waiver and release
          are part of the consideration for the issue of the Securities.

        
          
             20.   
                Authentication. 
          This Security shall not be valid until authenticated by the manual signature
          of the Trustee or an authenticating agent.

             21.   
                Abbreviations. 
          Customary abbreviations may be used in the name of a Securityholder
          or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants
          by the entirety), JT TEN (= joint tenants with right of survivorship
          and not as tenants in common), CUST (= Custodian), and U/G/M/A (Uniform
          Gifts to Minors Act).

             THE COMPANY WILL FURNISH TO ANY SECURITYHOLDER
          UPON WRITTEN REQUEST AND WITHOUT CHARGE A COPY OF THE INDENTURE AND
          THE REGISTRATION RIGHTS AGREEMENT.  REQUESTS MAY BE MADE TO:

         

        Bradley Pharmaceuticals, Inc.

          383 Route 46 West

          Fairfield, New Jersey  07004

          Attention: R. Brent Lenczycki, Chief Financial Officer

         

    

	
      [FORM OF ASSIGNMENT]

    
	
      I or we assign to

        

    	
       

    
	
      PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER

      
        

      

    	
       

    
	
      
        

        (please print or type name and address)

        

        
        

        

        

      

    
	 

      

      
        the within Security and all rights thereunder, and hereby
          irrevocably constitutes and appoints

      

    
	
       

        

        Attorney to transfer the Security on the books of the Company
        with full power of substitution in the premises.

    
	
      Dated:                                                               
        

    	
                                                                          
        

      NOTICE:  The signature on this assignment must correspond
        with the name as it appears upon the face of the within Security in every
        particular without alteration or enlargement or any change whatsoever
        and be guaranteed by a guarantor institution participating in the Securities
        Transfer Agents Medallion Program or in such other guarantee program acceptable
        to the Trustee.

        

    
	
      Signature Guarantee:                                                                                                                    
        

        

    
	
           In connection with any transfer
        of this Security occurring prior to the Resale Restriction Termination
        Date, the undersigned confirms that it is transferring this Security:

    

 	[Check One]

  (1)     ____       to the Company or any Subsidiary thereof;
    

      (2)     ____      
        pursuant to and in compliance with Rule 144A under the Securities
        Act of 1933, as amended; 

      
        
  (3)     ____       pursuant to the exemption from registration
    provided by Rule 144 under the Securities Act of 1933, as amended;
    

  (4)     ____       pursuant to the exemption from registration
    under the Securities Act of 1933, as amended, other than under Rule 144A or
    Rule 144; or

  (5)     ____       pursuant to an effective registration statement
    under the Securities Act of 1933, as amended.

  and unless the box below is checked, the undersigned confirms
    that such Security is not being transferred to an “affiliate” of the Company
    as defined in Rule 144 under the Securities Act of 1933, as amended (an “Affiliate”):

           |   |     The
        transferee is an Affiliate of the Company.

           Unless one of the items is checked,
        the Trustee will refuse to register any of the Securities evidenced by
        this certificate in the name of any person other than the registered Holder
        thereof; provided, however, that if item (3)
        or (4) is checked, the Company or the Trustee may require, prior to registering
        any such transfer of the Securities, in their sole discretion, such written
        legal opinions, certifications and other information as the Trustee or
        the Company have reasonably requested 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 of 1933, as amended.
        

           If the Security is transferred
        to an Affiliate, the restrictive legend must remain on the Security for
        two years following the date of the transfer.

           If none of the foregoing items
        are checked, the Trustee or Registrar shall not be obligated to register
        this Security in the name of any person other than the Holder hereof unless
        and until the conditions to any such transfer of registration set forth
        herein and in the Indenture shall have been satisfied.

      Dated:                                                 
            Signed:                            ___                             
        

                                                                                      
        (Sign exactly as name appears on the                                                                                 other
        side of this Security)

      Signature Guarantee:                                                                                                               
        

                                (All
        signatures must be guaranteed by a guarantor institution participating
        in                          
        the Securities Transfer Agents Medallion Program or in such other                           guarantee
        program acceptable to the Trustee.)

  

	
      CONVERSION NOTICE

        

        

    
	
      To convert this Security into Common Stock of the, check
        the box: |   |

    
	
       

    
	
      To convert only part of this Security, state the principal
        amount to be converted (must be in multiples of $1,000):

      $__________________

      If you want the stock certificate made out
        in another person’s name, fill in the form below:

        

                                                                                                                                                                   
        

        (Insert other person’s soc. sec. or tax I.D. no.)

        

                                                                                                                                                                   
        

        

                                                                                                                                                                   
        

        

                                                                                                                                                                   
        

        

                                                                                                                                                                   
        

        (Print or type other person’s name, address and zip code)

        

      _____________________________________________________________________________

      Date:______________    Signature(s):                                                                                                
        

                                                              
                                                                                                          
        

                                                                 (Sign
        exactly as your name(s) appear(s) on the other side of this                                                        
         Security)

      Signature(s) guaranteed by:                                                                                                                  
        

                                               (All
        signatures must be guaranteed by a guarantor institution participating
        in                                          the
        Securities Transfer Agents Medallion Program or in such other guarantee
                                                 program
        acceptable to the Trustee.)

      
        
      PURCHASE NOTICE

      Certificate No. of Security:  ___________

           If you want to elect to have this Security
        purchased by the Company pursuant to Section 3.08 of the Indenture,
        check the box:  |   |

           If you want to elect to have this Security
        purchased by the Company pursuant to Section 3.09 of the Indenture,
        check the box:  |   |

           If you want to elect to have only part
        of this Security purchased by the Company pursuant to Sections 3.08
        or 3.09 of the Indenture, as applicable, state the principal
        amount:

      $ __________________________________

        (in an integral multiple of $1,000)
    

	
        Date:__________________

      	
        Signature(s):                                                                 
          

          

          

                                                                                              
          

          (Sign exactly as your name(s) appear(s) on the other side of this Security)

      
	
        Signature(s) guaranteed by:

      	
                                                                                            
          

          (All signatures must be guaranteed by a guarantor institution participating
          in the Securities Transfer Agents Medallion Program or in such other
          guarantee program acceptable to the Trustee.)

      

  

	SCHEDULE A

  SCHEDULE OF EXCHANGES OF INTERESTS IN THE
    GLOBAL SECURITY

              The following exchanges of a part of
    this Global Security for an interest in another Global Security or for Securities
    in certificated form, have been made:

  	
        Date of Exchange

      	     	
        Amount of decrease in principal amount
          of this Global Security

      	     	
        Amount of increase in principal amount
          of this Global Security

      	     	
        Principal amount of 

          this Global Security following such
          decrease  (or increase)

      	     	
        Signature or authorized signatory of Trustee
          or Note Custodian

      
	
        

      

	
      

       a This is included in Global Securities
        only.
      
        
      
EXHIBIT B-1

      FORM OF PRIVATE PLACEMENT LEGEND

      THIS SECURITY AND THE COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY
        HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED
        (THE “SECURITIES ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED
        OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE FOLLOWING SENTENCE. 
        BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER

      (1)        REPRESENTS THAT IT AND ANY ACCOUNT
        FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL BUYER”
        (WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT
        EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT,
      

      (2)        AGREES THAT IT WILL NOT
        DIRECTLY OR INDIRECTLY ENGAGE IN ANY HEDGING TRANSACTIONS INVOLVING THIS
        SECURITY OR THE COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY
        UNLESS IN COMPLIANCE WITH THE SECURITIES ACT, AND

      (3)        AGREES FOR THE BENEFIT OF THE
        COMPANY THAT IT WILL NOT OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS
        SECURITY OR ANY BENEFICIAL INTEREST HEREIN, PRIOR TO THE DATE THAT IS
        THE LATER OF (X) TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE
        HEREOF AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE
        COMPANY WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF THIS SECURITY)
        OR SUCH SHORTER PERIOD OF TIME AS PERMITTED BY RULE 144(K) UNDER THE SECURITIES
        ACT OR ANY SUCCESSOR PROVISION THEREUNDER, AND (Y) SUCH LATER DATE, IF
        ANY, AS MAY BE REQUIRED BY APPLICABLE LAW, EXCEPT ONLY

      (A)       TO THE COMPANY OR ANY SUBSIDIARY THEREOF,

      (B)       PURSUANT TO A REGISTRATION STATEMENT
        WHICH HAS BECOME EFFECTIVE UNDER THE SECURITIES ACT,

      (C)       TO A QUALIFIED INSTITUTIONAL BUYER
        IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, OR

      (D)       PURSUANT TO AN EXEMPTION FROM REGISTRATION
        PROVIDED BY RULE 144 UNDER THE SECURITIES ACT OR ANY OTHER 

      
        
      AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
        ACT.

      PRIOR TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH (3)(C) ABOVE,
        A DULY COMPLETED AND SIGNED CERTIFICATE (THE FORM OF WHICH MAY BE OBTAINED
        FROM THE TRUSTEE) MUST BE DELIVERED TO THE TRUSTEE.  PRIOR TO THE
        REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH (3)(D) ABOVE, THE COMPANY
        AND THE TRUSTEE RESERVE THE RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL
        OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED
        IN ORDER TO DETERMINE THAT THE PROPOSED TRANSFER IS BEING MADE IN COMPLIANCE
        WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS.  NO
        REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM THE
        REGISTRATION REQUIREMENTS OF THE SECURITIES ACT.

      
        
      
        EXHIBIT B-2

        FORM OF LEGEND FOR GLOBAL SECURITY

             Any Global Security authenticated and
          delivered hereunder shall bear a legend (which would be in addition
          to any other legends required in the case of a Restricted Security)
          in substantially the following form:

      

      
             THIS SECURITY IS A GLOBAL SECURITY
          WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED
          IN THE NAME OF A DEPOSITARY OR A NOMINEE OF A DEPOSITARY OR A SUCCESSOR
          DEPOSITARY.  THIS SECURITY IS NOT EXCHANGEABLE FOR SECURITIES REGISTERED
          IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE EXCEPT
          IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER
          OF THIS SECURITY (OTHER THAN A TRANSFER OF THIS SECURITY AS A WHOLE
          BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF
          THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY)
          MAY BE REGISTERED EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE
          INDENTURE.

          

        

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

             TRANSFERS OF THIS GLOBAL SECURITY SHALL
          BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF CEDE
          & CO. OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE
          AND TRANSFERS OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO
          TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN SECTION
          2.16 OF THE INDENTURE.

      

      
      

        
          
      
        EXHIBIT C

        Form of Notice of Transfer Pursuant to Registration Statement

          Bradley Pharmaceuticals, Inc.

          383 Route 46 West

          Fairfield, New Jersey  07004

          Attention: R. Brent Lenczycki, Chief Financial Officer

        American Stock Transfer & Trust Company

          59 Maiden Lane

          New York, New York 10038

          Attention: Corporate Trust Administration

      

      
        Re:       Bradley Pharmaceuticals,
          Inc. (the “Company”) 4% Convertible Senior             Subordinated
          Notes due June 15, 2013 (the “Securities”)

      

      
        Ladies and Gentlemen:

             Please be advised that _____________
          has transferred $___________ aggregate principal amount of the Securities
          or __ shares of the Common Stock, $.01 par value per share, of the Company
          issuable on conversion of the Securities (“Stock”)
          pursuant to an effective Shelf Registration Statement on Form S-3 (File
          No. 333-________).

             We hereby certify that the prospectus
          delivery requirements, if any, of the Securities Act of 1933 as amended,
          have been satisfied with respect to the transfer described above and
          that the above-named beneficial owner of the Securities or Stock is
          named as a “Selling Security Holder” in the Prospectus
          dated _________, or in amendments or supplements thereto, and that the
          aggregate principal amount of the Securities, or number of shares of
          Stock transferred are [a portion of] the Securities or Stock listed
          in such Prospectus, as amended or supplemented, opposite such owner’s
          name.

        Very truly yours,

                                 _________________________

                                (Name)

      

      
      
      
        EXHIBIT D

        Form of Opinion of Counsel in Connection with Registration
          of Securities

        American Stock Transfer & Trust Company

          59 Maiden Lane

          New York, New York 10038

          Attention: Corporate Trust Administration

        Re:       Bradley Pharmaceuticals, Inc.
          (the “Company”) 4% Convertible Senior Subordinated
          Notes due 2013 (the “Securities”)

        Ladies and Gentlemen:

             Reference is made to the Securities issued
          pursuant to a certain indenture dated as of June 11, 2003 by and between
          the Company and American Stock Transfer & Trust Company, as trustee
          (the “Trustee”).  The Company issued $25,000,000
          principal amount of Securities on June 15, 2003 [increase up to an additional
          $8,000,000 if the Initial Purchasers’ Option was exercised] in
          transactions exempt from registration under the Securities Act of 1933,
          as amended (the “Securities Act”).  The Company
          has filed with the Securities and Exchange Commission (the “SEC”)
          a registration statement on Form S-3 (File No. 333-____) (the “Registration
          Statement”) relating to the registration under the Securities
          Act of $______________ principal amount of the Securities and the shares
          of Common Stock of the Company (the “Shares”) issuable
          upon conversion of the Securities being registered.  The Registration
          Statement was declared effective by order of the SEC dated [_____________].

             We have acted as counsel for the Company
          in connection with the issuance of the Securities and the preparation
          and filing of the Registration Statement and are familiar with the Securities,
          the Indenture, the Registration Statement, the above-mentioned SEC order
          and such other documents as are necessary to render this opinion.

             Based on the foregoing, it is our opinion
          that (1) the Registration Statement has become effective under
          the Securities Act and, to our knowledge, no stop order suspending the
          effectiveness of the Registration Statement has been issued, (2) assuming
          that the Securities covered by the Registration Statement and the Shares
          issuable upon conversion of such Securities are sold by a Holder specified
          in the Registration Statement in a manner specified in the Registration
          Statement, such sale of the Securities and Shares issuable upon conversion
          of the Securities will have been duly registered under the Securities
          Act and (3) the Indenture has been duly qualified under
          the Trust Indenture Act of 1939, as amended.

        Yours truly,

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