Document:

Guarantee Agreement between Sierra Bancorp and U.S. Bank National Association

 EXHIBIT 10.11 

  
 GUARANTEE AGREEMENT 
  
 by and between 
  
 SIERRA BANCORP 
  
 and 
  
 U.S. BANK NATIONAL ASSOCIATION 
  
 Dated as of March 17, 2004 
  

  

 GUARANTEE AGREEMENT 
  
 This GUARANTEE AGREEMENT (this “Guarantee”), dated as of March 17, 2004, is executed and delivered by Sierra
Bancorp, a California corporation (the “Guarantor”), and U.S. Bank National Association, a national banking association, organized under the laws of the United States of America, as trustee (the “Guarantee Trustee”), for the
benefit of the Holders (as defined herein) from time to time of the Capital Securities (as defined herein) of Sierra Statutory Trust II, a Connecticut statutory trust (the “Issuer”). 
  
 WHEREAS, pursuant to an Amended and Restated Declaration of Trust (the
“Declaration”), dated as of the date hereof among U.S. Bank National Association, not in its individual capacity but solely as institutional trustee, the administrators of the Issuer named therein, the Guarantor, as sponsor, and the
holders from time to time of undivided beneficial interests in the assets of the Issuer, the Issuer is issuing on the date hereof those undivided beneficial interests, having an aggregate liquidation amount of $15,000,000.00 (the “Capital
Securities”); and 
  
 WHEREAS, as incentive for the Holders
to purchase the Capital Securities, the Guarantor desires irrevocably and unconditionally to agree, to the extent set forth in this Guarantee, to pay to the Holders of Capital Securities the Guarantee Payments (as defined herein) and to make certain
other payments on the terms and conditions set forth herein; 
  
 NOW, THEREFORE, in consideration of the purchase by each Holder of the Capital Securities, which purchase the Guarantor hereby agrees shall benefit the Guarantor, the Guarantor executes and delivers this Guarantee for the benefit of the
Holders. 
  
 ARTICLE I 
  
 DEFINITIONS AND INTERPRETATION 
  
 Section 1.1. Definitions and Interpretation. In this
Guarantee, unless the context otherwise requires: 
  
 (a)
capitalized terms used in this Guarantee but not defined in the preamble above have the respective meanings assigned to them in this Section 1.1; 
  
 (b) a term defined anywhere in this Guarantee has the same meaning throughout; 
  
 (c) all references to “the Guarantee” or “this Guarantee” are to this Guarantee as modified,
supplemented or amended from time to time; 
  
 (d) all references
in this Guarantee to “Articles” or “Sections” are to Articles or Sections of this Guarantee, unless otherwise specified; 
  
 (e) terms defined in the Declaration as at the date of execution of this Guarantee have the same meanings when used in this Guarantee, unless otherwise
defined in this Guarantee or unless the context otherwise requires; and 
  
 (f) a reference to the singular includes the plural and vice versa. 
  
 “Affiliate” has the same meaning as given to that term in Rule 405 of the Securities Act of 1933, as amended, or any successor rule thereunder. 
  

 “Beneficiaries” means any Person to whom the Issuer is or hereafter becomes indebted or
liable. 
  
 “Capital Securities” has the meaning
set forth in the recitals to this Guarantee. 
  
 “Common
Securities” means the common securities issued by the Issuer to the Guarantor pursuant to the Declaration. 
  
 “Corporate Trust Office” means the office of the Guarantee Trustee at which the corporate trust business of the Guarantee Trustee shall,
at any particular time, be principally administered, which office at the date of execution of this Guarantee is located at 225 Asylum Street, Goodwin Square, Hartford, Connecticut 06103. 
  
 “Covered Person” means any Holder of Capital Securities. 
  
 “Debentures” means the debt securities of the Guarantor
designated the Floating Rate Junior Subordinated Deferrable Interest Debentures due 2034 held by the Institutional Trustee (as defined in the Declaration) of the Issuer. 
  
 “Declaration Event of Default” means an “Event of Default” as defined in the Declaration.

  
 “Event of Default” has the meaning set forth
in Section 2.4(a). 
  
 “Guarantee Payments” means
the following payments or distributions, without duplication, with respect to the Capital Securities, to the extent not paid or made by the Issuer: (i) any accrued and unpaid Distributions (as defined in the Declaration) which are required to be
paid on such Capital Securities to the extent the Issuer shall have funds available therefor, (ii) the Redemption Price to the extent the Issuer has funds available therefor, with respect to any Capital Securities called for redemption by the
Issuer, (iii) the Special Redemption Price to the extent the Issuer has funds available therefor, with respect to Capital Securities redeemed upon the occurrence of a Special Event, and (iv) upon a voluntary or involuntary liquidation, dissolution,
winding-up or termination of the Issuer (other than in connection with the distribution of Debentures to the Holders of the Capital Securities in exchange therefor as provided in the Declaration), the lesser of (a) the aggregate of the liquidation
amount and all accrued and unpaid Distributions on the Capital Securities to the date of payment, to the extent the Issuer shall have funds available therefor, and (b) the amount of assets of the Issuer remaining available for distribution to
Holders in liquidation of the Issuer (in either case, the “Liquidation Distribution”). 
  
 “Guarantee Trustee” means U.S. Bank National Association, until a Successor Guarantee Trustee has been appointed and has accepted such
appointment pursuant to the terms of this Guarantee and thereafter means each such Successor Guarantee Trustee. 
  
 “Guarantor” means Sierra Bancorp and each of its successors and assigns. 
  
 “Holder” means any holder, as registered on the books and records of the Issuer, of any Capital Securities;
provided, however, that, in determining whether the Holders of the requisite percentage of Capital Securities have given any request, notice, consent or waiver hereunder, “Holder” shall not include the Guarantor or any
Affiliate of the Guarantor. 
  
 “Indemnified
Person” means the Guarantee Trustee, any Affiliate of the Guarantee Trustee, or any officers, directors, shareholders, members, partners, employees, representatives, nominees, custodians or agents of the Guarantee Trustee. 
  

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 “Indenture” means the Indenture dated as of the date hereof between the Guarantor and
U.S. Bank National Association, not in its individual capacity but solely as trustee, and any indenture supplemental thereto pursuant to which the Debentures are to be issued to the institutional trustee of the Issuer. 
  
 “Issuer” has the meaning set forth in the opening paragraph
to this Guarantee. 
  
 “Liquidation Distribution”
has the meaning set forth in the definition of “Guarantee Payments” herein. 
  
 “Majority in liquidation amount of the Capital Securities” means Holder(s) of outstanding Capital Securities, voting together as a class, but separately from the holders of Common Securities, of more
than 50% of the aggregate liquidation amount (including the stated amount that would be paid on redemption, liquidation or otherwise, plus accrued and unpaid Distributions to the date upon which the voting percentages are determined) of all Capital
Securities then outstanding. 
  
 “Obligations”
means any costs, expenses or liabilities (but not including liabilities related to taxes) of the Issuer other than obligations of the Issuer to pay to holders of any Trust Securities the amounts due such holders pursuant to the terms of the Trust
Securities. 
  
 “Officer’s Certificate”
means, with respect to any Person, a certificate signed by one Authorized Officer of such Person. Any Officer’s Certificate delivered with respect to compliance with a condition or covenant provided for in this Guarantee shall include:

  
 (a) a statement that the officer signing the
Officer’s Certificate has read the covenant or condition and the definitions relating thereto; 
  
 (b) a brief statement of the nature and scope of the examination or investigation undertaken by the officer in rendering the
Officer’s Certificate; 
  
 (c) a statement
that the officer has made such examination or investigation as, in such officer’s opinion, is necessary to enable such officer to express an informed opinion as to whether or not such covenant or condition has been complied with; and

  
 (d) a statement as to whether, in the opinion
of the officer, such condition or covenant has been complied with. 
  
 “Person” means a legal person, including any individual, corporation, estate, partnership, joint venture, association, joint stock company, limited liability company, trust, unincorporated association, or government or any
agency or political subdivision thereof, or any other entity of whatever nature. 
  
 “Redemption Price” has the meaning set forth in the Indenture. 
  
 “Responsible Officer” means, with respect to the Guarantee Trustee, any officer within the Corporate Trust Office of the Guarantee
Trustee including any Vice President, Assistant Vice President, Secretary, Assistant Secretary or any other officer of the Guarantee Trustee customarily performing functions similar to those performed by any of the above designated officers and
also, with respect to a particular corporate trust matter, any other officer to whom such matter is referred because of that officer’s knowledge of and familiarity with the particular subject. 
  
 “Special Event” has the meaning set forth in the Indenture.

  

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 “Special Redemption Price” has the meaning set forth in the Indenture. 
  
 “Successor Guarantee Trustee” means a successor Guarantee
Trustee possessing the qualifications to act as Guarantee Trustee under Section 3.1. 
  
 “Trust Securities” means the Common Securities and the Capital Securities. 
  
 ARTICLE II 
  
 POWERS, DUTIES AND RIGHTS OF 
 GUARANTEE TRUSTEE 
  
 Section 2.1. Powers and Duties of the Guarantee Trustee.

  
 (a) This Guarantee shall be held by the Guarantee Trustee for
the benefit of the Holders of the Capital Securities, and the Guarantee Trustee shall not transfer this Guarantee to any Person except a Holder of Capital Securities exercising his or her rights pursuant to Section 4.4(b) or to a Successor Guarantee
Trustee on acceptance by such Successor Guarantee Trustee of its appointment to act as Successor Guarantee Trustee. The right, title and interest of the Guarantee Trustee shall automatically vest in any Successor Guarantee Trustee, and such vesting
and cessation of title shall be effective whether or not conveyancing documents have been executed and delivered pursuant to the appointment of such Successor Guarantee Trustee. 
  
 (b) If an Event of Default actually known to a Responsible Officer of the Guarantee Trustee has occurred and is continuing,
the Guarantee Trustee shall enforce this Guarantee for the benefit of the Holders of the Capital Securities. 
  
 (c) The Guarantee Trustee, before the occurrence of any Event of Default and after curing all Events of Default that may have occurred, shall undertake to
perform only such duties as are specifically set forth in this Guarantee, and no implied covenants shall be read into this Guarantee against the Guarantee Trustee. In case an Event of Default has occurred (that has not been waived pursuant to
Section 2.4) and is actually known to a Responsible Officer of the Guarantee Trustee, the Guarantee Trustee shall exercise such of the rights and powers vested in it by this Guarantee, and use the same degree of care and skill in its exercise
thereof, as a prudent person would exercise or use under the circumstances in the conduct of his or her own affairs. 
  
 (d) No provision of this Guarantee shall be construed to relieve the Guarantee Trustee from liability for its own negligent action, its own negligent
failure to act, or its own willful misconduct, except that: 
  
 (i) prior to the occurrence of any Event of Default and after the curing or waiving of all such Events of Default that may have occurred: 
  
 (A) the duties and obligations of the Guarantee Trustee shall be determined solely by the express provisions
of this Guarantee, and the Guarantee Trustee shall not be liable except for the performance of such duties and obligations as are specifically set forth in this Guarantee, and no implied covenants or obligations shall be read into this Guarantee
against the Guarantee Trustee; and 
  
 (B) in the
absence of bad faith on the part of the Guarantee Trustee, the Guarantee Trustee may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished 

  

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to the Guarantee Trustee and conforming to the requirements of this Guarantee; but in the case of any such certificates or opinions that by any provision
hereof are specifically required to be furnished to the Guarantee Trustee, the Guarantee Trustee shall be under a duty to examine the same to determine whether or not they conform to the requirements of this Guarantee; 
  
 (ii) the Guarantee Trustee shall not be liable for any error
of judgment made in good faith by a Responsible Officer of the Guarantee Trustee, unless it shall be proved that such Responsible Officer of the Guarantee Trustee or the Guarantee Trustee was negligent in ascertaining the pertinent facts upon which
such judgment was made; 
  
 (iii) the Guarantee
Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance with the written direction of the Holders of not less than a Majority in liquidation amount of the Capital Securities relating to
the time, method and place of conducting any proceeding for any remedy available to the Guarantee Trustee, or relating to the exercise of any trust or power conferred upon the Guarantee Trustee under this Guarantee; and 
  
 (iv) no provision of this Guarantee shall require the
Guarantee Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers, if the Guarantee Trustee shall have reasonable grounds for
believing that the repayment of such funds is not reasonably assured to it under the terms of this Guarantee or security and indemnity, reasonably satisfactory to the Guarantee Trustee, against such risk or liability is not reasonably assured to it.

  
 Section 2.2. Certain Rights of Guarantee Trustee.

  
 (a) Subject to the provisions of Section 2.1: 

 
 (i) The Guarantee Trustee may conclusively rely, and
shall be fully protected in acting or refraining from acting upon, any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other paper
or document believed by it to be genuine and to have been signed, sent or presented by the proper party or parties. 
  
 (ii) Any direction or act of the Guarantor contemplated by this Guarantee shall be sufficiently evidenced by an Officer’s
Certificate. 
  
 (iii) Whenever, in the
administration of this Guarantee, the Guarantee Trustee shall deem it desirable that a matter be proved or established before taking, suffering or omitting any action hereunder, the Guarantee Trustee (unless other evidence is herein specifically
prescribed) may, in the absence of bad faith on its part, request and conclusively rely upon an Officer’s Certificate of the Guarantor which, upon receipt of such request, shall be promptly delivered by the Guarantor. 
  
 (iv) The Guarantee Trustee shall have no duty to see to any
recording, filing or registration of any instrument (or any re-recording, refiling or re-registration thereof). 
  
 (v) The Guarantee Trustee may consult with counsel of its selection, and the advice or opinion of such counsel with respect to legal
matters shall be full and complete authorization and protection in respect of any action taken, suffered or omitted by it hereunder in good faith and 

  

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in accordance with such advice or opinion. Such counsel may be counsel to the Guarantor or any of its Affiliates and may include any of its employees. The
Guarantee Trustee shall have the right at any time to seek instructions concerning the administration of this Guarantee from any court of competent jurisdiction. 
  
 (vi) The Guarantee Trustee shall be under no obligation to exercise any of the rights or powers vested in it
by this Guarantee at the request or direction of any Holder, unless such Holder shall have provided to the Guarantee Trustee such security and indemnity, reasonably satisfactory to the Guarantee Trustee, against the costs, expenses (including
attorneys’ fees and expenses and the expenses of the Guarantee Trustee’s agents, nominees or custodians) and liabilities that might be incurred by it in complying with such request or direction, including such reasonable advances as may be
requested by the Guarantee Trustee; provided, however, that nothing contained in this Section 2.2(a)(vi) shall relieve the Guarantee Trustee, upon the occurrence of an Event of Default, of its obligation to exercise the rights and
powers vested in it by this Guarantee. 
  
 (vii)
The Guarantee Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other
evidence of indebtedness or other paper or document, but the Guarantee Trustee, in its discretion, may make such further inquiry or investigation into such facts or matters as it may see fit. 
  
 (viii) The Guarantee Trustee may execute any of the trusts
or powers hereunder or perform any duties hereunder either directly or by or through agents, nominees, custodians or attorneys, and the Guarantee Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney
appointed with due care by it hereunder. 
  
 (ix)
Any action taken by the Guarantee Trustee or its agents hereunder shall bind the Holders of the Capital Securities, and the signature of the Guarantee Trustee or its agents alone shall be sufficient and effective to perform any such action. No third
party shall be required to inquire as to the authority of the Guarantee Trustee to so act or as to its compliance with any of the terms and provisions of this Guarantee, both of which shall be conclusively evidenced by the Guarantee Trustee’s
or its agent’s taking such action. 
  
 (x)
Whenever in the administration of this Guarantee the Guarantee Trustee shall deem it desirable to receive instructions with respect to enforcing any remedy or right or taking any other action hereunder, the Guarantee Trustee (i) may request
instructions from the Holders of a Majority in liquidation amount of the Capital Securities, (ii) may refrain from enforcing such remedy or right or taking such other action until such instructions are received, and (iii) shall be protected in
conclusively relying on or acting in accordance with such instructions. 
  
 (xi) The Guarantee Trustee shall not be liable for any action taken, suffered, or omitted to be taken by it in good faith, without negligence, and reasonably believed by it to be authorized or within the discretion or
rights or powers conferred upon it by this Guarantee. 
  
 (b) No
provision of this Guarantee shall be deemed to impose any duty or obligation on the Guarantee Trustee to perform any act or acts or exercise any right, power, duty or obligation conferred or imposed on it, in any jurisdiction in which it shall be
illegal or in which the Guarantee Trustee shall be unqualified or incompetent in accordance with applicable law to perform any such act or acts or to exercise any such right, power, duty or obligation. No permissive power or authority available to
the Guarantee Trustee shall be construed to be a duty. 
  

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 Section 2.3. Not Responsible for Recitals or Issuance of Guarantee. The recitals contained
in this Guarantee shall be taken as the statements of the Guarantor, and the Guarantee Trustee does not assume any responsibility for their correctness. The Guarantee Trustee makes no representation as to the validity or sufficiency of this
Guarantee. 
  
 Section 2.4. Events of Default; Waiver.

  
 (a) An Event of Default under this Guarantee will occur
upon the failure of the Guarantor to perform any of its payment or other obligations hereunder. 
  
 (b) The Holders of a Majority in liquidation amount of the Capital Securities may, voting or consenting as a class, on behalf of the Holders of all of the
Capital Securities, waive any past Event of Default and its consequences. Upon such waiver, any such Event of Default shall cease to exist, and shall be deemed to have been cured, for every purpose of this Guarantee, but no such waiver shall extend
to any subsequent or other default or Event of Default or impair any right consequent thereon. 
  
 Section 2.5. Events of Default; Notice. 
  
 (a) The Guarantee Trustee shall, within 90 days after the occurrence of an Event of Default, transmit by mail, first class postage prepaid, to the Holders of the Capital Securities and the Guarantor, notices of all
Events of Default actually known to a Responsible Officer of the Guarantee Trustee, unless such defaults have been cured before the giving of such notice, provided, however, that the Guarantee Trustee shall be protected in withholding
such notice if and so long as a Responsible Officer of the Guarantee Trustee in good faith determines that the withholding of such notice is in the interests of the Holders of the Capital Securities. 
  
 (b) The Guarantee Trustee shall not be deemed to have knowledge of any Event
of Default unless the Guarantee Trustee shall have received written notice from the Guarantor or a Holder of the Capital Securities (except in the case of a payment default), or a Responsible Officer of the Guarantee Trustee charged with the
administration of this Guarantee shall have obtained actual knowledge thereof. 
  
 ARTICLE III 
  
 GUARANTEE
TRUSTEE 
  
 Section 3.1. Guarantee Trustee;
Eligibility. 
  
 (a) There shall at all times be a
Guarantee Trustee which shall: 
  
 (i) not be an
Affiliate of the Guarantor, and 
  
 (ii) be a
corporation organized and doing business under the laws of the United States of America or any State or Territory thereof or of the District of Columbia, or Person authorized under such laws to exercise corporate trust powers, having a combined
capital and surplus of at least 50 million U.S. dollars ($50,000,000), and subject to supervision or examination by Federal, State, Territorial or District of Columbia authority. If such corporation publishes reports of condition at least annually,
pursuant to law or to the requirements of the supervising or examining authority referred to above, then, for the purposes of this Section 3.1(a)(ii), the combined capital and surplus of such corporation shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published. 
  

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 (b) If at any time the Guarantee Trustee shall cease to be eligible to so act under Section 3.1(a), the
Guarantee Trustee shall immediately resign in the manner and with the effect set out in Section 3.2(c). 
  
 (c) If the Guarantee Trustee has or shall acquire any “conflicting interest” within the meaning of Section 310(b) of the Trust Indenture Act,
the Guarantee Trustee shall either eliminate such interest or resign to the extent and in the manner provided by, and subject to this Guarantee. 
  
 Section 3.2. Appointment, Removal and Resignation of Guarantee Trustee. 
  
 (a) Subject to Section 3.2(b), the Guarantee Trustee may be appointed or removed without cause at any time by the Guarantor
except during an Event of Default. 
  
 (b) The Guarantee Trustee
shall not be removed in accordance with Section 3.2(a) until a Successor Guarantee Trustee has been appointed and has accepted such appointment by written instrument executed by such Successor Guarantee Trustee and delivered to the Guarantor.

  
 (c) The Guarantee Trustee appointed to office shall hold
office until a Successor Guarantee Trustee shall have been appointed or until its removal or resignation. The Guarantee Trustee may resign from office (without need for prior or subsequent accounting) by an instrument in writing executed by the
Guarantee Trustee and delivered to the Guarantor, which resignation shall not take effect until a Successor Guarantee Trustee has been appointed and has accepted such appointment by an instrument in writing executed by such Successor Guarantee
Trustee and delivered to the Guarantor and the resigning Guarantee Trustee. 
  
 (d) If no Successor Guarantee Trustee shall have been appointed and accepted appointment as provided in this Section 3.2 within 60 days after delivery of an instrument of removal or resignation, the Guarantee Trustee
resigning or being removed may petition any court of competent jurisdiction for appointment of a Successor Guarantee Trustee. Such court may thereupon, after prescribing such notice, if any, as it may deem proper, appoint a Successor Guarantee
Trustee. 
  
 (e) No Guarantee Trustee shall be liable for the acts
or omissions to act of any Successor Guarantee Trustee. 
  
 (f)
Upon termination of this Guarantee or removal or resignation of the Guarantee Trustee pursuant to this Section 3.2, the Guarantor shall pay to the Guarantee Trustee all amounts owing to the Guarantee Trustee under Sections 7.2 and 7.3 accrued to the
date of such termination, removal or resignation. 
  

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 ARTICLE IV 
  

GUARANTEE 
  
 Section 4.1. Guarantee. 
  
 (a) The Guarantor irrevocably and unconditionally agrees to pay in full to the Holders the Guarantee Payments (without duplication of amounts theretofore
paid by the Issuer), as and when due, regardless of any defense (except the defense of payment by the Issuer), right of set-off or counterclaim that the Issuer may have or assert. The Guarantor’s obligation to make a Guarantee Payment may be
satisfied by direct payment of the required amounts by the Guarantor to the Holders or by causing the Issuer to pay such amounts to the Holders. 
  
 (b) The Guarantor hereby also agrees to assume any and all Obligations of the Issuer and in the event any such Obligation is not so assumed, subject to
the terms and conditions hereof, the Guarantor hereby irrevocably and unconditionally guarantees to each Beneficiary the full payment, when and as due, of any and all Obligations to such Beneficiaries. This Guarantee is intended to be for the
benefit of, and to be enforceable by, all such Beneficiaries, whether or not such Beneficiaries have received notice hereof. 
  
 Section 4.2. Waiver of Notice and Demand. The Guarantor hereby waives notice of acceptance of this Guarantee and of any liability to which
it applies or may apply, presentment, demand for payment, any right to require a proceeding first against the Issuer or any other Person before proceeding against the Guarantor, protest, notice of nonpayment, notice of dishonor, notice of redemption
and all other notices and demands. 
  
 Section 4.3.
Obligations Not Affected. The obligations, covenants, agreements and duties of the Guarantor under this Guarantee shall in no way be affected or impaired by reason of the happening from time to time of any of the following: 
  
 (a) the release or waiver, by operation of law or otherwise, of the
performance or observance by the Issuer of any express or implied agreement, covenant, term or condition relating to the Capital Securities to be performed or observed by the Issuer; 
  
 (b) the extension of time for the payment by the Issuer of all or any portion of the Distributions, Redemption Price,
Special Redemption Price, Liquidation Distribution or any other sums payable under the terms of the Capital Securities or the extension of time for the performance of any other obligation under, arising out of or in connection with, the Capital
Securities (other than an extension of time for payment of Distributions, Redemption Price, Special Redemption Price, Liquidation Distribution or other sum payable that results from the extension of any interest payment period on the Debentures or
any extension of the maturity date of the Debentures permitted by the Indenture); 
  
 (c) any failure, omission, delay or lack of diligence on the part of the Holders to enforce, assert or exercise any right, privilege, power or remedy conferred on the Holders pursuant to the terms of the Capital
Securities, or any action on the part of the Issuer granting indulgence or extension of any kind; 
  
 (d) the voluntary or involuntary liquidation, dissolution, sale of any collateral, receivership, insolvency, bankruptcy, assignment for the benefit of
creditors, reorganization, arrangement, composition or readjustment of debt of, or other similar proceedings affecting, the Issuer or any of the assets of the Issuer; 
  

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 (e) any invalidity of, or defect or deficiency in, the Capital Securities; 
  
 (f) the settlement or compromise of any obligation guaranteed hereby or
hereby incurred; or 
  
 (g) any other circumstance whatsoever that
might otherwise constitute a legal or equitable discharge or defense of a guarantor, it being the intent of this Section 4.3 that the obligations of the Guarantor hereunder shall be absolute and unconditional under any and all circumstances.

  
 There shall be no obligation of the Holders to give notice to,
or obtain consent of, the Guarantor with respect to the happening of any of the foregoing. 
  
 Section 4.4. Rights of Holders. 
  
 (a) The Holders of a Majority in liquidation amount of the Capital Securities have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Guarantee Trustee in
respect of this Guarantee or to direct the exercise of any trust or power conferred upon the Guarantee Trustee under this Guarantee; provided, however, that (subject to Section 2.1) the Guarantee Trustee shall have the right to decline
to follow any such direction if the Guarantee Trustee being advised by counsel determines that the action or proceeding so directed may not lawfully be taken or if the Guarantee Trustee in good faith by its board of directors or trustees, executive
committees or a trust committee of directors or trustees and/or Responsible Officers shall determine that the action or proceedings so directed would involve the Guarantee Trustee in personal liability. 
  
 (b) Any Holder of Capital Securities may institute a legal proceeding
directly against the Guarantor to enforce the Guarantee Trustee’s rights under this Guarantee, without first instituting a legal proceeding against the Issuer, the Guarantee Trustee or any other Person. The Guarantor waives any right or remedy
to require that any such action be brought first against the Issuer, the Guarantee Trustee or any other Person before so proceeding directly against the Guarantor. 
  
 Section 4.5. Guarantee of Payment. This Guarantee creates a guarantee of payment and not of collection.

  
 Section 4.6. Subrogation. The Guarantor shall be
subrogated to all (if any) rights of the Holders of Capital Securities against the Issuer in respect of any amounts paid to such Holders by the Guarantor under this Guarantee; provided, however, that the Guarantor shall not (except to
the extent required by mandatory provisions of law) be entitled to enforce or exercise any right that it may acquire by way of subrogation or any indemnity, reimbursement or other agreement, in all cases as a result of payment under this Guarantee,
if, after giving effect to any such payment, any amounts are due and unpaid under this Guarantee. If any amount shall be paid to the Guarantor in violation of the preceding sentence, the Guarantor agrees to hold such amount in trust for the Holders
and to pay over such amount to the Holders. 
  
 Section 4.7.
Independent Obligations. The Guarantor acknowledges that its obligations hereunder are independent of the obligations of the Issuer with respect to the Capital Securities and that the Guarantor shall be liable as principal and as debtor
hereunder to make Guarantee Payments pursuant to the terms of this Guarantee notwithstanding the occurrence of any event referred to in subsections (a) through (g), inclusive, of Section 4.3 hereof. 
  
 Section 4.8. Enforcement by a Beneficiary. A Beneficiary may
enforce the obligations of the Guarantor contained in Section 4.1(b) directly against the Guarantor and the Guarantor waives any right or remedy to require that any action be brought against the Issuer or any other person or entity 

  

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before proceeding against the Guarantor. The Guarantor shall be subrogated to all rights (if any) of any Beneficiary against the Issuer in respect of any
amounts paid to the Beneficiaries by the Guarantor under this Guarantee; provided, however, that the Guarantor shall not (except to the extent required by mandatory provisions of law) be entitled to enforce or exercise any rights that
it may acquire by way of subrogation or any indemnity, reimbursement or other agreement, in all cases as a result of payment under this Guarantee, if at the time of any such payment, and after giving effect to such payment, any amounts are due and
unpaid under this Guarantee. 
  
 ARTICLE V 
  
 LIMITATION OF TRANSACTIONS; SUBORDINATION 
  
 Section 5.1. Limitation of Transactions. So long as any Capital
Securities remain outstanding, if (a) there shall have occurred and be continuing an Event of Default or a Declaration Event of Default or (b) the Guarantor shall have selected an Extension Period as provided in the Declaration and such period, or
any extension thereof, shall have commenced and be continuing, then the Guarantor shall not and shall not permit any Affiliate to (x) declare or pay any dividends or distributions on, or redeem, purchase, acquire, or make a liquidation payment with
respect to, any of the Guarantor’s or such Affiliate’s capital stock (other than payments of dividends or distributions to the Guarantor) or make any guarantee payments with respect to the foregoing or (y) make any payment of principal of
or interest or premium, if any, on or repay, repurchase or redeem any debt securities of the Guarantor or any Affiliate that rank pari passu in all respects with or junior in interest to the Debentures (other than, with respect to clauses (x)
and (y) above, (i) repurchases, redemptions or other acquisitions of shares of capital stock of the Guarantor in connection with any employment contract, benefit plan or other similar arrangement with or for the benefit of one or more employees,
officers, directors or consultants, in connection with a dividend reinvestment or stockholder stock purchase plan or in connection with the issuance of capital stock of the Guarantor (or securities convertible into or exercisable for such capital
stock) as consideration in an acquisition transaction entered into prior to the occurrence of the Event of Default, Declaration Event of Default or Extension Period, as applicable, (ii) as a result of any exchange or conversion of any class or
series of the Guarantor’s capital stock (or any capital stock of a subsidiary of the Guarantor) for any class or series of the Guarantor’s capital stock or of any class or series of the Guarantor’s indebtedness for any class or series
of the Guarantor’s capital stock, (iii) the purchase of fractional interests in shares of the Guarantor’s capital stock pursuant to the conversion or exchange provisions of such capital stock or the security being converted or exchanged,
(iv) any declaration of a dividend in connection with any stockholders’ rights plan, or the issuance of rights, stock or other property under any stockholders’ rights plan, or the redemption or repurchase of rights pursuant thereto, (v)
any dividend in the form of stock, warrants, options or other rights where the dividend stock or the stock issuable upon exercise of such warrants, options or other rights is the same stock as that on which the dividend is being paid or ranks
pari passu with or junior to such stock and any cash payments in lieu of fractional shares issued in connection therewith, or (vi) payments under this Guarantee). 
  
 Section 5.2. Ranking. This Guarantee will constitute an unsecured obligation of the Guarantor and will rank
subordinate and junior in right of payment to all present and future Senior Indebtedness (as defined in the Indenture) of the Guarantor. By their acceptance thereof, each Holder of Capital Securities agrees to the foregoing provisions of this
Guarantee and the other terms set forth herein. 
  
 The right of
the Guarantor to participate in any distribution of assets of any of its subsidiaries upon any such subsidiary’s liquidation or reorganization or otherwise is subject to the prior claims of creditors of that subsidiary, except to the extent the
Guarantor may itself be recognized as a creditor of that subsidiary. Accordingly, the Guarantor’s obligations under this Guarantee will be effectively 

  

 11 

 
subordinated to all existing and future liabilities of the Guarantor’s subsidiaries, and claimants should look only to the assets of the Guarantor for
payments hereunder. This Guarantee does not limit the incurrence or issuance of other secured or unsecured debt of the Guarantor, including Senior Indebtedness of the Guarantor, under any indenture that the Guarantor may enter into in the future or
otherwise. 
  
 ARTICLE VI 
  
 TERMINATION 
  
 Section 6.1. Termination. This Guarantee shall terminate as to
the Capital Securities (i) upon full payment of the Redemption Price or Special Redemption Price of all Capital Securities then outstanding, (ii) upon the distribution of all of the Debentures to the Holders of all of the Capital Securities or (iii)
upon full payment of the amounts payable in accordance with the Declaration upon dissolution of the Issuer. This Guarantee will continue to be effective or will be reinstated, as the case may be, if at any time any Holder of Capital Securities must
restore payment of any sums paid under the Capital Securities or under this Guarantee. 
  
 ARTICLE VII 
  
 INDEMNIFICATION 
  
 Section 7.1.
Exculpation. 
  
 (a) No Indemnified Person shall be
liable, responsible or accountable in damages or otherwise to the Guarantor or any Covered Person for any loss, damage or claim incurred by reason of any act or omission performed or omitted by such Indemnified Person in good faith in accordance
with this Guarantee and in a manner that such Indemnified Person reasonably believed to be within the scope of the authority conferred on such Indemnified Person by this Guarantee or by law, except that an Indemnified Person shall be liable for any
such loss, damage or claim incurred by reason of such Indemnified Person’s negligence or willful misconduct with respect to such acts or omissions. 
  
 (b) An Indemnified Person shall be fully protected in relying in good faith upon the records of the Issuer or the Guarantor and upon such information,
opinions, reports or statements presented to the Issuer or the Guarantor by any Person as to matters the Indemnified Person reasonably believes are within such other Person’s professional or expert competence and who, if selected by such
Indemnified Person, has been selected with reasonable care by such Indemnified Person, including information, opinions, reports or statements as to the value and amount of the assets, liabilities, profits, losses, or any other facts pertinent to the
existence and amount of assets from which Distributions to Holders of Capital Securities might properly be paid. 
  
 Section 7.2. Indemnification. 
  
 (a) The Guarantor agrees to indemnify each Indemnified Person for, and to hold each Indemnified Person harmless against, any and all loss, liability,
damage, claim or expense incurred without negligence or willful misconduct on the part of the Indemnified Person, arising out of or in connection with the acceptance or administration of the trust or trusts hereunder, including, but not limited to,
the costs and expenses (including reasonable legal fees and expenses) of the Indemnified Person defending itself against, or investigating, any claim or liability in connection with the exercise or performance of any of the Indemnified Person’s
powers or duties hereunder. The obligation to indemnify as set forth in this Section 7.2 shall survive the resignation or removal of the Guarantee Trustee and the termination of this Guarantee. 
  

 12 

 (b) Promptly after receipt by an Indemnified Person under this Section 7.2 of notice of the commencement
of any action, such Indemnified Person will, if a claim in respect thereof is to be made against the Guarantor under this Section 7.2, notify the Guarantor in writing of the commencement thereof; but the failure so to notify the Guarantor (i) will
not relieve the Guarantor from liability under paragraph (a) above unless and to the extent that the Guarantor did not otherwise learn of such action and such failure results in the forfeiture by the Guarantor of substantial rights and defenses and
(ii) will not, in any event, relieve the Guarantor from any obligations to any Indemnified Person other than the indemnification obligation provided in paragraph (a) above. The Guarantor shall be entitled to appoint counsel of the Guarantor’s
choice at the Guarantor’s expense to represent the Indemnified Person in any action for which indemnification is sought (in which case the Guarantor shall not thereafter be responsible for the fees and expenses of any separate counsel retained
by the Indemnified Person or Persons except as set forth below); provided, however, that such counsel shall be reasonably satisfactory to the Indemnified Person. Notwithstanding the Guarantor’s election to appoint counsel to
represent the Guarantor in an action, the Indemnified Person shall have the right to employ separate counsel (including local counsel), and the Guarantor shall bear the reasonable fees, costs and expenses of such separate counsel if (i) the use of
counsel chosen by the Guarantor to represent the Indemnified Person would present such counsel with a conflict of interest, (ii) the actual or potential defendants in, or targets of, any such action include both the Indemnified Person and the
Guarantor and the Indemnified Person shall have reasonably concluded that there may be legal defenses available to it and/or other Indemnified Person(s) which are different from or additional to those available to the Guarantor, (iii) the Guarantor
shall not have employed counsel satisfactory to the Indemnified Person to represent the Indemnified Person within a reasonable time after notice of the institution of such action or (iv) the Guarantor shall authorize the Indemnified Person to employ
separate counsel at the expense of the Guarantor. The Guarantor will not, without the prior written consent of the Indemnified Persons, settle or compromise or consent to the entry of any judgment with respect to any pending or threatened claim,
action, suit or proceeding in respect of which indemnification or contribution may be sought hereunder (whether or not the Indemnified Persons are actual or potential parties to such claim or action) unless such settlement, compromise or consent
includes an unconditional release of each Indemnified Person from all liability arising out of such claim, action, suit or proceeding. 
  
 Section 7.3. Compensation; Reimbursement of Expenses. The Guarantor agrees: 
  
 (a) to pay to the Guarantee Trustee from time to time such compensation for all services rendered by it hereunder as the
parties shall agree to from time to time (which compensation shall not be limited by any provision of law in regard to the compensation of a trustee of an express trust); and 
  
 (b) except as otherwise expressly provided herein, to reimburse the Guarantee Trustee upon request for all reasonable
expenses, disbursements and advances incurred or made by it in accordance with any provision of this Guarantee (including the reasonable compensation and the expenses and disbursements of its agents and counsel), except any such expense,
disbursement or advance as may be attributable to its negligence or willful misconduct. 
  
 For purposes of clarification, this Section 7.3 does not contemplate the payment by the Guarantor of acceptance or annual administration fees owing to the Guarantee Trustee for services to be provided by the Guarantee
Trustee under this Guarantee or the fees and expenses of the Guarantee Trustee’s counsel in connection with the closing of the transactions contemplated by this Guarantee. The provisions of this Section 7.3 shall survive the resignation or
removal of the Guarantee Trustee and the termination of this Guarantee. 
  

 13 

 ARTICLE VIII 
  
 MISCELLANEOUS 
  
 Section 8.1. Successors and Assigns. All guarantees and agreements contained in this Guarantee shall bind the successors, assigns,
receivers, trustees and representatives of the Guarantor and shall inure to the benefit of the Holders of the Capital Securities then outstanding. Except in connection with any merger or consolidation of the Guarantor with or into another entity or
any sale, transfer or lease of the Guarantor’s assets to another entity, in each case, to the extent permitted under the Indenture, the Guarantor may not assign its rights or delegate its obligations under this Guarantee without the prior
approval of the Holders of at least a Majority in liquidation amount of the Capital Securities. 
  
 Section 8.2. Amendments. Except with respect to any changes that do not adversely affect the rights of Holders of the Capital Securities in
any material respect (in which case no consent of Holders will be required), this Guarantee may be amended only with the prior approval of the Holders of not less than a Majority in liquidation amount of the Capital Securities. The provisions of the
Declaration with respect to amendments thereof apply to the giving of such approval. 
  
 Section 8.3. Notices. All notices provided for in this Guarantee shall be in writing, duly signed by the party giving such notice, and shall be delivered, telecopied or mailed by first class mail, as
follows: 
  
 (a) If given to the Guarantee Trustee, at the
Guarantee Trustee’s mailing address set forth below (or such other address as the Guarantee Trustee may give notice of to the Holders of the Capital Securities and the Guarantor): 
  
 U.S. Bank National Association 
 225 Asylum Street, Goodwin Square 
 Hartford, Connecticut 06103 
 Attention: Corporate Trust Services Division 
 Telecopy: 860-241-6889 
  
 With a copy to: 

 
 U.S. Bank National Association 
 1 Federal Street - 3rd Floor 
 Boston,
Massachusetts 02110 
 Attention: Paul D. Allen, Corporate Trust Services Division 
 Telecopy: 617-603-6665 
  
 (b) If given to the Guarantor, at the Guarantor’s mailing address set forth below (or such other address as the Guarantor may give notice of to the
Holders of the Capital Securities and to the Guarantee Trustee): 
  
 Sierra Bancorp 
 86 North Main Street 
 Porterville, California 93258 
 Attention: Kenneth R. Taylor 
 Telecopy: 559-782-4994 
  

 14 

 (c) If given to any Holder of the Capital Securities, at the address set forth on the books and records
of the Issuer. 
  
 All such notices shall be deemed to have been
given when received in person, telecopied with receipt confirmed, or mailed by first class mail, postage prepaid, except that if a notice or other document is refused delivery or cannot be delivered because of a changed address of which no notice
was given, such notice or other document shall be deemed to have been delivered on the date of such refusal or inability to deliver. 
  
 Section 8.4. Benefit. This Guarantee is solely for the benefit of the Beneficiaries and, subject to Section 2.1(a), is not separately
transferable from the Capital Securities. 
  
 Section 8.5.
Governing Law. THIS GUARANTEE SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES THEREOF (OTHER THAN SECTION 5-1401 OF THE NEW YORK
GENERAL OBLIGATIONS LAW). 
  
 Section 8.6.
Counterparts. This Guarantee may be executed in one or more counterparts, each of which shall be an original, but all of which taken together shall constitute one and the same instrument. 
  
 Section 8.7. Separability. In case one or more of the
provisions contained in this Guarantee shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Guarantee, but this Guarantee
shall be construed as if such invalid or illegal or unenforceable provision had never been contained herein. 
  
 Signatures appear on the following page 
  

 15 

 THIS GUARANTEE is executed as of the day and year first above written. 
  

			
	 SIERRA BANCORP, as Guarantor

		
	 By:
	 	 /s/ Kenneth R. Taylor

	 	 	

	 	 	 Name: Kenneth R. Taylor

	 	 	 Title: Chief Financial Officer

  

			
	U.S. BANK NATIONAL ASSOCIATION, as Guarantee Trustee
		
	 By:
	 	 /s/ Paul D. Allen

	 	 	

	 	 	 Name: Paul D. Allen

	 	 	 Title: Vice PresidentSubscription Agreement

 EXHIBIT 4.1 
  

UnumProvident Corporation 
  
 12,000,000 8.25% Adjustable Conversion-Rate Equity Security Units 
  

  
 Subscription Agreement 
  
 Dated as of May 6,
2004 
  

  
 To the undersigned Subscribers: 
  
 UnumProvident Corporation, a Delaware corporation (the “Company”), proposes, subject to the terms and conditions set forth in this
Subscription Agreement (this “Agreement”), to issue and sell to the subscribers named in Schedule I (the “Subscribers”) an aggregate of 12,000,000 8.25% Adjustable Conversion-Rate Equity Security Units of the
Company (the “Units”). The date of execution of this Agreement, printed above, is referred to as the “Execution Date.” 
  
 Each Unit has a stated amount of $25 and will initially consist of (i) a contract (a “Purchase Contract”) pursuant to which the holder agrees to
purchase, for $25, a number of shares of common stock, par value $0.10, of the Company (“Common Stock”) on May 15, 2007 and (ii) a 1/40th, or 2.5%, ownership interest in a senior note of the Company with a principal amount of $1,000
(a “Senior Note”). The Purchase Contracts will be issued pursuant to a purchase contract agreement, to be dated as of May 11, 2004 (the “Purchase Contract Agreement”), with JPMorgan Chase Bank, as purchase contract
agent. The Senior Notes will be issued pursuant to the Indenture dated as of March 9, 2001 between the Company and JPMorgan Chase Bank (fka The Chase Manhattan Bank), as trustee, as amended (the “Base Indenture”), and the
Supplemental Indenture thereto to be dated as of May 11, 2004 (the “Supplemental Indenture”, and together with the Base Indenture, the “Indenture”). In connection with the issuance of the Units, the Company will
enter into a pledge agreement, to be dated as of May 11, 2004 (the “Pledge Agreement”) with BNY Midwest Trust Company, as collateral agent, custodial agent and securities intermediary, creating a pledge and security interest for the
benefit of the Company to secure the obligations of the holders of Units under the Purchase Contracts. The Purchase Contracts, the Purchase Contract Agreement, the Senior Notes, the Indenture, the Pledge Agreement and the Registration Rights
Agreement (as defined below) are collectively referred to herein as the “Purchase Documents.” 
  
 1. Authorization of the Issuance and Sale of Units 
  
 The Company has duly authorized the issuance and sale, at the Closing (as defined below) as provided for in Section 3 of this Agreement, of an aggregate of 12,000,000 Units. 
  

 2. Purchase and Sale of the Units 
  
 (a) Subject to the terms and conditions set forth in this Agreement, the Company agrees to issue and sell to
each of the Subscribers, and each of the Subscribers irrevocably agrees, severally and not jointly, to purchase from the Company at a purchase price per Unit of $25, the number of Units set forth opposite the name of such Subscriber in Schedule
I, and which Units shall contain the following terms: (i) the distribution rate per Unit shall be 8.25% per annum, (ii) the Reference Price (as such term is used in the Purchase Contract Agreement) shall be equal to the lower of the closing
price of a share of the Company’s Common Stock on the New York Stock Exchange on (A) May 5, 2004 and (B) May 6, 2004, (iii) the Threshold Appreciation Price (as such term is used in the Purchase Contract Agreement) shall be 115% of the
Reference Price, (iv) the interest rate on the Senior Notes shall be 5.085% per annum and (v) the Contract Adjustment Payment Rate (as such term is used in the Purchase Contract Agreement) shall be 3.165% per annum. 
  
 (b) The terms of the Units shall be as set forth in the
Confidential Private Offering Memorandum dated May 6, 2004 delivered by the Company to each Subscriber (including all exhibits thereto, the “Confidential Private Offering Memorandum”). 
  
 (c) The Company has no obligation to issue or sell any Units
to any Subscriber and may, at any time prior to the Closing (as defined in Section 3) and upon written notice to a Subscriber, revoke such Subscriber’s subscription for the Units. 
  
 3. Closing 
  
 The Units to be purchased by each Subscriber, in certificated form and in such authorized denominations and registered in such names as each Subscriber
may request upon at least forty-eight hours’ prior notice to the Company, shall be delivered by or on behalf of the Company to each Subscriber against payment by or on behalf of such Subscriber of the purchase price in U.S. dollars for such
Units by wire transfer of federal (same-day) funds to the account specified by the Company to each Subscriber at least forty-eight hours in advance of the Closing. The time and date of such delivery and payment shall be the third business day
following the date hereof. Such time and date for delivery of the Units is called the “Closing” and the date on which the Closing occurs is called the “Closing Date.” As used in this Agreement, the term
“business day” means each Monday, Tuesday, Wednesday, Thursday and Friday that is not a day on which banking institutions in New York are generally authorized or obligated by law or executive order to close. 
  
 4. Conditions to Closing 
  
 (a) The obligations of the several Subscribers to purchase
the Units shall be subject to the satisfaction of each of the following conditions on the Closing Date: 
  
 (i) All necessary regulatory approvals for the issuance and sale of the Units by the Company shall have been obtained and shall be in full
force and effect; 
  

 2 

 (ii) The representations and warranties of the Company contained in this Agreement shall
be true and correct in all material respects as of the Execution Date and, other than the representations and warranties contained in Sections 5(j) and (l) hereof, as of the Closing Date as if made at and as of such dates; the Company shall have
furnished or caused to be furnished to the Subscribers at the Closing, certificates of officers of the Company as to such accuracy of the representations and warranties of the Company and as to the performance by the Company of all of its respective
obligations in this Agreement to be performed at or prior to the Closing; 
  
 (iii) The Subscribers shall have received an opinion of F. Dean Copeland, General Counsel of the Company dated as of the Closing Date, substantially to the effect set forth in Annex I hereto; 
  
 (iv) The Subscribers shall have received an opinion of
Sullivan & Cromwell LLP, counsel to the Company, dated as of the Closing Date, substantially to the effect set forth in Annex II hereto; 
  
 (v) The offer and sale of the Units, including the securities constituting the Units, being the Senior Notes, the Purchase Contracts and
the shares of Common Stock issuable pursuant to the terms of the Purchase Contracts (such constituent securities together, the “Underlying Securities”), to the Subscribers pursuant to this Agreement shall be exempt from the
registration requirements of the Securities Act of 1933, as amended (the “Securities Act”); and 
  
 (vi) The Company shall have executed and delivered to the Subscribers the registration rights agreement in the form of Annex III
between the Company and each of the Subscribers, dated as of the Closing Date (the “Registration Rights Agreement”). 
  
 (vii) The definitive Purchase Documents shall have been executed and delivered by the parties thereto, on substantially the terms and
conditions described in the Confidential Private Offering Memorandum and shall be in full force and effect. 
  
 (b) The obligations of the Company shall be subject to the following conditions: 
  
 (i) The several Subscribers’ representations and
warranties, as set forth in Section 7 to this Agreement, shall be true and correct at and as of the Execution Date and the Closing Date as if made at and as of such dates; and 
  
 (ii) The purchases of the Units including the Underlying Securities by the Subscribers pursuant to this
Agreement shall be exempt from the registration requirements of the Securities Act; and 
  
 (iii) The receipt of the purchase price as provided in Section 3 hereof. 
  

 3 

 5. Representations and Warranties of the Company 
  
 The Company represents and warrants to, and agrees with, each of the Subscribers that as of the Execution Date (or such
other date as may be expressly stated below): 
  
 (a) (i) The Company has been duly incorporated and is validly existing as a corporation in good standing under the laws of the State of Delaware; (ii) the Company has the corporate power and authority to own its properties and conduct its
business as currently conducted, and has been duly qualified as a foreign corporation for the transaction of business and is in good standing under the laws of each other jurisdiction in which it owns or leases properties or conducts any business so
as to require such qualification or good standing, except when the failure of the Company to be so qualified and in good standing would not, individually or in the aggregate, reasonably be expected to have a material adverse effect on the Company
and its subsidiaries, considered as a whole (a “Material Adverse Effect”); (iii) each of the subsidiaries of the Company listed on Annex IV hereto (each, a “Significant Subsidiary”) has been duly
incorporated and is validly existing as a corporation in good standing under the laws of its jurisdiction of incorporation with the corporate power and authority to own its properties and conduct its business, except when the failure of any such
Significant Subsidiary to be so would not, in each case, have a Material Adverse Effect; and (iv) each Significant Subsidiary is duly qualified to do business as a foreign corporation for the transaction of business, and is in good standing under
the laws of each other jurisdiction in which its ownership or lease of property or the conduct of its business requires such qualification and good standing, except when the failure of any such Significant Subsidiary to be so would not, in each
case, have a Material Adverse Effect; 
  
 (b) (i)
This Agreement has been duly authorized, executed and delivered by the Company and (ii) the Registration Rights Agreement has been duly authorized by the Company, and, when duly executed and delivered by the Company, and each will constitute a valid
and legally binding obligation of the Company, enforceable in accordance with its terms and subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or similar laws of general applicability relating to
or affecting creditors’ rights and to general equity principles, except that no representation is made with respect to the enforceability of any indemnification or contribution provisions contained in the Registration Rights Agreement
relating to violations under the Securities Act; 
  
 (c) (i) The Company has an authorized capitalization as set forth in the Confidential Private Offering Memorandum, and all of the issued shares of capital stock of the Company have been duly and validly authorized and issued and are fully
paid and non-assessable; (ii) the shares of Common Stock issuable pursuant to the terms of the Purchase Contracts (such shares, the “Underlying Shares”) have been duly authorized and reserved for issuance, and, when issued and
delivered in accordance with the terms of the Purchase Contracts, will be validly issued, fully paid and non-assessable; the stockholders of the Company have no preemptive or similar rights with respect to such Underlying Shares; and (iii) the
Underlying Shares will conform in all material respects to the description thereof contained in the Confidential Private Offering Memorandum; 
  

 4 

 (d) (i) Each of the Remarketing Agreement (as defined in Section 6), the Purchase
Contract Agreement and the Pledge Agreement has been duly authorized by the Company and, when duly executed and delivered by the Company, will constitute valid and legally binding obligations of the Company, enforceable in accordance with their
terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or similar laws of general applicability relating to or affecting creditors’ rights and to general equity principles; and (ii) each of
the Purchase Contract Agreement, the Pledge Agreement and the Remarketing Agreement will conform in all material respects to the descriptions thereof contained in the Confidential Private Offering Memorandum; 
  
 (e) The Pledge Agreement relating to the Units will create,
as collateral security for the performance when due by the holders from time to time of such Units of their respective obligations under the Purchase Contracts constituting part of such Units, a valid security interest (as defined in the Uniform
Commercial Code, as adopted and in effect in the State of New York (the “New York UCC”)) in favor of the collateral agent under the Pledge Agreement (the “Collateral Agent”) for the benefit of the Company, in the
right, title and interest of such holders in the securities and other assets and interests pledged to the Collateral Agent pursuant to the Pledge Agreement (the “Pledged Securities”); 
  
 (f) (i) The Purchase Contracts included in the Units have
been duly authorized by the Company and, when duly executed, authenticated and delivered in accordance with the terms of the related Purchase Contract Agreement and paid for in accordance with the terms of this Agreement, will constitute valid and
legally binding obligations of the Company, enforceable in accordance with their terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability relating to or
affecting creditors’ rights and to general equity principles; (ii) the Purchase Contracts will conform in all material respects to the description thereof contained in the Confidential Private Offering Memorandum; and (iii) the stockholders of
the Company have no preemptive or similar rights with respect to the Purchase Contracts; 
  
 (g) (i) The Base Indenture has been duly authorized and executed by the Company and constitutes a valid and legally binding obligation of
the Company, enforceable in accordance with its terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or similar laws of general applicability relating to or affecting creditors’ rights
and to general equity principles; (ii) the Supplemental Indenture has been duly authorized by the Company, and when duly executed and delivered by the Company, will constitute a valid and legally binding obligation of the Company, enforceable in
accordance with its terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or similar laws of general applicability relating to or affecting creditors’ rights and to general equity
principles; (iii) the Base Indenture conforms, and the Supplemental Indenture will conform, in all material respects to the descriptions thereof in the Confidential Private Offering Memorandum; (iv) the Senior Notes included in the Units 

  

 5 

 
have been duly authorized by the Company, and, when duly executed, authenticated, issued and delivered, will constitute valid and legally binding obligations
of the Company, enforceable in accordance with their terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors’
rights and to general equity principles, and will be entitled to the benefits provided by the Indenture; and (v) the Senior Notes conform in all material respects to the description thereof in the Confidential Private Offering Memorandum;

  
 (h) (i) The Units have been duly authorized
by the Company, and, when duly executed, authenticated and delivered pursuant to the terms of the related Purchase Contract Agreement and this Agreement, such Units will constitute valid and legally binding obligations of the Company, enforceable in
accordance with their terms, subject, as to enforcement, to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors’ rights and to general equity
principles and will be entitled to the benefits provided by the Purchase Contract Agreement; and (ii) the Units conform in all material respects to the description thereof contained in the Confidential Private Offering Memorandum; 
  
 (i) All of the issued shares of capital stock of each
Significant Subsidiary have been duly and validly authorized and issued, are fully paid and non-assessable and are or will be owned directly or indirectly by the Company, free and clear of all liens, encumbrances, equities or claims, except when
such liens, encumbrances, equities or claims would not, in each case, have a Material Adverse Effect; 
  
 (j) (i) None of the Company or any of the Significant Subsidiaries has sustained since December 31, 2003 any material loss or interference
with its business from fire, explosion, flood or other calamity, whether or not covered by insurance, or from any labor dispute or court or governmental action, order or decree, except in each case, individually or in the aggregate, as would not
materially adversely affect an investment in the Units contemplated by the Confidential Private Offering Memorandum and this Agreement; and (ii) except as otherwise contemplated by the Confidential Private Offering Memorandum, since December 31,
2003, there has not been any material adverse change, or any development that would be reasonably expected to cause a prospective material adverse change, in or affecting the general affairs, management, financial position, stockholders’ equity
or results of operations of the Company and its subsidiaries considered as a whole, except for any such decrease or development that would not, in each case, individually or in the aggregate, have a Material Adverse Effect; 
  
 (k) (i) The issue and sale of the Units, the Purchase
Contracts, the Senior Notes and the Underlying Shares and the compliance by the Company with all of the provisions of the Units, the Purchase Contracts, the Remarketing Agreement, the Purchase Contract Agreement, the Pledge Agreement, the Indenture,
the Registration Rights Agreement and this Agreement and the consummation of the transactions herein and therein contemplated will not conflict with or result in a breach or violation of any of the terms or provisions of, or constitute a default
under, any indenture, mortgage, deed of trust, loan agreement or other agreement or instrument to which the Company is a party 

  

 6 

 
or by which the Company is bound or to which any of the property or assets of the Company is subject, except for such conflicts, breaches and violations,
that, individually or in the aggregate, would not have a Material Adverse Effect, nor will such action result in any violation of the provisions of the Certificate of Incorporation or By-Laws of the Company or any statute or any order, rule or
regulation of any court or governmental agency or body having jurisdiction over the Company or any of its properties; and (ii) no consent, approval, authorization, order, registration or qualification of or with any such court or governmental agency
or body is required for the issue and sale of the Units or the consummation by the Company of the transactions contemplated by this Agreement, the Indenture, the Remarketing Agreement, the Purchase Contract Agreement, the Purchase Contracts, or the
Pledge Agreement except such as have been, or will have been obtained prior to Closing, and such registrations and qualifications as will be made or obtained under the Securities Act and the Trust Indenture Act of 1939 (the “Trust Indenture
Act”) pursuant to the Registration Rights Agreement and such consents, approvals, authorizations, registrations or qualifications as may be required under state securities or Blue Sky laws in connection with the distribution of the Units;

  
 (l) Except as set forth in the Confidential
Private Offering Memorandum, (i) there are no legal or governmental proceedings pending to which the Company or any of its Significant Subsidiaries is a party or of which any property of the Company or any of its Significant Subsidiaries is the
subject, which, if determined adversely to the Company or any of its Significant Subsidiaries, would have a Material Adverse Effect; and (ii) to the Company’s knowledge, no such proceedings are threatened or contemplated against the Company or
any of its Significant Subsidiaries; 
  
 (m) (i)
There are no legal or governmental proceedings pending in relation to the issue and sale of the Units, Purchase Contracts, the Senior Notes or the Underlying Shares or the compliance by the Company with all of the provisions of the Units, the
Purchase Contracts, the Purchase Contract Agreement, the Pledge Agreement, the Indenture, the Registration Rights Agreement or this Agreement or the consummation of the transactions herein contemplated and (ii) to the best of the Company’s
knowledge, no such proceedings are threatened or contemplated against the Company; (iii) each of the Company and the Significant Subsidiaries has all necessary consents, licenses, authorizations, approvals, orders, certificates, permits,
registrations and qualifications (collectively, the “Consents”) of and from, and has made all filings and declarations (collectively, the “Filings”) with, all insurance regulatory authorities, all federal, state,
local and other governmental authorities, all self-regulatory organizations and all courts and other tribunals, necessary to own, lease, license and use its properties and assets and to conduct its business as currently conducted, except where the
failure to have such Consents or have made such Filings would not have a Material Adverse Effect; (iv) the Company and each of the Significant Subsidiaries are in compliance in all material respects with all applicable laws, rules, regulations,
orders, by-laws and similar requirements, including in connection with registrations or memberships in self-regulatory organizations, and all such Consents and Filings are in full force and effect and, except with respect to events, inquiries,
investigations and proceedings as set forth in the Confidential Private Offering Memorandum, neither the Company nor any of the 

  

 7 

 
Significant Subsidiaries has received any notice of any event, inquiry, investigation or proceeding that would result in the suspension, revocation or
limitation of any such Consent or otherwise impose any limitation on the conduct of the business of the Company or any such subsidiary, except where the failure to so comply, the failure to have such Consents or have made such filings or the
imposition of any such limitation would not have a Material Adverse Effect; and (v) to the knowledge of the Company, there is no sustainable basis for any such suspension, revocation or limitation of any such Filing or Consent that would have a
Material Adverse Affect; 
  
 (n) The Company is
not, and, after giving effect to the issuance and sale of the Units pursuant to this Agreement and the application of the proceeds of the sale of the Units, will not be an “investment company”, as such term is defined in the
Investment Company Act of 1940, as amended; 
  
 (o) The financial statements of the Company and its consolidated subsidiaries, together with the related schedules and notes, each as delivered to Subscribers, present fairly in all material respects the financial position, the results of
operations and the changes in cash flows of such entities in conformity with U.S. generally accepted accounting principles at the respective dates or for the respective periods to which they apply; 
  
 (p) No form of general solicitation or general advertising
was used by the Company or its representatives in connection with the offer or sale of the Units. Except as may arise by breach of the representations and warranties of the Subscribers contained in Section 7(e) through Section 7(h), no registration
of the Units pursuant to the provisions of the Securities Act will be required for the offer, sale or issuance of the Units (including the Underlying Securities) pursuant to this Agreement. The Company agrees that neither it, nor anyone acting on
its behalf, will offer or sell the Units, the Underlying Securities or any other security so as to require the registration of the Units, the Underlying Securities or any such other security pursuant to the provisions of the Securities Act unless
such Units (including the Underlying Securities) are so registered; and 
  
 (q) The Confidential Private Offering Memorandum, including the exhibits thereto, as of the date hereof does not contain, and as of the Closing Date will not contain, an untrue statement of a material fact or omit to
state a material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. 
  
 (r) Insurance. Except as would not reasonably be expected to have a Material Adverse Effect, (i) the Company and its subsidiaries
have insurance covering their respective properties, operations, personnel and businesses, which insurance is in amounts and insures against such losses and risks as the Company believes is reasonably appropriate and (ii) the Company does not have
reason to believe that it or any of its subsidiaries will not be able to renew its existing insurance coverage as and when such coverage expires or to obtain similar coverage at reasonable cost as may be necessary to continue its business.

  

 8 

 (s) Solvency. On the Closing Date, the Company after giving effect to the issuance
of the Units and the application of the proceeds therefrom) will be Solvent. As used in this paragraph, the term “Solvent” means that (i) the present fair market value (or present fair saleable value) of the assets of the Company is
not less than the total amount required to pay the liabilities of the Company on its total existing debts and liabilities (including contingent liabilities) (which liabilities are calculated for purposes of this representation in the manner used in
the preparation of the Company’s consolidated balance sheet) as they become absolute and matured; (ii) the Company is able to realize upon its assets and pay its debts and other liabilities, contingent obligations and commitments as they mature
and become due in the normal course of business (assuming the ability to refinance existing obligations); (iii) the Company is not incurring debts or liabilities beyond its ability to pay as such debts and liabilities mature (assuming the ability to
refinance existing obligations); and (iv) the Company is not engaged in any business or transaction, and does not propose to engage in any business or transaction, for which it has unreasonably small capital. 
  
 (t) Reporting Requirements. The Company is subject to
the reporting requirements of Section 13 or Section 15(d) of the Exchange Act and as of the date hereof meets the “registrant eligibility” requirements set forth in the general instructions applicable to registration statements on Form S-3
covering the resale of the Units issuable pursuant to this Agreement. 
  
 6.
Covenants of the Company 
  
 The Company covenants and agrees
with each of the Subscribers: 
  
 (a) To enter
into a remarketing agreement (the “Remarketing Agreement”) with terms conforming in all material respects to the description thereof contained in the Confidential Private Offering Memorandum with a nationally recognized investment
banking firm at least one month prior to the remarketing date described in the Confidential Private Offering Memorandum; and 
  
 (b) To reserve and keep available at all times, free of preemptive rights, a sufficient number of shares of Common Stock for the purpose
of enabling the Company to satisfy any obligation to issue the Underlying Shares in accordance with the provisions of the Purchase Contracts. 
  
 7. Representations, Warranties, Covenants and Acknowledgments of the Subscribers 
  
 Each Subscriber represents and warrants to, and acknowledges and agrees with, the Company that, with respect to itself:

  
 (a) It is an entity duly organized, validly
existing and in good standing under the laws of the jurisdiction of its organization. Each Subscriber has full power and authority to enter into this Agreement and the irrevocable commitment represented thereby, to perform its obligations under this
Agreement and to consummate its purchase of Units as provided in this Agreement. This Agreement and the purchases contemplated 

  

 9 

 
under this Agreement have been duly authorized by all necessary action on the part of such Subscriber, and this Agreement has been duly executed and
delivered by such Subscriber and is a valid and binding obligation of such Subscriber, enforceable against such Subscriber in accordance with its terms, subject to bankruptcy, insolvency, reorganization, moratorium or similar laws relating to
creditors’ rights and general principles of equity; 
  
 (b) The execution, delivery and performance by each Subscriber of its obligations under this Agreement does not and will not conflict with or result in a breach or violation of any of the terms or provisions of, or
constitute a default under, any indenture, mortgage, deed of trust, loan agreement or other agreement or instrument to which such Subscriber is a party or by which such Subscriber is bound or to which any of the property or assets of such Subscriber
is subject, nor will such actions result in any violation of the provisions of the certificate of incorporation or by-laws (or analogous constitutional documents) of such Subscriber or any statute or any order, rule or regulation of any court or
other governmental agency or body having jurisdiction over such Subscriber or any of its properties, except as would not have a Material Adverse Effect on such Subscriber or its ability to perform its commitment and obligations under this Agreement;

  
 (c) Such Subscriber is not required to obtain
any approval, consent, exemption, authorization, or other action by, or notice to, or filing with, any governmental entity or authority or any other person or entity in respect of any law not previously obtained, given or made, and no lapse of a
waiting period under any law applicable to such Subscriber is necessary or required, in connection with the execution, delivery or performance by such Subscriber or enforcement against such Subscriber of this Agreement; 
  
 (d) (i) The Units (including the Underlying Securities) to
be purchased by it pursuant to this Agreement are being acquired solely for the purpose of investment within the meaning of Section 801.1 of the Premerger Notification Rules set forth in 16 C.F.R. Part 800 and (ii) with respect to its purchase of
Units (including the Underlying Securities) contemplated by this Agreement, it will otherwise qualify for the exemption set forth in Section 802.9 of the Premerger Notification Rules set forth in 16 C.F.R. Part 800 (e.g., it is not a
competitor of the Company); 
  
 (e) The Units
(including the Underlying Securities) to be purchased by it pursuant to this Agreement are being acquired for its own account for investment and not with a view to the distribution thereof or with any intention of distributing or reselling such
Units (or any of the Underlying Securities) or any part thereof within the meaning of the Securities Act or any applicable state securities laws; neither such Subscriber nor any person acting on behalf of such Subscriber, directly or indirectly, has
entered into any hedging transaction or other transaction with respect to the Units or any of the Underlying Securities which is designed to or which reasonably could be expected to lead to or result in a sale or disposition of the Units or any of
the Underlying Securities, even if such Units or Underlying Securities would be disposed of by someone other than the Subscriber, in anticipation of this Agreement or the purchase and sale of Units hereunder, 

  

 10 

 
nor will any such person, directly or indirectly, enter into any hedging or derivative transaction with respect to the Units or the Underlying Securities
during the period beginning on the date of this Agreement and ending six months following the Closing Date (the “Restricted Period”); and the Subscriber agrees that any such hedging or derivative transactions, if and when executed
following the expiration of the Restricted Period, shall be effected pursuant to an available exemption from registration under the Securities Act. Such prohibited hedging or derivative transactions would include without limitation any short sale or
any purchase, sale or grant of any right (including without limitation any put or call option) with respect to any of the Units or the Underlying Securities or with respect to any security that includes, relates to, or derives any significant part
of its value from such Units or Underlying Securities. Notwithstanding the foregoing, this paragraph (e) shall not prohibit or otherwise restrict sales of the Units or Underlying Securities pursuant to an effective registration statement under the
Securities Act; 
  
 (f) Such Subscriber’s
financial condition is such that such Subscriber is able to bear all economic risks of investing in the Units, including a complete loss of such Subscriber’s investment in the Units. Such Subscriber: 
  
 (i) is a “qualified institutional buyer” as
defined in Rule 144A under the Securities Act and is purchasing Units hereunder in an aggregate stated amount of at least U.S. $1,000,000; 
  
 (ii) has such knowledge and experience in financial and business matters that such Subscriber is capable of evaluating the merits and
risks of the investment in the Units contemplated by this Agreement; and 
  
 (iii) maintains its principal place of business at the address set forth on Schedule I hereto (it being agreed that each Subscriber shall have the unilateral right by notice to the Company to amend such address
after the Execution Date); 
  
 (g) Such
Subscriber acknowledges that it has carefully reviewed the Confidential Private Offering Memorandum and that the Company has provided such Subscriber with adequate access to financial and other information concerning the Company and the Units as
requested and such Subscriber has had the opportunity to ask questions of and receive answers from the Company concerning such matters and the purchase of the Units contemplated by this Agreement and to obtain from the Company any additional
information necessary to make an informed decision regarding an investment in the Company and the Units. Such Subscriber acknowledges that the Company has given it an opportunity to perform its own due diligence and such Subscriber has entered into
this Agreement without relying on any representation or warranty of the Company or any other person for purposes of making an investment decision with respect to the Units other than those expressly set forth in this Agreement; 
  
 (h) Such Subscriber acknowledges that Goldman, Sachs &
Co., as the private placement agent (the “Private Placement Agent”) in connection with the issue and sale of Units hereunder, will not be providing you with any material regarding the Units or the 

  

 11 

 
Company except for the Confidential Private Offering Memorandum, dated May 6, 2004. In addition, such Subscriber acknowledges that the Private Placement
Agent makes no representation or warranty, expressed or implied, as to the accuracy or completeness of the information provided or to be provided to you by the Company, and nothing contained in any documents provided to it is, or shall be relied
upon as, a promise or representation by the Private Placement Agent; 
  
 (i) Such Subscriber understands that neither the Units nor any of the Underlying Securities will be registered under the Securities Act, on the ground that the sale provided for in this Agreement is exempt from
registration under the Securities Act pursuant to Section 4(2) thereunder, and that the reliance of the Company on such exemption is predicated in part on such Subscriber’s representations set forth in this Agreement. Such Subscriber
understands that the Units and each of the Underlying Securities being purchased under this Agreement are restricted securities within the meaning of Rule 144 of the Securities Act, that the Units and each of the Underlying Securities are not
registered and must be held indefinitely unless they are subsequently registered or an exemption from such registration is available and that neither the Company nor the Placement Agent makes any representation as to the availability of Rule 144 or
any other exemption under the Securities Act for the re-offer, resale, pledge or transfer of the Units or the Underlying Securities; and 
  
 (j) If it is an entity whose underlying assets are considered to include “plan assets” as defined in the Employee Retirement
Income Security Act of 1974, as amended (“ERISA”): 
  
 (A) as of the Closing and on each day from and including the Closing Date through and including the later of (I) the date of satisfaction of its obligations under all Purchase Contracts held by it and (II) the
disposition of all Units and any of the Underlying Securities, the acquisition, holding and the disposition of any Unit (and any of the Underlying Securities) by such Subscriber does not and will not constitute a prohibited transaction under ERISA
or Section 4975 of the Internal Revenue Code of 1986, as amended (the “Code”) or other similar laws, in each case, because an exemption (which, in the case of a plan subject to ERISA or the Code, shall be a prohibited transaction class
exemption issued by the U.S. Department of Labor) is available with respect to such transactions and the conditions of such exemption have been satisfied; and 
  

(B) participation in the remarketing of the Senior Notes described in the Confidential Private Offering Memorandum will not constitute
or result in a prohibited transaction under ERISA or Section 4975 of the Code or other similar laws, in each case, for which an exemption is not available. 
  
 (k) Such Subscriber acknowledges and agrees, and covenants with the Company, without limitation, that: 
  
 (A) an investment in the Units entails significant risks,
certain of which risks are described in the “Risk Factors” section previously disclosed to it in the 

  

 12 

 
Confidential Private Offering Memorandum, that there may be risks associated with such investment that are not so disclosed it in the Confidential Private
Offering Memorandum and that there is a wide range of possible returns on its investment in Units, including a complete loss of its entire investment; 
  
 (B) it will make its own investment decision regarding the Units based on its own knowledge and investigation of the Company and the
Units; 
  
 (C) it shall treat (i) the Senior
Notes as indebtedness of the Company, (ii) treat itself as owner of the Senior Notes or Treasury Securities (as applicable), (iii) allocate 100.00% of the issue price of the Units to its interest in the Senior Notes and 0.00% to the Purchase
Contract, in each case, for all U.S. Federal, state and local tax purposes and shall file its tax returns consistent with such treatment, except to the extent prohibited by law or regulation; 
  
 (D) so long as a registration statement is in effect under
the Securities Act with respect to the transactions in the Units and the Underlying Securities and the use of the prospectus included in such registration statement has not been suspended pursuant to the terms of the Registration Rights Agreement,
it will only transfer the Units and the Underlying Securities in a transaction covered by the plan of distribution included in such prospectus; 
  
 (E) its Units and Underlying Securities will be included in the registration statement required to be filed by the Company pursuant to the
Registration Rights Agreement; and 
  
 (F) shall,
not later than the Closing Date, return a completed and signed “Questionnaire” in the form attached hereto as Annex VI to the address therein specified. 
  
 8. Third Party Beneficiary 
  
 (a) The Company agrees and acknowledges that Goldman, Sachs & Co., the Company’s placement agent for the Units, shall be entitled
to rely on, as third party beneficiary, all the representations and warranties of the Company contained in this Agreement; and 
  
 (b) Each Subscriber agrees and acknowledges that Goldman, Sachs & Co., the Company’s placement agent for the Units, shall be
entitled to rely on, as third party beneficiary, all the representations and warranties of each such Subscriber contained in this Agreement. 
  
 9. Expenses and Fees 
  
 The Company shall pay all costs and expenses in connection with the preparation, printing, typing, reproduction, execution and delivery of this Agreement,
the Confidentiality Agreement, the Indenture, the Purchase Contract Agreement, the Registration Rights Agreement, 

  

 13 

 
the Pledge Agreement and the Units and the Underlying Securities, any and all other documents furnished by the Company pursuant to or in connection with this
Agreement, the Indenture, the Purchase Contract Agreement, the Registration Rights Agreement, the Pledge Agreement and any amendment or supplement to or modification of any of the foregoing including the reasonable fees and disbursements of the
Company’s counsel. The parties shall otherwise bear their own costs and expenses in connection with this Agreement and the transactions contemplated hereby. 
  
 10. Restrictions on Transfer 
  
 The Company and each of the Subscribers hereby establish and the Subscribers hereby agree that all offers and sales of Units shall be subject to the
restrictions described in the legend attached hereto as Annex V. A legend substantially to the effect of Annex V shall appear on each individual certificate representing any Unit, Senior Note or Purchase Contract issued and sold
pursuant to this Agreement and any shares of Common Stock issued pursuant to any such Purchase Contract. 
  
 11. Indemnification by the Company 
  
 (a) The Company (i) shall indemnify and hold harmless, to the fullest extent permitted by law, each Subscriber from any losses, damages, expenses or liabilities (“Damages”), arising out of actions or
claims of third parties (excluding each Subscriber’s subsidiaries and controlled affiliates) arising out of any untrue statement or alleged untrue statement of any material fact contained in the Confidential Private Offering Memorandum or in
any amendment or supplement thereto or insofar as such Damages arise out of the omission or alleged omission from the Confidential Private Offering Memorandum or any amendment or supplement thereto of a material fact required to be stated therein or
necessary to make the statements made therein not misleading, and (ii) shall reimburse each Subscriber for any legal or other expenses reasonably incurred by such Subscriber in investigating or defending any such actions or claims as such expenses
are incurred; provided that the Company is not liable in any such case to the extent that any such Damages arise out of an untrue statement or alleged untrue statement or omission or alleged omission made in the Confidential Private Offering
Memorandum or in any amendment or supplement thereto in reliance upon and in conformity with written information furnished to the Company by or on behalf of such Subscriber expressly for inclusion in the Confidential Private Offering Memorandum or
in any amendment or supplement thereto. 
  
 (b)
Each Subscriber shall, if a claim is to be made by such Subscriber against the Company under Section 11(a) hereof, promptly notify the Company and all other Subscribers in writing within 30 days after becoming aware of such claim. The omission to so
notify the Company of the commencement of such action shall not relieve the Company from any liability which it may have to any such Subscriber under Section 11(a) hereof to the extent the Company is not materially prejudiced (through the forfeiture
of substantive rights or defenses) as a result of such omission. 
  

 14 

 (c) The Company and the Subscribers agree that any payment made under Section 11(a)
hereof shall be treated by the parties on their tax returns, to the extent permitted by law or regulation, as an adjustment to the original purchase price paid to the Company for the Units to which the payment relates. 
  
 (d) If the indemnification provided for in this Section 11
is unavailable to or insufficient to hold harmless an indemnified party under subsection (a) above in respect of any Damages (or actions in respect thereof) referred to therein, then each indemnifying party shall contribute to the amount paid or
payable by such indemnified party as a result of such Damages (or actions in respect thereof) in such proportion as is appropriate to reflect the relative benefits received by the Company on the one hand and each of the Subscribers on the other from
the offering of the Units to which such Damage (or action in respect thereof) relates. If, however, the allocation provided by the immediately preceding sentence is not permitted by applicable law or if the indemnified party failed to give the
notice required under subsection (b) above, then each indemnifying party shall contribute to such amount paid or payable by such indemnified party in such proportion as is appropriate to reflect not only such relative benefits but also the relative
fault of the Company on the one hand and each Subscriber on the other in connection with the statements or omissions which resulted in such Damages (or actions in respect thereof), as well as any other relevant equitable considerations. The relative
benefits received by the Company are the total net proceeds from such offering (before deducting expenses). The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact
or the omission or alleged omission to state a material fact relates to information supplied by the Company on the one hand or such Subscribers on the other and the parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission. The Company and the Subscribers agree that it would not be just and equitable if contribution pursuant to this subsection (d) were determined by pro rata allocation (even if the Subscribers were treated
as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred to above in this subsection (d). The amount paid or payable by an indemnified party as a result of the Damages
(or actions in respect thereof) referred to above in this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim.
Notwithstanding the provisions of this subsection (d), no Subscriber shall be required to contribute any amount in excess of the amount by which the total price at which the Units were purchased exceeds the amount of any damages which such
Subscriber has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be
entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. The obligations of the Subscribers for the Units in this subsection (d) to contribute are several in proportion to their respective purchases and not
joint. 
  

 15 

 12. Confidentiality 
  
 (a) The term “Information” means all information about the Company and/or one or more of its affiliates and their
respective businesses and the offer and sale of the Units, in each case, furnished to Subscribers or their Representatives (as defined below) by the Company or its Representatives, furnished before the Closing Date, whether oral or written, and in
whatever form it is furnished, and all analyses, compilations, models, studies, summaries, notes, data and other documents and materials in whatever form produced or maintained, whether prepared by a Subscriber, its Representatives or others, that
contain or reflect, or are generated from, any such information. Information shall not include, however, information which (i) is or becomes publicly available other than as a result of a disclosure by a Subscriber or its Representatives or (ii) is
or becomes available to a Subscriber on a nonconfidential basis from a source (other than the Company or its Representatives) that, to the best of such Subscriber’s knowledge after due inquiry, is not prohibited from disclosing such Information
to such Subscriber by legal, contractual, fiduciary or other obligation to the Company or any of its Representatives. The term “Representative” means for purposes of this Section 12, as to any person, such person’s affiliates
and its and their respective directors, officers, employees, agents, other representatives (including, without limitation, advisors, financial advisors and consultants, counsel, attorneys, actuarial advisors and accountants). The term
“person” shall be broadly interpreted to include, without limitation, any corporation, company, partnership, other entity or individual. 
  
 (b) Each Subscriber agrees: (i) to keep the Information confidential and not to, without the Company’s prior written consent,
disclose or reveal any Information in any manner whatsoever and (ii) not to use, and to cause its Representatives not to use, Information for any purpose other than in connection with its purchase or ownership of the Units; provided, however,
that a Subscriber may reveal the Information to its Representatives (a) who are actively and directly participating in advising such Subscriber with respect to its investment in the Units or who otherwise need to know the Information for the purpose
of advising such Subscriber with respect to its investment in the Units, (b) who are informed by such Subscriber of the confidential nature of the Information and (c) who agree to act in accordance with this Section 12. The Subscriber will require
its Representatives to observe the terms of this Section 12, and such Subscriber will be responsible for any breach of this Section 12 by any of its Representatives and each Subscriber agrees, at its sole expense, to take all reasonable measures
(including, but not limited to, court proceedings) to restrain its Representatives from prohibited or unauthorized use of the Information. 
  
 (c) In the event that the Subscriber or any of its Representatives is requested pursuant to, or required by, applicable law or regulation
or by legal process to disclose any Information or any other information concerning the Company or the purchase of Units, the Subscriber agrees that it will provide the Company with prompt notice of such request or requirement in order to enable it
to (i) seek a protective order or other appropriate remedy, (ii) consult with the Subscriber with respect to the Company’s taking steps to resist or narrow the scope of such request or legal process or (iii) in the Company’s sole
discretion, waive compliance, in whole or in part, with the terms of this Section 12. In the event that no such protective order or other remedy is obtained before the Subscriber is required to produce the Information or the Company waives
compliance with the terms hereof, the Subscriber shall furnish, at its sole expense, only 

  

 16 

 
that portion of the Information which, in the opinion of its counsel, is legally required to be disclosed. In any such event, the Subscriber will use all
reasonable efforts to ensure that confidential treatment will be accorded the Information and any other information concerning the Company or the purchase of Units that is so disclosed. 
  
 (d) Without prejudice to the rights and remedies otherwise available at law or equity to the Company, it is
further understood and agreed that the Company would be irreparably injured by a breach of this Section 12, that money damages would not be a sufficient remedy for any actual or threatened breach of this Section 12 by the Subscriber or any of its
Representatives and that the Company and its affiliates shall (without proof of actual damages) be entitled to equitable relief, including injunction and specific performance that may be available as a remedy, in addition to any other remedies that
may be available in law or equity, if the Subscriber or any of its Representatives breach or threaten to breach any of the provisions of this Section 12. In the event of litigation relating to this Section 12, if a court of competent jurisdiction
determines that the Subscriber or any of its Representatives have breached this Section 12, then the Subscriber shall reimburse the Company or the applicable affiliate for the costs and expenses (including without limitation, reasonable legal fees
and expenses) incurred in connection with such litigation. 
  
 13. Coordination
of Communications of Non-Confidential Information 
  
 With
respect to communications regarding information that is not confidential “Information” (as defined above), the Company and each of the Subscribers: 
  

(a) consent to public disclosure of the identity of the Subscribers, the Subscription Agreement and the Units in connection with the
public announcement of the transactions contemplated by this Agreement, as well as substantially similar disclosures in any press release of the Company and any report or other filing of the Company made pursuant to the Exchange Act (the
“Approved Public Disclosures”); 
  
 (b) agree that this Agreement (including the Schedule and Annexes hereto), and any amendments to either may be publicly disclosed by the Company and that the term “Approved Public Disclosures” shall include the content of such
documents; 
  
 (c) agree that, with respect to
public disclosures by the Company regarding its sale of the Units, the Company shall consult with and obtain the consent of the Subscribers in advance of any public disclosure regarding the Subscriber’s intent in making an investment in the
Units other than as contemplated by the Approved Public Disclosures, but the Company is otherwise free to make public disclosures concerning this Agreement and the Units without consulting with the Subscribers; 
  
 (d) agree that, with respect to public disclosures by a
Subscriber regarding its purchase of Units, each Subscriber will consult with and obtain the prior consent of the Company prior to any public disclosure by the Subscriber occurring prior to the Closing Date, it being understood that the Subscriber
may make Approved Public Disclosures it deems necessary and appropriate without the consent of the Company; following the Closing Date such prior consultation shall not be required; and 
  

 17 

 (e) agree that, notwithstanding anything to the contrary in this agreement, each party to
this agreement (and such person’s employees, representatives, or other agents) may disclose to any and all persons, without limitation of any kind, the U.S. Federal tax treatment and U.S. Federal tax structure of the transactions and
arrangements discussed in these materials and all materials of any kind (including opinions or other tax analyses) that are provided to such person relating to such tax treatment and tax structure. For purposes of this provision, the “tax
structure” includes only those facts that may be relevant to understanding the purported or claimed U.S. Federal income tax treatment of the relevant transaction or arrangement and, to eliminate any doubt, therefore does not include information
revealing or tending of itself to reveal the identity of the Company or any other person that participates in any way in discussion or preparation of (or is identified in any way in) materials that may be provided (and, in each case, such
person’s affiliates, employees, representatives and other agents). This provision is intended to prevent any transaction or arrangement relating to these materials that is ultimately consummated from being treated as a “confidential
transaction” within the meaning of Treas. Regs. §§1.6011-4(b)(3) and (c)(3)(i)(B). 
  
 14. Survival 
  
 (a) In the event the Closing occurs hereunder, the respective agreements, representations, warranties, covenants and other statements of the Company and the Subscribers, as set forth in this Agreement or made by or on behalf of them,
respectively, pursuant to this Agreement, shall remain in full force and effect, regardless of any investigation (or any statement as to the results thereof) made by or on behalf of any Subscriber or any officer or director or controlling person of
any Subscriber, or the Company, or any officer or director or controlling person of the Company, and shall survive delivery of and payment for the Units. 
  
 (b) In the event the Closing does not occur hereunder on or prior to the Closing Date (including by virtue of the Company’s
revocation of subscriptions pursuant to Section 2(c)), the obligations of the parties hereunder shall terminate other than: 
  
 (i) the Company’s rights under Section 2(c); and 
  
 (ii) Sections 9, 12, 14, 15, 18 and 19. 
  
 15. Notices 
  
 All notices under this Agreement shall be in writing, and if from the Company to the Subscribers shall be delivered or sent by mail or facsimile
transmission to you at the addresses set forth in Schedule I, as amended in accordance with Section 7(f)(iii); and if to the Company shall be delivered or sent by mail or facsimile transmission to UnumProvident Corporation, One Fountain
Square, Chattanooga, Tennessee 37402, Attention: Robert C. Greving, Chief Financial Officer. Any such statements, requests, notices or agreements shall be effective upon receipt. 
  

 18 

 16. Successors and Assigns 
  
 (a) This Agreement shall be binding upon, and inure solely to the benefit of, the Subscribers, the Company, and, to the
extent provided in Section 14(a), the officers and directors of each of the Company and the Subscribers, and each person who controls the Company, or any Subscriber, and their respective heirs, executors, administrators, successors and assigns, and,
except as set forth in Section 8 hereof, no other person shall acquire or have any right under or by virtue of this Agreement. No purchaser of any of the Units from any Subscriber (“Subsequent Purchaser”) shall be deemed a successor
or assign by reason merely of such purchase. 
  
 (b) This
Agreement may not be assigned by the Subscriber or the Company and any purported assignment shall be null and void.  
  
 17. Headings 
  
 The headings used in this Agreement are for convenience only, are not part of this Agreement and shall not affect the construction of, or be taken into
consideration in interpreting, this Agreement. 
  
 18. Governing Law

  
 This Agreement shall be governed by and construed in
accordance with the laws of the State of New York without giving effect to the conflicts of laws principles thereof. 
  
 19. Jurisdiction and Venue 
  
 Each party hereto agrees that any suit, action or proceeding brought by a Subscriber against the Company in connection with or arising out of this
Agreement, the Units or the offer and sale of the Units shall be brought non-exclusively in a United States District Court located in the Southern District of the State of New York. Each party hereto waives its right to trial by jury in any suit,
action or proceeding with respect to this Agreement, the Units or the offer and sale of the Units. 
  
 20. Entire Agreement 
  
 This Agreement, the Indenture, the Purchase Contract Agreement, the Pledge Agreement, the Remarketing Agreement and the Registration Rights Agreement, including any schedules and annexes hereto and thereto, constitute the entire agreement
between the Company and each Subscriber with respect to the subject matter hereof and thereof and supersede all prior agreements, understandings and negotiations, both written and oral (including the confidentiality agreements entered into between
each Subscriber and the Company in connection with the offering of the Units), and there are no representations, warranties, covenants, acknowledgments or agreements between the parties with respect to the subject matter hereof or thereof except as
expressly set forth herein and therein. 
  

 19 

 21. Counterparts 
  
 This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which shall together constitute
one and the same instrument. 
  
 22. Amendments, Waivers and Consents

  
 (a) This Agreement may be amended only upon execution of a
written amendment by (a) on the one hand, the Company and (b) on the other hand (1) at or prior to the Closing, the Majority Subscribers and (2) after the Closing, holders of a majority of the Units outstanding at the time of such approval, any such
amendment to bind all Subscribers and holders of the Units. Section 8 hereof cannot be amended without the consent of Goldman, Sachs & Co. as third party beneficiary. “Majority Subscribers” are one or more Subscribers who,
together with their affiliates, have committed to purchase an aggregate number of Units amounting to greater than 50% of the stated amount of Units to be purchased hereunder by all Subscribers. 
  
 (b) Any written waiver or consent with respect to any provision of this
Agreement, any term or provision of the Units or otherwise that is executed by (1) at or prior to the Closing, the Majority Subscribers or (2) after the Closing, holders of a majority of the Units outstanding at the time of execution of such waiver
or consent, shall bind all Subscribers and holders of the Units. 
  

 20 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	Very truly yours,
	
	UNUMPROVIDENT CORPORATION
		
	By:	 	 /s/ F. Dean Copeland

	 	 	

	 	 	 Name: F. Dean Copeland
 Title: Senior Executive Vice President
           and General Counsel

  

			
	 Agreed as of the date hereof:

	
	 [SUBSCRIBER]

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

 21 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	Agreed as of the date hereof:
	
	D.E. Shaw & Co.
		
	By:	 	 /s/ Suzie J. Hahn

	 	 	

	 	 	 Name: Suzie J. Hahn
 Title: Managing Director

  

 22 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	Very truly yours,
	
	UNUMPROVIDENT CORPORATION
		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 FIDELITY PURITAN TRUST: FIDELITY LOW-PRICED STOCK FUND

		
	By:	 	 /s/ John H. Costello

	 	 	

	 	 	 Name: John H. Costello
 Title: Assistant Treasurer

  

 23 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	Agreed as of the date hereof:
	
	 FTVIPT – FRANKLIN INCOME SECURITIES FUND
 FIST – FRANKLIN CONVERTIBLE SECURITIES FUND
 FTIF – FRANKLIN INCOME FUND

		
	By:	 	 /s/ David P. Goss

	 	 	

	 	 	 Name: David P. Goss
 Title: Vice President

  

 24 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 HIGHBRIDGE INTERNATIONAL LLC
 By: Highbridge Capital Management LLC

		
	By:	 	 /s/ Bart E. Baum

	 	 	

	 	 	 Name: Bart E. Baum
 Title: Managing Director

  

 25 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 OZ MASTER FUND, LTD.
 By: OZ Management, L.L.C.

		
	By:	 	 /s/ Daniel S. Och

	 	 	

	 	 	 Name: Daniel S. Och
 Title: Senior Managing Member

  

 26 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 OZ MAC 13, LTD.
 By: OZ Management, L.L.C., its Investment Manager

		
	By:	 	 /s/ Daniel S. Och

	 	 	

	 	 	 Name: Daniel S. Och
 Title: Senior Managing Member

  

 27 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 STARO ASSET MANAGEMENT LLC

		
	By:	 	 /s/ Colin M. Lancaster

	 	 	

	 	 	 Name: Colin M. Lancaster
 Title: General Counsel

  

 28 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	Very truly yours,
	
	UNUMPROVIDENT CORPORATION
		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 T. ROWE PRICE ASSOCIATES, INC.

		
	By:	 	 /s/ Jeff Arrisale

	 	 	

	 	 	 Name: Jeff Arrisale
 Title: Vice President

  

 29 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 BAY POND PARTNERS, L.P.
 By: Wellington Management Company, LLP, as
             Investment adviser

		
	By:	 	 /s/ Julie A. Jenkins

	 	 	

	 	 	 Name: Julie A. Jenkins
 Title: Vice President and Counsel

  

 30 

 If the foregoing is in accordance with your understanding, please sign and return three copies of this
Agreement to UnumProvident Corporation, 1 Fountain Square, Chattanooga, Tennessee 37402, Facsimile: 423-294-2590, Attention: Susan N. Roth, and upon your acceptance of this Subscription Agreement, this Subscription Agreement and your acceptance
shall constitute a binding agreement between each of the Subscribers and the Company. 
  

			
	 Very truly yours,

	
	 UNUMPROVIDENT CORPORATION

		
	By:	 	 
	 	 	

	 	 	 Name:
 Title:

  

			
	 Agreed as of the date hereof:

	
	 BAY POND INVESTORS (BERMUDA), L.P.
 By: Wellington Management Company, LLP as
             Investment adviser

		
	By:	 	 /s/ Julie A. Jenkins

	 	 	

	 	 	 Name: Julie A. Jenkins
 Title: Vice President and Counsel

  

 31 

 Schedule I 
  

						
	 Subscriber

	  	Number of Units
to be Purchased

	  	 Total
 Purchase Price

	 D.E. Shaw & Co.
	  	2,400,000	  	$	60,000,000
	 Fidelity Puritan Trust: Fidelity Low-Priced Stock Fund
	  	720,000	  	$	18,000,000
	 Franklin Income Securities Fund
 Franklin Convertible Securities Fund
 Franklin Income Fund
	  	1,400,000	  	$	35,000,000
	 Highbridge International LLC
	  	1,800,000	  	$	45,000,000
	 OZ Master Fund, Ltd.
 OZ MAC 13, Ltd.
	  	2,300,000	  	$	57,500,000
	 STARO Asset Management, LLC
	  	400,000	  	$	10,000,000
	 T. Rowe Price Associates, Inc.
	  	2,800,000	  	$	70,000,000
	 Bay Pond Partners, L.P.
 Bay Pond Investors (Bermuda), L.P.
	  	180,000	  	$	4,500,000
	 	  	
	  	
	

	 Total
	  	12,000,000	  	$	300,000,000
	 	  	
	  	
	

  

 S-1 

 ANNEX I 
  
 Form of Opinion of F. Dean Copeland 
  
 (i) The Company has been duly incorporated and is validly existing as a corporation in good standing under the laws of the jurisdiction of
its incorporation, with corporate power and authority to own its properties and conduct its business as described in the Confidential Private Offering Memorandum, as amended or supplemented; 
  
 (ii) The Company has an authorized capitalization as set
forth in the Confidential Private Offering Memorandum, as amended or supplemented, and all of the issued shares of capital stock of the Company have been duly and validly authorized and issued and are fully paid and non-assessable; the Underlying
Shares have been duly and validly authorized and reserved for issuance and, when issued in accordance with the provisions of the Purchase Contracts, will be duly and validly issued, fully paid and non-assessable; the stockholders of the Company have
no preemptive or similar rights with respect to such Underlying Shares; and the Underlying Shares conform in all material respects to the description thereof contained in the Confidential Private Offering Memorandum, as amended or supplemented;

  
 (iii) The Company is qualified to do
business, and is in good standing, as a foreign corporation under the laws of each jurisdiction in which the business conducted by it requires such qualification or, if not so qualified and in good standing in any such jurisdiction, such failure to
be so qualified and in good standing, as of the date of the opinion will not have a Material Adverse Effect and would not be reasonably expected to cause a prospective Material Adverse Effect on the Company and its subsidiaries taken as a whole;

  
 (iv) Each Significant Subsidiary of the
Company has been duly organized, and is subsisting and in good standing as a corporation under the laws of its jurisdiction of incorporation, and all of the issued shares of capital stock of each such subsidiary have been duly and validly authorized
and issued, are fully paid and non-assessable, are owned directly or indirectly by the Company, and to the best knowledge of such counsel, are free and clear of all liens, encumbrances, equities or claims; 
  
 (v) To the best of such counsel’s knowledge and other
than as set forth in the Confidential Private Offering Memorandum, there are no legal or governmental proceedings pending to which the Company or any of its subsidiaries is a party or of which any property of the Company or any of its subsidiaries
is the subject which, if determined adversely to the Company or any of its subsidiaries, would individually or in the aggregate have a Material Adverse Effect on the consolidated financial position, stockholders’ equity or results of operations
of the Company and its subsidiaries; to the best of such counsel’s 

  

 
knowledge, no such proceedings are threatened or contemplated by governmental authorities or threatened by others; 
  
 (vi) This Agreement and the Registration Rights Agreement
has been duly authorized, executed and delivered by the Company; 
  
 (vii) Each of the Purchase Contract Agreement, the Pledge Agreement and the Remarketing Agreement has been duly authorized by the Company, and each of the Purchase Contract Agreement and the Pledge Agreement has been
duly executed and delivered by the Company; and each of the Purchase Contract Agreement and the Pledge Agreement conforms and the Remarketing Agreement will conform in all material respects to the descriptions thereof contained in the Confidential
Private Offering Memorandum, as amended or supplemented; 
  
 (viii) The Purchase Contracts have been duly authorized, executed and delivered by the Company and conform in all material respects to the description thereof contained in the Confidential Private Offering Memorandum,
as amended or supplemented; 
  
 (ix) The Units
have been duly authorized by the Company and the stockholders of the Company have no preemptive or similar rights with respect to such Units; and the Units conform in all material respects to the description thereof contained in the Confidential
Private Offering Memorandum, as amended or supplemented; 
  
 (x) The Indenture has been duly authorized, executed and delivered by the Company and conforms in all material respects to the description thereof in the Confidential Private Offering Memorandum, as amended or
supplemented; 
  
 (xi) The issuance of the
Underlying Shares has been duly authorized and reserved for issuance and, when issued in accordance with the provisions of the Purchase Contracts, the Underlying Shares will be validly issued, fully paid and non-assessable; and the stockholders of
the Company have no preemptive or similar rights with respect to such Underlying Shares; 
  
 (xii) The Senior Notes have been duly authorized by the Company and conform in all material respects to the description thereof in the
Confidential Private Offering Memorandum, as amended or supplemented; 
  
 (xiii) The issue and sale of the Units, the Senior Notes and the Underlying Shares and the compliance by the Company with all of the provisions of the Indenture, the Purchase Contracts, the Remarketing Agreement, the
Purchase Contract Agreement, the Pledge Agreement, the Registration Rights Agreement and this Agreement, and the consummation of the transactions herein and therein contemplated will not conflict with or result in a breach or violation of any of the
terms or provisions of, or constitute a default under, any indenture, mortgage, deed of trust, loan agreement or other agreement or instrument known 

  

 2 

 
to such counsel to which the Company is a party or by which the Company is bound or to which any of the property or assets of the Company is subject, except
for such conflicts, breaches and violations, that do not, individually or in the aggregate, have a Material Adverse Effect and are not reasonably expected to have a prospective Material Adverse Effect on the Company and its subsidiaries considered
as a whole, nor will such actions result in any violation of the provisions of the Certificate of Incorporation or By-Laws of the Company or any statute or any order, rule or regulation known to such counsel of any court or governmental agency or
body having jurisdiction over the Company or any of its properties; and 
  
 (xiv) No consent, approval, authorization, order, registration or qualification of or with any court or governmental agency or body is required for the issue and sale of the Units or the consummation by the Company of
the transactions contemplated by this Agreement, the Registration Rights Agreement, the Indenture, the Remarketing Agreement, the Purchase Contract Agreement, the Purchase Contracts, or the Pledge Agreement except such as have been, or will have
been obtained prior to Closing, and such registrations and qualifications as will be made or obtained under the Securities Act and the Trust Indenture Act pursuant to the Registration Rights Agreement and such consents, approvals, authorizations,
registrations or qualifications as may be required under state securities or Blue Sky laws in connection with the distribution of the Units. 
  
 In addition, such counsel shall state that he has no reason to believe that, as of its date, the Confidential Private Offering Memorandum, as amended or
supplemented, or any further amendment or supplement thereto made by the Company prior to such Closing (other than the financial statements and related schedules therein, as to which such counsel need express no opinion) contained an untrue
statement of a material fact or omitted to state a material fact necessary to make the statements therein, in light of the circumstances in which they were made, not misleading or that, as of such Closing, the Confidential Private Offering
Memorandum, as amended or supplemented or any further amendment or supplement thereto made by the Company prior to such Closing (other than the financial statements and related schedules therein, as to which such counsel need express no opinion)
contains an untrue statement of a material fact or omits to state a material fact necessary to make the statements therein, in light of the circumstances in which they were made, not misleading. 
  
 In rendering such opinion, such counsel may rely as to matters involving the
application of laws of any jurisdiction other than the State of Georgia, the State of Tennessee or the Federal laws of the United States, to the extent he deems proper and specified in such opinion, upon the opinion of Sullivan & Cromwell LLP or
other counsel of good standing whom he believes to be reliable and who are satisfactory to counsel for the Subscribers. 
  

 3 

 ANNEX II 
  
 Form of Opinion of Sullivan & Cromwell LLP 
  
 (i) The Company has been duly incorporated and is an existing corporation in good standing under the laws of the State of Delaware;

  
 (ii) Each of the Indenture, the Purchase
Contract Agreement, the Pledge Agreement, the Remarketing Agreement and the Purchase Contracts has been duly authorized by the Company and each of the Indenture, the Purchase Contract Agreement, the Pledge Agreement and the Purchase Contracts has
been duly executed and delivered by the Company and constitutes a legal, valid and binding obligation of the Company enforceable against the Company in accordance with its terms, subject to bankruptcy, insolvency, reorganization, moratorium,
fraudulent transfer and similar laws relating to or affecting creditors’ rights and to general equity principles;  
  
 (iii) Under the New York UCC, the Pledge Agreement creates, as collateral security for the performance when due by the holders from time
to time of the Units of their respective obligations under the Purchase Contracts, a valid security interest (as that term is defined in the New York UCC) in favor of the Collateral Agent for the benefit of the Company in the right, title and
interest of such holders in all of the Pledged Securities that constitute “securities” (as that term is defined in Section 8-102(a)(15) of the New York UCC); and in the case of such Pledged Securities that constitute certificated
“securities” (as defined in the New York UCC), such security interest shall be perfected upon delivery of such certificates (indorsed in blank) to the Collateral Agent in the State of New York and, assuming that neither the Collateral
Agent nor the Company has notice of an adverse claim with respect to such Pledged Securities, the Collateral Agent will acquire a security interest in the Pledged Securities free of any adverse claim (as that term is defined in the New York UCC); in
the case of Pledged Securities that are credited by a securities intermediary (as defined in the New York UCC) to a securities account (as defined in the New York UCC) in the name of the Collateral Agent, the Collateral Agent shall have a perfected
security interest in all security entitlements (as defined in the New York UCC) relating to such Pledged Securities; 
  
 (iv) The Units have been duly authorized, executed, issued and delivered and, when authenticated in accordance with the provisions of the
Purchase Contract Agreement, the Units will constitute valid and legally binding obligations of the Company entitled to the benefits of the Purchase Contract Agreement and enforceable against the Company in accordance with their terms, subject to
bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium, fraudulent transfer and similar laws relating to or affecting creditors’ rights and to general equity principles; and, to such counsel’s knowledge, the 

  

 
stockholders of the Company have no preemptive or similar rights with respect to such Units; 
  
 (v) The Senior Notes have been duly authorized, executed, issued and delivered and, when authenticated in
accordance with the provisions of the Indenture and, the Senior Notes will constitute valid and legally binding obligations of the Company entitled to the benefits of the Indenture and enforceable against the Company in accordance with their terms,
subject to bankruptcy, insolvency, reorganization, moratorium, fraudulent transfer and similar laws relating to or affecting creditors’ rights and to general principles of equity); 
  
 (vi) The issuance of the Underlying Shares has been duly authorized and reserved for issuance and, when
issued in accordance with the provisions of the Purchase Contracts, the Underlying Shares will be validly issued, fully paid and non-assessable; and, to such counsel’s knowledge, the stockholders of the Company have no preemptive or similar
rights with respect to such Underlying Shares; and 
  
 (vii) Neither registration of the Units, the Purchase Contracts, the Senior Notes or the Underlying Shares under the Securities Act, nor qualification of the Indenture under the Trust Indenture Act is required for the offer and sale of the
Units (including the Underlying Securities) by the Company to the Subscribers in the manner contemplated by this Agreement and the Confidential Private Offering Memorandum, provided that such counsel may state that they express no opinion as to when
or under what circumstances any Units or any Underlying Securities may be resold by the Subscribers. 
  
 In addition, such counsel shall state that they have no reason to believe that, as of its date, the Confidential Private Offering Memorandum, as amended
or supplemented, or any further amendment or supplement thereto made by the Company prior to such Closing (other than the financial statements and related schedules therein, as to which such counsel need express no opinion) contained an untrue
statement of a material fact or omitted to state a material fact, necessary to make the statements therein, in light of the circumstances in which they were made, not misleading or that, as of such Closing, the Confidential Private Offering
Memorandum, as amended or supplemented, or any further amendment or supplement thereto made by the Company prior to such Closing (other than the financial statements and related schedules therein, as to which such counsel need express no opinion)
contains an untrue statement of a material fact or omits to state a material fact necessary to make the statements therein, in light of the circumstances in which they were made, not misleading. Such counsel may further state that the limitations
inherent in the independent verification of factual matters are such, however, that they do not assume any responsibility for the accuracy, completeness or fairness of the statements contained in the Confidential Private Offering Memorandum, as
amended or supplemented, or any further amendment or supplement thereto made by the Company prior to such Closing, except for those made under the captions “Description of the Equity Security Units”, “Description of the Senior
Notes” and “U.S. Federal Income Tax Consequences”, insofar as they relate to provisions of documents or of United States Federal tax law therein described. 
  

 2 

 ANNEX III 
  

Form of Registration Rights Agreement 
  
 See Exhibit 4.2 
  

 ANNEX IV 
  
 List of Significant Subsidiaries 
  
 Colonial Companies, Inc. 
 Colonial Life &
Accident Insurance Company 
 Provident Life and Accident Insurance Company 
 Provident Life and Casualty Insurance Company 
 The Paul Revere Corporation 

The Paul Revere Life Insurance Company 
 Unum
Holding Company 
 Unum Life Insurance Company of America 
  

 ANNEX V 
  
 Form of Legend 
  
 THE ACES UNITS, THE STOCK PURCHASE CONTRACTS, THE SENIOR NOTES AND THE COMMON STOCK DELIVERABLE IN SETTLEMENT OF THE STOCK PURCHASE CONTRACTS (EACH, A
“SECURITY”, AND TOGETHER, THE “SECURITIES”) WERE SOLD IN A PRIVATE PLACEMENT, WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY OTHER APPLICABLE SECURITIES LAWS AND MAY NOT
BE SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER FURTHER AGREES THAT THESE SECURITIES SHALL NOT BE TRANSFERRED TO A SUBSEQUENT PURCHASER PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT. EACH PURCHASER OF ACES UNITS WILL BE DEEMED TO REPRESENT THAT IT HAS BEEN AFFORDED AN OPPORTUNITY TO INVESTIGATE MATTERS RELATING TO THE ISSUER AND THIS SECURITY, THAT IT IS NOT ACQUIRING THIS SECURITY WITH A VIEW TO ANY DISTRIBUTION
THEREOF AND THAT IT IS A QUALIFIED INSTITUTIONAL BUYER (“QIB”) WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT WHICH IS ACQUIRING THIS SECURITY FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF ONE OR MORE ACCOUNTS, EACH OF WHICH IS A QIB
AND WITH RESPECT TO WHICH IT HAS SOLE INVESTMENT DISCRETION. 
  

 ANNEX VI 
  
 Questionnaire 
  
 UNUMPROVIDENT CORPORATION 
  
 SELLING SECURITYHOLDER QUESTIONNAIRE 
  
 May 11, 2004 
  
 UnumProvident Corporation (the “Company”) proposes to file, as contemplated by the Subscription Agreement and the form of Registration Rights Agreement delivered to you therewith, with the United States Securities and
Exchange Commission (the “Commission”) a registration statement (the “Shelf Registration Statement”) for the registration and resale under Rule 415 of the United States Securities Act of 1933, as amended (the
“Securities Act”), of the Company’s 8.25% Adjustable Conversion-Rate Equity Security Units (the “Units”) and the Underlying Securities, being the Senior Notes, the Purchase Contracts and the shares of common
stock, par value $.10 per share, issuable at the settlement of the Purchase Contracts, in accordance with the Registration Rights Agreement to be entered into between the Company and the several subscribers named in the Subscription Agreement
concurrently with the delivery hereof. All capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the Registration Rights Agreement, a form of which has been delivered to you together with the Subscription
Agreement. 
  
 In the Subscription Agreement, the undersigned
holder (the “Selling Securityholder”) will agree to include its Units in the Shelf Registration Statement and to complete this Selling Securityholder Questionnaire (“Questionnaire”). A completed and executed Questionnaire
should be delivered to the Company at the time of the execution of the Subscription Agreement. 
  
 Certain legal consequences arise from being named as a Selling Securityholder in the Shelf Registration Statement and related Prospectus. Accordingly, holders of Registrable Securities are advised to consult their own
securities law counsel regarding the consequences of being named as a Selling Securityholder in the Shelf Registration Statement and related Prospectus. 
  
 The term “Registrable Securities” as used herein is defined to mean all or any portion of the Units (including the Underlying
Securities comprising such Units); provided, however, that any such Security ceases to be a Registrable Security when it is no longer a Restricted Security. 
  
 The term “Restricted Security” is defined to mean any Unit except any such Security which (i) has been
effectively registered under the Securities Act and sold in a manner contemplated by the Shelf Registration Statement, (ii) has been transferred in compliance with Rule 144 under the Securities Act (or any successor provision thereto), if available,
or is transferable pursuant to paragraph (k) of such Rule 144 (or any successor provision thereto) as if it was held by a non-affiliate, if available or (iii) such Security ceases to be outstanding (whether as a result of redemption, repurchase,
cancellation or otherwise). 
  

 The Selling Securityholder, by signing and returning this Questionnaire, agrees to be bound with respect
to such Registrable Securities by the terms and conditions of this Questionnaire and the Registration Rights Agreement to be entered into, including, without limitation, Section 5 of the form of Registration Rights Agreement, as if the undersigned
Selling Securityholder were an original party thereto. 
  
 Upon
any sale of Registrable Securities pursuant to the Shelf Registration Statement, the Selling Securityholder will be required to deliver to the Company and the Trustee the Notice of Transfer (completed and signed) set forth in Exhibit 1 to this
Questionnaire. 
  
 The Selling Securityholder hereby provides the
following information to the Company and represents and warrants that such information is accurate and complete: 
  

 -2- 

 QUESTIONNAIRE 
  

	(1)	Full legal name of Selling Securityholder: 

	  	_________________________________________________________________________________________________________ 

  

	(2)	Address for notices to Selling Securityholder: 

  

					
	 	  	 	  	 
	 	 	
	 	 
	 	  	 	  	 
	 	 	
	 	 
	 	  	 	  	 
	 	 	
	 	 
	 Telephone: 
	  	 	  	 
	 	 	
	 	 
	 Fax:
	  	 	  	 
	 	 	
	 	 
	 E-Mail:
	  	 	  	 
	 	 	
	 	 
	 Contact Person:
	  	 	  	 
	 	 	
	 	 

  

	(3)	Ownership of Registrable Securities: 

  
 Except as set forth below in this Item (3), the undersigned Selling Securityholder does not beneficially or of record own any Units or Underlying
Securities. 
  

	 	(a)	Number and stated amount of Units owned:                         
                                        
                                        
                     

	 	 	[CUSIP No(s).:]                                 
                                        
                                        
                                        
                 

  

	 	(b)	Number of Purchase Contracts owned:                           
                                        
                                        
                           

  

	 	(c)	Principal amount of Senior Notes owned:                            
                                        
                                        
                      

	 	 	[CUSIP No(s).:]                                  
                                        
                                        
                                        
                

	 	(d)	Number of shares of common stock (if any) issuable upon settlement of the Purchase Contracts:  

	 	    	__________________________________________________________________________________________________ 

  

	 	(e)	Number and stated amount of Units (including Underlying Securities) beneficially owned by the undersigned and included
in the Shelf Registration Statement: _____________________________________________________________________ 

	 	    	[CUSIP No(s). of such Registrable Securities to be included in the Shelf Registration Statement:]
__________________________________________________________________________________________________ 

  

	(4)	Beneficial ownership of other securities of the Company: 

  
 Except as set forth below in this Item (4), the undersigned Selling Securityholder is not the beneficial or registered owner of any shares of common
stock or any other securities of the Company, other than the Securities listed above in Item (3). 
  
 State any exceptions here: 
  

	(5)	Relationships with the Company: 

  
 Except as set forth below, neither the Selling Securityholder nor any of its affiliates, officers, directors or principal equity holders (5% or more)
has held any position or office or has had 

  

 -3- 

 
any other material relationship with the Company (or its predecessors or affiliates) during the past three years. 
  
 State any exceptions here: 
  

	(6)	Plan of Distribution: 

  
 The undersigned Selling Securityholder intends to distribute the Registrable Securities listed above in Item (3) only as follows (if at all): Such
Registrable Securities may be sold from time to time directly by the undersigned Selling Securityholder or, alternatively, through underwriters, broker-dealers or agents. Such Registrable Securities may be sold in one or more transactions at fixed
prices, at prevailing market prices at the time of sale, at varying prices determined at the time of sale, or at negotiated prices. Such sales may be effected in transactions (which may involve crosses or block transactions) (i) on any national
securities exchange or quotation service on which the Registrable Securities may be listed or quoted at the time of sale, (ii) in the over-the-counter market, (iii) in transactions otherwise than on such exchanges or services or in the
over-the-counter market, or (iv) through the writing of options. In connection with sales of the Registrable Securities or otherwise, the Selling Securityholder may enter into hedging transactions with broker-dealers, which may in turn engage in
short sales of the Registrable Securities in the course of hedging the positions they assume. The Selling Securityholder may also sell Registrable Securities short and deliver Registrable Securities to close out such short positions, or loan or
pledge Registrable Securities to broker-dealers that in turn may sell such securities. The Selling Securityholder may pledge or grant a security interest in some or all of the Registrable Securities owned by it and, if it defaults in the performance
of its secured obligations, the pledgees or secured parties may offer and sell the Registrable Securities from time to time pursuant to the prospectus. The Selling Securityholder also may transfer and donate shares in other circumstances in which
case the transferees, donees, pledgees or other successors in interest will be the selling security holder for purposes of the prospectus. 
  
 State any exceptions here: 
  
 Note: Underwritten offerings of the Registrable Securities are subject to the limitations set forth in the form of Registration Rights Agreement.

  
 By signing below, the Selling Securityholder acknowledges that
it understands its obligation to comply, and agrees that it will comply, with the prospectus delivery and other provisions of the Securities Act and the Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder,
particularly Regulation M. 
  
 In the event that the Selling
Securityholder transfers all or any portion of the Registrable Securities listed in Item (3) above after the date on which such information is provided to the Company, the Selling Securityholder agrees to notify the transferee(s) at the time of the
transfer of its rights and obligations under this Questionnaire and the Registration Rights Agreement. 
  
 By signing below, the Selling Securityholder consents to the disclosure of the information contained herein in its answers to Items (1) through (6) above
and the inclusion of such information in the Shelf Registration Statement and related Prospectus. The Selling 

  

 -4- 

 
Securityholder understands that such information will be relied upon by the Company in connection with the preparation of the Shelf Registration Statement
and related Prospectus. 
  
 In accordance with the Selling
Securityholder’s obligation under the Subscription Agreement and the Registration Rights Agreement to provide such information as may be required by law for inclusion in the Shelf Registration Statement, the Selling Securityholder agrees to
promptly notify the Company of any inaccuracies or changes in the information provided herein which may occur subsequent to the date hereof at any time while the Shelf Registration Statement remains in effect. All notices hereunder and pursuant to
the Registration Rights Agreement shall be made in writing, by hand-delivery, first-class mail, or air courier guaranteeing overnight delivery as follows: 
  

			
	 To the Company:
	  	 
		
	 	  	 UnumProvident Corporation

	 	  	 1 Fountain Square

	 	  	 Chattanooga, TN 37402

	 	  	 Attn: Susan Roth, VP, Corporate Secretary

  
 Once this
Questionnaire is executed by the Selling Securityholder and received by the Company, the terms of this Questionnaire, and the representations and warranties contained herein, shall be binding on, shall inure to the benefit of and shall be
enforceable by the respective successors, heirs, personal representatives, and assigns of the Company and the Selling Securityholder (with respect to the Registrable Securities owned by such Selling Securityholder and listed in Item (3) above). This
Questionnaire shall be governed in all respects by the laws of the State of New York. 
  

 -5- 

 IN WITNESS WHEREOF, the undersigned, by authority duly given, has caused this Questionnaire to be
executed and delivered either in person or by its duly authorized agent. 
  
 Dated: ____________________ 
  

			
	 
	

	 Selling Securityholder
 (Print/type full legal name)

		
	 By:
	 	 
	 	 	

	 Name:
	 	 
	 Title:
	 	 

  

 -6- 

 Exhibit 1 
 to Annex VI 
  
 NOTICE OF
TRANSFER PURSUANT TO REGISTRATION STATEMENT 
  
 UnumProvident Corporation

 1 Fountain Square 
 Chattanooga, TN 37402 
  
 Attention: Susan Roth, VP, Corporate Secretary 
  
 JPMorgan Chase Bank 
 4 New York Plaza 
 15th Floor 
 New York, NY 10004 
  
 Attention: Corporate Trust Office 
  

	 	Re:	UnumProvident Corporation (the “Company”) 

	 	    	8.25% Adjustable Conversion-Rate Equity Security Units (the “Units”) 

  

Dear Sirs: 
  
 Please be advised that                      has transferred [ ] or
$                     stated amount of the above-referenced Units, pursuant to an effective Registration Statement on Form S-3 (File No.
333-            ) filed by the Company. 
  
 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 Units is named as a selling securityholder in the Prospectus dated [date], or in amendments or supplements thereto, and that the [Units] [other Underlying Securities]
transferred are [a portion of] the Units listed in such Prospectus as amended or supplemented opposite such owner’s name. 
  
 Dated: 
  

			
	 	 	 Very truly yours,

	 	 	 
	 	 	

	 	 	 (Name)

		
	 By:
	 	 
	 	 	

	 	 	 (Authorized Signature)

  

 -7-

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