Document:

Exhibit 4.1

 

Execution Version

 

 

 

PLAINS ALL AMERICAN PIPELINE, L.P.

PAA FINANCE CORP.

as Issuers

 

and

 

THE SUBSIDIARY GUARANTORS NAMED HEREIN

as Guarantors

 

 

$250,000,000

 

SERIES A AND SERIES B

 

6.70% SENIOR NOTES DUE 2036

 

SIXTH

 

SUPPLEMENTAL

 

INDENTURE

 

 

Dated as of May 12, 2006

 

 

 

WACHOVIA BANK, NATIONAL ASSOCIATION

as Trustee

 

 

 

 

TABLE OF CONTENTS

 

	
  ARTICLE I

  	
   

  	
  1

  
	
  Section 1.01.

  	
  Establishment

  	
  1

  
	
   

  	
   

  	
   

  
	
  ARTICLE II DEFINITIONS
  AND INCORPORATION BY REFERENCE

  	
  2

  
	
  Section 2.01.

  	
  Definitions

  	
  2

  
	
  Section 2.02.

  	
  Other Definitions

  	
  7

  
	
   

  	
   

  	
   

  
	
  ARTICLE III THE NOTES

  	
  8

  
	
  Section 3.01.

  	
  Form

  	
  8

  
	
  Section 3.02.

  	
  Issuance of Additional Notes

  	
  8

  
	
  Section 3.03.

  	
  Transfer of Transfer Restricted Securities

  	
  9

  
	
  Section 3.04.

  	
  Restrictive Legends

  	
  11

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV REDEMPTION
  AND PREPAYMENT

  	
  12

  
	
  Section 4.01.

  	
  Optional Redemption

  	
  12

  
	
  Section 4.02.

  	
  Mandatory Redemption

  	
  13

  
	
   

  	
   

  	
   

  
	
  ARTICLE V COVENANTS

  	
  13

  
	
  Section 5.01.

  	
  Compliance Certificate

  	
  13

  
	
  Section 5.02.

  	
  Limitations on Liens

  	
  13

  
	
  Section 5.03.

  	
  Restriction of Sale-Leaseback Transactions

  	
  15

  
	
  Section 5.04.

  	
  SEC Reports; Financial Statements

  	
  16

  
	
  Section 5.05.

  	
  Additional Subsidiary Guarantees

  	
  16

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI SUCCESSORS

  	
  16

  
	
  Section 6.01.

  	
  Consolidation and Mergers of the Issuers

  	
  16

  
	
  Section 6.02.

  	
  Rights and Duties of Successor

  	
  17

  
	
  Section 6.03.

  	
  Supplemental Indenture

  	
  17

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII DEFAULTS
  AND REMEDIES

  	
  17

  
	
  Section 7.01.

  	
  Events of Default

  	
  17

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII LEGAL
  DEFEASANCE AND COVENANT DEFEASANCE

  	
  19

  
	
  Section 8.01.

  	
  Option to Effect Legal Defeasance or Covenant Defeasance

  	
  19

  
	
  Section 8.02.

  	
  Legal Defeasance and Discharge

  	
  19

  
	
  Section 8.03.

  	
  Covenant Defeasance

  	
  20

  
	
  Section 8.04.

  	
  Conditions to Legal or Covenant Defeasance

  	
  21

  
	
  Section 8.05.

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

  	
  22

  
	
  Section 8.06.

  	
  Repayment to Issuers

  	
  22

  
	
  Section 8.07.

  	
  Reinstatement

  	
  23

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX SUBSIDIARY
  GUARANTEES

  	
  23

  
	
  Section 9.01.

  	
  Subsidiary Guarantees

  	
  23

  

 

i

 

	
  Section 9.02.

  	
  Limitation on Liability

  	
  25

  
	
  Section 9.03.

  	
  Successors and Assigns

  	
  25

  
	
  Section 9.04.

  	
  No Waiver

  	
  25

  
	
  Section 9.05.

  	
  Modification

  	
  25

  
	
  Section 9.06.

  	
  Execution of Supplemental Indenture for Future Subsidiary Guarantors

  	
  25

  
	
  Section 9.07.

  	
  Release of Guarantee

  	
  26

  
	
   

  	
   

  	
   

  
	
  ARTICLE X MISCELLANEOUS

  	
  26

  
	
  Section 10.01.

  	
  Additional Amendments

  	
  26

  
	
  Section 10.02.

  	
  Integral Part

  	
  26

  
	
  Section 10.03.

  	
  Adoption, Ratification and Confirmation

  	
  26

  
	
  Section 10.04.

  	
  Counterparts

  	
  27

  
	
  Section 10.05.

  	
  Governing Law

  	
  27

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  EXHIBIT A:

  	
  Form of Note

  	
   

  
	
  EXHIBIT B:

  	
  Form of Supplemental Indenture

  	
   

  
	
  EXHIBIT C:

  	
  Certificate to be Delivered Upon Exchange or
  Registration of Transfer of Securities Pursuant to Rule 144A or Rule 501

  	
   

  
	
  EXHIBIT D:

  	
  Transferee Letter of Representations

  	
   

  
	
  EXHIBIT E:

  	
  Certificate to be Delivered Upon Exchange or
  Registration of Transfer of Securities Pursuant to Regulation S

  	
   

  
				

 

ii

 

SIXTH SUPPLEMENTAL INDENTURE dated as of May 12,
2006 (this “Supplemental Indenture”) among PLAINS ALL AMERICAN PIPELINE, L.P.,
a Delaware limited partnership (the “Partnership”), PAA FINANCE CORP., a wholly
owned subsidiary of the Partnership and a Delaware corporation (“PAA Finance”
and, together with the Partnership, the “Issuers”), and the subsidiary
guarantors signatory hereto (the “Subsidiary Guarantors”), and WACHOVIA BANK,
NATIONAL ASSOCIATION, as trustee (the “Trustee”).

 

W I T N E S S E T H:

 

WHEREAS, the Issuers have heretofore entered into an
Indenture, dated as of September 25, 2002 (the “Original Indenture”), with
Wachovia Bank, National Association, as trustee;

 

WHEREAS, the Original Indenture, as supplemented by
this Supplemental Indenture, is herein called the “Indenture”;

 

WHEREAS, under the Original Indenture, a new series of
Debt Securities may at any time be established by the Boards of Directors of
the Managing General Partner and PAA Finance in accordance with the provisions
of the Original Indenture and the form and terms of such series may be
established by a supplemental Indenture executed by the Issuers and the
Trustee;

 

WHEREAS, also under the Original Indenture, guarantors
with respect to a series of Debt Securities may be added as parties to the
Indenture by a supplemental indenture executed by themselves, the Issuers and
the Trustee;

 

WHEREAS, the Issuers propose to create under the
Indenture a new series of Debt Securities, such series to be guaranteed by the
Subsidiary Guarantors;

 

WHEREAS, additional Debt Securities of other series
hereafter established, except as may be limited in the Original Indenture as at
the time supplemented and modified, may be issued from time to time pursuant to
the Original Indenture as at the time supplemented and modified; and

 

WHEREAS, all conditions necessary to authorize the
execution and delivery of this Supplemental Indenture and to make it a valid
and binding obligation of the Issuers and the Subsidiary Guarantors have been
done or performed.

 

NOW, THEREFORE, in consideration of the agreements and
obligations set forth herein and for other good and valuable consideration, the
sufficiency of which is hereby acknowledged, the parties hereto hereby agree as
follows:

 

ARTICLE I

 

Section 1.01.          Establishment.
(a) There is hereby established a new series of Debt Securities to be
issued under the Indenture, to be designated as the Issuers’ 6.70% Senior

 

 

Notes due 2036 (the “Notes”). As provided in Article III hereof, the
Notes shall be issued as either Series A Notes or Series B Notes, and any Notes
may have such additional designation.

 

(b)           There
are to be authenticated and delivered $250,000,000 principal amount of
Series A Notes on the Issue Date, and from time to time thereafter there
may be authenticated and delivered an unlimited principal amount of Additional
Notes. Further, from time to time after the Issue Date, Series B Notes may be
authenticated and delivered in a principal amount equal to the principal amount
of the Series A Notes exchanged therefor pursuant to an Exchange Offer.

 

(c)           The
Notes shall be issued initially in the form of one or more Global Securities in
substantially the form set out in Exhibit A hereto. The Depositary with
respect to the Notes shall be The Depository Trust Company.

 

(d)           Each
Note shall be dated the date of authentication thereof and shall bear interest
from the date of original issuance thereof or from the most recent date to
which interest has been paid or duly provided for.

 

(e)           If
and to the extent that the provisions of the Original Indenture are duplicative
of, or in contradiction with, the provisions of this Supplemental Indenture,
the provisions of this Supplemental Indenture shall govern.

 

ARTICLE II

DEFINITIONS AND INCORPORATION BY REFERENCE

 

Section 2.01.          Definitions.
All capitalized terms used herein and not otherwise defined below shall have
the meanings ascribed thereto in the Original Indenture. The following are
additional definitions used in this Supplemental Indenture:

 

“Additional Interest” means all additional interest
owing on the Notes pursuant to a registration default under an Exchange and
Registration Rights Agreement.

 

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

 

“Attributable Indebtedness,” when used with respect to
any Sale-leaseback Transaction, means, as at the time of determination, the
present value (discounted at the rate set forth or implicit in the terms of the
lease included in such transaction) of the total obligations of the lessee for
rental payments (other than amounts required to be paid on account of property
taxes, maintenance, repairs, insurance, assessments, utilities, operating and
labor costs and other items that do not constitute payments for property
rights) during the remaining term of the lease included in such Sale-leaseback
Transaction (including any period for which such lease has been

 

2

 

extended). In the case of any lease that is terminable by the
lessee upon the payment of a penalty or other termination payment, such amount
shall be the lesser of the amount determined assuming termination upon the
first date such lease may be terminated (in which case the amount shall also
include the amount of the penalty or termination payment, but no rent shall be
considered as required to be paid under such lease subsequent to the first date
upon which it may be so terminated) or the amount determined assuming no such
termination.

 

“Capital Interests” means any and all shares,
interests, participations, rights or other equivalents (however designated) of
capital stock, including, without limitation, with respect to partnerships,
partnership interests (whether general or limited) and any other interest or
participation that confers on a Person the right to receive a share of the
profits and losses of, or distributions of assets of, such Person.

 

“Consolidated Net Tangible Assets” means, at any date
of determination, the total amount of assets after deducting therefrom: (1) all
current liabilities (excluding (a) any current liabilities that by their terms
are extendible or renewable at the option of the obligor thereon to a time more
than 12 months after the time as of which the amount thereof is being computed;
and (b) current maturities of long-term debt); and (2) the amount, net of any
applicable reserves, of all goodwill, trade names, trademarks, patents and
other like intangible assets, all as set forth on the consolidated balance
sheet of the Partnership for its most recently completed fiscal quarter,
prepared in accordance with GAAP.

 

“Debt” means any obligation
created or assumed by any Person for the repayment of money borrowed, any
purchase money obligation created or assumed by such Person, and any guarantee
of the foregoing.

 

“Exchange and Registration Rights Agreement” means
(a) the Registration Rights Agreement among the Partnership, PAA Finance,
the Subsidiary Guarantors and the Initial Purchasers dated the Issue Date
relating to the Series A Notes issued on such date and (b) any similar
agreement that the Issuers may enter into in relation to any other Series A
Notes, in each case as such agreement may be amended or modified from time to
time.

 

“Exchange Offer” means the offer by the Issuers to the
Holders of all outstanding Transfer Restricted Securities to exchange all such
outstanding Transfer Restricted Securities held by such Holders for Series B
Notes, in an aggregate principal amount equal to the aggregate principal amount
of the Transfer Restricted Securities tendered in such exchange offer by such
Holders.

 

“Funded Debt” means all Debt maturing one year or more
from the date of the creation thereof, all Debt directly or indirectly
renewable or extendible, at the option of the debtor, by its terms or by the
terms of any instrument or agreement relating thereto, to a date one year or
more from the date of the creation thereof, and all Debt under a revolving
credit or similar agreement obligating the lender or lenders to extend credit
over a period of one year or more.

 

“Guarantee” means a guarantee of the Notes given by a
Subsidiary Guarantor pursuant to the Indenture, including all obligations under
Article IX hereof.

 

3

 

“guarantee” means a
guarantee (other than by endorsement of negotiable instruments for collection
in the ordinary course of business), direct or indirect, in any manner
(including, without limitation, by way of a pledge of assets, or through
letters of credit or reimbursement, “claw-back,” “make-well,” or “keep-well”
agreements in respect thereof), of all or any part of the payment of any Debt. The
term “guarantee” used as a verb has a corresponding meaning.

 

“Initial Purchasers” means Citigroup Global Markets
Inc. and UBS Securities LLC and the other initial purchasers party to the
initial Exchange and Registration Rights Agreement.

 

“Issue Date” means, with respect to the Notes, the
date on which the Notes are initially issued.

 

“Notes” has the meaning assigned to it in
Section 1.01(a) hereof, and includes both the Series A Notes and the
Series B Notes.

 

“Obligations” means any
principal, interest, liquidated damages, penalties, fees, indemnifications,
reimbursement obligations, damages and other liabilities payable under the
documentation governing any Debt.

 

“Pari Passu Debt” means any Funded Debt of either of
the Issuers, whether outstanding on the Issue Date of thereafter created,
incurred or assumed, unless, in the case of any particular Funded Debt, the
instrument creating or evidencing the same or pursuant to which the same is
outstanding expressly provides that such Funded Debt shall be subordinated in
right of payment to the Notes.

 

“Partnership Agreement” means the Third Amended and Restated Agreement of Limited Partnership of
Plains All American Pipeline, L.P., amended and restated effective as of
June 27, 2001, as amended by Amendment No. 1 thereto dated as of April 15,
2004 and as such may be otherwise amended, modified or supplemented from time
to time.

 

“Permitted Liens” means:

 

(1)           Liens upon rights-of-way for pipeline
purposes;

 

(2)           any statutory or governmental Lien or
Lien arising by operation of law, or any mechanics’, repairmen’s, materialmen’s,
suppliers’, carriers’, landlords’, warehousemen’s or similar Lien incurred in
the ordinary course of business which is not yet due or which is being
contested in good faith by appropriate proceedings and any undetermined Lien
which is incidental to construction, development, improvement or repair;

 

(3)           the right reserved to, or vested in,
any municipality or public authority by the terms of any right, power,
franchise, grant, license, permit or by any provision of law, to purchase or
recapture or to designate a purchaser of, any property;

 

4

 

(4)           Liens of taxes and assessments which
are (A) for the then current year, (B) not at the time delinquent, or (C)
delinquent but the validity of which is being contested at the time by an
Issuer or any Restricted Subsidiary in good faith;

 

(5)           Liens of, or to secure performance
of, leases, other than capital leases;

 

(6)           any Lien upon, or deposits of, any
assets in favor of any surety company or clerk of court for the purpose of
obtaining indemnity or stay of judicial proceedings;

 

(7)           any Lien upon property or assets
acquired or sold by an Issuer or any Restricted Subsidiary resulting from the
exercise of any rights arising out of defaults on receivables;

 

(8)           any Lien incurred in the ordinary
course of business in connection with worker’s compensation, unemployment
insurance, temporary disability, social security, retiree health or similar
laws or regulations or to secure obligations imposed by statute or governmental
regulations;

 

(9)           any Lien in favor of an Issuer or any
Restricted Subsidiary;

 

(10)         any Lien in favor of the United States
of America or any state thereof, or any department, agency or instrumentality
or political subdivision of the United States of America or any state thereof,
to secure partial, progress, advance, or other payments pursuant to any
contract or statute, or any Debt incurred by an Issuer or any Restricted
Subsidiary for the purpose of financing all or any part of the purchase price
of, or the cost of constructing, developing, repairing or improving, the
property or assets subject to such Lien;

 

(11)         any Lien securing industrial
development, pollution control or similar revenue bonds;

 

(12)         any Lien securing Debt of an Issuer or
any Restricted Subsidiary, all or a portion of the net proceeds of which are
used, substantially concurrently with the funding thereof (and for purposes of
determining such “substantial concurrence,” taking into consideration, among
other things, required notices to be given to Holders of Outstanding Debt
Securities (including the Notes) in connection with such refunding, refinancing
or repurchase, and the required corresponding durations thereof), to refinance,
refund or repurchase all Outstanding Debt Securities (including the Notes),
including the amount of all accrued interest thereon and reasonable fees and
expenses and premium, if any, incurred by the Issuers or any Restricted
Subsidiary in connection therewith;

 

(13)         Liens in favor of any Person to secure
obligations under the provisions of any letters of credit, bank guarantees,
bonds or surety obligations required or requested by any governmental authority
in connection with any contract or statute;

 

(14)         any Lien upon or deposits of any assets
to secure performance of bids, trade contracts, leases or statutory
obligations;

 

5

 

(15)         any Lien or privilege vested in any
grantor, lessor or licensor or permittor for rent or other charges due or for
any other obligations or acts to be performed, the payment of which rent or
other charges or performance of which other obligations or acts is required
under leases, easements, rights-of-way, licenses, franchises, privileges,
grants or permits, so long as payment of such rent or the performance of such
other obligations or acts is not delinquent or the requirement for such payment
or performance is being contested in good faith by appropriate proceedings;

 

(16)         easements, exceptions or reservations
in any property of the Partnership or any of the Restricted Subsidiaries
granted or reserved for the purpose of pipelines, roads, the removal of oil,
gas, coal or other minerals, and other like purposes for the joint or common
use of real property, facilities and equipment, which are incidental to, and do
not materially interfere with, the ordinary conduct of its business or the
business of the Partnership and its Subsidiaries, taken as a whole;

 

(17)         Liens arising under operating
agreements, joint venture agreements, partnership agreements, oil and gas
leases, farmout agreements, division orders, contracts for sale, transportation
or exchange of oil and natural gas, unitization and pooling declarations and
agreements, area of mutual interest agreements and other agreements arising in
the ordinary course of the Partnership’s or any Restricted Subsidiary’s
business that are customary in the business of marketing, transportation and
terminalling of crude oil and/or marketing of liquefied petroleum gas; or

 

(18)         any obligations or duties to any municipality
or public authority with respect to any lease, easement, right-of-way, license,
franchise, privilege, permit or grant.

 

“Principal Property” means, whether owned or leased on
the Issue Date or thereafter acquired: (1) any of the pipeline assets of the
Partnership or the pipeline assets of any Subsidiary of the Partnership,
including any related facilities employed in the transportation, distribution,
terminalling, gathering, treating, processing, marketing or storage of crude
oil or refined petroleum products, natural gas, natural gas liquids, fuel
additives or petrochemicals, and (2) any processing or manufacturing plant or
terminal owned or leased by the Partnership or any Subsidiary of the
Partnership; except, in the case of either clause (1) or (2), (a) any such
assets consisting of inventories, furniture, office fixtures and equipment,
including data processing equipment, vehicles and equipment used on, or useful
with, vehicles, and (b) any such assets, plant or terminal which, in the good
faith opinion of the Board of Directors, is not material in relation to the
activities of the Partnership or the activities of the Partnership and its
Subsidiaries, taken as a whole.

 

“Restricted Subsidiary” means any Subsidiary of the Partnership owning or leasing, directly or
indirectly through ownership in another Subsidiary, and Principal Property.

 

“Sale-leaseback Transaction” means
the sale or transfer by an Issuer or any Subsidiary of the Partnership of any
Principal Property to a Person (other than an Issuer or a Subsidiary of the
Partnership) and the taking back by an Issuer or any Subsidiary of the
Partnership, as the case may be, of a lease of such Principal Property.

 

6

 

“Securities” shall have the meaning assigned to such
term in the Exchange and Registration Rights Agreement relating thereto.

 

“Series A Notes” means the Issuers’ 6.70% Series A
Senior Notes due 2036 to be issued pursuant to this Supplemental Indenture.

 

“Series B Notes” means the Issuers’ 6.70% Series B
Notes due 2036 to be
issued pursuant to an Exchange Offer.

 

“Subsidiary” means, with
respect to any Person: (1) any other Person of which more than 50% of the total
voting power of shares or other Capital Interests entitled, without regard to
the occurrence of any contingency, to vote in the election of directors,
managers or trustees (or equivalent persons) thereof is at the time owned
or controlled, directly or indirectly, by such Person or one or more of the
other Subsidiaries of such Person or a combination thereof; or (2) in the case
of a partnership, more than 50% of the partners’ Capital Interests, considering
all partners’ Capital Interests as a single class, is at the time owned or
controlled, directly or indirectly, by such Person or one or more of the other
Subsidiaries of such Person or a combination thereof.

 

“Subsidiary Guarantors” means each of:

 

(1)           the Subsidiaries of the Partnership
named as the “Subsidiary Guarantors” on the signature pages of this
Supplemental Indenture;

 

(2)           any
other Subsidiary that executes a supplemental Indenture to provide a Guarantee
in accordance with the provisions of the Indenture; and

 

(3)           their respective successors and
assigns.

 

Notwithstanding anything in the Indenture to the
contrary, PAA Finance, Plains LPG Marketing, L.P., Atchafalaya Pipeline,
L.L.C., Plains Marketing International GP LLC, Plains Marketing International,
L.P. and Andrews Partners, LLC shall not be Subsidiary Guarantors.

 

“Transfer Restricted Securities” means any Notes
outstanding prior to the Resale Restriction Termination Date with respect to
such Notes and which must bear the legend required under Section 3.04 hereof.

 

Section 2.02.          Other
Definitions.

 

	
   

  	
   

  	
  Defined in

  	
   

  
	
  Term

  	
   

  	
  Section

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  “Additional
  Notes”

  	
   

  	
  3.02

  	
   

  
	
  “Covenant
  Defeasance”

  	
   

  	
  8.03

  	
   

  
	
  “Distribution
  Compliance Period”

  	
   

  	
  3.03(c

  	
  )

  
	
  “Event of
  Default”

  	
   

  	
  7.01

  	
   

  
	
  “IAI Global
  Note”

  	
   

  	
  3.01

  	
   

  
	
  “IAIs”

  	
   

  	
  3.01

  	
   

  

 

7

 

	
  “Legal
  Defeasance”

  	
   

  	
  8.02

  	
   

  
	
  “Note
  Obligations”

  	
   

  	
  9.01

  	
   

  
	
  “Payment Default

  	
   

  	
  7.01

  	
   

  
	
  “QIBs”

  	
   

  	
  3.01

  	
   

  
	
  “Regulation S”

  	
   

  	
  3.01

  	
   

  
	
  “Regulation S
  Global Note”

  	
   

  	
  3.01

  	
   

  
	
  “Required Filing
  Dates”

  	
   

  	
  5.04

  	
   

  
	
  “Resale
  Restriction Termination Date”

  	
   

  	
  3.04

  	
   

  
	
  “Rule 144A”

  	
   

  	
  3.01

  	
   

  
	
  “Rule 144A
  Global Note”

  	
   

  	
  3.01

  	
   

  
	
  “Successor
  Company”

  	
   

  	
  6.01

  	
   

  
	
  “U.S. Persons”

  	
   

  	
  3.01

  	
   

  

 

ARTICLE III

THE NOTES

 

Section 3.01.          Form.
The Notes shall be issued initially in the form of one or more Global
Securities as Series A Notes, with Series A Notes initially resold in reliance
upon Rule 144A and Regulation S being represented by separate Global
Securities, which are referred to herein as the “Rule 144A Global Note” and the
“Regulation S Global Note,” respectively. The Series A Notes and Trustee’s
certificate of authentication shall be substantially in the form of Exhibit A
hereto, the terms of which are incorporated in and made a part of this
Supplemental Indenture, and the Issuers and the Trustee, by their execution and
delivery of this Supplemental Indenture, expressly agree to such terms and
provisions and to be bound thereby. The Series A Notes constituting Transfer
Restricted Securities will be resold initially only to (a) Qualified
Institutional Buyers (as such term is defined in Section 144A of the Securities
Act) (“QIBs”) in reliance on Rule 144A of the Securities Act (“Rule 144A”) and
(b) Persons other than U.S. Persons (as defined under Regulation S under the
Securities Act (“Regulation S”)) (“U.S. Persons”) in reliance on Regulation S. Thereafter,
the Series A Notes may be transferred to, among others, QIBs, purchasers in
reliance upon Regulation S and institutional “accredited investors” (as defined
in subparagraph (a)(1), (2), (3) or (7) of Rule 501 of the Securities Act (“IAIs”))
in accordance with the procedures set forth in Rule 501 of the Securities Act,
provided that any Series A Notes constituting Transfer Restricted Securities
that are transferred to IAIs who are not QIBs shall be issued only in
definitive form or in the form of interests in a separate Global Security (the “IAI
Global Note”). Pursuant to the terms of an Exchange and Registration Rights
Agreement, upon consummation of the Exchange Offer contemplated thereby, the
Series A Notes constituting Transfer Restricted Securities will be exchanged by
the Holders for Series B Notes to be issued by the Issuers in accordance with
Section 3.03 hereof. The Series B Notes shall be issued initially in the form
of one or more Global Securities, and the Series B Notes and the Trustee’s
certificate of authentication shall be substantially in the form of Exhibit A
hereto.

 

Section 3.02.          Issuance
of Additional Notes. The Issuers may, from time to time, issue an unlimited
amount of additional Series A Notes (“Additional Notes”) under the Indenture,
which shall be issued in the same form as the Series A Notes issued on the
Issue Date and which shall have identical terms as the Series A Notes issued on
the Issue Date other than

 

8

 

with respect to the issue date, issue price and date of first payment
of interest. The Series A Notes issued on the Issue Date shall be limited
in aggregate principal amount to $250,000,000. The Series A Notes issued on the
Issue Date and any Additional Notes subsequently issued, together with any
Series B Notes issued in exchange therefor pursuant to an Exchange Offer, shall
be treated as a single series for all purposes under the Indenture, including
waivers, amendments, redemptions and offers to purchase. If the Issuers issue
additional Series A Notes prior to the completion of an Exchange Offer,
the period of the resale restrictions applicable to any Series A Notes
previously offered and sold in reliance on Rule 144A will be automatically
extended to the last day of the period of any resale restrictions imposed on
any such additional Series A Notes.

 

Section 3.03.          Transfer
of Transfer Restricted Securities.

 

(a)           When
Notes are presented to the Registrar with the request to register the transfer
of such Notes or exchange such Notes for an equal principal amount of Notes of
other authorized denominations, the Registrar shall register the transfer or
make the exchange in accordance with Article II of the Original Indenture. In
addition, in the case of Series A Notes that are Transfer Restricted Securities
in definitive form, such request to register the transfer or make the exchange
shall be accompanied by the following additional information and documents, as
applicable, upon which the Registrar may conclusively rely:

 

(1)           if such Transfer Restricted
Securities are being delivered to the Registrar by a Holder for registration in
the name of such Holder, without transfer, a certification from such Holder to
that effect in substantially the form of Exhibit C hereto; or

 

(2)           if such Transfer Restricted
Securities are being transferred (i) to a QIB in accordance with Rule 144A
under the Securities Act or (ii) pursuant to an exemption from registration in
accordance with Rule 144 under the Securities Act (and based upon an opinion of
counsel if the Issuers or the Trustee so requests) or (iii) pursuant to an
effective registration statement under the Securities Act, a certification to
that effect from such Holder in substantially the form of Exhibit C hereto; or

 

(3)           if such Transfer Restricted
Securities are being transferred to an IAI within the meaning of Rule
501(a)(1), (2), (3) or (7) under the Securities Act pursuant to a private
placement exemption from the registration requirements of the Securities Act
(and based upon an opinion of counsel if the Issuers or the Trustee so
requests), a certification to that effect from such Holder in substantially the
form of Exhibit C hereto and a certification from the applicable transferee in
substantially the form of Exhibit D hereto; or

 

(4)           if such Transfer Restricted
Securities are being transferred to Persons other than U.S. Persons in reliance
on Regulation S, a certification to that effect from such Holder in
substantially the form of Exhibit E hereto; or

 

9

 

(5)           if such Transfer Restricted
Securities are being transferred in reliance on another exemption from the
registration requirements of the Securities Act (and based upon an opinion of
counsel if the Issuers or the Trustee so requests), a certification to that
effect from such Holder in substantially the form of Exhibit C hereto.

 

(b)           Upon
any sale or transfer of a Transfer Restricted Security (including any Transfer
Restricted Security represented by a Global Security) pursuant to Rule 144
under the Securities Act or an effective registration statement under the
Securities Act:

 

(1)           in the case of any Transfer
Restricted Security that is in the form of a definitive Note, the Registrar
shall permit the Holder thereof to exchange such Transfer Restricted Security
for a definitive Note that does not bear the legend set forth in Section
3.04(a) below and rescind any restriction on the transfer of such Transfer
Restricted Security; and

 

(2)           in the case of any Transfer
Restricted Security represented by a Global Security, such Transfer Restricted
Security shall not be required to bear the legend set forth in Section 3.04(a)
below if all other interests in such Global Security have been or are
concurrently being sold or transferred pursuant to Rule 144 under the
Securities Act or pursuant to an effective registration statement under the
Securities Act.

 

Notwithstanding the foregoing, upon consummation of an
Exchange Offer, the Issuers shall issue and, upon receipt of an authentication
order in accordance with Section 2.05 of the Original Indenture, the Trustee
shall authenticate Series B Notes in exchange for Series A Notes accepted for
exchange in the Exchange Offer, which Series B Notes shall not bear the legend
set forth in Section 3.04(a) below, and the Registrar shall rescind any
restriction on the transfer of such Notes, in each case unless the Holder of
such Series A Notes is either (1) is an affiliate of the Issuers within the
meaning of Rule 405 under the Securities Act or an Initial Purchaser holding
Series A Notes acquired by it and having the status of an unsold allotment in
the initial offering and sale of Series A Notes pursuant to the Purchase
Agreement, dated as of May 9, 2006, between the Issuers, the other parties
referred to as “Plains Parties” therein and the Initial Purchasers, (2) does
not acquire the Series B Notes in the ordinary course of such Holder’s business
or (3) has an arrangement or understanding with any Person to participate in
the Exchange Offer for the purpose of distributing such Series B Notes or is
engaged in, and intends to engage in, any such distribution. The Issuers shall
identify to the Trustee such Holders of the Notes in a written certification
signed by an officer of each Issuer and, absent certification from the Issuers
to such effect, the Trustee shall assume that there are no such Holders.

 

(c)           Until
the 40th day after the later of the commencement of the offering of the Series
A Notes and the Issue Date thereof (such period, the “Distribution Compliance
Period”), a beneficial interest in a Regulation S Global Note may be
transferred to a Person who takes delivery in the form of an interest in a Rule
144A Global Note or an IAI Global Note only if the transferor first delivers to
the Trustee a written certificate (in the form provided in Exhibit C hereto) to
the effect that such transfer is being made to a Person who the transferor
reasonably believes is purchasing for its own account or accounts as to which
it exercises sole investment discretion and that such Person is a QIB acquiring
such Series A Notes in a transaction meeting

 

10

 

the requirements of Rule 144A or an IAI acquiring such Series A Notes
pursuant to a private placement exemption under the Securities Act, in each
case in accordance with any applicable securities laws of any state of the
United States or any other jurisdiction; provided that, in the case of a
transfer to a Person who takes delivery in the form of an interest in an IAI
Global Note, such Person shall deliver to the Trustee a written certificate in the
form provided in Exhibit D hereto. After the expiration of the Distribution
Compliance Period, such certification requirements shall not apply to such
transfers of beneficial interests in the Regulation S Global Notes.

 

(d)           Beneficial
interests in a Rule 144A Global Note or an IAI Global Note may be transferred
to a Person who takes delivery in the form of an interest in a Regulation S
Global Note, whether before or after the expiration of the Distribution
Compliance Period, only if the transferor first delivers to the Trustee a
written certificate (in the form provided in Exhibit C or E hereto, as
applicable) to the effect that such transfer is being made in accordance with
Rule 904 of Regulation S or Rule 144 (if available).

 

Section 3.04.          Restrictive
Legends.

 

(a)           Except
as provided in Section 3.03 hereof, prior to the Resale Restriction Termination
Date, each security certificate evidencing the Notes shall bear a legend in
substantially the following form:

 

THE ISSUANCE AND SALE OF THIS SECURITY (AND ANY
GUARANTEE HEREOF) HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS
SECURITY (NOR ANY GUARANTEE HEREOF) NOR ANY INTEREST OR PARTICIPATION HEREIN
(OR THEREIN) MAY BE OFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED
OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT OR ANY APPLICABLE STATE SECURITIES LAWS. THE HOLDER HEREOF,
BY ITS ACCEPTANCE OF THIS SECURITY, AGREES FOR THE BENEFIT OF THE ISSUERS THAT
THIS SECURITY MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED PRIOR
TO THE EXPIRATION OF THE HOLDING PERIOD APPLICABLE THERETO UNDER RULE 144(k)
UNDER THE SECURITIES ACT WHICH IS APPLICABLE TO THIS SECURITY (THE “RESALE
RESTRICTION TERMINATION DATE”) OTHER THAN (1) TO THE ISSUERS OR THEIR
RESPECTIVE SUBSIDIARIES, (2) SO LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE
PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE 144A”), TO A PERSON WHOM
THE SELLER REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” WITHIN THE
MEANING OF RULE 144A PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER, IN EACH CASE TO WHOM NOTICE IS GIVEN THAT THE
RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (3)
INSIDE THE UNITED STATES TO AN INSTITUTIONAL “ACCREDITED INVESTOR”
(AS DEFINED IN RULE 501(A)(1), (2), (3) OR (7) UNDER THE SECURITIES ACT),
(4) TO A NON-”U.S. PERSON” IN AN

 

11

 

“OFFSHORE TRANSACTION” (AS SUCH TERMS ARE DEFINED IN REGULATION S UNDER
THE SECURITIES ACT) IN ACCORDANCE WITH REGULATION S UNDER THE SECURITIES ACT,
(5) PURSUANT TO ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT, INCLUDING THE EXEMPTION PROVIDED BY RULE
144 UNDER THE SECURITIES ACT, IF AVAILABLE, OR (6) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT, SUBJECT IN EACH OF THE
FOREGOING CASES TO ANY REQUIREMENT OF LAW THAT THE DISPOSITION OF ITS PROPERTY
OR THE PROPERTY OF SUCH INVESTOR ACCOUNT OR ACCOUNTS BE AT ALL TIMES WITHIN ITS
OR THEIR CONTROL, AND SUBJECT TO THE RIGHT OF THE ISSUERS OR THE TRUSTEE FOR
THE SECURITIES PRIOR TO ANY SUCH SALE, PLEDGE OR OTHER TRANSFER TO REQUIRE THE
DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATIONS AND/OR OTHER INFORMATION
SATISFACTORY TO EACH OF THEM. THIS LEGEND WILL BE REMOVED UPON REQUEST OF THE
HOLDER ON OR AFTER THE RESALE RESTRICTION TERMINATION DATE.

 

(b)           Each
security certificate evidencing the Global Securities shall bear a legend in
substantially the following form:

 

THIS GLOBAL SECURITY IS HELD BY OR ON BEHALF OF THE
DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) IN CUSTODY FOR THE
BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON
UNDER ANY CIRCUMSTANCES EXCEPT THAT (A) THE TRUSTEE MAY MAKE SUCH NOTATIONS
HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.08 OF THE ORIGINAL INDENTURE,
(B) THIS GLOBAL SECURITY MAY BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO
SECTION 2.15 OF THE ORIGINAL INDENTURE, (C) THIS GLOBAL SECURITY MAY BE
DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.10 OF THE
ORIGINAL INDENTURE AND (D) THIS GLOBAL SECURITY MAY BE TRANSFERRED TO A
SUCCESSOR DEPOSITARY OR ITS NOMINEE WITH THE PRIOR WRITTEN CONSENT OF THE
ISSUERS.

 

ARTICLE IV

REDEMPTION AND PREPAYMENT

 

Section 4.01.          Optional
Redemption.

 

(a)           At
their option at any time prior to maturity, the Issuers may choose to redeem
all or any portion of the Notes, at once or from time to time.

 

(b)           To
redeem the Notes, the Issuers must pay a redemption price in an amount
determined in accordance with the provisions of paragraph number 5 of the form
of Note in Exhibit A hereto, plus accrued and unpaid interest, if any,
including Additional Interest, if any, to the redemption date (subject to the
right of Holders on the relevant record date to receive interest due on the
relevant interest payment date).

 

12

 

(c)           Any
redemption pursuant to this Section 4.01 shall otherwise be made pursuant to
the provisions of Sections 3.01 through 3.03 of the Original Indenture. The
actual redemption price shall be set forth in an Officers’ Certificate
delivered to the Trustee no later than two Business Days prior to each
redemption date.

 

Section 4.02.          Mandatory
Redemption. The Issuers shall not be required to make mandatory redemption
or sinking fund payments with respect to the Notes.

 

ARTICLE V

COVENANTS

 

Section 5.01.          Compliance
Certificate. (a)  In lieu of the Officers’ Certificate required
by Section 4.05 of the Original Indenture, the Issuers and Subsidiary
Guarantors shall deliver to the Trustee, within 90 days after the end of each
fiscal year, an Officers’ Certificate stating that a review of the activities
of the Partnership and its Subsidiaries during the preceding fiscal year has
been made under the supervision of the signing Officers (one of whom shall be
the principal executive, financial or accounting officer of each Issuer and
Subsidiary Guarantor) with a view to determining whether the Issuers have kept,
observed, performed and fulfilled their obligations under the Indenture, and
further stating, as to each such Officer signing such certificate, that to the
best of his or her knowledge the Issuers have kept, observed, performed and
fulfilled each and every covenant contained in the Indenture and are not in
default in the performance or observance of any of the terms, provisions and
conditions of the Indenture (or, if a Default or Event of Default shall have
occurred, describing all such Defaults or Events of Default of which he or she
may have knowledge and what action the Issuers are taking or propose to take with
respect thereto) and that to the best of his or her knowledge no event has
occurred and remains in existence by reason of which payments on account of the
principal of or interest, if any, on the Notes is prohibited or if such event
has occurred, a description of the event and what action the Issuers are taking
or propose to take with respect thereto.

 

(b)           The
Issuers shall, so long as any of the Notes are outstanding, deliver to the
Trustee, forthwith and in any event within five days upon any Officer becoming
aware of any Default or Event of Default or an event which, with notice or the
lapse of time or both, would constitute an Event of Default, an Officers’
Certificate specifying such Default or Event of Default and what action the
Issuers are taking or propose to take with respect thereto.

 

Section 5.02.          Limitations
on Liens. The Issuers will not, nor will they permit any Subsidiary of the
Partnership to, create, assume, incur or suffer to exist any Lien upon any
Principal Property or upon any Capital Interests of any Restricted Subsidiary,
whether owned or leased on the Issue Date or thereafter acquired, to secure any
Debt of an Issuer or any other Person (other than Debt Securities), without in
any such case making effective provision whereby all of the Notes shall be
secured equally and ratably with, or prior to, such Debt so long as such Debt
shall be so secured. This restriction shall not apply to:

 

(a)           Permitted
Liens;

 

13

 

(b)           any
Lien upon any property or assets created at the time of acquisition of such
property or assets by an Issuer or any Restricted Subsidiary or within one year
after such time to secure all or a portion of the purchase price for such
property or assets or Debt incurred to finance such purchase price, whether
such Debt was incurred prior to, at the time of or within one year after the
date of such acquisition;

 

(c)           any
Lien upon any property or assets to secure all or part of the cost of
construction, development, repair or improvements thereon or to secure Debt
incurred prior to, at the time of, or within one year after completion of such
construction, development, repair or improvements or the commencement of full
operations thereof (whichever is later), to provide funds for any such purpose;

 

(d)           any
Lien upon any property or assets existing thereon at the time of the
acquisition thereof by an Issuer or any Restricted Subsidiary (whether or not
the obligations secured thereby are assumed by an Issuer or any Restricted
Subsidiary); provided, however, that such Lien only encumbers the property or
assets so acquired;

 

(e)           any
Lien upon any property or assets of a Person existing thereon at the time such
Person becomes a Restricted Subsidiary by acquisition, merger or otherwise;
provided, however, that such Lien only encumbers the property or assets of such
Person at the time such Person becomes a Restricted Subsidiary;

 

(f)            any
Lien upon any property or assets of an Issuer or any Restricted Subsidiary in
existence on December 10, 2003 or provided for pursuant to agreements existing
on December 10, 2003;

 

(g)           Liens
imposed by law or order as a result of any proceeding before any court or
regulatory body that is being contested in good faith, and Liens which secure a
judgment or other court-ordered award or settlement as to which an Issuer or
the applicable Restricted Subsidiary, as the case may be, has not exhausted its
appellate rights;

 

(h)           any
extension, renewal, refinancing, refunding or replacement (or successive
extensions, renewals, refinancing, refunding or replacements) of Liens, in
whole or in part, referred to in clauses (a) through (g), inclusive, of this
Section 5.02; provided, however, that any such extension, renewal, refinancing,
refunding or replacement Lien shall be limited to the property or assets
covered by the Lien extended, renewed, refinanced, refunded or replaced and
that the obligations secured by any such extension, renewal, refinancing,
refunding or replacement Lien shall be in an amount not greater than the amount
of the obligations secured by the Lien extended, renewed, refinanced, refunded
or replaced and any expenses of the Issuers and the Restricted Subsidiaries
(including any premium) incurred in connection with such extension, renewal,
refinancing, refunding or replacement; or

 

(i)            any
Lien resulting from the deposit of moneys or evidence of indebtedness in trust
for the purpose of defeasing Debt of an Issuer or any Restricted Subsidiary.

 

14

 

Notwithstanding the foregoing provisions of this
Section 5.02, the Issuers may, and may permit any Restricted Subsidiary to,
create, assume, incur or suffer to exist any Lien upon any Principal Property
or Capital Interests of a Restricted Subsidiary to secure Debt of an Issuer or
any Person (other than Debt Securities) that is not excepted by clauses (a)
through (i), inclusive, of this Section 5.02 without securing the Notes,
provided that the aggregate principal amount of all Debt then outstanding
secured by such Lien and all other Liens not excepted by clauses (a) through
(i), inclusive, of this Section 5.02, together with all Attributable
Indebtedness from Sale-leaseback Transactions (excluding Sale-leaseback
Transactions permitted by clauses (a) through (d), inclusive, of Section 5.03),
does not exceed 10% of Consolidated Net Tangible Assets.

 

Section 5.03.          Restriction
of Sale-Leaseback Transactions. The Issuers will not, and will not permit
any Subsidiary of the Partnership to, engage in a Sale-Leaseback Transaction, unless:

 

(a)           such
Sale-Leaseback Transaction occurs within one year from the date of completion
of the acquisition of the Principal Property subject thereto or the date of the
completion of construction, development or substantial repair or improvement,
or commencement of full operations on such Principal Property, whichever is
later;

 

(b)           the
Sale-Leaseback Transaction involves a lease for a period, including renewals,
of not more than three years;

 

(c)           the
Attributable Indebtedness from that Sale-Leaseback Transaction is an amount
equal to or less than the amount the Issuers or such Subsidiary would be
allowed to incur as Debt secured by a Lien on the Principal Property subject
thereto without equally and ratably securing the Notes under Section 5.02; or

 

(d)           the
Issuers or such Subsidiary, within a one-year period after such Sale-Leaseback
Transaction, applies or causes to be applied an amount not less than the net
sale proceeds from such Sale-Leaseback Transaction to (A) the prepayment,
repayment, redemption, reduction or retirement of any Pari Passu Debt of an
Issuer or any Subsidiary of the Partnership, or (B) the expenditure or
expenditures for Principal Property used or to be used in the ordinary course
of business of the Partnership or its Subsidiaries.

 

Notwithstanding the foregoing provisions of this
Section 5.03, the Issuers may, and may permit any Subsidiary of the Partnership
to, effect any Sale-Leaseback Transaction that is not excepted by clauses (a)
through (d), inclusive, of this Section 5.03, provided that the Attributable
Indebtedness from such Sale-leaseback Transaction, together with the aggregate
principal amount of then outstanding Debt (other than Debt Securities) secured
by Liens upon Principal Property not excepted by clauses (a) through (i),
inclusive, of Section 5.02, does not exceed 10% of Consolidated Net Tangible
Assets.

 

15

 

Section 5.04.          SEC
Reports; Financial Statements.

 

(a)           Whether
or not the Partnership is then subject to the reporting requirements of Section
13 or 15(d) of the Exchange Act, the Partnership shall electronically file with
the Commission, so long as the Notes are Outstanding, the annual, quarterly and
other periodic reports that the Partnership is required to file (or would
otherwise be required to file) with the Commission pursuant to Sections 13 and
15(d) of the Exchange Act, and such documents shall be filed with the
Commission on or prior to the respective dates (the “Required Filing Dates”) by
which the Partnership is required to file (or would otherwise be required to
file) such documents, unless, in each case, such filings are not then permitted
by the Commission.

 

(b)           If
such filings are not then permitted by the Commission, or such filings are not
generally available on the Internet free of charge, the Issuers shall provide
the Trustee with, and the Trustee will mail to any Holder of Notes requesting
in writing to the Trustee copies of, such annual, quarterly and other periodic
reports specified in Sections 13 and 15(d) of the Exchange Act within 15 days
after the respective Required Filing Dates.

 

(c)           In
addition, the Issuers shall furnish to the Holders of Notes and to prospective
investors, upon the requests of Holders of Notes, any information required to be
delivered pursuant to Rule 144A(d)(4) under the Securities Act, so long as the
Notes are not freely transferable under the Securities Act.

 

(d)           The
Partnership shall provide the Trustee with a sufficient number of copies of all
reports and other documents and information that the Trustee may be required to
deliver to Holders of Notes under clause (b) of this Section 5.04.

 

(e)           Delivery
of such reports, information and documents to the Trustee is for informational
purposes only and the Trustee’s receipt of such shall not constitute
constructive notice of any information contained therein or determinable from
information contained therein, including the Partnership’s compliance with any
of its covenants hereunder (as to which the Trustee is entitled to rely
exclusively on Officers’ Certificates).

 

Section 5.05.          Additional
Subsidiary Guarantees. If any
Subsidiary (or its successor) of the Partnership that is not then a Subsidiary
Guarantor guarantees Debt of either of the Issuers or any other Subsidiary of
the Partnership, in either case after the Issue Date, then such Subsidiary (or
successor) shall execute and deliver a supplemental Indenture providing for the
guarantee of the payment of the Notes pursuant to Article IX hereof.

 

ARTICLE VI

SUCCESSORS

 

With respect to the Notes, the provisions of this
Article VI shall preempt the provisions of Article X of the Original
Indenture in their entirety.

 

Section 6.01.          Consolidation
and Mergers of the Issuers. Neither Issuer shall consolidate or amalgamate
with or merge with or into any Person, or sell, convey, transfer, lease or
otherwise dispose of all or substantially all its assets to any Person, whether
in a single

 

16

 

transaction or a series of related transactions, except (1) in
accordance with the provisions of the Partnership Agreement, and (2) unless:
(a) either (i) such Issuer shall be the surviving Person in the case of a
merger or (ii) the resulting, surviving or transferee Person if other than such
Issuer (the “Successor Company”) shall be a partnership, limited liability
company or corporation organized and existing under the laws of the United
States, any state thereof or the District of Columbia (provided that PAA
Finance may not merge, amalgamate or consolidate with or into another Person
other than a corporation satisfying such requirement for so long as the
Partnership is not a corporation) and the Successor Company shall expressly
assume, by an indenture supplemental hereto, executed and delivered to the
Trustee, in form reasonably satisfactory to the Trustee, the due and punctual
payment of the principal of, premium, if any, and interest (including
Additional Interest, if any) on all of the Notes, and the due and punctual
performance or observance of all the other obligations under the Indenture to
be performed or observed by such Issuer; (b) immediately after giving
effect to such transaction or series of transactions, no Default or Event of
Default would occur or be continuing; (c) if such Issuer is not the continuing
Person, then each Subsidiary Guarantor, unless it has become the Successor
Company, shall confirm that its Guarantee shall continue to apply to the
obligations under the Notes and the Indenture; and (d) such Issuer shall have
delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel,
each stating that such consolidation, amalgamation, merger, sale, conveyance,
transfer, lease or other disposition and such supplemental Indenture (if any)
comply with this Section 6.01 and any other applicable provisions of the
Indenture.

 

Section 6.02.          Rights
and Duties of Successor. In case of any consolidation, amalgamation or
merger where an Issuer is not the continuing Person, or disposition of all or
substantially all of the assets of an Issuer in accordance with Section 6.01,
the Successor Company shall succeed to and be substituted for such Issuer with
the same effect as if it had been named herein as the respective party to the
Indenture, and the predecessor entity shall be released from all liabilities
and obligations under the Indenture and the Notes, except that no such release
will occur in the case of a lease of all or substantially all of an Issuer’s
assets. In case of any such consolidation, amalgamation, merger, sale,
conveyance, transfer, lease or other disposition, such changes in phraseology
and form (but not in substance) may be made in the Notes thereafter to be
issued as may be appropriate.

 

Section 6.03.          Supplemental
Indenture. Section 9.01 of the Original Indenture is hereby amended, with
respect to the Notes, by adding the words “or the confirmation of a Subsidiary
Guarantor’s” immediately after the word “Issuer’s” in Section 9.01(c).

 

ARTICLE VII

DEFAULTS AND REMEDIES

 

Section 7.01.          Events
of Default. With respect to the Notes, the provisions of this Section 7.01
shall preempt the provisions of the first and final paragraphs of Section 6.01
of the Original Indenture in their entirety.

 

17

 

(a)           An
“Event of Default” occurs if:

 

(i)            the
Issuers default for 60 days in the payment
when due of interest on, or Additional Interest with respect to, the Notes;

 

(ii)           the
Issuers default in the payment when due of principal of or premium, if any, on
the Notes at maturity, upon redemption or otherwise;

 

(iii)          failure
by an Issuer or any Subsidiary Guarantor for 30 days after receipt of notice by
the Issuers from the Trustee or to the Issuers and the Trustee by the Holders
of at least 25% in principal amount of the Notes then Outstanding to comply with any other term, covenant or warranty in the
Indenture or the Notes (provided that notice need not be given, and an
Event of Default shall occur, 30 days after any breach of the provisions
of Section 6.01 hereof);

 

(iv)          default under any mortgage, indenture or
instrument under which there may be issued or by which there may be secured or
evidenced any Debt of an Issuer or any of the Partnership’s Subsidiaries (or the payment of which is
guaranteed by the Partnership or any
of its Subsidiaries), whether such Debt or guarantee now exists or is created
after the Issue Date, if that default (A) is caused by a failure to pay
principal of or premium, if any, or interest on such Debt prior to the expiration of the grace period
provided in such Debt (a ”Payment Default”) or (B) results in the
acceleration of the maturity of such Debt to a date prior to its original
stated maturity, and, in each case described in clause (A) or (B), the
principal amount of any such Debt, together
with the principal amount of any other such Debt under which there has been a
Payment Default or the maturity of which has been so accelerated, aggregates
$25.0 million or more; provided, further, that if any such default is cured or waived or any such
acceleration rescinded, or such Debt is repaid, within a period of 30 days from
the continuation of such default beyond the applicable grace period or the
occurrence of such acceleration, as the case may be, such Event of Default and
any consequential acceleration of the Notes shall be automatically rescinded,
so long as such rescission does not conflict with any judgment or decree;

 

(v)           except
as permitted by the Indenture, any Guarantee shall cease for any reason to be
in full force and effect (except as otherwise provided in the Indenture) or is
declared null and void in a judicial proceeding or any Subsidiary Guarantor, or
any Person acting on behalf of any Subsidiary Guarantor, shall deny or
disaffirm its obligations under the Indenture or its Guarantee;

 

(vi)          an
Issuer or any Subsidiary Guarantor pursuant to or within the meaning of any
Bankruptcy Law:

 

(A)          commences a voluntary case,

 

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

 

18

 

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

 

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

 

(E)           generally is not paying its debts as
they become due; or

 

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

 

(A)          is for relief against an Issuer or any
Subsidiary Guarantor in an involuntary case;

 

(B)           appoints a custodian of an Issuer or
any Subsidiary Guarantor or for all or substantially all of the property of an
Issuer or any Subsidiary Guarantor; or

 

(C)           orders the liquidation of an Issuer
or any Subsidiary Guarantor;

 

and the order or decree remains unstayed and in effect
for 60 consecutive days.

 

(b)           In the case of an Event of Default arising from
Section 7.01(a)(vi) or 7.01(a)(vii) hereof involving an Issuer (and, for the
avoidance of debt, excluding any such Event of Default that involves only one
or more Subsidiary Guarantors), the principal amount of all Outstanding Notes
and interest thereon shall become due and payable immediately without further
action or notice. If any other Event of Default occurs and is continuing, the
Trustee or the Holders of at least 25% in principal amount of the then
Outstanding Notes may declare the principal amount of all the Notes and
interest thereon to be due and payable immediately by a notice in writing to
the Issuers (and to the Trustee if given by the Holders) and upon any such
declaration such principal amount and interest thereon shall be due and payable
immediately.

 

ARTICLE VIII

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

 

Section 8.01.          Option
to Effect Legal Defeasance or Covenant Defeasance. The Issuers may, at the
option of the Boards of Directors evidenced by a Board Resolution set forth in
an Officers’ Certificate, at any time, elect to have either Section 8.02 or
8.03 hereof be applied to all outstanding Notes and Guarantees upon compliance
with the conditions set forth below in this Article VIII.

 

Section 8.02.          Legal
Defeasance and Discharge. Upon the Issuers’ exercise under
Section 8.01 hereof of the option applicable to this Section 8.02, each of
the Issuers and the Subsidiary Guarantors shall, subject to the satisfaction of
the conditions set forth in Section 8.04 hereof, be deemed to have been discharged
from its obligations with respect to all outstanding Notes and Guarantees on
the date the conditions set forth below are satisfied (hereinafter, “Legal

 

19

 

Defeasance”). For this purpose, Legal Defeasance means that each of the
Issuers shall be deemed to have paid and discharged the entire Debt represented
by the outstanding Notes, which shall thereafter be deemed to be “Outstanding”
only for the purposes of Section 8.05 hereof and the other Sections of the
Indenture referred to in (a) and (b) below, and to have satisfied all its other
obligations under such Notes and the Indenture, and each of the Subsidiary
Guarantors shall be deemed to have discharged its obligations under its
Guarantee (and the Trustee, on demand of and at the expense of the Issuers,
shall execute proper instruments acknowledging the same), except for the
following provisions which shall survive until otherwise terminated or
discharged hereunder:

 

(a)           the
rights of Holders of Outstanding Notes to receive solely from the trust fund
described in Section 8.04 hereof, and as more fully set forth in such
Section, payments in respect of the principal of, premium on, if any, interest
and Additional Interest, if any, on such Notes when such payments are due (but not the Change of Control Payment or the
payment pursuant to an Asset Sale Offer),

 

(b)           the
Issuers’ obligations with respect to such Notes under Sections 2.07, 2.08, 2.09
and 4.02 of the Original Indenture,

 

(c)           the
rights, powers, trusts, duties and immunities of the Trustee hereunder and the
Issuers’ obligations in connection therewith,

 

(d)           this
Article VIII, and

 

(e)           the
Issuers’ rights of optional redemption under Section 4.01 hereof.

 

Subject to compliance with this Article VIII, the
Issuers may exercise their option under this Section 8.02 notwithstanding the
prior exercise of their option under Section 8.03 hereof.

 

Section 8.03.          Covenant
Defeasance. Upon the Issuers’ exercise under Section 8.01 hereof of the
option applicable to this Section 8.03, each of the Issuers shall, subject to
the satisfaction of the conditions set forth in Section 8.04 hereof, be
released from its obligations under the covenants contained in
Sections 5.02, 5.03, 5.04 and 5.05 hereof with respect to the Outstanding
Notes on and after the date the conditions set forth in Section 8.04 are
satisfied (hereinafter, “Covenant Defeasance”), and the Notes shall thereafter
be deemed not “Outstanding” for the purposes of any direction, waiver, consent
or declaration or act of Holders (and the consequences of any thereof) in
connection with such covenants, but shall continue to be deemed “Outstanding”
for all other purposes hereunder (it being understood that such Notes shall not
be deemed outstanding for accounting purposes). For this purpose, Covenant
Defeasance means that, with respect to the Outstanding Notes, the Issuers may
omit to comply with and shall have no liability in respect of any term,
condition or limitation set forth in any such covenant, whether directly or
indirectly, by reason of any reference elsewhere herein to any such covenant or
by reason of any reference in any such covenant to any other provision herein
or in any other document and such omission to comply shall not constitute a
Default or an Event of Default under Section 7.01 hereof, but, except as
specified above, the remainder of the Indenture, the Guarantees and such Notes
shall be unaffected thereby.

 

20

 

Section 8.04.          Conditions
to Legal or Covenant Defeasance. The following shall be the conditions to
the application of either Section 8.02 or 8.03 hereof to the Outstanding
Notes:

 

In order to exercise either Legal Defeasance or
Covenant Defeasance:

 

(a)           the
Issuers must irrevocably deposit with the Trustee, in trust, for the benefit of
the Holders of the Notes, cash in Dollars, U.S. Government Obligations, or a
combination thereof, in such amounts as shall be sufficient, in the written
opinion of a nationally recognized firm of independent public accountants, to
pay the principal of, premium on, if any, interest and Additional Interest, if
any, on the Outstanding Notes at the Stated Maturity thereof or on the
applicable redemption date, as the case may be, and the Issuers must specify
whether the Notes are being defeased to maturity or to a particular redemption
date;

 

(b)           in
the case of an election under Section 8.02 hereof, the Issuers shall have
delivered to the Trustee an Opinion of Counsel confirming that (i) the
Issuers have received from, or there has been published by, the Internal
Revenue Service a ruling or (ii) since the date of the Indenture, there has
been a change in the applicable federal income tax law, in either case to the
effect that, and based thereon such Opinion of Counsel shall confirm that, the
Holders of the Outstanding Notes shall not recognize income, gain or loss for
federal income tax purposes as a result of such Legal Defeasance and shall be
subject to federal income tax on the same amounts, in the same manner and at
the same times as would have been the case if such Legal Defeasance had not
occurred;

 

(c)           in
the case of an election under Section 8.03 hereof, the Issuers shall have
delivered to the Trustee an Opinion of Counsel confirming that the Holders of
the Outstanding Notes shall not recognize income, gain or loss for federal
income tax purposes as a result of such Covenant Defeasance and shall be
subject to federal income tax on the same amounts, in the same manner and at
the same times as would have been the case if such Covenant Defeasance had not
occurred;

 

(d)           no
Default or Event of Default shall have occurred and be continuing either
(i) on the date of such deposit (other than a Default or Event of Default
resulting from the incurrence of Debt all or a portion of the proceeds of which
shall be applied to such deposit) or (ii) insofar as Section 7.01(a)(vi)
or 7.01(a)(vii) hereof is concerned, at any time in the period ending on the
91st day after the date of deposit;

 

(e)           such
Legal Defeasance or Covenant Defeasance shall not result in a breach or
violation of, or constitute a default under, any agreement or instrument (other
than the Notes and the Indenture) to which the Partnership or any of its
Subsidiaries is a party or by which the Partnership or any of its Subsidiaries
is bound;

 

(f)            the
Issuers shall have delivered to the Trustee an Opinion of Counsel to the effect
that after the 91st day following the deposit, the trust funds shall not be
subject to the effect of any applicable bankruptcy, insolvency, reorganization
or similar laws affecting creditors’ rights generally;

 

21

 

(g)           the
Issuers shall have delivered to the Trustee an Officers’ Certificate stating
that the deposit was not made by the Issuers with the intent of preferring the
Holders over any other creditors of the Issuers or with the intent of
defeating, hindering, delaying or defrauding any other creditors of the
Issuers; and

 

(h)           the
Issuers shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that all conditions precedent provided for or
relating to the Legal Defeasance or the Covenant Defeasance have been complied
with.

 

Section 8.05.          Deposited
Money and U.S. Government Obligations to be Held in Trust; Other Miscellaneous
Provisions. Subject to Section 8.06 hereof, all money and U.S.
Government Obligations (including the proceeds thereof) deposited with the
Trustee (or other qualifying trustee, collectively for purposes of this
Section 8.05, the “Trustee”) pursuant to Section 8.04 hereof in
respect of the outstanding Notes shall be held in trust and applied by the
Trustee, in accordance with the provisions of such Notes and the Indenture, to
the payment, either directly or through any paying agent (including an Issuer
acting as paying agent) as the Trustee may determine, to the Holders of such
Notes of all sums due and to become due thereon in respect of principal,
premium on, if any, interest and Additional Interest, if any, but such money
need not be segregated from other funds except to the extent required by law.

 

The Issuers shall pay and indemnify the Trustee
against any tax, fee or other charge imposed on or assessed against the cash or
U.S. Government Obligations deposited pursuant to Section 8.04 hereof or
the principal and interest received in respect thereof other than any such tax,
fee or other charge which by law is for the account of the Holders of the
Outstanding Notes.

 

Anything in this Article VIII to the contrary
notwithstanding, the Trustee shall deliver or pay to the Issuers from time to
time upon the written request of the Issuers any money or U.S. Government
Obligations held by it as provided in Section 8.04 hereof which, in the
opinion of a nationally recognized firm of independent public accountants
expressed in a written certification thereof delivered to the Trustee (which
may be the opinion delivered under Section 8.04(a) hereof), are in excess
of the amount thereof that would then be required to be deposited to effect an
equivalent Legal Defeasance or Covenant Defeasance.

 

Section 8.06.          Repayment
to Issuers. Any money deposited with the Trustee or any paying agent, or
then held by the Issuers, in trust for the payment of the principal of, premium
on, if any, interest or Additional Interest, if any, on any Note and remaining
unclaimed for two years after such principal, premium, if any, interest or
Additional Interest, if any, has become due and payable shall be paid to the
Issuers on their written request or (if then held by the Issuers) shall be
discharged from such trust; and the Holder of such Note shall thereafter, as an
unsecured creditor, look only to the Issuers for payment thereof, and all
liability of the Trustee or such paying agent with respect to such trust money,
and all liability of the Issuers as trustee thereof, shall thereupon cease; provided, however, that the Trustee or such paying agent,
before being required to make any such repayment, may at the expense of the
Issuers cause to be published once, in the New York Times and The Wall Street
Journal (national edition), notice that such money remains unclaimed and that,
after a date specified therein, which shall not be

 

22

 

less than 30 days from the date of such notification or publication,
any unclaimed balance of such money then remaining shall be repaid to the
Issuers.

 

Section 8.07.          Reinstatement.
If the Trustee or paying agent is unable to apply any Dollars or U.S.
Government Obligations in accordance with Section 8.02 or 8.03 hereof, as
the case may be, by reason of any order or judgment of any court or
governmental authority enjoining, restraining or otherwise prohibiting such
application, then the Issuers’ obligations under the Indenture and the Notes
and the Subsidiary Guarantors’ obligations under the Guarantees shall be
revived and reinstated as though no deposit had occurred pursuant to
Section 8.02 or 8.03 hereof until such time as the Trustee or paying agent
is permitted to apply all such money in accordance with Section 8.02 or
8.03 hereof, as the case may be; provided, however,
that, if the Issuers make any payment of principal of, premium on, if any,
interest or Additional Interest, if any, on any Note following the
reinstatement of their obligations, the Issuers shall be subrogated to the
rights of the Holders of such Notes to receive such payment from the money held
by the Trustee or paying agent.

 

ARTICLE IX

SUBSIDIARY GUARANTEES

 

Section 9.01.          Subsidiary
Guarantees. (a)  Each Subsidiary
Guarantor hereby jointly and severally unconditionally and irrevocably
guarantees on a senior basis to each Holder and to the Trustee and its
successors and assigns (i) the full and punctual payment of principal,
premium, if any, interest, and Additional Interest, if any, with respect to,
the Notes when due, whether at maturity, by acceleration, by redemption or
otherwise, and all other monetary obligations of the Issuers under the
Indenture (including obligations to the Trustee) and the Notes and
(ii) the full and punctual performance within applicable grace periods of
all other obligations of the Issuers under the Indenture and the Notes (all the
foregoing being hereinafter collectively called the “Note Obligations”). Each
Subsidiary Guarantor further agrees that the Note Obligations may be extended
or renewed, in whole or in part, without notice or further assent from each
such Subsidiary Guarantor, and that each such Subsidiary Guarantor shall remain
bound under this Article IX notwithstanding any extension or renewal of
any Note Obligation.

 

(b)           Each
Subsidiary Guarantor waives presentation to, demand of, payment from and
protest to the Issuers of any of the Note Obligations and also waives notice of
protest for nonpayment. Each Subsidiary Guarantor waives notice of any Default
or Event of Default under the Notes or the Note Obligations. The obligations of
each Subsidiary Guarantor hereunder shall not be affected by (i) the
failure of any Holder or the Trustee to assert any claim or demand or to
enforce any right or remedy against the Issuers or any other Person under the
Indenture, the Notes or any other agreement or otherwise; (ii) any
extension or renewal of any thereof; (iii) any rescission, waiver,
amendment or modification of any of the terms or provisions of the Indenture,
the Notes or any other agreement; (iv) the release of any security held by
any Holder or the Trustee for the Note Obligations or any of them; (v) the
failure of any Holder or Trustee to exercise any right or remedy against any
other guarantor of the Note Obligations; or (vi) any change in the
ownership of such Subsidiary Guarantor, except as provided in Section 9.02
hereof.

 

23

 

(c)           Each
Subsidiary Guarantor further agrees that its Guarantee herein constitutes a
guarantee of payment, performance and compliance when due (and not a guarantee
of collection) and waives any right to require that any resort be had by any
Holder or the Trustee to any security held for payment of the Note Obligations.

 

(d)           The
obligations of each Subsidiary Guarantor hereunder shall not be subject to any
reduction, limitation, impairment or termination for any reason other than
indefeasible payment in full of the Note Obligations, including any claim of
waiver, release, surrender, alteration or compromise, and shall not be subject
to any defense of setoff, counterclaim, recoupment or termination whatsoever or
by reason of the invalidity, illegality or unenforceability of the Note
Obligations or otherwise. Without limiting the generality of the foregoing, the
obligations of each Subsidiary Guarantor herein shall not be discharged or
impaired or otherwise affected by the failure of any Holder or the Trustee to
assert any claim or demand or to enforce any remedy under the Indenture, the
Notes or any other agreement, by any waiver or modification of any thereof, by
any default, failure or delay, willful or otherwise, in the performance of the
obligations, or by any other act or thing or omission or delay to do any other
act or thing which may or might in any manner or to any extent vary the risk of
any Subsidiary Guarantor or would otherwise operate as a discharge of any
Subsidiary Guarantor as a matter of law or equity.

 

(e)           Each
Subsidiary Guarantor further agrees that its Guarantee herein shall continue to
be effective or be reinstated, as the case may be, if at any time payment, or
any part thereof, of principal, premium, if any, interest or Additional
Interest, if any, with respect to any Note Obligation is rescinded or must otherwise
be restored by any Holder or the Trustee upon the bankruptcy or reorganization
of either of the Issuers or otherwise.

 

(f)            In
furtherance of the foregoing and not in limitation of any other right which any
Holder or the Trustee has at law or in equity against any Subsidiary Guarantor
by virtue hereof, upon the failure of the Issuers to pay the principal,
premium, if any, interest or Additional Interest, if any, with respect to any
Note Obligation when and as the same shall become due, whether at maturity, by
acceleration, by redemption or otherwise, or to perform or comply with any
other Note Obligation, each Subsidiary Guarantor hereby promises to and shall
forthwith pay, or cause to be paid, in cash, to the Holders or the Trustee an
amount equal to the sum of (i) the unpaid principal amount of such Note
Obligations, (ii) accrued and unpaid interest on such Note Obligations
(but only to the extent not prohibited by law) and (iii) all other
monetary Note Obligations of the Issuers to the Holders and the Trustee.

 

(g)           Each
Subsidiary Guarantor agrees that it shall not be entitled to any right of
subrogation in relation to the Holders in respect of any Note Obligations
guaranteed hereby until payment in full of all Note Obligations. Each
Subsidiary Guarantor further agrees that, as between it, on the one hand, and
the Holders and the Trustee, on the other hand, (i) the maturity of the
Note Obligations guaranteed hereby may be accelerated as provided in Article
VII hereof for the purposes of any Subsidiary Guarantor’s Guarantee herein,
notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the Note Obligations guaranteed hereby, and
(ii) in the event of any declaration of acceleration of such obligations
as provided in Article VII hereof, such Note Obligations (whether or not
due and payable) shall

 

24

 

forthwith become due and payable by such Subsidiary Guarantor for the
purposes of this Section 9.01.

 

(h)           Each
Subsidiary Guarantor also agrees to pay any and all costs and expenses
(including reasonable attorneys’ fees) incurred by the Trustee or any Holder in
enforcing any rights under this Section 9.01.

 

Section 9.02.          Limitation
on Liability. Any term or provision of the Indenture to the contrary
notwithstanding, the maximum, aggregate amount of the Note Obligations
guaranteed hereunder by any Subsidiary Guarantor shall not exceed the maximum
amount that, after giving effect to all other contingent and fixed liabilities
of such Subsidiary Guarantor and to any collections from or payments made by or
on behalf of any other Subsidiary Guarantor in respect of its obligations under
its Guarantee, can be hereby guaranteed without rendering the Indenture, as it
relates to any Subsidiary Guarantor, voidable under applicable law relating to
fraudulent conveyance or fraudulent transfer.

 

Section 9.03.          Successors
and Assigns. This Article IX shall be binding upon each Subsidiary
Guarantor and, except as provided in Section 9.07, its successors and assigns
and shall inure to the benefit of the successors and assigns of the Trustee and
the Holders and, in the event of any transfer or assignment of rights by any
Holder or the Trustee, the rights and privileges conferred upon that party in
the Indenture and in the Notes shall automatically extend to and be vested in
such transferee or assignee, all subject to the terms and conditions of the
Indenture.

 

Section 9.04.          No
Waiver. Neither a failure nor a delay on the part of either the Trustee or
the Holders in exercising any right, power or privilege under this
Article IX shall operate as a waiver thereof, nor shall a single or
partial exercise thereof preclude any other or further exercise of any right,
power or privilege. The rights, remedies and benefits of the Trustee and the
Holders herein expressly specified are cumulative and not exclusive of any
other rights, remedies or benefits which either may have under this Article IX
at law, in equity, by statute or otherwise.

 

Section 9.05.          Modification.
No modification, amendment or waiver of any provision of this Article IX,
nor the consent to any departure by any Subsidiary Guarantor therefrom, shall
in any event be effective unless the same shall be in writing and signed by the
Trustee, and then such waiver or consent shall be effective only in the
specific instance and for the purpose for which given. No notice to or demand
on any Subsidiary Guarantor in any case shall entitle such Subsidiary Guarantor
to any other or further notice or demand in the same, similar or other
circumstances.

 

Section 9.06.          Execution
of Supplemental Indenture for Future Subsidiary Guarantors. Each Subsidiary
which is required to become a Subsidiary Guarantor pursuant to
Section 5.05 hereof shall promptly execute and deliver to the Trustee a
supplemental Indenture in substantially the form of Exhibit B hereto
pursuant to which such Subsidiary shall become a Subsidiary Guarantor under
this Article IX and shall guarantee the Note Obligations. Concurrently with the
execution and delivery of such supplemental Indenture, the Issuers shall

 

25

 

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

 

Section 9.07.          Release
of Guarantee. Provided that no Default shall have occurred and shall be
continuing under the Indenture, the Guarantee of a Subsidiary Guarantor under
this Article IX shall terminate and be of no further force and effect, and such
Subsidiary Guarantor shall be released from the Indenture and all Note
Obligations, upon the following events:

 

(a)           upon
any sale or other disposition of all or substantially all of the assets of such
Subsidiary Guarantor (including by way of merger, consolidation or otherwise)
to any Person that is not an Affiliate of either of the Issuers (provided such
sale or other disposition is not prohibited by the Indenture);

 

(b)           upon
any sale or other disposition of all of the Equity Interests of a Subsidiary
Guarantor, to any Person that is not an Affiliate of either of the Issuers; or

 

(c)           following
the release or discharge of all guarantees by such Subsidiary Guarantor of any
Debt of the Issuers and any Subsidiary of the Partnership (other than any Debt
Securities), upon delivery by the Issuers to the Trustee of a written notice of
such release or discharge from the guarantees.

 

ARTICLE X

MISCELLANEOUS

 

Section 10.01.        Additional
Amendments. With respect to the Notes, references to (A) ”Section 6.01”
in the Original Indenture shall be deemed to be references to “Section 7.01
of this Supplemental Indenture; (B) ”Section 11.02” in the Original
Indenture shall be deemed to be references to “Section 8.06” of this
Supplemental Indenture; (C) ”Section 6.01(g) or (h)” in the
Original Indenture shall be deemed to be references to Section 7.01(a)(vi)
or (a)(vii) of this Supplemental Indenture; and (D) “Article X” in the Original
Indenture shall be deemed to be a reference to Article VI of this Supplemental
Indenture. All references to “interest” in the Original Indenture shall be
deemed to include Additional Interest, if any, unless the context otherwise
requires.

 

Section 10.02.        Integral
Part. This Supplemental Indenture constitutes an integral part of the
Indenture.

 

Section 10.03.        Adoption,
Ratification and Confirmation. The Original Indenture, as supplemented and
amended by this Supplemental Indenture, is in all respects hereby adopted,
ratified and confirmed.

 

26

 

Section 10.04.        Counterparts.
This Supplemental Indenture may be executed in any number of counterparts, each
of which when so executed shall be deemed an original; and all such
counterparts shall together constitute but one and the same instrument.

 

Section 10.05.        Governing
Law. THIS SUPPLEMENTAL INDENTURE AND THE NOTES SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

 

 

[Signatures on following pages]

 

27

 

SIGNATURES

 

 

	
   

  	
  ISSUERS:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PLAINS ALL AMERICAN
  PIPELINE, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains AAP, L.P., its
  General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains All American GP
  LLC, its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PAA FINANCE CORP.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SUBSIDIARY GUARANTORS:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PLAINS MARKETING, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
												

 

28

 

	
   

  	
  PLAINS PIPELINE, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PLAINS MARKETING GP
  INC.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PLAINS MARKETING CANADA
  LLC

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing, L.P.,
  its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PMC (NOVA SCOTIA)
  COMPANY

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
								

 

29

 

	
   

  	
  PLAINS MARKETING
  CANADA, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  PMC (Nova Scotia)
  Company, its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  BASIN HOLDINGS
  GP LLC

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Pipeline, L.P.,
  its Sole

  	
   

  
	
   

  	
   

  	
  Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  BASIN PIPELINE
  HOLDINGS, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Basin Holdings GP LLC,
  its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Pipeline, L.P.,
  its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
								

 

30

 

	
   

  	
  RANCHO HOLDINGS
  GP LLC

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Pipeline, L.P.,
  its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  RANCHO PIPELINE
  HOLDINGS, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Rancho Holdings GP LLC,
  its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Pipeline, L.P.,
  its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP
  Inc., its General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice
  President

  	
   

  
	
   

  	
   

  	
   

  	
  and Chief Financial
  Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PLAINS LPG SERVICES GP LLC

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing, L.P., its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP Inc., its General

  Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice President and Chief

  Financial Officer

  	
   

  
							

 

31

 

	
   

  	
  PLAINS LPG SERVICES, L.P.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG Services GP LLC, its General

  Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing, L.P., its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP Inc., its General

  Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice President and Chief

  Financial Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  LONE STAR TRUCKING, LLC

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG Services, L.P., its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG Services GP LLC, its General

  Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing, L.P., its Sole Member

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing GP Inc., its General

  Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Phil Kramer

  	
   

  
	
   

  	
   

  	
   

  	
  Executive Vice President and Chief

  Financial Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  TRUSTEE:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  WACHOVIA BANK, NATIONAL
  ASSOCIATION,

  	
   

  
	
   

  	
  as Trustee

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Ronda L. Porman

  	
   

  	
   

  
	
   

  	
   

  	
  Name: Ronda L. Porman

  	
   

  
	
   

  	
   

  	
  Title: Vice President

  	
   

  
									

 

32

 

EXHIBIT A

 

(Form of Face of Note)

 

	
  CUSIP                

  	
   

  	
  No.     
  

  
	
  ISIN                 

  	
   

  	
  $               

  

 

PLAINS ALL AMERICAN PIPELINE, L.P.

PAA FINANCE CORP.

 

6.70% Series      
Senior Notes due 2036

 

Plains All American Pipeline, L.P., a Delaware limited partnership, and
PAA Finance Corp., a Delaware corporation, jointly and severally promise to pay
to                   ,
or registered assigns, the principal sum of                   
Dollars [or such greater or lesser amount as may be endorsed on the Schedule
attached hereto]1 on May 15, 2036.

 

Interest Payment Dates:  May 15 and November 15

Record Dates:  May 1 and November 1

 

	
   

  	
  PLAINS ALL AMERICAN
  PIPELINE, L.P.

  
	
   

  	
  By:

  	
  Plains AAP, L.P., its
  General Partner

  
	
   

  	
  By:

  	
  Plains All American GP
  LLC, its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
  PAA FINANCE CORP.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
								

 

TRUSTEE’S CERTIFICATE OF

AUTHENTICATION

 

This is one of the Debt
Securities of the series designated therein referred to in the within-mentioned
Indenture.

 

WACHOVIA BANK, NATIONAL
ASSOCIATION,

as Trustee

 

	
  By:

  	
   

  	
   

  
	
  Authorized
  Signatory

  
	
  Dated:

  	
   

  	
   

  
					

 

1 To be included only if the Note
is issued in global form.

 

A-1

 

(Form of Back of Note)

 

6.70% Series       Senior Notes due 2036

 

[THIS GLOBAL SECURITY IS HELD BY OR ON BEHALF OF
THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) IN CUSTODY FOR
THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY
PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (A) THE TRUSTEE MAY MAKE SUCH
NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.08 OF THE ORIGINAL
INDENTURE, (B) THIS GLOBAL SECURITY MAY BE EXCHANGED IN WHOLE BUT NOT IN
PART PURSUANT TO SECTION 2.15 OF THE ORIGINAL INDENTURE, (C) THIS GLOBAL
SECURITY MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION
2.10 OF THE ORIGINAL INDENTURE AND (D) THIS GLOBAL SECURITY MAY BE TRANSFERRED
TO A SUCCESSOR DEPOSITARY OR ITS NOMINEE WITH THE PRIOR WRITTEN CONSENT OF THE
ISSUERS.]2

 

[THE
ISSUANCE AND SALE OF THIS SECURITY (AND ANY GUARANTEE HEREOF) HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY (NOR ANY GUARANTEE HEREOF)
NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE OFFERED, SOLD,
ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT
SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OR ANY
APPLICABLE STATE SECURITIES LAWS. THE HOLDER HEREOF, BY ITS ACCEPTANCE OF THIS
SECURITY, AGREES FOR THE BENEFIT OF THE ISSUERS THAT THIS SECURITY MAY NOT BE
OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED PRIOR TO THE EXPIRATION OF THE
HOLDING PERIOD APPLICABLE THERETO UNDER RULE 144(k) UNDER THE SECURITIES ACT
(OR, IN THE CASE OF A TRANSFER PURSUANT TO REGULATION S, THE DISTRIBUTION
COMPLIANCE PERIOD DEFINED THEREIN) WHICH IS APPLICABLE TO THIS SECURITY (THE “RESALE
RESTRICTION TERMINATION DATE”) OTHER THAN (1) TO THE ISSUERS OR THEIR
RESPECTIVE SUBSIDIARIES, (2) SO LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE
PURSUANT TO RULE 144A UNDER THE SECURITIES ACT (“RULE 144A”), TO A PERSON WHOM
THE SELLER REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” WITHIN THE
MEANING OF RULE 144A PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER, IN EACH CASE TO WHOM NOTICE IS GIVEN THAT THE
RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (3)
INSIDE THE UNITED STATES TO AN INSTITUTIONAL “ACCREDITED INVESTOR” (AS DEFINED
IN RULE 501(A)(1), (2), (3) OR (7)

 

2 To be included only if the Note
is issued in global form.

 

A-2

 

UNDER THE
SECURITIES ACT), (4) TO A NON-”U.S. PERSON” IN AN “OFFSHORE TRANSACTION” (AS
SUCH TERMS ARE DEFINED IN REGULATION S UNDER THE SECURITIES ACT) IN ACCORDANCE
WITH REGULATION S UNDER THE SECURITIES ACT, (5) PURSUANT TO ANY OTHER AVAILABLE
EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, INCLUDING
THE EXEMPTION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT, IF AVAILABLE, OR
(6) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT,
SUBJECT IN EACH OF THE FOREGOING CASES TO ANY REQUIREMENT OF LAW THAT THE
DISPOSITION OF ITS PROPERTY OR THE PROPERTY OF SUCH INVESTOR ACCOUNT OR
ACCOUNTS BE AT ALL TIMES WITHIN ITS OR THEIR CONTROL, AND SUBJECT TO THE RIGHT
OF THE ISSUERS OR THE TRUSTEE FOR THE SECURITIES PRIOR TO ANY SUCH SALE, PLEDGE
OR OTHER TRANSFER TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL,
CERTIFICATIONS AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM. THIS
LEGEND WILL BE REMOVED UPON REQUEST OF THE HOLDER ON OR AFTER THE RESALE
RESTRICTION TERMINATION DATE.]3

 

Capitalized terms used herein shall have the meanings
assigned to them in the Indenture referred to below unless otherwise indicated.

 

1.             Interest;
Additional Interest. Plains All American Pipeline, L.P., a Delaware limited
partnership (the “Partnership”), and PAA Finance Corp., a Delaware corporation
(“PAA Finance” and, together with the Partnership, the “Issuers”), jointly and
severally promise to pay interest on the principal amount of this Note at 6.70%
per annum from              
     ,          
until maturity.  The Issuers shall pay interest semi-annually on
May 15 and November 15 of each such year, or if any such day is not a
Business Day, on the next succeeding Business Day (each an “Interest Payment
Date”). Interest on the Notes shall accrue from the most recent date to which
interest has been paid or, if no interest has been paid, from the date of
issuance. The first Interest Payment Date shall be              
     ,          .
The Issuers shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue principal and premium, if any,
from time to time on demand at a rate that is 1% per annum in excess of the
rate then in effect; and they shall pay interest (including post-petition
interest in any proceeding under any Bankruptcy Law) on overdue installments of
interest (without regard to any applicable grace periods) from time to time on
demand at the same rate to the extent lawful.  Interest shall be computed
on the basis of a 360-day year of twelve 30-day months.

 

2.             Method
of Payment. The Issuers shall pay interest on the Notes (except defaulted
interest) to the Persons who are registered Holders of Notes at the close of
business on the May 1 or November 1 next preceding the Interest
Payment Date, even if such Notes are canceled after such record date and on or
before such Interest Payment Date, except as provided in Section 2.17 of the
Original Indenture with respect to defaulted interest, and the Issuers shall
pay principal (and premium, if any) of the Notes upon surrender thereof to the
Trustee or a paying agent on or after the Stated Maturity thereof. The Notes
shall be payable as to principal,

 

3 To be included on Transfer
Restricted Securities only.

 

A-3

 

premium, if any, and interest at the office or agency of the Trustee
maintained for such purpose within or without The City and State of New York,
or, at the option of the Issuers, payment of interest may be made by check
mailed to the Holders at their addresses set forth in the register of Holders,
and provided that payment by wire transfer of immediately available
funds shall be required with respect to principal of and interest, premium on,
each Global Security and all other Notes the Holders of which shall have
provided wire transfer instructions to the Issuers or the paying agent on or
prior to the applicable record date. Such payment shall be in such coin or
currency of the United States of America as at the time of payment is legal
tender for payment of public and private debts.

 

3.             Paying
Agent and Registrar. Initially, Wachovia Bank, National Association, the
Trustee under the Indenture, shall act as paying agent and Registrar.  The
Issuers may change any paying agent or Registrar without notice to any
Holder.  The Issuers or any of their Subsidiaries may act in any such
capacity.

 

4.             Indenture.
The Issuers issued the Notes under an Indenture dated as of September 25,
2002 (the “Original Indenture”), as supplemented by the Sixth Supplemental
Indenture dated as of May 12, 2006 (the “Supplemental Indenture” and, together
with the Original Indenture, the “Indenture”) among the Issuers and the Trustee
and, with respect to the Supplemental Indenture, the subsidiary guarantors
signatory thereto (the “Subsidiary Guarantors”). The terms of the Notes include
those stated in the Indenture and those made part of the Indenture by reference
to the Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb). The Notes
are subject to all such terms, and Holders are referred to the Indenture and
such Act for a statement of such terms.  To the extent any provision of
this Note conflicts with the express provisions of the Indenture, the
provisions of the Indenture shall govern and be controlling. The Notes are
joint and several obligations of the Issuers initially in aggregate principal
amount of $250 million. The Issuers may issue an unlimited aggregate
principal amount of Additional Notes under the Indenture. Any such Additional
Notes that are actually issued shall be treated as issued and outstanding Notes
(and as the same series (with identical terms other than with respect to the
issue date, issue price and date of first payment of interest) as the initial
Notes) for all purposes of the Indenture, including waivers, amendments,
redemptions and offers to purchase. To secure the due and punctual payment of
the principal and interest on the Notes and all other amounts payable by the
Issuers under the Indenture and the Notes when and as the same shall be due and
payable, whether at maturity, by acceleration or otherwise, according to the
terms of the Notes and the Indenture, the Subsidiary Guarantors have
unconditionally guaranteed the Note Obligations under the Indenture and the
Notes on a senior basis pursuant to the terms of the Indenture.

 

5.             Optional
Redemption. (a)  At their option at
any time prior to maturity, the Issuers may choose to redeem all or any portion
of the Notes at once or from time to time.

 

(b)           To
redeem the Notes, the Issuers must pay a redemption price equal to the greater
of (a) 100% of the principal amount of the Notes to be redeemed, and (b) as
determined by the Quotation Agent (as defined below), the sum of the present
values of the remaining scheduled payments of principal and interest on the
Notes to be redeemed (not including any portion of those payments of interest
accrued as of the date of redemption) discounted to the date

 

A-4

 

of redemption on a semi-annual basis (assuming a 360-day year
consisting of twelve 30-day months) at the Adjusted Treasury Rate (as defined
below) plus 25 basis points, plus, in either case, accrued and unpaid interest,
including Additional Interest, if any, to the date of redemption (subject to
the right of Holders on the relevant record date to receive interest due on the
relevant interest payment date).

 

For purposes of determining any redemption price, the
following definitions shall apply:

 

“Adjusted Treasury Rate” means, with respect to any
date of redemption, the rate per annum equal to the semi-annual equivalent
yield to maturity of the Comparable Treasury Issue, assuming a price for the
Comparable Treasury Issue (expressed as a percentage of its principal amount)
equal to the Comparable Treasury Price for the date of redemption.

 

“Comparable Treasury Issue” means the United States
Treasury security selected by the Quotation Agent as having a maturity
comparable to the remaining term of the Notes that would be utilized, at the
time of selection and in accordance with customary financial practice, in
pricing new issues of corporate debt securities of comparable maturity to the
remaining term of the Notes to be redeemed.

 

“Comparable Treasury Price” means, with respect to any
date of redemption, (a) the average of the Reference Treasury Dealer Quotations
for the date of redemption, after excluding the highest and lowest Reference
Treasury Dealer Quotations, or (b) if the Trustee obtains fewer than four
Reference Treasury Dealer Quotations, the average of all such Reference
Treasury Dealer Quotations.

 

“Quotation Agent” means UBS Securities LLC or another
Reference Treasury Dealer appointed by the Issuers.

 

“Reference Treasury Dealer” means (a) UBS Securities
LLC and its successors; provided, however, that if the foregoing shall cease to
be a primary U.S. Government securities dealer in the United States (a “Primary
Treasury Dealer”), the Issuers shall substitute another Primary Treasury
Dealer; and (b) any other Primary Treasury Dealer selected by the Issuers.

 

“Reference Treasury Dealer Quotations” means, with respect
to each Reference Treasury Dealer and any date of redemption, the average, as
determined by the Trustee, of the bid and asked prices for the Comparable
Treasury Issue (expressed in each case as a percentage of its principal amount)
quoted in writing to the Trustee by that Reference Treasury Dealer at 5:00
p.m., New York City time, on the third business day preceding that date of
redemption.

 

6.             Mandatory
Redemption. The Issuers shall not be required to make mandatory redemption
or sinking fund payments with respect to the Notes.

 

7.             Notice
of Redemption. Notice of redemption shall be mailed at least 30 days but
not more than 60 days before the redemption date to each Holder whose Notes are
to be redeemed at its registered address.  Notes in denominations larger
than $1,000 may be redeemed in part but only in whole multiples of $1,000,
unless all of the Notes held by a Holder are to be

 

A-5

 

redeemed. Unless the Issuers default in payment of the redemption price,
on and after the redemption date interest ceases to accrue on Notes or portions
thereof called for redemption.

 

8.             Denominations,
Transfer, Exchange. The Notes are in registered form without coupons in
denominations of $1,000 and integral multiples of $1,000.  The transfer of
Notes may be registered and Notes may be exchanged as provided in the
Indenture.  The Registrar and the Trustee may require a Holder, among
other things, to furnish appropriate endorsements and transfer documents and
the Issuers may require a Holder to pay any taxes or other governmental charges
required by law or permitted by the Indenture.  The Issuers need not
exchange or register the transfer of any Note or portion of a Note selected for
redemption or repurchase, except for the unredeemed or unrepurchased portion of
any Note being redeemed or repurchased in part.  Also, the Issuers need
not exchange or register the transfer of any Notes for a period of 15 days
before a selection of Notes to be redeemed or repurchased or during the period
between a record date and the corresponding Interest Payment Date.

 

9.             Persons
Deemed Owners. The registered Holder of a Note shall be treated as its
owner for all purposes.

 

10.           Amendment,
Supplement and Waiver. Subject to certain exceptions, the Indenture or the
Notes may be amended or supplemented with the consent of the Holders of a
majority in aggregate principal amount of the then Outstanding Notes, and any
existing default or compliance with any provision of the Indenture or the Notes
may be waived with the consent of the Holders of a majority in aggregate
principal amount of the then Outstanding Notes. Without the consent of any
Holder of a Note, the Indenture or the Notes may be amended or supplemented for
any of the purposes set forth in Section 9.01 of the Original Indenture (as
amended by the Supplemental Indenture), including to cure any ambiguity, defect
or inconsistency, to provide for the assumption of an Issuer’s obligations to
Holders of the Notes in case of a merger or consolidation of such Issuer or
sale of all or substantially all of such Issuer’s assets, to add or release
Subsidiary Guarantors (or their successors) pursuant to the terms of the
Indenture, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that
does not adversely affect the legal rights under the Indenture of any Holder of
the Notes, to comply with the requirements of the Commission to permit
the qualification of the Indenture under the Trust Indenture Act, to evidence
or provide for the acceptance of appointment under the Indenture of a successor
Trustee, to add any additional Events of Default, to secure the Notes or the
Guarantees or to establish the form or terms of any other series of Debt
Securities.

 

11.           Defaults
and Remedies. Events of Default with respect to the Notes include:
(i) default for 60 days in the payment when due of interest on, or
Additional Interest with respect to, the Notes; (ii) default in payment when
due of principal of or premium, if any, on the Notes at maturity, upon
redemption or otherwise, (iii) failure by an Issuer or any Subsidiary Guarantor
for 30 days after notice to comply with any of the other agreements in the
Indenture (provided  that notice need
not be given, and an Event of Default shall occur, 30 days after any
breach of the provisions of Section 6.01 of the Supplemental Indenture);
(iv) default under any mortgage, indenture
or instrument under which there may be issued or by which there may be secured
or evidenced any Debt of an Issuer or any of the Partnership’s Subsidiaries (or the payment of which is
guaranteed by the Partnership or any
of its Subsidiaries), whether such Debt or

 

A-6

 

guarantee now exists or is created after the
Issue Date, if that default (a) is caused by a failure to pay principal
of or premium, if any, or interest on such Debt prior to the expiration of the grace period provided in such Debt (a “Payment
Default”) or (b) results in the acceleration of the maturity of such
Debt to a date prior to its original stated maturity, and, in each case
described in clause (a) or (b), the principal amount of any such Debt, together with the principal amount of any
other such Debt under which there has been a Payment Default or the maturity of
which has been so accelerated, aggregates $25.0 million or more, subject to the
proviso set forth in Section 7.01(a)(iv) of the Supplemental Indenture;
(v) except as permitted by the Indenture, any Guarantee shall cease for any reason
to be in full force and effect (except as otherwise provided in the Indenture)
or is declared null and void in a judicial proceeding or any Subsidiary
Guarantor, or any Person acting on behalf of any Subsidiary Guarantor, shall
deny or disaffirm its obligations under the Indenture or its Guarantee and (vi)
certain events of bankruptcy or insolvency with respect to an Issuer or any of
the Subsidiary Guarantors. If any Event of Default occurs and is continuing,
the Trustee or the Holders of at least 25% in aggregate principal amount of the
then Outstanding Notes may declare all the Notes to be due and payable. Notwithstanding
the foregoing, in the case of an Event of Default arising from certain events
of bankruptcy or insolvency involving an Issuer, but not any Subsidiary
Guarantor, all Outstanding Notes shall become due and payable without further
action or notice. Holders may not enforce the Indenture or the Notes except as
provided in the Indenture. Subject to certain limitations, Holders of a
majority in aggregate principal amount of the then Outstanding Notes may direct
the Trustee in its exercise of any trust or power. If and so long as the board
of directors, an executive committee of the board of directors or trust
committee of Responsible Officers of the Trustee in good faith so determines,
the Trustee may withhold from Holders of the Notes notice of any continuing
Default or Event of Default (except a Default or Event of Default relating to
the payment of principal, premium, if any, or interest) if it determines that
withholding notice is in their interests. The Holders of a majority in
aggregate principal amount of the Notes then Outstanding by notice to the
Trustee may on behalf of the Holders of all of the Notes waive any existing
Default or Event of Default and its consequences under the Indenture except a
continuing Default or Event of Default in the payment of interest on, the
principal of, or premium, if any, on the Notes. The Issuers and the Subsidiary
Guarantors are required to deliver to the Trustee annually a statement
regarding compliance with the Indenture, and the Issuers are required upon
becoming aware of any Default or Event of Default, to deliver to the Trustee a
statement specifying such Default or Event of Default.

 

12.           Trustee
Dealings with Issuers. The Trustee, in its individual or any other
capacity, may make loans to, accept deposits from, and perform services for the
Issuers or their Affiliates, and may otherwise deal with the Issuers or their
Affiliates, as if it were not the Trustee.

 

13.           No
Recourse Against Others. The General Partner and its directors, officers,
employees and partners (in their capacities as such) shall not have any
liability for any obligations of the Issuers under the Notes. In addition, the
Managing General Partner and its directors, officers, employees and members
shall not have any liability for any obligations of the Issuers under the Notes.
Each Holder of Notes by accepting a Note waives and releases all such
liability. The waiver and release are part of the consideration for issuance of
the Notes.

 

A-7

 

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

 

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

 

16.           CUSIP
and ISIN Numbers. Pursuant to a recommendation promulgated by the Committee
on Uniform Security Identification Procedures, the Issuers have caused CUSIP
and corresponding ISIN numbers to be printed on the Notes, and the Trustee may
use CUSIP and corresponding ISIN numbers in notices of redemption as a
convenience to Holders. No representation is made as to the accuracy of such
numbers either as printed on the Notes or as contained in any notice of redemption
and reliance may be placed only on the other identification numbers placed
thereon.

 

17.           Additional
Rights of Holders of Transfer Restricted Securities. In addition to the
rights provided to Holders of Notes under the Indenture, Holders of Transfer
Restricted Securities shall have all the rights set forth in the Exchange and
Registration Rights Agreement, including the right to receive Additional
Interest as set forth therein.

 

The Issuers shall furnish to any Holder upon written
request and without charge a copy of the Indenture. Requests may be made to:

 

Plains All American Pipeline, L.P.

333 Clay Street, Suite 1600

Houston, Texas 
77002

Attention: 
Investor Relations

 

A-8

 

Assignment Form

 

	
  To assign this Note, fill in the form below: (I) or
  (we) assign and transfer this Note to

  
	
   

  
	
                                                                                                                                                                                                                        

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

  
	
   

  
	
                                                                                                                                                                                                                        

  
	
   

  
	
   

  
	
                                                                                                                                                                                                                        

  
	
   

  
	
                                                                                                                                                                                                                        

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

  
	
   

  
	
  and irrevocably appoint 

  	
   

  
	
  agent to transfer this Note on the books of the
  Issuers.  The agent may substitute another to act for him.

  
	
   

  
	
                                                                                                                                                                                                                        

  

 

	
  Date:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Your Signature:

  	
   

  
	
   

  	
   

  	
  (Sign exactly as your name appears on the face of
  this Note)

  
	
   

  	
   

  
	
  Signature Guarantee:

  	
   

  
	
   

  	
  (Signature must be guaranteed by a financial
  institution that is a member of the Securities Transfer Agent Medallion
  Program (“STAMP”), the Stock Exchange Medallion Program (“SEMP”), the New
  York Stock Exchange, Inc. Medallion Signature Program (“MSP”) or such other
  signature guarantee program as may be determined by the Registrar in addition
  to, or in substitution for, STAMP, SEMP or MSP, all in accordance with the
  Securities Exchange Act of 1934, as amended.)

  
						

 

A-9

 

SCHEDULE OF INCREASES OR
DECREASES IN THE GLOBAL NOTE4

 

The original principal amount of this Global Note is                                    .
The following increases or decreases in this Global Note have been made:

 

	
  Date of

  Exchange

  	
   

  	
  Amount of

  decrease in

  Principal Amount

  of

  this Global Note

  	
   

  	
  Amount of

  increase in

  Principal Amount

  of

  this Global Note

  	
   

  	
  Principal

  Amount of

  this Global Note

  following such

  decrease

  (or increase)

  	
   

  	
  Signature of

  authorized

  signatory of

  Trustee or Note

  Custodian

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

4 To be included only if
the Note is issued in global form.

 

A-10

 

EXHIBIT B

 

FORM OF SUPPLEMENTAL
INDENTURE

 

SUPPLEMENTAL INDENTURE (this “Supplemental
Indenture”), dated as of                                      ,
among Plains All American Pipeline, L.P., a Delaware limited partnership (the
“Partnership”), PAA Finance Corp., a Delaware corporation (“PAA Finance” and,
together with the Partnership, the “Issuers”),                                               
(the “Subsidiary Guarantor”), a direct or indirect subsidiary of Plains All
American Pipeline, L.P. (or its successor), a Delaware limited partnership (the
“Partnership”), and Wachovia Bank, National Association, as trustee under the
indenture referred to below (the “Trustee”).

 

W I T N E S S E T H

 

WHEREAS, the Issuers have heretofore executed and
delivered to the Trustee an indenture (the “Original Indenture”), dated as of
September 25, 2002, as supplemented by the Sixth Supplemental Indenture
(the “Sixth Supplemental Indenture” and, together with the Original Indenture,
the “Indenture”) dated as of May 12, 2006, among the Issuers, the Subsidiary
Guarantors and the Trustee, providing for the issuance of the Issuers’ 6.70%
Senior Notes due 2036 (the “Notes”);

 

WHEREAS, Section 5.05 of the Sixth Supplemental
Indenture provides that under certain circumstances the Partnership is required
to cause the Subsidiary Guarantor to execute and deliver to the Trustee a supplemental
indenture pursuant to which the Subsidiary Guarantor shall unconditionally
guarantee all of the Issuers’ obligations under the Notes pursuant to a
Guarantee on the terms and conditions set forth herein; and

 

WHEREAS, pursuant to Section 9.01 of the Original
Indenture, the Issuers and the Trustee are authorized to execute and deliver
this Supplemental Indenture;

 

NOW THEREFORE, in consideration of the foregoing and
for other good and valuable consideration, the receipt of which is hereby
acknowledged, the Issuers, the Subsidiary Guarantor and the Trustee mutually
covenant and agree for the equal and ratable benefit of the holders of the
Notes as follows:

 

1.             Definitions.
(a)  Capitalized terms used herein
without definition shall have the meanings assigned to them in the Indenture.

 

(b)           For
all purposes of this Supplemental Indenture, except as otherwise herein
expressly provided or unless the context otherwise requires:  (i) the terms and expressions used
herein shall have the same meanings as corresponding terms and expressions used
in the Indenture; and (ii) the words “herein,” “hereof” and “hereby” and
other words of similar import used in this Supplemental Indenture refer to this
Supplemental Indenture as a whole and not to any particular section hereof.

 

B-1

 

2.             Agreement
to Guarantee. The Subsidiary Guarantor hereby agrees, jointly and severally
with all other Subsidiary Guarantors under the Indenture, to guarantee the
Issuers’ obligations under the Notes on the terms and subject to the conditions
set forth in Article IX of the Sixth Supplemental Indenture and to be bound by
all other applicable provisions of the Indenture. Except as expressly amended
hereby, the Indenture is in all respects ratified and confirmed and all the
terms, conditions and provisions thereof shall remain in full force and effect.
This Supplemental Indenture shall form a part of the Indenture for all
purposes, and every holder of Notes heretofore or hereafter authenticated and
delivered shall be bound hereby.

 

3.             GOVERNING LAW. THIS SUPPLEMENTAL
INDENTURE SHALL BE DEEMED TO BE A NEW YORK CONTRACT, AND FOR ALL PURPOSES SHALL
BE CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

 

4.             Trustee
Makes No Representation. The Trustee makes no representation as to the
validity or sufficiency of this Supplemental Indenture.

 

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

 

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

 

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

 

	
   

  	
  PLAINS ALL AMERICAN
  PIPELINE, L.P.

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains AAP, L.P., its
  General Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   Plains All
  American GP LLC, its General

  	
   

  
	
   

  	
   

  	
   Partner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PAA FINANCE CORP.

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
   

  
						

 

B-2

 

	
   

  	
  [SUBSIDIARY GUARANTOR],

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  WACHOVIA BANK, NATIONAL
  ASSOCIATION, 

  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
   

  

 

B-3

 

EXHIBIT C

 

CERTIFICATE TO BE
DELIVERED UPON EXCHANGE

OR REGISTRATION OF
TRANSFER OF SECURITIES

PURSUANT TO RULE 144A OR
RULE 501

 

Re:                               6.70%
Series [A/B] Senior Notes due 2036
of Plains All American Pipeline, L.P. and PAA Finance Corp. (together, the
“Issuers”)

 

This Certificate relates
to $               
principal amount of the above captioned Notes held in definitive form (the
“Securities”) by                                                         
(the “Transferor”).

 

The Transferor has requested the Trustee by written
order to exchange or register the transfer of a Security or Securities.

 

In connection with such
request and in respect of each such Security, the Transferor does hereby certify
that the Transferor is familiar with the Indenture and the Supplemental
Indenture relative to the Securities and that the transfer of this Security
does not require registration under the Securities Act (as defined below)
because:*

 

•              Such
Security is being acquired for the Transferor’s own account without transfer.

 

•              Such
Security is being transferred to a “qualified institutional buyer” (as defined
in Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”)), in reliance on Rule 144A under the Securities Act and in accordance
with any applicable securities laws of any state of the United States or any
other jurisdiction, that is purchasing for its own account or for the account
of another qualified institutional buyer, in each case to whom notice is given
that the transfer is being made in reliance on Rule 144A.

 

•              Such
Security is being transferred (i) in accordance with Rule 144 under the
Securities Act (and based on an opinion of counsel if the Issuers or the
Trustee so requests) or (ii) pursuant to an effective registration
statement under the Securities Act.

 

•              Such
Security is being transferred to an institutional “accredited investor” within
the meaning of Rule 501(a)(1), (2), (3) or (7) under the Securities Act
pursuant to a private placement exemption from the registration requirements of
the Securities Act (and based on an opinion of counsel if the Issuers or the
Trustee so requests) and in accordance with any applicable securities laws of
any state of the United States or any other jurisdiction, that is purchasing
for its own account or for the account of another institutional accredited
investor, together with a certification in substantially the form of Exhibit D
to the Supplemental Indenture and, to the knowledge of the Transferor, such
institutional accredited investor to whom such Security is to be transferred is
not an “affiliate” (as defined in Rule 144 under the Securities Act) of an
Issuer.

 

C-1

 

•              Such
Security is being transferred in reliance on and in compliance with another
exemption from the registration requirements of the Securities Act (and based
on an opinion of counsel if the Issuers so request).

 

*Check appropriate response.

 

 

	
   

  	
   

  	
   

  
	
   

  	
  [INSERT NAME OF TRANSFEROR]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
  Address:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
							

 

C-2

 

EXHIBIT D

 

TRANSFEREE LETTER OF REPRESENTATIONS

 

Plains All American Pipeline, L.P.

PAA Finance Corp.

%Wachovia Bank, National Association, Trustee

5847 San Felipe, Suite 1050

Houston, Texas  77057

Attn: Corporate Trust Group

 

Ladies and Gentlemen:

 

In connection with our proposed purchase of $                            
aggregate principal amount of 6.70% Senior Notes due 2036 (the “Securities”) of Plains All
American Pipeline, L.P. and PAA Finance Corp. (together, the “Issuers”):

 

1.             We
understand that the Securities have not been registered under the Securities
Act of 1933, as amended (the “Securities Act”), or under any other applicable
securities laws, and may not be sold except as permitted in the following
sentence. We agree on our own behalf and on behalf of any investor account for
which we are purchasing the Securities to offer, sell or otherwise transfer
such Securities prior to the date which is two years after the later of the
date of original issue and the last date on which the Issuers or any affiliate
of an Issuer was the owner of such Securities, or any predecessor, thereto (the
“Resale Restriction Termination Date”) only (a) to the Issuers, (b) pursuant to
a registration statement that has been declared effective by the Securities and
Exchange Commission (the “Commission”), (c) for so long as the Securities are
eligible for resale pursuant to Rule 144A under the Securities Act, to a person
we reasonably believe is a qualified institutional buyer under Rule 144A (a
“QIB”) that purchases for its own account or for the account of a QIB to whom
notice is given that the transfer is being made in reliance on Rule 144A, (d)
to an institutional “accredited investor” within the meaning of subparagraph
(a)(1), (2), (3) or (7) of Rule 501 under the Securities Act (an “Institutional
Accredited Investor”) that is acquiring the Securities for its own account or
for the account of another Institutional Accredited Investor for investment
purposes and not with a view to, or for offer or sale in connection with, any
distribution thereof in violation of the regulations of the Securities Act and
any other applicable securities laws or (e) pursuant to any other available
exemption from the registration requirements of the Securities Act, subject in
each of the foregoing cases to any requirement of law that the disposition of
our property and the property of such investor account or accounts be at all
times within our or their control. The foregoing restrictions on resale will
not apply subsequent to the Resale Restriction Termination Date. If any resale
or other transfer of the Securities is proposed to be made pursuant to clause (d)
above prior to the Resale Restriction Termination Date, the transferor shall
deliver a letter from the transferee substantially in the form of this letter
to the Trustee, which shall provide, among other things, that the transferee is
an Institutional Accredited Investor and that it is acquiring such Securities
for investment purposes and not for distribution in violation of the Securities
Act. We acknowledge that the Issuers and the Trustee reserve the right prior to
any 

 

D-1

 

offer, sale or other
transfer pursuant to clause (d) or (e) prior to the Resale Restriction
Termination Date of the Securities to require the delivery of an opinion of
counsel, certifications and/or other information satisfactory to the Issuers
and the Trustee.

 

2.             We
are an Institutional Accredited Investor purchasing for our own account or for
the account of another Institutional Accredited Investor.

 

3.             We
are acquiring the Securities purchased by us for our own account, or for one or
more accounts as to each of which we exercise sole investment discretion, for
investment purposes and not with a view to, or for offer or sale in connection
with any distribution in violation of, the Securities Act. We have such
knowledge and experience in financial and business matters as to be capable of
evaluating the merits and risks of investment in the Securities, we invest in
securities similar to the Securities in the normal course of our business and
we, and all accounts for which we are acting, are able to bear the economic
risks of investment in the Securities.

 

4.             You
are entitled to rely upon this letter and you are irrevocably authorized to
produce this letter or a copy thereof to any interested party in any
administrative or legal proceeding or official inquiry with respect to the
matters covered hereby.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
  [NAME OF TRANSFEREE]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  	
   

  

 

Upon transfer, the Securities should be registered in
the name of the new beneficial owner as follows:

 

	
  Name:

  	
   

  	
   

  
	
  Address:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Taxpayer ID No:

  	
   

  	
   

  

 

D-2

 

EXHIBIT E

 

CERTIFICATE TO BE DELIVERED

IN CONNECTION WITH TRANSFERS PURSUANT TO REGULATION S

 

[Date]

 

Plains All American Pipeline, LP

PAA Finance Corp.

c/o Wachovia Bank, National Association, Trustee

5847 San Felipe, Suite 1050

Houston, Texas  77057

Attn: Corporate Trust Group

 

Re:                               Plains
All American Pipeline, L.P. and PAA Finance Corp. (the “Issuers”) 6.70% Series [A/B] Senior Notes due
2036 (the “Securities”)

 

Ladies and Gentlemen:

 

In connection with our proposed sale of $                       
aggregate principal amount of the Securities, we confirm that such sale has
been effected pursuant to and in accordance with Regulation S under the United
States Securities Act of 1933, as amended (the “Securities Act”), and,
accordingly, we represent that:

 

(a)           the
offer of the Securities was not made to a person in the United States;

 

(b)           either
(i) at the time the buy order was originated, the transferee was outside
the United States or we and any person acting on our behalf reasonably believed
that the transferee was outside the United States or (ii) the transaction
was executed in, on or through the facilities of a designated off-shore
securities market and neither we nor any person acting on our behalf knows that
the transaction has been pre-arranged with a buyer in the United States;

 

(c)           no
directed selling efforts have been made in the United States in contravention
of the requirements of Rule 904(a) of Regulation S, as applicable; and

 

(d)           the
transaction is not part of a plan or scheme to evade the registration
requirements of the Securities Act.

 

In addition, if the sale is made during a restricted
period and the provisions of Rule 904(b)(1) of Regulation S are applicable
thereto, we confirm that such sale has been made in accordance with the
applicable provisions of Rule 904(b)(1).

 

You and the Issuers are entitled to rely upon this
letter and are irrevocably authorized to produce this letter or a copy hereof
to any interested party in any administrative or 

 

E-1

 

legal proceedings or
official inquiry with respect to the matters covered hereby. Terms used in this
certificate have the meanings set forth in Regulation S.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
  [NAME OF TRANSFEROR]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  	
   

  

 

E-2Exhibit 4.2

 

Execution Version

 

EXCHANGE AND REGISTRATION RIGHTS
AGREEMENT

 

AMONG

 

PLAINS ALL AMERICAN PIPELINE,
L.P.,

 

PAA FINANCE CORP.,

 

THE GUARANTORS

 

AND

 

THE INITIAL PURCHASERS

 

Dated as of May 12, 2006

 

 

PLAINS ALL AMERICAN PIPELINE,
L.P.

PAA FINANCE CORP.

 

6.70% Senior Notes due 2036

 

EXCHANGE AND REGISTRATION RIGHTS AGREEMENT

 

May 12, 2006

 

Citigroup Global Markets Inc.

UBS Securities LLC

BNP Paribas Securities Corp.

Banc of America Securities LLC

Fortis Securities LLC

J.P. Morgan Securities Inc.

Piper Jaffray & Co.

Wachovia Capital Markets, LLC

Amegy Bank National Association

Commerzbank Capital Markets Corp.

DnB NOR Markets, Inc.

HSBC Securities (USA) Inc.

Mitsubishi UFJ Securities International plc

 

	
  c/o

  	
   

  	
  Citigroup Global Markets Inc.

  
	
   

  	
   

  	
  388 Greenwich St., 34th Floor

  
	
   

  	
   

  	
  New York, New York 10013

  

 

 

Ladies and Gentlemen:

 

Plains All American Pipeline, L.P., a Delaware limited
partnership (the “Partnership”), PAA Finance Corp., a Delaware corporation (“PAA
Finance,” and together with the Partnership, the “Issuers”) and the Guarantors
listed on Schedule 1 hereto (the “Guarantors”), propose to issue and sell to
the initial purchasers listed on Schedule 2 hereto (the “Initial Purchasers”),
upon the terms set forth in a purchase agreement dated May 9, 2006 (the “Purchase
Agreement”), $250,000,000 principal amount of 6.70% Senior Notes due 2036 (the “Securities”)
relating to the initial placement of the Securities (the “Initial Placement”). To
induce the Initial Purchasers to enter into the Purchase Agreement and to
satisfy a condition of your obligations thereunder, the Issuers and the
Guarantors agree with you for your benefit and the benefit of the other holders
from time to time of the Securities (including the Initial Purchasers) (each a “Holder”
and, together, the “Holders”), as follows:

 

 

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

 

“Act” shall mean the Securities Act of 1933, as
amended, and the rules and regulations of the Commission promulgated
thereunder.

 

“Affiliate” of any specified Person shall mean any
other Person that, directly or indirectly, is in control of, is controlled by,
or is under common control with, such specified Person. For purposes of this
definition, control of a Person shall mean the power, direct or indirect, to
direct or cause the direction of the management and policies of such Person
whether by contract or otherwise; and the terms “controlling” and “controlled”
shall have meanings correlative to the foregoing.

 

“Broker-Dealer” shall mean any broker or dealer
registered as such under the Exchange Act.

 

“Business Day” shall mean any day other than a
Saturday, a Sunday or a legal holiday or a day on which banking institutions or
trust companies are authorized or obligated by law to close in New York City.

 

“Commission” shall mean the Securities and Exchange
Commission.

 

“Exchange Act” shall mean the Securities Exchange Act
of 1934, as amended, and the rules and regulations of the Commission
promulgated thereunder.

 

“Exchange Offer Registration Period” shall mean the
one-year period following the consummation of the Registered Exchange Offer,
exclusive of any period during which any stop order shall be in effect
suspending the effectiveness of the Exchange Offer Registration Statement.

 

“Exchange Offer Registration Statement” shall
mean a registration
statement of the Issuers and the Guarantors on an appropriate form under the Act with
respect to the Registered Exchange Offer, all amendments and supplements to
such registration statement, including post-effective amendments
thereto, in each case
including the Prospectus contained therein, all exhibits thereto and all
material incorporated by reference therein.

 

“Exchanging Dealer” shall mean any Holder (which may include any Initial
Purchaser) that is a Broker-Dealer and elects to exchange for
New Securities any Securities that
it acquired for its own
account as a result of market-making activities or other trading activities
(but not directly from the Issuers and the Guarantors or any Affiliate of the Issuers
and the Guarantors) for New Securities.

 

“Final Memorandum” shall have the meaning set forth in the Purchase
Agreement.

 

“Guarantors” shall have the meaning set forth in the preamble hereto and shall also
include any Guarantor’s successor.

 

2

 

“Holder” shall have the meaning set forth in the preamble
hereto.

 

“Indenture” shall mean the Indenture relating to the Securities
and the New Securities, dated as of September 25, 2002, among the Issuers and Wachovia
Bank, National Association, as trustee, as amended by the Sixth
Supplemental Indenture, dated as of May 12, 2006, among the Issuers, the
Guarantors and the Trustee,  as the same may be amended from time to time in
accordance with the terms thereof.

 

“Initial Placement” shall have the meaning set forth in the preamble hereto.

 

“Initial Purchasers” shall have the meaning set forth
in the preamble hereto.

 

“Losses” shall have the meaning set forth in Section
7(d) hereof.

 

“Majority Holders” shall mean the Holders of a majority of the aggregate
principal amount of Securities registered under a Registration Statement.

 

“Managing Underwriters” shall
mean the investment
banker or investment bankers and manager or managers that shall administer an
underwritten offering.

 

“New Securities” shall mean debt securities of the Issuers identical
in all material respects to the Securities (except that the interest rate
step-up provisions and the transfer restrictions shall be eliminated) and to be issued under the
Indenture.

 

“Prospectus” shall mean the prospectus included in any
Registration Statement (including, without limitation, a prospectus that
discloses information previously omitted from a prospectus filed as part of an
effective registration statement in reliance upon Rule 430A under the Act), as
amended or supplemented by any prospectus supplement, with respect to the terms
of the offering of any portion of the Securities or the New Securities covered
by such Registration Statement, and all amendments and supplements thereto
and all material incorporated by reference therein.

 

“Purchase Agreement” shall have the meaning set forth
in the preamble hereto.

 

“Registered Exchange Offer” shall
mean the proposed
offer of the Issuers and the Guarantors to issue and deliver to the Holders of the
Securities that are not prohibited by any law or policy of the Commission from
participating in such offer, in exchange for the Securities, a like aggregate
principal amount of
the New Securities.

 

“Registration Default” shall have the meaning set
forth in Section 4(a) hereof.

 

“Registration Statement” shall
mean any Exchange
Offer Registration Statement or Shelf Registration Statement that covers any of
the Securities or the New Securities pursuant to the provisions of this
Agreement, any amendments and supplements to such registration statement, including
post-effective amendments (in each case including the Prospectus contained
therein), all exhibits thereto and all material incorporated by reference
therein.

 

“Securities” shall have the meaning set forth in the preamble hereto.

 

3

 

“Shelf Registration” shall
mean a registration
effected pursuant to Section 3 hereof.

 

“Shelf Registration Period” has the meaning set
forth in Section 3(b) hereof.

 

“Shelf Registration Statement” shall
mean a “shelf”
registration statement of the Issuers and the Guarantors pursuant to the provisions of Section 3
hereof which covers some or all of the Securities or New Securities, as
applicable, on an appropriate form under Rule 415 under the Act, or any
similar rule that may be adopted by the Commission, amendments and supplements
to such registration statement, including post-effective amendments, in each
case including the Prospectus contained therein, all exhibits thereto and all
material incorporated by reference therein.

 

“Trustee” shall mean the trustee with respect to the Securities
and the New Securities under the Indenture.

 

“Trust Indenture Act” shall mean the Trust Indenture
Act of 1939, as amended from time to time.

 

“underwriter” shall mean any underwriter of Securities in connection
with an offering thereof under a Shelf Registration Statement.

 

2.             Registered Exchange Offer. (a) Except as set
forth in Section 3,  the Issuers and the
Guarantors shall prepare and
shall use their reasonable best efforts to file with the Commission the
Exchange Offer Registration Statement with respect to the Registered Exchange
Offer, not later than 120 days following the date
of the original issuance of the Securities (or if such 120th day is not a
Business Day, the next succeeding Business Day). The Issuers and the
Guarantors shall use their reasonable
best efforts to cause
the Exchange Offer Registration Statement to become effective under the Act
within 210 days of the date of the original issuance of
the Securities and to consummate the Registered Exchange Offer within 240 days
of the date of the original issuance of the Securities (if such 210th or 240th
day is not a Business Day, the next succeeding Business Day, as applicable).

 

(a)           Upon
the effectiveness of the Exchange Offer Registration Statement, the Issuers and
the Guarantors shall promptly commence the Registered Exchange Offer, it being the
objective of such Registered Exchange Offer to enable each Holder electing to
exchange Securities for New Securities (assuming that such Holder is not an
Affiliate of the Issuers or the Guarantors, acquires the New Securities in the ordinary
course of such Holder’s
business, has no arrangements with any Person to participate in the
distribution of the New Securities and is not prohibited
by any law or policy of the Commission from participating in the Registered
Exchange Offer) to trade such New
Securities from and after their receipt without any limitations or restrictions
under the Act and without material restrictions under the securities laws of a
substantial proportion of the several states of the United States.

 

(b)           In
connection with the Registered Exchange Offer, the Issuers and
the Guarantors shall:

 

4

 

(i)            mail
to each Holder a copy of the Prospectus forming part of the Exchange Offer
Registration Statement, together with an appropriate letter of transmittal and
related documents;

 

(ii)           keep
the Registered Exchange Offer open for not less than 20
Business Days after
the date the notice thereof is mailed to the Holders (or, in each case, longer if required by applicable law);

 

(iii)          use their reasonable best efforts to keep the Exchange Offer
Registration Statement continuously effective under the
Act, supplemented and amended as required under the Act to ensure that it is available
for sales of New Securities by Exchanging Dealers during the Exchange Offer
Registration Period;

 

(iv)          utilize
the services of a bank depositary for the Registered Exchange Offer with an address in the
Borough of Manhattan in New York City, which may be the Trustee or an
Affiliate of the Trustee;

 

(v)           permit
Holders to withdraw tendered Securities at any time prior to the close of
business, New York time, on the last Business Day on which the Registered
Exchange Offer is open;

 

(vi)          prior
to effectiveness of the Exchange Offer Registration Statement, provide a
supplemental letter to the Commission (A) stating that the Issuers and the
Guarantors are conducting the Registered Exchange Offer in reliance on the
position of the Commission in Exxon Capital Holdings Corporation (pub.
avail. May 13, 1988) and Morgan Stanley and Co., Inc. (pub. avail. June
5, 1991) and (B) including a representation that the Issuers and the Guarantors
have not entered into any arrangement or understanding with any Person to
distribute the New Securities to be received in the Registered Exchange Offer
and that, to the best of the Issuers’ and the Guarantors’ information and
belief, each Holder participating in the Registered Exchange Offer is acquiring
the New Securities in the ordinary course of business and has no arrangement or
understanding with any Person to participate in the distribution of the New
Securities; and

 

(vii)         comply
in all material respects with all applicable laws.

 

(c)           As
soon as practicable after the close of the Registered Exchange Offer, the
Issuers and the Guarantors shall:

 

(i)            accept
for exchange all Securities tendered and not validly withdrawn pursuant to the
Registered Exchange Offer; and

 

(ii)           issue
and cause the Trustee promptly
to authenticate a global certificate representing New Securities exchanged for
Securities and to deliver to each Holder of Securities a principal amount
of New Securities equal
to the principal amount of the Securities of such Holder so accepted for
exchange.

 

5

 

(d)           Each
Holder hereby acknowledges and agrees that any Broker-Dealer and any such
Holder using the Registered Exchange Offer to participate in a distribution of the
New Securities (x) could not under Commission policy as in effect on the date
of this Agreement rely on the position of the Commission in Morgan Stanley
and Co., Inc. (pub. avail. June 5, 1991) and Exxon Capital Holdings
Corporation (pub. avail. May 13, 1988), as interpreted in the Commission’s
letter to Shearman & Sterling dated July 2, 1993 and similar no-action
letters; and (y) must comply with the registration and prospectus delivery
requirements of the Act in connection with any secondary resale transaction and
must be covered by an effective registration statement containing the selling
security holder information required by Item 507 or 508, as applicable, of
Regulation S-K under the Act if the resales are of New Securities obtained by
such Holder in exchange for Securities acquired by such Holder directly from
the Issuers or the Guarantors or one of their Affiliates. Accordingly, each
Holder participating in the Registered Exchange Offer shall be required to
represent to the Issuers and the Guarantors that, at the time of the consummation
of the Registered Exchange Offer:

 

(i)            any
New Securities received by such Holder will be acquired in the ordinary course
of business;

 

(ii)           such
Holder will have no arrangement or understanding with any Person to
participate in the distribution of the Securities or the New Securities within
the meaning of the Act; and

 

(iii)          such
Holder is not an Affiliate of the Issuers or the Guarantors.

 

3.             Shelf Registration. (a)  If (i) due to any change in law or applicable interpretations thereof by the
Commission’s staff, the Issuers and the Guarantors determine upon advice of their outside counsel
that they are not permitted to effect the Registered Exchange Offer as
contemplated by Section 2 hereof; (ii) for any other reason the
Registered Exchange Offer is not consummated within 240 days of the date hereof; (iii) any Initial Purchaser so requests with respect
to Securities that are not eligible to be exchanged for
New Securities in the Registered Exchange Offer and that are held by it following consummation of the
Registered Exchange Offer, or (iv) any Holder (other than
an Initial Purchaser) is not eligible to participate in the Registered Exchange
Offer, the Issuers
and the Guarantors shall effect a
Shelf Registration Statement in accordance with subsection (b) below.

 

(b)           (i)  The Issuers and
the Guarantors shall as promptly as practicable (but in no
event more than 120 days after so required or requested pursuant to this
Section 3), file with the Commission and thereafter shall use their reasonable best efforts to cause to
be declared effective under the Act, within 210 days after so required or
requested pursuant to this Section 3, a Shelf Registration Statement relating to the offer and sale of the
Securities or the New Securities, as applicable, by the Holders thereof
from time to time in
accordance with the methods of distribution elected by such Holders and set
forth in such Shelf Registration Statement; provided, however,
that no
Holder (other than an Initial Purchaser) shall be entitled to have the
Securities held by it covered by such Shelf Registration Statement unless such
Holder agrees in writing to be bound by all of the provisions of this Agreement
applicable to such Holder; and provided  further, that with respect to New Securities received by an
Initial Purchaser in exchange for Securities constituting any portion of an
unsold allotment, the Issuers and the

 

6

 

Guarantors may, if permitted by current interpretations by the Commission’s
staff, file a post-effective amendment to the Exchange Offer Registration
Statement containing the information required by Item 507 or 508
of Regulation S-K, as applicable, in
satisfaction of their obligations under this subsection with respect thereto,
and any such Exchange Offer Registration Statement, as so amended, shall be
referred to herein as, and governed by the provisions herein applicable to, a
Shelf Registration Statement.

 

(ii)           The Issuers and the
Guarantors shall use their reasonable
best efforts to keep
the Shelf Registration Statement continuously effective,
supplemented and amended as required by the Act, in order to permit the Prospectus forming part
thereof to be usable by Holders for a period of two years from the date the Shelf Registration Statement
is declared effective by the Commission or such shorter period that will
terminate when all the Securities or New Securities, as applicable, covered by
the Shelf Registration Statement have been sold pursuant to the Shelf
Registration Statement under the Act (in any such case, such period being called the
“Shelf Registration Period”). The Issuers and the
Guarantors shall be deemed not
to have used their reasonable best efforts to keep the Shelf Registration
Statement effective during the requisite period if either Issuer or
any Guarantor voluntarily takes any
action that would result in Holders of Securities covered thereby not being
able to offer and sell such Securities during that period, unless (A) such action is required by applicable
law; or (B) such action is taken by such Issuer or
such Guarantor in good faith and
for valid business reasons (not including avoidance of the Issuers’ or
the Guarantors’ obligations
hereunder), including the acquisition or divestiture of assets, so long as the
Issuers and the Guarantors promptly thereafter comply with the
requirements of Section 5(k) hereof, if applicable.

 

(iii)          The
Issuers and the Guarantors shall cause the Shelf Registration Statement and the
related Prospectus and any amendment or supplement thereto, as of the effective
date of the Shelf Registration Statement or such amendment or supplement, (A)
to comply in all material respects with the applicable requirements of the Act
and the rules and regulations of the Commission; and (B) not to contain any
untrue statement of a material fact or omit to state a material fact required
to be stated therein or necessary in order to make the statements therein, in
the light of the circumstances under which they were made, not misleading.

 

4.             Additional Interest.

 

(a)           In
the event that (i) the Issuers and the Guarantors have not filed the Exchange
Offer Registration Statement or the Shelf Registration Statement with the
Commission on or before the date on which such Registration Statement is
required to be so filed pursuant to Section 2(a) and 3(b), respectively, or
(ii) such Exchange Offer Registration Statement or Shelf Registration Statement
has not been declared effective by the Commission under the Act on or before
the date on which such Registration Statement is required to be declared
effective under the Act pursuant to Section 2(a) or 3(b), respectively, or
(iii) the Exchange Offer has not been consummated within 240 days after the
date of issuance of the Securities, or (iv) the Exchange Offer Registration Statement
or Shelf Registration Statement required by Section 2(a) or 3(b) hereof is
filed and declared effective by the Commission under the Act but shall
thereafter cease to be effective (except as specifically permitted herein)
without being succeeded immediately by

 

7

 

an additional Registration Statement filed and
declared effective by the Commission under the Act (each such event referred to
in clauses (i) through (iv) is referred to herein as a “Registration Default”),
then the interest rate on the Securities will be increased, for the period from
the occurrence of the Registration Default until such time as all Registration
Defaults are cured (at which time the interest rate will be reduced to its
initial rate) by 0.25% per annum during the first 90-day period following the
occurrence and during the continuation of the Registration Default, and by
0.25% per annum for each subsequent 90-day period during which such
Registration Default continues. The interest rate will not at any time be
increased by greater than 0.50% per annum.

 

(b)           Without
limiting the remedies available to the Initial Purchasers and the Holders, the
Issuers and the Guarantors acknowledge that any failure by the Issuers or the
Guarantors to comply with their obligations under Section 2(a) or 3(b) hereof
may result in material irreparable injury to the Initial Purchasers or the
Holders for which there is no adequate remedy at law, that it will not be
possible to measure damages for such injuries precisely and that, in the event
of any such failure, the Initial Purchasers or any Holder may obtain such
relief as may be required to specifically enforce the Issuers’ and the
Guarantors’ obligations under Section 2(a) or Section 3(b) hereof.

 

5.             Additional Registration Procedures. In connection with any Shelf Registration
Statement and, to the extent applicable, any Exchange Offer Registration
Statement, the following provisions shall apply.

 

(a)           The Issuers and the
Guarantors shall:

 

(i)            furnish to you, not less
than five Business Days prior to the filing thereof with the Commission, a copy of any
Exchange Offer Registration Statement and any Shelf Registration Statement, and each
amendment thereof and each amendment or supplement, if any, to the Prospectus
included therein (including all documents incorporated by
reference therein after the initial filing) and shall use their reasonable best efforts to reflect in each such
document, when so filed with the Commission, such comments as you reasonably
propose;

 

(ii)           include
the information set forth in Annex A hereto on the facing
page of the Exchange Offer
Registration Statement, in Annex B hereto in the forepart of the Exchange Offer
Registration Statement in a section setting forth details of the Exchange
Offer,  in Annex C hereto in the underwriting or plan of distribution section
of the Prospectus contained in the Exchange Offer Registration Statement, and
in Annex D hereto in the letter of transmittal delivered pursuant to the
Registered Exchange Offer;

 

(iii)          if requested by an Initial Purchaser, include the information
required by Item 507 or 508 of Regulation S-K, as applicable, in the Prospectus
contained in the Shelf Registration Statement; and

 

(iv)          in
the case of a Shelf Registration Statement, include the names of the
Holders that propose to sell Securities pursuant to the Shelf Registration
Statement as selling security holders.

 

8

 

(b)           The Issuers and the
Guarantors shall ensure that:

 

(i)            any Registration Statement and any amendment
thereto and any Prospectus forming part thereof and any amendment or supplement
thereto comply in all material respects with the Act and the rules and
regulations thereunder; and

 

(ii)           any
Registration Statement and any amendment thereto do not, when they become
effective, contain an untrue statement of a material fact or omit to state a
material fact required to be stated therein or necessary to make the statements
therein not misleading.

 

(c)           The Issuers and the
Guarantors shall advise you, the
Holders of Securities covered by any Shelf Registration Statement
and any Exchanging
Dealer under any Exchange Offer Registration Statement
that has provided in
writing to the Issuers and the Guarantors a telephone or facsimile number and address for
notices, and, if requested in writing by you or any such Holder or Exchanging
Dealer, shall confirm such advice in writing (which notice
pursuant to clauses (ii)-(v) hereof shall be accompanied by an instruction to
suspend the use of the Prospectus until the Issuers and the Guarantors shall
have remedied the basis for such suspension):

 

(i)            when
a Registration Statement and any amendment thereto have been filed with the
Commission and when the Registration Statement or any post-effective amendment
thereto has become effective;

 

(ii)           of
any request by the Commission for any amendment or supplement to the Registration
Statement or the Prospectus or for additional information;

 

(iii)          of
the issuance by the Commission of any stop order suspending the effectiveness
of the Registration Statement or the initiation of any proceedings for that
purpose;

 

(iv)          of
the receipt by the Issuers and the Guarantors of any notification with respect to the
suspension of the qualification of the Securities included therein for sale in
any jurisdiction or the initiation of any proceeding for such purpose; and

 

(v)           of
the happening of any event that requires any change in the Registration
Statement or the Prospectus so that, as of such date, the statements therein
are not misleading and do not omit to state a material fact required to be
stated therein or necessary to make the statements therein (in the case of the
Prospectus, in the light of the circumstances under which they were made) not misleading.

 

(d)           The
Issuers and the Guarantors shall use their reasonable
best efforts to
obtain the withdrawal of any order suspending the effectiveness of any
Registration Statement or the qualification of the
Securities therein for sale in any jurisdiction at the earliest possible time.

 

(e)           The
Issuers and the Guarantors shall furnish to each Holder of Securities covered
by any Shelf
Registration Statement, without charge, at least one copy of such Shelf
Registration Statement and any post-effective amendment thereto, including all
material

 

9

 

incorporated therein by reference, and, if the Holder so requests in writing,
all exhibits thereto (including exhibits incorporated by reference
therein).

 

(f)            The
Issuers and the Guarantors shall, during the Shelf Registration Period,
deliver to each Holder of Securities covered by any Shelf Registration Statement, without
charge, as many copies of the Prospectus (including each preliminary
Prospectus) included in such Shelf Registration Statement and any amendment or
supplement thereto as such Holder may reasonably request. The Issuers and the
Guarantors consent to the use of
the Prospectus or any amendment or supplement thereto by each of the selling
Holders of Securities in connection with the offering and sale of the
Securities covered by the Prospectus, or any amendment or supplement thereto,
included in the Shelf Registration Statement.

 

(g)           The
Issuers and the Guarantors shall furnish to each Exchanging Dealer which
so requests, without charge, at least one copy of the Exchange Offer
Registration Statement and any post-effective amendment thereto, including all
material incorporated by reference therein, and, if the Exchanging Dealer so requests in writing, all exhibits thereto
(including exhibits
incorporated by reference therein).

 

(h)           The
Issuers and the Guarantors shall promptly deliver to each Initial
Purchaser, each Exchanging Dealer and
each other Person required to deliver a Prospectus during the effectiveness of the Exchange
Offer Registration Statement, without charge, as many copies of the Prospectus included in such
Exchange Offer Registration Statement and any amendment or supplement thereto
as any such Person may reasonably request. The Issuers and the
Guarantors consent to the use of
the Prospectus or any amendment or supplement thereto by any Initial Purchaser,
any Exchanging  Dealer and any such other Person that may be required to deliver a Prospectus following the Registered Exchange Offer
in connection with the offering and sale of the New Securities covered by the
Prospectus, or any amendment or supplement thereto, included in the Exchange
Offer Registration Statement.

 

(i)            Prior
to the Registered Exchange Offer or any other offering of Securities pursuant
to any Registration Statement, the Issuers and the
Guarantors shall arrange, if
necessary, for the qualification of the Securities or the New Securities for sale under the laws
of such jurisdiction as any Holder  shall reasonably request and will maintain such
qualification in effect so long as required; provided that in no event shall either Issuer or any
Guarantor be obligated to qualify to do business in any jurisdiction
where it is not then so qualified or to take any action
that would subject it to
service of process in suits, other than those arising out
of the Initial Placement, the Registered Exchange Offer or any offering
pursuant to a Shelf Registration Statement, in any such jurisdiction where it is not then so subject.

 

(j)            If
any of the Securities or the New Securities are not issued in global form, then
the Issuers and
the Guarantors shall cooperate with
the Holders of Securities to facilitate the timely preparation and delivery of
certificates representing New Securities or Securities to be issued or sold pursuant to any Registration Statement
free of any restrictive legends and in such denominations and registered in
such names as Holders may request.

 

(k)           Upon
the occurrence of any event contemplated by subsections (c)(ii) or (v) above, the Issuers and
the Guarantors shall promptly
prepare a post-effective amendment to

 

10

 

the applicable Registration Statement or an amendment
or supplement to the related Prospectus or file any other required document so
that, as thereafter delivered to Initial Purchasers of the securities included therein, the
Prospectus will not include an untrue statement of a material fact or omit to
state any material fact necessary to make the statements therein, in the light
of the circumstances under which they were made, not misleading. In
such circumstances, the period of effectiveness of the Exchange Offer
Registration Statement provided for in Section 2 and the Shelf Registration
Statement provided for in Section 3(b) shall each be extended by the number of
days from and including the date of the giving of a notice of suspension
pursuant to Section 5(c) to and including the date when the Initial Purchasers,
the Holders of the Securities and any known Exchanging Dealer shall have
received such amended or supplemented Prospectus pursuant to this Section.

 

(l)            Not
later than the effective date of any Registration Statement, the Issuers and
the Guarantors shall provide
a CUSIP number for
the Securities or the New Securities, as the case may be, registered under such
Registration Statement and provide the Trustee with certificates for such
Securities or New Securities, in a form eligible for deposit with The
Depository Trust Company.

 

(m)          The
Issuers and the Guarantors shall comply with all applicable
rules and regulations
of the Commission and shall make generally available to the Issuers’
security holders as
soon as practicable after the effective date of the applicable Registration
Statement an earnings statement satisfying the provisions of Section 11(a)
of the Act.

 

(n)           The
Issuers and the Guarantors shall cause the Indenture to be qualified under
the Trust Indenture Act in a timely manner.

 

(o)           The
Issuers and the Guarantors may require each Holder of Securities to be
sold pursuant to any Shelf Registration Statement to furnish to the Issuers and
the Guarantors such information
regarding the Holder and the distribution of such Securities as the Issuers and
the Guarantors may from time to time
reasonably require for inclusion in such Registration Statement. The
Issuers
and the Guarantors may exclude from such Shelf Registration Statement the Securities of any Holder
that unreasonably fails to furnish such information within a reasonable time
after receiving such request.

 

(p)           In
the case of any Shelf Registration Statement, the Issuers and the
Guarantors shall enter into such
agreements and take all other
appropriate actions (including, if requested, an
underwriting agreement in customary form) in order to expedite or facilitate the registration or the
disposition of the Securities, and in connection therewith, if an underwriting
agreement is entered into, cause the same to contain indemnification provisions
and procedures no less favorable than those set forth in Section
7 (or such other
provisions and procedures acceptable to the Majority Holders and the Managing
Underwriters, if any, with respect to all parties to be indemnified pursuant to
Section 7).

 

(q)           In the case of any Shelf Registration
Statement, the Issuers and the Guarantors shall:

 

11

 

(i)            make
reasonably available for inspection by the Holders of Securities to be
registered thereunder, any underwriter participating in any disposition
pursuant to such Registration Statement, and any attorney, accountant or other
agent retained by the Holders or any such underwriter all relevant financial
and other records, pertinent partnership, corporate or
limited liability company documents and properties of the Issuers and the
Guarantors and their respective subsidiaries;

 

(ii)           cause
the Issuers’ and the Guarantors’ respective officers, directors and employees to supply
all relevant information reasonably requested by the Holders or any such
underwriter, attorney, accountant or agent in connection with any such
Registration Statement as is customary for similar due diligence examinations; provided,
however, that any information that is designated in writing by the
Issuers or the Guarantors, in good faith, as confidential at the time of delivery of such
information shall be kept confidential by the Holders or any such underwriter,
attorney, accountant or agent, unless such disclosure is made in connection
with a court proceeding or required by law, or such information becomes
available to the public generally or through a third party without an
accompanying obligation of confidentiality;

 

(iii)          make
such representations and warranties to the Holders of Securities registered
thereunder and the underwriters, if any, in form, substance and scope as are
customarily made by issuers to underwriters in primary underwritten offerings
and covering matters including, but not limited to, those set forth in the
Purchase Agreement;

 

(iv)          obtain
opinions of counsel to the Issuers and the Guarantors and updates thereof (which counsel and opinions
(in form, scope and substance) shall be reasonably satisfactory to the Managing
Underwriters, if any) addressed to each selling Holder and the underwriters, if
any, covering such matters as are customarily covered in opinions requested in
underwritten offerings and such other matters as may be reasonably requested by
such Holders and underwriters;

 

(v)           obtain
“cold comfort” letters and updates thereof from the independent certified
public accountants of the Issuers and the Guarantors (and, if necessary, any other independent
certified public accountants of any subsidiary of the Issuers and
the Guarantors or of any business
acquired by the Issuers and the Guarantors for which financial statements and financial
data are, or are required to be, included in the Registration Statement),
addressed to each selling Holder of Securities registered thereunder and the
underwriters, if any, in customary form and covering matters of the type
customarily covered in “cold comfort” letters in connection with primary
underwritten offerings; and

 

(vi)          deliver
such documents and certificates as may be reasonably requested by the Majority
Holders and the Managing Underwriters, if any, including those to evidence
compliance with Section 5(k) and with any customary conditions contained in the
underwriting agreement or other agreement entered into by the Issuers
or the Guarantors.

 

12

 

The actions set forth in clauses (iii), (iv),
(v) and (vi) of this Section shall be performed at (A) the effectiveness of
such Registration Statement and each post-effective amendment thereto; and (B) each closing under any underwriting or
similar agreement as and to the extent required thereunder.

 

(r)            [omitted]

 

(s)           [omitted]

 

(t)            [omitted]

 

(u)           In
the event that any Broker-Dealer shall underwrite any Securities or participate
as a member of an underwriting syndicate or selling group or “assist in the
distribution” (within the meaning of the Conduct Rules and the By-Laws of the
National Association of Securities Dealers, Inc.) thereof, whether as a Holder
of such
Securities or as an underwriter, a placement or sales agent or a broker or
dealer in respect thereof, or otherwise, assist such Broker-Dealer in complying
with the requirements of such Rules and By-Laws, including, without limitation,
by:

 

(i)            if
such Rules or By-Laws shall so require, engaging a “qualified independent
underwriter” (as defined in such Rules) to participate in the preparation of
the Registration Statement, to exercise usual standards of due diligence with respect thereto and,
if any portion of the offering contemplated by such Registration Statement is
an underwritten offering or is made through a placement or sales agent, to
recommend the yield of such Securities;

 

(ii)           indemnifying
any such qualified
independent underwriter to the extent of the indemnification of underwriters
provided in Section 7 hereof; and

 

(iii)          providing
such information to such Broker-Dealer as may be required in order for
such Broker-Dealer to comply with the requirements of such Rules.

 

(iv)          The
Issuers and the Guarantors shall use their reasonable best efforts to take all other
steps necessary to effect the registration of the Securities or the New
Securities, as the case may be, covered by a Registration Statement.

 

6.             Registration Expenses. The Issuers and the
Guarantors bear all expenses incurred in connection with the performance of
their obligations under Sections 2, 3 and 5 hereof and, in the event of
any Shelf Registration Statement, will reimburse the Holders for the reasonable
fees and disbursements of one firm or counsel designated by the Majority
Holders to act as counsel for the Holders in connection therewith, and, in the
case of any Exchange Offer Registration Statement, will reimburse the Initial
Purchasers for the reasonable fees and disbursements of counsel acting in
connection therewith.

 

7.             Indemnification and Contribution. (a)  The Issuers and
each Guarantor agree to indemnify
and hold harmless each Holder of Securities or New
Securities, as the case may be, covered by any Registration Statement (including each Initial Purchaser and, with
respect to any Prospectus delivery as contemplated in Section 5(h) hereof, each
Exchanging

 

13

 

Dealer), the directors, officers, employees and
agents of each such Holder and each Person who controls any such Holder within
the meaning of either the Act or the Exchange Act against any and all losses,
claims, damages or liabilities, joint or several, to which they or any of them
may become subject under the Act, the Exchange Act or other Federal or state
statutory law or regulation, at common law or otherwise, insofar as such
losses, claims, damages or liabilities (or actions in respect thereof) arise
out of or are based upon any untrue statement or alleged untrue statement of a
material fact contained in the Registration Statement as originally filed or in
any amendment thereof, or in any preliminary Prospectus or the
Prospectus, or in any
amendment thereof or supplement thereto, or arise out of or are based upon the
omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading, and
agree to reimburse each such indemnified party, as incurred, for any legal or
other expenses reasonably incurred by them in connection with investigating or
defending any such loss, claim, damage, liability or action; provided, however,
that (i) the Issuers and the Guarantors will not be liable in any case to the extent
that any such loss, claim, damage or liability arises out of or is based upon
any such untrue statement or alleged untrue statement or omission or alleged
omission made therein in reliance upon and in conformity with written
information furnished to the Issuers or the Guarantors by or on behalf of any such Holder specifically
for inclusion therein. This indemnity agreement will be in addition to any
liability which the Issuers or the Guarantors may otherwise have.

 

The Issuers and each
Guarantor also agree to
indemnify or contribute as provided in Section 7(d) to Losses of any
underwriter of Securities or New Securities, as the case
may be, registered under a
Shelf Registration Statement, their directors, officers, employees or
agents and each Person who
controls such underwriter on substantially the same basis as that of the
indemnification of the Initial Purchasers and the selling Holders provided in this
Section 7(a). The Issuers and each Guarantor shall, if requested by any Holder, enter into
an underwriting agreement reflecting such agreement, as provided in
Section 5(p) hereof.

 

(b)           Each
Holder of securities covered by a Registration Statement (including each
Initial Purchaser and, with respect to any Prospectus delivery as contemplated
in Section 5(h) hereof, each Exchanging Dealer) severally and
not jointly agrees to indemnify
and hold harmless the Issuers, the Guarantors, the directors of the Issuers and the Guarantors, the officers of the Issuers and the Guarantors
who sign such
Registration Statement and each Person who controls the Issuers
or the Guarantors within the meaning of
either the Act or the Exchange Act, to the same extent as the foregoing indemnity
from the Issuers and the Guarantors to each such Holder, but only with reference
to written information relating to such Holder furnished to the Issuers and
the Guarantors by or on behalf of
such Holder specifically for inclusion in the documents referred to in the
foregoing indemnity. This indemnity agreement will be in addition to any
liability which any such Holder may otherwise have.

 

(c)           Promptly
after receipt by an indemnified party under this Section 7 or notice of the
commencement of any action, such indemnified party will, if a claim in respect
thereof is to be made against the indemnifying party under this Section, notify
the indemnifying party in writing of the commencement thereof; but the failure
so to notify the indemnifying party (i) will not relieve it from liability
under paragraph (a) or (b) above unless and to the extent it did not otherwise learn
of such action and such failure results in the forfeiture by the indemnifying
party of substantial rights and defenses; and (ii) will not, in any event, relieve
the indemnifying

 

14

 

party from any obligations to any indemnified party
other than the indemnification obligation provided in paragraph
(a) or (b) above. The
indemnifying party shall be entitled to appoint counsel of the indemnifying
party’s choice at the indemnifying party’s expense to represent the indemnified
party in any action for which indemnification is sought (in which case the
indemnifying party shall not thereafter be responsible for the fees and
expenses of any separate counsel retained by the indemnified party or parties
except as set forth below); provided, however,
that such counsel shall be satisfactory to the indemnified party. Notwithstanding
the indemnifying party’s election to appoint counsel to represent the
indemnified party in an action, the indemnified party shall have the right to
employ separate counsel (including local counsel), and the indemnifying party
shall bear the reasonable fees, costs and expenses of such separate counsel if
(i) the use of counsel chosen by the indemnifying party to represent the
indemnified party would present such counsel with a conflict of interest;
(ii) the actual or potential defendants in, or targets of, any such action
include both the indemnified party and the indemnifying party and the
indemnified party shall have reasonably concluded that there may be legal
defenses available to it and/or other indemnified parties which are different
from or additional to those available to the indemnifying party; (iii) the
indemnifying party shall not have employed counsel satisfactory to the
indemnified party to represent the indemnified party within a reasonable time
after notice of the institution of such action; or (iv) the indemnifying party shall
authorize the indemnified party to employ separate counsel at the expense of
the indemnifying party. An indemnifying party will not, without the prior
written consent of the indemnified parties, 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 parties are actual or
potential parties to such claim or action) unless such settlement, compromise or
consent includes an unconditional release of each indemnified party from all
liability arising out of such claim, action, suit or proceeding.

 

(d)           In
the event that the indemnity provided in paragraph (a) or (b) of this Section 7
is unavailable to or
insufficient to hold harmless an indemnified party for any reason, then each
applicable indemnifying party shall have a joint and several obligation to
contribute to the aggregate losses, claims, damages and liabilities (including
legal or other expenses reasonably incurred in connection with investigating or
defending same) (collectively “Losses”) to which such indemnified party may be
subject in such proportion as is appropriate to reflect the relative benefits
received by such indemnifying party, on the one hand, and such indemnified
party, on the other hand, from the Initial Placement and the Registration
Statement which resulted in such Losses; provided, however, that
in no case shall any Initial Purchaser or any subsequent Holder of any Security
or New Security be responsible, in the aggregate, for any amount in excess of
the purchase discount or commission applicable to such Security, or in the case
of a New Security, applicable to the Security that was exchangeable into such
New Security, as set forth on the cover page of the Final Memorandum, nor shall
any underwriter be responsible for any amount in excess of the underwriting
discount or commission applicable to the securities purchased by such
underwriter under the Registration Statement which resulted in such Losses. If
the allocation provided by the immediately preceding sentence is unavailable
for any reason, the indemnifying party and the indemnified party shall
contribute in such proportion as is appropriate to reflect not only such
relative benefits but also the relative fault of such indemnifying party, on
the one hand, and such indemnified party, on the other hand, in connection with
the statements or omissions which resulted in such Losses as well as any other
relevant equitable considerations. Benefits received by the Issuers or
the Guarantors shall be

 

15

 

deemed to be equal to the sum of (x) the total net
proceeds from the Initial Placement (before deducting expenses) as set forth on
the cover page of the Final Memorandum and (y) the total amount of
additional interest which the Issuers and the Guarantors were not required to pay as a result of
registering the securities covered by the Registration Statement which resulted
in such Losses. Benefits received by the Initial Purchasers shall be deemed to be equal to the total
purchase discounts and commissions as set forth on the cover page of the Final
Memorandum, and benefits received by any other Holders shall be deemed to be
equal to the value of receiving Securities or New Securities, as applicable,
registered under the Act. Benefits received by any underwriter shall be deemed
to be equal to the total underwriting discounts and commissions, as set forth
on the cover page of the Prospectus forming a part of the Registration
Statement which resulted in such Losses. Relative fault shall be determined by
reference to, among other things, whether any alleged untrue statement or
omission relates to information provided by the indemnifying party, on the one hand,
or by the indemnified party, on the other hand, the intent
of the parties and their relative knowledge, access to information and
opportunity to correct or prevent such untrue statement or omission. The parties agree that it would not be just
and equitable if contribution were determined by pro rata allocation (even
if the Holders were treated as one entity for such purpose) or any other method of allocation which does
not take account of the equitable considerations referred to above. Notwithstanding
the provisions of this paragraph (d), no Person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Act) shall
be entitled to contribution from any Person who was not guilty of such
fraudulent misrepresentation. For purposes of this Section
7, each Person who
controls a Holder within the meaning of either the Act or the Exchange Act and
each director, officer, employee and agent of such Holder shall have the same
rights to contribution as such Holder, and each Person who controls the Issuers
and the Guarantors within the meaning of either the Act or the Exchange Act, each
officer of the Issuers and the Guarantors who shall have signed the Registration
Statement and each director of the Issuers and the
Guarantors shall have the same
rights to contribution as the Issuers and the Guarantors, subject in each case to the applicable terms
and conditions of this paragraph (d).

 

(e)           The provisions of this Section 7
will remain in full
force and effect, regardless of any investigation made by or on behalf of any
Holder or the Issuers and the Guarantors or any of the officers, directors or
controlling Persons referred to in this Section hereof, and will survive the sale by a
Holder of securities covered by a Registration Statement.

 

8.             Underwritten Registrations. (a)  If any of the
Securities or New Securities, as the case may be, covered by any Shelf
Registration Statement are to be sold in an underwritten offering, the Managing
Underwriters shall be selected by the Majority Holders and shall be reasonably
satisfactory to the Partnership.

 

(b)           No
Person may participate in any underwritten offering pursuant to any Shelf
Registration Statement, unless such Person (i) agrees to sell such Person’s
Securities or New Securities, as the case may be, on the basis reasonably
provided in any underwriting arrangements approved by the Persons entitled
hereunder to approve such arrangements; and (ii) completes and executes all
questionnaires, powers of attorney, indemnities, underwriting agreements and other
documents reasonably required under the terms of such underwriting
arrangements.

 

16

 

9.             No Inconsistent Agreements. The Issuers and the Guarantors
have
not, as of the date
hereof, entered into, nor shall they, on or after the date hereof, enter into, any
agreement with respect to their securities that is inconsistent with the rights
granted to the Holders herein or otherwise conflicts with the provisions
hereof.

 

10.           Amendments and Waivers. The provisions of this Agreement, including
the provisions of this sentence, may not be amended, qualified, modified or
supplemented, and waivers or consents to departures from the provisions hereof
may not be given, unless the Issuers and the Guarantors have obtained the written consent of the Majority Holders (or, after the consummation of any Registered
Exchange Offer in
accordance with Section 2 hereof, of New Securities); provided that,
with respect to any matter that directly or indirectly affects the rights of any
Initial Purchaser hereunder, the Issuers and the
Guarantors shall obtain the
written consent of each such Initial Purchaser against which such amendment,
qualification, supplement, waiver or consent is to be effective. Notwithstanding
the foregoing (except the foregoing proviso), a waiver or consent to departure
from the provisions hereof with respect to a matter that relates exclusively to
the rights of Holders whose Securities or New Securities,
as the case may be, are being sold pursuant to a Registration Statement and that does not
directly or indirectly affect the rights of other Holders may be given by the
Majority Holders, determined on the basis of Securities or New
Securities, as the case may be, being sold rather than registered under such Registration Statement.

 

11.           Notices. All notices and other communications provided for or permitted
hereunder shall be made in writing by hand-delivery, first-class mail, telex,
telecopier or air courier guaranteeing overnight delivery:

 

(a)           if
to a Holder, at the most current address given by such Holder to the Issuers in accordance with the
provisions of this Section, which address initially is, with respect to each
Holder, the address of such Holder maintained by the Registrar under the
Indenture, with a copy in like manner to Citigroup Global
Markets Inc.;

 

(b)           if
to you, initially at the respective addresses set forth in the Purchase
Agreement;

 

(c)           if
to the Issuers, initially at the address set forth in the Purchase Agreement;
and

 

(d)           if to the Guarantors, initially at
333 Clay Street, Suite 1600, Houston, Texas 77002.

 

All such notices and communications shall be
deemed to have been duly given when received.

 

The Initial Purchasers, the Issuers or the
Guarantors by notice to the
other parties may designate additional or different addresses for subsequent
notices or communications.

 

12.           Successors and Assigns. This Agreement shall inure to the benefit of
and be binding upon the successors and assigns of each of the parties,
including, without the need for an express assignment or any consent by the
Issuers or the Guarantors thereto, subsequent

 

17

 

Holders of Securities and the New Securities. The
Issuers and the Guarantors hereby agree to extend the benefits of this
Agreement to any Holder of Securities and the New Securities, and any such Holder may specifically enforce
the provisions of this Agreement as if an original party hereto.

 

13.           Counterparts. This agreement may be in signed counterparts, each of which shall constitute
an original and all
of which together shall constitute one and the same agreement.

 

14.           Purchases and Sales of Securities. The Issuers and the Guarantors shall not, and shall use their best efforts to
cause their affiliates (as defined in Rule 405 under the Act) not to, purchase
and then resell or otherwise transfer any Securities for
two (2) years, or if a Shelf Registration Statement shall become effective
during such two (2) year period, for the period of such effectiveness.

 

15.           Third Party Beneficiaries. Each Holder shall be a
third party beneficiary to the agreements made hereunder between the Issuers
and the Guarantors, on the one hand, and the Initial Purchasers, on the other hand, and shall have the right
to enforce such agreements directly to the extent it deems such enforcement
necessary or advisable to protect its rights or the rights of other Holders
hereunder.

 

16.           Headings. The headings used herein are for convenience only and shall not affect
the construction hereof.

 

17.           Applicable Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of New York applicable to contracts
made and to be
performed in the State of New York.

 

18.           Severability. In the event that any one of more of the provisions
contained herein, or the application thereof in any circumstances, is held
invalid, illegal or unenforceable in any respect for any reason, the validity,
legality and enforceability of any such provision in every other respect and of
the remaining provisions hereof shall not be in any way impaired or affected
thereby, it being intended that all of the rights and privileges of the parties
shall be enforceable to the fullest extent permitted by law.

 

19.           Securities Held by the Issuers, the
Guarantors, etc. Whenever the consent or approval of Holders
of a specified percentage of principal amount of Securities or New Securities
is required hereunder, Securities or New Securities, as applicable, held by the
Issuers, the Guarantors or their Affiliates (other than subsequent Holders of
Securities or New Securities if such subsequent Holders are deemed to be
Affiliates solely by reason of their holdings of such Securities or New
Securities) shall not be counted in determining whether such consent or approval
was given by the Holders of such required percentage.

 

18

 

If the foregoing is in accordance with your
understanding of our agreement, please sign and return to us the enclosed
duplicate hereof, whereupon this letter and your acceptance shall represent a
building agreement among the Issuers, the Guarantors and the several Initial
Purchasers.

 

	
   

  	
  Very truly
  yours,

  
	
   

  	
   

  
	
   

  	
  PLAINS ALL
  AMERICAN PIPELINE, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS AAP, L.P.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS ALL
  AMERICAN GP LLC

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  
	
   

  	
  PAA FINANCE
  CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  
	
   

  	
  PLAINS
  MARKETING, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
						

 

19

 

	
   

  	
  PLAINS PIPELINE,
  L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  PLAINS MARKETING
  CANADA LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS
  MARKETING, L.P.

  
	
   

  	
   

  	
  its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  
	
   

  	
  PMC (NOVA
  SCOTIA) COMPANY

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President

  
						

 

20

 

	
   

  	
  PLAINS MARKETING
  CANADA, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PMC (NOVA
  SCOTIA) COMPANY

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President

  
	
   

  	
   

  
	
   

  	
  BASIN HOLDINGS
  GP LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS PIPELINE,
  L.P.

  
	
   

  	
   

  	
  its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  BASIN PIPELINE
  HOLDINGS, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  BASIN HOLDINGS
  GP LLC

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS PIPELINE,
  L.P.

  
	
   

  	
   

  	
  its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
						

 

21

 

	
   

  	
  RANCHO HOLDINGS
  GP LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS PIPELINE,
  L.P.

  
	
   

  	
   

  	
  its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  RANCHO PIPELINE
  HOLDINGS, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  RANCHO HOLDINGS
  GP LLC

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS PIPELINE,
  L.P.

  
	
   

  	
   

  	
  its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PLAINS MARKETING
  GP INC.

  
	
   

  	
   

  	
  its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Phil Kramer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  PLAINS LPG
  SERVICES GP LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains
  Marketing, L.P., its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing
  GP Inc., its General

  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  
	
   

  	
   

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
							

 

22

 

	
   

  	
  PLAINS LPG
  SERVICES, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG
  Services GP LLC, its General

  Partner

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains
  Marketing, L.P., its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing
  GP Inc., its General

  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  
	
   

  	
   

  	
  Executive Vice
  President and Chief

  
	
   

  	
   

  	
  Financial
  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  LONE STAR
  TRUCKING, LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG
  Services, L.P., its Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains LPG
  Services GP LLC, its General

  Partner

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Plains
  Marketing, L.P., its Sole Member

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Plains Marketing
  GP Inc., its General

  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Phil Kramer

  	
   

  
	
   

  	
   

  	
  Phil Kramer

  
	
   

  	
   

  	
  Executive Vice
  President and

  
	
   

  	
   

  	
  Chief Financial
  Officer

  

 

23

 

	
  The foregoing Agreement is hereby

  
	
  confirmed and accepted as of the

  
	
  date first above written.

  
	
   

  
	
   

  
	
  CITIGROUP GLOBAL MARKETS INC.

  
	
  UBS SECURITIES LLC

  
	
  BNP PARIBAS SECURITIES CORP.

  
	
  BANC OF AMERICA SECURITIES LLC

  
	
  FORTIS SECURITIES LLC

  
	
  J.P. MORGAN SECURITIES INC.

  
	
  PIPER JAFFRAY & CO.

  
	
  WACHOVIA CAPITAL MARKETS, LLC

  
	
  AMEGY BANK NATIONAL ASSOCIATION

  
	
  COMMERZBANK CAPITAL MARKETS CORP.

  
	
  DNB NOR MARKETS, INC.

  
	
  HSBC SECURITIES (USA) INC.

  
	
  MITSUBISHI UFJ SECURITIES INTERNATIONAL PLC

  

 

	
  By:

  	
  CITIGROUP GLOBAL MARKETS INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Michael Caxey

  	
   

  
	
   

  	
  Name: Michael Caxey

  
	
   

  	
  Title: Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  UBS SECURITIES LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Scott Whitney

  	
   

  
	
   

  	
  Name: Scott Whitney

  
	
   

  	
  Title: Executive Director

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Ryan Donovan

  	
   

  
	
   

  	
  Name: Ryan Donovan

  
	
   

  	
  Title: Director

  

 

24

 

SCHEDULE 1

 

Plains Marketing, L.P.

 

Plains Pipeline, L.P.

 

Plains Marketing GP Inc.

 

Plains Marketing Canada LLC

 

PMC (Nova Scotia) Company

 

Plains Marketing Canada, L.P.

 

Basin Holdings GP LLC

 

Basin Pipeline Holdings, L.P.

 

Rancho Holdings GP LLC

 

Rancho Pipeline Holdings, L.P.

 

Plains LPG Services GP LLC

 

Plains LPG Services, L.P.

 

Lone Star Trucking, LLC

 

25

 

SCHEDULE
2

 

Citigroup Global Markets Inc.

 

UBS Securities LLC

 

BNP Paribas Securities Corp.

 

Banc of America Securities LLC

 

Fortis Securities LLC

 

J.P. Morgan Securities Inc.

 

Piper Jaffray & Co.

 

Wachovia Capital Markets, LLC

 

Amegy Bank National Association

 

Commerzbank Capital Markets Corp.

 

DnB NOR Markets, Inc.

 

HSBC Securities (USA) Inc.

 

Mitsubishi UFJ Securities International plc

 

26

 

ANNEX A

 

Each Broker-Dealer that receives New Securities for
its own account pursuant to the Exchange Offer must acknowledge that it will
deliver a prospectus in connection with any resale of such New Securities. The
Letter of Transmittal states that by so acknowledging and by delivering a
prospectus, a Broker-Dealer will not be deemed to admit that it is an “underwriter”
within the meaning of the Act. This Prospectus, as it may be amended or
supplemented from time to time, may be used by a Broker-Dealer in connection
with resales of New Securities received in exchange for Securities where such
Securities were acquired by such Broker-Dealer as a result of market-making
activities or other trading activities. The Issuers and the Guarantors have
agreed that, starting on the Expiration Date (as defined herein) and ending on
the close of business one year after the Expiration Date, they will make this
Prospectus available to any Broker-Dealer for use in connection with any such
resale. See “Plan of Distribution.”

 

 

ANNEX B

 

Each Broker-Dealer that receives New Securities for
its own account in exchange for Securities, where such Securities were acquired
by such Broker-Dealer as a result of market-making activities or other trading
activities, must acknowledge that it will deliver a prospectus in connection
with any resale of such New Securities. See “Plan of Distribution.”

 

2

 

ANNEX C

 

PLAN OF DISTRIBUTION

 

Each Broker-Dealer that receives New Securities for
its own account pursuant to the Exchange Offer must acknowledge that it will
deliver a prospectus in connection with any resale of such New Securities. This
Prospectus, as it may be amended or supplemented from time to time, may be used
by a Broker-Dealer in connection with resales of New Securities received in
exchange for Securities where such Securities were acquired as a result of
market-making activities or other trading activities. The Issuers and the
Guarantors have agreed that, starting on the Expiration Date and ending on the
close of business one year after the Expiration Date, they will make this
Prospectus, as amended or supplemented, available to any Broker-Dealer for use
in connection with any such resale. In addition, until               ,
200     [90 days] after commencement of the offering, all dealers effecting transactions in the New Securities
may be required to deliver a prospectus.

 

The Issuers and the Guarantors will not receive any
proceeds from any sale of New Securities by Brokers-Dealers. New Securities
received by Broker-Dealers for their own account pursuant to the Exchange Offer
may be sold from time to time in one or more transactions in the
over-the-counter market, in negotiated transactions, through the writing of
options on the New Securities or a combination of such methods of resale, at
market prices prevailing at the time of resale, at prices related to such
prevailing market prices or negotiated prices. Any such resale may be made
directly to purchasers or to or through brokers or dealers who may receive
compensation in the form of commissions or concessions from any such
Broker-Dealer and/or the purchasers of any such New Securities. Any
Broker-Dealer that resells New Securities that were received by it for its own
account pursuant to the Exchange Offer and any broker or dealer that
participates in a distribution of such New Securities may be deemed to be an “underwriter”
within the meaning of the Act and any profit of any such resale of New
Securities and any commissions or concessions received by any such Persons may
be deemed to be underwriting compensation under the Act. The Letter of
Transmittal states that by acknowledging that it will deliver and by delivering
a prospectus, a Broker-Dealer will not be deemed to admit that it is an “underwriter”
within the meaning of the Act.

 

For a period of one year after
the Expiration Date, the Issuers and the Guarantors will promptly send
additional copies of this Prospectus and any amendment or supplement to this
Prospectus to any Broker-Dealer that requests such documents in the Letter of
Transmittal. The Issuers and the Guarantors have agreed to pay all expenses
incident to the Exchange Offer (including the reasonable expenses of one
counsel for the holders of the Securities) other than commissions or
concessions of any brokers or dealers and will indemnify the holders of the
Securities (including any Broker-Dealers) against certain liabilities,
including liabilities under the Act.

 

If applicable, add information required by Regulation
S-K Items 507 and/or 508.

 

3

 

ANNEX D

 

Rider A

 

CHECK HERE IF YOU ARE A
BROKER-DEALER AND WISH TO RECEIVE 10 ADDITIONAL COPIES OF THE PROSPECTUS AND 10
COPIES OF ANY AMENDMENTS OR SUPPLEMENTS THERETO.

 

	
  Name:

  	
   

  	
   

  
	
  Address:

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

Rider B

 

If the undersigned is not
a Broker-Dealer, the undersigned represents that it acquired the New Securities
in the ordinary course of its business, it is not engaged in, and does not
intend to engage in, a distribution of New Securities and it has no
arrangements or understandings with any Person to participate in a distribution
of the New Securities. If the undersigned is a Broker-Dealer that will receive
New Securities for its own account in exchange for Securities, it represents
that the Securities to be exchange for New Securities were acquired by it as a
result of market-making activities or other trading activities and acknowledges
that it will deliver a prospectus in connection with any resale of such New
Securities; however, by so acknowledging and by delivering a prospectus, the
undersigned will not be deemed to admit that it is an “underwriter” within the
meaning of the Act.

 

4

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