Document:

Exhibit
      4.1

    

    Article
      Fourth of the Certificate of Incorporation, as amended,
      and

    Articles
      II and VI of the Amended and Restated By-Laws

    

    Article
      Fourth of the Certificate of Incorporation, as amended

    

    FOURTH: The
      Corporation shall have authority to issue the following Classes of stock in
      the
      following amounts with the respective powers, preferences, rights,
      qualifications, limitations and restrictions set forth, or determined in the
      manner set forth, below.

     

    (A) Statement
      of Authorized Stock. The
      corporation shall have the authority to issue a total number 26,300,000 shares
      of capital stock of the following classes in the following amounts and having
      the par values set forth below:

     

    (1) Common
      Stock - 25,000,000 shares, par value $.0l per share (the “Common Stock”);

     

    (2) 10%
      Series C Cumulative Redeemable Preferred Stock – 300,000
      shares,
      par value $.01 per share (the “Series C Preferred Stock”); and

     

    (3) Preferred
      Stock –
      1,000,000 shares, par value $.01 per share (the “Preferred Stock”).

     

    (B) Optional
      Rights to Purchase.
      The
      Corporation may create optional rights to purchase or subscribe, or both, to
      its
      stock of any class or series on such terms, at such price, in such manner and
      at
      such time or times as shall be expressed in a resolution adopted by the Board
      of
      Directors, and may issue warrants or other evidences of such
      rights.

     

    (C) Statement
      of Rights and Preferences.
      The
      respective designations, powers, preferences, rights, qualifications,
      limitations and restrictions of the Corporation’s capital stock shall be as
      follows:

     

    (1) Common
      Stock.

     

    Section
      1.1.
      Dividends.
      Subject
      to the rights of the holders of Series C Preferred Stock and except as
      specifically provided by resolutions of the Board of Directors providing for
      the
      issuance of shares of Preferred Stock, and subject to any other provisions
      of
      this Restated Certificate of Incorporation, as amended from time to time,
      holders of Common Stock shall be entitled to receive equally on a per share
      basis such dividends and other distributions in cash, securities or property
      of
      the Corporation as may be declared thereon by the Board of Directors from time
      to time out of assets or funds of the Corporation legally available
      therefor.

     

    Section
      1.2. Voting.
      Subject
      to the rights of the holders of Series C Preferred Stock and except as otherwise
      required by statute or specifically provided by resolutions of the Board of
      Directors providing for the issuance of shares of Preferred Stock, the Common
      Stock shall have the sole right and power to vote on all matters on which a
      vote
      of stockholders is to be taken. At every meeting of stockholders, each holder
      of
      Common Stock shall be entitled to cast one (1) vote in person or by proxy for
      each share of Common Stock standing in his or her name on the records of the
      Corporation.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Section
      1.3. Liquidation Rights.
      In the
      event of any dissolution, liquidation or winding up of the affairs of the
      Corporation, whether voluntary or involuntary, after payment or provision for
      payment of the debts and other liabilities of the Corporation and such amounts
      as may be payable to the holders of Series C Preferred Stock and any other
      shares of stock of the Corporation entitled to a preference over the Common
      Stock upon such dissolution, liquidation or winding up, the remaining assets
      and
      funds of the Corporation shall be divided among and paid ratably to the holders
      of Common stock. A merger or consolidation of the Corporation with or into
      any
      other corporation or a sale or conveyance of all or any part of the assets
      of
      the Corporation shall not be deemed to be a voluntary or involuntary liquidation
      or dissolution or winding up of the Corporation within the meaning of this
      Section 1.3.

     

    (2) Series
      C Preferred Stock.

     

    Section
      2.01 Rank.
      Each
      share of Series C Preferred Stock shall rank equally in all respects. Shares
      of
      the Series C Preferred Stock shall rank prior to the Common Stock and, except
      as
      approved by the holders of Series C Preferred Stock pursuant to Section
      2.05(C)(i), to all other classes or series of the Corporation’s capital stock
      (now or hereafter authorized or issued), with respect to the payment of
      dividends and upon liquidation.

     

    Section
      2.02. Dividends.

     

    (A) General
      Obligation; Accrual of Dividends.
      When
      and as declared by the Board of Directors of the Corporation, and to the extent
      permitted under the General Corporation Law of the State of Delaware, the
      Corporation will pay cash preferential cumulative dividends to the holders
      of
      the Series C Preferred Stock at the times and in the amounts provided for in
      this Section 2.02. Dividends on each share of Series C Preferred Stock will
      accrue cumulatively on a daily basis, from and including the date of issuance
      of
      such share of Series C Preferred Stock to but excluding the date on which the
      Redemption Price of such Series C Preferred Stock is paid in cash or on which
      full payment with respect to such shares shall have been made pursuant to any
      liquidation, dissolution or winding up of the Corporation, in each case whether
      or not such dividends shall have been declared and whether or not there shall
      be
      (at the time such dividends accrue or become payable or at any other time),
      profits, surplus or other funds of the Corporation legally available for the
      payment of dividends and whether or not there are other legal or contractual
      restrictions on the declaration or payment of dividends. Holders of the Series
      C
      Preferred Stock shall be entitled to receive such dividends prior and in
      preference to any declaration or payment of any dividend (including accrued
      dividends) on any Junior Security. The date on which the Corporation originally
      issues any share of Series C Preferred Stock will be deemed to be its “date of
      issuance” regardless of the number of times transfer of such share of Series C
      Preferred Stock is made on the stock records of the Corporation, and regardless
      of the number of certificates which may be issued to evidence such share of
      Series C Preferred Stock (whether by reason of transfer or any other
      reason).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (B) Dividend
      Rate; Payment of Dividends.
      Dividends shall accrue on each share of Series C Preferred Stock from its date
      of issuance, compounded quarterly as provided below, at a rate per annum equal
      to ten percent (10%) of the Liquidation Value (as hereinafter defined) thereof
      (computed on the basis of the actual days elapsed in a year of 360 days).
      Dividends accrued on the Series C Preferred Stock shall be payable in cash
      on
      February 28, May 31, August 31 and November 30 in each year (or if any such
      day
      is not a Business Day, the immediately preceding Business Day) (each such date
      being referred to herein as a “Dividend Reference Date”), beginning August 31,
      1993, unless prohibited to be paid under the Debt Agreements. To the extent
      not
      paid on any Dividend Reference Date for any reason, all dividends which have
      accrued on each share of Series C Preferred Stock then outstanding during the
      period from and including the immediately preceding Dividend Reference Date
      (or
      from and including the date of issuance in the case of the initial Dividend
      Reference Date) to such Dividend Reference Date will be added on such Dividend
      Reference Date to the Liquidation value of such share of Series C Preferred
      Stock (so that, without limitation, dividends shall thereafter accrue in respect
      of the amount of such accrued but unpaid dividends) and will remain a part
      thereof until such dividends are paid in full.

     

    (C) Distribution
      of Partial Dividend Payments.
      If at
      any time the Corporation distributes less than the total amount of dividends
      then accrued with respect to the Series C Preferred Stock, such payment will
      be
      distributed among the holders of the Series C Preferred Stock, so that an equal
      amount will be paid with respect to each outstanding share of Series C Preferred
      Stock.

     

    (D) Priority.
      Except
      (i) for payments made on the Closing Date or within thirty (30) days thereafter
      in connection with the Recapitalization, (ii) for Permitted Redemptions and
      (iii) as otherwise approved by the holders of Series C Preferred Stock pursuant
      to Section 2.05(B), so long as any share of Series C Preferred Stock shall
      remain outstanding, no dividend whatsoever shall be declared or paid upon or
      set
      apart for any Junior Security, nor shall any other distribution be made on
      any
      Junior Security, nor shall any Junior Security be redeemed, purchased or
      otherwise acquired by the Corporation or any subsidiary thereof nor shall any
      moneys be paid to, set aside or made available for a sinking fund for
      redemption, retirement or purchase or other acquisition of any Junior Security
      unless, in each instance, (x) full accumulated dividends on all outstanding
      shares of Series C Preferred Stock shall have been paid in full in cash for
      all
      dividend periods through and including the Dividend Reference Date immediately
      preceding such payment date and (y) the ratio (the “Fixed Charge Coverage
      Ratio”) of (1) Earnings Before Interest, Taxes, Depreciation and Amortization
      for the four consecutive and most recently completed fiscal quarters of the
      Corporation to (2) the total of all Fixed Charges which are payable or are
      to be
      accrued by the Corporation or any of its Subsidiaries during the upcoming
      twelve-month period ensuing from the date as of which the ratio is calculated
      (without regard, in the case of both (1) and (2) above, to any purchase method
      accounting adjustments and assuming, in the case of floating rate debt, a rate
      of interest throughout such period which is equal to the rate of interest
      applicable as of the date of such calculation unless the pertinent debt
      instrument provides for contractually stated changes in the fixed interest,
      in
      which case the assumed interest rate shall be the average contractually-stated
      interest rate scheduled to be in effect for the period), is equal to or greater
      than 4.0 to 1.0.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (E) Limitation
      on Dividends Restrictions.
      The
      Corporation shall not, and shall not permit any Subsidiaries to, agree to any
      provision in any agreement (other than in the Debt Agreements) which would
      impose any restrictions on the Corporation’s right to declare and pay dividends
      on or make any mandatory redemption of the Series C Preferred Stock unless
      approved by the holders of Series C Preferred Stock in accordance with Section
      2.05(A). 

     

    Section
      2.03. Liquidation.
      Upon
      any liquidation, dissolution or winding up of the Corporation, whether voluntary
      or involuntary, the holders of the Series C Preferred Stock will be entitled
      to
      be paid out of the assets of the Corporation available for distribution to
      stockholders (whether from capital, surplus, reserves or earnings), before
      any
      distribution or payment is made upon or set apart for any Junior Securities
      of
      the Corporation, an amount in cash equal to the aggregate Liquidation Value
      of
      all Series C Preferred Stock outstanding and the holders of the Series C
      Preferred Stock will not be entitled to any further payment. If upon any such
      liquidation, dissolution or winding up of the Corporation, the assets of the
      Corporation to be distributed among holders of the Series C Preferred Stock
      are
      insufficient to permit payment to such holders of the full Liquidation Value
      of
      such Series C Preferred Stock, then the entire assets of the Corporation to
      be
      distributed to such holders will be distributed ratably among such holders
      based
      upon the aggregate Liquidation Value of the Series C Preferred Stock held by
      each such holder. The Corporation will mail written notice of such liquidation,
      dissolution or winding up, not less than 30 days prior to the payment date
      stated therein, to each record holder of series C Preferred Stock on such
      date.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Section
      2.04. Redemptions.

     

    (A) Redemption
      at the Option of the Holders upon a Change of Control Event.
      Upon
      the occurrence of any Change of Control Event, each holder of Series C Preferred
      Stock shall have the right, at such holder’s option, to require the Corporation
      to redeem all or a portion of its shares of Series C Preferred Stock at the
      Redemption Price therefor. Such option under this Section 2.04(A) shall be
      exercised by any such holder by written notice to the Corporation given at
      any
      time from and after the thirtieth (30th) day before such Change of Control
      Event
      through the ninetieth (90th) day after such Change of Control Event (or, if
      later, through the thirtieth (30th) day after such holder receives written
      notice from the Corporation of such Change of Control Event), such written
      notice to specify that a demand for redemption under this Section 2.04(A) is
      being made and further specifying the date such redemption is to be made (which
      shall not be less than ten (10) days after receipt of such notice by the
      Corporation, but in no event earlier than the date of such Change of Control
      Event, except that such date may be the same date as a Change of Control Event
      if so requested by the holder). At least fifteen (15) days prior to the
      occurrence of a Change of Control Event, (other than the events specified in
      paragraphs (a) and (d) of the definition of “Change of Control Event,” in which
      case the notice specified below must be given within ten (10) days after the
      occurrence of such Change of Control Event), and not more than thirty (30)
      days
      before such Change of Control Event, the Corporation will give written notice
      to
      each holder of Series C Preferred Stock of the occurrence of such Change of
      Control Event and informing each such holder of its right to exercise an option
      to require a redemption under this Section 2.04(A).

     

    (B) Redemption
      at the Option of the Holders upon a Public Offering.
      In
      addition to any of the Corporation’s obligations under any of the other
      provisions of this Section 2.04, each holder of Series C Preferred Stock shall
      also have the right, (at such holder’s option), to require redemption of the
      Series C Preferred Stock held by such holder under this Section 2.04(B) in
      accordance with the following: The corporation shall provide each bolder of
      Series C Preferred Stock with a written notice at least twenty (20) days and
      not
      more than sixty (60) days prior to any sales of capital stock of and by the
      Corporation or a subsidiary of the Corporation involving a registration of
      such
      securities under the Securities Act. Such written notice (1) shall state that
      a
      registered offering of capital stock or other equity securities of the
      Corporation or any subsidiary of the Corporation, or securities convertible
      or
      exchangeable into equity securities of the Corporation or any subsidiary of
      the
      Corporation (collectively, “Equity Securities”) is scheduled which may trigger a
      redemption under this Section 2.04(B), (ii) shall specify the proposed closing
      date for such offering and the expected redemption amount with respect to Series
      C Preferred Stock if redemption under this Section 2.04(B) is elected by the
      holders and (iii) shall state that each holder of Series C Preferred Stock
      has
      the right under this Section 2.04(B) to elect a redemption with respect to
      any
      shares of Series C Preferred Stock held by it in accordance with this Section
      2.04(B). If at least ten (10) days prior to the date of any scheduled closing
      as
      set forth in such notice from the Corporation, the Corporation receives from
      any
      holder of Series C Preferred Stock a written notice that such holder elects
      to
      exercise its option to require a redemption of all or a portion of the shares
      of
      Series C Preferred Stock held by it under this Section 2.04(B) out of the
      proceeds of such offering (which notice may specify a maximum number of shares
      of such holder’s Series C Preferred Stock to be redeemed out of such offering),
      then the Corporation shall redeem such shares of Series C Preferred Stock as
      provided in the following sentence. Upon the closing of any sales of Equity
      Securities involving a registration under the Securities Act, the Corporation
      shall on such closing date redeem an aggregate number of shares of Series C
      Preferred Stock at the Redemption Price therefor of all holders who elected
      a
      redemption under this Section 2.04(B) (pursuant to notice from such holders
      given as provided above), up to an aggregate amount equal to 100% of the
      Available Proceeds raised in such offering; the amount applied to shares of
      Series C Preferred Stock of holders electing redemption under this Section
      2.04(B) shall be applied among such holders with respect to each such offering
      in proportion to the shares of Series C Preferred Stock held by each such
      holder.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (C) Optional
      Redemption by Corporation.
      Subject
      to any restrictions on redemptions of capital stock in the Debt Agreements
      and
      only to the extent that funds are legally available therefor, the Corporation
      may, upon its giving of the written notice referred to in the next sentence,
      redeem the Series C Preferred Stock, at its option, in whole or in part, at
      any
      time or from time to time, at a redemption price equal to the Redemption Price.
      The Corporation will deliver written notice of such redemption not less than
      thirty (30) and not more than sixty (60) days prior to the Redemption Date
      stated therein to each record holder of Series C Preferred Stock. If less than
      all the outstanding shares of Series C Preferred Stock are being redeemed
      pursuant to this Section 2.04(C), the shares of Series C Preferred Stock to
      be
      redeemed shall be allocated pro rata among the holders of the then outstanding
      shares of Series C Preferred Stock in accordance with Section 2.04(E)
      below.

     

    (D) Redemption
      Price.
      Subject
      to Section 2.04(I) hereof, for each share of Series C Preferred Stock which
      is
      to be redeemed pursuant to Sections 2.04(A) or 2.04(B) or 2.04(C), the
      Corporation will be obligated on the applicable Redemption Date to pay, to
      the
      extent that there are funds legally available therefor, to the holder thereof
      (upon surrender of the certificate representing such shares of Series C
      Preferred Stock) an amount in cash equal to the applicable Redemption Price.
      If
      the funds of the Corporation legally available for redemption of Series C
      Preferred Stock on any Redemption Date in connection with a redemption pursuant
      to Section 2.04(A) or 2.04(B) are insufficient to redeem the total number of
      shares of Series C Preferred Stock to be redeemed on such Redemption Date,
      those
      funds which are legally available therefor will be used to redeem the maximum
      possible number of shares of Series C Preferred Stock ratably among the holders
      of the Series C Preferred Stock requesting to be redeemed in accordance with
      Section 2.04(E) below. The Corporation shall advise the holders of Series C
      Preferred Stock in writing of any such postponement in the payment of the
      Redemption Price on any Redemption Date in connection with a redemption pursuant
      to Section 2.04(A) or Section 2.04(B). At any time thereafter when additional
      funds of the Corporation are legally available for the redemption of shares
      of
      Series C Preferred Stock, such funds will immediately be used to redeem, to
      the
      maximum extent possible, the balance of the Series C Preferred Stock which
      the
      Corporation has become obligated to redeem on any such Redemption Date but
      which
      it has not redeemed, in each case in accordance with Section
      2.04(E).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (E) Determination
      of the Number of Shares of Each Holder’s Preferred Stock to be
      Redeemed.
      In case
      of a redemption of only a part of the outstanding shares of Series C Preferred
      Stock, the number of shares of Series C Preferred Stock to be redeemed from
      each
      holder thereof in redemptions by the Corporation under Sections 2.04(A), 2.04(B)
      or 2.04(C) will be the- number of shares of Series C Preferred Stock, to the
      nearest whole share, determined by multiplying the total number of shares of
      Series C Preferred Stock to be redeemed from all holders of Series C Preferred
      Stock times a fraction, the numerator of which will be the total number of
      shares of Series C Preferred Stock then held by such holder and the denominator
      of which will be the total number of shares of Series C Preferred Stock then
      outstanding; but in the case of a redemption of shares of Series C Preferred
      Stock pursuant to Section 2.04(A) or Section 2.04(B), as the case may be, the
      shares of Series C Preferred Stock held by any holder shall not be redeemed
      to a
      greater extent than requested in such holder’s notice of an election of
      redemption given pursuant to Section 2.04(A) or Section 2.04(B), as the case
      may
      he, and if the amount so allocated to any holder would exceed the amount which
      such holder has elected to have redeemed under Section 2.04(A) or Section
      2.04(B), as the case may be, then such excess amount shall be similarly
      allocated among the remaining holders until all holders have received the amount
      requested to be redeemed under Section 2.04(A) or Section 2.04(B), as the case
      may be.

     

    (F) No
      Selective Repurchase Offers.
      Neither
      the Corporation nor any of its subsidiaries shall repurchase any outstanding
      shares of Series C Preferred Stock unless the Corporation either (i) offers
      to
      purchase all of the then outstanding shares of Series C Preferred Stock or
      (ii)
      offers to purchase shares of Series C Preferred Stock from the holders in
      proportion to the respective number of shares or Series C Preferred Stock held
      by each holder accepting such offer. In any such repurchase by the Corporation,
      if all shares of such Series C Preferred Stock are not being repurchased, then
      the number of shares of such Series C Preferred Stock offered to be repurchased
      shall be allocated among all shares of such Series C Preferred Stock held by
      holders which accept the Corporation’s repurchase offer so that such shares of
      Series C Preferred Stock are repurchased from such holders in proportion to
      the
      respective number of such shares of Series C Preferred Stock held by each such
      holder which accepts the Corporation’s offer (or in such other proportion as
      agreed by all such holders who accept the Corporation’s offer). Nothing in this
      Section 2.04(F) shall (i) obligate a holder of shares of Series C Preferred
      Stock to accept the Corporation’s repurchase offer or (ii) prevent the
      Corporation from redeeming shares of Series C Preferred Stock in accordance
      with
      the terms of (and this Section 2.04(F) shall not apply to) Sections 2.04(A)
      through 2.04(E) hereof.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (G) Dividends
      After Redemption Date.
      No
      share of Series C Preferred Stock is entitled to any dividends accruing after
      its Redemption Date. On such Redemption Date all rights of the holder of such
      share of Series C Preferred Stock as a stockholder of the Corporation by reason
      of the ownership of such share will cease, and such share of Series C Preferred
      Stock will thereafter be deemed not to be outstanding.

     

    (H) Redemption
      of Otherwise Acquired Shares.
      Any
      shares of Series C Preferred Stock which are redeemed or otherwise acquired
      by
      the Corporation or a subsidiary in any manner whatsoever, will be immediately
      retired and will not be reissued, sold or transferred.

     

    (I) Redemption
      Subject to Debt Documents.
      Any
      redemption of shares of Series C Preferred Stock shall not be required to be
      made under Section 2.04(A) or Section 2.04(B) to the extent such redemption
      is
      prohibited by the terms of any Debt Agreement.

     

    Section
      2.05. Voting Rights.
      The
      outstanding shares of Series C Preferred Stock shall have no voting rights
      except as required by law and such additional voting rights as are set forth
      below:

     

    (A) No
      amendment or modification will be binding or effective with respect to any
      provision of this Article FOURTH, Section (C)(2) of this Restated Certificate
      of
      Incorporation unless approved by the affirmative vote of the holders of at
      least
      sixty-five percent of the then outstanding shares of Series C Preferred Stock
      voting together as a separate class. Except as provided in subsection 2.05(B)
      below, any waiver of any provision applicable to Series C Preferred Stock shall
      be effective if, and only if, such waiver is obtained in writing from the
      holders of at least sixty-five percent of the then outstanding shares of Series
      C Preferred Stock.

     

    (B) In
      addition to any other vote or consent of stockholders required by this Restated
      Certificate of Incorporation, the By-laws of the Corporation or by law, the
      affirmative vote of all the holders of the outstanding shares of Series C
      Preferred Stock, voting together as a separate class, shall be necessary to
      change the rate or time of payment of any dividends on, the time or amount
      of
      any redemption of, the amount of any payments upon liquidation of the
      Corporation with respect to, or any of the rights, preferences, privileges
      or
      limitations provided in Section 2.04(D), Section 2.03, or elsewhere in this
      Restated Certificate of Incorporation for the benefit of, shares of series
      C
      Preferred Stock or to amend Section 2.04 or this Section 2.05. Any waiver of
      any
      of the foregoing provisions shall be effective if, and only if, such waiver
      is
      obtained in writing from each of the holders of outstanding shares of Series
      C
      Preferred Stock.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (C) Unless
      the vote or consent of the holders of a greater number of shares shall be
      required by law, the affirmative vote of the holders of at least sixty-five
      percent of the outstanding shares of Series C Preferred Stock voting together
      as
      a separate class shall be necessary to;

     

    (i)
      increase the number of authorized shares of Series C Preferred Stock or
      authorize or issue any additional shares of any series of Series C Preferred
      Stock or any shares of capital stock of the Corporation of any class or series,
      or any security or obligations convertible into or exchangeable for any capital
      stock of the Corporation of any class (including, without limitation, the Series
      C Preferred Stock), in each case ranking on a parity with or prior to the Series
      C Preferred Stock as to distribution of assets in liquidation or in right of
      payment of dividends; or

     

    (ii)
      permit the sale, lease or conveyance of all or substantially all of the assets,
      property or business of the Corporation and its subsidiaries or the
      consolidation or merger of the Corporation or any Significant Subsidiary of
      the
      Corporation or any subsidiary thereof into any other Corporation or entity
      (other than a merger of any wholly-owned subsidiary or Significant Subsidiary
      with and into the Corporation or with another wholly-owned subsidiary or
      Significant Subsidiary) unless (x) the redemption option provided by Section
      2.04(A) is available to the holders of the Series C Preferred Stock and the
      Redemption Date with respect to the shares of Series C Preferred Stock which
      the
      holders thereof have requested to be redeemed pursuant to section 2.04(A) in
      connection with a Change of Control Event shall have occurred prior to or
      contemporaneously with such Change of Control Event or (y) the Corporation
      shall
      have exercised its option to redeem all of the shares of Series C Preferred
      Stock then outstanding as provided by section 2.04(C) and the Redemption Date
      with respect to such shares of Series C Preferred Stock to be redeemed pursuant
      to Section 2.04(C) shall have occurred prior to or simultaneously with such
      transaction.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (D) (a) Upon
      the
      occurrence of an Event of Default at such time as the Liquidation Value of
      all
      then outstanding share of Series C Preferred Stock is equal to or greater than
      $5,000,000, (i) the size of the Board of Directors of the Corporation shall
      be
      increased by the smallest number of seats that is greater than 100% of the
      number of seats then comprising such Board and during the period (hereinafter
      in
      this Section 2.05(D) called the “Class Voting Period”) commencing upon the
      occurrence of such Event of Default and ending at such time upon which no Event
      of Default shall continue, the holders of at least sixty-five percent of all
      the
      outstanding shares of Series C Preferred Stock, by the affirmative vote in
      person or by proxy at a special meeting of stockholders called for such purpose
      (or at any adjournment thereof) by holders of at least twenty-five percent
      of
      the outstanding shares of Series C Preferred Stock or at any annual meeting
      of
      stockholders, or by written consent delivered to the Secretary of the
      Corporation, with the holders of such Series C Preferred Stock voting as a
      class
      and with each such share of Series C Preferred Stock having one vote, shall
      be
      entitled, as a class, to the exclusion of the holders of all other classes
      or
      series of capital stock of the Corporation, to elect such additional directors
      as are sufficient to constitute a majority of the directors of the Corporation,
      and (ii) the holders of the outstanding shares of Series C Preferred Stock
      shall
      have, in addition to any other right or power to vote as holders of Series
      C
      Preferred Stock provided for herein or by law, the right and power to vote
      on
      any question (other than the election of directors except as provided in (i)
      above and except for any right to vote for the election of directors as a holder
      of Common Stock) upon which, or in any proceeding at which, holders of Common
      Stock of the Corporation are entitled to vote (with the holders of such shares
      of Series C Preferred Stock and Common Stock voting together and not as a
      separate class) with each such share of Series C Preferred Stock being entitled
      to the number of votes equal to two (2) times (A) the number of shares of Common
      Stock of the Corporation then outstanding divided by (B) the number of shares
      of
      Series C Preferred Stock then outstanding.

     

    (b) At
      any
      time when such voting right under this Section 2.05(D) shall have vested in
      the
      holders of shares of Series C Preferred Stock entitled to vote thereon, and
      if
      such right shall not already have been initially exercised, an officer of the
      Corporation shall, upon the written request of the holders of at least
      twenty-five percent of the shares of the Series C Preferred Stock then
      outstanding, addressed to the Treasurer of the Corporation, call a special
      meeting of holders of shares of the Series C Preferred Stock or of holders
      of
      all capital stock of the Corporation. Such meeting shall be held at the earliest
      practicable date upon the notice required for annual meetings of stockholders
      at
      the place for holding annual meetings of stockholders of the Corporation or,
      if
      none, at a place designated by the Treasurer of the Corporation. If such meeting
      shall not be called by the proper officers of the Corporation within thirty
      (30)
      days after the personal service of such written request upon the Treasurer
      of
      the Corporation, or within thirty (30) days after mailing the same within the
      United States, by registered mail, addressed to the Treasurer of the Corporation
      at its principal office (such mailing to be evidenced by the registry receipt
      issued by the postal authorities), then the holders of record of at least
      twenty-five percent of the shares of Series C Preferred Stock then outstanding
      may designate in writing any person to call such meeting at the expanse of
      the
      Corporation, and such meeting may be called by such person so designated upon
      the notice required for annual meetings of stockholders of the Corporation
      and
      shall be held at the same place as is elsewhere provided in this paragraph
      (b)
      or, if none, at a place designated by the person selected to call the meeting.
      Any holder of shares of Series C Preferred Stock then outstanding that would
      be
      entitled to vote at such meeting shall have access to the stock books of the
      Corporation for the purpose of causing a meeting of stockholders to be called
      pursuant to the provisions of this paragraph (b).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (c) Any
      director who shall have been elected by the holders of Series C Preferred Stock
      may be removed at any time during a Class Voting Period, by the holders of
      at
      least sixty-five percent of all of the outstanding shares of Series C Preferred
      Stock by vote in person or by proxy at a special meeting of stockholders called
      for such purpose by holders of at least twenty-five percent of the outstanding
      shares of Series C Preferred Stock. Any director who shall have been elected
      by
      the holders of Series C Preferred Stock may not be removed at any time during
      a
      Class Voting Period without the consent of the holders of at least sixty-five
      percent of all of the outstanding shares of Series C Preferred Stock. Any
      vacancy created by the removal, death or resignation of a director elected
      by
      the holders of Series C Preferred Stock may be filled during such Class Voting
      Period by the holders of at least sixty-five percent of all of the outstanding
      shares of Series C Preferred Stock by vote in person or by proxy at a special
      meeting of stockholders of the Corporation called for such purpose by holders
      of
      at least twenty-five percent of the outstanding shares of Series C Preferred
      Stock.

     

    (d) At
      the
      end of the Class Voting Period, the holders of Series C Preferred Stock shall
      be
      automatically divested of all voting power vested in them under this Section
      2.05(D) except as herein or by law expressly provided, subject always to the
      subsequent vesting hereunder of such voting power in the holders of Series
      C
      Preferred Stock upon the occurrence of any subsequent Event of Default. The
      term
      of any director elected pursuant to the provisions of this Section 2.05(D)
      shall
      in all events expire at the end of the Class Voting Period and the size of
      the
      Board shall be reduced accordingly.

     

    (e) For
      purposes of this Section 2.05(D), “Common Stock” shall include any capital stock
      of the Corporation having voting power for the election of directors of the
      Corporation other than the Series C Preferred Stock.

     

    Section
      2.06. Covenants.
      At any
      time when any shares of Series C Preferred Stock are outstanding, without the
      approval of the holders of at least sixty-five percent of the then outstanding
      shares of Series C Preferred Stock given in writing or by vote at a meeting,
      consenting or voting (as the case may be) separately as a series, neither the
      Corporation nor any subsidiary of the Corporation shall incur, create or assume
      any indebtedness for borrowed money (other than senior secured indebtedness
      of
      the Corporation or any subsidiary of the Corporation incurred for working
      capital purposes) or issue any preferred stock unless, after giving effect
      to
      such incurrence or issuance, the Fixed Charge Coverage Ratio of the Corporation
      on a consolidated basis is equal to or greater than 1.0 to 1.0 for the
      immediately preceding tour fiscal quarters (giving pro forma
      effect
      throughout such period to such indebtedness incurred, created or assumed and
      such preferred stock issued since the end of such four fiscal
      quarters).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Section
      2.07. Definitions.
      For
      purposes of this Restated Certificate of Incorporation the following terms
      shall
      have the following meanings:

     

    “Available
      Proceeds”
means
      an amount equal to (i) the aggregate cash proceeds to the Corporation or any
      subsidiary of the Corporation (net of any brokers’, dealers’, placement agents’
and underwriters’ fees and commissions, underwriters’ discount and any other
      offering expenses of the type required to be disclosed in Part II of a
      registration statement under Section 6 of the Securities Act) raised in any
      public offering of the Equity Securities of the Corporation or any subsidiary
      of
      the Corporation minus
      (ii) the
      amount of any mandatory or optional prepayments of indebtedness for borrowed
      money of the Corporation or any subsidiary of the Corporation made with the
      aggregate cash proceeds referred to in clause (i) above.

     

    “Business
      Day”
means
      a
      day other than a Saturday, Sunday or other day on which commercial banks in
      New
      York, New York are authorized or required by law to close.

     

    “Change
      of Control Event”
means
      the occurrence of any of the following events:

     

    (a)
      (i) any
      transaction or series of transactions (including, without limitation, a tender
      offer, merger or consolidation) the result of which is that any “person” or
“group” (within the meaning of Sections 13(d) and 14(d)(2) of the Securities
      Exchange Act), other than the Principals and their Related Parties or an entity
      controlled by the Principals and their Related Parties becomes the “beneficial
      owner” (as defined in Rule 13(d)(3) under the Securities Exchange Act) of more
      than fifty percent (50%) of the total aggregate voting power of all classes
      of
      the voting stock of the Corporation and/or warrants or options to acquire such
      voting stock, calculated on a fully diluted basis or (ii) during any period
      of
      two consecutive calendar years, individuals who at the beginning of such period
      constituted the Corporation’s Board of Directors (together with any new
      directors whose election by the Corporation’s Board of Directors or whose
      nomination for election by the Corporation’s stockholders was approved by a vote
      of at least two-thirds of the directors then still in office who either were
      directors at the beginning of such period or whose election or nomination for
      election was previously so approved) cease for any reason to constitute a
      majority of the directors then in office unless such majority of the directors
      then in office has been elected or nominated for election by the Principals
      or
      their Related Parties or any entities controlled by the Principals or their
      Related Parties or (iii) the Corporation ceases to own 100% of the outstanding
      capital stock and all warrants, options or other rights to acquire capital
      stock
      (but excluding any debt security convertible into or exchangeable for capital
      stock) of Finlay; or

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (b) the
      Corporation and/or Finlay is materially or completely liquidated or is the
      subject of any voluntary or involuntary dissolution or winding up;
      or

     

    (c) the
      Corporation no longer owns 100 of the capital stock of Finlay or any Significant
      Subsidiary of the corporation; or

     

    (d) with
      respect to any indebtedness of the Corporation, Finlay or any direct or indirect
      subsidiary of the Corporation in an aggregate principal amount of at least
      $5,000,000, such indebtedness becomes due and payable prior to its maturity
      for
      any reason; or

     

    (e) the
      sale,
      lease, transfer or other conveyance of all or substantially all of the
      consolidated assets, property, or business of the Corporation and its
      subsidiaries, or of Finlay and its subsidiaries, in a single transaction or
      series of related transactions; or

     

    (f) the
      Corporation or any Significant Subsidiary of the Corporation is consolidated
      with or merged into any other Person, or any other Person (other than a
      wholly-owned subsidiary of the Corporation) is merged into or sells, leases
      or
      transfers all or substantially all of its property, assets or capital stock
      to
      the Corporation or any subsidiary of the Corporation.

     

    “Closing
      Date”
means
      May 26, 1993.

     

    “Credit
      Agreement”
shall
      mean the Credit Agreement among the Corporation, Finlay, various lenders and
      financial institutions and General Electric capital Corporation, individually
      and as Agent, dated as of May 26, 1993, as amended from time to time, together
      with the Loan Documents referred to therein and any renewal or extension
      thereof, or any agreement governing a substitute revolving credit
      facility

     

    “Debentures”
means
      the 12% Senior Discount Debenture due 2005 of the Corporation to be issued
      pursuant to the Debenture Indenture.

     

    “Debenture
      Indenture”
means
      the indenture dated as of May 26, 1993 between the Corporation and Marine
      Midland Bank, N.A., as trustee, under which the Debentures were
      issued.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    “Debt
      Agreements”
means
      (i) the Indentures (ii) the Notes, (iii) the Debentures, (iv) the Credit
      Agreement and (v) any refunding, refinancing or replacement of any of the
      foregoing or (vi) any other agreement or instrument evidencing or governing
      indebtedness for borrowed money of the Corporation or Finley permitted under
      section 2.06(A) hereof, in each case if the aggregate principal amount of
      indebtedness for borrowed money thereunder both (a) exceeds $5,000,000 and
      (b)
      when aggregated with all other indebtedness for money borrowed under such
      agreements or instruments, the aggregate amount of such indebtedness exceeds
      the
      cash and cash equivalents of the Corporation and Finlay by at least
      $5,000,000.

     

    “Dividend
      Reference Date”
shall
      have the meaning set forth in Section 2.02(B) hereof.

     

    “Earnings
      Before, Interest, Taxes, Depreciation and Amortization”
means
      the consolidated net income (or consolidated net loss) of the Corporation for
      any period, plus (i) all federal, state, local and foreign income taxes (but
      not
      taxes in the nature of an ad valorem,
      property tax or sales or excise tax) paid or accrued with respect to such period
      and (ii) all interest on any Indebtedness paid or accrued during such period
      and
      (iii) all charges taken for depreciation of fixed assets and amortization of
      intangible assets for such period.

     

    “Event
      of Default”
shall
      mean (i) an Event of Default as defined in the Credit Agreement or in either
      the
      Indentures or (ii) the failure by the Corporation to redeem shares of Series
      C
      Preferred Stock in accordance with the provisions of Section 2.04(A) or 2.04(B)
      hereof for any reason, including, without limitation, because such redemption
      is
      prohibited by any Debt Agreement, or (iii) the existence of any outstanding
      shares of Series C Preferred Stock on May 1, 2006.

     

    “Finlay”
means
      Finlay Fine Jewelry Corporation, a Delaware corporation, its successors and
      assigns.

     

    “Fixed
      Charges”
means
      the sum of all interest expense for such period, plus
      payments
      of principal on any long-term indebtedness payable during such period,
plus
      all
      dividends on preferred stock and distributions (whether in cash or in kind,
      other than in the case of stock splits or reverse stock splits), and all stock
      redemptions, repurchases and retirements made during such period, all as
      determined with respect to such period according to generally accepted
      accounting principals consistently applied.

     

    “Indentures”
mean
      (i) the Debenture Indenture and (ii) the Note Indenture.

     

    “Junior
      Security”
means
      any equity security of any kind which the Corporation or any subsidiary of
      the
      Corporation at any time issues or is authorized to issue other than (i) the
      Series C Preferred Stock and (ii) any capital stock ranking prior to or on
      a
      parity with the Series C Preferred Stock and approved in accordance with Section
      2.05(C)(i).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    “Liquidation
      Value”
of
      any
      share of Series C Preferred Stock as of any particular data will be equal to
      the
      sum of $100.00, payable in cash, plus an amount equal to the sum of (A) any
      unpaid dividends (whether or not earned or declared) on such share of Series
      C
      Preferred Stock added to the Liquidation Value of such share of Series C
      Preferred Stock on any Dividend Reference Date and not thereafter paid in cash,
      and (B) dividends accrued cumulatively on a daily basis from and including
      the
      next preceding Dividend Reference Date to but excluding the payment date in
      any
      liquidation, dissolution or winding up of the Corporation or the Redemption
      Date, as the case may be.

     

    “Notes”
shall
      mean the 10.625% Senior Notes due 2003 of Finlay.

     

    “Note
      Indenture”
means
      the indenture dated as of May 26, 1993 between Finlay and Marine Midland Bank,
      N.A., as trustee, under which the Notes were issued.

     

    “Outstanding”
or
      “outstanding”
means
      when used with reference to shares of Series C Preferred Stock as of a
      particular time, all shares of Series C Preferred Stock theretofore duly issued
      except (i) shares of Series C Preferred Stock theretofore cancelled by the
      Corporation and (ii) shares of Series C Preferred Stock registered in the name
      of, as well as shares of Series C Preferred Stock owned beneficially by, the
      Corporation or any subsidiary of the Corporation.

     

    “Permitted
      Redemption”
means
      any repurchase of capital stock of the Corporation under any employment
      contract, severance plan or other equity compensation• plan if such contract or
      plan has been approved by the Board of Directors of the
      Corporation.

     

    “Person”
means
      an individual, a partnership, a corporation, a trust, an estate, a joint
      venture, an unincorporated organization or a government or any department or
      agency thereof.

     

    “Principals”
means
      David B. Cornstein, Harold S. Geneen, Ronald B. Grudberg, Robert S. Lowenstein,
      Thomas H. Lee, Equity-Linked Investors, L.P. and Equity-Linked Investors
      II.

     

    “Purchase
      Agreement”
means
      the Stock Purchase Agreement among the Corporation, Finlay, and the Purchasers
      named therein dated as of May 26, 1993, as amended from time to time, providing
      for the issue and sale to the Purchasers of Units of Series C Preferred Stock
      and Common Stock of the Corporation.

     

    “Recapitalization”
means
      the issue and sale of the Notes and Debentures, the sale of shares of Series
      C
      Preferred Stock and Common Stock of the Corporation pursuant to the Purchase
      Agreement, the entry by the Corporation into the Credit Agreement, the
      repurchase of all outstanding shares of Series A and Series B Preferred Stock
      of
      the Corporation, the repurchase of certain shares of Common Stock and options
      and warrants to purchase capital stock of the Corporation, the repayment of
      certain indebtedness of Finlay, and the transactions related
      thereto.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    “Redemption
      Date”
means
      with respect to any share of Series C Preferred Stock, the date that such share
      of Series C Preferred Stock is to be redeemed pursuant to Section 2.04 hereof;
      provided
      that no
      such date will be a Redemption Date unless the applicable Redemption Price
      is
      paid in full in cash on such date with respect to such share of Series C
      Preferred Stock, and if not so paid in full, the Redemption Date will be the
      date on which such Redemption Price is fully paid in cash pursuant to Section
      2.04.

     

    “Redemption
      Price”
for
      any
      share of Series C Preferred Stock as of any particular date will be an amount
      equal to the Liquidation Value of such share of Series C Preferred Stock as
      of
      such date, plus, in the case of a redemption under Section 2.04(C) hereof,
      a
      premium equal to one percent (1%) of such Liquidation Value.

     

    “Registration
      Statements”
The
      Registration Statement for the Notes filed by Finlay with the Securities and
      Exchange commission (“SEC”) on May 19, 1993 (Registration No. 33-59380) and the
      Registration Statement for the Debentures filed by the Corporation with the
      SEC
      on May 19, 1993 (Registration No. 33-59434).

     

    “Related
      Party”
with
      respect to any Principal means (a) any controlling stockholder, general or
      limited partner, 80% (or more) owned subsidiary, or spouse or immediate family
      member (in the case of individual) of such Principal or (b) any trust,
      corporation, partnership or other entity, the beneficiaries, stockholders,
      partners, owners or Persons beneficially holding an 80% or more controlling
      interest of which consist of such Principal and/or such other Persons referred
      to in the immediately preceding clause (a).

     

    “Securities
      Act”
means
      the Securities Act of 1933, as amended, and the rules, regulations and
      interpretations thereunder.

     

    “Securities
      Exchange Act”
means
      the Securities Exchange Act of 1934, as amended, and the rules, regulations
      and
      interpretations thereunder.

     

    “Significant
      Subsidiary”
means
      any direct or indirect subsidiary of the Corporation owning ten percent (10%)
      or
      more of the assets or providing ten percent (10%) or more of the gross revenues
      or sales of the Corporation and its subsidiaries on a consolidated
      basis.

     

    Section
      2.08. Notices; Copies.
      All
      notices referred to herein, except as otherwise expressly provided, will be
      made
      by registered or certified mail, return receipt requested, telecopier or
      overnight air courier, postage prepaid and will be deemed to have been given
      only when delivered or, if sent by telecopier, when received. Copies of
      documents referenced herein will be made available by the Corporation upon
      request.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (3) Preferred
      Stock.

     

    Authority
      is hereby expressly vested in the Board of Directors to adopt from time to
      time
      a resolution or resolutions providing for the issuance of Preferred Stock.
      Subject to any required approvals of the holders of capital stock contained
      in
      this Restated Certificate of Incorporation Preferred Stock may be issued in
      one
      or more class or series and may be with such voting powers, full or limited,
      or
      without voting powers, and with such designations, preferences and relative,
      participating, optional or other special rights, and the qualifications,
      limitations or restrictions thereof, as shall be stated and expressed in the
      resolution or resolutions providing for the issuance of such stock adopted
      by
      the Board of Directors.

     

    Article
      II of the Amended and Restated By-Laws

    

    ARTICLE
      II

    

    Meetings
      of Stockholders

    

    SECTION
      1.
      Place
      of Meeting.
      All
      meetings of the stockholders shall be held at the office of the Corporation
      or
      at such other places, within or without the State of Delaware, as may from
      time
      to time be fixed by the Board.

    

    SECTION
      2.
      Annual
      Meetings.
      The
      annual meeting of the stockholders for the election of directors and for the
      transaction of such other business as may properly be brought before the meeting
      shall be held on such date and at such hour as shall from time to time be fixed
      by the Board. Any previously scheduled annual meeting of the stockholders may
      be
      postponed by action of the Board taken prior to the time previously scheduled
      for such annual meeting of stockholders.

    

    SECTION
      3.
      Special
      Meetings.
      Except
      as otherwise provided in the Restated Certificate of Incorporation of the
      Corporation (the "Certificate") or required by law, special meetings of the
      stockholders for any purpose or purposes may be called by the Chairman of the
      Board (the "Chairman"), the President or Board. Only such business as is
      specified in the notice of any special meeting of the stockholders shall be
      brought before such meeting.

    

    SECTION
      4.
      Notice
      of Meetings.
      

    

    (a)
      Except as otherwise provided in the Certificate or required by law, written
      notice of each meeting of the stockholders, whether annual or special, shall
      be
      given, either by personal delivery or by mail, not less than 10 nor more than
      60
      days before the date of the meeting to each stockholder of record entitled
      to
      notice of the meeting. If mailed, such notice shall be deemed given when
      deposited in the United States mail, postage prepaid, directed to the
      stockholder at such stockholder's address as it appears on the records of the
      Corporation. Each such notice shall state the place, date and hour of the
      meeting, and the purpose or purposes for which the meeting is called. An
      affidavit of the Secretary or of the transfer agent of the Corporation that
      the
      Notice required by this Section 4 has been given shall, in the absence of fraud,
      be prima facie evidence of the facts stated therein. Notice of any meeting
      of
      stockholders shall not be required to be given to any stockholder who shall
      attend such meeting in person or by proxy without protesting, prior to or at
      the
      commencement of the meeting, the lack of proper notice to such stockholder,
      or
      who shall waive notice thereof as provided in Article IX of these By-laws.
      Notice of adjournment of a meeting of stockholders need not be given if the
      time
      and place to which it is adjourned are announced at such meeting, unless the
      adjournment is for more than 30 days or, after adjournment, a new record date
      is
      fixed for the adjourned meeting.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (b)
      Without limiting the manner by which notice otherwise may be given effectively
      to stockholders, any notice to stockholders given by the Corporation under
      any
      provision of the Delaware General Corporation Law, the Certificate, or these
      By-laws shall be effective if given by a form of electronic transmission
      consented to by the stockholder to whom the notice is given. Any such consent
      shall be revocable by the stockholder by written notice to the Corporation.
      Any
      such consent shall be deemed revoked if (1) the Corporation is unable to deliver
      by electronic transmission two consecutive notices given by the Corporation
      in
      accordance with such consent and (2) such inability becomes known to the
      Secretary of the Corporation or to the transfer agent of the Corporation, or
      other person responsible for the giving of notice; provided,
      however,
      the
      inadvertent failure to treat such inability as a revocation shall not invalidate
      any meeting or other action.

    

    SECTION
      5.
      Quorum.
      Except
      as otherwise provided in the Certificate or required by law, the holders of
      issued and outstanding capital stock of the Corporation representing a majority
      of all votes entitled to be cast by the stockholders entitled to vote generally,
      present in person or by proxy, shall constitute a quorum for the transaction
      of
      business at any meeting of the stockholders; provided, however, that, except
      as
      otherwise provided in the Certificate or required by law, in the case of any
      vote to be taken by classes or series, the holders of a majority of the votes
      entitled to be cast by the stockholders of a particular class or series shall
      constitute a quorum for the transaction of business by such class or
      series.

    

    SECTION
      6.
      Adjournments.
      The
      holders of a majority of the votes entitled to be cast by the stockholders
      who
      are present in person or by proxy may adjourn the meeting from time to time
      whether or not a quorum is present. In the event that a quorum does not exist
      with respect to any vote to be taken by a particular class, the holders of
      a
      majority of the votes entitled to be cast by the stockholders of such class
      who
      are present in person or by proxy may adjourn the meeting with respect to the
      vote(s) to be taken by such class. At any such adjourned meeting at which a
      quorum may be present, any business may be transacted which might have been
      transacted at the meeting as originally called.

    

    SECTION
      7.
      Order
      of Business.
      At each
      meeting of the stockholders, the Chairman, or in the absence of the Chairman,
      the President, or in the absence of both the Chairman and the President, such
      person as shall be selected by the Board shall act as chairman of the meeting.
      The order of business at each such meeting shall be as determined by the
      chairman of the meeting. The chairman of the meeting shall have the right and
      authority to prescribe such rules, regulations and procedures and to do all
      such
      acts and things as are necessary or desirable for the proper conduct of the
      meeting, including, without limitation, the establishment of procedures for
      the
      maintenance of order and safety, limitations on the time allotted to questions
      or comments on the affairs of the Corporation, restrictions on entry to such
      meeting after the time prescribed for the commencement thereof and the opening
      and closing of the voting polls.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    At
      any
      annual meeting of stockholders, only such business shall be conducted as shall
      have been brought before the annual meeting (i) by or at the direction of the
      chairman of the meeting or (ii) by any stockholder who is a holder of record
      at
      the time of the giving of notice to the Corporation of the intent of such
      stockholder to bring such business before the meeting and who is entitled to
      vote at the meeting.

    

    SECTION
      8.
      List
      of Stockholders.
      It
      shall be the duty of the Secretary or other officer who has charge of the stock
      transfer ledger to prepare and make, at least 10 days before each meeting of
      the
      stockholders, a complete list of the stockholders entitled to vote thereat,
      arranged, in alphabetical order, and showing the address of each stockholder
      and
      the number of shares registered in such stockholder's name. Such list shall
      be
      produced and kept available at the times and places required by
      law.

    

    SECTION
      9.
      Voting.
      Each
      stockholder entitled to vote at any meeting of stockholders may authorize not
      in
      excess of three persons to act for such stockholder by proxy. Any such proxy
      shall be delivered to the secretary of such meeting at or prior to the time
      designated for holding such meeting, but in any event not later than the time
      designated in the order of business for so delivering such proxies. No such
      proxy shall be voted or acted upon after three years from its date, unless
      the
      proxy provides for a longer period.

    

    At
      each
      meeting of the stockholders, unless otherwise provided in the Certificate or
      these By-laws or required by law, (i) all corporate actions (other than the
      election of directors) to be taken by vote of the stockholders shall be
      authorized by the affirmative vote of a majority of the votes cast by the
      stockholders entitled to vote thereon who are present in person or represented
      by proxy, and (ii) where a separate vote by class is required, the affirmative
      vote of a majority of the votes cast by the stockholders of such class who
      are
      present in person or represented by proxy shall be the act of such class.
      Directors shall be elected by a plurality of the votes of the shares present
      in
      person or represented by proxy at the meeting and entitled to vote on the
      election of directors.

    

    All
      elections of directors shall be by written ballot, unless otherwise provided
      in
      the Certificate or required by law. In voting on any other question on which
      a
      vote by ballot is required by law, or is demanded by any stockholder entitled
      to
      vote, the voting shall be by ballot. Each ballot shall be signed by the
      stockholder voting or the stockholder's proxy and shall state the number of
      shares voted. On all other questions, the voting may be viva voce. 

    

    SECTION
      10.
      Inspectors.
      The
      chairman of the meeting shall appoint two or more inspectors to act at any
      meeting of stockholders. Such inspectors shall perform such duties as shall
      be
      specified by the chairman of the meeting. Inspectors need not be stockholders.
      No director or nominee for the office of director shall be appointed such
      inspector.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Article
      VI of the Amended and Restated By-Laws

    

    ARTICLE
      VI

    

    Capital
      Stock

     

    SECTION
      1.
      Shares.
      When
      shares of stock of the Corporation are represented by certificates, such
      certificates shall be in such form as shall be approved by the Board. Each
      certificate shall be signed by, or shall bear the facsimile signature of, the
      Chairman or the President, or any Vice President and by the Secretary or the
      Treasurer or any Assistant Treasurer of the Corporation, and sealed with the
      seal of the Corporation, which may be a facsimile thereof. Any or all such
      signatures may be facsimiles if countersigned by a transfer agent or registrar,
      provided that such transfer agent or registrar is not an employee of the
      Corporation. Although any officer, transfer agent or registrar whose manual
      or
      facsimile signature is affixed to such a certificate ceases to be such officer,
      transfer agent or registrar before such certificate has been issued, it may
      nevertheless be issued by the Corporation with the same effect as if such
      officer, transfer agent or registrar were still such at the date of its issue.
      All certificates for the Corporation’s shares shall be consecutively numbered or
      otherwise identified. 

     

    When
      shares of stock of the Corporation are not represented by certificates, then
      within a reasonable time after the issuance or transfer of such shares, the
      Corporation shall send, or cause to be sent, to the stockholder to whom such
      shares have been issued or transferred a written notice that shall set forth
      (i)
      the name of the Corporation, (ii) that the Corporation is organized under the
      laws of the State of Delaware, (iii) the name of the stockholder, (iv) the
      number and class or series, if any, of the shares represented, (v) any
      restrictions on the transfer or registration of such shares imposed by the
      Certificate, these By-laws, any agreement among stockholders or any agreement
      between stockholders and the Corporation, and (vi) any additional information
      required by the Delaware General Corporation Law to be included on
      certificates.

     

    Blank
      share certificates shall be kept by the Secretary or by a transfer agent or
      by a
      registrar or by any other officer or agent designated by the Board.

     

    SECTION
      2.
      Transfer
      of Shares.
      The
      Secretary, transfer agent, registrar or any other officer or agent designated
      by
      the Board shall keep a record to be known as the stock transfer ledger of the
      Corporation, containing the name of each stockholder of record, together with
      such stockholder’s address and the number and class or series of shares held by
      such stockholder. Transfer of shares of stock of each class of the Corporation
      shall be made only on the stock transfer ledger of the Corporation upon the
      receipt of proper transfer instructions and upon the payment of any taxes
      thereon, and, in the case of transfers of shares which are represented by one
      or
      more certificates, only upon receipt of such certificate(s) with proper
      endorsement from the holder of record or from such holder’s duly authorized
      attorney in fact, who shall furnish proper evidence of authority to transfer
      to
      the Secretary of the Corporation or its designated transfer agent or other
      agent; provided,
      however,
      that
      the Corporation shall be entitled to recognize and enforce any lawful
      restriction on transfer. In the event a certificate representing shares to
      be
      transferred cannot be surrendered because it has been lost, stolen, destroyed
      or
      mutilated, the transferor shall comply with the requirements imposed by the
      Board of Directors as set forth in Section 4 of this Article VI in lieu of
      surrendering a properly endorsed certificate. Upon satisfactory completion
      by
      the transferor of the requirements set forth in this Section 2, all certificates
      for the transferred shares shall be cancelled, new certificates representing
      the
      transferred shares (or evidence of the transferee’s ownership of the transferred
      shares in uncertificated form) shall be delivered to the transferee, and the
      transaction shall be recorded on the stock transfer ledger of the Corporation.
      The person in whose name shares are registered on the stock transfer ledger
      of
      the Corporation shall be deemed the owner thereof for all purposes as regards
      the Corporation; provided, however, that whenever any transfer of shares shall
      be made for collateral security and not absolutely, and written notice thereof
      shall be given to the Secretary or to such transfer agent, such fact shall
      be
      stated in the entry of the transfer. No transfer of shares shall be valid as
      against the Corporation, its stockholders and creditors for any purpose, except
      to render the transferee liable for the debts of the Corporation to the extent
      provided by law, until it shall have been entered in the stock transfer ledger
      of the Corporation by an entry showing from and to whom
      transferred.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    SECTION
      3.
      Registered
      Stockholders and Addresses of Stockholders.
      The
      Corporation shall be entitled to recognize the person registered on its records
      as the owner of shares of stock (whether or not represented by a certificate)
      as
      the absolute owner of the shares and the person exclusively entitled to receive
      notices, dividends and distributions, to vote, and to otherwise exercise the
      rights, powers and privileges of ownership of such shares, shall be entitled
      to
      hold such person liable for calls and assessments, and shall not be bound to
      recognize any equitable or other claim to or interest in such share or shares
      of
      stock on the part of any other person, whether or not it shall have express
      or
      other notice thereof, except as otherwise provided by the Delaware General
      Corporation Law.

     

    Each
      stockholder shall designate to the Secretary or transfer agent of the
      Corporation an address, or, if applicable, an electronic mail address or
      facsimile number, to which notices of meetings and all other corporate notices
      may be sent to such person, and, if any stockholder shall fail to designate
      such
      address or delivery information, corporate notices may be served upon such
      person by mail directed to such person at such person’s post office address, if
      any, as the same appears on the stock record books of the Corporation or at
      such
      person’s last known post office address. 

     

    SECTION
      4.
      Lost,
      Stolen, Destroyed and Mutilated Certificates.
      The
      holder of any share of stock of the Corporation shall immediately notify the
      Corporation of any loss, theft, destruction or mutilation of the certificate
      therefor the Corporation may issue to such holder a new certificate or
      certificates for shares (or evidence of the holder’s ownership of such shares in
      uncertificated form), upon the surrender of the mutilated certificate or, in
      the
      case of loss, theft or destruction of the certificate, upon satisfactory proof
      of such loss, theft or destruction; the Board, or a committee designated
      thereby, or the transfer agents and registrars for the stock, may, in their
      discretion, require the owner of the lost, stolen or destroyed certificate,
      or
      such person’s legal representative, to give the Corporation a bond in such sum
      and with such surety or sureties as they may direct to indemnify the Corporation
      and said transfer agents and registrars against any claim that may be made
      on
      account of the alleged loss, theft or destruction of any such certificate or
      the
      issuance of such new certificate (or stock transfer ledger entry of the holder’s
      ownership of such shares in uncertificated form).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    SECTION
      5.
      Transfer
      Agents and Registrars; Regulations.
      The
      Board may appoint, or authorize any officer or officers to appoint, one or
      more
      transfer agents and one or more registrars. The Board may make, and may
      authorize such agent(s) and registrar(s) to make, such additional rules as
      it or
      they may deem expedient concerning the issue, transfer and registration of
      shares of stock of each class of the Corporation, and may make such rules and
      take such action as it may deem expedient concerning the issue of certificates
      (or stock transfer ledger entry of the holder’s ownership of such shares in
      uncertificated form) in lieu of certificates claimed to have been lost,
      destroyed, stolen or mutilated, whether or not such shares are represented
      by
      certificates. No certificates for shares of stock of the Corporation in respect
      of which a transfer agent and registrar shall have been designated, shall be
      valid unless countersigned by such transfer agent and registered by such
      registrar. 

     

    SECTION
      6.
      Fixing
      Date for Determination of Stockholders of Record.
      In
      order that the Corporation may determine the stockholders entitled to notice
      of
      or to vote at any meeting of stockholders or any adjournment thereof, or
      entitled to receive payment of any dividend or other distribution or allotment
      or any rights, or entitled to exercise any rights in respect of any change,
      conversion or exchange of stock or for the purpose of any other lawful action,
      the Board may fix, in advance, a record date, which shall not be more than
      60
      nor less than 10 days before the date of such meeting, nor more than 60 days
      prior to any other action. A determination of stockholders entitled to notice
      of
      or to vote at a meeting of the stockholders shall apply to any adjournment
      of
      the meeting; provided, however, that the Board may fix a new record date for
      the
      adjourned meeting.EXHIBIT
      10.21

    

    Description
      of Director and Named Executive Officer Compensation*

    

    Directors

    

    Directors
      who are also employees of either the Holding Company or Finlay Jewelry receive
      no additional compensation for serving as members of the Board.

     

    For
      serving as a director of the Holding Company and Finlay Jewelry during 2007,
      each non-employee director received aggregate compensation at the rate of
      $25,000 per year plus $1,000 for each Board meeting and each committee meeting
      attended in person, and $500 for each such meeting attended by conference
      telephone call, with the chairman of the Audit Committee receiving an additional
      annual fee of $6,000 and the chairman of the Compensation Committee and the
      chairman of the Nominating & Corporate Governance Committee each receiving
      an additional annual fee of $3,000. Beginning in 2007, the Lead Independent
      Director also receives an additional annual fee of $25,000.

     

    Non-employee
      directors of the Holding Company and Finlay Jewelry will receive compensation
      for Board service under the same arrangements for fiscal 2008. 

     

    Each
      non-employee director has the option, under the Holding Company’s Director
      Deferred Compensation and Stock Purchase Plan (the “Director Deferred
      Compensation Plan”), to defer 100% of his or her eligible director fees (which
      are annual retainer fees plus any annual fees received by a participant for
      services as chairperson of any committee of the Board of Directors, other than
      the Lead Independent Director’s annual fee) that would otherwise be paid in cash
      and receive restricted stock units (“RSUs”). The participant RSUs are awarded
      and credited to the director participant’s account quarterly in an amount based
      on a formula which divides the cash amount deferred by the fair market value
      of
      a share of Common Stock on the award date, and are immediately vested. The
      Holding Company also credits the participant’s account with one matching RSU,
      which vests on the one-year anniversary date of the award date, for each
      participant RSU purchased by the director. 

     

    Named
      Executive Officers

    

    The
      following table sets forth the annual base salaries of the Chief Executive
      Officer and the four other most highly compensated executive officers of the
      Holding Company for fiscal 2008, and the target bonus for each such executive
      officer. 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	 	 	
              Base Salary

            	 	
              Target Bonus %

            	 
	
              Arthur
                E. Reiner

              Chairman,
                President and Chief Executive Officer of the Holding Company and
                Chairman
                and Chief Executive Officer of Finlay Jewelry

            	 	
              
              

              
              

              $

            	
              
              

              
              

              1,005,000

            	 	 	
              
              

              
              

              100

            	
              
              

              
              

              %

            
	 	 	 	 	 	 	 	 
	
              Bruce
                E. Zurlnick

              Senior
                Vice President, Treasurer and Chief Financial Officer of the Holding
                Company and Finlay Jewelry

            	 	
              
              

              
              

              $

            	
              
              

              
              

              310,000

            	 	 	
              
              

              
              

              60

            	
              
              

              
              

              %

            
	 	 	 	 	 	 	 	 
	
              Joseph
                M. Melvin

              Executive
                Vice President, and Chief Operating Officer of the Holding Company
                and
                President and Chief Operating Officer of Finlay
                Jewelry

            	 	
              
              

              
              

              $

            	
              
              

              
              

              452,056

            	 	 	
              
              

              
              

              60

            	
              
              

              
              

              %

            
	 	 	 	 	 	 	 	 
	
              Leslie
                A. Philip

              Executive
                Vice President, and Chief Merchandising Officer of the Holding Company
                and
                Finlay Jewelry

            	 	
              
              

              
              

              $

            	
              
              

              
              

              471,690

            	 	 	
              
              

              
              

              60

            	
              
              

              
              

              %

            
	 	 	 	 	 	 	 	 
	
              Edward
                J. Stein

              Senior
                Vice President and Director of Stores of Finlay
                Jewelry

            	 	
              
              

              $

            	
              
              

              390,056

            	 	 	
              
              

              60

            	
              
              

              %

            

    

    

    Pursuant
      to the terms of his employment agreement, Mr. Reiner is also entitled to certain
      stock compensation.

    

    The
      executive officers named above are also eligible to receive those benefits
      available to all of Finlay Jewelry's senior officers, including
      performance-based cash bonuses, the ability to participate in the Holding
      Company's Executive Deferred Compensation and Stock Purchase Plan, supplemental
      executive medical benefits, company-paid group life insurance (other than for
      Mr. Reiner who is entitled to key man life insurance under the terms of his
      employment agreement), as well as various other benefits available to all
      full-time employees of Finlay Jewelry including, but not limited to, paid
      vacation time, participation in the Holding Company's 401(k) plan and
      short-term

    disability
      benefits. 

    

    *References
      herein to Holding Company are intended to refer to Finlay Enterprises, Inc.
      and
      references herein to Finlay Jewelry are intended to refer to Finlay Fine Jewelry
      Corporation.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00140-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00140-of-00352.parquet"}]]