Document:

<PAGE>

Exhibit 4(c)

                             INTERCREDITOR AGREEMENT

                          Dated as of November 30, 2001

                                  by and among

                              JPMORGAN CHASE BANK,

                               as a Funding Agent

                            THE BANK OF NOVA SCOTIA,

             as a Funding Agent and as Receivables Collateral Agent

                              JPMORGAN CHASE BANK,

                                 as Lender Agent

                           U.S. STEEL RECEIVABLES LLC,

                                 as Transferor,

                                       and

                            UNITED STATES STEEL LLC,

               as Originator, as Initial Servicer and as Borrower
<PAGE>

          This INTERCREDITOR AGREEMENT dated as of November 30, 2001 (as
modified, amended, restated or supplemented from time to time, this
"Agreement"), by and among JPMORGAN CHASE BANK, in its capacity as a funding
agent under the Receivables Purchase Agreement (as hereinafter defined) (a
"Funding Agent"), THE BANK OF NOVA SCOTIA, in its capacity as a funding agent
under the Receivables Purchase Agreement (as hereinafter defined) (a "Funding
Agent" and, together with the other Funding Agents, the "Funding Agents") and in
its capacity as Collateral Agent under the Receivables Purchase Agreement (as
hereinafter defined) (the "Receivables Collateral Agent"), JPMORGAN CHASE BANK,
in its capacity as Collateral Agent on behalf of the Lenders (as defined below)
(the "Lender Agent"), U.S. STEEL RECEIVABLES LLC (the "Transferor"), and UNITED
STATES STEEL LLC ("USS").

                                    RECITALS:

          A. USS has agreed to sell, transfer and assign to the Transferor, and
the Transferor has agreed to purchase or otherwise acquire from USS and the
various entities that are from time to time Originators under (and as defined
in) the Purchase and Sale Agreement (collectively, together with USS in its
capacity as an Originator under (and as defined in) the Purchase and Sale
Agreement, the "Originators") all of the right, title and interest of the
Originators in the Receivables (as hereinafter defined) pursuant to a Purchase
and Sale Agreement dated as of November 28, 2001 (as amended, supplemented,
modified or restated from time to time, the "Purchase and Sale Agreement").

          B. The Transferor, as seller, USS, in its capacity as initial
servicer, the Receivables Collateral Agent, the Funding Agents and the
Receivables Purchasers (as defined below) are parties to an Amended and Restated
Receivables Purchase Agreement dated as of November 28, 2001 (as amended,
supplemented, modified or restated from time to time, the "Receivables Purchase
Agreement") pursuant to which, among other things, (i) the Receivables
Purchasers have agreed, among other things, to purchase from the Transferor from
time to time Receivables (or interests therein) purchased by or contributed to
the Transferor pursuant to the Purchase and Sale Agreement and (ii) the
Transferor has granted a lien on the Receivables to the Receivables Collateral
Agent.

          C. The Purchase and Sale Agreement and the Receivables Purchase
Agreement provide for the filing of UCC financing statements to perfect the
ownership and security interest of the parties thereto with respect to the
property covered thereby.

          D. USS, the Lender Agent and the financial institutions from time to
time party thereto (collectively, the "Lenders") are parties to a Credit
Agreement dated as of November 30, 2001 (as amended, supplemented, modified or
restated from time to time, the "Credit Agreement"). Capitalized terms used but
not defined herein shall have the meaning ascribed thereto in the Credit
Agreement.

          E. To secure USS's obligations to the Lenders and Lender Agent under
the Credit Agreement and other Loan Documents (as hereinafter defined), USS has
granted to the Lender Agent for the benefit of the Lender Agent and the Lenders
a lien over, among other
<PAGE>

things, certain accounts receivable and certain general intangibles, including
the Unsold Receivables (as hereinafter defined), certain inventory and all
proceeds of the foregoing.

          F. The parties hereto wish to set forth certain agreements with
respect to the Receivables Assets (as hereinafter defined) and with respect to
the Collateral (as hereinafter defined).

          NOW, THEREFORE, in consideration of the foregoing premises and the
mutual covenants contained herein, and for other good and valuable
consideration, receipt of which is hereby acknowledged, it is hereby agreed as
follows:

                            ARTICLE 1. DEFINITIONS.

          1.1. Certain Defined Terms. As used in this Agreement, the following
               ---------------------
terms shall have the following meanings (such meanings to be equally applicable
to both the singular and plural forms of the terms defined):

          "Business Day" means any day that is not a Saturday, Sunday or other
day on which commercial banks in New York City are authorized or required by law
to remain closed.

          "Claim" means the Lender Claim or the Receivables Claim, as
applicable.

          "Collateral" means all property and interests in property, now owned
or hereafter acquired or created, of USS in or upon which a Lender Interest is
granted or purported to be granted by USS to the Lenders or the Lender Agent
under any of the Loan Documents.

          "Collections" means, for any Receivable as of any date, (i) all
amounts, whether in the form of wire transfer, cash, checks, drafts, or other
instruments, that are received by the Transferor, USS (in its capacity as
Servicer under (and as defined in) the Receivables Purchase Agreement) or any
Originator in payment of amounts owed in respect of such Receivable (including
purchase price, finance charges, interest and other charges), or applied to any
amount owed by an Obligor on account of such Receivable, including, without
limitation, all amounts received on account of such Receivable (including
insurance payments and net proceeds of the sale or disposition of repossessed
goods or other collateral or property of an Obligor on account of such
Receivable) and all other fees and charges related thereto, (ii) cash proceeds
of Returned Goods with respect to such Receivable and (iii) all amounts paid by
USS in respect of such Receivable pursuant to the Purchase and Sale Agreement
and/or the Receivables Purchase Agreement.

          "Contract" has the meaning ascribed to such term in the Receivables
Purchase Agreement.

          "Disposition" means, with respect to any assets of USS, any
liquidation of USS or its assets, the establishment of any receivership for USS
or its assets, a bankruptcy proceeding of USS (either voluntary or involuntary),
the payment of any insurance, condemnation, confiscation, seizure or other claim
upon the condemnation, confiscation, seizure, loss or destruction thereof, or
damage to, or any other sale, transfer, assignment or other disposition of such
assets.

                                       2
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          "Eligible Transferee" has the meaning ascribed to such term in the
Security Agreement.

          "Enforcement" means collectively or individually, for (a) any of the
Receivables Collateral Agent, the Funding Agents or the Receivables Purchasers
to (i) declare the Facility Termination Date under the Receivables Documents or
(ii) commence the judicial or nonjudicial enforcement of any of the default
rights and remedies under the Receivables Documents and (b) any of the Lender
Agent or the Lenders during the continuance of a Lender Event of Default (i) to
demand payment in full of or accelerate the indebtedness of the Borrower to the
Lenders and Lender Agent or (ii) to commence the judicial or nonjudicial
enforcement of any of the default rights and remedies under the Loan Documents.

          "Enforcement Notice" means a written notice delivered in accordance
with Section 2.5 which notice shall (i) if delivered by the Receivables
     -----------
Collateral Agent, state that the Facility Termination Date has occurred, specify
the nature of the Termination Event that has caused the declaration of such
Facility Termination Date, and state that an Enforcement Period has commenced
and (ii) if delivered by the Lender Agent, state that a Lender Event of Default
has occurred and that the payment in full of the Lender Claim has been demanded
or the indebtedness of the Borrower to the Lenders has been accelerated, specify
the nature of the Lender Event of Default that caused such demand and
acceleration, and state that an Enforcement Period has commenced.

          "Enforcement Period" means the period of time following the receipt by
either the Lender Agent, on the one hand, or the Receivables Collateral Agent,
on the other, of an Enforcement Notice delivered by any of the others until the
earliest of the following: (1) the Receivables Claim has been satisfied in full,
none of the Receivables Purchasers have any further obligations under the
Receivables Documents and the Receivables Documents have been terminated; (2)
the Lender Claim has been satisfied in full, the Lenders have no further
obligations under the Loan Documents and the Loan Documents have been
terminated; and (3) the parties hereto agree in writing to terminate the
Enforcement Period.

          "Facility Termination Date" has the meaning ascribed to such term in
the Receivables Purchase Agreement.

          "Lenders" shall mean the Lenders under the Credit Agreement, the
Administrative Agent, the Collateral Agent, the Documentation Agent, the
Co-Collateral Agent and each other Secured Party (as defined in the Security
Agreement).

          "Lender Claim" means all of the indebtedness, obligations and other
liabilities of USS now or hereafter arising under, or in connection with, the
Loan Documents including, but not limited to, all sums now or hereafter loaned
or advanced to or for the benefit of USS, all reimbursement obligations of USS
with respect to letters of credit, any interest thereon (including, without
limitation, interest accruing after the commencement of a bankruptcy, insolvency
or similar proceeding relating to USS, whether or not such interest is an
allowed claim in any such proceeding), any reimbursement obligations, fees or
expenses due thereunder, and any costs of collection or enforcement.

                                       3
<PAGE>

          "Lender Collateral" means all Collateral which does not constitute
Receivables Assets.

          "Lender Event of Default" has the meaning ascribed to the term "Event
of Default" in the Credit Agreement.

          "Lender Interest" means, with respect to any property or interest in
property, now owned or hereafter acquired or created, of USS, any lien, claim,
encumbrance, security interest or other interest of the Lender Agent or the
Lenders in such property or interests in property.

          "Loan Documents" has the meaning ascribed to such term in the Credit
Agreement.

          "Obligor" has the meaning ascribed to such term in the Purchase and
Sale Agreement.

          "Outstanding Balance" has the meaning ascribed to such term in the
Receivables Purchase Agreement.

          "Person" means any individual, partnership, corporation (including a
business trust), joint stock company, limited liability company, trust,
unincorporated association, joint venture or other entity.

          "Proceeds" has the meaning ascribed to such term in the UCC.

          "Purchased Receivables" means now owned or hereafter existing
Receivables sold, purported to be sold, transferred or contributed or purported
to be transferred or contributed by any Originator to the Transferor or another
Eligible Transferee under the Purchase and Sale Agreement in connection with the
Effective Date Receivables Financing.

          "Receivable" means:

          (a) indebtedness and other obligations of, or the right of the
Transferor or any Originator to payment from or on behalf of, an Obligor
(whether constituting an account, chattel, paper, document, instrument or
general intangible) arising from the provision of merchandise, goods or services
to such Obligor, including all monies due or to become due with respect thereto,
including the right to payment of any interest or finance charges and other
obligations of such Obligor with respect thereto;

          (b) all security interests or liens and property subject thereto from
time to time securing or purporting to secure any such indebtedness by such
Obligor;

          (c) all guarantees, indemnities and warranties, insurance policies,
financing statements and other agreements or arrangements of whatever character
from time to time supporting or securing payment of any such indebtedness;

          (d) all Collections with respect to any of the foregoing;

                                       4
<PAGE>

          (e) all Records with respect to any of the foregoing; and

          (f) all Proceeds with respect to any of the foregoing.

          "Receivables Assets" means (i) the Purchased Receivables, (ii) the
Collections related to such Purchased Receivables, (iii) Returned Goods relating
to such Purchased Receivables, (iv) with respect to such Purchased Receivables,
all rights, interest and claims of the Transferor under the Purchase and Sale
Agreement in respect of such Purchased Receivables, (v) each deposit or other
bank account to which any Collections of such Purchased Receivables are
deposited (but in no event shall Receivables Assets include any Collections or
other monies deposited in such accounts which are not Collections related to
Purchased Receivables) and (vi) all Proceeds with respect to any of the
foregoing.

          "Receivables Claim" means all indebtedness, obligations and other
liabilities of the Originators to the Transferor and of the Originators and the
Transferor to the Receivables Purchasers, the Receivables Collateral Agent
and/or the Funding Agents now or hereafter arising under, or in connection with,
the Receivables Documents, including, but not limited to, all sums or increases
now or hereafter advanced or made to or for the benefit of the Transferor
thereunder as the purchase price paid for Purchased Receivables (or interests
therein) or otherwise under the Receivables Purchase Agreement, any yield
thereon (including, without limitation, yield accruing after the commencement of
a bankruptcy, insolvency or similar proceeding relating to USS or the
Transferor, whether or not such yield is an allowed claim in any such
proceeding), any repayment obligations, fees or expenses due thereunder, and any
costs of collection or enforcement.

          "Receivables Documents" means the Purchase and Sale Agreement, the
Receivables Purchase Agreement and any other agreements, instruments or
documents (i) executed by the Originators and delivered to the Transferor, the
Funding Agents, the Receivables Collateral Agent or the Receivables Purchasers
or (ii) executed by the Transferor and delivered to the Funding Agents, the
Receivables Collateral Agent or the Receivables Purchasers.

          "Receivables Interest" means, with respect to any property or
interests in property, now owned or hereafter acquired or created, of any
Originator (regardless of whether sold or contributed by such Originator to the
Transferor), any lien, claim, encumbrance, security interest or other interest
of the Transferor and/or the Receivables Collateral Agent, the Funding Agents or
any Receivables Purchaser in such property or interests in property.

          "Receivables Purchaser" means each Person from time to time party to
the Receivables Purchase Agreement in the capacity of a "CP Conduit Purchaser"
or a "Committed Purchaser" (in each case, as defined in the Receivables Purchase
Agreement).

          "Receivables Termination Notice" has the meaning set forth in Section
2.19.

          "Records" means all Contracts and other documents, books, records and
other information (including computer programs, tapes, disks, data processing
software and related property and rights) maintained with respect to
Receivables, the Obligors thereunder and the Receivables Assets.

                                       5
<PAGE>

          "Returned Goods" means all right, title and interest of any
Originator, the Transferor, the Receivables Collateral Agent or any Receivables
Purchaser, as applicable, in and to returned, repossessed or foreclosed goods
and/or merchandise the sale of which gave rise to a Receivable.

          "Termination Event" has the meaning ascribed to such term in the
Receivables Purchase Agreement.

          "UCC" means the Uniform Commercial Code as from time to time in effect
in the State of New York.

          "Unsold Receivables" means any Receivables other than Purchased
Receivables.

          1.2. References to Terms Defined in the Receivables Documents and the
          ---------------------------------------------------------------------
Loan Documents. Whenever in Section 1.1 a term is defined by reference to the
--------------              -----------
meaning ascribed to such term in any of the Receivables Documents or in any of
the Loan Documents, then, unless otherwise specified herein, such term shall
have the meaning ascribed to such term in the Receivables Documents or Loan
Documents, respectively, as in existence on the date hereof, without giving
effect to any amendments of such term (or any amendment of terms used in such
term) as may hereafter be agreed to by the parties to such documents, unless
such amendments have been consented to in writing by all of the parties hereto.

                      ARTICLE 2. INTERCREDITOR PROVISIONS.

          2.1. Priorities with Respect to Receivables Assets. Notwithstanding
               ---------------------------------------------
any provision of the UCC, any applicable law or decision or any of the Loan
Documents or the Receivables Documents, the Lender Agent (for itself and on
behalf of each Lender) hereby agrees that, upon the sale or other transfer
(including, without limitation, by way of capital contribution) of any
Receivable (or interest therein) by an Originator to the Transferor pursuant to
the Purchase and Sale Agreement, any Lender Interest of the Lenders or the
Lender Agent in such Receivables and all Receivables Assets with respect thereto
shall automatically and without further action cease and be forever released and
discharged and the Lender Agent and the Lenders shall have no Lender Interest
therein; provided, however, that nothing in this Section 2.1 shall be deemed to
         --------  -------                       -----------
constitute a release by the Lender Agent and the Lenders of: (i) any Lender
Interest in the proceeds received by USS from the Transferor for the sale of
Receivables pursuant to the Purchase and Sale Agreement (including, without
limitation, cash payments made by the Transferor); (ii) any Lender Interest or
right of the Lender Agent and the Lenders in any interests which USS may acquire
from the Transferor and/or the Receivables Collateral Agent or the Funding
Agents have in Returned Goods; and (iii) any Lender Interest or right the
Lenders or the Lender Agent have in any Unsold Receivables and the proceeds
thereof; provided further, however, that any Lender Interest in such Returned
         ----------------  -------
Goods shall be junior and subject and subordinate to the Receivables Interest
therein unless and until each of USS and the Transferor shall have made all
payments or adjustments required to be made by it under the Receivables
Documents on account of the reduction of the outstanding balance of any
Purchased Receivable related to such Returned Goods. If any goods or
merchandise, the sale of which has given rise to a Purchased Receivable, are
returned to or repossessed by USS, on behalf of the Transferor, then, upon
payment by USS or the Transferor of all adjustments required on account thereof
under the

                                       6
<PAGE>

Receivables Purchase Agreement, the Receivables Interest in such Returned Goods
shall automatically and without further action cease to exist and be released
and extinguished and such Returned Goods shall thereafter not constitute
Receivables Assets for purposes of this Agreement unless and until such Returned
Goods have been resold so as to give rise to a Receivable and such Receivable
has been sold, contributed or otherwise transferred to the Transferor.

          2.2. Respective Interests in Receivables Assets and Lender Collateral.
               ----------------------------------------------------------------

          (a) Except for all rights to access to and use of Records granted to
the Receivables Collateral Agent and the Receivables Purchasers pursuant to the
Receivables Documents and except for the Receivables Interest of the Receivables
Collateral Agent (for the benefit of the Funding Agents and Receivables
Purchasers) in Returned Goods, which interest is senior in all respects to any
Lender Interest therein subject to Section 2.1, each of the Transferor and the
Receivables Collateral Agent (for itself and on behalf of each Receivables
Purchaser) agrees that it does not have and shall not have any Receivables
Interest in the Lender Collateral. Each of the Transferor and the Receivables
Collateral Agent (for itself and on behalf of each Receivables Purchaser) agrees
that it shall not request or accept, directly or indirectly (by assignment or
otherwise) from USS any collateral security for payment of any Receivables
Claims (other than any such collateral security included in the Receivables
Assets and the right of access to and use of Records granted to the Receivables
Collateral Agent and the Receivables Purchasers pursuant to the Receivables
Documents) and hereby releases any Receivables Interest in any such collateral
security.

          (b) Except for rights in Returned Goods granted to the Lender Agent
and the Lenders pursuant to the Loan Documents, which Lender Interest is junior
and subordinate to any Receivables Interest therein, the Lender Agent (for
itself and on behalf of each Lender) agrees that neither the Lender Agent nor
the Lenders have, nor shall they have, any Lender Interest in the Receivables
Assets.

          2.3. Distribution of Proceeds. At all times, all proceeds of Lender
               ------------------------
Collateral and Receivables Assets shall be distributed in accordance with the
following procedure:

          (a) (i) All proceeds of the Lender Collateral shall be paid to the
Lender Agent for application on the Lender Claim and other obligations and
liabilities owing under the Credit Agreement and other Loan Documents until the
Lender Claim and such other obligations and liabilities have been paid and
satisfied in full in cash and the Credit Agreement is terminated; and (ii) any
remaining proceeds shall be paid to USS or as otherwise required by applicable
law, and the Transferor and the Receivables Collateral Agent (for itself and on
behalf of each Receivables Purchaser) agrees that none of the Transferor, the
Receivables Collateral Agent or the Receivables Purchasers have, nor shall they
have, any Receivables Interest in such remaining proceeds. The foregoing shall
not, however, impair any claim or any right or remedy which the Transferor, the
Receivables Collateral Agent, the Funding Agents or the Receivables Purchasers
may have against USS under the Receivables Documents or otherwise.

          (b) (i) All proceeds of the Receivables Assets shall be paid to the
Receivables Collateral Agent for application against the Receivables Claim and
for application in accordance

                                       7
<PAGE>

with the Receivables Documents until the Receivables Claim has been paid and
satisfied in full in cash and the Receivables Documents have terminated; and
(ii) subject to Section 2.1 hereof, any remaining proceeds shall be paid to the
Transferor or as otherwise required by applicable law. The Lender Agent (for
itself and on behalf of each Lender) agrees that, except as set forth in Section
2.1 hereof, neither the Lender Agent nor the Lenders have, nor shall they have,
any Lender Interest in such remaining proceeds. The foregoing shall not,
however, impair any claim or any right or remedy which the Lender Agent or the
Lenders may have against USS under the Loan Documents or otherwise.

          (c) In the event that any of the Transferor, the Receivables
Collateral Agent or the Receivables Purchasers now or hereafter obtains
possession of any Lender Collateral, it shall immediately deliver to the Lender
Agent such Lender Collateral (and until delivered to the Lender Agent such
Lender Collateral shall be held in trust for the Lender Agent). Each of the
Transferor, the Receivables Collateral Agent (for itself and on behalf of each
Receivables Purchaser) further agrees to immediately turn over the proceeds of
any Disposition of Lender Collateral which it (or any Receivables Purchaser)
might receive while any Lender Claim, any other obligations or liabilities under
the Credit Agreement, any Loan Document or any commitment to make financial
accommodations thereunder remain outstanding, regardless of whether the Lender
Agent has a perfected and enforceable lien in the assets of USS from which the
proceeds of any such Disposition have been received.

          (d) In the event that the Borrower, the Lenders or the Lender Agent
now or hereafter obtains possession of any Receivables Assets, it shall
immediately deliver to the Receivables Collateral Agent such Receivables Assets
(and until delivered to the Receivables Collateral Agent such Receivables Assets
shall be held in trust for the Receivables Collateral Agent). The Borrower and
the Lender Agent (for itself and on behalf of each Lender) further agrees to
immediately turn over the proceeds of any Disposition of Receivables Assets to
the Receivables Collateral Agent which it (or any Lender) might receive while
any Receivables Claim, any other obligations or liabilities under the
Receivables Documents or any commitment to make financial accommodations
thereunder remain outstanding, regardless of whether the Receivables Collateral
Agent has a perfected and enforceable lien in the assets from which the proceeds
of such Disposition have been received.

          (e) USS agrees to keep all Returned Goods segregated from Inventory.
If any Inventory of USS has been commingled with Returned Goods in which the
Receivables Interest continues as provided in Section 2.1 above, and the Lender
                                              -----------
Agent or any Lender receives any proceeds on account of such inventory (whether
by reason of sale or by reason of insurance payments on account thereof) prior
to release of such Receivables Interest, then: (i) all proceeds of such
inventory shall be paid to the Lender Agent and the Lender Agent shall,
immediately upon receipt of such proceeds, pay to the Receivables Collateral
Agent for application against the Receivables Claim a share of such proceeds
equal to the dollar amount thereof multiplied by a fraction, the numerator of
                                   -------------
which equals the book value of the Returned Goods and the denominator of which
equals the book value of all of the inventory on account of which the Lender
Agent has received such cash proceeds; and (ii) any remaining proceeds shall be
paid to the Lender Agent for application against the Lender Claim.

                                       8
<PAGE>

          2.4. Unsold Receivables.
               ------------------

          (a) The Transferor and the Receivables Collateral Agent (for itself
and on behalf of each Receivables Purchaser) hereby acknowledge that the Lender
Agent on behalf of the Lenders and itself shall be entitled to Collections of
Unsold Receivables.

          (b) Each of the parties hereto hereby agrees that all Collections
received on account of Receivables Assets shall be paid or delivered to the
Receivables Collateral Agent for application in accordance with Section 2.3(b)
                                                                --------------
and all Collections received on account of Unsold Receivables shall be paid or
delivered to the Lender Agent for application in accordance with Section 2.3(a).
                                                                 --------------

          (c) The Lender Agent agrees that it shall not exercise any rights it
may have under the Loan Documents to send any notices to Obligors informing them
of the Lenders' interest (if any) in the Receivables or directing such Obligors
to make payments in any particular manner of any amounts due under the
Receivables prior to the latest of payment in full of the Receivables Claim and
the termination of the Receivables Documents, except that, from and after any
date on which (x) a Receivables Termination Notice has been delivered pursuant
to Section 2.19, (y) the termination and cessation of transfers of Receivables
is required to be effective under the terms of Section 2.19 and (z) the
Receivables Claim has been paid in full or the Purchased Receivables giving rise
to any unpaid Receivables Claim have been written off in accordance with their
terms, the Lender Agent may inform any Obligors of Unsold Receivables that such
Unsold Receivables have been assigned to the Lender Agent so long as such
notices do not under any circumstances direct that payments on account of such
Unsold Receivables be made to any location or account to which payments on
account of Purchased Receivables are required to be made pursuant to the terms
of the Receivables Documents.

          2.5. Enforcement Actions. Each of the Lender Agent and the Receivables
               -------------------
Collateral Agent agrees to use reasonable efforts to give an Enforcement Notice
to the others prior to commencement of Enforcement (but failure to do so shall
not prevent such Person from commencing Enforcement or affect its rights
hereunder nor create any cause of action or liability against such Person).
Subject to the foregoing, each of the parties hereto agrees that during an
Enforcement Period:

          (a) Subject to any applicable restrictions in the Receivables
     Documents, the Receivables Collateral Agent may at its option and without
     the prior consent of the other parties hereto, take any action to (i)
     accelerate payment of the Receivables Claim or any other obligations and
     liabilities under any of the Receivables Documents and (ii) liquidate the
     Receivables Assets or to foreclose or realize upon or enforce any of its
     rights with respect to the Receivables Assets; provided, however, that the
                                                    --------
     Receivables Collateral Agent shall not take any action to foreclose or
     realize upon or to enforce any rights it may have with respect to any
     Receivables Assets constituting Returned Goods which have been commingled
     with the Lender Collateral without the prior written consent of the Lender
     Agent.

          (b) Subject to any applicable restrictions in the Loan Documents, the
     Lender Agent or the Lenders may, at their option and without the prior
     consent of the other

                                       9
<PAGE>

     parties hereto, take any action to accelerate payment of the Lender Claim
     or any other obligation or liability arising under any of the Loan
     Documents, foreclose or realize upon or enforce any of their rights with
     respect to the Lender Collateral or other collateral security, including,
     except as otherwise provided in Section 2.3(e), with respect to any
                                     --------------
     Receivables Assets constituting Returned Goods that have been commingled
     with the Lender Collateral, or take any other actions as they deem
     appropriate; provided, however, that the Lender Agent shall not otherwise
                  --------  -------
     take any action to foreclose or realize upon or to enforce any rights it
     may have with respect to uncommingled Returned Goods without the
     Receivables Collateral Agent's prior written consent unless the Receivables
     Claim or any other obligation or liability arising under any of the
     Receivables Documents shall have been first paid and satisfied in full and
     the Receivables Documents have terminated.

          (c) If Returned Goods are commingled with Inventory, the parties agree
     to cooperate in the disposition of such Returned Goods and Inventory and
     the application of the proceeds thereof as provided in Section 2.3(e).
                                                            --------------

          2.6. Access to Records. Subject to any applicable restrictions in the
               -----------------
Receivables Documents (but without limiting any rights under the Receivables
Documents), each of the Receivables Purchasers, the Funding Agents and the
Receivables Collateral Agent may enter one or more premises of USS, the
Transferor or their respective affiliates, whether leased or owned, at any time
during reasonable business hours, without force or process of law and without
obligation to pay rent or compensation to USS, the Transferor, such affiliates,
the Lenders or the Lender Agent, whether before, during or after an Enforcement
Period, and may have access to and use of all Records located thereon and may
have access to and use of any other property to which such access and use are
granted under the Receivables Documents, in each case provided that such use is
for the purpose of enforcing the Receivables Collateral Agent's, Funding Agent's
and/or the Receivables Purchasers' rights with respect to the Receivables
Assets.

          2.7. Accountings. The Lender Agent agrees to render statements to the
               -----------
Receivables Collateral Agent upon reasonable request, which statements shall
identify in reasonable detail the Unsold Receivables and shall render an account
of the Lender Claim, giving effect to the application of proceeds of Lender
Collateral as hereinbefore provided. USS agrees to render statements to the
Lender Agent upon reasonable request, which statements shall identify in
reasonable detail the Purchased Receivables and shall render an account of the
Receivables Claim, giving effect to the application of proceeds of Receivables
Assets and Collateral as hereinbefore provided ; provided that the Receivables
Collateral Agent agrees to render such statements to the Lender Agent upon
reasonable request from and after the date (if any) on which USS has ceased to
be the Servicer under (and as defined in) the Receivables Purchase Agreement.
USS and the Transferor hereby authorize the Lender Agent and the Receivables
Collateral Agent to provide the statements described in this section. None of
the Lender Agent, USS or the Receivables Collateral Agent shall bear any
liability if their respective accounts are incorrect.

          2.8. Agency for Perfection. The Receivables Collateral Agent and the
               ---------------------
Lender Agent hereby appoint each other as agent for purposes of perfecting by
possession their respective security interests and ownership interests and liens
on the Collateral and Receivables

                                       10
<PAGE>

Assets described hereunder. In the event that the Receivables Collateral Agent
obtains possession of any of the Lender Collateral, the Receivables Collateral
Agent shall notify the Lender Agent of such fact, shall hold such Lender
Collateral in trust and shall deliver such Lender Collateral to the Lender Agent
upon request. In the event that the Lender Agent obtains possession of any of
the Receivables Assets, the Lender Agent shall notify the Receivables Collateral
Agent of such fact, shall hold such Receivables Assets in trust and shall
deliver such Receivables Assets to the Receivables Collateral Agent upon
request.

          2.9. UCC Notices. In the event that any party hereto shall be required
               -----------
by the UCC or any other applicable law to give notice to the other of intended
disposition of Receivables Assets or Lender Collateral, respectively, such
notice shall be given in accordance with Section 3.1 hereof and ten (10) days'
                                         -----------
notice shall be deemed to be commercially reasonable.

          2.10. Independent Credit Investigations. Neither the Receivables
                ---------------------------------
Purchasers, the Receivables Collateral Agent, the Lender Agent nor the Lenders
nor any of their respective directors, officers, agents or employees shall be
responsible to the other or to any other person, firm or corporation for the
solvency, financial condition or ability of USS, any other Originator or the
Transferor to repay the Receivables Claim or the Lender Claim, or for the worth
of the Receivables Assets or the Lender Collateral, or for statements of USS,
any other Originator, the Transferor or the Borrower, oral or written, or for
the validity, sufficiency or enforceability of the Receivables Claim, the Lender
Claim, the Receivables Documents, the Loan Documents, the Receivables Collateral
Agent's interest in the Receivables Assets or the Lenders' or Lender Agent's
interest in the Lender Collateral. The Lenders and the Receivables Purchasers
have entered into their respective agreements with USS, the Transferor or the
Borrower, as applicable, based upon their own independent investigations. None
of the Lenders, the Receivables Collateral Agent or the Receivables Purchasers
makes any warranty or representation to the other nor does it rely upon any
representation of the other with respect to matters identified or referred to in
this Section 2.10.
     ------------

          2.11. Limitation on Liability of Parties to Each Other. Except with
                ------------------------------------------------
respect to liability for breach of express obligations under this Agreement, no
party shall have any liability to any other party except for liability arising
from the gross negligence or willful misconduct of such party or its
representatives.

          2.12. Amendments to Loan Arrangements or to this Agreement. Each party
                ----------------------------------------------------
hereto shall, upon reasonable request of any other party hereto, provide copies
of all modifications or amendments and copies of all other documentation
relevant to the Receivables Assets or the Lender Collateral. All modifications
or amendments of this Agreement must be in writing and duly executed by an
authorized officer of each party hereto to be binding and enforceable.

          2.13. Marshalling of Assets. Nothing in this Agreement will be deemed
                ---------------------
to require either the Receivables Collateral Agent or the Lender Agent (i) to
proceed against certain property securing the Lender Claim (or any other
obligation or liability under the Credit Agreement or any other Loan Documents)
or the Receivables Claim (or any other obligation or liability under the
Receivables Documents), as applicable, prior to proceeding against other
property securing such Claim or obligations or liabilities or against certain
persons guaranteeing

                                       11
<PAGE>

any such obligations or (ii) to marshal the Lender Collateral (or any other
collateral) or the Receivables Assets (as applicable) upon the enforcement of
the Lender Agent's or the Receivables Collateral Agent's remedies under the Loan
Documents or Receivables Documents, as applicable.

          2.14. Relative Rights.
                ---------------

          (a) The relative rights of the Lenders, each as against the other,
shall be determined by agreement among such parties in accordance with the terms
of the Loan Documents. The Receivables Collateral Agent and the Receivables
Purchasers shall be entitled to rely on the power and authority of the Lender
Agent to act on behalf of all of the Lenders Parties (as defined in the Credit
Agreement) to the extent the provisions hereof have the Lender Agent so act.

          (b) The Lender Agent and the Lenders shall be entitled to rely on the
power and authority of the Receivables Collateral Agent to act on behalf of the
Funding Agents and Receivables Purchasers to the extent the provisions hereof
have the Receivables Collateral Agent so act.

          2.15. Effect Upon Loan Documents and Receivables Documents. By
                ----------------------------------------------------
executing this Agreement, USS and the Transferor agree to be bound by the
provisions hereof (i) as they relate to the relative rights of the Lenders and
the Lender Agent with respect to the property of USS; and (ii) as they relate to
the relative rights of USS, the other Originators, the Transferor, the
Receivables Purchasers, the Funding Agents and/or the Receivables Collateral
Agent as creditors of (or purchasers from) USS, the other Originators or the
Transferor, as the case may be. USS acknowledges that the provisions of this
Agreement shall not give it any substantive rights as against the Lender Agent
or the Lenders and that nothing in this Agreement shall (except as expressly
provided herein) amend, modify, change or supersede the terms of the Loan
Documents as between USS, the Lender Agent and the Lenders. The Transferor and
USS acknowledge that the provisions of this Agreement shall not give the
Transferor, USS or any other Originator any substantive rights as against the
Receivables Collateral Agent, the Funding Agents or the Receivables Purchasers
and that nothing in this Agreement shall (except as expressly provided herein)
amend, modify, change or supersede the terms of the Receivables Documents as
among the Transferor, USS, the other Originators, the Receivables Collateral
Agent, the Funding Agents or the Receivables Purchasers. USS and the Transferor
further acknowledge that the provisions of this Agreement shall not give any
such party any substantive rights as against the other and that nothing in this
Agreement shall amend, modify, change or supersede the terms of the Receivables
Documents as between USS, the other Originators and the Transferor.
Notwithstanding the foregoing, each of the Receivables Collateral Agent (for
itself and on behalf of each Receivables Purchaser), and the Lender Agent (for
itself and on behalf of each Lender) agrees, that, as between themselves, to the
extent the terms and provisions of the other Loan Documents or the Receivables
Documents are inconsistent with the terms and provisions of this Agreement, the
terms and provisions of this Agreement shall control.

          2.16. Nature of the Lender Claim and Modification of Loan Documents.
                -------------------------------------------------------------
Each of the Transferor and the Receivables Collateral Agent (for itself and on
behalf of each Receivables Purchaser) acknowledge that the Lender Claim and
other obligations and liabilities

                                       12
<PAGE>

owing under the Loan Documents are, in part, revolving in nature and that the
amount of such revolving indebtedness which may be outstanding at any time or
from time to time may be increased or reduced and subsequently reborrowed. The
terms of the Loan Documents may be modified, extended or amended from time to
time, and the amount thereof may be increased or reduced, all without notice or
consent by any of the Transferor, the Receivables Collateral Agent or the
Receivables Purchasers and without affecting the provisions of this Agreement.
Without in any way limiting the foregoing, each of the Transferor or the
Receivables Collateral Agent (for itself and on behalf of each Receivables
Purchaser) hereby agrees that the maximum amount of the Lender Claim and other
obligations and liabilities owing under the Loan Documents may be increased at
any time and from time to time to any amount.

          2.17. Nature of the Receivables Claim and Modification of Receivables
                ---------------------------------------------------------------
Documents. USS and the Lender Agent (for itself and on behalf of each Lender)
---------
acknowledges that the Receivables Claim and other obligations and liabilities
owing under the Receivables Documents are, in part, revolving in nature and that
the amount of such revolving obligations which may be outstanding at any time or
from time to time may be increased or reduced and subsequently reincurred. The
terms of the Receivables Documents may be modified, extended or amended from
time to time, and the amount thereof may be increased or reduced, all without
notice to or consent by any of USS, the Lenders or the Lender Agent and without
affecting the provisions of this Agreement; provided that nothing in this
Section 2.17 (including, without limitation, the next succeeding sentence) shall
be construed to relieve USS of its obligation to comply with the covenants under
the Credit Agreement. Without in any way limiting the foregoing, each of USS and
the Lender Agent (for itself and on behalf of each Lender) hereby agrees that
the maximum amount of Receivables Claim and other obligations and liabilities
owing under the Receivables Documents and the amount of Receivables which may be
purchased or otherwise financed pursuant to the Receivables Documents may, in
each case, be increased at any time and from time to time to any amount.

          2.18. Further Assurances. Each of the parties agrees to take such
                ------------------
actions as may be reasonably requested by any other party, whether before,
during or after an Enforcement Period, in order to effect the rules of
distribution and allocation set forth above in this Article 2 and to otherwise
                                                    ---------
effectuate the agreements made in this Article.

          2.19. Termination and Cessation of Transfer of Receivables. After the
                ----------------------------------------------------
occurrence and during the continuance of a Lender Event of Default and upon
written notice thereof by the Lender Agent or the Required Lenders to the
Receivables Collateral Agent (a "Receivables Termination Notice"), the Funding
Agents and USS, (i) USS shall terminate and cease all transfers of Receivables
from the Originators to the Transferor and (ii) the Transferor and the
Receivables Collateral Agent, Receivables Purchasers and Funding Agents shall
terminate and cease, or shall cause the termination and cessation of, all
transfers of Receivables from the Transferor to the Receivables Purchasers or
the Funding Agents (all such termination and cessation under clauses (i) and
(ii) to be effective at the close of business on the Business Day after such
Receivables Termination Notice is effective in accordance with Section 3.1
                                                               -----------
unless on the date of such notice USS certifies in writing to the Lender Agent
(which certification USS covenants and agrees to provide, if true) that the
Purchased Interest (as defined in the Receivables Purchase Agreement) exceeds
100%, in which case all such termination and cessation shall be effective at the
close of business two Business Days after the Receivables

                                       13
<PAGE>

Termination Notice is effective in accordance with Section 3.1); provided that
                                                   ------------
in the case of a Lender Event of Default resulting from the commencement of a
bankruptcy, insolvency or similar proceeding relating to USS, all transfers of
Receivables immediately and automatically shall terminate and cease without
notice of any kind (except to the extent otherwise required pursuant to an order
entered by the bankruptcy court having jurisdiction over such proceeding).
Except as set forth in the immediately preceding proviso, nothing contained in
this Section shall affect the rights of the Transferor, Receivables Collateral
Agent, Receivables Purchasers or Funding Agents with respect to Receivables
transferred prior to the time when termination and cessation of such transfers
is required to be effective pursuant to the foregoing provisions of this Section
2.19. The parties hereto acknowledge and agree that, notwithstanding anything to
the contrary in the Receivables Purchase Agreement or the Purchase and Sale
Agreement, delivery of a Receivables Termination Notice hereunder shall
constitute a Termination Event under (and as defined in) the Receivables
Purchase Agreement, and the Receivables Collateral Agent, the Transferor, the
Receivables Purchasers and the Funding Agents shall be authorized to terminate
and cease (or cause the termination and cessation of) transfers of Receivables
as described in clause (ii) of the first sentence of this Section 2.19. Neither
the Lender Agent nor the Required Lenders shall deliver a Receivables
Termination Notice on any date during the continuance of any Event of Default if
on such date the Total Outstanding Amount under (and as defined in) the Credit
Agreement is zero.

          2.20. Blocked Accounts. The Receivables Collateral Agent (for itself
                ----------------
and on behalf of the Receivables Purchasers and Funding Agents) hereby consents
to the execution of blocked account agreements (the "Blocked Account
Agreements") with respect to bank accounts currently held in the name of the
Transferor, in accordance with Section 5(b)(ii) of the Security Agreement (it
being understood that the Lender Interest in such bank accounts and amounts held
therein shall extend only to Unsold Receivables and Collections and other
proceeds in respect thereof). The Receivables Collateral Agent agrees, upon the
written request of the Lender Agent (an "Initial Notification Request"), to
provide a written response stating whether or not the Receivables Documents have
been terminated and all monetary obligations under the Receivables Documents
have been satisfied in full and, if such termination and satisfaction have
occurred, to notify the applicable banks as contemplated in Section 5(b)(ii)(x)
of the Security Agreement (it being understood that the Lender Agent shall
deliver an Initial Notification Request only if it believes in good faith belief
that the Receivables Documents may have terminated and all monetary obligations
thereunder may have been paid, or if it has been instructed in good faith by the
Required Lenders to make such Initial Notification Request). If the Receivables
Collateral Agent (i) does not respond in writing to such Initial Notification
Request or (ii) confirms in writing that the Receivables Documents have been
terminated and all monetary obligations under the Receivables Documents have
been satisfied in full, but does not so notify the applicable banks, in either
case within five Business Days of the effectiveness of such Initial Notification
Request, the Lender Agent may deliver a Final Notification Request (as defined
below). During the continuance of the Receivables Collateral Agent's failure to
respond or give requisite notice to the applicable banks, each of the Funding
Agents party hereto agrees, upon the written request of the Lender Agent (a
"Final Notification Request"), to state whether or not the Receivables Documents
have been terminated and all monetary obligations under the Receivables
Documents have been satisfied and, if such termination and satisfaction have
occurred, to use all commercially reasonable efforts to cause the Receivables
Collateral Agent to notify the applicable banks as contemplated in Section
5(b)(ii)(x) of the Security Agreement. In

                                       14
<PAGE>

the event that the Funding Agents have not complied with, or caused the
Receivables Collateral Agent to comply with, such Final Notification Request
within three Business Days of the effectiveness of such Final Notification
Request, the Lender Agent shall be entitled to deliver the notice contemplated
in Section 5(b)(ii)(x) of the Security Agreement. Notwithstanding anything to
the contrary in this Section 2.20, if the Receivables Collateral Agent or any
Funding Agent responds in writing to an Initial Notification Request or a Final
Notification Request within the respective time periods allowed herein for such
response, and such written response states that the Receivables Documents have
not terminated or that all monetary obligations in respect thereof have not been
satisfied, the Lender Agent (regardless of whether it disputes the statements
set forth in such response) shall not be entitled to deliver the notice
contemplated in Section 5(b)(ii)(x) of the Security Agreement unless and until
the Receivables Collateral Agent or a Funding Agent shall have indicated in
writing (or a court of competent jurisdiction shall have determined) that the
Receivables Documents have terminated and all monetary obligations in respect
thereof have been satisfied.

          2.21. No Petition. The Lender Agent (for itself and on behalf of each
                -----------
Lender) hereby agrees that, prior to the date which is one year and one day
after date upon which the Receivables Claim is paid in full, it will not
institute against, or join any other Person in instituting against, the
Transferor any bankruptcy, reorganization, arrangement, insolvency or
liquidation proceeding or other similar proceeding under any bankruptcy or
similar law of the United States or any state of the United States.

                            ARTICLE 3. MISCELLANEOUS

          3.1. Notices. All notices and other communications provided for
               -------
hereunder shall, unless otherwise stated herein, be in writing (including
telecommunications and communication by facsimile copy) and delivered by hand or
overnight courier service, mailed by certified or registered mail or sent by
telecopy or facsimile as to each party hereto, at its address set forth under
its name on the signature pages hereof or at such other address as shall be
designated by such party in a written notice to the other parties hereto. All
such notices and communications shall be effective upon receipt or, in the case
of notice by telex, when telexed against receipt of the answerback, or in the
case of notice by facsimile copy, when verbal confirmation of receipt is
obtained, in each case addressed as aforesaid.

          3.2. Agreement Absolute. Each of the Receivables Collateral Agent and
               ------------------
the Receivables Purchasers shall be deemed to have entered into the Receivables
Documents in express reliance upon this Agreement and the Lenders and the Lender
Agent shall be deemed to have entered into the Loan Documents in express
reliance upon this Agreement. This Agreement may not be modified or amended,
except in accordance with Section 2.12. This Agreement shall be applicable both
before and after the filing of any petition by or against USS, any other
Originator or the Transferor under the U.S. Bankruptcy Code and all references
herein to USS, any other Originator or the Transferor shall be deemed to apply
to a debtor-in-possession for such party and all allocations of payments between
the Lenders and the Receivables Purchasers shall, subject to any court order to
the contrary, continue to be made after the filing of such petition on the same
basis that the payments were to be applied prior to the date of the petition.

                                       15
<PAGE>

          3.3. Successors and Assigns. This Agreement shall be binding upon and
               ----------------------
inure to the benefit of each of the parties hereto and their respective
successors and assigns. The successors and assigns for USS, the other
Originators and the Transferor shall include a debtor-in-possession or trustee
of or for such party. The successors and assigns for the Lenders, the
Receivables Purchasers, the Funding Agents, the Lenders Agent and the
Receivables Collateral Agent, as the case may be, shall include any successor
Lenders, Receivables Purchasers, the Funding Agents, Lender Agent and
Receivables Collateral Agent, as the case may be, appointed under the terms of
the Loan Documents or the Receivables Documents, as applicable. Each of the
Lender Agent (for itself and on behalf of each Lender) and the Receivables
Collateral Agent (for itself and on behalf of each Receivables Purchaser), as
the case may be, agrees not to transfer any interest it may have in the Loan
Documents or the Receivables Documents unless such transferee has been notified
of the existence of this Agreement and has agreed to be bound hereby. In the
event that the financing provided under the Credit Agreement shall be
refinanced, replaced or refunded, USS, the Transferor and the Receivables
Collateral Agent hereby agree, at the request of the agent or lenders under the
credit facility that so refinances, replaces or refunds the financing under the
Credit Agreement, to execute and deliver a new intercreditor agreement with such
agent and/or lenders on substantially the same terms as herein provided. In the
event that the financing provided under the Receivables Documents shall be
refinanced, replaced or refunded, the Lender Agent (for itself and on behalf of
each Lender) hereby agrees that, at the request of the agent or purchasers under
the facility that so refinances, replaces or refunds the financing under the
Receivables Documents, to execute and deliver a new intercreditor agreement with
such agent and/or purchasers on substantially the same terms as herein provided.

          3.4. Beneficiaries. The terms and provisions of this Agreement shall
               -------------
be for the sole benefit of the parties hereto, the Lenders, the Funding Agents
and the Receivables Purchasers and their respective successors and assigns, and
no other Person shall have any right, benefit or priority by reason of this
Agreement.

          3.5. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED
               -------------
IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK (INCLUDING SECTIONS 5-1401
OF THE GENERAL OBLIGATIONS LAWS OF THE STATE OF NEW YORK, BUT OTHERWISE WITHOUT
REGARD TO CONFLICTS OF LAW PROVISIONS).

          3.6. Section Titles. The article and section headings contained in
               --------------
this Agreement are and shall be without substantive meaning or content of any
kind whatsoever and are not a part of the agreement between the parties hereto.

          3.7. Severability. Any provision of this Agreement that is prohibited
               ------------
or unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof or thereof or affecting the
validity or enforceability of such provision in any other jurisdiction.

          3.8. Execution in Counterparts. This Agreement may be executed in any
               -------------------------
number of counterparts and by different parties hereto in separate counterparts,
each of which when so executed shall be deemed to be an original and all of
which when taken together shall constitute one and the same agreement.

                                       16
<PAGE>

          IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed by their respective officers thereunto duly authorized, as of the date
first above written.

                                            JPMORGAN CHASE BANK,
                                             as a Funding Agent

                                            By: /s/ Bradley Schwartz
                                                ----------------------
                                                Name:    Bradley Schwartz
                                                Title:   Managing Director

                                            Address:
                                                     ---------------------------
                                                     ---------------------------
                                            Attention:
                                                      --------------------------
                                            Telecopy: (   )    -
                                                       ---  --- ---------

                                       17
<PAGE>

                                            THE BANK OF NOVA SCOTIA,
                                             as a Funding Agent and as
                                             Receivables Collateral Agent

                                            By: /s/ J. Alan Edwards
                                                --------------------------
                                                Name:    J. Alan Edwards
                                                Title:   Managing Director

                                            Address:
                                                     ---------------------------
                                                     ---------------------------
                                            Attention:
                                                      --------------------------
                                            Telecopy: (   )    -
                                                       ---  --- ---------

                                       18
<PAGE>

                                            JPMORGAN CHASE BANK,
                                               as Lender Agent

                                            By: /s/ James H. Ramage
                                                ------------------------
                                                Name:    James H. Ramage
                                                Title:   Managing Director

                                            Address:
                                                     ---------------------------
                                                     ---------------------------
                                            Attention:
                                                      --------------------------
                                            Telecopy: (   )    -
                                                       ---  --- ---------

                                       19
<PAGE>

                                            U.S. STEEL RECEIVABLES LLC,
                                               as Transferor

                                            By: /s/ D. C. Greiner
                                                ------------------------
                                                Name: D. C. Greiner
                                                Title: Treasurer

                                            Address:
                                                     ---------------------------
                                                     ---------------------------
                                            Attention:
                                                      --------------------------
                                            Telecopy: (   )    -
                                                       ---  --- ---------

                                       20
<PAGE>

                                            UNITED STATES STEEL LLC,
                                             as Originator, as Servicer and as
                                             Borrower

                                            By: /s/ G. R. Haggerty
                                                -------------------------
                                                Name:    G. R. Haggerty
                                                Title:   Vice President

                                            Address:
                                                     ---------------------------
                                                     ---------------------------
                                            Attention:
                                                      --------------------------
                                            Telecopy: (   )    -
                                                       ---  --- ---------

                                       21
<PAGE>

Accepted and Agreed:

JPMORGAN CHASE BANK,
as Administrative Agent and Collateral
Agent under the Credit Agreement

By:  /s/ James H. Ramage
     -----------------------
     Name:  James H. Ramage
     Title: Managing Director

GENERAL ELECTRIC CAPITAL CORPORATION,
as Co-Collateral Agent under the Credit Agreement

By:  /s/ Christopher Cox
     -----------------------------
     Name:  Christopher Cox
     Title: Duly Authorized Signatory

                                       22<PAGE>

Exhibit 4(f)

================================================================================

                             UNITED STATES STEEL LLC

                                       and

                      UNITED STATES STEEL FINANCING CORP.,

                                     Issuers

                                       and

                                USX CORPORATION,

                                    Guarantor

                     10 3/4% Senior Notes due August 1, 2008

                              =====================

                                    INDENTURE

                            Dated as of July 27, 2001

                              =====================

                              The Bank of New York,

                                     Trustee

================================================================================
<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                  Page
<S>                                                                                <C>
ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE................................1
 SECTION 1.1. Definitions...........................................................1
 SECTION 1.2. Other Definitions....................................................28
 SECTION 1.3. Incorporation by Reference of Trust Indenture Act....................29
 SECTION 1.4. Rules of Construction................................................29
 SECTION 1.5. One Class of Notes...................................................30

ARTICLE II THE NOTES...............................................................30
 SECTION 2.1. Form and Dating......................................................30
 SECTION 2.2. Execution and Authentication.........................................31
 SECTION 2.3. Registrar and Paying Agent...........................................31
 SECTION 2.4. Paying Agent to Hold Money in Trust..................................32
 SECTION 2.5. Noteholder Lists.....................................................32
 SECTION 2.6. Transfer and Exchange................................................32
 SECTION 2.7. Replacement Notes....................................................44
 SECTION 2.8. Outstanding Notes....................................................45
 SECTION 2.9. Treasury Notes.......................................................45
 SECTION 2.10. Temporary Notes.....................................................45
 SECTION 2.11. Cancellation........................................................46
 SECTION 2.12. Defaulted Interest..................................................46
 SECTION 2.13. CUSIP Numbers.......................................................46

ARTICLE III REDEMPTION.............................................................46
 SECTION 3.1. Notices to Trustee...................................................46
 SECTION 3.2. Selection of Notes to Be Redeemed....................................47
 SECTION 3.3. Notice of Redemption.................................................47
 SECTION 3.4. Effect of Notice of Redemption.......................................48
 SECTION 3.5. Deposit of Redemption Price..........................................48
 SECTION 3.6. Notes Redeemed in Part...............................................48
 SECTION 3.7. Optional Redemption..................................................48
 SECTION 3.8. Mandatory Redemption.................................................49

ARTICLE IV COVENANTS...............................................................50
 SECTION 4.1. Payment of Notes.....................................................50
 SECTION 4.2. Maintenance of Office or Agency......................................50
 SECTION 4.3. Corporate Existence..................................................51
 SECTION 4.4. SEC Reports..........................................................51
 SECTION 4.5. Compliance Certificate...............................................51
 SECTION 4.6. Stay, Extension and Usury Laws.......................................52
 SECTION 4.7. Payment of Taxes and Other Claims....................................52
 SECTION 4.8. Maintenance of Properties and Insurance..............................52
 SECTION 4.9. Investment Grade Rating..............................................53
 SECTION 4.10. Conditions to Separation............................................53
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
                                                                                  Page
<S>                                                                                <C>
 SECTION 4.11. Change of Control...................................................54
 SECTION 4.12. Limitation on Indebtedness..........................................55
 SECTION 4.13. Limitation on Restricted Payments...................................58
 SECTION 4.14. Limitation on Restrictions on Distributions from Restricted
                  Subsidiaries.....................................................61
 SECTION 4.15. Limitation on Sales of Assets and Subsidiary Stock..................62
 SECTION 4.16. Limitation on Affiliate Transactions................................64
 SECTION 4.17. Limitation on the Sale or Issuance of Capital Stock of Restricted
                  Subsidiaries.....................................................66
 SECTION 4.18. Limitation on Liens.................................................66
 SECTION 4.19. Limitation on Sale/Leaseback Transactions...........................66
 SECTION 4.20. Certain Covenants of USS Financing..................................67
 SECTION 4.21. Further Instruments and Acts........................................67

ARTICLE V SUCCESSOR COMPANY AND SUCCESSOR GUARANTOR................................67
 SECTION 5.1. When Company May Merge or Transfer Assets............................67
 SECTION 5.2. When Guarantor May Merge or Transfer Assets..........................68

ARTICLE VI DEFAULTS AND REMEDIES...................................................69
 SECTION 6.1. Events of Default....................................................69
 SECTION 6.2. Acceleration.........................................................71
 SECTION 6.3. Other Remedies.......................................................71
 SECTION 6.4. Waiver of Past Defaults..............................................72
 SECTION 6.5. Control by Majority..................................................72
 SECTION 6.6. Limitation on Suits..................................................72
 SECTION 6.7. Rights of Holders to Receive Payment.................................72
 SECTION 6.8. Collection Suit by Trustee...........................................73
 SECTION 6.9. Trustee May File Proofs of Claim.....................................73
 SECTION 6.10. Priorities..........................................................73
 SECTION 6.11. Undertaking for Costs...............................................73
 SECTION 6.12. Waiver of Stay or Extension Laws....................................74

ARTICLE VII TRUSTEE................................................................74
 SECTION 7.1. Duties of Trustee....................................................74
 SECTION 7.2. Rights of Trustee....................................................75
 SECTION 7.3. Individual Rights of Trustee.........................................76
 SECTION 7.4. Money Held in Trust..................................................76
 SECTION 7.5. Trustee's Disclaimer.................................................76
 SECTION 7.6. Notice of Defaults...................................................76
 SECTION 7.7. Reports by Trustee to Holders........................................77
 SECTION 7.8. Compensation and Indemnity...........................................77
 SECTION 7.9. Replacement of Trustee...............................................78
 SECTION 7.10. Successor Trustee by Merger.........................................78
 SECTION 7.11. Eligibility; Disqualification.......................................79
 SECTION 7.12. Preferential Collection of Claims Against Issuers...................79

ARTICLE VIII DISCHARGE OF INDENTURE; DEFEASANCE....................................79
 SECTION 8.1. Discharge of Liability on Notes; Defeasance..........................79
</TABLE>

                                       ii
<PAGE>

<TABLE>
<CAPTION>
                                                                                  Page
<S>                                                                                <C>
 SECTION 8.2. Conditions to Defeasance.............................................80
 SECTION 8.3. Application of Trust Money...........................................81
 SECTION 8.4. Repayment to Issuers.................................................81
 SECTION 8.5. Indemnity for Government Obligations.................................81
 SECTION 8.6. Reinstatement........................................................82

ARTICLE IX AMENDMENTS..............................................................82
 SECTION 9.1. Without Consent of Holders...........................................82
 SECTION 9.2. With Consent of Holders..............................................83
 SECTION 9.3. Compliance with Trust Indenture Act..................................84
 SECTION 9.4. Revocation and Effect of Consents and Waivers........................84
 SECTION 9.5. Notation on or Exchange of Notes.....................................84
 SECTION 9.6. Trustee to Sign Amendments...........................................84
 SECTION 9.7. Payment for Consent..................................................84

ARTICLE X GUARANTEE................................................................85
 SECTION 10.1. Guarantee...........................................................85
 SECTION 10.2. Release of Guarantor................................................86

ARTICLE XI MISCELLANEOUS...........................................................86
 SECTION 11.1. Trust Indenture Act Controls........................................86
 SECTION 11.2. Notices.............................................................86
 SECTION 11.3. Communication by Holders with Other Holders.........................87
 SECTION 11.4. Certificate and Opinion as to Conditions Precedent..................87
 SECTION 11.5. Statements Required in Certificate or Opinion.......................87
 SECTION 11.6. When Notes Disregarded..............................................88
 SECTION 11.7. Rules by Trustee, Paying Agent and Registrar........................88
 SECTION 11.8. Legal Holidays......................................................88
 SECTION 11.9. GOVERNING LAW.......................................................88
 SECTION 11.10. No Recourse Against Others.........................................88
 SECTION 11.11. Successors.........................................................88
 SECTION 11.12. Multiple Originals.................................................89
 SECTION 11.13. Qualification of Indenture.........................................89
 SECTION 11.14. Table of Contents; Cross-Reference Sheet; Headings.................89
 SECTION 11.15. Severability.......................................................89
</TABLE>

Exhibit A -  Form of Note
Exhibit B -  Form of Certificate of Transfer
Exhibit C -  Form of Certificate of Exchange

                                      iii
<PAGE>

                             CROSS-REFERENCE TABLE*

Trust Indenture Act Section                                   Indenture Section

310(a)(1).............................................................7.9, 7.10
   (a)(2)..................................................................N.A.
   (a)(3)..................................................................N.A.
   (a)(4)..................................................................N.A.
   (a)(5)..................................................................N.A.
   (b).....................................................................7.10
   (b)(1)..................................................................7.10
   (c).....................................................................N.A.
311(a).....................................................................7.11
   (b).....................................................................7.11
   (c).....................................................................N.A.
312(a).....................................................................N.A.
   (b).....................................................................11.3
   (c).....................................................................11.3
313(a)......................................................................7.6
   (b)......................................................................7.6
   (b)(1)..................................................................N.A.
   (b)(2)..................................................................N.A.
   (c).....................................................................N.A.
   (d).....................................................................N.A.
314(a)(1)..................................................................N.A.
   (a)(2)..................................................................N.A.
   (a)(3)..................................................................N.A.
   (a)(4)..................................................................4.5.
   (b).....................................................................N.A.
   (c)(1)..................................................................N.A.
   (c)(2)..................................................................N.A.
   (c)(3)..................................................................N.A.
   (e).....................................................................N.A.
   (f).....................................................................N.A.
315(a).....................................................................N.A.
   (b).....................................................................N.A.
   (c).....................................................................N.A.
   (d).....................................................................N.A.
   (e).....................................................................N.A.
316(a).....................................................................N.A.
   (a)(1)..................................................................N.A.
   (a)(2)..................................................................N.A.
   (b).....................................................................N.A.
   (c).....................................................................N.A.
317(a)(1)..................................................................N.A.
   (a)(2)..................................................................N.A.
   (b).....................................................................N.A.
318(a).....................................................................N.A.
   (b).....................................................................N.A.
   (c).....................................................................N.A.

N.A. means not applicable.
*This Cross-Reference Table is not part of the Indenture.
<PAGE>

          INDENTURE, dated as of July 27, 2001, among United States Steel LLC, a
Delaware limited liability company (the "Company"), United States Steel
Financing Corp., a Delaware corporation ("USS Financing", and together with the
Company, the "Issuers"), USX Corporation, a Delaware corporation (the
"Guarantor"), and The Bank of New York, a New York banking corporation, as
trustee (the "Trustee").

          Each party agrees as follows for the benefit of the other parties and
for the equal and ratable benefit of the Holders of the Issuers' $385,000,000
aggregate principal amount at maturity 10 3/4% Senior Notes due August 1, 2008
(the "Initial Notes") and, if and when issued in exchange for Initial Notes as
provided in the Registration Rights Agreement (as defined herein), the Issuers'
10 3/4% Senior Notes due August 1, 2008 (the "Exchange Notes") and, if and when
issued pursuant to a private exchange for Initial Notes, the Issuers' 10 3/4%
Senior Notes due August 1, 2008 (the "Private Exchange Notes", and together with
the Initial Notes, any Additional Notes (as defined herein) actually issued, and
the Exchange Notes, the "Notes"):

                                   ARTICLE I

                   DEFINITIONS AND INCORPORATION BY REFERENCE

          SECTION   1.1. Definitions
                         -----------

          "Additional Assets" means:

          (i)  any property, plant or equipment used in a Related Business;

          (ii) the Capital Stock of a Person that becomes a Restricted
               Subsidiary as a result of the acquisition of such Capital Stock
               by the Company or another Restricted Subsidiary; or

          (iii)Capital Stock constituting a minority interest in any Person
               that at such time is a Restricted Subsidiary;

provided, however, that any such Restricted Subsidiary described in clause (ii)
or (iii) above is primarily engaged in a Related Business.

          "Additional Notes" means Notes (other than the Initial Notes and the
Exchange Notes) issued under this Indenture in accordance with Section 2.1
hereof.

          "Affiliate" of any specified Person means any other Person, directly
or indirectly, controlling or controlled by or under direct or indirect common
control with such specified Person. For the purposes of this definition,
"control" when used with respect to any Person means the power to direct the
management and policies of such Person, directly or indirectly, whether through
the ownership of voting securities, by contract or otherwise; and the terms
"controlling" and "controlled" have meanings correlative to the foregoing. For
purposes of Sections 4.13, 4.15 and 4.16 only, "Affiliate" shall also mean any
beneficial owner of Capital Stock representing 10% or more of the total voting
power of the Voting Stock (on a fully diluted basis) of the Company or of rights
or warrants to purchase such Capital Stock (whether or not currently
exercisable) and any Person who would be an Affiliate of any such beneficial
owner pursuant to the first sentence hereof.
<PAGE>

                                                                               2

          "Applicable Procedures" means, with respect to any transfer or
exchange of or for beneficial interests in any Global Note, the rules and
procedures of the Depositary, Euroclear and Clearstream that apply to such
transfer or exchange.

          "Asset Disposition" means any sale, lease, transfer or other
disposition (or series of related sales, leases, transfers or dispositions) by
the Company or any Restricted Subsidiary, including any disposition by means of
a Like-Kind Exchange, an Excluded Real Property Sale or a merger, consolidation
or similar transaction (each referred to for the purposes of this definition as
a "disposition"), of:

          (i)  any shares of Capital Stock of a Restricted Subsidiary (other
               than directors' qualifying shares or shares required by
               applicable law to be held by a Person other than the Company or a
               Restricted Subsidiary);

          (ii) all or substantially all the assets of any division or line of
               business of the Company or any Restricted Subsidiary; or

          (iii) any other assets of the Company or any Restricted Subsidiary
               outside of the ordinary course of business of the Company or such
               Restricted Subsidiary.

          For purposes of this definition, any transfer of assets of the U. S.
Steel Group to the Marathon Group in accordance with the Management and
Allocation Policies prior to the Separation shall be deemed to be a transfer of
assets of the Company.

          Notwithstanding the foregoing, an "Asset Disposition" shall not
include:

               (A)  a disposition by a Restricted Subsidiary to the Company or
                    by the Company or a Restricted Subsidiary to a Wholly Owned
                    Subsidiary;

               (B)  for purposes of Section 4.15 only, (x) a disposition that
                    constitutes a Restricted Payment under Section 4.13 or a
                    Permitted Investment and (y) a disposition of all or
                    substantially all the assets of the Company in accordance
                    with Article V;

               (C)  a disposition of assets if Additional Assets were acquired
                    within one year prior to such disposition for the purpose of
                    replacing the assets disposed of; and

               (D)  a disposition of assets with a fair market value of less
                    than $10,000,000.

          "Attributable Debt" in respect of a Sale/Leaseback Transaction means,
as at the time of determination, the present value (discounted at the interest
rate borne by the Notes, compounded annually) of the total obligations of the
lessee for rental payments during the remaining term of the lease included in
such Sale/Leaseback Transaction (including any period for which such lease has
been extended); provided, however, that if such Sale/Leaseback Transaction
results in a Capital Lease Obligation, the amount of Indebtedness represented
thereby shall be determined in accordance with the definition of "Capital Lease
Obligation".
<PAGE>

                                                                               3

          "Attributed to the U. S. Steel Group" means attributed to the U. S.
Steel Group in accordance with the Management and Accounting Policies.

          "Average Life" means, as of the date of determination, with respect to
any Indebtedness, the quotient obtained by dividing:

          (i)  the sum of the products of the numbers of years from the date of
               determination to the dates of each successive scheduled principal
               payment of or redemption or similar payment with respect to such
               Indebtedness multiplied by the amount of such payment by

          (ii) the sum of all such payments.

          "Board of Directors" means, until the Separation Date, the Board of
Directors of the Guarantor or any committee thereof duly authorized to act on
behalf of such Board, and after the Separation Date, the Board of Directors of
the Company or any committee thereof duly authorized to act on behalf of such
Board.

          "Business Day" means a day other than a Saturday, Sunday or other day
on which banking institutions in New York State are authorized or required by
law to close.

          "Broker-Dealer" has the meaning set forth in the Registration Rights
Agreement.

          "Capital Lease Obligation" means an obligation that is required to be
classified and accounted for as a capital lease for financial reporting purposes
in accordance with GAAP, and the amount of Indebtedness represented by such
obligation shall be the capitalized amount of such obligation determined in
accordance with GAAP; and the Stated Maturity thereof shall be the date of the
last payment of rent or any other amount due under such lease prior to the first
date upon which such lease may be terminated by the lessee without payment of a
penalty. For purposes of Section 4.18, a Capital Lease Obligation will be deemed
to be secured by a Lien on the property being leased.

          "Capital Stock" of any Person means any and all shares, interests,
rights to purchase, warrants, options, participations or other equivalents of or
interests in (however designated) equity of such Person, including, without
limitation, membership interests in limited liability companies and any
Preferred Stock, but excluding any debt securities convertible into such equity.

          "Change of Control", so long as the Guarantee in Article X is in
effect, means the occurrence of any of the following:

          (i)  any "person" or "group" of persons shall have acquired
               "beneficial ownership" (within the meaning of Section 13(d) or
               14(d) of the Securities and Exchange Act) of 1934 as amended, and
               the applicable rules and regulations thereunder), of shares of
               Voting Stock representing 35% or more of the Voting Power of the
               Guarantor;

          (ii) during any period of 25 consecutive months, commencing before or
               after the Issue Date, individuals who at the beginning of such
               25-month period were directors of the Guarantor (together with
               any replacement or additional directors whose election was
               recommended by incumbent
<PAGE>

                                                                               4

               management of the Guarantor or who were elected by a majority of
               directors then in office) cease to constitute a majority of the
               Board of Directors of the Guarantor;

          (iii)the merger or consolidation of the Guarantor with or into
               another Person or the merger of another Person with or into the
               Guarantor, or the sale of all or substantially all the assets of
               the Guarantor (determined on a consolidated basis) to another
               Person, other than a merger or consolidation transaction in which
               holders of securities that represented 100% of the Voting Stock
               of the Guarantor immediately prior to such transaction (or other
               securities into which such securities are converted as part of
               such merger or consolidation transaction) own directly or
               indirectly at least a majority of the voting power of the Voting
               Stock of the surviving Person in such merger or consolidation
               transaction immediately after such transaction and in
               substantially the same proportion as before the transaction; or

          (iv) the disposition, transfer or sale of the interests held in United
               States Steel LLC by the Guarantor, except in accordance with the
               Separation consummated in compliance with Section 4.10;

provided, however, that in no event shall the Separation, as described in the
Offering Circular, or any transfer or reorganization in connection therewith, be
deemed to be a Change of Control for the purposes of this covenant.

The following definition of Change of Control shall be effective following the
Separation Date:

          (i)  any "person" (as such term is used in Sections 13(d) and 14(d) of
               the Exchange Act) is or becomes the "beneficial owner" (as
               defined in Rules 13d-3 and 13d-5 under the Exchange Act, except
               that for purposes of this clause (1) such person shall be deemed
               to have "beneficial ownership" of all shares that any such person
               has the right to acquire, whether such right is exercisable
               immediately or only after the passage of time), directly or
               indirectly, of more than 35% of the total voting power of the
               Voting Stock of the Company;

          (ii) individuals who on the Separation Date constituted the Board of
               Directors (together with any new directors whose election by such
               Board of Directors or whose nomination for election by the
               shareholders of the company as approved by a vote of 66 BETA% of
               the directors of the Company then still in office who were either
               directors on the Separation Date or whose election or nomination
               for election was previously so approved) cease for any reason to
               constitute a majority of the Board of Directors then in office;

          (iii)the adoption of a plan relating to the liquidation or
               dissolution of the Company; or

          (iv) the merger or consolidation of the Company with or into another
               Person or the merger of another Person with or into the Company,
               or the sale of all
<PAGE>

                                                                               5

               or substantially all the assets of the Company (determined on a
               consolidated basis) to another Person, other than a merger or
               consolidation transaction in which holders of securities that
               represented 100% of the Voting Stock of the Company immediately
               prior to such transaction (or other securities into which such
               securities are converted as part of such merger or consolidation
               transaction) own directly or indirectly at least a majority of
               the voting power of the Voting Stock of the surviving Person in
               such merger or consolidation transaction immediately after such
               transaction and in substantially the same proportion as before
               the transaction.

          "Clearstream" means Clearstream Banking, S.A.

          "Code" means the Internal Revenue Code of 1986, as amended.

          "Company" means United States Steel LLC, a Delaware limited liability
company, until a successor replaces it in accordance with the applicable
provisions of this Indenture, and thereafter, means such successor.

          "Consolidated Coverage Ratio" as of any date of determination means
the ratio of (x) the aggregate amount of EBITDA for the period of the most
recent four consecutive fiscal quarters for which financial results are publicly
available to (y) Consolidated Interest Expense for such four fiscal quarters;
provided, however, that:

          (i)  if the Company or any Restricted Subsidiary has Incurred any
               Indebtedness since the beginning of such period that remains
               outstanding or if the transaction giving rise to the need to
               calculate the Consolidated Coverage Ratio is an Incurrence of
               Indebtedness, or both, EBITDA and Consolidated Interest Expense
               for such period shall be calculated after giving effect on a pro
               forma basis to such Indebtedness as if such Indebtedness had been
               Incurred on the first day of such period;

          (ii) if the Company or any Restricted Subsidiary has repaid,
               repurchased, defeased or otherwise discharged any Indebtedness
               since the beginning of such period or if any Indebtedness is to
               be repaid, repurchased, defeased or otherwise discharged (in each
               case other than Indebtedness Incurred under any revolving credit
               facility unless such Indebtedness has been permanently repaid and
               has not been replaced) on the date of the transaction giving rise
               to the need to calculate the Consolidated Coverage Ratio, EBITDA
               and Consolidated Interest Expense for such period shall be
               calculated on a pro forma basis as if such discharge had occurred
               on the first day of such period and as if the Company or such
               Restricted Subsidiary has not earned the interest income actually
               earned during such period in respect of cash or Temporary Cash
               Investments used to repay, repurchase, defease or otherwise
               discharge such Indebtedness;

          (iii)if since the beginning of such period the Company or any
               Restricted Subsidiary shall have made any Asset Disposition,
               EBITDA for such period shall be reduced by an amount equal to
               EBITDA (if positive) directly attributable to the assets which
               are the subject of such Asset
<PAGE>

                                                                               6

               Disposition for such period, or increased by an amount equal to
               EBITDA (if negative), directly attributable thereto for such
               period and Consolidated Interest Expense for such period shall be
               reduced by an amount equal to the Consolidated Interest Expense
               directly attributable to any Indebtedness of the Company or any
               Restricted Subsidiary repaid, repurchased, defeased or otherwise
               discharged with respect to the Company and its continuing
               Restricted Subsidiaries in connection with such Asset Disposition
               for such period (or, if the Capital Stock of any Restricted
               Subsidiary is sold, the Consolidated Interest Expense for such
               period directly attributable to the Indebtedness of such
               Restricted Subsidiary to the extent the Company and its
               continuing Restricted Subsidiaries are no longer liable for such
               Indebtedness after such sale);

          (iv) if since the beginning of such period the Company or any
               Restricted Subsidiary (by merger or otherwise) shall have made an
               Investment in any Restricted Subsidiary (or any person which
               becomes a Restricted Subsidiary) or an acquisition of assets,
               including any acquisition of assets occurring in connection with
               a transaction requiring a calculation to be made hereunder, which
               constitutes all or substantially all of an operating unit of a
               business, EBITDA and Consolidated Interest Expense for such
               period shall be calculated after giving pro forma effect thereto
               (including the Incurrence of any Indebtedness) as if such
               Investment or acquisition occurred on the first day of such
               period; and

          (v)  if since the beginning of such period any Person (that
               subsequently became a Restricted Subsidiary or was merged with or
               into the Company or any Restricted Subsidiary since the beginning
               of such period) shall have made any Asset Disposition, any
               Investment or acquisition of assets that would have required an
               adjustment pursuant to clause (iii) or (iv) above if made by the
               Company or a Restricted Subsidiary during such period, EBITDA and
               Consolidated Interest Expense for such period shall be calculated
               after giving pro forma effect thereto as if such Asset
               Disposition, Investment or acquisition occurred on the first day
               of such period.

For purposes of this definition, whenever pro forma effect is to be given to an
acquisition of assets, the amount of income or earnings relating thereto and the
amount of Consolidated Interest Expense associated with any Indebtedness
Incurred in connection therewith, the pro forma calculations shall be determined
in good faith by a responsible financial or accounting Officer of the Company.
For purposes of this definition, any assets, properties, Indebtedness or other
liabilities or obligations that are Attributed to the U. S. Steel Group prior to
the Separation are deemed to be assets, properties, Indebtedness, liabilities or
obligations of the Company. If any Indebtedness bears a floating rate of
interest and is being given pro forma effect, the interest on such Indebtedness
shall be calculated as if the rate in effect on the date of determination had
been the applicable rate for the entire period (taking into account any Interest
Rate Agreement applicable to such Indebtedness if such Interest Rate Agreement
has a remaining term in excess of 12 months).

          "Consolidated Interest Expense" means, for any period, the total
interest expense of the Company and its consolidated Restricted Subsidiaries
(prior to the Separation, as
<PAGE>

                                                                               7

Attributed to the U. S. Steel Group) plus, to the extent not included in such
total interest expense, and to the extent incurred by the Company or its
Restricted Subsidiaries, without duplication:

          (i)  interest expense attributable to capital leases and the interest
               expense attributable to leases constituting part of a
               Sale/Leaseback Transaction;

          (ii) amortization of debt discount and debt issuance cost;

          (iii)capitalized interest;

          (iv) non-cash interest expenses;

          (v)  commissions, discounts and other fees and charges owed with
               respect to letters of credit and bankers' acceptance financing;

          (vi) net payments pursuant to Hedging Obligations in respect of
               Indebtedness;

          (vii)Preferred Stock dividends in respect of all Preferred Stock held
               by Persons other than the Company or a Wholly Owned Subsidiary
               (other than dividends payable solely in Capital Stock (other than
               Disqualified Stock) of the issuer of such Preferred Stock);

          (viii)interest incurred in connection with Investments in
               discontinued operations;

          (ix) interest accruing on any Indebtedness of any other Person to the
               extent such Indebtedness is Guaranteed by (or secured by the
               assets of) the Company or any Restricted Subsidiary; and

          (x)  the cash contributions to any employee stock ownership plan or
               similar trust to the extent the proceeds of such contributions
               are used by such plan or trust to pay interest or fees to any
               Person (other than the Company) in connection with Indebtedness
               Incurred by such plan or trust

in each case for such period and, prior to Separation, as such amounts are
Attributed to the U. S. Steel Group.

          "Consolidated Net Income" means, for any period, the net income of the
Company and its consolidated Restricted Subsidiaries determined in accordance of
GAAP (prior to the Separation, as Attributed to U. S. Steel Group); provided,
however, that there shall not be included in such Consolidated Net Income:

          (i)  any net income of any Person (other than the Company) if such
               Person is not a Restricted Subsidiary, except that:

               (A)  subject to the exclusion contained in clause (iv) below, the
                    Company's equity in the net income of any such Person for
                    such period shall be included in such Consolidated Net
                    Income up to the aggregate amount of cash actually
                    distributed by such Person during such period to the Company
                    or a Restricted Subsidiary as a dividend or other
                    distribution (subject, in the case of a dividend or
<PAGE>

                                                                               8

                    other distribution paid to a Restricted Subsidiary, to the
                    limitations contained in clause (iii) below); and

               (B)  the Company's equity in a net loss of any such Person for
                    such period shall be included in determining such
                    Consolidated Net Income;

          (ii) any net income (or loss) of any Person acquired by the Company or
               a Subsidiary in a pooling of interests transaction for any period
               prior to the date of such acquisition;

          (iii) any net income of any Restricted Subsidiary if such Restricted
               Subsidiary is subject to restrictions, directly or indirectly, on
               the payment of dividends or the making of distributions by such
               Restricted Subsidiary, directly or indirectly, to the Company,
               except that:

               (A)  subject to the exclusion contained in clause (iv) below, the
                    Company's equity in the net income of any such Restricted
                    Subsidiary for such period shall be included in such
                    Consolidated Net Income up to the aggregate amount of cash
                    actually distributed by such Restricted Subsidiary during
                    such period to the Company or another Restricted Subsidiary
                    as a dividend or other distribution (subject, in the case of
                    a dividend or other distribution paid to another Restricted
                    Subsidiary, to the limitation contained in this clause); and

               (B)  the Company's equity in a net loss of any such Restricted
                    Subsidiary for such period shall be included in determining
                    such Consolidated Net Income;

          (iv) any gain (but not loss) realized upon the sale or other
               disposition of any assets of the Company, its consolidated
               Subsidiaries or any other Person (including pursuant to any
               sale-and-leaseback arrangement) which is not sold or otherwise
               disposed of in the ordinary course of business and any gain (but
               not loss) realized upon the sale or other disposition of any
               Capital Stock of any Person;

          (v)  extraordinary gains or losses; and

          (vi) the cumulative effect of a change in accounting principles

in each case for such period and, prior to Separation, as such amounts are
Attributed to the U.S. Steel Group. Notwithstanding the foregoing, for the
purposes of Section 4.13 only, there shall be excluded from Consolidated Net
Income any repurchases, repayments or redemptions of Investments, proceeds
realized on the sale of Investments or return of capital to the Company or a
Restricted Subsidiary to the extent such repurchases, repayments, redemptions,
proceeds or returns increase the amount of Restricted Payments permitted under
such covenant pursuant to clause (a)(3)(D) thereof.
<PAGE>

                                                                               9

          "Consolidated Net Worth" means the total of the amounts shown on the
balance sheet of the Company and its consolidated Subsidiaries (or, prior to the
Separation, of the U. S. Steel Group), determined on a consolidated basis in
accordance with GAAP, as of the end of the most recent fiscal quarter of the
Company ending at least 45 days prior to the taking of any action for the
purpose of which the determination is being made, as the sum of:

          (i)  the par or stated value of all outstanding Capital Stock of the
               Company plus

          (ii) paid-in capital or capital surplus relating to such Capital Stock
               plus

          (iii)any retained earnings or earned surplus (or, prior to the
               Separation, the amount shown as "USX's net investment" instead of
               the sum of clauses (i), (ii) and (iii))

less (A) any accumulated deficit and (B) any amounts attributable to
Disqualified Stock.

          "Corporate Trust Office of the Trustee" means the address of the
Trustee specified in Section 11.2 hereof or such other address as to which the
Trustee may give notice to the Issuers.

          "Credit Facility" means any senior credit facility to be entered into
by and among one or more of the Company and certain of its Foreign Restricted
Subsidiaries and the lenders referred to therein, together with the related
documents thereto (including the revolving loans thereunder, any guarantees and
security documents), as amended, extended, renewed, restated, supplemented or
otherwise modified (in whole or in part, and without limitation as to amount,
terms, conditions, covenants and other provisions) from time to time, and any
agreement (and related document) governing Indebtedness incurred to Refinance,
in whole or in part, the borrowings and commitments then outstanding or
permitted to be outstanding under such Credit Facility or a successor Credit
Facility, whether by the same or any other lender or group of lenders.

          "Currency Agreement" means in respect of a Person any foreign exchange
contract, currency swap agreement or other similar agreement designed to protect
such Person against fluctuations in currency values.

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

          "Definitive Note" means a certificated Note registered in the name of
the Holder thereof and issued in accordance with Section 2.6 hereof in the form
of Exhibit A hereto, except that such Note shall not bear the Global Note Legend
and shall not have the "Schedule of Exchanges of Interests in the Global Note"
attached thereto.

          "Depositary" means, with respect to the Notes issuable or issued in
whole or in part in global form, the Person specified in Section 2.3 hereof as
the Depositary with respect to the Notes, and any and all successors thereto
appointed as depositary hereunder and having become such pursuant to the
applicable provision of this Indenture.
<PAGE>

                                                                              10

          "Directors" means, until the Separation Date, the persons who are
members of the Board of Directors of USX Corporation, and after the Separation
Date, the persons who are members of the Board of Directors of the Company.

          "Disqualified Stock" means, with respect to any Person, any Capital
Stock which by its terms (or by the terms of any security into which it is
convertible or for which it is exchangeable at the option of the holder) or upon
the happening of any event:

          (i)  matures or is mandatorily redeemable pursuant to a sinking fund
               obligation or otherwise;

          (ii) is convertible or exchangeable at the option of the holder for
               Indebtedness or Disqualified Stock; or

          (iii) is mandatorily redeemable or must be purchased upon the
               occurrence of certain events or otherwise, in whole or in part;

in each case on or prior to the first anniversary of the Stated Maturity of any
series of Notes then outstanding; provided, however, that any Capital Stock that
would not constitute Disqualified Stock but for provisions thereof giving
holders thereof the right to require such Person to purchase or redeem such
Capital Stock upon the occurrence of an "asset sale" or "change of control"
occurring prior to the first anniversary of the Stated Maturity of any series of
Notes then outstanding shall not constitute Disqualified Stock if:

          (i)  the "asset sale" or "change of control" provisions applicable to
               such Capital Stock are not more favorable to the holders of such
               Capital Stock than the terms applicable to the Notes and
               described under Sections 4.11 and 4.15; and

          (ii) any such requirement only becomes operative after compliance with
               such terms applicable to the Notes, including the purchase of any
               Notes tendered pursuant thereto.

The amount of any Disqualified Stock that does not have a fixed redemption,
repayment or repurchase price will be calculated in accordance with the terms of
such Disqualified Stock as if such Disqualified Stock were redeemed, repaid or
repurchased on any date on which the amount of such Disqualified Stock is to be
determined pursuant to the Indenture; provided, however, that if such
Disqualified Stock could not be required to be redeemed, repaid or repurchased
at the time of such determination, the redemption, repayment or repurchase price
will be the book value of such Disqualified Stock as reflected in the most
recent financial statements of such Person.

          "Distribution Compliance Period" means the 40-day period commencing on
the date Notes are first issued under this Indenture.

          "EBITDA" for any period means the sum of Consolidated Net Income (but
without giving effect to any gains or losses from Asset Dispositions), minus
noncash net pension credits to the extent included in calculating such
Consolidated Net Income and plus the following to the extent deducted in
calculating such Consolidated Net Income:
<PAGE>

                                                                              11

          (i)  all income tax expense of the Company and its consolidated
               Restricted Subsidiaries;

          (ii) Consolidated Interest Expense;

          (iii)depreciation, depletion and amortization expense of the Company
               and its consolidated Restricted Subsidiaries (excluding
               amortization expense attributable to a prepaid operating activity
               item that was paid in cash in a prior period);

          (iv) all other non-cash charges of the Company and its consolidated
               Restricted Subsidiaries (excluding any such non-cash charge to
               the extent that it represents an accrual of or reserve for cash
               expenditures in any future period); and

          (v)  net periodic benefit cost recorded for postretirement benefits
               other than pensions, to the extent such cost exceeds (x) payments
               made by the Company for such benefits that are not reimbursed by
               plan assets and (y) any funding by the Company to the VEBA trust

in each case for such period and, prior to the Separation, as such amounts are
Attributed to the U. S. Steel Group. Notwithstanding the foregoing, the
provision for taxes based on the income or profits of, and the depreciation and
amortization and non-cash charges of, a Restricted Subsidiary shall be added to
Consolidated Net Income to compute EBITDA only to the extent (and in the same
proportion) that the net income of such Restricted Subsidiary was included in
calculating Consolidated Net Income and only if a corresponding amount would be
permitted at the date of determination to be dividended to the Company by such
Restricted Subsidiary without prior approval (that has not been obtained),
pursuant to the terms of its charter and all agreements, instruments, judgments,
decrees, orders, statutes, rules and governmental regulations applicable to such
Restricted Subsidiary or its stockholders.

          "Euroclear" means Euroclear Bank S.A./N.V., as operator of the
Euroclear system.

          "Exchange Act" means the Securities Exchange Act of 1934, as amended.

          "Exchange Notes" means the debt securities of the Company issued
pursuant to the Indenture in exchange for, and in an aggregate principal amount
at maturity equal to, the Initial Notes, in compliance with the terms of the
Registration Rights Agreement.

          "Exchange Offer" has the meaning set forth in the Registration Rights
Agreement.

          "Exchange Offer Registration Statement" has the meaning set forth in
the Registration Rights Agreement.

          "Excluded Real Property Sales" means sales of real property by
installment either: (a) in the ordinary course of the business of the Company or
a Restricted Subsidiary or (b) of real property that has not been used by the
Company or a Restricted Subsidiary in the production of steel or steel products
at any time within 90 days prior to the date of sale.
<PAGE>

                                                                              12

          "Financial Matters Agreement" means the financial matters agreement to
be entered into by USX Corporation and the Company in connection with the
Separation, as described in the Offering Circular.

          "Financing Entity" means any Wholly Owned Subsidiary formed solely for
the purpose of effecting a receivables or inventory financing program so long as
such entity has no obligations that are either Guaranteed by, or recourse to,
any other Restricted Subsidiary.

          "Foreign Restricted Subsidiary" means any Restricted Subsidiary of the
Company that is organized in a jurisdiction outside the United States of
America.

          "GAAP" means generally accepted accounting principles in the United
States of America as in effect as of the Issue Date, including those set forth
in (i) the opinions and pronouncements of the Accounting Principles Board of the
American Institute of Certified Public Accountants; (ii) statements and
pronouncements of the Financial Accounting Standards Board; (iii) such other
statements by such other entity as approved by a significant segment of the
accounting profession; and (iv) the rules and regulations of the SEC governing
the inclusion of financial statements (including pro forma financial statements)
in periodic reports required to be filed pursuant to Section 13 of the Exchange
Act, including opinions and pronouncements in staff accounting bulletins and
similar written statements from the accounting staff of the SEC.

          "Global Notes" means, individually and collectively, each of the
Restricted Global Notes and the Unrestricted Global Notes.

          "Global Note Legend" means the legend set forth in Section 2.6(g)(ii),
which is required to be placed on all Global Notes issued under this Indenture.

          "Guarantee" means any obligation, contingent or otherwise, of any
Person directly or indirectly guaranteeing any Indebtedness of any Person and
any obligation, direct or indirect, contingent or otherwise, of such Person:

          (i)  to purchase or pay (or advance or supply funds for the purchase
               or payment of) such Indebtedness or other obligation of such
               Person (whether arising by virtue of partnership arrangements, or
               by agreements to keep-well, to purchase assets, goods, securities
               or services, to take-or-pay or to maintain financial statement
               conditions or otherwise) but shall not include take-or-pay
               arrangements or other agreements to purchase goods or services
               that are not entered into for the purpose of purchasing or paying
               such Indebtedness of such Person; or

          (ii) entered into for the purpose of assuring in any other manner the
               obligee of such Indebtedness of the payment thereof or to protect
               such obligee against loss in respect thereof (in whole or in
               part);

provided, however, that the term "Guarantee" shall not include endorsements for
collection or deposit in the ordinary course of business. The term "Guarantee"
used as a verb has a corresponding meaning. The term "Guarantor" shall mean any
Person Guaranteeing any obligation.

          "Guarantor" means USX Corporation or any successor thereto, so long as
the Guarantee of the Notes is in effect.
<PAGE>

                                                                              13

          "Hedging Obligations" of any Person means the obligations of such
Person pursuant to any Interest Rate Agreement or Currency Agreement.

          "Holder" or "Noteholder" means the Person in whose name a Note is
registered on the Registrar's books.

          "Incur" means issue, assume, Guarantee, incur or otherwise become
liable for; provided, however, that any Indebtedness or Capital Stock of a
Person existing at the time such Person becomes a Restricted Subsidiary (whether
by merger, consolidation, acquisition or otherwise) shall be deemed to be
Incurred by such Person at the time it becomes a Restricted Subsidiary. The term
"Incurrence" when used as a noun shall have a correlative meaning. Solely for
purposes of determining compliance with Section 4.12, amortization of debt
discount or the accretion of principal with respect to a non-interest bearing or
other discount security and (2) the payment of regularly scheduled interest in
the form of additional Indebtedness of the same instrument or the payment of
regularly scheduled dividends on Capital Stock in the form of additional Capital
Stock of the same clause and with the same terms will not be deemed to be the
Incurrence of Indebtedness. For purposes of this definition, the Company (i)
shall be deemed to Incur any Indebtedness of other Persons of the type referred
to in clause (vi) of the definition of "Indebtedness" at such time it becomes
responsible or liable, directly or indirectly, for its payment pursuant to the
terms of the Financial Matters Agreement and (ii) shall not be deemed to Incur
any Indebtedness for which it is indemnified by Marathon Oil Corporation
pursuant to the terms of the Financial Matters Agreement at the time that such
Indebtedness is deemed to become Indebtedness of the Company as a result of
Marathon Oil Corporation no longer having an Investment Grade Rating from both
Rating Agencies.

          "Indebtedness" means, with respect to any Person on any date of
determination (without duplication):

          (i)  the principal in respect of (A) indebtedness of such Person for
               money borrowed and (B) indebtedness evidenced by notes,
               debentures, bonds or other similar instruments for the payment of
               which such Person is responsible or liable, including, in each
               case, any premium on such indebtedness to the extent such premium
               has become due and payable;

          (ii) all Capital Lease Obligations of such Person and all Attributable
               Debt in respect of Sale/Leaseback Transactions entered into by
               such Person;

          (iii)all Purchase Money Indebtedness of such Person;

          (iv) all obligations of such Person for the reimbursement of any
               obligor on any letter of credit, banker's acceptance or similar
               credit transaction (other than obligations with respect to
               letters of credit securing obligations (other than obligations
               described in clauses (i) through (iii) above) entered into in the
               ordinary course of business of such Person to the extent such
               letters of credit are not drawn upon or, if and to the extent
               drawn upon or, if and to the extent drawn upon, such drawing is
               reimbursed no later than the tenth Business Day following payment
               on the letter of credit);

          (v)  the amount of all obligations of such Person with respect to the
               redemption, repayment or other repurchase of any Disqualified
               Stock of
<PAGE>

                                                                              14

               such Person or, with respect to any Preferred Stock of any
               Subsidiary of such Person, the principal amount of such Preferred
               Stock to be determined in accordance with the Indenture (but
               excluding, in each case, any accrued dividends);

          (vi) all obligations of the type referred to in clauses (i) through
               (v) of other Persons and all dividends of other Persons for the
               payment of which, in either case, such Person is responsible or
               liable, directly or indirectly, as obligor, guarantor or
               otherwise, including by means of any Guarantee or pursuant to the
               terms of the Financial Matters Agreement;

          (vii)all obligations of the type referred to in clauses (i) through
               (vi) of other Persons secured by any Lien on any property or
               asset of such Person (whether or not such obligation is assumed
               by such Person), the amount of such obligation being deemed to be
               the lesser of the value of such property or assets or the amount
               of the obligation so secured;

          (viii)to the extent not otherwise included in this definition, any
               financing of accounts receivable or inventory of such Person; and

          (ix) to the extent not otherwise included in this definition, Hedging
               Obligations of such Person.

          Notwithstanding the foregoing, in connection with the purchase by the
Company or any Restricted Subsidiary of any business, the term "Indebtedness"
will exclude post-closing payment adjustments to which the seller may become
entitled to the extent such payment is determined by a final closing balance
sheet or such payment depends on the performance of such business after the
closing; provided, however, that, at the time of closing, the amount of any such
payment is not determinable and, to the extent such payment thereafter becomes
fixed and determined, the amount is paid within 30 days thereafter (or, in the
case of the acquisition of USSK, when due).

          Notwithstanding the foregoing, the term "Indebtedness" will exclude
(x) any indebtedness for which Marathon Oil Corporation indemnifies the Company
pursuant to the terms of the Financial Matters Agreement, so long as such
indebtedness (i) has not been Refinanced and (ii) Marathon Oil Corporation has
an Investment Grade Rating from both of the Rating Agencies and (y) Industrial
Revenue Bond Obligations to the extent the Company (i) has delivered to the
holders of such obligations an irrevocable notice of redemption or directed
delivery of such a notice and (ii) has set aside cash or U.S. Government
Obligations, pursuant to a defeasance mechanism or otherwise, sufficient to
redeem such obligations.

          The amount of Indebtedness of any Person at any date shall be the
outstanding balance at such date of all unconditional obligations as described
above and the maximum liability, upon the occurrence of the contingency giving
rise to the obligation, of any contingent obligations at such date; provided,
however, that in the case of Indebtedness sold at a discount, the amount of such
Indebtedness at any time will be the accreted value thereof at such time.

          "Indenture" means this Indenture, as amended or supplemented from time
to time.
<PAGE>

                                                                              15

          "Independent Qualified Party" means an investment banking firm,
accounting firm or appraisal firm of national standing; provided, however, that
such firm is not an Affiliate of the Company.

          "Indirect Participant" means a Person who holds a beneficial interest
in a Global Note through a Participant.

          "Industrial Revenue Bond Obligations" means an obligation to a state
or local government unit that secures the payment of bonds issued by a state or
local government unit or any obligation under the Financial Matters Agreement
relating to Industrial Revenue Bond Obligations or any Indebtedness incurred to
Refinance, in whole or in part, such obligations.

          "Interest Rate Agreement" means in respect of a Person any interest
rate swap agreement, interest rate cap agreement or other financial agreement or
arrangement designed to protect such Person against fluctuations in interest
rates.

          "Investment" in any Person means any direct or indirect advance, loan
(other than advances to customers in the ordinary course of business that are
recorded as accounts receivable on the balance sheet of the lender) or other
extension of credit (including by way of Guarantee or similar arrangement) or
capital contribution to (by means of any transfer of cash or other property to
others or any payment for property or services for the account or use of
others), or any purchase or acquisition of Capital Stock, Indebtedness or other
similar instruments issued by such Person. Except as otherwise provided for
herein, the amount of an Investment shall be its fair value at the time the
Investment is made and without giving effect to subsequent changes in value.
Prior to the Separation, any Investment made by another Person that is
Attributed to the U.S. Steel Group shall be deemed to be made by the Company.

          For purposes of the definition of "Unrestricted Subsidiary", the
definition of "Restricted Payment" and Section 4.13:

          (i)  "Investment" shall include the portion (proportionate to the
               Company's equity interest in such Subsidiary) of the fair market
               value of the net assets of any Subsidiary of the Company at the
               time that such Subsidiary is designated an Unrestricted
               Subsidiary; provided, however, that upon a redesignation of such
               Subsidiary as a Restricted Subsidiary, the Company shall be
               deemed to continue to have a permanent "Investment" in an
               Unrestricted Subsidiary equal to an amount (if positive) equal to
               (A) the Company's "Investment" in such Subsidiary at the time of
               such redesignation less (B) the portion (proportionate to the
               Company's equity interest in such Subsidiary) of the fair market
               value of the net assets of such Subsidiary at the time of such
               redesignation; and

          (ii) any property transferred to or from an Unrestricted Subsidiary
               shall be valued at its fair market value at the time of such
               transfer, in each case as determined in good faith by the Board
               of Directors.

          "Investment Grade Rating" means a rating equal to or higher than Baa3
(or the equivalent) by Moody's Investor Service, Inc. and BBB- (or the
equivalent) by Standard & Poor's Rating Group, Inc.
<PAGE>

                                                                              16

          "Issue Date" means the date on which the Notes are originally issued.

          "Legal Holiday" has the meaning ascribed in Section 11.8.

          "Letter of Transmittal" means the letter of transmittal to be prepared
by the Company and sent to all Holders of the Notes for use by such Holders in
connection with the Exchange Offer.

          "Lien" means any mortgage, pledge, security interest, encumbrance,
lien or charge of any kind (including any conditional sale or other title
retention agreement or lease in the nature thereof).

          "Like-Kind Exchange" means the disposition of property in exchange for
similar property or for cash proceeds where the proceeds are deposited in a
trust and employed to acquire similar property in a transaction qualifying as a
like-kind exchange pursuant to Section 1031 of the Internal Revenue Code of 1986
(or any successor provision).

          "Management and Allocation Policies" means the policies and procedures
adopted by the board of directors of USX Corporation or otherwise used by USX
Corporation for the purpose of preparing financial statements of the U. S. Steel
Group.

          "Marathon Group" means the Marathon Group of USX Corporation, as
defined in the Certificate of Incorporation of USX Corporation.

          "Net Available Cash" from an Asset Disposition means cash payments
received therefrom (including any cash payments received by way of deferred
payment of principal pursuant to a note or installment receivable or otherwise
and proceeds from the sale or other disposition of any securities received as
consideration, but only as and when received, but excluding any other
consideration received in the form of assumption by the acquiring Person of
Indebtedness or other obligations relating to such properties or assets or
received in any other noncash form), in each case net of:

          (i)  all legal, title and recording tax expenses, commissions and
               other fees and expenses incurred, and all Federal, state,
               provincial, foreign and local taxes required to be accrued as a
               liability under GAAP, as a consequence of such Asset Disposition;

          (ii) all payments made on any Indebtedness which is secured by any
               assets subject to such Asset Disposition, in accordance with the
               terms of any Lien upon or other security agreement of any kind
               with respect to such assets, or which must by its terms, or in
               order to obtain a necessary consent to such Asset Disposition, or
               by applicable law, be repaid out of the proceeds from such Asset
               Disposition;

          (iii)all distributions and other payments required to be made to
               minority interest holders in Restricted Subsidiaries as a result
               of such Asset Disposition; and

          (iv) the deduction of appropriate amounts provided by the seller as a
               reserve, in accordance with GAAP, against any liabilities
               associated with the
<PAGE>

                                                                              17

               property or other assets disposed in such Asset Disposition and
               retained by the Company or any Restricted Subsidiary after such
               Asset Disposition.

          "Net Cash Proceeds", with respect to any issuance or sale of Capital
Stock, means the cash proceeds of such issuance or sale net of attorneys' fees,
accountants' fees, underwriters' or placement agents' fees, discounts or
commissions and brokerage, consultant and other fees actually incurred in
connection with such issuance or sale and net of taxes paid or payable as a
result thereof.

          "Obligations" means with respect to any Indebtedness all obligations
for principal, premium, interest, penalties, fees, indemnifications,
reimbursements, and other amounts payable pursuant to the documentation
governing such Indebtedness.

          "Offering Circular" means the final offering circular of the Issuers
relating to the offering of the Notes.

          "Officer" means the Chairman of the Board, the President, the Chief
Executive Officer, any Vice President, the Chief Financial Officer, the
Treasurer or the Secretary of the Company and USS Financing, as applicable.

          "Officers' Certificate" means a certificate that meets the
requirements of Section 11.5 signed by any Officer of each of the Company and
USS Financing, as applicable.

          "Opinion of Counsel" means a written opinion that meets the
requirements of Section 11.5 from legal counsel who is reasonably acceptable to
the Trustee. The counsel may be an employee of or counsel to the Issuers.

          "Parent" means until the Separation Date, USX Corporation.

          "Participant" means, with respect to the Depositary, Euroclear or
Clearstream, a Person who has an account with the Depositary, Euroclear or
Clearstream, respectively (and, with respect to The Depository Trust Company,
shall include Euroclear and Clearstream).

          "Permitted Investment" means an Investment by the Company or any
Restricted Subsidiary in:

          (i)  the Company, a Restricted Subsidiary or a Person that will, upon
               the making of such Investment, become a Restricted Subsidiary;
               provided, however, that the primary business of such Restricted
               Subsidiary is a Related Business;

          (ii) another Person if as a result of such Investment such other
               Person is merged or consolidated with or into, or transfers or
               conveys all or substantially all its assets to, the Company or a
               Restricted Subsidiary; provided, however, that such Person's
               primary business is a Related Business;

          (iii)cash and Temporary Cash Investments;

          (iv) receivables owing to the Company or any Restricted Subsidiary if
               created or acquired in the ordinary course of business and
               payable or
<PAGE>

                                                                              18

               dischargeable in accordance with customary trade terms; provided,
               however, that such trade terms may include such concessionary
               trade terms as the Company or any such Restricted Subsidiary
               deems reasonable under the circumstances;

          (v)  payroll, travel and similar advances to cover matters that are
               expected at the time of such advances ultimately to be treated as
               expenses for accounting purposes and that are made in the
               ordinary course of business;

          (vi) loans or advances to employees made in the ordinary course of
               business consistent with past practices of the Company or such
               Restricted Subsidiary;

          (vii)stock, obligations or securities received in settlement of debts
               created in the ordinary course of business and owing to the
               Company or any Restricted Subsidiary or in satisfaction of
               judgments;

          (viii)any Person to the extent such Investment represents the
               non-cash portion of the consideration received for an Asset
               Disposition as permitted in Section 4.15;

          (ix) any Person where such Investment was acquired by the Company or
               any of its Restricted Subsidiaries (a) in exchange for any other
               Investment or accounts receivable held by the Company or any such
               Restricted Subsidiary in connection with or as a result of a
               bankruptcy, workout, reorganization or recapitalization of the
               issuer of such other Investment or accounts receivable or (b) as
               a result of a foreclosure by the Company or any of its Restricted
               Subsidiaries with respect to any secured Investment or other
               transfer of title with respect to any secured Investment in
               default;

          (x)  loans or advances to USS/POSCO Industries for repairs of damages
               and business interruption caused by the fire that occurred on May
               31, 2001 in an amount not to exceed $25 million; provided that to
               the extent such amounts are not repaid with the proceeds of
               insurance on or before June 30, 2003, such amounts will be
               included as a Restricted Payment in the calculation of Restricted
               Payments; and

          (xi) so long as no Default has occurred and is continuing, an
               Unrestricted Subsidiary the assets of which shall primarily be
               located outside the United States of America, which Investment is
               made on or prior to December 31, 2003 and does not exceed $50
               million; provided that such Unrestricted Subsidiary shall be
               treated as a Restricted Subsidiary as of the first date the Board
               of Directors would be permitted to designate it as such under the
               definition of "Unrestricted Subsidiary".
<PAGE>

                                                                              19

          "Permitted Liens" means, with respect to any Person:

          (i)  pledges or deposits by such Person under worker's compensation
               laws, unemployment insurance laws or similar legislation, or good
               faith deposits in connection with bids, tenders, contracts (other
               than for the payment of Indebtedness) or leases to which such
               Person is a party, or deposits to secure public or statutory
               obligations of such Person or deposits of cash or United States
               government bonds to secure surety or appeal bonds to which such
               Person is a party, or deposits as security for contested taxes or
               import duties or for the payment of rent, in each case Incurred
               in the ordinary course of business;

          (ii) Liens imposed by law, such as carriers', warehousemen's and
               mechanics' Liens, in each case for sums not yet due or being
               contested in good faith by appropriate proceedings or other Liens
               arising out of judgments or awards against such Person with
               respect to which such Person shall then be proceeding with an
               appeal or other proceedings for review and Liens arising solely
               by virtue of any statutory or common law provision relating to
               banker's Liens, rights of set-off or similar rights and remedies
               as to deposit accounts or other funds maintained with a creditor
               depository institution; provided, however, that (A) such deposit
               account is not a dedicated cash collateral account and is not
               subject to restrictions against access by the Company in excess
               of those set forth by regulations promulgated by the Federal
               Reserve Board and (B) such deposit account is not intended by the
               Company or any Restricted Subsidiary to provide collateral to
               DTC;

          (iii)Liens for property taxes not yet subject to penalties for
               non-payment or which are being contested in good faith by
               appropriate proceedings;

          (iv) Liens in favor of issuers of surety bonds or letters of credit
               issued pursuant to the request of and for the account of such
               Person in the ordinary course of its business; provided, however,
               that such letters of credit do not constitute Indebtedness;

          (v)  minor survey exceptions, minor encumbrances, easements or
               reservations of, or rights of others for, licenses,
               rights-of-way, sewers, electric lines, telegraph and telephone
               lines and other similar purposes, or zoning or other restrictions
               as to the use of real property or Liens incidental to the conduct
               of the business of such Person or to the ownership of its
               properties which were not Incurred in connection with
               Indebtedness and which do not in the aggregate materially
               adversely affect the value of said properties or materially
               impair their use in the operation of the business of such Person;

          (vi) Liens securing Indebtedness Incurred to finance the construction,
               purchase or lease of, or repairs, improvements or additions to,
               property, plant or equipment of such Person; provided, however,
               that the Lien may not extend to any other property owned by such
               Person or any of its Restricted Subsidiaries at the time the Lien
               is Incurred (other than assets and property
<PAGE>

                                                                              20

               affixed or appurtenant thereto), and the Indebtedness (other than
               any interest thereon) secured by the Lien may not be Incurred
               more than 180 days after the later of the acquisition, completion
               of construction, repair, improvement, addition or commencement of
               full operation of the property subject to the Lien;

          (vii) Liens existing on the Issue Date;

          (viii)Liens on property or shares of Capital Stock of another Person
               at the time such other Person becomes a Subsidiary of such
               Person; provided, however, that the Liens may not extend to any
               other property owned by such Person or any of its Restricted
               Subsidiaries (other than assets and property affixed or
               appurtenant thereto);

          (ix) Liens on the inventory or accounts receivable of the Company or
               any Restricted Subsidiary securing Indebtedness permitted under
               the provisions described in clause (b)(i) under Section 4.12;

          (x)  Liens securing industrial revenue or pollution control bonds
               issued by the Company, or prior to the Separation, by the USX
               Corporation; provided, however, that such Liens relate solely to
               the project being financed and are removed within 90 days
               following completion of the project being financed;

          (xi) Liens on property at the time such Person or any of its
               Subsidiaries acquires the property, including any acquisition by
               means of a merger or consolidation with or into such Person or a
               Subsidiary of such Person; provided, however, that the Liens may
               not extend to any other property owned by such Person or any of
               its Restricted Subsidiaries (other than assets and property
               affixed or appurtenant thereto);

          (xii)Liens securing Indebtedness or other obligations of a Subsidiary
               of such Person owing to such Person or a wholly owned Subsidiary
               of such Person;

         (xiii)Liens securing Hedging Obligations so long as such Hedging
               Obligations relate to Indebtedness that is, and is permitted to
               be under the Indenture, secured by a Lien on the same property
               securing such Hedging Obligations;

         (xiv) Liens to secure any Refinancing (or successive Refinancings) as
               a whole, or in part, of any Indebtedness secured by any Lien
               referred to in the foregoing clause (vi), (viii), (ix) or (x);
               provided, however, that:

               (A)  such new Lien shall be limited to all or part of the same
                    property and assets that secured or, under the written
                    agreements pursuant to which the original Lien arose, could
                    secure the original Lien (plus improvements and accessions
                    to, such property or proceeds or distributions thereof); and
<PAGE>

                                                                              21

               (B)  the Indebtedness secured by such Lien at such time is not
                    increased to any amount greater than the sum of (x) the
                    outstanding principal amount or, if greater, committed
                    amount of the Indebtedness described under clause (vi),
                    (viii), (ix) or (x) at the time the original Lien became a
                    Permitted Lien and (y) an amount necessary to pay any fees
                    and expenses, including premiums, related to such
                    refinancing, refunding, extension, renewal or replacement;
                    and

          (xv) Liens on assets subject to a Sale/Leaseback Transaction securing
               Attributable Debt permitted to be Incurred under Section 4.12.

Notwithstanding the foregoing, "Permitted Liens" will not include any Lien
described in clauses (vi), (ix) or (x) above to the extent such Lien applies to
any Additional Assets acquired directly or indirectly from Net Available Cash
under Section 4.15.

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

          "Plan of Reorganization" means the Agreement and Plan of
Reorganization to be entered into among USX Corporation, the Company and certain
subsidiaries in connection with the Separation, as described in the Offering
Circular.

          "Preferred Stock", as applied to the Capital Stock of any Person,
means Capital Stock of any class or classes (however designated) which is
preferred as to the payment of dividends or distributions, or as to the
distribution of assets upon any voluntary or involuntary liquidation or
dissolution of such Person, over shares of Capital Stock of any other class of
such Person.

          "Principal" of a Note means the principal of the Note plus the
premium, if any, payable on the Note which is due or overdue or is to become due
at the relevant time.

          "Private Exchange" means the offer by the Issuers, pursuant to the
Registration Rights Agreement, to the Initial Purchasers to issue and deliver to
each Initial Purchaser, in exchange for the Initial Notes held by the Initial
Purchaser as part of its initial distribution, a like aggregate principal amount
at maturity of Private Exchange Notes.

          "Private Exchange Notes" means the 10 3/4% Senior Notes due August 1,
2008, if any, to be issued pursuant to this Indenture to the Initial Purchasers
in a Private Exchange.

          "Private Placement Legend" means the legend set forth in Section
2.6(g)(i)(A) to be placed on all Notes issued under this Indenture except where
otherwise permitted by the provisions of this Indenture.

          "Public Equity Offering" means an underwritten primary public offering
of common stock of the Company pursuant to an effective registration statement
under the Securities Act.

          "Purchase Money Indebtedness" means Indebtedness Incurred or assumed
as the deferred purchase price of property acquired by such Person (excluding
accounts payable arising
<PAGE>

                                                                              22

in the ordinary course of business but including all liabilities created or
arising under any conditional sale or other title retention agreement with
respect to any such property).

          "Rating Agency" means Standard & Poor's Ratings Group, Inc. and
Moody's Investors Service, Inc. or if Standard & Poor's Ratings Group, Inc. or
Moody's Investors Service, Inc. or both shall not make a rating on the Notes
publicly available, a nationally recognized statistical rating agency or
agencies, as the case may be, selected by the Company (as certified by a
resolution of the Board of Directors) which shall be substituted for Standard &
Poor's Ratings Group, Inc. or Moody's Investors Service, Inc. or both, as the
case may be.

          "Refinance" means, in respect of any Indebtedness, to refinance,
extend, renew, refund, repay, prepay, redeem, purchase, defease or retire, or to
issue other Indebtedness in exchange or replacement for, such indebtedness.
"Refinanced" and "Refinancing" shall have correlative meanings.

          "Refinancing Indebtedness" means Indebtedness that Refinances any
Indebtedness of the Company or any Restricted Subsidiary existing on the Issue
Date or Incurred in compliance with the Indenture, including Indebtedness that
Refinances Refinancing Indebtedness; provided, however, that:

          (i)  such Refinancing Indebtedness has a Stated Maturity no earlier
               than the Stated Maturity of the Indebtedness being Refinanced;

          (ii) such Refinancing Indebtedness has an Average Life at the time
               such Refinancing Indebtedness is Incurred that is equal to or
               greater than the Average Life of the Indebtedness being
               Refinanced; and

          (iii) such Refinancing Indebtedness has an aggregate principal amount
               (or if Incurred with original issue discount, an aggregate issue
               price) that is equal to or less than the aggregate principal
               amount (or if Incurred with original issue discount, the
               aggregate accreted value) then outstanding or committed (plus
               fees and expenses, including any premium and defeasance costs)
               under the Indebtedness being Refinanced;

provided further, however, that Refinancing Indebtedness shall not include (A)
Indebtedness of a Subsidiary that Refinances Indebtedness of the Company or (B)
Indebtedness of the Company or a Restricted Subsidiary that Refinances
Indebtedness of an Unrestricted Subsidiary.

          "Registration Rights Agreement" means the Registration Rights
Agreement among the Issuers, Credit Suisse First Boston Corporation, J.P. Morgan
Securities Inc., Lehman Brothers Inc., Salomon Smith Barney Inc., BNY Capital
Markets, Inc., Mellon Financial Markets, LLC, NatCity Investments, Inc., PNC
Capital Markets, Inc. and Scotia Capital Inc. related to the Notes.

          "Regulation S" means Regulation S promulgated under the Securities
Act.

          "Related Business" means any business in which the Company was engaged
on the Issue Date and any business related, ancillary or complementary to any
business of the Company in which the Company was engaged on the Issue Date.
<PAGE>

                                                                              23

          "Representative" means with respect to a Person any trustee, agent or
representative (if any) for an issue of Senior Indebtedness of such Person.

          "Restricted Definitive Note" means a Definitive Note bearing the
Private Placement Legend.

          "Restricted Global Note" means a global Note in the form of Exhibit A
attached hereto that bears the Global Note Legend and the Private Placement
Legend and that is deposited with or on behalf of and registered in the name of
the Depositary.

          "Rule 144" means Rule 144 promulgated under the Securities Act.

          "Rule 144A" means Rule 144A promulgated under the Securities Act.

          "Rule 903" means Rule 903 promulgated under the Securities Act.

          "Rule 904" means Rule 904 promulgated under the Securities Act.

          "Restricted Payment" with respect to any Person means:

          (i)  the declaration or payment of any dividends or any other
               distributions of any sort in respect of its Capital Stock
               (including any payment in connection with any merger or
               consolidation involving such Person) or similar payment to the
               direct or indirect holders of its Capital Stock (other than
               dividends or distributions payable solely in its Capital Stock
               (other than Disqualified Stock) and dividends or distributions
               payable solely to the Company or a Restricted Subsidiary, and
               other than pro rata dividends or other distributions made by a
               Subsidiary that is not a Wholly Owned Subsidiary to minority
               stockholders (or owners of an equivalent interest in the case of
               a Subsidiary that is an entity other than a corporation));

          (ii) the purchase, redemption or other acquisition or retirement for
               value of any Capital Stock of the Company held by any Person or
               of any Capital Stock of a Restricted Subsidiary held by any
               Affiliate of the Company (other than a Restricted Subsidiary),
               including the exercise of any option to exchange any Capital
               Stock (other than into Capital Stock of the Company that is not
               Disqualified Stock);

          (iii) the purchase, repurchase, redemption, defeasance or other
               acquisition or retirement for value, prior to scheduled maturity,
               scheduled repayment or scheduled sinking fund payment of any
               Subordinated Obligations of such Person (other than the purchase,
               repurchase or other acquisition of Subordinated Obligations
               purchased in anticipation of satisfying a sinking fund
               obligation, principal installment or final maturity, in each case
               due within one year of the date of such purchase, repurchase or
               other acquisition); or

          (iv) the making of any Investment (other than a Permitted Investment)
               in any Person;
<PAGE>

                                                                              24

provided, however, that prior to the Separation (x) any reduction of
Indebtedness that is Attributed to the U. S. Steel Group shall be deemed not to
be a Restricted Payment, (y) Capital Stock or Subordinated Obligations of the
Company shall be deemed to include Capital Stock or Subordinated Obligations of
any Person that is Attributed to the U. S. Steel Group (including Steel Stock,
but excluding any Preferred Stock or Subordinated Obligations of other Persons
outstanding as of the Issue Date) and the Company shall be deemed to make any
Restricted Payment made in respect of such Capital Stock or Subordinated
Obligations; provided further, however, that any purchase or other acquisition
for value of common stock of the Company with (x) funds provided by the
participants of the Company's dividend reinvestment plan or (y) cash dividends
permitted to be paid under Section 4.13 pursuant to the Company's dividend
reinvestment plan shall not, in either case, be a "Restricted Payment".

          "Restricted Subsidiary" means (i) any Subsidiary of the Company that
is not an Unrestricted Subsidiary and (ii) USS Financing.

          "Sale/Leaseback Transaction" means an arrangement relating to property
owned by the Company or a Restricted Subsidiary on the Issue Date or thereafter
acquired by the Company or a Restricted Subsidiary whereby the Company or a
Restricted Subsidiary transfers such property to a Person and the Company or a
Restricted Subsidiary leases it from such Person.

          "SEC" means the U.S. Securities and Exchange Commission.

          "Secured Indebtedness" means any Indebtedness of the Issuer secured by
a Lien.

          "Securities Act" means the Securities Act of 1933, as amended.

          "Senior Indebtedness" means with respect to any Person:

          (i)  Indebtedness of such Person (including, prior to the Separation,
               any Indebtedness to the extent it is Attributed to the U. S.
               Steel Group), whether outstanding on the Issue Date or thereafter
               Incurred; and

          (ii) accrued and unpaid interest (including interest accruing on or
               after the filing of any petition in bankruptcy or for
               reorganization relating to such Person whether or not post-filing
               interest is allowed in such proceeding) in respect of (A)
               indebtedness of such Person for money borrowed and (B)
               indebtedness evidenced by notes, debentures, bonds or other
               similar instruments for the payment of which such Person is
               responsible or liable (in each case including, prior to
               Separation, any such Indebtedness to the extent it is Attributed
               to the U. S. Steel Group)

unless, in the case of clauses (i) and (ii), in the instrument creating or
evidencing the same or pursuant to which the same is outstanding, it is provided
that such obligations are subordinate in right of payment to the Notes or the
Guarantee of such Person, as the case may be; provided, however, that Senior
Indebtedness shall not include:

          (i)  any obligation of such Person to any Subsidiary;

          (ii) any liability for Federal, state, local or other taxes owed or
               owing by such Person;
<PAGE>

                                                                              25

          (iii)any accounts payable or other liability to trade creditors
               arising in the ordinary course of business (including guarantees
               thereof or instruments evidencing such liabilities);

          (iv) any Indebtedness of such Person (and any accrued and unpaid
               interest in respect thereof) which is subordinate or junior in
               any respect to any other Indebtedness or other obligation of such
               Person; or

          (v)  that portion of any Indebtedness which at the time of Incurrence
               is Incurred in violation of the Indenture.

          "Separation" means the separation of the Company from USX Corporation
pursuant to the Plan of Reorganization.

          "Separation Date" means the date the Separation occurs; provided such
date is on or prior to December 31, 2002.

          "Separation Documents" means the Plan of Reorganization, the Financial
Matters Agreement and the Tax Sharing Agreement.

          "Shelf Registration Statement" means the Shelf Registration Statement
as defined in the Registration Rights Agreement.

          "Significant Subsidiary" means any Restricted Subsidiary that would be
a "Significant Subsidiary" of the Issuer within the meaning of Rule 1-02 under
Regulation S-X promulgated by the SEC.

          "Stated Maturity" means, with respect to any security, the date
specified in such security as the fixed date on which the payment of principal
of such security is due and payable, including pursuant to any mandatory
redemption provision (but excluding any provision providing for the repurchase
of such security at the option of the holder thereof upon the happening of any
contingency beyond the control of the issuer unless such contingency has
occurred).

          "Steel Stock" means USX--U. S. Steel Group Common Stock of USX
Corporation.

          "Subordinated Obligation" means, with respect to a Person, any
Indebtedness of such Person (whether outstanding on the Issue Date or thereafter
Incurred) which is subordinate or junior in right of payment to the Notes or a
Guaranty of such Person, as the case may be, pursuant to a written agreement to
that effect.

          "Subsidiary" means, with respect to any Person, any corporation,
association, partnership or other business entity of which more than 50% of the
total voting power of shares of Voting Stock is at the time owned or controlled,
directly or indirectly, by:

          (i)  such Person;

          (ii) such Person and one or more Subsidiaries of such Person; or

          (iii) one or more Subsidiaries of such Person;
<PAGE>

                                                                              26

provided that, prior to the Separation, any Subsidiary of another Person that is
Attributed to the U. S. Steel Group shall be deemed a Subsidiary of the Company,
and any Voting Stock of that Subsidiary owned by such Person shall be deemed to
be owned by the Company.

          "Tax Sharing Agreement" means the tax sharing agreement to be entered
into by USX Corporation and the Company its connection with the Separation, as
described in the Offering Circular.

          "Temporary Cash Investments" means any of the following: (i) any
investment in direct obligations of the United States of America or any agency
thereof or obligations Guaranteed by the United States of America or any agency
thereof; (ii) investments in time deposit accounts, certificates of deposit and
money market deposits maturing within 180 days of the date of acquisition
thereof issued by a bank or trust company which is organized under the laws of
the United States of America, any state thereof or any foreign country
recognized by the United States of America, and which bank or trust company has
capital, surplus and undivided profits aggregating in excess of $50.0 million
(or the foreign currency equivalent thereof) and whose long-term debt is rated
"A" (or such similar equivalent rating) or higher by at least one nationally
recognized statistical rating organization (as defined in Rule 436 under the
Securities Act) or any money market fund sponsored by a registered broker dealer
or mutual fund distributor; (iii) repurchase obligations with a term of not more
than 30 days for underlying securities of the types described in clause (i)
above entered into with a bank meeting the qualifications described in clause
(ii) above; (iv) investments in commercial paper, maturing not more than 90 days
after the date of acquisition, issued by a corporation (other than an Affiliate
of the Company) organized and in existence under the laws of the United States
of America or any foreign country recognized by the United States of America
with a rating at the time as of which any investment therein is made of "P-1"
(or higher) according to Moody's Investors Service, Inc. or "A-1" (or higher)
according to Standard & Poor's Ratings Group; (v) investments in securities with
maturities of six months or less from the date of acquisition issued or fully
guaranteed by any state, commonwealth or territory of the United States of
America, or by any political subdivision or taxing authority thereof, and rated
at least "A" by Standard & Poor's Ratings Group or "A" by Moody's Investors
Service, Inc.; (vi) overnight investments with banks rated "B" or better by
Fitch, Inc.; (vii) in the case of a Foreign Restricted Subsidiary, investments
of the type and maturity described in clauses (i) through (vi) above of foreign
obligors, which investments or obligors (or the parents of such obligors) have
ratings described in such clauses or equivalent ratings from comparable foreign
rating agencies; and (viii) deposits in Slovak financial institutions that do
not at any time exceed $5 million in the aggregate.

          "TIA" means the Trust Indenture Act of 1939 (15 U.S.C. Sections
77aaa-77bbbb) as in effect on the date of this Indenture.

          "Trustee" means the party named as such in this Indenture until a
successor replaces it and, thereafter, means such successor.

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

                                                                              27

          "Tubular Business" means the business of Lorain Tubular Company LLC
and any other assets and liabilities of the Company or any of its Subsidiaries
primarily related to its tubular products business.

          "Uniform Commercial Code" means the New York Uniform Commercial Code
as in effect from time to time.

          "Unrestricted Definitive Note" means one or more Definitive Notes that
do not bear and are not required to bear the Private Placement Legend.

          "Unrestricted Global Note" means a permanent global Note in the form
of Exhibit A attached hereto that bears the Global Note Legend but not the
Private Placement Legend and that is deposited with or on behalf of and
registered in the name of the Depositary.

          "Unrestricted Subsidiary" means (i) any Subsidiary of the Company that
at the time of determination shall be designated an Unrestricted Subsidiary by
the Board of Directors in the manner provided below and (ii) any Subsidiary of
an Unrestricted Subsidiary. The Board of Directors may designate any Subsidiary
of the Company (including any newly acquired or newly formed Subsidiary) to be
an Unrestricted Subsidiary unless such Subsidiary or any of its Subsidiaries
owns any Capital Stock or Indebtedness of, or holds any Lien on any property of,
the Company or any other Subsidiary of the Company that is not a Subsidiary of
the Subsidiary to be so designated; provided, however, that either (A) the
Subsidiary to be so designated has total assets of $1,000 or less or (B) if such
Subsidiary has consolidated assets greater than $1,000, such designation would
be permitted under Section 4.13. The Board of Directors may designate any
Unrestricted Subsidiary to be a Restricted Subsidiary; provided, however, that
immediately after giving effect to such designation (x) the Company could incur
$1.00 of additional Indebtedness pursuant to paragraph Section 4.12(a) and (y)
no Default shall have occurred and be continuing. Any such designation by the
Board of Directors shall be evidenced to the Trustee by promptly filing with the
Trustee a copy of the board resolution giving effect to such designation and an
Officers' Certificate certifying that such designation complied with the
foregoing provisions.

          "U.S. Dollar Equivalent" means with respect to any monetary amount in
a currency other than U.S. dollars, at any time for determination thereof, the
amount of U.S. dollars obtained by converting such foreign currency involved in
such computation into U.S. dollars at the spot rate for the purchase of U.S.
dollars with the applicable foreign currency as published in The Wall Street
Journal in the "Exchange Rates" column under the heading "Currency Trading" on
the date two Business Days prior to such determination.

          Except as described under Section 4.12, whenever it is necessary to
determine whether the Company has complied with any covenant in the Indenture or
a Default has occurred and an amount is expressed in a currency other than U.S.
dollars, such amount will be treated as the U.S. Dollar Equivalent determined as
of the date such amount is initially determined in such currency.

          "U.S. Government Obligations" means direct obligations (or
certificates representing an ownership interest in such obligations) of the
United States of America (including any agency or instrumentality thereof) for
the payment of which the full faith and credit of the United States of America
is pledged and which are not callable or redeemable at the issuer's option.
<PAGE>

                                                                              28

          "U.S. Person" means a U.S. person as defined in Rule 902(k) under the
Securities Act.

          "U. S. Steel Group" means the United States Steel Group of USX
Corporation, as defined in the Restated Certificate of Incorporation of USX
Corporation.

          "USS Financing" means United States Steel Financing Corp., a Delaware
corporation, until a successor replaces it in accordance with the applicable
provisions of this Indenture, and thereafter, means such successor.

          "USSK" means U.S. Steel Kosice, s.r.o., a company organized under the
laws of the Slovak Republic.

          "USS-POSCO Industries" means USS-POSCO Industries, a California
general partnership whose general partners are POSCO-CALIFORNIA CORPORATION, a
Delaware corporation, and PITCAL, INC., a Delaware corporation.

          "Voting Power" as applied to the stock of any Person means the total
voting power represented by all outstanding Voting Stock of such corporation.

          "Voting Stock" of a Person means all classes of Capital Stock or other
interests (including partnership interests) of such Person then outstanding and
normally entitled (without regard to the occurrence of any contingency) to vote
in the election of directors, managers, or trustee thereof.

          "Wholly Owned Subsidiary" means a Restricted Subsidiary of the Company
all the Capital Stock of which (other than directors' qualifying shares) is
owned by the Company or one or more Wholly Owned Subsidiaries.

          SECTION   1.2. Other Definitions
                         -----------------

                                                                   Defined in
                 Term                                               Section
                 ----                                              ----------

"Affiliate Transaction"....................................            4.16
"Authenticating Agent".....................................            2.2
"Authentication Order".....................................            2.2
"Bankruptcy Law"...........................................            6.1
"Change of Control Offer"..................................            4.11
"covenant defeasance option"...............................            8.1(b)
"Custodian"................................................            6.1
"Event of Default".........................................            6.1
"Initial Lien".............................................            4.18
"legal defeasance option"..................................            8.1(b)
"Notice of Default"........................................            6.1
"Paying Agent".............................................            2.3
"Registrar"................................................            2.3
"Successor Company"........................................            5.1
"Successor Guarantor"......................................            5.2
"Suspended Covenants"......................................            4.9
<PAGE>

                                                                              29

                                                                   Defined in
                 Term                                               Section
                 ----                                              ----------

          SECTION   1.3. Incorporation by Reference of Trust Indenture Act
                         -------------------------------------------------

          The mandatory provisions of the TIA are incorporated by reference in
and made a part of this Indenture. The following TIA terms have the following
meanings:

          "Commission" means the SEC.

          "indenture securities" means the Notes.

          "indenture security holder" means a Holder.

          "indenture to be qualified" means this Indenture.

          "indenture trustee" or "institutional trustee" means the Trustee.

          "obligor" on the indenture securities means the Issuers and any other
obligor on the indenture securities.

          All other TIA terms used in this Indenture that are defined by the
TIA, defined by TIA reference to another statute or defined by SEC rule have the
meanings assigned to them by such definitions.

          SECTION   1.4. Rules of Construction
                         ---------------------

          Unless the context otherwise requires:

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

               (2) an accounting term not otherwise defined has the meaning
          assigned to it in accordance with GAAP;

               (3) "or" is not exclusive;

               (4) "including" means including without limitation;

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

               (6) unsecured Indebtedness shall not be deemed to be subordinate
          or junior to Secured Indebtedness merely by virtue of its nature as
          unsecured Indebtedness;

               (7) except as otherwise expressly provided, the principal amount
          of any noninterest bearing or other discount security at any date
          shall be the principal amount thereof that would be shown on a balance
          sheet of the issuer dated such date prepared in accordance with GAAP;
<PAGE>

                                                                              30

               (8) the principal amount of any Preferred Stock shall be (i) the
          maximum liquidation preference of such Preferred Stock or (ii) the
          maximum mandatory redemption or mandatory repurchase price with
          respect to such Preferred Stock, whichever is greater; and

               (9) except as otherwise expressly provided, all references to the
          date the Notes were originally issued shall refer to the date the
          Initial Notes were originally issued.

          SECTION 1.5. One Class of Notes. The Initial Notes, the Additional
                       ------------------
Notes, the Private Exchange Notes and the Exchange Notes shall vote and consent
together on all matters as one class and none of the Initial Notes, the
Additional Notes, the Private Exchange Notes or the Exchange Notes shall have
the right to vote or consent as a separate class on any matter.

                                   ARTICLE II

                                    The Notes

          SECTION 2.1. Form and Dating
                       ---------------

          (a)  General.
               -------

          The Notes will initially be issued in an aggregate principal amount of
$385,000,000, except for Notes authenticated and delivered upon registration of
transfer of, or in exchange for, or in lieu of, other Notes pursuant to Section
2.6, 2.7, 2.10, 3.6 or 9.5. The Issuers may create and issue Additional Notes in
such an aggregate principal amount as would be permitted on the date of issuance
to be incurred under Section 4.12(b)(iv). The Additional Notes will rank equally
with the Initial Notes and otherwise similar in all respects so that the
Additional Notes shall be consolidated and form a single series with the Initial
Notes. The Trustee shall authenticate Additional Notes upon receipt of an
Authentication Order and an Officers' Certificate and Opinion of Counsel, both
meeting the requirements of Section 11.5, subject to Section 2.2, specifying the
amount of Additional Notes to be authenticated.

          The Issuers may issue Exchange Notes or Private Exchange Notes
pursuant to an Exchange Offer or a Private Exchange and a Board Resolution,
subject to Section 2.2, included in an Officers' Certificate and an Opinion of
Counsel both meeting the requirements of Section 11.5 delivered to the Trustee,
in authorized denominations in exchange for a like principal amount of Initial
Notes. Upon any such exchange, any Initial Notes and Additional Notes exchanged
for Exchange Notes or Private Exchange Notes shall be canceled in accordance
with Section 2.11 and shall no longer be deemed outstanding for any purpose.

          The Notes and the Trustee's certificate of authentication shall be
substantially in the form of Exhibit A hereto. The Notes may have notations,
legends or endorsements required by law, stock exchange rule or usage. Each Note
shall be dated the date of its authentication. The Notes shall be issuable only
in fully registered form, without coupons, in denominations of $1,000 and
integral multiples thereof. Interest on the Notes shall be computed on the basis
of a 360-day year consisting of twelve 30-day months.

          The terms and provisions contained in the Notes shall constitute, and
are hereby expressly made, a part of this Indenture and the Issuers and the
Trustee, by their execution and
<PAGE>

                                                                              31

delivery of this Indenture, expressly agree to such terms and provisions and to
be bound thereby. However, to the extent any provision of any Note conflicts
with the express provisions of this Indenture, the provisions of this Indenture
shall govern and be controlling.

          (b)  Global Notes and Definitive Notes.
               ---------------------------------

          Notes issued in global form shall be substantially in the form of
Exhibit A attached hereto (including the Global Note Legend thereon and the
"Schedule of Exchanges of Interests in the Global Note" attached thereto). Notes
issued in definitive form shall be substantially in the form of Exhibit A
attached hereto (but without the Global Note Legend thereon and without the
"Schedule of Exchanges of Interests in the Global Note" attached thereto). Each
Global Note shall represent such of the outstanding Notes as shall be specified
therein and each shall provide that it shall represent the aggregate principal
amount of outstanding Notes from time to time endorsed thereon and that the
aggregate principal amount of outstanding Notes represented thereby may from
time to time be reduced or increased, as appropriate, to reflect exchanges and
redemptions. Any endorsement of a Global Note to reflect the amount of any
increase or decrease in the aggregate principal amount of outstanding Notes
represented thereby shall be made by the Trustee or the Custodian, at the
direction of the Trustee, in accordance with instructions given by the Holder
thereof as required by Section 2.6 hereof.

          (c)  Euroclear, Clearstream Procedures Applicable.
               --------------------------------------------

          The provisions of the "Operating Procedures of the Euroclear System"
and "Terms and Conditions Governing Use of Euroclear" and the "General Terms and
Conditions of Clearstream Banking" and "Customer Handbook" of Clearstream shall
be applicable to transfers of beneficial interests in the Regulation S Global
Notes that are held by Participants through Euroclear or Clearstream.

          SECTION 2.2. Execution and Authentication
                       ----------------------------

          An Officer of each Issuer shall sign the Notes for the Issuers by
manual or facsimile signature.

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

          A Note shall not be valid until an authorized signatory of the
Trustee, upon a written order of the Issuers signed by an Officer of each of the
Issuers (an "Authentication Order"), manually authenticates the Note. The
signature of the Trustee on a Note shall be conclusive evidence that such Note
has been duly and validly authenticated and issued under this Indenture.

          The Trustee may appoint an agent (the "Authenticating Agent")
reasonably acceptable to the Issuers to authenticate the Notes. Unless limited
by the terms of such appointment, any such Authenticating Agent may authenticate
Notes whenever the Trustee may do so. Each reference in this Indenture to
authentication by the Trustee includes authentication by such agent.

          SECTION 2.3. Registrar and Paying Agent
                       --------------------------
<PAGE>

                                                                              32

          The Company shall (i) appoint an agent (the "Registrar") who shall
maintain an office or agency where Notes may be presented for registration of
transfer or for exchange and (ii) an agent (the "Paying Agent") who shall
maintain an office or agency where Notes may be presented for payment. The
Registrar shall keep a register of the Notes and of their transfer and exchange.
The Registrar and the Paying Agent shall initially be the Company. The Company
may have one or more co-registrars and one or more additional paying agents. The
term "Paying Agent" includes any such additional paying agent.

          In the event the Company shall retain any Person not a party to this
Indenture as an agent hereunder, the Company shall enter into an appropriate
agency agreement with any Registrar, Paying Agent or co-registrar not a party to
this Indenture, which shall incorporate the terms of the TIA. The agreement
shall implement the provisions of this Indenture that relate to such agent. The
Company shall promptly notify the Trustee of the name and address of each such
agent. If the Company fails to maintain a Registrar or Paying Agent, the Trustee
shall act as such and shall be entitled to appropriate compensation therefor
pursuant to Section 7.7. The Company or any of its domestically incorporated
Wholly Owned Subsidiaries may act as Paying Agent.

          The Issuers initially appoint The Depository Trust Company to act as
depositary with respect to the Global Notes.

          SECTION 2.4. Paying Agent to Hold Money in Trust
                       -----------------------------------

          By at least 11:00 a.m. prevailing Eastern (U.S.) time on the date on
which any principal or interest on any Note is due and payable, the Issuers
shall deposit with the Paying Agent a sum sufficient to pay such principal or
interest when due. The Issuers shall require each Paying Agent (other than the
Trustee) to agree in writing that such Paying Agent shall hold in trust for the
benefit of Noteholders or the Trustee all money held by such Paying Agent for
the payment of principal or interest on the Notes and shall notify the Trustee
of any default by the Issuers in making any such payment. If the Company or any
of its Subsidiaries acts as Paying Agent, it shall segregate the money held by
it as Paying Agent and hold it as a separate trust fund. The Issuers at any time
may require a Paying Agent (other than the Trustee) to pay all money held by it
to the Trustee and to account for any funds disbursed by such Paying Agent. Upon
complying with this Section 2.4, the Paying Agent (if other than either Issuer
or any of its Subsidiaries) shall have no further liability for the money
delivered to the Trustee. Upon any bankruptcy, reorganization or similar
proceeding with respect to the Issuers, the Trustee shall serve as Paying Agent
for the Notes.

          SECTION 2.5. Noteholder Lists
                       ----------------

          The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of
Noteholders. If the Trustee or any Paying Agent is not the Registrar, the
Issuers shall cause the Registrar to furnish to the Trustee or any such Paying
Agent, in writing at least five Business Days before each interest payment date
and at such other times as the Trustee or any such Paying Agent may request in
writing, a list in such form and as of such date as the Trustee may reasonably
require of the names and addresses of Noteholders.

          SECTION 2.6. Transfer and Exchange
                       ---------------------
<PAGE>

                                                                              33

          (a) Transfer and Exchange of Global Notes.
              -------------------------------------

          A Global Note may not be transferred except as a whole by the
Depositary to a nominee of the Depositary, by a nominee of the Depositary to the
Depositary or to another nominee of the Depositary, or by the Depositary or any
such nominee to a successor Depositary or a nominee of such successor
Depositary. All Global Notes will be exchanged by the Issuers for Definitive
Notes if (i) the Depositary notifies the Issuers that it is unwilling or unable
to continue to act as Depositary or that it is no longer a clearing agency
registered under the Exchange Act and, in either case, the Issuers are unable to
locate a qualified successor Depositary within 90 days after the date of such
notice from the Depositary or (ii) the Issuers, in their discretion at any time,
determine not to have all the Notes represented by Global Notes or (iii) a
Default entitling the Holders to accelerate the maturity of the Notes has
occurred and is continuing. Upon the occurrence of either of the preceding
events in (i), (ii) or (iii) above, Definitive Notes shall be issued in such
names as the Depositary shall instruct the Trustee in writing. Global Notes also
may be exchanged or replaced, in whole or in part, as provided in Sections 2.7
and 2.11 hereof. Every Note authenticated and delivered in exchange for, or in
lieu of, a Global Note or any portion thereof, pursuant to this Section 2.6 or
Section 2.7 or 2.10 hereof, shall be authenticated and delivered in the form of,
and shall be, a Global Note, except as otherwise provided herein. A Global Note
may not be exchanged for another Note other than as provided in this Section
2.6(a), however, beneficial interests in a Global Note may be transferred and
exchanged as provided in Section 2.6(b), (c) or (f) hereof.

          (b) Transfer and Exchange of Beneficial Interests in the Global Notes.
              -----------------------------------------------------------------

          The transfer and exchange of beneficial interests in the Global Notes
shall be effected through the Depositary, in accordance with the provisions of
this Indenture and the Applicable Procedures. Beneficial interests in the
Restricted Global Notes shall be subject to restrictions on transfer comparable
to those set forth herein to the extent required by the Securities Act.
Transfers of beneficial interests in the Global Notes also shall require
compliance with either subparagraph (i) or (ii) below, as applicable, as well as
one or more of the other following subparagraphs, as applicable:

               (i) Transfer of Beneficial Interests in the Same Global Note.
     Beneficial interests in any Restricted Global Note may be transferred to
     Persons who take delivery thereof in the form of a beneficial interest in
     the same Restricted Global Note in accordance with the transfer
     restrictions set forth in the Private Placement Legend. Beneficial
     interests in any Unrestricted Global Note may be transferred to Persons who
     take delivery thereof in the form of a beneficial interest in an
     Unrestricted Global Note. No written orders or instructions shall be
     required to be delivered to the Registrar to effect the transfers described
     in this Section 2.6(b)(i).

               (ii) All Other Transfers and Exchanges of Beneficial Interests in
     Global Notes. In connection with all transfers and exchanges of beneficial
     interests that are not subject to Section 2.6(b)(i) above, the transferor
     of such beneficial interest must deliver to the Registrar either (A) (1) a
     written order from a Participant or an Indirect Participant given to the
     Depositary in accordance with the Applicable Procedures directing the
     Depositary to credit or cause to be credited a beneficial interest in
     another Global Note in an amount equal to the beneficial interest to be
     transferred or exchanged and (2) instructions given in accordance with the
     Applicable Procedures containing information regarding the Participant
     account to be credited with such increase or (B) (1)
<PAGE>

                                                                              34

     a written order from a Participant or an Indirect Participant given to the
     Depositary in accordance with the Applicable Procedures directing the
     Depositary to cause to be issued a Definitive Note in an amount equal to
     the beneficial interest to be transferred or exchanged and (2) instructions
     given by the Depositary to the Registrar containing information regarding
     the Person in whose name such Definitive Note shall be registered to effect
     the transfer or exchange referred to in (B)(1) above. Upon consummation of
     an Exchange Offer by the Issuers in accordance with Section 2.6(f) hereof,
     the requirements of this Section 2.6(b)(ii) shall be deemed to have been
     satisfied upon receipt by the Registrar of the instructions contained in
     the Letter of Transmittal delivered by the Holder of such beneficial
     interests in the Restricted Global Notes. Upon satisfaction of all of the
     requirements for transfer or exchange of beneficial interests in Global
     Notes contained in this Indenture and the Notes or otherwise applicable
     under the Securities Act, the Trustee shall adjust the principal amount of
     the relevant Global Note(s) pursuant to Section 2.6(h) hereof.

               (iii) Transfer of Beneficial Interests to Another Restricted
     Global Note. A beneficial interest in any Restricted Global Note may be
     transferred to a Person who takes delivery thereof in the form of a
     beneficial interest in another Restricted Global Note if the transfer
     complies with the requirements of Section 2.6(b)(ii) above and the
     Registrar receives a certificate in the form of Exhibit B hereto, including
     the certifications in item (1) or (2) thereof, as applicable.

               (iv) Transfer and Exchange of Beneficial Interests in a
     Restricted Global Note for Beneficial Interests in an Unrestricted Global
     Note. A beneficial interest in any Restricted Global Note may be exchanged
     by any holder thereof for a beneficial interest in an Unrestricted Global
     Note or transferred to a Person who takes delivery thereof in the form of a
     beneficial interest in an Unrestricted Global Note if the exchange or
     transfer complies with the requirements of Section 2.6(b)(ii) above and:

                    (A) such exchange or transfer is effected pursuant to the
               Exchange Offer in accordance with the Registration Rights
               Agreement and the holder of the beneficial interest to be
               transferred, in the case of an exchange, or the transferee, in
               the case of a transfer, certifies in the applicable Letter of
               Transmittal that it is not (1) a Broker-Dealer, (2) a Person
               participating in the distribution of the Exchange Notes or (3) a
               Person who is an Affiliate of the Company;

                    (B) such transfer is effected pursuant to the Shelf
               Registration Statement in accordance with the Registration Rights
               Agreement;

                    (C) such transfer is effected by a Broker-Dealer pursuant to
               the Exchange Offer Registration Statement in accordance with the
               Registration Rights Agreement; or

                    (D) the Registrar receives the following:

                         (1) if the holder of such beneficial interest in a
                    Restricted Global Note proposes to exchange such beneficial
                    interest for a beneficial interest in an Unrestricted Global
                    Note, a certificate
<PAGE>

                                                                              35

                    from such holder in the form of Exhibit C hereto, including
                    the certifications in item (1)(a) thereof; or

                         (2) if the holder of such beneficial interest in a
                    Restricted Global Note proposes to transfer such beneficial
                    interest to a Person who shall take delivery thereof in the
                    form of a beneficial interest in an Unrestricted Global
                    Note, a certificate from such holder in the form of Exhibit
                    B hereto, including the certifications in item (4) thereof;

          and, in each such case set forth in this subparagraph (D), if the
          Registrar so requests or if the Applicable Procedures so require, an
          Opinion of Counsel in form reasonably acceptable to the Registrar to
          the effect that such exchange or transfer is in compliance with the
          Securities Act and that the restrictions on transfer contained herein
          and in the Private Placement Legend are no longer required in order to
          maintain compliance with the Securities Act.

          If any such transfer is effected pursuant to subparagraph (B) or (D)
above at a time when an Unrestricted Global Note has not yet been issued, the
Issuers shall issue and, upon receipt of an Authentication Order in accordance
with Section 2.2 hereof, the Trustee shall authenticate one or more Unrestricted
Global Notes in an aggregate principal amount equal to the aggregate principal
amount of beneficial interests transferred pursuant to subparagraph (B) or (D)
above.

               (v) Beneficial interests in an Unrestricted Global Note cannot be
     exchanged for, or transferred to Persons who take delivery thereof in the
     form of, a beneficial interest in a Restricted Global Note.

          (c) Transfer or Exchange of Beneficial Interests for Definitive Notes.
              -----------------------------------------------------------------

               (i) Beneficial Interests in Restricted Global Notes to Restricted
     Definitive Notes. If any holder of a beneficial interest in a Restricted
     Global Note proposes to exchange such beneficial interest for a Restricted
     Definitive Note or to transfer such beneficial interest to a Person who
     takes delivery thereof in the form of a Restricted Definitive Note, then,
     upon receipt by the Registrar of the following documentation:

                    (A) if the holder of such beneficial interest in a
          Restricted Global Note proposes to exchange such beneficial interest
          for a Restricted Definitive Note, a certificate from such holder in
          the form of Exhibit C hereto, including the certifications in item
          (2)(a) thereof;

                    (B) if such beneficial interest is being transferred to a
          Qualified Institutional Buyer in accordance with Rule 144A under the
          Securities Act, a certificate to the effect set forth in Exhibit B
          hereto, including the certifications in item (1) thereof;

                    (C) if such beneficial interest is being transferred to a
          Non-U.S. Person in an offshore transaction in accordance with Rule 903
          or Rule 904 under
<PAGE>

                                                                              36

          the Securities Act, a certificate to the effect set forth in Exhibit B
          hereto, including the certifications in item (2) thereof;

                    (D) if such beneficial interest is being transferred
          pursuant to an exemption from the registration requirements of the
          Securities Act in accordance with Rule 144 under the Securities Act, a
          certificate to the effect set forth in Exhibit B hereto, including the
          certifications in item (3)(a) thereof;

                    (E) if such beneficial interest is being transferred to the
          Issuers or any of their respective Subsidiaries, a certificate to the
          effect set forth in Exhibit B hereto, including the certifications in
          item (3)(b) thereof; or

                    (F) if such beneficial interest is being transferred
          pursuant to an effective registration statement under the Securities
          Act, a certificate to the effect set forth in Exhibit B hereto,
          including the certifications in item (3)(c) thereof,

the Trustee shall cause the aggregate principal amount of the applicable Global
Note to be reduced accordingly pursuant to Section 2.6(h) hereof, and the
Issuers shall execute and the Trustee shall upon receipt of an Authentication
Order authenticate and deliver to the Person designated in the instructions a
Definitive Note in the appropriate principal amount. Any Definitive Note issued
in exchange for a beneficial interest in a Restricted Global Note pursuant to
this Section 2.6(c) shall be registered in such name or names and in such
authorized denomination or denominations as the holder of such beneficial
interest shall instruct the Registrar through instructions from the Depositary
and the Participant or Indirect Participant. The Trustee shall (at the expense
of the Issuers) deliver such Definitive Notes to the Persons in whose names such
Notes are so registered. Any Definitive Note issued in exchange for a beneficial
interest in a Restricted Global Note pursuant to this Section 2.6(c)(i) shall
bear the Private Placement Legend and shall be subject to all restrictions on
transfer contained therein.

               (ii) Beneficial Interests in Restricted Global Notes to
     Unrestricted Definitive Notes. A holder of a beneficial interest in a
     Restricted Global Note may exchange such beneficial interest for an
     Unrestricted Definitive Note or may transfer such beneficial interest to a
     Person who takes delivery thereof in the form of an Unrestricted Definitive
     Note only if:

                    (A) such exchange or transfer is effected pursuant to the
               Exchange Offer in accordance with the Registration Rights
               Agreement and the holder of such beneficial interest, in the case
               of an exchange, or the transferee, in the case of a transfer,
               certifies in the Letter of Transmittal that it is not (1) a
               Broker-Dealer, (2) a Person participating in the distribution of
               the Exchange Notes or (3) a Person who is an Affiliate of the
               Issuers;

                    (B) such transfer is effected pursuant to the Shelf
               Registration Statement in accordance with the Registration Rights
               Agreement;

                    (C) such transfer is effected by a Broker-Dealer pursuant to
               the Exchange Offer Registration Statement in accordance with the
               Registration Rights Agreement; or
<PAGE>

                                                                              37

                    (D) the Registrar receives the following:

                         (1) if the holder of such beneficial interest in a
                    Restricted Global Note proposes to exchange such beneficial
                    interest for a Definitive Note that does not bear the
                    Private Placement Legend, a certificate from such holder in
                    the form of Exhibit C hereto, including the certifications
                    in item (1)(b) thereof; or

                         (2) if the holder of such beneficial interest in a
                    Restricted Global Note proposes to transfer such beneficial
                    interest to a Person who shall take delivery thereof in the
                    form of a Definitive Note that does not bear the Private
                    Placement Legend, a certificate from such holder in the form
                    of Exhibit B hereto, including the certifications in item
                    (4) thereof,

     and, in each such case set forth in this subparagraph (D), if the Registrar
     so requests or if the Applicable Procedures so require, an Opinion of
     Counsel in form reasonably acceptable to the Registrar to the effect that
     such exchange or transfer is in compliance with the Securities Act and that
     the restrictions on transfer contained herein and in the Private Placement
     Legend are no longer required in order to maintain compliance with the
     Securities Act.

               (iii) Beneficial Interests in Unrestricted Global Notes to
     Unrestricted Definitive Notes. If any holder of a beneficial interest in an
     Unrestricted Global Note proposes to exchange such beneficial interest for
     a Definitive Note or to transfer such beneficial interest to a Person who
     takes delivery thereof in the form of a Definitive Note, then, upon
     satisfaction of the conditions set forth in Section 2.6(b)(ii) hereof, the
     Trustee shall cause the aggregate principal amount of the applicable Global
     Note to be reduced accordingly pursuant to Section 2.6(h) hereof, and the
     Issuers shall execute and the Trustee shall upon receipt of an
     Authentication Order authenticate and (at the expense of the Company)
     deliver to the Person designated in the instructions a Definitive Note in
     the appropriate principal amount. Any Definitive Note issued in exchange
     for a beneficial interest pursuant to this Section 2.6(c)(iii) shall be
     registered in such name or names and in such authorized denomination or
     denominations as the holder of such beneficial interest shall instruct the
     Registrar through instructions from the Depositary and the Participant or
     Indirect Participant. The Trustee shall (at the expense of the Issuers)
     deliver such Definitive Notes to the Persons in whose names such Notes are
     so registered. Any Definitive Note issued in exchange for a beneficial
     interest pursuant to this Section 2.6(c)(iii) shall not bear the Private
     Placement Legend.

          (d) Transfer and Exchange of Definitive Notes for Beneficial Interests
              ------------------------------------------------------------------
in Global Notes.
---------------

               (i) Restricted Definitive Notes to Beneficial Interests in
     Restricted Global Notes. If any Holder of a Restricted Definitive Note
     proposes to exchange such Note for a beneficial interest in a Restricted
     Global Note or to transfer such Restricted Definitive Note to a Person who
     takes delivery thereof in the form of a beneficial interest in a Restricted
     Global Note, then, upon receipt by the Registrar of the following
     documentation:
<PAGE>

                                                                              38

                    (A) if the Holder of such Restricted Definitive Note
               proposes to exchange such Note for a beneficial interest in a
               Restricted Global Note, a certificate from such Holder in the
               form of Exhibit C hereto, including the certifications in item
               (2)(b) thereof;

                    (B) if such Restricted Definitive Note is being transferred
               to a Qualified Institutional Buyer in accordance with Rule 144A
               under the Securities Act, a certificate to the effect set forth
               in Exhibit B hereto, including the certifications in item (1)
               thereof;

                    (C) if such Restricted Definitive Note is being transferred
               to a Non-U.S. Person in an offshore transaction in accordance
               with Rule 903 or Rule 904 under the Securities Act, a certificate
               to the effect set forth in Exhibit B hereto, including the
               certifications in item (2) thereof;

                    (D) if such Restricted Definitive Note is being transferred
               pursuant to an exemption from the registration requirements of
               the Securities Act in accordance with Rule 144 under the
               Securities Act, a certificate to the effect set forth in Exhibit
               B hereto, including the certifications in item (3)(a) thereof;

                    (E) if such Restricted Definitive Note is being transferred
               to the Issuers or any of their respective Subsidiaries, a
               certificate to the effect set forth in Exhibit B hereto,
               including the certifications in item (3)(b) thereof; or

                    (F) if such Restricted Definitive Note is being transferred
               pursuant to an effective registration statement under the
               Securities Act, a certificate to the effect set forth in Exhibit
               B hereto, including the certifications in item (3)(c) thereof;

the Trustee shall cancel the Restricted Definitive Note and increase or cause to
be increased the aggregate principal amount of the appropriate Restricted Global
Note.

               (ii) Restricted Definitive Notes to Beneficial Interests in
     Unrestricted Global Notes. A Holder of a Restricted Definitive Note may
     exchange such Note for a beneficial interest in an Unrestricted Global Note
     or transfer such Restricted Definitive Note to a Person who takes delivery
     thereof in the form of a beneficial interest in an Unrestricted Global Note
     only if:

                    (A) such exchange or transfer is effected pursuant to the
               Exchange Offer in accordance with the Registration Rights
               Agreement and the Holder, in the case of an exchange, or the
               transferee, in the case of a transfer, certifies in the Letter of
               Transmittal that it is not (1) a Broker-Dealer, (2) a Person
               participating in the distribution of the Exchange Notes or (3) a
               Person who is an Affiliate of the Issuers;

                    (B) such transfer is effected pursuant to the Shelf
               Registration Statement in accordance with the Registration Rights
               Agreement;
<PAGE>

                                                                              39

                    (C) such transfer is effected by a Broker-Dealer pursuant to
               the Exchange Offer Registration Statement in accordance with the
               Registration Rights Agreement; or

                    (D) the Registrar receives the following:

                         (1) if the Holder of such Definitive Notes proposes to
                    exchange such Notes for a beneficial interest in the
                    Unrestricted Global Note, a certificate from such Holder in
                    the form of Exhibit C hereto, including the certifications
                    in item (1)(c) thereof; or

                         (2) if the Holder of such Definitive Notes proposes to
                    transfer such Notes to a Person who shall take delivery
                    thereof in the form of a beneficial interest in the
                    Unrestricted Global Note, a certificate from such Holder in
                    the form of Exhibit B hereto, including the certifications
                    in item (4) thereof;

     and, in each such case set forth in this subparagraph (D), if the Registrar
     so requests or if the Applicable Procedures so require, an Opinion of
     Counsel in form reasonably acceptable to the Registrar to the effect that
     such exchange or transfer is in compliance with the Securities Act and that
     the restrictions on transfer contained herein and in the Private Placement
     Legend are no longer required in order to maintain compliance with the
     Securities Act.

Upon satisfaction of the conditions of any of the subparagraphs in this Section
2.6(d)(ii), the Trustee shall cancel the Definitive Notes and increase or cause
to be increased the aggregate principal amount of the Unrestricted Global Note.

               (iii) Unrestricted Definitive Notes to Beneficial Interests in
     Unrestricted Global Notes. A Holder of an Unrestricted Definitive Note may
     exchange such Note for a beneficial interest in an Unrestricted Global Note
     or transfer such Definitive Notes to a Person who takes delivery thereof in
     the form of a beneficial interest in an Unrestricted Global Note at any
     time. Upon receipt of a written request for such an exchange or transfer,
     the Trustee shall cancel the applicable Unrestricted Definitive Note and
     increase or cause to be increased the aggregate principal amount of one of
     the Unrestricted Global Notes.

               (iv) If any such exchange or transfer from a Definitive Note to a
     beneficial interest in an Unrestricted Global Note is effected pursuant to
     subparagraphs (ii)(B), (ii)(D) or (iii) above at a time when an
     Unrestricted Global Note has not yet been issued, the Issuers shall issue
     and, upon receipt of an Authentication Order in accordance with Section 2.2
     hereof, the Trustee shall authenticate one or more Unrestricted Global
     Notes in an aggregate principal amount equal to the principal amount of
     Definitive Notes so transferred.

          (e) Transfer and Exchange of Definitive Notes for Definitive Notes.
              --------------------------------------------------------------

          Upon request by a Holder of Definitive Notes and such Holder's
compliance with the provisions of this Section 2.6(e), the Registrar shall
register the transfer or exchange of Definitive Notes. Prior to such
registration of transfer or exchange, the requesting Holder shall
<PAGE>

                                                                              40

present or surrender to the Registrar the Definitive Notes duly endorsed or
accompanied by a written instruction of transfer in form satisfactory to the
Registrar duly executed by such Holder or by his attorney, duly authorized in
writing. In addition, the requesting Holder shall provide any additional
certifications, documents and information, as applicable, required pursuant to
the following provisions of this Section 2.6(e).

               (i) Restricted Definitive Notes to Restricted Definitive Notes.
     Any Restricted Definitive Note may be transferred to and registered in the
     name of Persons who take delivery thereof in the form of a Restricted
     Definitive Note if the Registrar receives the following:

                    (A) if the transfer will be made pursuant to Rule 144A under
               the Securities Act, then the transferor must deliver a
               certificate in the form of Exhibit B hereto, including the
               certifications in item (1) thereof;

                    (B) if the transfer will be made pursuant to Rule 903 or
               Rule 904, then the transferor must deliver a certificate in the
               form of Exhibit B hereto, including the certifications in item
               (2) thereof; and

                    (C) if the transfer will be made pursuant to any other
               exemption from the registration requirements of the Securities
               Act, then the transferor must deliver a certificate in the form
               of Exhibit B hereto, including the certifications required by
               item (3) thereof.

               (ii) Restricted Definitive Notes to Unrestricted Definitive
     Notes. Any Restricted Definitive Note may be exchanged by the Holder
     thereof for an Unrestricted Definitive Note or transferred to a Person or
     Persons who take delivery thereof in the form of an Unrestricted Definitive
     Note if:

                    (A) such exchange or transfer is effected pursuant to the
               Exchange Offer in accordance with the Registration Rights
               Agreement and the Holder, in the case of an exchange, or the
               transferee, in the case of a transfer, certifies in the Letter of
               Transmittal that it is not (1) a Broker-Dealer, (2) a Person
               participating in the distribution of the Exchange Notes or (3) a
               Person who is an Affiliate of the Company;

                    (B) any such transfer is effected pursuant to the Shelf
               Registration Statement in accordance with the Registration Rights
               Agreement;

                    (C) any such transfer is effected by a Broker-Dealer
               pursuant to the Exchange Offer Registration Statement in
               accordance with the Registration Rights Agreement; or

                    (D) the Registrar receives the following:

                         (1) if the Holder of such Restricted Definitive Notes
                    proposes to exchange such Notes for an Unrestricted
                    Definitive Note, a certificate from such Holder in the form
                    of Exhibit C hereto, including the certifications in item
                    (1)(d) thereof; or
<PAGE>

                                                                              41

                         (2) if the Holder of such Restricted Definitive Notes
                    proposes to transfer such Notes to a Person who shall take
                    delivery thereof in the form of an Unrestricted Definitive
                    Note, a certificate from such Holder in the form of Exhibit
                    B hereto, including the certifications in item (4) thereof;

          and, in each such case set forth in this subparagraph (D), if the
          Registrar so requests, an Opinion of Counsel in form reasonably
          acceptable to the Registrar to the effect that such exchange or
          transfer is in compliance with the Securities Act and that the
          restrictions on transfer contained herein and in the Private Placement
          Legend are no longer required in order to maintain compliance with the
          Securities Act.

               (iii) Unrestricted Definitive Notes to Unrestricted Definitive
     Notes. A Holder of Unrestricted Definitive Notes may transfer such Notes to
     a Person who takes delivery thereof in the form of an Unrestricted
     Definitive Note. Upon receipt of a request to register such a transfer, the
     Registrar shall register the Unrestricted Definitive Notes pursuant to the
     instructions from the Holder thereof.

          (f) Exchange Offer.
              --------------

     Upon the occurrence of the Exchange Offer in accordance with the
Registration Rights Agreement, the Issuers shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.2, the Trustee shall
authenticate (i) one or more Unrestricted Global Notes in an aggregate principal
amount equal to the principal amount of the beneficial interests in the
Restricted Global Notes tendered for acceptance by Persons that certify in the
Letters of Transmittal that (x) they are not Broker-Dealers, (y) they are not
participating in a distribution of the Exchange Notes and (z) they are not
Affiliates of the Issuers, and accepted for exchange in the Exchange Offer and
(ii) Definitive Notes in an aggregate principal amount equal to the principal
amount of the Restricted Definitive Notes accepted for exchange in the Exchange
Offer. Concurrently with the issuance of such Notes, the Trustee shall cause the
aggregate principal amount of the applicable Restricted Global Notes to be
reduced accordingly, and the Issuers shall execute and the Trustee shall
authenticate and (at the expense of the Issuers) deliver to the Persons
designated by the Holders of Definitive Notes so accepted Definitive Notes in
the appropriate principal amount.

          (g) Legends.
              -------

     The following legends shall appear on the face of all Global Notes and
Definitive Notes issued under this Indenture unless specifically stated
otherwise in the applicable provisions of this Indenture.

               (i) Private Placement Legend.

                    (A) Except as permitted by subparagraph (B) below, each
          Global Note and each Definitive Note (and all Notes issued in exchange
          therefor or substitution thereof) shall bear the legend in
          substantially the following form:

               "THIS NOTE (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A
          TRANSACTION EXEMPT FROM REGISTRATION UNDER THE
<PAGE>

                                                                              42

          UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES
          ACT"), AND THIS NOTE MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED
          IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION
          THEREFROM. EACH PURCHASER OF THIS NOTE IS HEREBY NOTIFIED THAT THE
          SELLER OF THIS NOTE MAY BE RELYING ON THE EXEMPTION FROM THE
          PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A
          THEREUNDER.

          THE HOLDER OF THIS NOTE AGREES FOR THE BENEFIT OF THE ISSUERS THAT (A)
          THIS NOTE MAY BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED,
          ONLY (I) IN THE UNITED STATES TO A PERSON WHOM THE SELLER REASONABLY
          BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
          UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF
          RULE 144A, (II) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION
          IN ACCORDANCE WITH RULE 904 UNDER THE SECURITIES ACT, (III) PURSUANT
          TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY
          RULE 144 THEREUNDER (IF AVAILABLE) OR (IV) PURSUANT TO AN EFFECTIVE
          REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I)
          THROUGH (IV) IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY
          STATE OF THE UNITED STATES, AND (B) THE HOLDER WILL, AND EACH
          SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS NOTE
          FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN (A) ABOVE".

                    (B) Notwithstanding the foregoing, any Global Note or
          Definitive Note issued pursuant to subparagraphs (b)(iv), (c)(ii),
          (c)(iii), (d)(ii), (d)(iii), (e)(ii), (e)(iii) or (f) to this Section
          2.6 (and all Notes issued in exchange therefor or substitution
          thereof) shall not bear the Private Placement Legend.

               (ii) Global Note Legend. Each Global Note shall bear a legend in
     substantially the following form:

          "THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE
          INDENTURE GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY FOR THE
          BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO
          ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY
          MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.6
          OF THE INDENTURE, (II) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE BUT
          NOT IN PART PURSUANT TO SECTION 2.6(a) OF THE INDENTURE, (III) THIS
          GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT
          TO SECTION 2.11 OF THE INDENTURE AND (IV) THIS GLOBAL NOTE MAY BE
          TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN CONSENT
          OF THE ISSUERS.
<PAGE>

                                                                              43

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

          (h) Cancellation and/or Adjustment of Global Notes.
              ----------------------------------------------

          At such time as all beneficial interests in a particular Global Note
have been exchanged for Definitive Notes or a particular Global Note has been
redeemed, repurchased or canceled in whole and not in part, each such Global
Note shall be returned to or retained and canceled by the Trustee in accordance
with Section 2.11 hereof. At any time prior to such cancellation, if any
beneficial interest in a Global Note is exchanged for or transferred to a Person
who will take delivery thereof in the form of a beneficial interest in another
Global Note or for Definitive Notes, the principal amount of Notes represented
by such Global Note shall be reduced accordingly and an endorsement shall be
made on such Global Note by the Trustee or by the Depositary at the direction of
the Trustee to reflect such reduction; and if the beneficial interest is being
exchanged for or transferred to a Person who will take delivery thereof in the
form of a beneficial interest in another Global Note, such other Global Note
shall be increased accordingly and an endorsement shall be made on such Global
Note by the Trustee or by the Depositary at the direction of the Trustee to
reflect such increase.

          (i) Upon the consummation of a Private Exchange with respect to the
Initial Notes pursuant to which Holders of such Initial Notes are offered
Private Exchange Notes in exchange for their Initial Notes, all requirements
pertaining to such Initial Notes that Initial Notes issued to certain Holders be
issued in global form will still apply, and Private Exchange Notes in global
form will be available to Holders that exchange such Initial Notes in such
Private Exchange.

          (j) General Provisions Relating to Transfers and Exchanges.
              ------------------------------------------------------

               (i) To permit registrations of transfers and exchanges, the
     Issuers shall execute and the Trustee shall authenticate Global Notes and
     Definitive Notes upon receipt of an Authentication Order in accordance with
     Section 2.2 hereof or upon receipt of a written request of the Registrar.

               (ii) No service charge shall be made to a holder of a beneficial
     interest in a Global Note or to a Holder of a Definitive Note for any
     registration of transfer or exchange, but the Issuers may require payment
     of a sum sufficient to cover any transfer tax or similar governmental
     charge payable in connection therewith (other than any such transfer taxes
     or similar governmental charge payable upon exchange or transfer pursuant
     to Sections 2.10, 3.6 and 9.5 hereof).
<PAGE>

                                                                              44

               (iii) The Registrar shall not be required to register the
     transfer of or exchange any Note selected for redemption in whole or in
     part, except the unredeemed portion of any Note being redeemed in part.

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

               (v) The Issuers shall not be required (A) to issue, to register
     the transfer of or to exchange any Notes during a period beginning at the
     opening of business 15 days before the day of any selection of Notes for
     redemption under Section 3.2 hereof and ending at the close of business on
     the day of selection, (B) to register the transfer of or to exchange any
     Note so selected for redemption in whole or in part, except the unredeemed
     portion of any Note being redeemed in part or (c) to register the transfer
     of or to exchange a Note between a record date and the next succeeding
     interest payment date.

               (vi) Prior to due presentment for the registration of a transfer
     of any Note, the Trustee, any Agent and the Issuers may deem and treat the
     Person in whose name any Note is registered as the absolute owner of such
     Note for the purpose of receiving payment of principal of and interest on
     such Note and for all other purposes, and none of the Trustee, any Agent or
     the Issuers shall be affected by notice to the contrary.

               (vii) Each Holder of a Security agrees to indemnify the Company
     and the Trustee against any liability that may result from the transfer,
     exchange or assignment of such Holder's Security in violation of any
     provision of this Indenture and/or applicable United States Federal or
     state securities law.

               The Trustee shall have no obligation or duty to monitor,
     determine or inquire as to compliance with any restrictions on
     transfer imposed under this Indenture or under applicable law with
     respect to any transfer of any interest in any Security (including any
     transfers between or among Depositary Participants or beneficial
     owners of interests in any Global Security) other than to require
     delivery of such certificates and other documentation or evidence as
     are expressly required by, and to do so if and when expressly required
     by the terms of, this Indenture, and to examine the same to determine
     substantial compliance as to form with the express requirements
     hereof.

               (viii) The Trustee shall authenticate Global Notes and Definitive
     Notes in accordance with the provisions of Section 2.2 hereof.

               (ix) All certifications, certificates and Opinions of Counsel
     required to be submitted to the Registrar pursuant to this Section 2.6 to
     effect a registration of transfer or exchange may be submitted by
     facsimile.

          SECTION 2.7. Replacement Notes
                       -----------------
<PAGE>

                                                                              45

          If a mutilated Note is surrendered to the Registrar or if the Holder
of a Note shall provide the Issuers and the Trustee with evidence to their
satisfaction that the Note has been lost, destroyed or wrongfully taken, the
Issuers shall issue and the Trustee shall authenticate a replacement Note if the
requirements of Section 8-405 of the Uniform Commercial Code are met and the
Holder satisfies any other reasonable requirements of the Trustee. If required
by the Trustee or either of the Issuers, such Holder shall furnish an indemnity
bond sufficient in the judgment of the Issuers and the Trustee to protect the
Issuers, the Trustee, the Paying Agent, the Registrar and any co-registrar from
any loss which any of them may suffer if a Note is replaced. The Issuers and the
Trustee may charge the Holder for their expenses in replacing a Note, including
reasonable fees and expenses of counsel. Every replacement Note is an additional
Obligation of the Issuers.

          SECTION 2.8. Outstanding Notes
                       -----------------

          Notes outstanding at any time are all Notes authenticated by the
Trustee except for those canceled, those delivered for cancellation and those
described in this Section 2.8 as not outstanding. A Note does not cease to be
outstanding because an Issuer or an Affiliate of an Issuer holds the Note.

          If a Note is replaced pursuant to Section 2.7, it ceases to be
outstanding unless the Trustee and the Issuers receive proof satisfactory to
them that the replaced Note is held by a bona fide purchaser.

          If the Paying Agent segregates and holds in trust, in accordance with
this Indenture, on a redemption date or maturity date money sufficient to pay
all principal and interest payable on that date with respect to the Notes (or
portions thereof) to be redeemed or maturing, as the case may be, and the Paying
Agent is not prohibited from paying such money to the Noteholders on that date
pursuant to the terms of this Indenture, then on and after that date such Notes
(or portions thereof) cease to be outstanding and interest on them ceases to
accrue.

          SECTION 2.9. Treasury Notes
                       --------------

          In determining whether the Holders of the required principal amount of
Notes have concurred in any direction, waiver or consent, Notes owned by any
Issuer, the Guarantor or by any Person directly or indirectly controlling or
controlled by or under direct or indirect common control with any Issuer or the
Guarantor shall be considered as though not outstanding, except that for the
purposes of determining whether the Trustee shall be protected in relying on any
such direction, waiver or consent, only Notes that a Trust Officer actually
knows are so owned shall be so disregarded.

          SECTION 2.10. Temporary Notes
                        ---------------

          Until Definitive Notes are ready for delivery, the Issuers may prepare
and the Trustee, upon receipt of an Authentication Order, shall authenticate
temporary Notes. Temporary Notes shall be substantially in the form of
Definitive Notes but may have variations that the Issuers and the Trustee
consider appropriate for temporary Notes. Without unreasonable delay, the
Issuers shall prepare and the Trustee shall authenticate Definitive Notes. After
the preparation of Definitive Notes, the temporary Notes shall be exchangeable
for Definitive Notes upon surrender of the temporary Notes at any office or
agency maintained by the Issuers for that purpose and such exchange shall be
without charge to the Holder. Upon surrender for
<PAGE>

                                                                              46

cancellation of any one or more temporary Notes, the Issuers shall execute, and
the Trustee shall authenticate and deliver in exchange therefor, one or more
Definitive Notes representing an equal principal amount of Notes. Until so
exchanged, the Holder of temporary Notes shall in all respects be entitled to
the same benefits under this Indenture as a Holder of Definitive Notes.

          SECTION 2.11. Cancellation
                        ------------

          The Issuers at any time may deliver Notes to the Trustee for
cancellation. The Registrar and the Paying Agent shall forward to the Trustee
for cancellation any Notes surrendered to them for registration of transfer or
exchange or payment. The Trustee shall cancel and dispose of (subject to the
record retention requirements of the Exchange Act) all Notes surrendered for
registration of transfer or exchange, payment or cancellation according to its
normal operating procedures and deliver a certificate of such destruction to the
Issuers unless the Issuers direct the Trustee to deliver canceled Notes to the
Issuers. The Issuers may not issue new Notes to replace Notes they have
redeemed, paid or delivered to the Trustee for cancellation.

          SECTION 2.12. Defaulted Interest
                        ------------------

          If the Issuers default in a payment of interest on the Notes, the
Issuers shall pay defaulted interest (plus interest on such defaulted interest
to the extent lawful) at the rate specified therefor in the Notes in any lawful
manner. The Issuers may pay the defaulted interest to the Persons who are
Noteholders on a subsequent special record date. The Issuers shall fix or cause
to be fixed (or upon the Issuers' failure to do so the Trustee shall fix) any
such special record date and payment date which specified record date shall not
be less than 10 days prior to the payment date for such defaulted interest and
shall promptly mail or cause to be mailed to each Noteholder a notice that
states the special record date, the payment date and the amount of defaulted
interest to be paid. The Issuers shall notify the Trustee in writing of the
amount of defaulted interest proposed to be paid on each Note and the date of
the proposed payment, and at the same time the Issuers shall deposit with the
Paying Agent an amount of money equal to the aggregate amount proposed to be
paid in respect of such defaulted interest or shall make arrangements
satisfactory to the Trustee for such deposit prior to the date of the proposed
payment, such money when so deposited to be held in trust for the benefit of the
Person entitled to such defaulted interest as provided in this Section 2.12.

          SECTION 2.13. CUSIP Numbers
                        -------------

          The Issuers in issuing the Notes may use "CUSIP" numbers (if then
generally in use) and, if so, the Trustee shall use "CUSIP" numbers in notices
of redemption as a convenience to Holders; provided, however, that any such
notice may state that no representation is made as to the correctness of such
numbers either as printed on the Notes or as contained in any notice of a
redemption and that reliance may be placed only on the other identification
numbers printed on the Notes, and any such redemption shall not be affected by
any defect in or omission of such numbers.

                                   ARTICLE III

                                   Redemption

          SECTION 3.1. Notices to Trustee
                       ------------------
<PAGE>

                                                                              47

          If the Issuers elect to redeem Notes pursuant to the provisions of
Section 3.7, they shall notify the Trustee and the Paying Agent in writing of
the redemption date and the principal amount at maturity of Notes to be redeemed
and the redemption price.

          The Issuers shall give each notice to the Trustee and the Paying Agent
provided for in this Section 3.1 at least 15 days prior to the date notice of
redemption is to be delivered to Holders of Notes unless the Trustee and the
Paying Agent consent to a shorter period. Such notice shall be accompanied by an
Officers' Certificate from the Issuers to the effect that such redemption will
comply with the conditions herein. The record date relating to such redemption
shall be selected by the Issuers and set forth in the related notice given to
the Trustee and the Paying Agent, which record date shall be not less than 15
days prior to the date selected for redemption by the Issuers.

          SECTION 3.2. Selection of Notes to Be Redeemed
                       ---------------------------------

          In the case of any partial redemption, selection of the Notes for
redemption will be made by the Trustee in compliance with the requirements of
the principal national securities exchange, if any, on which the Notes are
listed, or, if the Notes are not so listed, on a pro rata basis, by lot or by
such other method as the Trustee in its sole discretion shall deem to be fair
and appropriate, although no Note of $1,000 in original principal amount or less
will be redeemed in part. Provisions of this Indenture that apply to Notes
called for redemption also apply to portions of Notes called for redemption.
Upon request of the Issuers, the Trustee shall notify the Issuers of the Notes
or portions of Notes to be redeemed.

          SECTION 3.3. Notice of Redemption
                       --------------------

          At least 30 days but not more than 60 days before a date for
redemption of Notes, the Trustee at the expense of the Issuers shall mail a
notice of redemption by first-class mail to each Holder of Notes to be redeemed.

          The notice shall identify the Notes to be redeemed and shall state:

          (i) the redemption date;

          (ii) the redemption price;

          (iii) the name and address of the Paying Agent;

          (iv) that Notes called for redemption must be surrendered to the
     Paying Agent to collect the redemption price plus accrued and unpaid
     interest, if any;

          (v) if fewer than all the outstanding Notes are to be redeemed, the
     identification and principal amounts of the particular Notes to be
     redeemed;

          (vi) that, unless the Issuers default in making such redemption
     payment or the Paying Agent is prohibited from making such payment pursuant
     to the terms of this Indenture, interest on Notes (or portion thereof)
     called for redemption ceases to accrue on and after the redemption date;

          (vii) the CUSIP number, if any, printed on the Notes being redeemed;
     and
<PAGE>

                                                                              48

          (viii) that no representation is made as to the correctness or
     accuracy of the CUSIP number, if any, listed in such notice or printed on
     the Notes.

          The Trustee shall give the notice of redemption in the Issuers' name
and at the Issuers' expense. In such event, the Issuers shall provide the
Trustee with the information required by this Section 3.3.

          SECTION 3.4. Effect of Notice of Redemption
                       ------------------------------

          Once notice of redemption is mailed, Notes called for redemption shall
become due and payable on the redemption date and at the redemption price stated
in the notice. Upon surrender to the Paying Agent, such Notes shall be paid at
the redemption price stated in the notice, plus accrued and unpaid interest, if
any, to the redemption date; provided that the Issuers shall have deposited the
redemption price with the Paying Agent or the Trustee on or before 11:00 a.m.
prevailing Eastern (U.S.) time on the date of redemption; provided, further,
that if the redemption date is after a regular record date and on or prior to
the related interest payment date, the accrued and unpaid interest shall be
payable to the Noteholder of the redeemed Notes registered on that record date.
Failure to give notice or any defect in the notice to any Holder shall not
affect the validity of the notice to any other Holder.

          SECTION 3.5. Deposit of Redemption Price
                       ---------------------------

          By at least 11:00 a.m. Prevailing Eastern (U.S. time) on the date on
which any principal of or interest on any Note is due and payable, the Issuers
shall deposit with the Paying Agent (or, if an Issuer or a Subsidiary is the
Paying Agent, shall segregate and hold in trust) money sufficient to pay the
redemption price of and accrued and unpaid interest, if any, on all Notes to be
redeemed on that date other than Notes or portions of Notes called for
redemption which are owned by the Issuers or any of their Subsidiaries and have
been delivered by the Issuers or any such Subsidiary to the Trustee for
cancellation.

          If the Issuers comply with the preceding paragraph, then, unless the
Issuers default in the payment of such redemption price, interest on the Notes
to be redeemed will cease to accrue on and after the applicable redemption date,
whether or not such Notes are presented for payment.

          SECTION 3.6. Notes Redeemed in Part
                       ----------------------

          Upon surrender of a Note that is redeemed in part, the Issuers shall
execute and the Trustee shall authenticate for the Holder (at the Issuers'
expense) a new Note equal in a principal amount at maturity to the unredeemed
portion of the Note surrendered.

          SECTION 3.7. Optional Redemption
                       -------------------

          Except as set forth in the following paragraphs, the Notes will not be
redeemable at the option of the Issuers prior to the Stated Maturity.

          Before August 1, 2004, the Issuers may at their option on one or more
occasions, upon not less than 30 nor more than 60 days' notice, redeem the Notes
in an aggregate principal amount not to exceed 35% of the aggregate principal
amount of the relevant series of Notes originally issued at a redemption price
(expressed as a percentage of principal amount) of
<PAGE>

                                                                              49

110.75%, plus accrued and unpaid interest to the redemption date, with the net
cash proceeds from one or more Public Equity Offerings; provided that

     (i)  at least 65% of such aggregate principal amount originally issued of
          the Notes remains outstanding immediately after the occurrence of each
          such redemption (other than Notes held, directly or indirectly, by the
          Company or its Affiliates); and

     (ii) each such redemption occurs within 60 days after the date of the
          related Public Equity Offering.

          Further, at any time on or prior to December 31, 2002, the Issuers
may, at their option, give written notice to redeem the Notes, which notice
shall be no less than 30 nor more than 60 days prior to the redemption date, in
whole or in part at a redemption price (expressed as a percentage of principal
amount) of 101%, plus accrued and unpaid interest to the redemption date;
provided that

     (i)  the Board of Directors shall have determined not to proceed with the
          Separation (and the Guarantee of the Guarantor will stay in effect
          until the Notes are fully paid);

     (ii) if the Issuers elect to redeem the Notes in part, they may redeem up
          to an aggregate principal amount not to exceed 35% of the aggregate
          principal amount of the Notes originally issued; and

     (iii) at least 65% of such aggregate principal amount originally issued of
          the Notes remains outstanding immediately after the occurrence of each
          such redemption (other than Notes held, directly or indirectly, by the
          Company or its Affiliates).

          SECTION 3.8. Mandatory Redemption
                       --------------------

          Except as set forth in Sections 4.11 and 4.15, the Issuers shall not
be required to make mandatory redemption or sinking fund payments with respect
to the Notes.
<PAGE>

                                                                              50

                                   ARTICLE IV

                                    Covenants

          SECTION 4.1. Payment of Notes
                       ----------------

          The Issuers shall promptly pay the principal of and interest on the
Notes on the dates and in the manner provided in the Notes and in this
Indenture. Principal and interest shall be considered paid on the date due if on
or before 11:00 a.m. prevailing Eastern (U.S.) time on such date the Trustee or
the Paying Agent holds (or, if an Issuer or a Subsidiary of an Issuer is the
Paying Agent, the segregated account or separate trust fund maintained by such
Issuer or such Subsidiary pursuant to Section 2.4) in accordance with this
Indenture money sufficient to pay all principal and interest then due and the
Trustee or the Paying Agent (or, if an Issuer or a Subsidiary of an Issuer is
the Paying Agent, such Issuer or such Subsidiary), as the case may be, is not
prohibited from paying such money to the Noteholders on that date pursuant to
the terms of this Indenture.

          The Issuers shall pay interest on overdue principal at the rate
specified therefor in the Notes, and they shall pay interest on overdue
installments of interest at the same rate to the extent lawful as provided in
Section 2.11.

          Notwithstanding anything to the contrary contained in this Indenture,
the Issuers or the Paying Agent may, to the extent it is required to do so by
law, deduct or withhold income or other similar taxes imposed by the United
States of America or other domestic or foreign taxing authorities from principal
or interest payments hereunder.

          SECTION 4.2. Maintenance of Office or Agency
                       -------------------------------

          The Issuers shall maintain an office or agency (which may be an office
of the Trustee or an affiliate of the Trustee or Registrar) where Notes may be
surrendered for registration of transfer or exchange and where notices and
demands to or upon the Issuers in respect of the Notes and this Indenture may be
served. The Issuers shall give prompt written notice to the Trustee of the
location, and any change in the location, of such office or agency. If at any
time the Issuers shall fail to maintain any such required office or agency or
shall fail to furnish the Trustee with the address thereof, such presentations,
surrenders, notices and demands may be made or served at the Corporate Trust
Office of the Trustee.

          The Issuers may also from time to time designate one or more other
offices or agencies where the Notes may be presented or surrendered for any or
all such purposes and may from time to time rescind such designations; provided,
however, that no such designation or rescission shall in any manner relieve the
Issuers of their obligations to maintain an office or agency for such purposes.
The Issuers shall give prompt written notice to the Trustee of any such
designation or rescission and of any change in the location of any such other
office or agency.

          The Issuers hereby designate the Corporate Trust Office of the Trustee
as one such office or agency of the Issuers in accordance with Section 2.3.
<PAGE>

                                                                              51

          SECTION 4.3. Corporate Existence
                       -------------------

          Except as otherwise permitted by Article V and Section 4.11, each of
the Issuers shall do or cause to be done, at its own cost and expense, all
things necessary to preserve and keep in full force and effect its corporate
existence and the corporate, partnership or limited liability company existence
of each of its Significant Subsidiaries in accordance with the respective
organizational documents of each such Subsidiary and the material rights
(charter and statutory) and franchises of such Issuer and each such Subsidiary;
provided, however, that an Issuer shall not be required to preserve, with
respect to itself, any material right or franchise and, with respect to any of
its Significant Subsidiaries, any such existence, material right or franchise,
if the Board of Directors of such Issuer shall determine in good faith (such
determination to be evidenced by a board resolution), that the preservation
thereof is no longer desirable in the conduct of the business of such Issuer and
the Subsidiaries, taken as a whole.

          SECTION 4.4. SEC Reports
                       -----------

          (a) So long as the Guarantee in Article X is in effect, the Issuers
shall cause the Guarantor to file with the SEC such annual reports and such
information, documents and other reports as are specified in Sections 13 and
15(d) of the Exchange Act and applicable to a U.S. corporation subject to such
Sections, such information, documents and other reports to be so filed and
provided at the times specified for the filings of such information, documents
and reports under such Sections and to include financial statements and other
information with respect to the U. S. Steel Group in form and substance
consistent with the information provided in its previous Exchange Act filings,
subject to the requirements of the SEC.

          (b) Following the Separation, the Issuers will file with the SEC such
annual reports and such information, documents and other reports as are
specified in Sections 13 and 15(d) of the Exchange Act and applicable to a U.S.
corporation subject to such Sections, such information, documents and other
reports to be so filed and provided at the times specified for the filings of
such information, documents and reports under such Sections.

          (c) In addition, the Issuers shall furnish to the Holders of the Notes
and to prospective investors, upon the requests of such Holders, 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.

          SECTION 4.5. Compliance Certificate
                       ----------------------

          (a) Each of the Issuers shall deliver to the Trustee, within 120 days
after the end of each fiscal year, an Officers' Certificate stating that a
review of the activities of the Issuers and their respective Subsidiaries during
the preceding fiscal year has been made under the supervision of the signing
Officers with a view to determining whether each of the Issuers and their
respective Subsidiaries has kept, observed, performed and fulfilled its
obligations under this Indenture, and further stating, as to such Officers
signing such certificate, that to the best of his or her knowledge each Issuer
and their respective Subsidiaries has kept, observed, performed and fulfilled
each and every covenant contained in this Indenture and is not in default in the
performance or observance of any of the terms, provisions and conditions hereof
(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 each Issuer and their respective Subsidiaries is taking or propose to
take with respect thereto) and that to the best of his or her
<PAGE>

                                                                              52

knowledge no event has occurred and remains in existence by reason of which
payments on account of the principal of or interest on the Notes are prohibited
(or if such event has occurred, a description of the event and what action each
is taking or proposes to take with respect thereto).

          (b) Each of the Issuers shall, so long as any of the Notes are
outstanding, deliver to the Trustee, forthwith upon any Officer becoming aware
of any Default or 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.

          (c) The Issuers shall comply with TIA Section 314(a)(4).

          SECTION 4.6. Stay, Extension and Usury Laws
                       ------------------------------

          Each of the Issuers and the Guarantor covenant that it will not at any
time insist upon, plead, or in any manner whatsoever claim or take the benefit
or advantage of, any stay, extension or usury law wherever enacted, now or at
any time hereafter in force, which may affect the covenants or the performance
of this Indenture. Each of the Issuers and the Guarantor (to the extent it may
lawfully do so) hereby expressly waives all benefit or advantage of any such
law, and covenants that it will not, by resort to any such law, hinder, delay or
impede the execution of any power herein granted to the Trustee, but will suffer
and permit the execution of every such power as though no such law has been
enacted.

          SECTION 4.7. Payment of Taxes and Other Claims
                       ---------------------------------

          Each of the Issuers shall pay or discharge or cause to be paid or
discharged, before the same shall become delinquent, (i) all material taxes,
assessments and governmental charges (including withholding taxes and any
penalties, interest and additions to taxes) levied or imposed upon it or any of
its Restricted Subsidiaries or properties of it or any of its Restricted
Subsidiaries and (ii) all lawful claims for labor, materials and supplies that,
if unpaid, might by law become a Lien upon the property of it or any of its
Restricted Subsidiaries; provided, however, that the Issuers shall not be
required to pay or discharge or cause to be paid or discharged any such tax,
assessment, charge or claim whose amount, applicability or validity is being
contested in good faith by appropriate proceedings properly instituted and
diligently conducted for which adequate reserves, to the extent required under
GAAP, have been taken.

          SECTION 4.8. Maintenance of Properties and Insurance
                       ---------------------------------------

          (a) Each of the Issuers shall, and shall cause each of its Significant
Subsidiaries to, maintain its material properties in good working order and
condition (subject to ordinary wear and tear) and make or cause to be made all
necessary repairs, renewals, replacements, additions, betterments and
improvements thereto and actively conduct and carry on its business, all as in
the reasonable judgment of such Issuer is necessary so that the business carried
on by such Issuer and its Significant Subsidiaries may be actively conducted;
provided, however, that nothing in this Section 4.19 shall prevent such Issuer
or any of its Subsidiaries from discontinuing the operation and maintenance of
any of its properties, if such discontinuance is, in the good faith judgment of
each Issuer or the Subsidiary, as the case may be, desirable in the conduct of
their respective businesses and is not disadvantageous in any material respect
to the Holders.
<PAGE>

                                                                              53

          (b) Each of the Issuers shall provide or cause to be provided, for
itself and each of its Significant Subsidiaries, insurance (including
appropriate self-insurance) against loss or damage of the kinds that, in the
good faith judgment of such Issuer, are adequate and appropriate for the conduct
of the business of such Issuer and such Subsidiaries in a prudent manner, with
reputable insurers or with the government of the United States of America, any
state thereof or any agency or instrumentality of such governments, in such
amounts, with such deductibles, and by such methods as shall be customary, in
the good faith judgment of such Issuer, for companies similarly situated in the
industry.

          SECTION 4.9. Investment Grade Rating
                       -----------------------

          Following the first day:

          (i)  that is after the earliest to occur of (A) the day the Separation
               shall have occurred, (B) December 31, 2002 or (C) the day the
               Board of Directors of USX Corporation shall have determined not
               to proceed with the Separation,

          (ii) the Notes have an Investment Grade Rating from both of the Rating
               Agencies, and

          (iii) no Default has occurred and is continuing under the Indenture,
               the Company and its Restricted Subsidiaries will not be subject
               to Sections 4.12, 4.13, 4.14, 4.15, 4.16, 4.17 and clause (iii)
               of Section 5.1 (collectively, the "Suspended Covenants").

          The Issuers will notify the Trustee by delivery of an Officer's
Certificate of the suspension of the Suspended Covenants. In the event that the
Company and its Restricted Subsidiaries are not subject to the Suspended
Covenants for any period of time as a result of the preceding sentence, and
subsequently one or both of the Rating Agencies withdraws its rating or
downgrades the rating assigned to the Notes below an Investment Grade Rating,
then the Company and the Restricted Subsidiaries will thereafter again be
subject to the Suspended Covenants, and compliance with the Suspended Covenants
with respect to Restricted Payments made after the time of such withdrawal or
downgrade will be calculated in accordance with Section 4.13 as though such
section had been in effect since the date the Notes were originally issued.

          SECTION 4.10. Conditions to Separation
                        ------------------------

          The Company shall not permit the Separation to occur, unless:

          (i)  USX Corporation shall have received a private letter ruling from
               the IRS that the Separation will qualify as a tax-free
               transaction within the meaning of Section 355 of the Code,

          (ii) the transactions that give effect to the Value Transfer as
               described in the Offering Circular shall have occurred,

          (iii) USX Corporation shall not have amended (x) the definition of
               U.S. Steel Group in its certificate of incorporation or by-laws
               or (y) its Management
<PAGE>

                                                                              54

               and Allocation Policies, in either case, in any manner adverse to
               the holders of the Notes,

          (iv) immediately following the Separation and after giving pro forma
               effect to any subsequent payments to be made as part of the
               Separation, (x) the Company and its Subsidiaries shall have an
               aggregate of at least $400 million available in undrawn
               financings and cash, of which at least $300 million shall be
               available under facilities with terms extending at least three
               years after the date such facilities are put in place, and (y) no
               Default shall have occurred and be continuing, and

          (v)  any differences between the Separation Documents (x) as executed
               and delivered and (y) as described in the Offering Circular do
               not have a material adverse effect on the Holders of the Notes.

          SECTION 4.11. Change of Control
                        -----------------

          Upon the occurrence of a Change of Control, each Holder shall have the
right to require that the Company repurchase such Holder's Notes at a purchase
price in cash equal to 101% of the principal amount thereof on the date of
purchase plus accrued and unpaid interest, if any, to the date of purchase
(subject to the right of holders of record on the relevant record date to
receive interest due on the relevant interest payment date).

          Within 30 days following any Change of Control, the Company shall mail
a notice to each Holder at its registered address with a copy to the Trustee
(the "Change of Control Offer") stating:

          (i)  that a Change of Control has occurred and that such Holder has
               the right to require us to purchase such Holder's Notes at a
               purchase price in cash equal to 101% of the principal amount
               thereof on the date of purchase, plus accrued and unpaid
               interest, if any, to the date of purchase (subject to the right
               of Holders of record on the relevant record date to receive
               interest on the relevant interest payment date);

          (ii) the circumstances and relevant facts regarding such Change of
               Control (including information with respect to pro forma
               historical income, cash flow and capitalization, in each case
               after giving effect to such Change of Control);

          (iii) the purchase date (which shall be no earlier than 30 days nor
               later than 60 days from the date such notice is mailed); and

          (iv) the instructions, as determined by the Company, consistent with
               this Section 4.11, that a Holder must follow in order to have its
               Notes purchased.

          The Company shall not be required to make a Change of Control Offer
following a Change of Control if a third party makes the Change of Control Offer
in the manner, at the times and otherwise in compliance with the requirements
set forth in the Indenture applicable to
<PAGE>

                                                                              55

a Change of Control Offer made by us and purchases all Notes validly tendered
and not withdrawn under such Change of Control Offer.

          The Company shall comply, to the extent applicable, with the
requirements of Section 14(e) of the Exchange Act and any other securities laws
or regulations in connection with the repurchase of Notes as a result of a
Change of Control. To the extent that the provisions of any securities laws or
regulations conflict with the provisions of this Section 4.11, the Company shall
comply with the applicable securities laws and regulations and shall not be
deemed to have breached our obligations under this Section 4.11 by virtue of its
compliance with such securities laws or regulations.

          SECTION 4.12. Limitation on Indebtedness
                        --------------------------

          (a) The Company shall not, and shall not permit any Restricted
Subsidiary to, Incur, directly or indirectly, any Indebtedness; provided,
however, that the Company shall be entitled to Incur Indebtedness if, on the
date of such Incurrence and after giving effect thereto on a pro forma basis no
Default has occurred and is continuing and, the Consolidated Coverage Ratio
exceeds 2.0 to 1.

          (b) Notwithstanding the foregoing paragraph (a), the Company and the
Restricted Subsidiaries shall be entitled to Incur any or all of the following
Indebtedness:

          (i)  Indebtedness Incurred by the Company, any Financing Entity and
               any Foreign Restricted Subsidiary pursuant to any Credit
               Facilities, provided, however, that, immediately after giving
               effect to any such Incurrence, the aggregate principal amount of
               all Indebtedness Incurred under this clause (i) and then
               outstanding does not exceed the greater of (A) $750 million less
               the sum of all principal payments with respect to such
               Indebtedness pursuant to Section 4.15(b)(iii)(1) and (B) the sum
               of (x) 60% of the book value of the inventory of the Company and
               its Restricted Subsidiaries and (y) 85% of the book value of the
               accounts receivable of the Company and its Restricted
               Subsidiaries, provided further, however, that in no event shall
               the aggregate principal amount of all Indebtedness Incurred under
               this clause (i) at any time outstanding exceed $1.2 billion;

          (ii) Indebtedness owed to and held by the Company or a Wholly Owned
               Subsidiary; provided, however, that (A) any subsequent issuance
               or transfer of any Capital Stock which results in any such Wholly
               Owned Subsidiary ceasing to be a Wholly Owned Subsidiary or any
               subsequent transfer of such Indebtedness (other than to the
               Company or a Wholly Owned Subsidiary) shall be deemed, in each
               case, to constitute the Incurrence of such Indebtedness by the
               obligor thereon and (B) if the Company is the obligor on such
               Indebtedness, such Indebtedness is expressly subordinated to the
               prior payment in full in cash of all obligations with respect to
               the Notes;

          (iii) the Notes and the Exchange Notes (other than any Additional
               Notes) and any other Indebtedness of the Company or any
               Restricted Subsidiary outstanding on the Issue Date;
<PAGE>

                                                                              56

          (iv) Indebtedness Incurred or outstanding on or before the Separation
               Date (other than Indebtedness described in clause (i) or any
               other clause (other than clause (xvii)) of this Section 4.12(b)),
               to the extent it does not exceed (w) the amount of indebtedness
               that is Attributed to the U. S. Steel Group on its balance sheet
               as of March 31, 2001 less (x) the amount of any Indebtedness
               described in clause (iii) of this Section 4.12(b) or any
               Indebtedness described in clause (vi) or (vii) of this Section
               4.12(b) that is Incurred by the Company pursuant to the Financial
               Matters Agreement less (y) $629 million plus (z) $40 million;

          (v)  Indebtedness of a Restricted Subsidiary Incurred and outstanding
               on or prior to the date on which such Subsidiary was acquired by
               the Company (other than Indebtedness Incurred in connection with,
               or to provide all or any portion of the funds or credit support
               utilized to consummate, the transaction or series of related
               transactions pursuant to which such Subsidiary became a
               Subsidiary or was acquired by the Company); provided, however,
               that on the date of such acquisition and after giving pro forma
               effect thereto, the Company would have been able to Incur at
               least $1.00 of additional Indebtedness pursuant to Section
               4.12(a);

          (vi) Industrial Revenue Bond Obligations, so long as the aggregate
               principal amount of all Industrial Revenue Bond Obligations
               (inclusive of any in respect of which the Company becomes
               directly or indirectly liable pursuant to the Financial Matters
               Agreement) does not exceed $600 million;

          (vii) Indebtedness to Marathon Oil Corporation Incurred pursuant to
               the Financial Matters Agreement in respect of Capital Lease
               Obligations, in an aggregate principal amount not to exceed $92
               million;

          (viii) Indebtedness to Marathon Oil Corporation Incurred pursuant to
               the Financial Matters Agreement in respect of Guarantees of USX
               Corporation, in an aggregate principal amount not to exceed $145
               million;

          (ix) Refinancing Indebtedness in respect of Indebtedness Incurred
               pursuant to Section 4.12(a) or pursuant to clause (iii), (iv),
               (v) or (vii) of this Section 4.12(b) or this clause (ix);
               provided, however, that to the extent such Refinancing
               Indebtedness directly or indirectly Refinances Indebtedness of a
               Subsidiary Incurred pursuant to clause (v) of this Section
               4.12(b), such Refinancing Indebtedness shall be Incurred only by
               such Subsidiary or by the Company;

          (x)  Hedging Obligations directly related to Indebtedness permitted to
               be Incurred by the Company pursuant to the Indenture or to
               mitigate currency or business risk;

          (xi) obligations in respect of performance, bid and surety bonds and
               completion guarantees provided by the Company or any Restricted
               Subsidiary in the ordinary course of business;
<PAGE>

                                                                              57

          (xii) Indebtedness arising from overdraft conditions honored by a bank
               or other financial institution in the ordinary course of
               business; provided, however, that such Indebtedness is
               extinguished within two Business Days of its Incurrence;

          (xiii) Guarantees by the Company of obligations of any of its joint
               ventures in an aggregate amount not to exceed $100 million;

          (xiv) Subordinated Obligations not to exceed $200 million which (x)
               are convertible into equity securities of the Company, (y) have a
               Stated Maturity after the first anniversary of the Stated
               Maturity of any series of Notes then outstanding and (z) have an
               Average Life that is greater than the Average Life of any series
               of Notes then outstanding;

          (xv) Attributable Debt related to Sale/Leaseback Transactions in an
               amount not to exceed $150 million;

          (xvi) Purchase Money Indebtedness and Capital Lease Obligations
               Incurred to acquire property in the ordinary course of business
               in an aggregate amount not to exceed $75 million in each of the
               first three years following the Issue Date and $50 million in
               each of the years thereafter; and

          (xvii) Indebtedness of the Company and its Restricted Subsidiaries in
               an aggregate principal amount which, when taken together with all
               other Indebtedness of the Company and its Restricted Subsidiaries
               outstanding on the date of such Incurrence (other than
               Indebtedness permitted by clauses (i) through (xvi) of this
               Section 4.12(b) above or Section 4.12(a)) does not exceed $150
               million.

          (c) Notwithstanding the foregoing, the Company shall not incur any
Indebtedness under Section 4.12(b) if the proceeds thereof are used, directly or
indirectly, to Refinance any Subordinated Obligations of the Company unless such
Indebtedness shall be subordinated to the Notes or the Guarantee to at least the
same extent as such Subordinated Obligations.

          (d) For purposes of determining compliance with this Section 4.12, in
the event that an item of Indebtedness meets the criteria of more than one of
the types of Indebtedness described above, the Company, in its sole discretion,
(1) shall classify such item of Indebtedness at the time of Incurrence and will
be entitled to either include the amount and type of such Indebtedness in only
one of the above clauses or divide and classify such item of Indebtedness in
more than one of the types of Indebtedness described above and (2) will be
entitled from time to time to reclassify all or a portion of such item of
Indebtedness classified in one of the clauses in Section 4.12(b) into another
clause in Section 4.12(b) that it meets the criteria of.

          (e) For purposes of determining compliance with any U.S. dollar
restriction on the Incurrence of Indebtedness where the Indebtedness Incurred is
denominated in a different currency, the amount of such Indebtedness shall be
the U.S. Dollar Equivalent determined on the date of the Incurrence of such
Indebtedness, provided, however, that if any such Indebtedness denominated in a
different currency is subject to a Currency Agreement with respect to U.S.
<PAGE>

                                                                              58

dollars covering all principal, premium, if any, and interest payable on such
Indebtedness, the amount of such Indebtedness expressed in U.S. dollars shall be
as provided in such Currency Agreement. The principal amount of any Refinancing
Indebtedness Incurred in the same currency as the Indebtedness being Refinanced
shall be the U.S. Dollar Equivalent, as appropriate, of the Indebtedness
Refinanced, except to the extent that (i) such U.S. Dollar Equivalent was
determined based on a Currency Agreement, in which case the Refinancing
Indebtedness shall be determined in accordance with the preceding sentence, and
(ii) the principal amount of the Refinancing Indebtedness exceeds the principal
amount of the Indebtedness being Refinanced, in which case the U.S. Dollar
Equivalent of such excess shall be determined on the date such Refinancing
Indebtedness is Incurred.

          SECTION 4.13. Limitation on Restricted Payments
                        ---------------------------------

          (a) The Company shall not, and shall not permit any Restricted
Subsidiary, directly or indirectly, to make a Restricted Payment if at the time
the Company or such Restricted Subsidiary makes such Restricted Payment: (1) a
Default shall have occurred and be continuing (or would result therefrom); (2)
the Company is not entitled to Incur an additional $1.00 of Indebtedness
pursuant to Section 4.12(a); or (3) the aggregate amount of such Restricted
Payment and all other Restricted Payments since the Issue Date would exceed the
sum of (without duplication):

                    (A) 50% of the Consolidated Net Income accrued during the
               period (treated as one accounting period) from the beginning of
               the fiscal quarter immediately following the fiscal quarter
               during which the Issue Date occurs to the end of the most recent
               fiscal quarter for which financial results are publicly available
               prior to the date of such Restricted Payment (or, in case such
               Consolidated Net Income shall be a deficit, minus 100% of such
               deficit); plus

                    (B) 100% of the aggregate Net Cash Proceeds received by the
               Company from the issuance or sale of its Capital Stock (other
               than Disqualified Stock) subsequent to the Issue Date (other than
               an issuance or sale to a Subsidiary of the Company and other than
               an issuance or sale to an employee stock ownership plan or to a
               trust established by the Company or any of its Subsidiaries for
               the benefit of their employees) and 100% of any cash capital
               contribution received by the Company from its shareholders
               subsequent to the Issue Date; plus

                    (C) the amount by which Indebtedness of the Company (other
               than Subordinated Obligations) is reduced on the Company's
               balance sheet (or, prior to the Separation, on the balance sheet
               of the U.S. Steel Group) upon the conversion or exchange (other
               than by a Subsidiary of the Company) subsequent to the Issue Date
               of any Indebtedness of the Company convertible or exchangeable
               for Capital Stock (other than Disqualified Stock) of the Company
               (less the amount of any cash, or the fair value of any other
               property, distributed by the Company upon such conversion or
               exchange); plus

                    (D) an amount equal to the sum of (i) the net reduction in
               the Investments (other than Permitted Investments) made by the
               Company or
<PAGE>

                                                                              59

               any Restricted Subsidiary in any Person resulting from
               repurchases, repayments or redemptions of such Investments by
               such Person, proceeds realized on the sale of such Investment and
               proceeds representing the return of capital (excluding dividends
               and distributions), in each case received by the Company or any
               Restricted Subsidiary, and (ii) to the extent such Person is an
               Unrestricted Subsidiary, the portion (proportionate to the
               Company's equity interest in such Subsidiary) of the fair market
               value of the net assets of such Unrestricted Subsidiary at the
               time such Unrestricted Subsidiary is designated a Restricted
               Subsidiary; provided, however, that the foregoing sum shall not
               exceed, in the case of any such Person or Unrestricted
               Subsidiary, the amount of Investments (excluding Permitted
               Investments) previously made (and treated as a Restricted
               Payment) by the Company or any Restricted Subsidiary in such
               Person or Unrestricted Subsidiary.

          (b) The preceding provisions shall not prohibit:

                         (i)       any Restricted Payment made out of the Net
                                   Cash Proceeds of the substantially concurrent
                                   sale of, or made by exchange for, Capital
                                   Stock of the Company (other than Disqualified
                                   Stock and other than Capital Stock issued or
                                   sold to a Subsidiary of the Company or an
                                   employee stock ownership plan or to a trust
                                   established by the Company or any of its
                                   Subsidiaries for the benefit of their
                                   employees) or a substantially concurrent cash
                                   capital contribution received by the Company
                                   from its shareholders; provided, however,
                                   that (A) such Restricted Payment shall be
                                   excluded in the calculation of the amount of
                                   Restricted Payments and (B) the Net Cash
                                   Proceeds from such sale or such cash capital
                                   contribution (to the extent so used for such
                                   Restricted Payment) shall be excluded from
                                   the calculation of amounts under clause
                                   (3)(B) of paragraph (a) above;

                         (ii)      any purchase, repurchase, redemption,
                                   defeasance or other acquisition or retirement
                                   for value of Subordinated Obligations made by
                                   exchange for, or out of the proceeds of the
                                   substantially concurrent sale of,
                                   Indebtedness which is permitted to be
                                   Incurred under Section 4.12; provided,
                                   however, that such purchase, repurchase,
                                   redemption, defeasance or other acquisition
                                   or retirement for value shall be excluded in
                                   the calculation of the amount of Restricted
                                   Payments;

                         (iii)     dividends paid within 60 days after the date
                                   of declaration thereof if at such date of
                                   declaration such dividend would have complied
                                   with this
<PAGE>

                                                                              60

                                   Section 4.13(b); provided, however, that at
                                   the time of payment of such dividend, no
                                   other Default shall have occurred and be
                                   continuing (or result therefrom); provided
                                   further, however, that such dividend shall be
                                   included in the calculation of the amount of
                                   Restricted Payments;

                         (iv)      so long as no Default has occurred and is
                                   continuing, the repurchase or other
                                   acquisition of shares of Capital Stock of the
                                   Company or any of its Subsidiaries from
                                   employees, former employees, directors or
                                   former directors of the Company or any of its
                                   Subsidiaries (or permitted transferees of
                                   such employees, former employees, directors
                                   or former directors), pursuant to the terms
                                   of the agreements (including employment
                                   agreements) or plans (or amendments thereto)
                                   approved by the Board of Directors under
                                   which such individuals purchase or sell or
                                   are granted the option to purchase or sell,
                                   shares of such Capital Stock; provided,
                                   however, that the aggregate amount of such
                                   repurchases and other acquisitions (other
                                   than any acquisition of shares of common
                                   stock of the Company that are used as payment
                                   for the exercise price of outstanding
                                   options) shall not exceed $5.0 million in any
                                   calendar year; provided further, however,
                                   that such repurchases and other acquisitions
                                   shall be excluded in the calculation of the
                                   amount of Restricted Payments;

                         (v)       prior to the Separation Date, dividends,
                                   distributions or other payments to USX
                                   Corporation to the extent such amounts, after
                                   such dividend, distribution or other payment,
                                   are still attributed to, or used to reduce
                                   Indebtedness attributed to, the U. S. Steel
                                   Group in accordance with the Management and
                                   Allocation Policies of USX Corporation;
                                   provided, however, that such dividends,
                                   distributions or other payments shall be
                                   excluded in the calculation of the amount of
                                   Restricted Payments;

                         (vi)      so long as no Default has occurred and is
                                   continuing, the declaration and payment of
                                   one or more dividends on Steel Stock or
                                   common stock of United States Steel
                                   Corporation with respect to the period ending
                                   on December 31, 2003 in an aggregate amount
                                   not to exceed $50.0 million; provided that
                                   such dividends shall be excluded in
<PAGE>

                                                                              61

                                   the calculation of the amount of Restricted
                                   Payments; or

                         (vii)     so long as no Default has occurred and is
                                   continuing, any Restricted Payment which,
                                   together with all other Restricted Payments
                                   made pursuant to this clause (vii) on or
                                   after the Issue Date, does not exceed $30
                                   million; provided, however, that such
                                   Restricted Payments shall be included in the
                                   calculation of the amount of Restricted
                                   Payments.

          (c) For purposes of this Section 4.13, Capital Stock or Indebtedness
(including Subordinated Obligations) of the Company shall be deemed to include
Capital Stock or Indebtedness (including Subordinated Obligations) of any Person
that is Attributed to the U. S. Steel Group (including Steel Stock, but
excluding any Preferred Stock or Subordinated Obligations of other Persons
outstanding as of the Issue Date) and proceeds of the issuance of any such
Capital Stock shall be deemed received by the Company to the extent they are
Attributed to the U. S. Steel Group.

          SECTION 4.14. Limitation on Restrictions on Distributions from
                        ------------------------------------------------
Restricted Subsidiaries
-----------------------

          The Company shall not, and shall not permit any Restricted Subsidiary
to, create or otherwise cause or permit to exist or become effective any
consensual encumbrance or restriction on the ability of any Restricted
Subsidiary to (i) pay dividends or make any other distributions on its Capital
Stock to the Company or a Restricted Subsidiary or pay any Indebtedness owed to
the Company, (ii) make any loans or advances to the Company or (iii) transfer
any of its property or assets to the Company, except:

                    (A) with respect to clause (i), (ii) and (iii): (1) any
               encumbrance or restriction pursuant to an agreement in effect at
               or entered into on the Issue Date; (2) any encumbrance or
               restriction with respect to a Restricted Subsidiary pursuant to
               an agreement relating to any Indebtedness Incurred by such
               Restricted Subsidiary on or prior to the date on which such
               Restricted Subsidiary was acquired by the Company (other than
               Indebtedness Incurred as consideration in, or to provide all or
               any portion of the funds or credit support utilized to
               consummate, the transaction or series of related transactions
               pursuant to which such Restricted Subsidiary became a Restricted
               Subsidiary or was acquired by the Company) and outstanding on
               such date; (3) any encumbrance or restriction pursuant to an
               agreement effecting a Refinancing of Indebtedness Incurred
               pursuant to an agreement referred to in clause (1) or (2) of
               clause (A) of this Section 4.14 or this clause (3) or contained
               in any amendment to an agreement referred to in clause (1) or (2)
               of clause (A) of this Section 4.14 or this clause (3); provided,
               however, that the encumbrances and restrictions with respect to
               such Restricted Subsidiary contained in any such refinancing
               agreement or amendment are no less favorable to the Noteholders
               than encumbrances and restrictions with respect to such
               Restricted Subsidiary contained in such predecessor agreements;
               and
<PAGE>

                                                                              62

                    (B) with respect to clause (iii) only: (1) any such
               encumbrance or restriction consisting of customary nonassignment
               provisions in leases governing leasehold interests to the extent
               such provisions restrict the transfer of the lease or the
               property leased thereunder; (2) restrictions contained in
               security agreements or mortgages securing Indebtedness of a
               Restricted Subsidiary to the extent such restrictions restrict
               the transfer of the property subject to such security agreements
               or mortgages; and (3) any restriction with respect to a
               Restricted Subsidiary imposed pursuant to an agreement entered
               into for the sale or disposition of all or substantially all the
               Capital Stock or assets of such Restricted Subsidiary pending the
               closing of such sale or disposition.

          SECTION 4.15. Limitation on Sales of Assets and Subsidiary Stock
                        --------------------------------------------------

          (a) The Company shall not, and shall not permit any restricted
Subsidiary to, directly or indirectly, sell, transfer or otherwise dispose of
(collectively, a "disposition") any Capital Stock of any Person that owns,
directly or indirectly, all or a significant portion of the Tubular Business,
unless:

                         (i)       the Company or such Restricted Subsidiary
                                   receives consideration at the time of such
                                   disposition at least equal to the fair market
                                   value (including as to the value of all
                                   non-cash consideration), as determined in
                                   good faith by the Board of Directors, of the
                                   Capital Stock subject to such disposition;

                         (ii)      at least 75% of the consideration thereof
                                   received by the Company or such Restricted
                                   Subsidiary is in the form of cash or cash
                                   equivalents; and

                         (iii)     an amount equal to 75% of the Net Available
                                   Cash from such disposition is applied by the
                                   Company (or such Restricted Subsidiary, as
                                   the case may be) to make an offer to the
                                   holders of the Notes to purchase Notes
                                   pursuant to and subject to the conditions
                                   contained in the Indenture within 30 days
                                   from the later of the date of such
                                   disposition or the receipt of such Net
                                   Available Cash; provided, however, that the
                                   Company or such Restricted Subsidiary shall
                                   permanently retire such Notes.

     Pending application of Net Available Cash pursuant to this paragraph (a),
such Net Available Cash shall be invested in Temporary Cash Investments or
applied to temporarily reduce indebtedness under Credit Facilities.

          (b) The Company shall not, and shall not permit any Restricted
Subsidiary to, directly or indirectly, consummate any other Asset Disposition
unless:

                         (i)       the Company or such Restricted Subsidiary
                                   receives consideration at the time of such
                                   Asset Disposition
<PAGE>

                                                                              63

                                   at least equal to the fair market value
                                   (including as to the value of all non cash
                                   consideration), as determined in good faith
                                   by the Board of Directors of the Issuer of
                                   the shares and assets subject to such Asset
                                   Disposition and

                         (ii)      with respect to Asset Dispositions other than
                                   Like-Kind Exchanges or Excluded Real Property
                                   Sales, at least 75% of the consideration
                                   thereof received by the Company or such
                                   Restricted Subsidiary is in the form of cash
                                   or cash equivalents; and

                         (iii)     an amount equal to 100% of the Net Available
                                   Cash from such Asset Disposition is applied
                                   by the Company (or such Restricted
                                   Subsidiary, as the case may be): (1) first,
                                   to the extent the Company elects (or is
                                   required by the terms of any Indebtedness),
                                   to prepay, repay, redeem or purchase Senior
                                   Indebtedness of the Company or Indebtedness
                                   (other than any Disqualified Stock) of a
                                   Wholly Owned Subsidiary (in each case other
                                   than Indebtedness owed to the Company or an
                                   Affiliate of the Company) within one year
                                   from the later of the date of such Asset
                                   Disposition or the receipt of such Net
                                   Available Cash; (2) second, to the extent of
                                   the balance of such Net Available Cash after
                                   application in accordance with clause (1), to
                                   the extent the Company elects, to acquire
                                   Additional Assets within one year from the
                                   later of the date of such Asset Disposition
                                   or the receipt of such Net Available Cash;
                                   and (3) third, to the extent of the balance
                                   of such Net Available Cash after application
                                   in accordance with clauses (1) and (2), to
                                   make an offer to the holders of the Notes
                                   (and to holders of other Senior Indebtedness
                                   of the Company designated by the Company to
                                   purchase Notes (and such other Senior
                                   Indebtedness of the Company) pursuant to and
                                   subject to the conditions contained in the
                                   Indenture;

provided, however, that in connection with any prepayment, repayment or purchase
of Indebtedness pursuant to clause (1) or (3) above, the Company or such
Restricted Subsidiary shall permanently retire such Indebtedness and shall cause
the related loan commitment (if any) to be permanently reduced in an amount
equal to the principal amount so prepaid, repaid or purchased.

          Notwithstanding the foregoing provisions of Section 4.15(b), the
Company and the Restricted Subsidiaries shall not be required to apply any Net
Available Cash in accordance with Section 4.15(b) except to the extent that the
aggregate Net Available Cash from all Asset Dispositions which are not applied
in accordance with Section 4.15(b) exceeds $25 million.
<PAGE>

                                                                              64

Pending application of Net Available Cash pursuant to Section 4.15(b), such Net
Available Cash shall be invested in Temporary Cash Investments or applied to
temporarily reduce indebtedness under Credit Facilities.

          (c) For the purposes of Sections 4.15(a) and (b), the following are
deemed to be cash or cash equivalents: (A) the assumption of Senior Indebtedness
of the Company, or Indebtedness of any Restricted Subsidiary, and the release of
the Company or such Restricted Subsidiary from all liability on such
Indebtedness in connection with such Asset Disposition; (B) securities received
by the Company or any Restricted Subsidiary from the transferee that are
promptly converted by the Company or such Restricted Subsidiary into cash; and
(C) any reduction of Indebtedness Attributed to the U. S. Steel Group in
connection with such Asset Disposition.

          (d) In the event of an Asset Disposition that requires the purchase of
Notes (and other Senior Indebtedness) pursuant to Section (a)(iii) or
(b)(iii)(3) above, the Company shall purchase Notes tendered pursuant to an
offer by the Company for the Notes (and such other Senior Indebtedness) at a
purchase price of 100% of their principal amount (or, in the event such other
Senior Indebtedness was issued with significant original issue discount, 100% of
the accreted value thereof), without premium, plus accrued but unpaid interest
(or, in respect of such other Senior Indebtedness, such lesser price, if any, as
may be provided for by the terms of such Senior Indebtedness) in accordance with
the procedures (including prorating in the event of oversubscription) set forth
in the Indenture. If the aggregate purchase price of the securities tendered
exceeds the Net Available Cash allotted to their purchase, the Company shall
select the securities to be purchased on a pro rata basis but in round
denominations, which in the case of the Notes will be denominations of $1,000
principal amount or multiples thereof. The Company shall not be required to make
such an offer to purchase Notes (and other Senior Indebtedness) pursuant to
Section 4.15(b) if the Net Available Cash available therefor is less than $25
million (which lesser amount shall be carried forward for purposes of
determining whether such an offer is required with respect to the Net Available
Cash from any subsequent Asset Disposition).

          (e) The Company shall comply, to the extent applicable, with the
requirements of Section 14(e) of the Exchange Act and any other securities laws
or regulations in connection with the repurchase of Notes pursuant to this
Section 4.15. To the extent that the provisions of any securities laws or
regulations conflict with provisions of this Section 4.15, the Company shall
comply with the applicable securities laws and regulations and shall not be
deemed to have breached its obligations under this clause by virtue of its
compliance with such securities laws or regulations.

          SECTION 4.16. Limitation on Affiliate Transactions
                        ------------------------------------

          (a) The Company shall not, and shall not permit any Restricted
Subsidiary to, enter into, permit to exist, renew or extend any transaction
(including the purchase, sale, lease or exchange of any property, employee
compensation arrangements or the rendering of any service) with, or for the
benefit of, any Affiliate of the Company (an "Affiliate Transaction") unless:

                         (i)       the terms of the Affiliate Transaction are no
                                   less favorable to the Company or such
                                   Restricted Subsidiary than those that could
                                   be obtained at the time of the Affiliate
                                   Transaction in arm's-length dealings with a
                                   Person who is not an Affiliate;
<PAGE>

                                                                              65

                         (ii)      if such Affiliate Transaction involves an
                                   amount in excess of $10 million, the terms of
                                   the Affiliate Transaction are set forth in
                                   writing and a majority of the non-employee
                                   Directors of the Company disinterested with
                                   respect to such Affiliate Transactions have
                                   determined in good faith that the criteria
                                   set forth in clause (i) are satisfied and
                                   have approved the relevant Affiliate
                                   Transaction as evidenced by a Board
                                   resolution; and

                         (iii)     if such Affiliate Transaction involves an
                                   amount in excess of $25 million, the Board of
                                   Directors shall also have received a written
                                   opinion from an Independent Qualified Party
                                   to the effect that such Affiliate Transaction
                                   is fair, from a financial standpoint, to the
                                   Company and its Restricted Subsidiaries or
                                   not less favorable to the Company and its
                                   Restricted Subsidiaries than could reasonably
                                   be expected to be obtained at the time in an
                                   arm's-length transaction with a Person who
                                   was not an Affiliate.

          (b) The provisions of the preceding paragraph (a) shall not prohibit:

                         (i)       any Investment (other than a Permitted
                                   Investment) or other Restricted Payment, in
                                   each case permitted to be made under Section
                                   4.13;

                         (ii)      any issuance of securities, or other
                                   payments, awards or grants in cash,
                                   securities or otherwise pursuant to, or the
                                   funding of, employment arrangements, stock
                                   options and stock ownership plans approved by
                                   the Board of Directors;

                         (iii)     loans or advances to employees in the
                                   ordinary course of business in accordance
                                   with the past practices of the Company or its
                                   Restricted Subsidiaries, but in any event not
                                   to exceed $5.0 million in the aggregate
                                   outstanding at any one time;

                         (iv)      the payment of reasonable fees to Directors
                                   of the Company and its Restricted
                                   Subsidiaries who are not employees of the
                                   Company or its Restricted Subsidiaries;

                         (v)       any transaction with a Restricted Subsidiary
                                   or joint venture or similar entity which
                                   would constitute an Affiliate Transaction
                                   solely because the Company or a Restricted
                                   Subsidiary owns an equity interest in
<PAGE>

                                                                              66

                                   or otherwise controls such Restricted
                                   Subsidiary, joint venture or similar entity;

                         (vi)      the issuance or sale of any Capital Stock
                                   (other than Disqualified Stock) of the
                                   Company;

                         (vii)     any transaction in connection with
                                   Separation, as described in the Offering
                                   Circular; and

                         (viii)    any transaction pursuant to any contract or
                                   agreement in effect on the Issue Date, in
                                   each case as amended, modified or replaced
                                   from time to time so long as the amended,
                                   modified or new agreement, taken as a whole,
                                   is no less favorable to the Company and its
                                   Restricted Subsidiaries than that in effect
                                   on the Issue Date.

          SECTION 4.17. Limitation on the Sale or Issuance of Capital Stock of
                        ------------------------------------------------------
Restricted Subsidiaries
-----------------------

          The Company (i) shall not, and shall not permit any Restricted
Subsidiary to, sell, transfer or otherwise dispose of any Capital Stock of any
other Restricted Subsidiary to any Person (other than the Company or a Wholly
Owned Subsidiary); and (ii) shall not permit any Restricted Subsidiary to issue
any of its Capital Stock (other than, if necessary, shares of its Capital Stock
constituting directors' or other legally required qualifying shares) to any
Person (other than to the Company or a Wholly Owned Subsidiary); unless (a)
Company complies with Section 4.15 with respect to any such sale, transfer or
other disposition; and (b) immediately after giving effect to such issuance,
sale, transfer or other disposition, (x) such Restricted Subsidiary remains a
Restricted Subsidiary or (y) such Restricted Subsidiary would no longer
constitute a Restricted Subsidiary and any Investment in such Person remaining
after giving effect thereto is treated as a new Investment by the Company and
such Investment would be permitted to be made under Section 4.13 if made on the
date of such issuance, sale, transfer or other disposition.

          SECTION 4.18. Limitation on Liens
                        -------------------

          The Company shall not, and shall not permit any Restricted Subsidiary
to, directly or indirectly, Incur or permit to exist any Lien (the "Initial
Lien") of any nature whatsoever on any of its properties (including Capital
Stock of a Restricted Subsidiary), whether owned at the Issue Date or thereafter
acquired, securing any Indebtedness, other than Permitted Liens, without
effectively providing that the Notes shall be secured equally and ratably with
(or prior to) the obligations so secured for so long as such obligations are so
secured.

          Any Lien created for the benefit of the Holders of the Notes pursuant
to the preceding sentence shall provide by its terms that such Lien shall be
automatically and unconditionally released and discharged upon the release and
discharge of the Initial Lien.

          SECTION 4.19. Limitation on Sale/Leaseback Transactions
                        -----------------------------------------
<PAGE>

                                                                              67

          The Company shall not, and shall not permit any Restricted Subsidiary
to, enter into, Guarantee or otherwise become liable with respect to any
Sale/Leaseback Transaction with respect to any property unless: (i) the Company
or such Restricted Subsidiary would be entitled to (A) Incur Indebtedness in an
amount equal to the Attributable Debt with respect to such Sale/Leaseback
Transaction under Section 4.12 and (B) create a Lien on such property securing
such Attributable Debt without equally and ratably securing the Notes under
Section 4.18; (ii) the net proceeds received by the Company or any Restricted
Subsidiary in connection with such Sale/Leaseback Transaction are at least equal
to the fair value (as determined by the Board of Directors) of such property;
and (iii) the Company applies the proceeds of such transaction to the extent
required by Section 4.15.

          SECTION 4.20. Certain Covenants of USS Financing
                        ----------------------------------

          USS Financing shall not (a) own any assets other than nominal equity
capital, (b) incur any Indebtedness other than the Notes, (c) engage in any
business other than the co-issuance of the Notes or (d) consolidate with or
merge into any Person other than United States Steel Corporation.

          SECTION 4.21. Further Instruments and Acts
                        ----------------------------

          Upon reasonable request of the Trustee, the Issuers shall execute and
deliver such further instruments and do such further acts as may be reasonably
necessary or proper to carry out more effectively the purpose of this Indenture.

                                 ARTICLE V

                    SUCCESSOR COMPANY AND SUCCESSOR GUARANTOR

          SECTION 5.1. When Company May Merge or Transfer Assets
                       -----------------------------------------

          The Company shall not consolidate with or merge with or into, or
convey, transfer or lease, in one transaction or a series of transactions,
directly or indirectly, all or substantially all its assets to, any Person,
unless:

          (i)  the resulting, surviving or transferee Person (the "Successor
               Company") shall be a Person organized and existing under the laws
               of the United States of America, any State thereof or the
               District of Columbia and the Successor Company (if not the
               Company) will expressly assume, by supplemental indenture,
               executed and delivered to the Trustee, in form satisfactory to
               the Trustee, all the obligations of the Company under the Notes
               or the Guarantee thereof, as the case may be, and this Indenture;

          (ii) immediately after giving pro forma effect to such transaction
               (and treating any Indebtedness which becomes an obligation of the
               Successor Company or any Subsidiary as a result of such
               transaction as having been Incurred by the Successor Company or
               such Subsidiary at the time of such transaction), no Default or
               Event of Default shall have occurred and be continuing;
<PAGE>

                                                                              68

          (iii)immediately after giving pro forma effect to such transaction,
               the Successor Company would be able to Incur an additional $1.00
               of Indebtedness under Section 4.12(a);

          (iv) immediately after giving pro forma effect to such transaction,
               the Successor Company shall have Consolidated Net Worth in an
               amount that is not less than the Consolidated Net Worth of the
               Company immediately prior to such transaction;

          (v)  the Company shall have delivered to the Trustee an Officers'
               Certificate and an Opinion of Counsel, each stating that such
               consolidation, merger or transfer and such supplemental indenture
               (if any) comply with the Indenture; and

          (vi) the Company shall have delivered to the Trustee an Opinion of
               Counsel to the effect that the Holders will not recognize income,
               gain or loss for Federal income tax purposes as a result of such
               transaction and will 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 transaction had not occurred;

provided, however, that clauses (iii) and (iv) will not be applicable to (A) a
Restricted Subsidiary consolidating with, merging into or transferring all or
part of its properties and assets to the Company or (B) the Company merging with
an Affiliate of the Company solely for the purpose and with the sole effect of
reincorporating the Company in another jurisdiction.

          The Successor Company shall be the successor to the Company and shall
succeed to, and be substituted for, and may exercise every right and power of,
the Company under the Indenture, and the Company, except in the case of a lease,
shall be released from the obligation to pay the principal of and interest on
the Notes.

          SECTION 5.2. When Guarantor May Merge or Transfer Assets
                       -------------------------------------------

          So long as the Guarantee in Article X is in effect, the Guarantor
shall not consolidate with or merge with or into, or convey, transfer or lease,
in one transaction or a series of transactions, directly or indirectly, all or
substantially all its assets to, any Person, unless:

          (i)  the resulting, surviving or transferee Person (the "Successor
               Guarantor") shall be a Person organized and existing under the
               laws of the United States of America, any State thereof or the
               District of Columbia and the Successor Guarantor (if not the
               Guarantor) shall expressly assume, by an indenture supplemental
               thereto, executed and delivered to the Trustee, in form
               satisfactory to the Trustee, all the obligations of the Guarantor
               under the Notes and the Indenture;

          (ii) immediately after such transaction, no Default shall have
               occurred and be continuing;

          (iii)immediately after giving pro forma effect to such transaction,
               the Successor Guarantor shall have Consolidated Net Worth in an
               amount that
<PAGE>

                                                                              69

               is not less than the Consolidated Net Worth of the Guarantor
               immediately prior to such transaction;

          (iv) the Guarantor shall have delivered to the Trustee an Officers'
               Certificate and an Opinion of Counsel, each stating that such
               consolidation, merger or transfer and such supplemental indenture
               (if any) comply with the Indentures; and

          (v)  the Guarantor shall have delivered to the Trustee an Opinion of
               Counsel to the effect that the Holders will not recognize income,
               gain or loss for Federal income tax purposes as a result of such
               transaction and will 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 transaction had not occurred;

provided, however, that clause (iii) will not be applicable to (A) a Restricted
Subsidiary consolidating with, merging into or transferring all or part of its
properties and assets to the Guarantor or (B) the Guarantor merging with an
Affiliate of the Guarantor solely for the purpose and with the sole effect of
reincorporating the Guarantor in another jurisdiction.

          The Successor Guarantor will be the successor to the Guarantor and
shall succeed to, and be substituted for, and may exercise every right and power
of, the Guarantor under the Indenture, and the predecessor Guarantor, except in
the case of a lease, shall be released from its obligations under the Guarantee
of the Notes.

                                 ARTICLE VI

                           DEFAULTS AND REMEDIES

          SECTION 6.1. Events of Default
                       -----------------

          An "Event of Default" occurs if:

          (i)  the Company defaults in any payment of interest on any Note when
               the same becomes due and payable, and such default continues for
               a period of 30 days;

          (ii) the Company defaults in the payment of the principal of any Note
               when the same becomes due and payable at its Stated Maturity,
               upon optional redemption, upon required repurchase, upon
               declaration or otherwise;

          (iii)the Company fails to comply with its obligations under Article
               V;

          (iv) the Company fails to comply with Section 4.4, any of Sections 4.9
               through 4.19 (other than a failure to repurchase Notes when
               required pursuant to Section 4.11 or 4.15, which failure shall
               constitute an Event of Default under Section 6.1(ii)) and such
               failure continues for 30 days after the notice specified below;

          (v)  the Company or the Guarantor fails to comply with any of its
               agreements in the Notes, the Guarantee or this Indenture (other
               than those referred to
<PAGE>

                                                                              70

               in (i), (ii), (iii) or (iv) above) and such failure continues for
               60 days after the notice specified below;

     (vi) the Company or any Significant Subsidiary of the Company fails to pay
          any Indebtedness within any applicable grace period provided in such
          Indebtedness after final maturity or the acceleration of any such
          Indebtedness by the holders thereof because of a default if the total
          amount of such Indebtedness unpaid or accelerated exceeds $50 million
          or its foreign currency equivalent at the time;

     (vii)the Company, the Guarantor or a Significant Subsidiary of the Company
          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 in which it is the debtor;

                    (C) consents to the appointment of a Custodian of it or for
               any substantial part of its property; or

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

or takes any comparable action under any foreign laws relating to insolvency;

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

               (A) is for relief against the Company, the Guarantor or any
          Significant Subsidiary of the Company in an involuntary case;

               (B) appoints a Custodian of the Company, the Guarantor or any
          Significant Subsidiary or for any substantial part of its property of
          the Company, the Guarantor or any Significant Subsidiary; or

               (C) orders the winding up or liquidation of the Company, the
          Guarantor or any Significant Subsidiary of the Company;

(or any similar relief is granted under any foreign laws) and the order, decree
or relief remains unstayed and in effect for 90 days;

     (ix) any judgment or decree for the payment of money in excess of $50
million is rendered against the Company or any Significant Subsidiary of the
Company, remains outstanding for a period of 60 days following such judgment and
is not discharged, waived or stayed within 10 days after notice; or

     (x) prior to the Separation, the Guarantee with respect to the Notes shall
cease for any reason to be in full force and effect (other than in accordance
with its terms) or the Guarantor (or its successors or assigns) or any Person
acting on behalf of the Guarantor (or its successors or assigns) shall deny or
disaffirm its obligations under the Guarantee.
<PAGE>

                                                                              71

          The foregoing will constitute Events of Default whatever the reason
for any such Event of Default and whether it is voluntary or involuntary or is
effected by operation of law or pursuant to any judgment, decree or order of any
court or any order, rule or regulation of any administrative or governmental
body.

          The term "Bankruptcy Law" means Title 11, United States Code, or any
similar Federal or state law for the relief of debtors. The term "Custodian"
means any receiver, trustee, assignee, liquidator, custodian or similar official
under any Bankruptcy Law.

          A Default under clause (iv) and (v) of this Section 6.1 is not an
Event of Default until the Trustee by notice to the Issuers or the Holders of at
least 25% in aggregate principal amount of the outstanding Notes by notice to
the Company give notice of the Default and the Company does not cure such
Default within the time specified in said clause (iv) and (v) after receipt of
such notice. Such notice must specify the Default, demand that it be remedied
and state that such notice is a "Notice of Default".

          The Issuers shall deliver to the Trustee, within 30 days after its
knowledge of the occurrence thereof, written notice in the form of an Officers'
Certificate of any Event of Default under clause (vi) or (x) of this Section 6.1
and any event which with the giving of notice or the lapse of time would become
an Event of Default under clause (iv), (v) or (ix) of this Section 6.1 and what
action the Issuers is taking or proposes to take with respect thereto.

          SECTION 6.2. Acceleration
                       ------------

          If an Event of Default (other than an Event of Default specified in
Section 6.1(vii) or (viii) with respect to the Issuers) occurs and is
continuing, the Trustee by notice to the Issuers, or the Holders of at least 25%
in aggregate principal amount at maturity of the outstanding Notes by notice to
the Issuers, may declare the principal of and accrued but unpaid interest on all
the Notes to be due and payable. Upon such a declaration, such principal and
interest shall be due and payable immediately. If an Event of Default specified
in Section 6.1(vii) or (viii) with respect to the Issuers occurs and is
continuing, the principal of and accrued interest on all the Notes shall ipso
facto become and be immediately due and payable without any declaration or other
act on the part of the Trustee or any Holders. The Holders of a majority in
aggregate principal amount at maturity of the outstanding Notes by notice to the
Trustee may rescind an acceleration and its consequences if the rescission would
not conflict with any judgment or decree and if all existing Events of Default
have been cured or waived except nonpayment of principal or interest that has
become due solely because of acceleration and the Trustee has been paid all
amounts then due to it pursuant to Section 7.7. No such rescission shall affect
any subsequent Default or impair any right consequent thereto.

          SECTION 6.3. Other Remedies
                       --------------

          If an Event of Default occurs and is continuing, the Trustee may
pursue any available remedy to collect the payment of principal of or interest
on the Notes or to enforce the performance of any provision of the Notes or this
Indenture.

          The Trustee may maintain a proceeding even if it does not possess any
of the Notes or does not produce any of them in the proceeding. A delay or
omission by the Trustee or any Noteholder in exercising any right or remedy
accruing upon an Event of Default shall not impair the right or remedy or
constitute a waiver of or acquiescence in the Event of Default. No
<PAGE>

                                                                              72

remedy is exclusive of any other remedy. All available remedies are, to the
extent permitted by law, cumulative.

          SECTION 6.4. Waiver of Past Defaults
                       -----------------------

          The Holders of a majority in aggregate principal amount at maturity of
the Notes then outstanding by notice to the Trustee may waive any past or
existing Default and its consequences except (i) a Default in the payment of the
principal of or interest on a Note or (ii) a Default in respect of a provision
that under Section 9.2 cannot be amended without the consent of each Noteholder
affected. When a Default is waived, it is deemed cured, and any Event of Default
arising therefrom shall be deemed to have been cured, but no such waiver shall
extend to any subsequent or other Default or impair any consequent right.

          SECTION 6.5. Control by Majority
                       -------------------

          Upon provision of reasonable indemnity to the Trustee satisfactory to
the Trustee, the Holders of a majority in aggregate principal amount of the
Notes then outstanding may direct the time, method and place of conducting any
proceeding for any remedy available to the Trustee or of exercising any trust or
power conferred on the Trustee. However, the Trustee, which may conclusively
rely on opinions of counsel, may refuse to follow any direction that conflicts
with law or this Indenture or, subject to Section 7.1, that the Trustee
determines is unduly prejudicial to the rights of other Noteholders or would
involve the Trustee in personal liability; provided, however, that the Trustee
may take any other action deemed proper by the Trustee that is not inconsistent
with such direction.

          SECTION 6.6. Limitation on Suits
                       -------------------

          A Holder may not pursue any remedy with respect to this Indenture or
the Notes unless:

          (i)  the Holder gives to the Trustee previous written notice stating
               that an Event of Default is continuing;

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

          (iii) such Holder or Holders offer to the Trustee reasonable security
               or indemnity satisfactory to it against any loss, liability or
               expense;

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

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

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

          SECTION 6.7. Rights of Holders to Receive Payment
                       ------------------------------------
<PAGE>

                                                                              73

          Notwithstanding any other provision of this Indenture, the right of
any Holder to receive payment of the principal of and interest on the Notes held
by such Holder, on or after the respective due dates expressed in the Notes, or
to bring suit for the enforcement of any such payment on or after such
respective dates, shall not be impaired or affected without the consent of such
Holder.

          SECTION 6.8. Collection Suit by Trustee
                       --------------------------

          If an Event of Default specified in Section 6.1(i) or (ii) occurs and
is continuing, the Trustee may recover judgment in its own name and as trustee
of an express trust against any Issuer or the Guarantor for the whole amount
then due and owing (together with interest on any unpaid interest to the extent
lawful) and the amounts provided for in Section 7.7.

          SECTION 6.9. Trustee May File Proofs of Claim
                       --------------------------------

          The Trustee may file such proofs of claim and other papers or
documents as may be necessary or advisable in order to have the claims of the
Trustee and the Noteholders allowed in any judicial proceedings relative to any
Issuer, the Guarantor, its creditors or its property and shall be entitled and
empowered to collect, receive and distribute any money or other securities or
property payable or deliverable on any such claims and to distribute the same,
and any Custodian in any such judicial proceeding is hereby authorized by each
Holder to make payments to the Trustee and, in the event that the Trustee shall
consent to the making of such payments directly to the Holders, to pay to the
Trustee any amount due it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and its counsel, and any
other amounts then due the Trustee under Section 7.7.

          SECTION 6.10. Priorities
                        ----------

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

          FIRST: to the Trustee for amounts then due under Section 7.7;

          SECOND:to Noteholders for amounts due and unpaid on the Notes for the
     principal, premium, if any, and interest, ratably, without preference or
     priority of any kind, according to the amounts due and payable on the Notes
     for the principal and interest, respectively; and

          THIRD: to the Issuers or to such party as a court of competent
     jurisdiction shall direct.

          The Trustee may fix a record date and payment date for any payment to
Noteholders pursuant to this Section 6.10. At least 15 days before such record
date, the Issuers shall mail to each Noteholder and the Trustee a notice that
states the record date, the payment date and amount to be paid.

          SECTION 6.11. Undertaking for Costs
                        ---------------------

          In any suit for the enforcement of any right or remedy under this
Indenture or in any suit against the Trustee for any action taken or omitted by
it as Trustee, a court in its discretion may require the filing by any party
litigant in the suit of an undertaking to pay the
<PAGE>

                                                                              74

costs of the suit, and the court in its discretion may assess reasonable costs,
including reasonable attorneys' fees and expenses, against any party litigant in
the suit, having due regard to the merits and good faith of the claims or
defenses made by the party litigant. This Section 6.11 does not apply to a suit
by the Trustee or a suit by a Holder pursuant to Section 6.7.

          SECTION 6.12. Waiver of Stay or Extension Laws
                        --------------------------------

          The Issuers (to the extent it may lawfully do so) shall not at any
time insist upon, or plead, or in any manner whatsoever claim or take the
benefit or advantage of, any stay or extension law wherever enacted, now or at
any time hereafter in force, which may affect the covenants or the performance
of this Indenture; and the Issuers (to the extent that it may lawfully do so)
hereby expressly waive all benefit or advantage of any such law, and shall not
hinder, delay or impede the execution of any power herein granted to the
Trustee, but shall suffer and permit the execution of every such power as though
no such law had been enacted.

                                ARTICLE VII

                                  Trustee

          SECTION 7.1. Duties of Trustee
                       -----------------

          (a) If an Event of Default has occurred and is continuing, the Trustee
shall exercise the rights and powers vested in it by this Indenture and use the
same degree of care and skill in their exercise as a prudent Person would
exercise or use under the circumstances in the conduct of such Person's own
affairs.

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

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

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

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

               (i) this paragraph does not limit the effect of paragraph (b) of
      this Section 7.1;

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

                                                                              75

               (iii) the Trustee shall not be liable with respect to any action
      it takes or omits to take in good faith in accordance with a direction
      received by it pursuant to Section 6.5.

          (d) Whether or not therein expressly so provided, every provision of
this Indenture that in any way relates to the Trustee is subject to paragraphs
(a), (b) and (c) of this Section 7.1.

          (e) Money held in trust by the Trustee need not be segregated from
other funds except to the extent required by law.

          (f) No provision of this Indenture shall require the Trustee to expend
or risk its own funds or otherwise incur financial liability in the performance
of any of its duties hereunder or in the exercise of any of its rights or
powers, if it shall have reasonable grounds to believe that repayment of such
funds or adequate indemnity against such risk or liability is not reasonably
assured to it.

          (g) Every provision of this Indenture relating to the conduct or
affecting the liability of or affording protection to the Trustee shall be
subject to the provisions of this Section 7.1 and to the provisions of the TIA.

          SECTION 7.2. Rights of Trustee
                       -----------------

          (a) The Trustee may conclusively rely upon, and shall be fully
protected from acting or refraining from acting, on any document believed by it
to be genuine and to have been signed or presented by the proper person. The
Trustee need not investigate any fact or matter stated in the document.

          (b) Before the Trustee acts or refrains from acting, it may request an
Officers' Certificate or an Opinion of Counsel or both. The Trustee shall not be
liable for any action it takes or omits to take in good faith in reliance on the
Officers' Certificate or Opinion of Counsel.

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

          (d) The Trustee shall not be liable for any action it takes or omits
to take in good faith which it believes to be authorized or within its rights or
powers; provided, however, that the Trustee's conduct does not constitute
willful misconduct or negligence.

          (e) The Trustee may consult with counsel of its selection, and the
advice or opinion of counsel with respect to legal matters relating to this
Indenture and the Notes shall be full and complete authorization and protection
from liability in respect to any action taken, omitted or suffered by it
hereunder in good faith and in accordance with the advice or opinion of such
counsel.

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

                                                                              76

          (g) The Trustee shall not be charged with knowledge of any Default or
Event of Default with respect to the Notes unless either (1) a Trust Officer
shall have actual knowledge of such Default or Event of Default or (2) written
notice of such Default or Event of Default making reference to this Indenture
and to the Notes shall have been given to the Trustee by the Issuer or by any
Holder of the Notes.

          (h) The Trustee shall not be bound to make any investigation into the
facts or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, direction, consent, order, bond, debenture,
note, other evidence of indebtedness or other paper or document, but the
Trustee, in its discretion, may make such further inquiry or investigation into
such facts or matters as it may see fit, and, if the Trustee shall determine to
make such further inquiry or investigation, it shall be entitled to examine the
books, records and premises of the Company, personally or by agent or attorney
at the sole cost of the Company and shall incur no liability or additional
liability of any kind by reason of such inquiry or investigation.

          (i) The Trustee may require any Paying Agent(s) to pay to it all sums
held by such Agent upon the occurrences of an Event of Default.

          SECTION 7.3. Individual Rights of Trustee
                       ----------------------------

          The Trustee in its individual or any other capacity may become the
owner or pledgee of Notes and may otherwise deal with the Issuers or their
respective Affiliates with the same rights it would have if it were not Trustee.

          Any Paying Agent, Registrar, co-registrar or co-paying agent may do
the same with like rights. However, the Trustee must comply with Sections 7.10
and 7.11.

          SECTION 7.4. Money Held in Trust
                       -------------------

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

          SECTION 7.5. Trustee's Disclaimer
                       --------------------

          The Trustee shall not be responsible for and makes no representation
as to the validity or adequacy of this Indenture or the Notes. It shall not be
accountable for the Issuers' use of the proceeds from the Notes, and it shall
not be responsible for any statement of the Issuers in this Indenture or in any
document issued in connection with the sale of the Notes or in the Notes other
than the Trustee's certificate of authentication.

          SECTION 7.6. Notice of Defaults
                       ------------------

          If a Default or an Event of Default occurs and is continuing and if it
is known to the Trustee, the Trustee must mail to each Noteholder notice of the
Default within 90 days after it occurs. Except in the case of a Default in
payment of principal of, premium (if any) or interest on any Note, the Trustee
may withhold notice if and so long as a committee of its Trust Officers in good
faith determines that withholding notice is not opposed to the interests of
Noteholders.
<PAGE>

                                                                              77

          SECTION 7.7. Reports by Trustee to Holders
                       -----------------------------

          As promptly as practicable after each May 15 beginning with May 15
following the date of this Indenture, the Trustee shall mail to each Noteholder
a brief report dated as of such May 15 that complies with TIA Section 313(a).
The Trustee also shall comply with TIA Section 313(b). The Trustee shall
promptly deliver to the Issuer a copy of any report it delivers to Holders
pursuant to this Section 7.6.

          A copy of each report at the time of its mailing to Noteholders shall
be filed by the Trustee with the SEC and each stock exchange (if any) on which
the Notes are listed. The Issuers agree to notify promptly the Trustee whenever
the Notes become listed on any stock exchange and of any delisting thereof.

          SECTION 7.8. Compensation and Indemnity
                       --------------------------

          The Issuers shall pay to the Trustee from time to time such
compensation for its services as the Issuers and the Trustee shall from time to
time agree in writing. The Trustee's compensation shall not be limited by any
law on compensation of a trustee of an express trust. The Issuers shall
reimburse the Trustee upon request for all reasonable and documented fees and
expenses, including out-of-pocket expenses, incurred or made by it in connection
with the performance of its duties hereunder, including costs of collection, in
addition to such compensation for its services, except any such expense,
disbursement or advance as may arise from its negligence, willful misconduct or
bad faith, unless the Trustee shall have complied with the applicable standard
of care required by the TIA. Such expenses shall include the reasonable
compensation and documented out-of-pocket expenses, disbursements and advances
of the Trustee's agents, counsel, accountants and experts. The Trustee shall
provide the Issuers reasonable notice of any expenditure not in the ordinary
course of business; provided that prior approval by the Issuers of any such
expenditure shall not be a requirement for the making of such expenditure nor
for reimbursement by the Issuers thereof. The Issuers shall jointly and
severally indemnify each of the Trustee and any predecessor Trustees against any
and all loss, damage, claim, liability or expense and tax (including reasonable
and documented attorneys' fees and out-of-pocket expenses) (other than taxes
applicable to the Trustee's compensation hereunder) incurred by it in connection
with the acceptance or administration of this trust and the performance of its
duties hereunder. The Trustee shall notify the Issuers promptly of any claim for
which it may seek indemnity. Failure by the Trustee to so notify the Issuers
shall not relieve the Issuers of their obligations hereunder. The Issuers shall
defend the claim and the Trustee may have separate counsel, and the Issuers will
pay the reasonable fees and expenses of such counsel. The Issuers need not
reimburse any expense or indemnify against any loss, liability or expense
incurred by the Trustee through the Trustee's own willful misconduct, negligence
or bad faith, unless the Trustee shall have complied with the applicable
standard of care required by the TIA.

          To secure the Issuers' payment obligations in this Section 7.7, the
Trustee shall have a lien prior to the Notes on all money or property held or
collected by the Trustee other than money or property held in trust to pay
principal of and interest on particular Notes.

          When the Trustee incurs expenses after the occurrence of a Default
specified in Section 6.1(vii) or (viii) with respect to the Issuers, the
expenses are intended to constitute expenses of administration under the
Bankruptcy Law, provided, however, that this shall not affect the Trustee's
rights as set forth in the preceding paragraph or Section 6.10. The terms of
<PAGE>

                                                                              78

this Section 7.8 shall survive the termination of this Indenture and the removal
or resignation of the Trustee.

          SECTION 7.9. Replacement of Trustee
                       ----------------------

          The Trustee may resign at any time with 30 days notice to the Issuers.
The Holders of a majority in principal amount of the Notes then outstanding, may
remove the Trustee with 30 days notice to the Trustee and the Issuers and may
appoint a successor Trustee. So long as no Default or Event of Default shall
have occurred and been outstanding within the previous 12 month period, the
Issuers may remove the Trustee at any time by appointing a successor Trustee
that complies with Section 7.10.

          If the Trustee resigns, is removed by the Issuers or by the Holders of
a majority in principal amount of the Notes and such Holders do not reasonably
promptly appoint a successor Trustee, or if a vacancy exists in the office of
Trustee for any reason (the Trustee in such event being referred to herein as
the retiring Trustee), the Issuers shall promptly appoint a successor Trustee.

          A successor Trustee shall deliver a written acceptance of its
appointment to the retiring Trustee and to the Issuers. Thereupon the
resignation or removal of the retiring Trustee shall become effective, and the
successor Trustee shall have all the rights, powers and duties of the Trustee
under this Indenture. The successor Trustee shall mail a notice of its
succession to Noteholders. The retiring Trustee shall promptly transfer all
property held by it as Trustee to the successor Trustee, subject to the lien
provided for in Section 7.7.

          If a successor Trustee does not take office and deliver the written
notice contemplated by this Section 7.9 within 30 days after the retiring
Trustee resigns or is removed, the retiring Trustee or the Holders of 10% in
principal amount of the Notes may, at the expense of the Issuers petition any
court of competent jurisdiction for the appointment of a successor Trustee.

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

          SECTION 7.10. Successor Trustee by Merger
                        ---------------------------

          If the Trustee consolidates with, merges or converts into, or
transfers all or substantially all its corporate trust business or assets to,
another corporation or banking association, the resulting, surviving or
transferee corporation without any further act shall be the successor Trustee,
provided that such corporation shall be eligible under this Article VII and TIA
Section 3.10(a).

          In case at the time such successor or successors by merger, conversion
or consolidation to the Trustee shall succeed to the trusts created by this
Indenture any of the Notes shall have been authenticated but not delivered, any
such successor to the Trustee may adopt the certificate of authentication of any
predecessor trustee, and deliver such Notes so authenticated; and in case at
that time any of the Notes shall not have been authenticated, any successor to
the Trustee may authenticate such Notes either in the name of any predecessor
hereunder or in the name of the successor to the Trustee; and in all such cases
such certificates shall have the full
<PAGE>

                                                                              79

force which it is anywhere in the Notes or in this Indenture provided that the
certificate of the Trustee shall have.

          SECTION 7.11. Eligibility; Disqualification
                        -----------------------------

          The Trustee shall at all times satisfy the requirements of TIA Section
310(a). The Trustee shall have a combined capital and surplus of at least
$50,000,000 as set forth in its most recent published annual report of
condition. The Trustee shall comply with TIA Section 310(b); provided, however,
that there shall be excluded from the operation of TIA Section 310(b)(1) any
indenture or indentures under which other securities or certificates of interest
or participation in other securities of the Issuers are outstanding if the
requirements for such exclusion set forth in TIA Section 310(b)(1) are met.

          SECTION 7.12. Preferential Collection of Claims Against Issuers
                        -------------------------------------------------

          The Trustee shall comply with TIA Section 311(a), excluding any
creditor relationship listed in TIA Section 311(b). A Trustee who has resigned
or been removed shall be subject to TIA Section 311(a) to the extent indicated.

                                ARTICLE VIII

                     Discharge of Indenture; Defeasance

          SECTION 8.1. Discharge of Liability on Notes; Defeasance
                       -------------------------------------------

          (a) When (i) the Issuers deliver to the Trustee all outstanding Notes
(other than Notes replaced pursuant to Section 2.7) for cancellation or (ii) all
outstanding Notes have become due and payable, whether at maturity or as a
result of the mailing of a notice of redemption pursuant to Article III hereof
or the Notes will become due and payable at their Stated Maturity within 91
days, or the Notes are to be called for redemption within 91 days under
arrangements satisfying the terms of this Indenture, and, in each case of this
clause (ii), the Issuers irrevocably deposit or cause to be deposited with the
Trustee funds sufficient to pay at maturity or upon redemption all outstanding
Notes, including interest thereon to maturity or such redemption date (other
than Notes replaced pursuant to Section 2.7), and if in either case the Issuers
pay all other sums payable hereunder by the Issuers, then this Indenture shall,
subject to Section 8.1(c), cease to be of further effect. The Trustee shall
acknowledge satisfaction and discharge of this Indenture on demand of the
Issuers accompanied by an Officers' Certificate and an Opinion of Counsel from
the Issuers that all conditions precedent provided herein for relating to
satisfaction and discharge of this Indenture have been complied with and at the
cost and expense of the Issuers.

          (b) Subject to Sections 8.1(c) and 8.2, the Issuers at any time may
terminate (i) all of their obligations (and the obligations of the Guarantor in
respect of the Guarantee with respect to the Notes) under the Notes and this
Indenture ("legal defeasance option") or (ii) their obligations under Sections
4.2 through 4.19 and the operation of Sections 5.1(iii), 6.1(vi), 6.1(vii) (but
only with respect to a Significant Subsidiary), 6.1(viii) (but only with respect
to a Significant Subsidiary) and 6.1(ix) ("covenant defeasance option"). The
Issuers may exercise their legal defeasance option notwithstanding its prior
exercise of its covenant defeasance option.
<PAGE>

                                                                              80

          If the Issuers exercise their legal defeasance option, payment of the
Notes may not be accelerated because of an Event of Default. If the Issuers
exercise its covenant defeasance option, payment of the Notes may not be
accelerated because of an Event of Default specified in Section 6.1(iv),
6.1(vi), 6.1(vii) (but only with respect to a Significant Subsidiary), 6.1(viii)
(but only with respect to a Significant Subsidiary), 6.1(ix) or because of the
failure of the Issuers to comply with Section 5.1(iii).

          Upon satisfaction of the conditions set forth herein and upon request
of the Issuers, the Trustee shall acknowledge in writing the discharge of those
obligations that the Issuers terminate.

          (c) Notwithstanding clauses (a) and (b) above, the Issuers'
obligations in Sections 2.3, 2.4, 2.5, 2.7, 4.1, Sections 4.2 through 4.19, 7.7,
7.8, 8.4, 8.5 and 8.6 (and the obligations of the Guarantor in respect of the
Guarantee with respect to the Notes) shall survive until the Notes have been
paid in full. Thereafter, the Issuers' obligations in Sections 7.7, 8.4 and 8.5
shall survive.

          SECTION 8.2. Conditions to Defeasance
                       ------------------------

          The Issuers may exercise the legal defeasance option or the covenant
defeasance option only if:

          (i)  the Issuers irrevocably deposit or cause to be deposited in trust
               with the Trustee money or U.S. Government Obligations which
               through the scheduled payment of principal and interest in
               respect thereof in accordance with their terms will provide cash
               at such times and in such amounts as will be sufficient to pay
               principal and interest when due on all outstanding Notes (except
               Notes replaced pursuant to Section 2.7) to maturity or
               redemption, as the case may be;

          (ii) the Issuers deliver to the Trustee a certificate from a
               nationally recognized firm of independent accountants expressing
               their opinion that the payments of principal and interest when
               due and without reinvestment on the deposited U.S. Government
               Obligations plus any deposited money without investment will
               provide cash at such times and in such amounts as will be
               sufficient to pay principal and interest when due on all
               outstanding Notes (except Notes replaced pursuant to Section 2.7)
               to maturity or redemption, as the case may be;

          (iii)123 days pass after the deposit is made and during the 123-day
               period no Default specified in Section 6.1(7) or (8) with respect
               to the Issuers occurs which is continuing at the end of the
               period;

          (iv) the deposit does not constitute a default under any other
               material agreement binding on the Issuers;

          (v)  the Issuers deliver to the Trustee an Opinion of Counsel to the
               effect that the trust resulting from the deposit does not
               constitute, or is qualified as, a regulated investment company
               under the Investment Company Act of 1940;
<PAGE>

                                                                              81

          (vi) in the case of the legal defeasance option, the Issuers shall
               have delivered to the Trustee an Opinion of Counsel stating 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 this 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
               Noteholders will not recognize income, gain or loss for federal
               income tax purposes as a result of such deposit and defeasance
               and will 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 deposit and defeasance had not occurred;

          (vii)in the case of the covenant defeasance option, the Issuers shall
               have delivered to the Trustee an Opinion of Counsel to the effect
               that the Noteholders will not recognize income, gain or loss for
               federal income tax purposes as a result of such covenant
               defeasance and will be subject to federal income tax on the same
               amounts and in the same manner and at the same times as would
               have been the case if such deposit and covenant defeasance had
               not occurred; and

          (viii)the Issuers deliver to the Trustee an Officers' Certificate and
               an Opinion of Counsel, each stating that all conditions precedent
               to the defeasance and discharge of the Notes as contemplated by
               this Article VIII have been complied with.

          Before or after a deposit, the Issuers may make arrangements
satisfactory to the Trustee for the redemption of Notes at a future date in
accordance with Article III.

          SECTION 8.3. Application of Trust Money
                       --------------------------

          The Trustee shall hold in trust money or U.S. Government Obligations
deposited with it pursuant to this Article VIII. It shall apply the deposited
money and the money from U.S. Government Obligations either directly or through
the Paying Agent as the Trustee may determine and in accordance with this
Indenture to the payment of principal of and interest on the Notes.

          SECTION 8.4. Repayment to Issuers
                       --------------------

          The Trustee and the Paying Agent shall promptly turn over to the
Issuers upon request any excess money or securities held by them at any time.

          Subject to any applicable abandoned property law, the Trustee and the
Paying Agent shall pay to the Issuers upon written request any money held by
them for the payment of principal or interest that remains unclaimed for one
year after such principal and interest have become due and payable, and,
thereafter, Noteholders entitled to the money must look to the Issuers for
payment as general creditors.

          SECTION 8.5. Indemnity for Government Obligations
                       ------------------------------------
<PAGE>

                                                                              82

          The Issuers and the Guarantor shall pay and shall indemnify the
Trustee against any tax, fee or other charge imposed on or assessed against
deposited U.S. Government Obligations or the principal and interest received on
such U.S. Government Obligations other than any such tax, fee or other charge
which by law is for the account of the Holders of the defeased Notes; provided
that the Trustee shall be entitled to charge any such tax, fee or other charge
to such Holder's account.

          SECTION 8.6. Reinstatement
                       -------------

          If the Trustee or Paying Agent is unable to apply any money or U.S.
Government Obligations in accordance with this Article VIII by reason of any
legal proceeding or by reason of any order or judgment of any court or
governmental authority enjoining, restraining or otherwise prohibiting such
application, the Issuers' and the Guarantor's obligations under this Indenture,
the Notes and the Guarantee with respect to the Notes shall be revived and
reinstated as though no deposit had occurred pursuant to this Article VIII until
such time as the Trustee or Paying Agent is permitted to apply all such money or
U.S. Government Obligations in accordance with this Article VIII; provided,
however, that, (a) if the Issuers or the Guarantor have made any payment of
interest on or principal of any Notes following the reinstatement of their
obligations, the Issuers or the Guarantor shall be subrogated to the rights of
the Holders of such Notes to receive such payment from the money or U.S.
Government Obligations held by the Trustee or Paying Agent and (b) unless
otherwise required by any legal proceeding or any order or judgment of any court
or governmental authority, the Trustee or Paying Agent shall return all such
money and U.S. Government Obligations to the Issuers or the Guarantor promptly
after receiving a written request therefor at any time, if such reinstatement of
the Issuers' and the Guarantor's obligations has occurred and continues to be in
effect.

                                 ARTICLE IX

                                 AMENDMENTS

          SECTION 9.1. Without Consent of Holders
                       --------------------------

          The Issuers, the Guarantor and the Trustee may amend this Indenture,
the Notes or the Guarantee with respect to the Notes without notice to or
consent of any Noteholder:

          (i)  to cure any ambiguity, omission, defect or inconsistency;

          (ii) to comply with Article V;

          (iii)to provide for uncertificated Notes in addition to or in place
               of certificated Notes (provided, however, that the uncertificated
               Notes are issued in registered form for purposes of Section
               163(f) of the Code or in a manner such that the uncertificated
               Notes are as described in Section 163(f)(2)(B) of the Code);

          (iv) to add Guarantees with respect to the Notes;

          (v)  to secure the Notes;

          (vi) to add to the covenants of the Issuers for the benefit of the
               Noteholders or to surrender any right or power herein conferred
               upon the Issuers;
<PAGE>

                                                                              83

          (vii) to make any change that does not materially and adversely affect
               the rights of any Noteholder; and

          (viii) to comply with any requirements of the SEC in connection with
               qualifying this Indenture under the TIA.

          After an amendment under this Section 9.1 becomes effective, the
Issuers shall mail to Noteholders a notice briefly describing such amendment.
The failure to give such notice to all Noteholders, or any defect therein, shall
not impair or affect the validity of an amendment under this Section 9.1.

          SECTION 9.2. With Consent of Holders
                       -----------------------

          The Issuers, the Guarantor and the Trustee may amend this Indenture,
the Notes or the Guarantee with respect to the Notes without notice to any
Noteholder but with the written consent of the Holders of at least a majority in
principal amount at maturity of the Notes then outstanding (including consents
obtained in connection with a tender offer or exchange for Notes). However,
without the consent of each Noteholder of an outstanding Note affected, an
amendment may not:

          (i)  reduce the amount of Notes whose Holders must consent to an
               amendment;

          (ii) reduce the rate of or extend the time for payment of interest on
               any Note;

          (iii) reduce the principal of or extend the Stated Maturity of any
               Note;

          (iv) reduce the amount payable upon the redemption of any Note or
               change the time at which any Note may be redeemed in accordance
               with Article III;

          (v)  make any Note payable in currency other than that stated in the
               Note;

          (vi) impair the right of any Holder to receive payment of principal of
               and interest on such Holder's Notes on or after the due dates
               therefor or to institute suit for the enforcement of any payment
               on or with respect to such Holder's Notes;

          (vii) make any change in this second sentence of Section 9.2;

          (viii) make any change in the ranking or priority of the Notes that
               would adversely affect the Noteholders; and

          (ix) make any change in the Guarantee that would adversely affect the
               Holders.

          It shall not be necessary for the consent of the Holders under this
Section 9.2 to approve the particular form of any proposed amendment, but it
shall be sufficient if such consent approves the substance thereof.

          After an amendment under this Section 9.2 becomes effective, the
Issuers shall mail to Noteholders a notice briefly describing such amendment.
The failure to give such notice
<PAGE>

                                                                              84

to all Noteholders, or any defect therein, shall not impair or affect the
validity of an amendment under this Section 9.2.

          SECTION 9.3. Compliance with Trust Indenture Act
                       -----------------------------------

          Every amendment to this Indenture or the Notes shall comply with the
TIA as then in effect.

          SECTION 9.4. Revocation and Effect of Consents and Waivers
                       ---------------------------------------------

          A consent to an amendment or a waiver by a Holder of a Note shall bind
the Holder and every subsequent Holder of that Note or portion of the Note that
evidences the same debt as the consenting Holder's Note, even if notation of the
consent or waiver is not made on the Note. After an amendment or waiver becomes
effective, it shall bind every Noteholder.

          The Issuers may, but shall not be obligated to, fix a record date for
the purpose of determining the Noteholders entitled to give their consent or
take any other action described above or required or permitted to be taken
pursuant to this Indenture. If a record date is fixed, then notwithstanding the
immediately preceding paragraph, those Persons who were Noteholders at such
record date (or their duly designated proxies), and only those Persons, shall be
entitled to give such consent or to revoke any consent previously given or to
take any such action, whether or not such Persons continue to be Holders after
such record date. No such consent shall be valid or effective for more than 120
days after such record date.

          SECTION 9.5. Notation on or Exchange of Notes
                       --------------------------------

          If an amendment changes the terms of a Note, the Trustee may require
the Holder of the Note to deliver it to the Trustee. The Trustee may place an
appropriate notation on the Note regarding the changed terms and return it to
the Holder. Alternatively, if the Issuers or the Trustee so determine, the
Issuers in exchange for the Note shall issue and the Trustee shall authenticate
a new Note that reflects the changed terms. Failure to make the appropriate
notation or to issue a new Note shall not affect the validity of such amendment.

          SECTION 9.6. Trustee to Sign Amendments
                       --------------------------

          The Trustee shall sign any amendment authorized pursuant to this
Article IX if the amendment does not materially and adversely affect the rights,
duties, liabilities or immunities of the Trustee. If it does, the Trustee may
but need not sign it. In signing such amendment the Trustee shall be entitled to
receive indemnity reasonably satisfactory to it and to receive, and (subject to
Section 7.1) shall be fully protected in relying upon, in addition to the
documents required by Section 11.4, an Officers' Certificate and an Opinion of
Counsel stating that such amendment complies with the provisions of this Article
IX; provided, however, that Holders who do not consent, waive or agree to amend
this Indenture in the time frame set forth in such solicitation documents shall
not be entitled to any consideration offered for timely consent, waiver or
amendment, even if the consent, waiver or amendment is agreed to by sufficient
Holders to approve such consent, waiver or amendment to this Indenture.

          SECTION 9.7. Payment for Consent
                       -------------------

          Neither the Issuers, the Guarantor nor any affiliate of any Issuer
shall, directly or indirectly, pay or cause to be paid any consideration,
whether by way of interest, fee or
<PAGE>

                                                                              85

otherwise, to any Holder for, or as an inducement to any consent, waiver or
amendment of any of the terms or provisions of this Indenture or the Notes
unless such consideration is offered to be paid to all Holders that so consent,
waive or agree to amend in the time frame set forth in solicitation documents
relating to such consent, waiver or agreement.

                                 ARTICLE X

                                 Guarantee

          SECTION 10.1. Guarantee
                        ---------

          Subject to the next paragraph, until the Separation Date, the
Guarantor shall fully and unconditionally guarantee, on a senior unsecured
basis, to each Holder of a Note authenticated and delivered by the Trustee and
to the Trustee and its successors and assigns, irrespective of the validity and
enforceability of this Indenture, the Notes or the Obligations of the Issuers
under this Indenture or the Notes, that: (i) the principal of, premium, if any,
and interest, if any, on the Notes will be paid in full when due, whether at the
maturity or interest payment or redemption date, by acceleration, call for
redemption, offer to purchase or otherwise, and interest on the overdue
principal of, premium, and interest, if any, on the Notes and all other
Obligations of the Issuers to the Holders or the Trustee under this Indenture or
the Notes will be promptly paid in full or performed, all in accordance with the
terms of this Indenture and the Notes; (ii) in case of any extension of time of
payment or renewal of any Notes or any of such other Obligations, they will be
paid in full when due or performed in accordance with the terms of the extension
or renewal, whether at maturity, by acceleration or otherwise; and (iii) any and
all costs and expenses (including reasonable and documented attorneys' fees)
incurred by the Trustee or any Holder in enforcing any rights under the
Guarantee with respect to the Notes will be paid. Failing payment when due of
any amount so guaranteed for whatever reason, the Guarantor will be obligated
(subject to any grace periods allowed pursuant to Section 6.1 hereof) to pay the
same whether or not such failure to pay has become an Event of Default which
could cause acceleration pursuant to Section 6.2 hereof. An Event of Default
under this Indenture or the Notes shall constitute an event of default under the
Guarantee of the Notes, and shall entitle the Holders of Notes to accelerate the
Obligations of the Guarantor hereunder in the same manner and to the same extent
as the Obligations of the Issuers. The Guarantor agrees that its Obligations
hereunder shall be unconditional, irrespective of the validity, regularity or
enforceability of the Notes or this Indenture, the absence of any action to
enforce the same, any waiver or consent by any Holder of the Notes with respect
to any provisions hereof or thereof, the recovery of any judgment against the
Issuers, any action to enforce the same or any other circumstance (other than
payment) that might otherwise constitute a legal or equitable discharge or
defense of the Guarantor. The Guarantor hereby waives diligence, presentment,
demand of payment, filing of claims with a court in the event of insolvency or
bankruptcy of either or both of the Issuers, protest, notice and all demands
whatsoever and covenants that its Guarantee with respect to the Notes will not
be discharged except by complete performance of its Obligations under the Notes
and this Indenture. Notwithstanding the provisions of Section 10.2, if any
Holder or the Trustee is required by any court or otherwise to return to any
Issuer, the Guarantor or any custodian, trustee, liquidator or other similar
official acting in relation to either any Issuer or the Guarantor any amount
paid by any such entity to the Trustee or such Holder, this Guarantee of the
Notes, to the extent theretofore discharged, shall be reinstated in full force
and effect. The Guarantor agrees that it shall not be entitled to any right of
subrogation in relation to the Holder in respect of any Obligations guaranteed
hereby until payment in full of all
<PAGE>

                                                                              86

Obligations guaranteed hereby. The Guarantor agrees that, as between it, on the
one hand, and the Holders of Notes and the Trustee, on the other hand, (x) the
maturity of the Obligations guaranteed hereby may be accelerated as provided in
Article 6 hereof for the purposes hereof, notwithstanding any stay, injunction
or other prohibition preventing such acceleration in respect of the Obligations
guaranteed hereby, and (y) in the event of any acceleration of such Obligations
as provided in Article 6 hereof, such Obligations (whether or not due and
payable) shall forthwith become due and payable by the Guarantor for the purpose
of such Guarantee of the Notes.

          If the Separation Date does not occur on or before December 31, 2002
or if the Board of Directors determines not to proceed with the Separation, the
Guarantee of the Notes by the Guarantor shall stay in effect until the Notes
have been paid in full.

          Each Holder of a Note by its acceptance thereof agrees to and shall be
bound by the provisions of this Section 10.1.

          SECTION 10.2. Release of Guarantor
                        --------------------

          Upon the occurrence of the earlier of (i) the Separation Date (if the
Separation Date occurs on or prior to December 31, 2002) or (ii) the payment in
full of all of the Issuers' Obligations under the Notes and this Indenture
(other than with respect to any indemnification obligations), the Guarantor
shall be released from and relieved of its Obligations with respect to the Notes
under this Article X.

                                 ARTICLE XI

                               MISCELLANEOUS

          SECTION 11.1. Trust Indenture Act Controls
                        ----------------------------

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

          SECTION 11.2. Notices
                        -------

          Any notice or communication shall be in writing and be effective upon
receipt or refusal of delivery at the following addresses:

                   if to any Issuer:

                   United States Steel LLC
                   600 Grand Street
                   Pittsburgh, PA 15219-4776

                   Attention:  Vice President - Finance and Accounting
                   Facsimile:  412-433-1131

                   if to the Trustee:
<PAGE>

                                                                              87

                   The Bank of New York
                   101 Barclay Street
                   Floor 21 West
                   New York, New York  10286

                   Attention:  Corporate Trust Trustee Administration
                   Facsimile:  (212) 815-5915 or (212) 815-5917

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

          Any notice or communication mailed to a Noteholder shall be mailed to
the Noteholder at the Noteholder's address as it appears on the registration
books of the Registrar and shall be sufficiently given if so mailed within the
time prescribed.

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

          SECTION 11.3. Communication by Holders with Other Holders
                        -------------------------------------------

          Noteholders may communicate pursuant to TIA Section 312(b) with other
Noteholders with respect to their rights under this Indenture or the Notes. The
Issuers, the Trustee, the Registrar and anyone else shall have the protection of
TIA Section 312(c).

          SECTION 11.4. Certificate and Opinion as to Conditions Precedent
                        --------------------------------------------------

          Upon any request or application by the Issuers to the Trustee to take
or refrain from taking any action under this Indenture, the Issuers shall
furnish to the Trustee:

          (i)  an Officers' Certificate in form and substance reasonably
               satisfactory to the Trustee stating that, in the opinion of the
               signer, all conditions precedent, if any, provided for in this
               Indenture relating to the proposed action have been complied
               with; and

          (ii) an Opinion of Counsel in form and substance reasonably
               satisfactory to the Trustee stating that, in the opinion of such
               counsel, all such conditions precedent have been complied with.

          SECTION 11.5. Statements Required in Certificate or Opinion
                        ---------------------------------------------

          Each certificate or opinion with respect to compliance with a covenant
or condition provided for in this Indenture shall include:

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

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

                                                                              88

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

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

          SECTION 11.6. When Notes Disregarded
                        ----------------------

          In determining whether the Holders of the required principal amount of
Notes have concurred in any direction, waiver or consent, Notes owned by the
Issuers or by any Person directly or indirectly controlling or controlled by or
under direct or indirect common control with the Issuers shall be disregarded
and deemed not to be outstanding, except that, for the purpose of determining
whether the Trustee shall be protected in relying on any such direction, waiver
or consent, only Notes which a Trust Officer of the Trustee knows are so owned
shall be so disregarded. Also, subject to the foregoing, only Notes outstanding
at the time shall be considered in any such determination.

          SECTION 11.7. Rules by Trustee, Paying Agent and Registrar
                        --------------------------------------------

          The Trustee may make reasonable rules for action by or at a meeting of
Noteholders. The Registrar and the Paying Agent may make reasonable rules for
their functions.

          SECTION 11.8. Legal Holidays
                        --------------

          A "Legal Holiday" is a Saturday, a Sunday or a day on which banking
institutions are not required to be open in the State of New York. If a payment
date is a Legal Holiday, payment shall be made on the next succeeding day that
is not a Legal Holiday, and no interest shall accrue on such payment for the
intervening period. If a regular record date is a Legal Holiday, the record date
shall not be affected.

          SECTION 11.9. GOVERNING LAW. THIS INDENTURE, THE NOTES AND THE
                        -------------
GUARANTEE OF THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE LAWS OF THE STATE OF NEW YORK.

          SECTION 11.10. No Recourse Against Others
                         --------------------------

          No director, officer, employee, member, incorporator or stockholder of
any Issuer or the Guarantor, as such, shall have any liability for any
obligations of any Issuer or the Guarantor under the Notes, this Indenture or
for any claim based on, in respect of, or by reason of such obligations or their
creation. Each Holder of Notes by accepting a Note waives and releases all such
liability. This waiver and release are part of the consideration for issuance of
the Notes.

          SECTION 11.11. Successors
                         ----------

          All agreements of the Issuers and the Guarantor in this Indenture and
the Notes shall bind their successors. All agreements of the Trustee in this
Indenture shall bind its successors.
<PAGE>

                                                                              89

          SECTION 11.12. Multiple Originals
                         ------------------

          The parties may sign any number of copies of this Indenture. Each
signed copy shall be an original, but all of them together represent the same
agreement. One signed copy is enough to prove this Indenture.

          SECTION 11.13. Qualification of Indenture
                         --------------------------

          The Issuers shall qualify this Indenture under the TIA in accordance
with the terms and conditions of the Registration Rights Agreement and shall pay
all reasonable costs and expenses (including attorneys' fees for the Issuers,
the Trustee and the Holders) incurred in connection therewith, including, but
not limited to, costs and expenses of qualification of this Indenture and the
Notes. The Trustee shall be entitled to receive from the Issuers any such
Officers' Certificates, Opinions of Counsel or other documentation as it may
reasonably request in connection with any such qualification of this Indenture
under the TIA.

          SECTION 11.14. Table of Contents; Cross-Reference Sheet; Headings
                         --------------------------------------------------

          The table of contents, cross-reference sheet and headings of the
Articles and Sections of this Indenture have been inserted for convenience of
reference only, are not intended to be considered a part hereof and shall not
modify or restrict any of the terms or provisions hereof.

          SECTION 11.15. Severability
                         ------------

          In case any provision in this Indenture or in the Notes shall be
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 shall not in any way be affected or impaired thereby.
<PAGE>

                                                                              90

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

                                    Issuers:
                                    --------

                                    UNITED STATES STEEL LLC

                                    By:  /s/ Gretchen R. Haggerty
                                         ---------------------------------------
                                         Name:   Gretchen R. Haggerty
                                         Title:  Vice President - Accounting
                                                 & Finance

                                    UNITED STATES STEEL FINANCING CORP.

                                    By:  /s/ R. M. Stanton
                                          --------------------------------------
                                         Name:   R. M. Stanton
                                         Title:  President

                                    Guarantor:
                                    ---------

                                    USX CORPORATION

                                    By:  /s/ M. J. Hatcher
                                         ---------------------------------------
                                         Name:   M. J. Hatcher
                                         Title:  Assistant Treasurer -
                                                 Corporate Finance

                                    Trustee:
                                    --------

                                    THE BANK OF NEW YORK

                                    By:  /s/ Terence Rawlins
                                         ---------------------------------------
                                         Name:   Terence Rawlins
                                         Title:  Vice President
<PAGE>

                                    EXHIBIT A

                                 (Face of Note)

   [Insert the Global Note Legend, if applicable pursuant to the provisions of
                                 the Indenture]
 [Insert the Private Placement Legend, if applicable pursuant to the provisions
                               of the Indenture]

                             UNITED STATES STEEL LLC

                                       and

                       UNITED STATES STEEL FINANCING CORP.

No.                                                  Principal Amount $
   ----                                                                ---------

                                                     CUSIP NO.
                                                               -----------------

                     10 3/4% Senior Notes due August 1, 2008

          United States Steel LLC, a Delaware limited liability company, and
United States Steel Financing Corp., a Delaware corporation, promise to pay to
Cede & Co., or registered assigns, the principal sum of
                                                        ------------------------
Dollars on August 1, 2008.

          Interest Payment Dates: February 1 and August 1.

          Record Dates: January 15 and July 15.

          Additional provisions of this Note are set forth on the other side of
this Note.

Dated:                                       UNITED STATES STEEL LLC

                                             By:
                                                 -------------------------------
                                                   Name:
                                                   Title:

                                             UNITED STATES STEEL FINANCING CORP.

                                             By:
                                                 -------------------------------
                                                   Name:
                                                   Title:

TRUSTEE'S CERTIFICATE OF
 AUTHENTICATION

This is one of the Notes
referred to in the Indenture.

THE BANK OF NEW YORK
 as Trustee

                                      A-1
<PAGE>

By:
    --------------------------------------------------
    Authorized Signatory

                                      A-2
<PAGE>

                                (Reverse of Note)

                     10 3/4% Senior Notes due August 1, 2008

1.   Interest

          United States Steel LLC, a Delaware limited liability company (the
"Company"), and United States Steel Financing Corp., a Delaware corporation
("USS Financing", and together with the Company, the "Issuers"), promise to pay
interest on the principal amount of this Note at the rate per annum shown above;
provided, however, that if a Registration Default (as defined in the
Registration Rights Agreement) occurs, additional cash interest will accrue on
this Note at a rate of 0.25% per annum for the first 90-day period immediately
following the occurrence of the Registration Default, and such rate shall
increase by an additional 0.25% per annum until all Registration Defaults have
been cured, calculated on the principal of this Note as of the date on which
such interest is payable; provided, however, that in no event shall the
aggregate amount of such additional interest exceed 1.0% per annum. Such
interest is payable in addition to any other interest payable from time to time
with respect to this Note. The Trustee will not be deemed to have notice of a
Registration Default until it shall have received actual notice of such
Registration Default from the Issuers.

          The Issuers shall pay accrued interest semi-annually on each February
1 and August 1 commencing February 1, 2002 or if any such day is not a Business
Day (as defined in the Indenture referred to below), on the next Business Day.
The Issuers shall pay interest on overdue principal at 1% per annum in excess of
the rate borne by the Notes to the extent lawful. Interest will be computed on
the basis of a 360-day year of twelve 30-day months.

2.   Method of Payment

          By at least 11:00 a.m. prevailing Eastern (U.S.) time on the date on
which any principal of or interest on any Note is due and payable, the Issuers
shall irrevocably deposit with the Trustee or the Paying Agent money sufficient
to pay such principal and/or interest. The Issuers will pay interest (except
defaulted interest) to the Persons who are registered Holders of Notes at the
close of business on January 15 or July 15 next preceding the interest payment
date even if Notes are cancelled, repurchased or redeemed after the record date
and on or before the interest payment date. Holders must surrender Notes to a
Paying Agent to collect principal payments. The Issuers will pay principal and
interest in money of the United States that at the time of payment is legal
tender for payment of public and private debts by wire transfer of immediately
available funds to the U.S. dollar accounts with a bank in the United States
specified by the Holder hereof or, if no such account is specified, by mailing a
check to the Holder's registered address.

3.   Paying Agent and Registrar

          Initially, the Company will act as Paying Agent and Registrar. The
Company may appoint and change any Paying Agent, Registrar or co-registrar
without notice to any Noteholder. The Company or any of its domestically
incorporated Wholly Owned Subsidiaries may act as Paying Agent.

                                      A-3
<PAGE>

4.   Indenture

          The Issuers issued the Notes under an Indenture dated as of July 27,
2001 (as it may be amended or supplemented from time to time in accordance with
the terms thereof, the "Indenture"), among the Issuers, USX Corporation, a
Delaware corporation (the "Guarantor") and The Bank of New York, a New York
banking corporation ("the Trustee"). 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.C. Sections 77aaa-77bbbb) as in effect
on the date of the Indenture (the "TIA"). Capitalized terms used herein and not
defined herein have the meanings ascribed thereto in the Indenture. The Notes
are subject to all such terms, and Noteholders are referred to the Indenture and
the TIA for a statement of those terms.

          The Notes are senior unsecured obligations of the Issuers limited to
$385,000,000 aggregate principal amount at maturity (subject to Section 2.1(a)
of the Indenture, which, inter alia, allows for the issuance of Additional Notes
in some circumstances).

          The Notes include the Initial Notes, any Private Exchange Note and
Exchange Notes issued in exchange for the Initial Notes pursuant to the
Indenture and the Registration Rights Agreement, and any Additional Notes
actually issued. The Initial Notes, the Private Exchange Notes, the Exchange
Notes and any Additional Notes actually issued are treated as a single class of
securities under the Indenture. The Indenture imposes certain limitations on the
Incurrence of Indebtedness by the Company and its Restricted Subsidiaries, the
payment of dividends and other distributions on the Capital Stock of Company and
its Restricted Subsidiaries, the purchase or redemption of Capital Stock of the
Company and Capital Stock of its Restricted Subsidiaries, the sale or transfer
of assets and Capital Stock of Restricted Subsidiaries, the issuance or sale of
Capital Stock of Restricted Subsidiaries, transactions with Affiliates, the
incurrence of Liens and certain Sale/Leaseback Transactions. In addition, the
Indenture limits the ability of the Company and its Restricted Subsidiaries to
restrict distributions and dividends from Restricted Subsidiaries.

5.   Optional Redemption

          Except as set forth in the following paragraphs, the Notes will not be
redeemable at the option of the Issuers prior to the Stated Maturity.

          Before August 1, 2004, the Issuers may at their option on one or more
occasions, upon not less than 30 nor more than 60 days' notice, redeem the Notes
in an aggregate principal amount not to exceed 35% of the aggregate principal
amount of the Notes originally issued at a redemption price (expressed as a
percentage of principal amount) of 110.75%, plus accrued and unpaid interest to
the redemption date, with the net cash proceeds from one or more Public Equity
Offerings; provided that

          (i)  at least 65% of such aggregate principal amount originally issued
               of the Notes remains outstanding immediately after the occurrence
               of each such redemption (other than Notes held, directly or
               indirectly, by the Company or its Affiliates); and

          (ii) each such redemption occurs within 60 days after the date of the
               related Public Equity Offering.

                                      A-4
<PAGE>

          Further, at any time on or prior to December 31, 2002, the Issuers
may, at their option, give written notice to redeem the Notes, which notice
shall be no less than 30 nor more than 60 days prior to the redemption date, in
whole or in part at a redemption price (expressed as a percentage of principal
amount) of 101%, plus accrued and unpaid interest to the redemption date;
provided that

          (i)  the Board of Directors shall have determined not to proceed with
               the Separation (and the Guarantee of the Guarantor shall stay in
               effect until the Notes are fully paid);

          (ii) if the Issuers elect to redeem the Notes in part, they may redeem
               up to an aggregate principal amount not to exceed 35% of the
               aggregate principal amount of the Notes originally issued; and

          (iii) at least 65% of such aggregate principal amount originally
               issued of the Notes remains outstanding immediately after the
               occurrence of each such redemption (other than Notes held,
               directly or indirectly, by the Issuers or their Affiliates).

6.   Notice of Redemption

          Notice of redemption will be mailed at least 30 days but not more than
60 days before the redemption date by first-class mail to each Holder of Notes
to be redeemed at his registered address. Notes in denominations of principal
amount larger than $1,000 may be redeemed in part but only in whole multiples of
$1,000. If money sufficient to pay the redemption price of and accrued and
unpaid interest on all Notes (or portions thereof) to be redeemed on the
redemption date is deposited with the Paying Agent on or before the redemption
date and certain other conditions are satisfied, on and after such date interest
ceases to accrue on such Notes (or such portions thereof) called for redemption.

7.   Put Provisions

          Upon a Change of Control, any Holder of Notes will have the right to
cause the Issuers to repurchase all or any part of the Notes of such Holder at a
repurchase price equal to 101% of the principal amount thereof as of the date of
repurchase, plus accrued and unpaid interest, if any, to the date of repurchase
as provided in, and subject to the terms of, the Indenture.

8.   Registration Rights

          The Issuers are parties to a Registration Rights Agreement, dated as
of July 27, 2001, among the Issuers, Credit Suisse First Boston Corporation,
J.P. Morgan Securities Inc., Lehman Brothers Inc., Salomon Smith Barney Inc.,
BNY Capital Markets, Inc., Mellon Financial Markets, Inc., NatCity Investments,
Inc., PNC Capital Markets, Inc. and Scotia Capital (USA) Inc. pursuant to which
they are obligated to pay additional interest upon the occurrence of certain
Registration Defaults (as defined therein).

                                      A-5
<PAGE>

9.   Denominations; Transfer; Exchange

          The Notes are in registered form without coupons in denominations of
principal amount of $1,000 and whole multiples of $1,000. A Holder may register,
transfer or exchange Notes in accordance with the Indenture. The Registrar may
require a Holder, among other things, to furnish appropriate endorsements or
transfer documents and to pay any taxes and fees required by law or permitted by
the Indenture. The Registrar need not register the transfer of or exchange (i)
any Notes selected for redemption (except, in the case of a Note to be redeemed
in part, the portion of the Note not to be redeemed) for a period beginning 15
business days before a selection of Notes to be redeemed and ending on the date
of such selection or (ii) any Notes for a period beginning on a record date and
ending on the next succeeding interest payment date.

10.  Persons Deemed Owners

          The registered holder of this Note may be treated as the owner of it
for all purposes.

11.  Unclaimed Money

          If money for the payment of principal or interest remains unclaimed
for one year after the date of payment of principal and interest, the Trustee or
Paying Agent shall pay the money back to the Issuers at their request unless an
abandoned property law designates another Person. After any such payment,
Holders entitled to the money must look only to the Issuers and not to the
Trustee for payment.

12.  Defeasance

          Subject to certain conditions set forth in the Indenture, the Issuers
at any time may terminate some or all of their obligations under the Notes and
the Indenture if the Issuers deposit with the Trustee money or U.S. Government
Obligations for the payment of principal of and interest on the Notes to
redemption or maturity, as the case may be.

13.  Amendment, Waiver

          Subject to certain exceptions set forth in the Indenture, (i) the
Indenture or the Notes may be amended with the written consent of the Holders of
at least a majority in principal amount at maturity of the outstanding Notes and
(ii) any default or noncompliance with any provision may be waived with the
written consent of the Holders of a majority in principal amount at maturity of
the outstanding Notes. Subject to certain exceptions set forth in the Indenture,
without the consent of any Noteholder, the Issuers and the Trustee may amend the
Indenture or the Notes to cure any ambiguity, omission, defect or inconsistency,
or to comply with Article V of the Indenture, or to provide for uncertificated
Notes in addition to or in place of certificated Notes, or to add guarantees
with respect to the Notes or to secure the Notes, or to add additional covenants
of or surrender rights and powers conferred on the Issuers, or to make any
change that does not materially and adversely affect the rights of any
Noteholder, or to comply with any request of the SEC in connection with
qualifying the Indenture under the TIA.

                                      A-6
<PAGE>

14.  Defaults and Remedies

          Under the Indenture, Events of Default include (i) a default in any
payment of interest on any Note when due, continued for 30 days, (ii) a default
in the payment of principal of any Note when due at its Stated Maturity, upon
optional redemption, upon required repurchase, upon declaration of acceleration
or otherwise, (iii) the failure by the Company to comply with its obligations
under Article V of the Indenture, (iv) the failure by the Company to comply for
30 days after notice with any of its obligations under Section 4.4 or any of
Sections 4.9 through 4.19 of the Indenture (in each case, other than a failure
to repurchase Notes), (v) the failure by the Company or the Guarantor to comply
for 60 days after notice with its other agreements contained in the Indenture,
(vi) the failure by the Company or any Significant Subsidiary of the Company to
pay any Indebtedness within any applicable grace period after final maturity or
the acceleration of any such Indebtedness by the holders thereof because of a
default if the total amount of such Indebtedness unpaid or accelerated exceeds
$50 million or its foreign currency equivalent, (vii) certain events of
bankruptcy, insolvency or reorganization of the Company, the Guarantor or any
Significant Subsidiary of the Company, (viii) any judgment or decree for the
payment of money in excess of $50 million is rendered against the Company or any
Significant Subsidiary of the Company, remains outstanding for a period of 60
days following such judgment and is not discharged, waived or stayed within 10
days after notice, or (ix) prior to the Separation, the Guarantee with respect
to the Notes ceases for any reason to be in full force and effect (other than in
accordance with its terms) or the Guarantor denies or disaffirms its obligations
under the Guarantee. If an Event of Default occurs and is continuing, the
Trustee or the Holders of at least 25% in aggregate principal amount of the
outstanding Notes may declare all the Notes to be due and payable immediately.
Certain events of bankruptcy or insolvency are Events of Default that will
result in the Notes being due and payable immediately upon the occurrence of
such Events of Default.

          Noteholders may not enforce the Indenture or the Notes except as
provided in the Indenture. The Trustee may refuse to enforce the Indenture or
the Notes unless it receives reasonable indemnity or security. Subject to
certain limitations, Holders of a majority in principal amount of the Notes may
direct the Trustee in its exercise of any trust or power. The Trustee may
withhold from Noteholders notice of any continuing Default or Event of Default
(except a Default or Event of Default in payment of principal or interest) if it
determines that withholding notice is not opposed to their interest.

15.  Guarantee of the Notes

          Subject to the next paragraph, prior to the Separation, payment of
principal, premium, if any, and interest, if any (including interest on overdue
principal and overdue interest, if lawful), on the Notes is fully and
unconditionally guaranteed by the Guarantor pursuant to, and subject to the
terms of, Article X of the Indenture.

          If the Separation Date does not occur on or before December 31, 2002
or if the Board of Directors determines not to proceed with the Separation, the
Guarantee of the Notes by the Guarantor shall stay in effect until the Notes
have been paid in full.

                                      A-7
<PAGE>

16.  Trustee Dealings with the Issuers

          Subject to certain limitations set forth in the Indenture, the Trustee
under the Indenture, in its individual or any other capacity, may become the
owner or pledgee of Notes and may otherwise deal with and collect obligations
owed to it by the Issuers or their respective Affiliates and may otherwise deal
with the Issuers or their respective Affiliates with the same rights it would
have if it were not Trustee.

17.  No Recourse Against Others

          No director, officer, employee, member, incorporator or stockholder of
the Issuers or the Guarantor, as such, shall have any liability for any
obligations of the Issuers under the Notes, the Guarantee, the Indenture or for
any claim based on, in respect of, or by reason of such obligations or their
creation. Each Holder of Notes by accepting a Note waives and releases all such
liability. This waiver and release are part of the consideration for issuance of
the Notes.

18.  Authentication

          This Note shall not be valid until an authorized signatory of the
Trustee (or an authenticating agent acting on its behalf) manually signs the
certificate of authentication on the other side of this Note.

19.  Abbreviations

          Customary abbreviations may be used in the name of a Noteholder or an
assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the
entirety), JT TEN (=joint tenants with rights of survivorship and not as tenants
in common), CUST (=custodian) and U/G/M/A (=Uniform Gift to Minors Act).

20.  CUSIP Numbers

          Pursuant to a recommendation promulgated by the Committee on Uniform
Security Identification Procedures the Issuers have caused CUSIP numbers to be
printed on the Notes and have directed the Trustee to use CUSIP numbers in
notices of redemption as a convenience to Noteholders. 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.

21.  GOVERNING LAW

          THIS NOTE AND THE GUARANTEE OF THE NOTE SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

                                      A-8
<PAGE>

                         NOTATION RELATING TO GUARANTEE

          The undersigned (the "Guarantor") has fully and unconditionally
guaranteed, on a senior unsecured basis (the "Guarantee"), that: (i) the
principal of, premium, if any, and interest, if any, on the Notes will be paid
in full when due, whether at the maturity or interest payment or redemption
date, by acceleration, call for redemption, offer to purchase or otherwise, and
interest on the overdue principal of, premium, and interest, if any, on the
Notes and all other Obligations of the Issuers to the Holders of the Notes or
the Trustee under the Indenture or the Notes will be promptly paid in full or
performed, all in accordance with Article X of the Indenture and the Notes; (ii)
in case of any extension of time of payment or renewal of any Notes or any of
such other Obligations, they will be paid in full when due or performed in
accordance with the terms of the extension or renewal, whether at maturity, by
acceleration or otherwise; and (iii) any and all costs and expenses (including
reasonable and documented attorneys' fees) incurred by the Trustee or any Holder
of the Notes in enforcing any rights under this Guarantee with respect to the
Notes will be paid.

          If the Separation Date does not occur on or before December 31, 2002
or if the Board of Directors determines not to proceed with the Separation, this
Guarantee shall stay in effect until the Notes have been paid in full.

          The obligations of the undersigned to the Holders of the Notes and to
the Trustee are expressly set forth in Article X to the Indenture and reference
is hereby made to the Indenture for the precise terms of the Guarantee.

Date:  July 27, 2001                                 USX CORPORATION

                                                     --------------------
                                                     By:
                                                     Title:

                                      A-9
<PAGE>

                                 ASSIGNMENT FORM

                  To assign this Note, fill in the form below:

                  I or we assign and transfer this Note to:

                  --------------------------------------

                  --------------------------------------

                  --------------------------------------

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

                  (Insert assignee's soc. sec. or tax I.D. No.)

and irrevocably appoint                      as 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 participant in a recognized Signature
Guarantee Medallion Program or other signature guarantor program reasonably
acceptable to the Trustee)

                                      A-10
<PAGE>

                       OPTION OF HOLDER TO ELECT PURCHASE

If you want to elect to have this Note purchased by the Issuers pursuant to
Section 4.11 or 4.15 of the Indenture, check the appropriate box:

                                Section 4.11 [ ]

                                Section 4.15 [ ]

If you want to elect to have only part of this Note purchased by the Issuers
pursuant to Section 4.11 or 4.15 of the Indenture, state the amount you elect to
have purchased (must be integral multiple of $1,000): $

--------------------------------------------------------------------------------

Date:                                Your Signature:
      ------------------------                      ----------------------------

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

Signature Guarantee:
                     -------------------------------

(Signature must be guaranteed by a participant in a recognized Signature
Guarantee Medallion Program or other signature guarantor program reasonably
acceptable to the Trustee)

                                      A-11
<PAGE>

                        [TO BE ATTACHED TO GLOBAL NOTES]

              SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE

           The following increases or decreases in this Global Note have been
           made:

<TABLE>
<CAPTION>
                                                                                           Signature of
            Amount of decrease in    Amount of increase in    Principal Amount of this     authorized officer of
Date of     Principal Amount of      Principal Amount of      Global Note following        Trustee or Notes
Exchange    this Global Note         this Global Note         such decrease or increase    Custodian
--------    ---------------------    ---------------------    -------------------------    ---------------------
<S>         <C>                      <C>                      <C>                          <C>

</TABLE>

                                      A-12
<PAGE>

                                    EXHIBIT B

                         FORM OF CERTIFICATE OF TRANSFER

United States Steel LLC
600 Grant Street
Pittsburgh, PA  15219-4776
Attention:  Vice President - Finance and Accounting

The Bank of New York
101 Barclay Street
Floor 21 West
New York, NY  10286
Attention: Corporate Trust Trustee Administration

          Re: 10 3/4% Senior Notes due August 1, 2008
              ---------------------------------------

          Reference is hereby made to the Indenture, dated as of July [ ], 2001
(the "Indenture"), among United States Steel LLC (the "Company"), United States
Steel Financing Corp. ("USS Financing", and together with the Company, the
"Issuers"), USX Corporation (the "Guarantor") and The Bank of New York, as
trustee. Capitalized terms used but not defined herein shall have the meanings
given to them in the Indenture.

                             (the "Transferor") owns and proposes to transfer
          ------------------
the Note[s] or interest in such Note[s] specified in Annex A hereto, in the
principal amount of $        in such Note[s] or interests (the "Transfer"), to
                     -------
            (the "Transferee"), as further specified in Annex A hereto. In
-----------
connection with the Transfer, the Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

1. [ ] Check if Transferee will take delivery of a beneficial interest in the
       ----------------------------------------------------------------------
144A Global Note or a Definitive Note Pursuant to Rule 144A. The Transfer is
-----------------------------------------------------------
being effected pursuant to and in accordance with Rule 144A under the United
States Securities Act of 1933, as amended (the "Securities Act"), and,
accordingly, the Transferor hereby further certifies that the beneficial
interest or Definitive Note is being transferred to a Person that the Transferor
reasonably believed and believes is purchasing the beneficial interest or
Definitive Note for its own account, or for one or more accounts with respect to
which such Person exercises sole investment discretion, and such Person and each
such account is a "qualified institutional buyer" within the meaning of Rule
144A in a transaction meeting the requirements of Rule 144A and such Transfer is
in compliance with any applicable blue sky securities laws of any state of the
United States. Upon consummation of the proposed Transfer in accordance with the
terms of the Indenture, the transferred beneficial interest or Definitive Note
will be subject to the restrictions on transfer enumerated in the Private
Placement Legend printed on the 144A Global Note and/or the Definitive Note and
in the Indenture and the Securities Act.

2. [ ] Check if Transferee will take delivery of a beneficial interest in the
       ----------------------------------------------------------------------
Regulation S Global Note or a Definitive Note pursuant to Regulation S. The
----------------------------------------------------------------------
Transfer is being effected pursuant to and in accordance with Rule 903 or Rule
904 under the Securities Act and, accordingly, the Transferor hereby further
certifies that (i) the Transfer is not being made to a person in the United
States and (x) at the time

                                      B-1
<PAGE>

the buy order was originated, the Transferee was outside the United States or
such Transferor and any Person acting on its behalf reasonably believed and
believes that the Transferee was outside the United States or (y) the
transaction was executed in, on or through the facilities of a designated
offshore securities market and neither such Transferor nor any Person acting on
its behalf knows that the transaction was prearranged with a buyer in the United
States, (ii) no directed selling efforts have been made in contravention of the
requirements of Rule 903(b) or Rule 904(b) of Regulation S under the Securities
Act, (iii) the transaction is not part of a plan or scheme to evade the
registration requirements of the Securities Act and (iv) if the proposed
transfer is being made prior to the expiration of the Distribution Compliance
Period, the transfer is not being made to a U.S. Person or for the account or
benefit of a U.S. Person (other than an Initial Purchaser). Upon consummation of
the proposed transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will be subject to the
restrictions on Transfer enumerated in the Private Placement Legend printed on
the Regulation S Global Note and/or the Definitive Note and in the Indenture and
the Securities Act.

3. [ ] Check and complete if Transferee will take delivery of a beneficial
       -------------------------------------------------------------------
interest in a Definitive Note pursuant to any provision of the Securities Act
-----------------------------------------------------------------------------
other than Rule 144A or Regulation S. The Transfer is being effected in
------------------------------------
compliance with the transfer restrictions applicable to beneficial interests in
Restricted Global Notes and Restricted Definitive Notes and pursuant to and in
accordance with the Securities Act and any applicable blue sky securities laws
of any state of the United States, and accordingly the Transferor hereby further
certifies that (check one):

          (a) [ ] such Transfer is being effected pursuant to and in accordance
with Rule 144 under the Securities Act;

                                       or

          (b) [ ] such Transfer is being effected to the Issuers or any of their
respective subsidiaries thereof;

                                       or

          (c) [ ] such Transfer is being effected pursuant to an effective
registration statement under the Securities Act and in compliance with the
prospectus delivery requirements of the Securities Act.

4. [ ] Check if Transferee will take delivery of a beneficial interest in an
       ---------------------------------------------------------------------
Unrestricted Global Note or of an Unrestricted Definitive Note.
--------------------------------------------------------------

          (a) [ ] Check if Transfer is Pursuant to Rule 144. (i) The Transfer is
being effected pursuant to and in accordance with Rule 144 under the Securities
Act and in compliance with the transfer restrictions contained in the Indenture
and any applicable blue sky securities laws of any state of the United States
and (ii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the
Securities Act. Upon consummation of the proposed Transfer in accordance with
the terms of the Indenture, the transferred beneficial interest or Definitive
Note will no longer be subject to the restrictions on transfer enumerated in the
Private Placement Legend printed on the Restricted Global Notes, on Restricted
Definitive Notes and in the Indenture.

                                      B-2
<PAGE>

          (b) [ ] Check if Transfer is Pursuant to Regulation S. (i) The
Transfer is being effected pursuant to and in accordance with Rule 903 or Rule
904 under the Securities Act and in compliance with the transfer restrictions
contained in the Indenture and any applicable blue sky securities laws of any
state of the United States and (ii) the restrictions on transfer contained in
the Indenture and the Private Placement Legend are not required in order to
maintain compliance with the Securities Act. Upon consummation of the proposed
Transfer in accordance with the terms of the Indenture, the transferred
beneficial interest or Definitive Note will no longer be subject to the
restrictions on transfer enumerated in the Private Placement Legend printed on
the Restricted Global Notes, on Restricted Definitive Notes and in the
Indenture.

          (c) [ ]Check if Transfer is Pursuant to Other Exemption. (i) The
Transfer is being effected pursuant to and in compliance with an exemption from
the registration requirements of the Securities Act other than Rule 144, Rule
903 or Rule 904 and in compliance with the transfer restrictions contained in
the Indenture and any applicable blue sky securities laws of any State of the
United States and (ii) the restrictions on transfer contained in the Indenture
and the Private Placement Legend are not required in order to maintain
compliance with the Securities Act. Upon consummation of the proposed Transfer
in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Note will not be subject to the restrictions on transfer
enumerated in the Private Placement Legend printed on the Restricted Global
Notes or Restricted Definitive Notes and in the Indenture.

          This certificate and the statements contained herein are made for your
benefit and the benefit of the Issuers.

                                                     ---------------------------
                                                     [Insert Name of Transferor]

                                                     By:
                                                         -----------------------
                                                         Name:
                                                         Title:
Dated:
       ----------, ---

                                      B-3
<PAGE>

                       ANNEX A TO CERTIFICATE OF TRANSFER

1.   The Transferor owns and proposes to transfer the following:

                            [CHECK ONE OF (a) OR (b)]

          (a)  [ ] a beneficial interest in the:

               (i)   [ ] 144A Global Note (CUSIP        ), or
                                               --------

               (ii)  [ ] Regulation S Global Note (CUSIP        ); or
                                                       --------

          (b)  [ ] a Restricted Definitive Note.

2.   After the Transfer the Transferee will hold:

                                   [CHECK ONE]

          (c)  [ ] a beneficial interest in the:

               (i)   [ ] 144A Global Note (CUSIP        ), or
                                                -------

               (ii)  [ ] Regulation S Global Note (CUSIP        ), or
                                                        -------

               (iii) [ ] Unrestricted Global Note (CUSIP        ); or
                                                         -------

          (d)  [ ] a Restricted Definitive Note; or

          (e)  [ ] an Unrestricted Definitive Note,

               in   accordance with the terms of the Indenture.

                                      B-4
<PAGE>

                                    EXHIBIT C

                         FORM OF CERTIFICATE OF EXCHANGE

United States Steel LLC
600 Grant Street
Pittsburgh, PA  15219-4776
Attention:  Vice President - Finance and Accounting

The Bank of New York
101 Barclay Street
Floor 21 West
New York, NY  10286
Attention:  Corporate Trust Trustee Administration]

          Re: 10 3/4 % Senior Notes due August 1, 2008
              ----------------------------------------

                          (CUSIP                     )
                                 --------------------

          Reference is hereby made to the Indenture, dated as of July [ ], 2001
(the "Indenture"), among United States Steel LLC (the "Company"), United States
Steel Financing Corp. ("USS Financing", and together with the Company, the
"Issuers"), USX Corporation (the "Guarantor") and The Bank of New York, as
trustee. Capitalized terms used but not defined herein shall have the meanings
given to them in the Indenture.

                           (the "Owner") owns and proposes to exchange the
          ----------------
Note[s] or interest in such Note[s] specified herein, in the principal amount of
$         in such Note[s] or interests (the "Exchange"). In connection with the
 --------
Exchange, the Owner hereby certifies that:

1. Exchange of Restricted Definitive Notes or Beneficial Interests in a
Restricted Global Note for Unrestricted Definitive Notes or Beneficial Interests
in an Unrestricted Global Note

          (a) [ ] Check if Exchange is from beneficial interest in a Restricted
                  -------------------------------------------------------------
Global Note to beneficial interest in an Unrestricted Global Note. In connection
-----------------------------------------------------------------
with the Exchange of the Owner's beneficial interest in a Restricted Global Note
for a beneficial interest in an Unrestricted Global Note in an equal principal
amount, the Owner hereby certifies (i) the beneficial interest is being acquired
for the Owner's own account without transfer, (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to the Global
Notes and pursuant to and in accordance with the United States Securities Act of
1933, as amended (the "Securities Act"), (iii) the restrictions on transfer
contained in the Indenture and the Private Placement Legend are not required in
order to maintain compliance with the Securities Act and (iv) the beneficial
interest in an Unrestricted Global Note is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

          (b) [ ] Check if Exchange is from beneficial interest in a Restricted
                  -------------------------------------------------------------
Global Note to Unrestricted Definitive Note. In connection with the Exchange of
-------------------------------------------
the Owner's beneficial interest in a Restricted Global Note for an Unrestricted
Definitive Note, the Owner hereby certifies (i) the Definitive Note is being
acquired for the Owner's own account without transfer, (ii) such Exchange has
been effected in compliance with the transfer restrictions applicable to the
Restricted Global Notes and pursuant to and in accordance with the Securities
Act, (iii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with
the

                                      C-1
<PAGE>

Securities Act and (iv) the Definitive Note is being acquired in compliance with
any applicable blue sky securities laws of any state of the United States.

          (c) [ ] Check if Exchange is from Restricted Definitive Note to
                  -------------------------------------------------------
beneficial interest in an Unrestricted Global Note. In connection with the
--------------------------------------------------
Owner's Exchange of a Restricted Definitive Note for a beneficial interest in an
Unrestricted Global Note, the Owner hereby certifies (i) the beneficial interest
is being acquired for the Owner's own account without transfer, (ii) such
Exchange has been effected in compliance with the transfer restrictions
applicable to Restricted Definitive Notes and pursuant to and in accordance with
the Securities Act, (iii) the restrictions on transfer contained in the
Indenture and the Private Placement Legend are not required in order to maintain
compliance with the Securities Act and (iv) the beneficial interest is being
acquired in compliance with any applicable blue sky securities laws of any state
of the United States.

          (d) [ ] Check if Exchange is from Restricted Definitive Note to
                  -------------------------------------------------------
Unrestricted Definitive Note. In connection with the Owner's Exchange of a
----------------------------
Restricted Definitive Note for an Unrestricted Definitive Note, the Owner hereby
certifies (i) the Unrestricted Definitive Note is being acquired for the Owner's
own account without transfer, (ii) such Exchange has been effected in compliance
with the transfer restrictions applicable to Restricted Definitive Notes and
pursuant to and in accordance with the Securities Act, (iii) the restrictions on
transfer contained in the Indenture and the Private Placement Legend are not
required in order to maintain compliance with the Securities Act and (iv) the
Unrestricted Definitive Note is being acquired in compliance with any applicable
blue sky securities laws of any state of the United States.

2. Exchange of Restricted Definitive Notes or Beneficial Interests in Restricted
Global Notes for Restricted Definitive Notes or Beneficial Interests in
Restricted Global Notes

          (a) [ ] Check if Exchange is from beneficial interest in a Restricted
                  -------------------------------------------------------------
Global Note to Restricted Definitive Note. In connection with the Exchange of
-----------------------------------------
the Owner's beneficial interest in a Restricted Global Note for a Restricted
Definitive Note with an equal principal amount, the Owner hereby certifies that
the Restricted Definitive Note is being acquired for the Owner's own account
without transfer. Upon consummation of the proposed Exchange in accordance with
the terms of the Indenture, the Restricted Definitive Note issued will continue
to be subject to the restrictions on transfer enumerated in the Private
Placement Legend printed on the Restricted Definitive Note and in the Indenture
and the Securities Act.

          (b) [ ] Check if Exchange is from Restricted Definitive Note to
                  -------------------------------------------------------
beneficial interest in a Restricted Global Note. In connection with the Exchange
-----------------------------------------------
of the Owner's Restricted Definitive Note for a beneficial interest in the
[CHECK ONE] 144A Global Note, Regulation S Global Note, the Owner hereby
certifies (i) the beneficial interest is being acquired for the Owner's own
account without transfer and (ii) such Exchange has been effected in compliance
with the transfer restrictions applicable to the Restricted Global Notes and
pursuant to and in accordance with the Securities Act, and in compliance with
any applicable blue sky securities laws of any state of the United States. Upon
consummation of the proposed Exchange in accordance with the terms of the
Indenture, the beneficial interest issued will be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the relevant
Restricted Global Note and in the Indenture and the Securities Act.

                                      C-2
<PAGE>

          This certificate and the statements contained herein are made for your
benefit and the benefit of the Company.

                                                     ---------------------
                                                     [Insert Name of Owner]

                                                     By:
                                                         -----------------------
                                                     Name:
                                                     Title:

Dated:
      -------, ---

                                      C-3

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