Document:

REVISED CONSULTING AGREEMENT

 

THIS REVISED CONSULTING AGREEMENT (“Revised Agreement”) is entered into as of the 16th day of September 2008, by and between BMB Munai, Inc., a company organized under the laws of Nevada (“Company”), and Caspian Energy Consulting Ltd, an international business company organized under the laws of British Virgin Islands, (“Consultant”).  The Company and the Consultant are sometimes hereinafter referred to individually as a “Party” and collectively as the “Parties.”

 

RECITALS

 

	
             
	
            (A)
 	
            The Company is the contractor under oil and gas exploration Contract No. 482 (“Contract”) with the Republic of Kazakhstan (“ROK”).  The Company has interest in pursuing expansion of its oil and gas assets through acquisition of additional contiguous territory under the Contract, acquisition of territory under new contract with the ROK and/or acquisition of territory from private parties (“Acquisition(s)”).
 

	
             
	
            (B)
 	
            The Parties entered into a consulting agreement dated as of November 19, 2007 (“November Agreement”) for services related to the Company’s oil and gas exploration activities.
 

 

	
             
	
            (C)
 	
            On or about April 15, 2008, the ROK announced the intention to impose an export duty on crude oil production by certain oil exploration and production companies.  The export duty was characterized by the ROK as distinct from the rent export tax and therefore, companies holding exploration contracts with the ROK that provided for exemption from rent export tax, such as the Company, would nevertheless be subject to pay the export duty.
 

 

	
             
	
            (D)
 	
            The Parties acknowledged that the export duty would have the effect of reducing the intended benefits sought by the Company under the terms of the November Agreement.  Rather than terminate the November Agreement, the Consultant verbally agreed to negotiate changes to the November Agreement after the final export duty regulations were promulgated by the ROK and the Company began paying export duty.  Therefore, the Parties continued to work together under the terms of the November Agreement, subject to their understanding that some of its terms and conditions would be renegotiated.
 

 

	
             
	
            (E)
 	
            The Consultant successfully negotiated a term extension until January 9, 2013 to the Contract under an Addendum #5 to the Contract executed by ROK on June 28, 2008.
 

 

	
             
	
            (F)
 	
            The Company became subject to and began paying export duty to the ROK in June 2008.  The Parties intend this Revised Agreement to supersede the November Agreement and to set forth the terms, conditions and covenants of their relationship.
 

 

1

 

 

 

The Parties covenant and agree as follows: 

 

	
            1.  
 	
            THE CONSULTANT'S OBLIGATIONS
 

 

	
            1.1      
 	
            During the term of this Revised Agreement, the Consultant shall use its reasonable efforts in providing the following services to the Company, as directed by the Company’s CEO and the managing director of the Company’s subsidiary, Emir Oil, LLP, (collectively, the “Services”):
 

 

	
             
	
            (a)
 	
            investigate and evaluate  potential Acquisition candidates for the Company;
 

 

	
             
	
            (b)
 	
            advise and confer with the Company’s technical staff regarding potential Acquisition candidates;
 

 

	
             
	
            (c)
 	
            prepare all documentation and supporting materials for evaluation of potential Acquisition candidates by the Company as required for submission of  applications for exploration and/or production contracts with various governmental agencies of the ROK and/or private parties;
 

 

	
             
	
            (d)
 	
            assist the Company in the negotiation of terms, conditions and covenants of Acquisitions with various governmental agencies of the ROK and/or private parties; and
 

 

	
             
	
            (e)
 	
            such related and ancillary services as requested by the Company.
 

 

	
            1.1.1  
 	
            The Consultant shall perform the Services, at all times, with diligence and in compliance with all applicable laws and regulations of the ROK and the United States of America.  Consultant shall be responsible to obtain any necessary licenses or permits required by the Republic of Kazakhstan to perform the services rendered under this Revised Agreement.  Consultant shall be responsible to pay for all services rendered by third-parties contracting with the consultant, except as may be otherwise agreed between the Company and Consultant in writing prior to engagement of such third-party service provider.
 

 

	
            1.1.2  
 	
            The Consultant's advice to the Company in respect of the Services shall be given orally or in writing. Consultant shall report to Mr. Gamal Kulumbetov, Company CEO and Teolush Tolmakov, general director of Emir Oil, LLP or to such other individuals as the Company may hereafter specify by written notice to Consultant. When requested, and not more than once each calendar quarter, Consultant shall provide Company with a written activities and status report, in which Consultant describes the Services it has performed since the last report. The Parties agree that the decision to consummate an Acquisition will be in the sole discretion of the Company and that the Consultant shall have no right to compensation of any kind in the event the Company elects not to enter into any Acquisition.   
 

 

2

 

 

	
            1.1.3
 	
            The Consultant shall act on a non-exclusive basis.  The Company reserves the right to act on its own accord or with other consultants to identify prospects and properties and to purchase such properties.  If the Company acting independent of the Consultant negotiates the acquisition of a property and the Company has not been introduced to the property through the efforts of the Consultant, such property acquisition will not be covered by this Revised Agreement and Consultant shall not be entitled to compensation with respect to such property, unless the board of directors of the Company agrees otherwise in writing.  The Consultant may request and obtain from the Company written confirmation that a particular property will be subject to this Revised Agreement at any time after the prospective property has been identified by the Consultant.  Such confirmation by the
Company will be conclusive evidence that the Consultant will be entitled to Compensation under this Revised Agreement.  
 

 

	
            2.  
 	
            COMPENSATION FOR EXPLORATION CONTRACT TERM EXTENSION
 

 

	
            2.1   
 	
            The Parties hereby agree that in lieu of “Bonus Shares” to be paid Consultant under the November Agreement, the Consultant will be issued shares for its services in connection with the June 28, 2008 Contract extension as follows: 
 

 

	
             
	
            (a)
 	
            The Consultant will be issued a total of 1,250,000 common shares of the Company.      
 

	
             
	
            (b)
 	
            The shares will be restricted shares and subject to the public resale restrictions of Rule 144 promulgated under the U.S. Securities Act of 1933.
 

	
             
	
            (c)
 	
            The shares will be issued as soon as reasonably practical after the execution of this Revised Agreement and will be deemed fully earned and vested on delivery to the Consultant.
 

 

	
            3.  
 	
            COMPENSATION FOR TERRITORY EXTENSION
 

 

3.1       In the event that the Services performed by the Consultant result in the Company’s making one or more Acquisitions during the term of this Revised Agreement, the Consultant will be paid total compensation as follows:  

 

	
             
	
            (a)
 	
            a cash payment in the amount of four million dollars ($4,000,000 USD) shall  be paid to the Consultant according to the following schedule:
 

 

	
             
	
            i.
 	
            $1,000,000 shall be paid on the effective date of an Acquisition by the Company (“Closing Date”);
 

	
             
	
            ii.
 	
            $1,000,000 shall be paid on the date six months after the Closing Date; and
 

	
             
	
            iii.
 	
            $2,000,000 shall be paid on the date twelve months after the Closing Date; and
 

 

3

 

 

	
             
	
            (b)
 	
            a share payment in restricted common shares of the Company shall be made to the Consultant based upon the value of the Acquisition property, which will be determined as follows:
 

	
             
	
            i.
 	
            The value of the Acquisition property will be determined by reference to a 3D seismic study and a reserve/resource report of the Acquisition property by a petroleum engineering firm acceptable to the Company.  If in the opinion of the Company there is no acceptable seismic study or engineering report on the Acquisition property at the Closing Date, then the Company will commission and complete, at its cost, the seismic study and engineering report within one year after the Closing Date;
 

	
             
	
            ii.
 	
            The acquisition value (“Acquisition Value”) will be equal to the total barrels of resources and reserves, as defined and determined by the engineering report, multiplied by the following values:  
 

A.  Resources at $.50 USD per barrel;

	
             
 	
            B.  Probable reserves at $1.00 USD per barrel; and
 

	
             
 	
            C.  Proved reserves at $2.00 USD per barrel.
 

 

The number of shares to be issued to the Consultant shall be the Acquisition Value divided by the higher of $6.50 or the average closing price of the Company’s trading shares for the five trading days prior to the issuance of the reserve/resource report, provided that in no event shall the total number of shares earned under this Section 3 exceed more than a total of 4,000,000 shares.   The Parties acknowledge and agree that the shares will not be registered with the SEC and will be deemed restricted shares.  If there is no trading market for the shares at the date the share payment is to be made, then the Company, at its election, may pay the Consultant cash equal to the number of shares issuable multiplied by $6.50.    

 

	
             
	
            (c)
 	
            Notwithstanding the foregoing provisions of Section 3.1(a) and (b), in the event that an Acquisition is made with the ROK and the ROK charges any signing bonus or other upfront charge to the Company then the compensation payable to the Consultant shall be reduced by the amount of the signing bonus or other upfront charge to the Company.   All amounts charged for signing bonus or other upfront charges shall be credited against the compensation payable under Section 3, as it becomes payable by the Company to the Consultant, as determined by the Company.
 

 

	
             
	
            (d)
 	
            The compensation payable to the Consultant under this Section 3 constitutes the total compensation payable to the Consultant whether one or more Acquisitions are made by the Company as a result of the Services rendered by the Consultant, unless otherwise agreed in writing by the Company.  
 

 

4

 

 

	
            3.2    
 	
            Each cash payment of Compensation shall be paid to the Consultant and only in the name of Consultant by direct wire transfer in USD to the Consultant's bank account which the Consultant shall notify to the Company from time to time.
 

 

	
            4.  
 	
            ASSIGNMENT
 

 

	
            4.1    
 	
            The Consultant shall not assign, in whole or in part, any of its rights or obligations under this Revised Agreement, without the written consent of the Company.
 

 

	
            4.2    
 	
            The Company may, at any time upon prior written notice to Consultant, assign its rights or delegate its obligations under this Revised Agreement to an Affiliate (as defined below); provided that, prior to such assignment, the Affiliate enters into an agreement with the Parties whereby the Affiliate assumes the rights or obligations being assigned; and provided, further, that the Company shall, unless otherwise agreed in writing by the Parties, remain jointly and severally liable with such assigned Affiliate for any payments required to be made to Consultant under this Revised Agreement.
 

 

	
            4.3  
 	
            For the purposes of this Revised Agreement:
 

 

(a)   a company or entity shall be deemed to be an "Affiliate" of another company or entity if (i) that other company or entity directly or indirectly controls or is controlled by the first mentioned company or entity or (ii) the first mentioned company or entity and that other company or entity are directly or indirectly controlled by the same company or entity;

 

(b)   "control" shall mean (i) ownership or control (whether directly or otherwise) of thirty per cent (30%) or more of the equity share capital, voting capital or voting rights, (ii) power to control the composition of, or power to appoint thirty per cent (30%) or more of the members of, the Board of Directors, Board of Management, or other equivalent to a analogous body, or (iii) entitlement to receive thirty per cent (30%) or more of any (but not necessarily every) income or capital distribution made by such company or entitle (either on liquidation, winding-up, or dissolution of such company or entity, or otherwise).

 

	
            5.  
 	
            TERM: TERMINATION
 

 

	
            5.1    
 	
            This Revised Agreement shall commence on the date hereof, and shall continue thereafter until terminated upon 90 days notice by either party to the other.
 

 

	
            5.2    
 	
            Unless earlier terminated pursuant to the terms of this Revised Agreement, the terms of this Revised Agreement may be extended by mutual written agreement of the Parties.
 

 

 

5

 

 

	
            6.  
 	
            INDEPENDENT CONTRACTOR; RELATIONSHIP OF THE PARTIES.
 

 

	
            6.1    
 	
            In the performance of Services hereunder, Consultant shall conduct itself always as an independent contractor, and none of the Consultant's officers, directors, employees, representatives or agents shall be considered an employee, agent or servant of the Company. The Consultant's performance of the Services hereunder will be at its own risk and none of its officers, directors, employees, representatives or agents shall be entitled to worker's compensation or other similar benefits of employment or insurance protection provided by the Company for its employees. The Company is interested only in the results of Consultant's performance of the Services.
 

 

	
            6.2    
 	
            With respect to this Revised Agreement, no officer, director, employee, representative or agent of the Consultant, nor their respective spouses, heirs, executors, administrators or assigns shall claim nor seek to obtain from the Company any benefits or sums with respect to the illness, disability or death of such officer, director, employee, representative or agent of the Consultant, whether arising or occurring during or after the termination or expiration of this Revised Agreement. The Consultant agrees to indemnify and save Company harmless from any and all such claims.
 

 

	
            6.3    
 	
            Neither Party shall have the authority to bind the other Party, or to sign any instrument or document on its behalf. Likewise, neither Party is empowered to make commitments for or on behalf of the other Party.
 

 

	
            6.4    
 	
            The Consultant and the Company will act in good faith towards one another in the conduct of this Revised Agreement.
 

 

	
            6.5    
 	
            Consultant represents and warrants that neither it nor any of its directors or officers nor, with its actual knowledge or express or implied consent, any of its employees, agents or representatives or any person acting on its behalf, will, except as permitted under the Corruption of Foreign Public Officials Act of Canada (the "Act"), and the Foreign Corrupt Practices Act of the United States of America ("FCPA"), in order to obtain or retain an advantage in the course of business, directly or indirectly give, offer to give or offer a loan, reward, advantage or benefit of any kind to a foreign public official (a) as consideration for an act or omission by the official in connection with the performance of the official's duties or functions or (b)to induce the official to use his or her position to influence any acts or decisions of the foreign state or public
international organization for which the official performs duties or functions. Consultant agrees to cooperate with Company to provide information reasonably requested by Company about Consultant, including but not limited to, (i) Consultant's business history and (ii) the shareholders, directors and officers of Consultant. It shall be a condition precedent to the obligations of Company under this Revised Agreement that Consultant cooperates as above provided.
 

 

6

 

 

	
            7.  
 	
            CONFLICT OF INTEREST
 

 

The Consultant represents and warrants to the Company that its execution of, and     the performance of its obligations under this Revised Agreement does not create or result in any conflict of interest as to any relationship (contractual, fiduciary or otherwise) which the Consultant may have with any third party relating to Projects in Countries of Interest. However, the Consultant may provide similar services to third-parties that do not prejudice the carrying out of the Services to the Company. The Consultant shall notify the Company of any possible conflict of interest, and shall not create nor permit to exist any such conflict of interest during the term of this Revised Agreement.

 

	
            8.  
 	
            CONFIDENTIALITY
 

 

	
            8.1    
 	
            Consultant shall keep strictly confidential and shall not disclose any information concerning this Revised Agreement or the confidential business, operations, or affairs of the Company, regardless of how or when Consultant acquires such information, except:
 

 

	 
	
            (a)  
 	
            to an Affiliate of the Consultant;
 

 

(b)   upon written agreement of the Company to the disclosure of such information;

 

(c)   to any governmental authority or entity of competent jurisdiction or any stock exchange when required by law or regulations including, without limitation, any regulation or rule of any regulatory entity, securities commission, on which the securities of Consultant or an Affiliate of a Party are or are to be listed;

 

(d)   as may be required in connection with an arbitration proceeding under this  Revised Agreement;

 

	 
	
            (e)  
 	
            to legal counsel or independent accountants representing a Party; or
 

 

	 
	
            (f)  
 	
            pursuant to Section 8.3
 

 

	
            8.2    
 	
            Prior to making an authorized disclosure pursuant to Sections 8.1 (a), (b), (d) or (e), the Consultant shall obtain a commitment from the entity to which such confidential information is intended to be disclosed, to the effect that such entity shall treat such information as confidential. Consultant shall be liable for disclosures contrary to the terms of this Revised Agreement by an Affiliate to which Consultant has disclosed information that is covered by the confidentiality obligation hereunder. However, if Consultant, or its Affiliate, is required to disclose such information to a governmental authority of competent jurisdiction, then Consultant may make such disclosure without having obtained a written confidentiality commitment from such governmental authority.
 

 

7

 

 

 

	
            8.3    
 	
            Consultant shall not make any public announcement relating to the Services or the existence of this Revised Agreement without the prior approval of the Company.
 

 

	
            8.4   
 	
            The confidentiality obligations set forth in this Section 7 shall be continuing and shall survive the termination or expiration of this Revised Agreement, for any reason for a period of two (2) years.
 

 

	
            9.  
 	
            LIABILITY
 

 

	
            9.1    
 	
            Neither party shall be liable to the other party for any claims for incidental, indirect or consequential damages arising out of or in connection with the performance or non-performance of this Revised Agreement, including but not limited to claims for lost profit or business opportunities.
 

 

	
            10.  
 	
            FORCE MAJEURE
 

 

If either the Consultant or the Company is rendered unable to perform an obligation required of it hereunder, in whole or in part, due to force majeure, then upon notice to the other, such Party's performance of such obligation shall be suspended for the period that it is unable to perform the obligation. For purposes of this Revised Agreement, "force majeure" shall mean any act or event beyond the reasonable control of the party affects, including, not limited to, a strike, labor dispute, lockout, fire, flood, tornado, hurricane, earthquake, explosion, act of God or the public enemy, war (declared or undeclared), blockage, governmental regulation, governmental treaty, order or decree, insurrections, riots, terrorism, and other civil disturbances, or epidemics. The performance affected by the force majeure shall be resumed after the event or cause of force majeure ends.

 

	
            11.  
 	
            APPLICABLE LAW AND DISPUTE RESOLUTIONS
 

 

	
            11.1   
 	
            A party shall not be required to perform any obligation under this Revised Agreement if the performance of that obligation is prohibited by the laws of any governmental authority having competent jurisdiction applicable to performance of the obligation of that Party.
 

 

	
            11.2   
 	
            This Revised Agreement shall be governed by and interpreted and construed in accordance with laws of Nevada. Without prejudice to the right of either of the parties to enforce this Revised Agreement in any court having competent jurisdiction over one or more of the Parties or their assets, the Company and the Consultant each hereby submits itself to the jurisdiction and venue of the Courts of Nevada solely for any purpose related to the enforcement of this Revised Agreement.
 

 

8

 

 

	
            11.3   
 	
            Any dispute or claim arising out of and in relation to this Revised Agreement shall be submitted to arbitration in accordance with the Arbitration Act of 1996. The tribunal shall consist of one arbitrator. The language of the arbitration shall be English and the venue of the arbitration shall be in London. The parties hereto acknowledge that service of any notices in the course of such arbitration at their addresses as given in this Revised Agreement shall be sufficient and valid.
 

 

	
            11.4   
 	
            Judgment on the award of the arbitrators may be entered in any court having competent jurisdiction or having jurisdiction over one or more of the Parties or their assets.
 

 

	
            12.  
 	
            NOTICES
 

 

All notices or requests provided for or permitted to be given pursuant to this Revised Agreement must be in writing, or confirmed in writing as provided herein, and may be delivered by telecopier, telex, mail or hand. Any notice hereunder shall be effective upon receipt by the Party to whom such notice is addressed, and shall be addressed as follows:

 

	 
	
            COMPANY:  

	 
	
            BMB Munai, Inc.

	 
	
            c/o BMB Munai (USA) Inc.

	 
	
            324 South 400 West, Suite 225

	 
	
            Salt Lake City, UT 84101-1120

	 
	
            Attention: Mr. Adam Cook, Corporate Secretary

	 
	
            Telephone: 801-355-2227

	 
	
            Facsimile: 801-355-2990

	 
	
            E-mail: a_cook@bmbmunai.com

 

	 
	
            CONSULTANT:  

 

	 
	
            Caspian Energy Consulting Ltd

	
             
	
            Attention:
 	
            Catherine Laing
 

	
             
	
            P.O. Box 664

	
             
	
            Owen Sound, ON N4K 5R4

	 
	
            Telephone: (519) 372-3072

	 
	
            E-mail: cathlaing@gmail.com

 

Each Party shall have the right from time to time during the term of this Revised Agreement to change its address, telephone, facsimile numbers, and/or the person to whom communications are to be delivered by notifying the other Party in writing.

 

 

9

 

 

 

	
            13.  
 	
            MISCELLANEOUS
 

 

	
            13.1   
 	
            This Revised Agreement constitutes the entire agreement between the Parties relating the subject matter hereof and supersedes the November Agreement between the parties dated as of the 19th day of November 2007, including all prior discussions, correspondence, negotiations and agreements, both written and oral, regarding its subject matter.
 

 

	
            13.2   
 	
            This Revised Agreement may be amended or modified, and any of the terms hereof may be waived, only by a written instrument duly signed by both the Company and Consultant or, in the case of a waiver, by the Party waiving compliance.
 

 

	
            13.3   
 	
            This Revised Agreement shall be binding upon and inure solely to the benefit of each party hereto, and nothing herein, express or implied, is intended to or shall confer upon any other person or persons (including, but not limited to any assistant) any rights, benefits or remedies of any nature whatsoever under or by any reason of the Revised Agreement.
 

 

	
            13.4   
 	
            The obligations and liabilities of the parties are intended to be several and not joint and nothing contained herein shall be construed to create an association, trust, partnership or joint venture between the parties, and each party shall be liable individually and severally for its own obligations under this Revised Agreement.
 

 

	
            13.5   
 	
            The headings user herein are for convenience only and are not intended to be interpretative, definitive, or supplemental to the respective paragraphs, provisions, or articles. Terms used herein in the singular include the plural and vice versa, and the use of any gender includes any or all other genders, as the context requires.
 

 

	
            13.6   
 	
            The waiver by one party or the failure of the other party to perform and of its obligations under this Revised Agreement shall not be deemed to be a waiver of any subsequent non-performance of that obligation, or the waiver of any other obligation of the other party. The failure by either party to enforce at any time or for any period any of the terms of this Revised Agreement shall not be deemed to constitute a waiver.
 

 

	
            13.7   
 	
            If any Section of this Revised Agreement is found to be void, voidable, illegal, or otherwise unenforceable, it shall not affect legality or validity of the other provisions of this Revised Agreement.
 

 

 

 

10

 

 

 

IN WITNESS WHEREOF, this Revised Agreement is signed in duplicate originals by the Company and the Consultant as of the day and year first above written.

 

	
            BMB MUNAI, INC.  
 	
            CASPIAN ENERGY CONSULTING LTD  
 

 

 

	
            By:
 	
            By:  
 

	
            ____________________________
 	
            _____________________________
 

	 
	
            Its Authorized Officer
 	
            Its Authorized Director  
 

 

 

11Exhibit 4.1

 

 

[Execution Copy]

 

SENIOR INDENTURE

 

between

 

WESTPAC BANKING
CORPORATION

 

and

 

THE CHASE
MANHATTAN BANK

 

Dated as of July 1,
1999

 

Providing for
Issuance of

Debt Securities in Series

 

 

 

Reconciliation
and tie between Senior Indenture, dated as of July 1, 1999, and the Trust
Indenture Act of 1939, as amended.

 

	
  Trust Indenture Act

  of 1939 Section

  	
   

  	
  Senior Indenture Section

  
	
  310

  	
  (a) 
  (1)

  	
   

  	
  6.11

  
	
   

  	
  (a) 
  (2)

  	
   

  	
  6.11

  
	
   

  	
  (a) 
  (3)

  	
   

  	
  TIA

  
	
   

  	
  (a) 
  (4)

  	
   

  	
  Not Applicable

  
	
   

  	
  (b)

  	
   

  	
  6.9; 6.11; TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  311

  	
  (a)

  	
   

  	
  TIA

  
	
   

  	
  (b)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  312

  	
  (a)

  	
   

  	
  6.7

  
	
   

  	
  (b)

  	
   

  	
  TIA

  
	
   

  	
  (c)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  313

  	
  (a)

  	
   

  	
  6.1.; TIA

  
	
   

  	
  (b)

  	
   

  	
  TIA

  
	
   

  	
  (c)

  	
   

  	
  6.6; TIA

  
	
   

  	
  (d)

  	
   

  	
  6.6

  
	
   

  	
   

  	
   

  	
   

  
	
  314

  	
  (a)

  	
   

  	
  9.6; 9.7; TIA

  
	
   

  	
  (b)

  	
   

  	
  Not Applicable

  
	
   

  	
  (c) 
  (1)

  	
   

  	
  1.2

  
	
   

  	
  (c) 
  (2)

  	
   

  	
  1.2

  
	
   

  	
  (c) 
  (3)

  	
   

  	
  Not Applicable

  
	
   

  	
  (d)

  	
   

  	
  Not Applicable

  
	
   

  	
  (e)

  	
   

  	
  1.2

  
	
   

  	
  (f)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  315

  	
  (a)

  	
   

  	
  TIA

  
	
   

  	
  (b)

  	
   

  	
  6.5

  
	
   

  	
  (c)

  	
   

  	
  6.1

  
	
   

  	
  (d) 
  (1)

  	
   

  	
  TIA

  
	
   

  	
  (d)  (2)

  	
   

  	
  TIA

  
	
   

  	
  (d)  (3)

  	
   

  	
  TIA

  
	
   

  	
  (e)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  316

  	
  (a) 
  (last sentence)

  	
   

  	
  1.1

  
	
   

  	
  (a)  (1)  (A)

  	
   

  	
  5.8

  
	
   

  	
  (a)  (1)  (B)

  	
   

  	
  5.7

  

 

i

 

	
  Trust Indenture Act

  of 1939 Section

  	
   

  	
  Senior Indenture Section

  
	
   

  	
  (b)

  	
   

  	
  5.2; 5.10

  
	
   

  	
  (c)

  	
   

  	
  TIA

  
	
   

  	
   

  	
   

  	
   

  
	
  317

  	
  (a) 
  (1)

  	
   

  	
  5.3

  
	
   

  	
  (a)  (2)

  	
   

  	
  5.4

  
	
   

  	
  (b)

  	
   

  	
  9.3

  
	
   

  	
   

  	
   

  	
   

  
	
  318

  	
  (a)

  	
   

  	
  1.11

  
	
   

  	
  (b)

  	
   

  	
  TIA

  
	
   

  	
  (c)

  	
   

  	
  1.11; TIA

  

 

This reconciliation and
tie section does not constitute part of the Senior Indenture.

 

ii

 

Table of
Contents

 

	
   

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE I

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DEFINITIONS AND OTHER PROVISIONS OF GENERAL
  APPLICATION

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 1.1.

  	
   

  	
  Definitions

  	
   

  	
  1

  
	
  Section 1.2.

  	
   

  	
  Compliance Certificates and Opinions

  	
   

  	
  9

  
	
  Section 1.3.

  	
   

  	
  Form of Documents Delivered to
  Trustee

  	
   

  	
  9

  
	
  Section 1.4.

  	
   

  	
  Acts of Holders

  	
   

  	
  10

  
	
  Section 1.5.

  	
   

  	
  Notices, etc., to Trustee and
  Company

  	
   

  	
  12

  
	
  Section 1.6.

  	
   

  	
  Notice to Holders; Waiver

  	
   

  	
  12

  
	
  Section 1.7.

  	
   

  	
  Headings and Table of Contents

  	
   

  	
  14

  
	
  Section 1.8.

  	
   

  	
  Successors and Assigns

  	
   

  	
  14

  
	
  Section 1.9.

  	
   

  	
  Separability

  	
   

  	
  14

  
	
  Section 1.10.

  	
   

  	
  Benefits of Indenture

  	
   

  	
  14

  
	
  Section 1.11.

  	
   

  	
  Governing Law

  	
   

  	
  14

  
	
  Section 1.12.

  	
   

  	
  Legal Holidays

  	
   

  	
  14

  
	
  Section 1.13.

  	
   

  	
  No Recourse Against Others

  	
   

  	
  15

  
	
  Section 1.14.

  	
   

  	
  Submission to Jurisdiction:
  Appointment of Agent for Service of Process

  	
   

  	
  15

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE II

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  SECURITY FORMS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 2.1.

  	
   

  	
  Forms Generally

  	
   

  	
  16

  
	
  Section 2.2.

  	
   

  	
  Form of Trustee’s Certificate
  of Authentication

  	
   

  	
  16

  
	
  Section 2.3.

  	
   

  	
  Securities in Global Form

  	
   

  	
  17

  
	
  Section 2.4.

  	
   

  	
  Form of Legend for Securities
  in Global Form

  	
   

  	
  17

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE III

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  THE SECURITIES

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 3.1.

  	
   

  	
  Amount Unlimited; Issuable in
  Series

  	
   

  	
  18

  
	
  Section 3.2.

  	
   

  	
  Denominations

  	
   

  	
  22

  
	
  Section 3.3.

  	
   

  	
  Execution, Authentication, Delivery
  and Dating

  	
   

  	
  22

  
	
  Section 3.4.

  	
   

  	
  Temporary Securities

  	
   

  	
  25

  
	
  Section 3.5.

  	
   

  	
  Registration, Transfer and Exchange

  	
   

  	
  25

  
	
  Section 3.6.

  	
   

  	
  Replacement Securities

  	
   

  	
  29

  
	
  Section 3.7.

  	
   

  	
  Payment of Interest; Interest
  Rights Preserved

  	
   

  	
  30

  

 

iii

 

	
  Section 3.8.

  	
   

  	
  Persons Deemed Owners

  	
   

  	
  32

  
	
  Section 3.9.

  	
   

  	
  Cancellation

  	
   

  	
  33

  
	
  Section 3.10.

  	
   

  	
  Computation of Interest

  	
   

  	
  33

  
	
  Section 3.11.

  	
   

  	
  Currency and Manner of Payment in
  Respect of Securities

  	
   

  	
  33

  
	
  Section 3.12.

  	
   

  	
  Appointment and Resignation of
  Exchange Rate Agent

  	
   

  	
  38

  
	
  Section 3.13.

  	
   

  	
  CUSIP Numbers

  	
   

  	
  39

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE IV

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  SATISFACTION, DISCHARGE AND DEFEASANCE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 4.1.

  	
   

  	
  Termination of Company’s
  Obligations Under the Indenture

  	
   

  	
  39

  
	
  Section 4.2.

  	
   

  	
  Application of Trust Funds

  	
   

  	
  41

  
	
  Section 4.3.

  	
   

  	
  Applicability of Defeasance
  Provisions; Company’s Option to Effect Defeasance or Covenant Defeasance

  	
   

  	
  41

  
	
  Section 4.4.

  	
   

  	
  Defeasance and Discharge

  	
   

  	
  41

  
	
  Section 4.5.

  	
   

  	
  Covenant Defeasance

  	
   

  	
  42

  
	
  Section 4.6.

  	
   

  	
  Conditions to Defeasance or
  Covenant Defeasance

  	
   

  	
  42

  
	
  Section 4.7.

  	
   

  	
  Deposited Money and Government
  Obligations to Be Held in Trust

  	
   

  	
  44

  
	
  Section 4.8.

  	
   

  	
  Repayment to Company

  	
   

  	
  45

  
	
  Section 4.9.

  	
   

  	
  Indemnity for Government
  Obligations

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE V

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  EVENTS OF DEFAULT AND REMEDIES

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 5.1.

  	
   

  	
  Events of Default

  	
   

  	
  45

  
	
  Section 5.2.

  	
   

  	
  Acceleration; Rescission and
  Annulment

  	
   

  	
  46

  
	
  Section 5.3.

  	
   

  	
  Collection of Indebtedness and
  Suits for Enforcement by Trustee

  	
   

  	
  47

  
	
  Section 5.4.

  	
   

  	
  Trustee May File Proofs of
  Claim

  	
   

  	
  48

  
	
  Section 5.5.

  	
   

  	
  Trustee May Enforce Claims
  Without Possession of Securities

  	
   

  	
  48

  
	
  Section 5.6.

  	
   

  	
  Delay or Omission Not Waiver

  	
   

  	
  48

  
	
  Section 5.7.

  	
   

  	
  Waiver of Past Events of Default

  	
   

  	
  48

  
	
  Section 5.8.

  	
   

  	
  Control by Majority

  	
   

  	
  49

  
	
  Section 5.9.

  	
   

  	
  Limitation on Suits by Holders

  	
   

  	
  49

  
	
  Section 5.10.

  	
   

  	
  Rights of Holders to Receive
  Payment

  	
   

  	
  50

  
	
  Section 5.11.

  	
   

  	
  Application of Money Collected

  	
   

  	
  50

  
	
  Section 5.12.

  	
   

  	
  Restoration of Rights and Remedies

  	
   

  	
  50

  
	
  Section 5.13.

  	
   

  	
  Rights and Remedies Cumulative

  	
   

  	
  50

  
	
  Section 5.14.

  	
   

  	
  Waiver of Stay, Extension or Usury
  Laws

  	
   

  	
  51

  
	
  Section 5.15.

  	
   

  	
  Waiver of Sovereign Immunity

  	
   

  	
  51

  

 

iv

 

	
   

  	
   

  	
  ARTICLE VI

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  THE TRUSTEE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 6.1.

  	
   

  	
  Rights, Duties and Responsibilities
  of Trustee

  	
   

  	
  52

  
	
  Section 6.2.

  	
   

  	
  Trustee May Hold Securities

  	
   

  	
  53

  
	
  Section 6.3.

  	
   

  	
  Money Held in Trust

  	
   

  	
  53

  
	
  Section 6.4.

  	
   

  	
  Trustee’s Disclaimer

  	
   

  	
  53

  
	
  Section 6.5.

  	
   

  	
  Notice of Events of Default

  	
   

  	
  54

  
	
  Section 6.6.

  	
   

  	
  Reports by Trustee to Holders

  	
   

  	
  54

  
	
  Section 6.7.

  	
   

  	
  Security Holder Lists

  	
   

  	
  54

  
	
  Section 6.8.

  	
   

  	
  Compensation and Indemnity

  	
   

  	
  55

  
	
  Section 6.9.

  	
   

  	
  Replacement of Trustee

  	
   

  	
  55

  
	
  Section 6.10.

  	
   

  	
  Acceptance of Appointment by
  Successor

  	
   

  	
  57

  
	
  Section 6.11.

  	
   

  	
  Eligibility; Disqualification

  	
   

  	
  58

  
	
  Section 6.12.

  	
   

  	
  Merger, Conversion, Consolidation
  or Succession to Business

  	
   

  	
  59

  
	
  Section 6.13.

  	
   

  	
  Appointment of Authenticating Agent

  	
   

  	
  59

  
	
  Section 6.14.

  	
   

  	
  Preferential Collection of Claims
  Against Company

  	
   

  	
  61

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE VII

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CONSOLIDATION, MERGER OR SALE BY THE COMPANY

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 7.1.

  	
   

  	
  Consolidation, Merger or Sale of
  Assets Permitted

  	
   

  	
  61

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE VIII

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  SUPPLEMENTAL INDENTURES

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 8.1.

  	
   

  	
  Supplemental Indentures Without
  Consent of Holders

  	
   

  	
  62

  
	
  Section 8.2.

  	
   

  	
  With Consent of Holders

  	
   

  	
  63

  
	
  Section 8.3.

  	
   

  	
  Compliance with Trust Indenture Act

  	
   

  	
  65

  
	
  Section 8.4.

  	
   

  	
  Execution of Supplemental
  Indentures

  	
   

  	
  65

  
	
  Section 8.5.

  	
   

  	
  Effect of Supplemental Indentures

  	
   

  	
  65

  
	
  Section 8.6.

  	
   

  	
  Reference in Securities to
  Supplemental Indentures

  	
   

  	
  65

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE IX

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  COVENANTS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 9.1.

  	
   

  	
  Payment of Principal, Premium, if
  any, and Interest

  	
   

  	
  66

  
	
  Section 9.2.

  	
   

  	
  Maintenance of Office or Agency

  	
   

  	
  66

  
	
  Section 9.3.

  	
   

  	
  Money for Securities to Be Held in
  Trust; Unclaimed Money

  	
   

  	
  67

  
	
  Section 9.4.

  	
   

  	
  Corporate Existence

  	
   

  	
  68

  
	
  Section 9.5.

  	
   

  	
  Insurance

  	
   

  	
  68

  

 

v

 

	
  Section 9.6.

  	
   

  	
  Reports by the Company

  	
   

  	
  69

  
	
  Section 9.7.

  	
   

  	
  Annual Review Certificate

  	
   

  	
  69

  
	
  Section 9.8.

  	
   

  	
  Payment of Additional Amounts

  	
   

  	
  69

  
	
  Section 9.9.

  	
   

  	
  Payment of Stamp Taxes

  	
   

  	
  71

  
	
  Section 9.10.

  	
   

  	
  Indemnification of Judgment
  Currency

  	
   

  	
  71

  
	
  Section 9.11.

  	
   

  	
  Waiver of Certain Covenants

  	
   

  	
  71

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE X

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  REDEMPTION

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 10.1.

  	
   

  	
  Applicability of Article

  	
   

  	
  71

  
	
  Section 10.2.

  	
   

  	
  Election to Redeem; Notice to
  Trustee

  	
   

  	
  72

  
	
  Section 10.3.

  	
   

  	
  Selection of Securities to Be
  Redeemed

  	
   

  	
  72

  
	
  Section 10.4.

  	
   

  	
  Notice of Redemption

  	
   

  	
  73

  
	
  Section 10.5.

  	
   

  	
  Deposit of Redemption Price

  	
   

  	
  74

  
	
  Section 10.6.

  	
   

  	
  Securities Payable on Redemption
  Date

  	
   

  	
  74

  
	
  Section 10.7.

  	
   

  	
  Securities Redeemed in Part

  	
   

  	
  75

  
	
  Section 10.8.

  	
   

  	
  Optional Redemption Due to Changes
  in Australian Tax Treatment

  	
   

  	
  75

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ARTICLE XI

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  SINKING FUNDS

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 11.1.

  	
   

  	
  Applicability of Article

  	
   

  	
  76

  
	
  Section 11.2.

  	
   

  	
  Satisfaction of Sinking Fund
  Payments with Securities

  	
   

  	
  76

  
	
  Section 11.3.

  	
   

  	
  Redemption of Securities for
  Sinking Fund

  	
   

  	
  76

  

 

vi

 

SENIOR
INDENTURE, dated as of July 1, 1999, between WESTPAC BANKING CORPORATION,
a bank duly organized and existing under the laws of the State of New South
Wales, Commonwealth of Australia (the “Company”) having its principal office at
60 Martin Place, Sydney, New South Wales 2000, Australia, and having an office
in the city of New York at 335 Madison Avenue, New York, New York 10017, and
The Chase Manhattan Bank, a New York banking corporation, as Trustee hereunder
(the “Trustee”).

 

Recitals

 

The
Company has duly authorized the execution and delivery of this Indenture to
provide for the issuance from time to time of its unsecured debentures, notes
or other evidences of indebtedness (“Securities”) to be issued in one or more
series as herein provided.

 

All
things necessary to make this Indenture a valid agreement of the Company, in
accordance with its terms, have been done.

 

For
and in consideration of the premises and the purchase of the Securities by the
Holders thereof, it is mutually covenanted and agreed as follows for the equal
and ratable benefit of the Holders of the Securities:

 

ARTICLE I

 

DEFINITIONS AND OTHER
PROVISIONS

OF GENERAL APPLICATION

 

Section 1.1.           Definitions.  (a)  For all purposes of this Indenture,
except as otherwise expressly provided or unless the context otherwise
requires:

 

(1)    the terms defined in this Article have
the meanings assigned to them in this Article and include the plural as
well as the singular;

 

(2)    all other terms used herein which are
defined in the Trust Indenture Act, either directly or by reference therein,
have the meanings assigned to them therein;

 

(3)    all accounting terms not otherwise defined
herein have the meanings assigned to them in accordance with generally accepted
accounting principles used in the preparation of the Company’s audited
financial statements and, except as otherwise herein expressly provided, the
term “generally accepted accounting principles” with respect to any computation
required or permitted hereunder shall mean such accounting principles at the
date of such computation;

 

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

 

1

 

(5)    the word “or” is always used inclusively
(for example, the phrase “A or B” means “A or B or both”, not “A or B but not
both”).

 

“Affiliate”
of any specified Person means any Person directly or indirectly controlling or
controlled by, or under direct or indirect common control with, such specified
Person.  For purposes of this definition,
“control” when used with respect to any specified 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.

 

“Agent”
means any Paying Agent or Registrar.

 

“Authenticating
Agent” means any authenticating agent appointed by the Trustee pursuant to Section 6.13.

 

“Authorized
Newspaper” means a newspaper of general circulation, in the official language
of the country of publication or in the English language, customarily published
on each Business Day whether or not published on Saturdays, Sundays or
holidays.  Whenever successive
publications in an Authorized Newspaper are required hereunder they may be made
(unless otherwise expressly provided herein) on the same or different days of
the week and in the same or different Authorized Newspapers.

 

“Authorized
Officer” means the Company’s Chairman of the Board, its Managing Director, its
Chief Financial Officer, its Group Executive, any General Manager, its Group
Treasurer, its Group Financial Controller, any Senior Vice President or any
Vice President or such officers of equivalent status as may be designated from
time to time by the Company.

 

“Bearer
Security” means any Security issued hereunder which is payable to bearer.

 

“Board”
or “Board of Directors” means the Board of Directors of the Company, or any
duly authorized committee thereof.

 

“Board
Resolution” means a copy of a resolution of the Board of Directors, certified
by the Secretary or an Assistant Secretary of the Company to have been duly
adopted by the Board of Directors and to be in full force and effect on the
date of the certificate, and delivered to the Trustee.

 

“Business
Day”, when used with respect to any Place of Payment or any other particular
location referred to in this Indenture or in the Securities, means, unless
otherwise specified with respect to any Securities pursuant to Section 3.1,
each Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on
which banking institutions in that Place of Payment or particular location are
authorized or obligated by law or executive order to close.

 

2

 

“Commission”
means the Securities and Exchange Commission, as from time to time constituted,
created under the Securities Exchange Act of 1934, or, if at any time after the
execution of this Indenture such Commission is not existing and performing the
duties now assigned to it under the Trust Indenture Act, then the body
performing such duties at such time.

 

“Company”
means the party named as the Company in the first paragraph of this Indenture
until a successor shall have become such pursuant to the applicable provisions
of this Indenture, and thereafter means such successors.

 

“Company
Order” and “Company Request” mean, respectively, a written order or request
signed in the name of the Company by an Authorized Officer.

 

“Corporate
Trust Office” means the office of the Trustee in New York, New York at which at
any particular time its corporate trust business shall be principally
administered, which office at the date hereof is located at 450 West 33rd
Street, New York, New York 10001, Attention: 
Capital Markets Fiduciary Services.

 

“currency
unit”, for all purposes of this Indenture, shall include any composite
currency.

 

“Depositary”,
when used with respect to the Securities of or within any series issuable or
issued in whole or in part in global form, means the Person designated as
Depositary by the Company pursuant to Section 3.1 until a successor
Depositary shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter shall mean or include each Person which is then a
Depositary hereunder, and if at any time there is more than one such Person,
shall be a collective reference to such Persons.

 

“Dollar”
or “$” means the coin or currency of the United States as at the time of
payment is legal tender for the payment of public and private debts.

 

“Government
Obligations” means securities which are (i) direct obligations of the
United States or, if specified as contemplated by Section 3.1, the
government which issued the currency in which the Securities of a particular
series are payable, for the payment of which its full faith and credit is
pledged or (ii) obligations of a Person controlled or supervised by and
acting as an agency or instrumentality of the United States or, if specified as
contemplated by Section 3.1, such government which issued the foreign
currency in which the Securities of such series are payable, for the payment of
which the full faith and credit of the United States or such other government
is pledged (whether by guaranty or otherwise), which, in either case, are not
callable or redeemable at the option of the issuer thereof, and shall also
include a depositary receipt issued by a bank or trust company as custodian
with respect to any such Government Obligation or a specific payment of
interest on or principal of any such Government Obligation held by such
custodian for the account of the holder of a depositary receipt, provided that
(except as required by law) such custodian is not authorized to make any
deduction from the 

 

3

 

amount payable to the holder of such depositary
receipt from any amount received by the custodian in respect of the Government
Obligation evidenced by such depositary receipt.

 

“Holder”
means, with respect to a Bearer Security, a bearer thereof or of a coupon
appertaining thereto and, with respect to a Registered Security, a person in
whose name such Registered Security is registered on the Register.

 

“Indenture”
means this Senior Indenture as originally executed or as amended or
supplemented from time to time and shall include the forms and terms of
particular series of Securities established as contemplated hereunder.

 

“Indexed
Security” means a Security the terms of which provide that the principal amount
thereof payable at Stated Maturity may be more or less than the principal face
amount thereof at original issuance.

 

“interest”,
when used with respect to an Original Issue Discount Security which by its
terms bears interest only after Maturity, means interest payable after
Maturity.

 

“Interest
Payment Date”, when used with respect to any Security, means the Stated
Maturity of an installment of interest on such Security.

 

“Maturity”,
when used with respect to any Security, means the date on which the principal
of such Security or an installment of principal becomes due and payable as
therein or herein provided, whether at the Stated Maturity or by declaration of
acceleration, call for redemption or otherwise.

 

“Officer”
means any Authorized Officer, the President, any Executive Vice President, any
Assistant Vice President, the Treasurer or the Secretary or Assistant Secretary
of the Company.

 

“Officers’
Certificate” means a certificate signed by an Authorized Officer and which
conforms to Section 1.2.

 

“Opinion
of Counsel” means a written opinion of legal counsel, who may be (i) an
attorney employed by the Company, (ii) Debevoise & Plimpton or (iii) other
counsel designated by the Company who shall be reasonably acceptable to the
Trustee.

 

“Original
Issue Discount Security” means any Security which provides for an amount less
than the stated principal amount thereof to be due and payable upon declaration
of acceleration of the Maturity thereof pursuant to Section 5.2.

 

“Outstanding”,
when used with respect to Securities, means, as of the date of determination,
all Securities theretofore authenticated and delivered under this Indenture,
except:

 

(i)      Securities theretofore
cancelled by the Trustee or delivered to the Trustee for cancellation;

 

4

 

(ii)     Securities, or portions
thereof, for whose payment or redemption money or Government Obligations in the
necessary amount (without reinvestment) has been theretofore deposited with the
Trustee or any Paying Agent (other than the Company) in trust or set aside and
segregated in trust by the Company (if the Company shall act as its own Paying
Agent) for the Holders of such Securities and any coupons appertaining thereto,
provided that, if such Securities are to be redeemed, notice of such redemption
has been duly given pursuant to this Indenture or provisions therefor
satisfactory to the Trustee have been made;

 

(iii)    Securities, except to the
extent provided in Sections 4.4 and 4.5, with respect to which the Company has
effected defeasance and/or covenant defeasance as provided in Article IV;
and

 

(iv)    Securities which have been
paid pursuant to Section 3.6 or in exchange for or in lieu of which other
Securities have been authenticated and delivered pursuant to this Indenture,
other than any such Securities in respect of which there shall have been
presented to the Trustee proof satisfactory to it that such Securities are held
by a bona fide purchaser in whose hands such Securities are valid obligations
of the Company;

 

provided,
however, that unless otherwise provided with respect to any Securities of any
series pursuant to Section 3.1, in determining whether the Holders of the
requisite principal amount of the Outstanding Securities have given any
request, demand, authorization, direction, notice, consent or waiver or are
present at a meeting for quorum purposes hereunder, or whether sufficient funds
are available for redemption or for any other purpose, and for the purpose of
making the calculations required by Section 313 of the Trust Indenture
Act, (w) the principal amount of any Original Issue Discount Securities that
may be counted in making such determination or calculation and that shall be
deemed to be Outstanding for such purpose shall be equal to the amount of
principal thereof that would be (or shall have been declared to be) due and
payable, at the time of such determination, upon a declaration of acceleration
of the maturity thereof pursuant to Section 5.2, (x) the principal
amount of any Security denominated in a Foreign Currency that may be counted in
making such determination or calculation and that shall be deemed Outstanding
for such purpose shall be equal to the Dollar equivalent, determined as of the
date such Security is originally issued by the Company as set forth in an
Exchange Rate Officers’ Certificate delivered to the Trustee, of the principal
amount (or, in the case of an Original Issue Discount Security, the Dollar
equivalent, determined as of such date of original issuance, of the amount
determined as provided in clause (w) above) of such Security, (y) the
principal amount of any Indexed Security that may be counted in making such
determination or calculation and that shall be deemed Outstanding for such
purpose shall be equal to the principal face amount of such Indexed Security at
original issuance, and (z) Securities owned by the Company or any other
obligor upon the Securities or any Affiliate of the Company or of such other
obligor shall be disregarded and deemed not to be Outstanding, except that, in
determining whether the Trustee shall be protected in making such calculation
or in relying upon any such request, demand, authorization, direction, notice,
consent or waiver, only Securities which a Responsible 

 

5

 

Officer
of the Trustee actually knows to be so owned shall be so disregarded.  Securities so owned which have been pledged
in good faith may be regarded as Outstanding if the pledgee establishes to the
satisfaction of the Trustee the pledgee’s right so to act with respect to such
Securities and that the pledgee is not the Company or any other obligor upon
the Securities or any Affiliate of the Company or of such other obligor.

 

“Paying
Agent” means any Person authorized by the Company to pay the principal of,
premium, if any, or interest and any other payments on any Securities on behalf
of the Company; provided that, in no event may a Paying Agent be a domiciliary
of Commonwealth of Australia or a person acting through an office in
Commonwealth of Australia.

 

“Periodic
Offering” means an offering of Securities of a series from time to time the
specific terms of which Securities, including, without limitation, the rate or
rates of interest or formula for determining the rate or rates of interest
thereon, if any, the Maturity thereof and the redemption provisions, if any,
with respect thereto, are to be determined by the Company upon the issuance of
such Securities.

 

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

 

“Place
of Payment”, when used with respect to the Securities of or within any series,
means the place or places where the principal of, premium, if any, and interest
and any other payments on such Securities are payable as specified as
contemplated by Sections 3.1 and 9.2.

 

“Predecessor
Security” of any particular Security means every previous Security evidencing
all or a portion of the same debt as that evidenced by such particular
Security; and, for the purposes of this definition, any Security authenticated
and delivered under Section 3.6 in exchange for or in lieu of a mutilated,
destroyed, lost or stolen Security shall be deemed to evidence the same debt as
the mutilated, destroyed, lost or stolen Security.

 

“Redemption
Date”, when used with respect to any Security to be redeemed, means the date
fixed for such redemption by or pursuant to this Indenture and the Securities.

 

“Redemption
Price”, when used with respect to any Security to be redeemed, in whole or in
part, means the price at which it is to be redeemed pursuant to this Indenture
and the Securities.

 

“Registered
Security” means any Security issued hereunder and registered as to principal
and interest in the Register.

 

6

 

“Regular
Record Date” for the interest payable on any Interest Payment Date on the
Securities of or within any series means the date specified for that purpose as
contemplated by Section 3.1, which date shall be, unless otherwise
specified pursuant to Section 3.1, the fifteenth day preceding such
Interest Payment Date, whether or not such day shall be a Business Day.

 

“Responsible
Officer”, when used with respect to the Trustee, shall mean any Vice President
(whether or not designated by a number or a word or words added before or after
the title “Vice-President”), the Secretary, any Assistant Secretary, the
Treasurer, any Assistant Treasurer, the Cashier, any Assistant Cashier, any
Senior Trust Officer, any Trust Officer, any Assistant Trust Officer, the
Controller, any Assistant Controller, or any officer of the Trustee customarily
performing functions similar to those performed by the individuals who at the
time shall be such officers, respectively, or to whom any corporate trust
matter is referred because of his or her knowledge of and familiarity with the
particular subject.

 

“Security”
or “Securities” has the meaning stated in the first recital of this Indenture
and more particularly means a Security or Securities of the Company issued,
authenticated and delivered under this Indenture.

 

“Special
Record Date” for the payment of any Defaulted Interest means a date fixed by
the Trustee pursuant to Section 3.7.

 

“Stated
Maturity”, when used with respect to any Security or any installment of
principal thereof or interest thereon, means the date specified in such
Security or in a coupon representing such installment of interest as the fixed
date on which the principal of such Security or such installment of principal
or interest is due and payable.

 

“Subsidiary”
means any Person of which the Company at the time owns or controls, directly or
indirectly, more than 50% of the shares of outstanding stock or other equity
interests having general voting power under ordinary circumstances to elect a
majority of the Board of Directors, managers or trustees, as the case may be,
of such Person (irrespective of whether or not at the time stock of any other
class or classes or other equity interests of such corporation shall have or
might have voting power by reason of the happening of any contingency).

 

“Trust
Indenture Act” means the Trust Indenture Act of 1939, as amended and as in
effect on the date of this Indenture, except as provided in Section 8.3.

 

“Trustee”
means the party named as such in the first paragraph of this Indenture until a
successor Trustee replaces it pursuant to the applicable provisions of this
Indenture, and thereafter means such successor Trustee and if, at any time,
there is more than one Trustee, “Trustee” as used with respect to the
Securities of any series shall mean the Trustee with respect to the Securities
of that series.

 

7

 

“United
States” means, unless otherwise specified with respect to the Securities of any
series as contemplated by Section 3.1, the United States of America
(including the States and the District of Columbia), its territories, its
possessions and other areas subject to its jurisdiction.

 

“U.S.
Person” means, unless otherwise specified with respect to the Securities of any
series as contemplated by Section 3.1, an individual citizen or resident
of the United States, a corporation created or organized in or under the laws
of the United States, any State thereof or the District of Columbia, or a
partnership, estate or trust treated as a domestic partnership, estate or trust
for United States federal income tax purposes.

 

“Winding
Up” means, any procedure whereby the Company may be wound up, dissolved or
cease to exist as a body corporate and whether brought or instigated by the
Trustee, a Holder or any other Person.

 

“Yield
to Maturity” means the yield to maturity, calculated by the Company at the time
of issuance of a series of Securities or, if applicable, at the most recent determination
of interest on such series, in accordance with accepted financial practice.

 

(b) 
The following terms shall have the meanings specified in the Sections referred
to opposite such term below:

 

	
  Term

  	
   

  	
  Section

  
	
  “Act”

  	
   

  	
  1.4 (a)

  
	
  “Additional Amount”

  	
   

  	
  9.8 (a)

  
	
  “Authorized Agent”

  	
   

  	
  1.14

  
	
  “Claims”

  	
   

  	
  6.8(b)

  
	
  “Component Currency”

  	
   

  	
  3.11(h)

  
	
  “Conversion Date”

  	
   

  	
  3.11(d)

  
	
  “Conversion Event”

  	
   

  	
  3.11(h)

  
	
  “Defaulted Interest”

  	
   

  	
  3.7(b)

  
	
  “Election Date”

  	
   

  	
  3.11(h)

  
	
  “Euro”

  	
   

  	
  3.11(h)

  
	
  “Event of Default”

  	
   

  	
  5.1

  
	
  “Exchange Rate Agent”

  	
   

  	
  3.11(h)

  
	
  “Exchange Rate
  Officers’ Certificate”

  	
   

  	
  3.11(h)

  
	
  “Expiration Date”

  	
   

  	
  1.4(g)

  
	
  “Foreign Currency”

  	
   

  	
  3.11(h)

  
	
  “Judgment Currency”

  	
   

  	
  9.10

  
	
  “Market Exchange Rate”

  	
   

  	
  3.11(h)

  
	
  “Register”

  	
   

  	
  3.5

  
	
  “Registrar”

  	
   

  	
  3.5

  
	
  “Specified Amount”

  	
   

  	
  3.11(h)

  
	
  “Specified Currency”

  	
   

  	
  9.10

  
	
  “Valuation Date”

  	
   

  	
  3.11(c)

  

 

8

 

Section 1.2.           Compliance Certificates and
Opinions.  Upon any application or
request by the Company to the Trustee to take any action under any provision of
this Indenture, the Company shall furnish to the Trustee an Officers’
Certificate stating that all conditions precedent, if any, provided for in this
Indenture relating to the proposed action have been complied with and an
Opinion of Counsel stating that in the opinion of such counsel all such
conditions precedent, if any, have been complied with, except that in the case
of any such application or request as to which the furnishing of such documents
is specifically required by any provision of this Indenture relating to such
particular application or request, no additional certificate or opinion need be
furnished.

 

Every
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture (other than pursuant to Section 9.7) shall
include:

 

(1)    a statement that each individual signing
such certificate or opinion has read such condition or covenant and the
definitions herein relating thereto;

 

(2)    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;

 

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

 

(4)    a statement as to whether, in the opinion of
each such individual, such condition or covenant has been complied with.

 

Section 1.3.           Form of Documents Delivered
to Trustee.  In any case where
several matters are required to be certified by, or covered by an opinion of,
any specified Person, it is not necessary that all such matters be certified
by, or covered by the opinion of, only one such Person, or that they be so
certified or covered by only one document, but one such Person may certify or
give an opinion with respect to some matters and one or more other such Persons
as to other matters, and any such Person may certify or give an opinion as to
such matters in one or several documents.

 

Any
certificate or opinion of an Officer of the Company may be based, insofar as it
relates to legal matters, upon a certificate or opinion of, or representations
by, counsel, unless such officer knows that the certificate or opinion or
representations with respect to the matters upon which his certificate or
opinion is based are erroneous.  Any such
certificate or Opinion of Counsel may be based, insofar as it relates to
factual matters, upon a certificate or opinion of, or representations by, an
officer or officers of the Company stating that the information with respect to
such factual matters is in the possession of the Company, unless such counsel
knows that the certificate or opinion or representations as to such matters are
erroneous.

 

9

 

Any
certificate or opinion of an Officer of the Company or of counsel may be based,
insofar as it relates to accounting matters, upon a certificate or opinion of
or representations by an accountant or firm of accountants in the employ of the
Company, unless such officer or counsel, as the case may be, knows that the
certificate or opinions or representations as to such accounting matters are
erroneous.

 

Where
any Person is required to make, give or execute two or more applications,
requests, consents, certificates, statements, opinions or other instruments
under this Indenture, they may, but need not, be consolidated and form one
instrument.

 

Section 1.4.           Acts of Holders.  (a)  Any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture
to be given or taken by Holders may be embodied in and evidenced by one or more
instruments of substantially similar tenor signed by such Holders in person or
by agent duly appointed in writing; and, except as herein otherwise expressly
provided, such action shall become effective when such instrument or
instruments are delivered to the Trustee and, where it is hereby expressly
required, to the Company.  Such
instrument or instruments (and the action embodied therein and evidenced
thereby) are herein sometimes referred to as the “Act” of the Holders signing
such instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent
shall be sufficient for any purpose of this Indenture and conclusive (subject
to Section 6.1) in favor of the Trustee and the Company, if made in the
manner provided in this Section.

 

(b) 
Without limiting the generality of this Section, unless otherwise provided in
or pursuant to this Indenture, a Holder, including a Depositary that is a
Holder of a Security, may make, give or take, by a proxy, or proxies, duly
appointed in writing, any request, demand, authorization, direction, notice,
consent, waiver or other action provided in or pursuant to this Indenture to be
made, given or taken by Holders, and a Depositary that is a Holder of a
Security may provide its proxy or proxies to the beneficial owners of interests
in any such Security through such Depositary’s standing instructions and
customary practices.

 

(c) 
The fact and date of the execution by any Person of any such instrument or
writing may be proved by the affidavit of a witness of such execution or by a
certificate of a notary public or other officer authorized by law to take
acknowledgments of deeds, certifying that the individual signing such
instrument or writing acknowledged to him the execution thereof.  Where such execution is by a signer acting in
a capacity other than his individual capacity, such certificate or affidavit
shall also constitute sufficient proof of his authority.  The fact and date of the execution of any
such instrument or writing, or the authority of the Person executing the same,
may also be proved in any other manner which the Trustee deems sufficient.

 

(d) 
The ownership of Bearer Securities may be proved by the production of such
Bearer Securities or by a certificate executed by any trust company, bank,
banker or other depositary, wherever situated, if such certificate shall be
deemed by the Trustee to be satisfactory, showing that at the date therein
mentioned such Person had on deposit

 

10

 

with such depositary, or
exhibited to it, the Bearer Securities therein described; or such facts may be
proved by the certificate or affidavit of the Person holding such Bearer
Securities, if such certificate or affidavit is deemed by the Trustee to be
satisfactory.

 

The
Trustee and the Company may assume that such ownership of any Bearer Security
continues until (i) another such certificate or affidavit bearing a later
date issued in respect of the same Bearer Security is produced, (ii) such
Bearer Security is produced to the Trustee by some other Person, (iii) such
Bearer Security is surrendered in exchange for a Registered Security or (iv) such
Bearer Security is no longer outstanding. 
The ownership of Bearer Securities may also be proved in any other
manner which the Trustee deems sufficient.

 

(e) 
The ownership of Registered Securities shall be proved by the Register.

 

(f) 
Any request, demand, authorization, direction, notice, consent, waiver or other
Act of the Holder of any Security shall bind every future Holder of the same
Security and the Holder of every Security issued upon the registration of
transfer thereof or in exchange therefor or in lieu thereof in respect of
anything done, omitted or suffered to be done by the Trustee or the Company in
reliance thereon, whether or not notation of such action is made upon such
Security.

 

(g) 
If the Company shall solicit from the Holders of any series any request,
demand, authorization, direction, notice, consent, waiver or other Act, the
Company may, at its option, fix in advance a record date for the determination
of Holders of such series entitled to give such request, demand, authorization,
direction, notice, consent, waiver or other Act, but the Company shall have no
obligation to do so.  If such a record
date is fixed, such request, demand, authorization, direction, notice, consent,
waiver or other Act may be given before or after such record date, but only the
Holders of such series of record at the close of business on such record date
shall be deemed to be Holders for the purposes of determining whether Holders
of the requisite proportion of Outstanding Securities of such series have authorized
or agreed or consented to such request, demand, authorization, direction,
notice, consent, waiver or other Act, and for that purpose the Outstanding
Securities of such series shall be computed as of such record date; provided
that no such authorization, agreement or consent by the Holders on such record
date shall be deemed effective unless taken on or prior to the applicable
Expiration Date (as defined below) by Holders of the requisite amount of
Outstanding Securities of such series on such record date.  Nothing in this paragraph shall be construed
to prevent the Company from setting a new record date for any action for which
a record date has previously been set pursuant to this paragraph (whereupon the
record date previously set shall automatically and with no action by any Person
be cancelled and of no effect), and nothing in this paragraph shall be
construed to render ineffective any action taken by Holders of the requisite
amount of Outstanding Securities on the date such action is taken.  Promptly after any record date is set
pursuant to this paragraph, the Company, at its own expense, shall cause notice
of such record date, the proposed action by Holders and the applicable
Expiration Date to be given to the Trustee in writing and to each Holder of
Notes in the manner set forth in Section 1.6.

 

11

 

“Expiration
Date” means, with respect to any record date set pursuant to this Section 1.4,
the date designated by the Company, provided, that the Company may, from
time to time, change the Expiration Date to any earlier or later day, but no
such change shall be effective unless notice of the proposed new Expiration
Date is given to the Trustee, and to each Holder of Securities of the
applicable series in the manner set forth in Section 1.6 on or prior to
the existing Expiration Date.  If an
Expiration Date is not designated with respect to any record date pursuant to
this Section, the Company shall be deemed to have initially designated the
180th day after such record date as the Expiration Date with respect thereto,
subject to its right to change the Expiration Date as provided in this
paragraph.  Notwithstanding the
foregoing, no Expiration Date shall be later than the 180th day after the
applicable record date.

 

(h) 
Without limiting the foregoing, a Holder entitled hereunder to take any action
hereunder with regard to any particular Security may do so with regard to all
or any part of the principal amount of such Security or by one or more duly
appointed agents, each of which may do so pursuant to such appointment with
regard to all or any part of such principal amount.

 

(i) 
The Company and the Trustee may make reasonable rules for action by or at
a meeting of Holders.

 

Section 1.5.           Notices, etc., to Trustee and
Company.  Any request, demand,
authorization, direction, notice, consent, waiver or Act of Holders or other
document provided or permitted by this Indenture to be made upon, given or
furnished to, or filed with,

 

(1)    the Trustee by any Holder or by the Company
shall be sufficient for every purpose hereunder if made, given, furnished or
filed in writing to or with the Trustee at its Corporate Trust Office,
Attention:  Capital Markets Fiduciary
Services, or

 

(2)    the Company by the Trustee or by any Holder
shall be sufficient for every purpose hereunder (unless otherwise herein
expressly provided) if in writing and mailed, first-class postage prepaid, to
the Company addressed to it at Westpac Banking Corporation, 60 Martin Place,
Sydney, New South Wales 2000, Australia or at any other address previously
furnished in writing to the Trustee by the Company.

 

Section 1.6.           Notice to Holders; Waiver.  Where this Indenture provides for notice to
Holders of any event, (i) if any of the Securities affected by such event
are Registered Securities, such notice to the Holders thereof shall be
sufficiently given (unless otherwise herein or in the terms of such Securities
expressly provided) if in writing and mailed, first-class postage prepaid, to
each such Holder affected by such event, at his address as it appears in the
Register, within the time prescribed for the giving of such notice and, (ii) if
any of the Securities affected by such event are Bearer Securities, notice to
the Holders thereof shall be sufficiently given (unless otherwise herein or in
the terms of such Bearer Securities expressly provided) if published once in

 

12

 

an Authorized Newspaper
in New York, New York, and in such other city or cities, if any, as may be
specified as contemplated by Section 3.1.

 

In any
case where notice to Holders is given by mail, neither the failure to mail such
notice, nor any defect in any notice so mailed, to any particular Holder shall
affect the sufficiency of such notice with respect to other Holders of
Registered Securities or the sufficiency of any notice to Holders of Bearer
Securities given as provided herein.  In
any case where notice is given to Holders by publication, neither the failure
to publish such notice, nor any defect in any notice so published, shall affect
the sufficiency of such notice with respect to other Holders of Bearer
Securities or the sufficiency of any notice to Holders of Registered Securities
given as provided herein.  Any notice
mailed to a Holder in the manner herein prescribed shall be conclusively deemed
to have been received by such Holder, whether or not such Holder actually
receives such notice.

 

If by
reason of the suspension of regular mail service or by reason of any other
cause it shall be impracticable to give such notice as provided above, then
such notification as shall be made with the approval of the Trustee (such
approval not to be unreasonably withheld) shall constitute a sufficient
notification for every purpose hereunder. 
If it is impossible or, in the opinion of the Trustee, impracticable to
give any notice by publication in the manner herein required, then such
publication in lieu thereof as shall be made with the approval of the Trustee
shall constitute a sufficient publication of such notice.

 

In
case by reason of the suspension of publication of any Authorized Newspaper or
Authorized Newspapers or by reason of any other cause it shall be impracticable
to publish any notice to Holders of Bearer Securities as provided above, then
such notification to Holders of Bearer Securities as shall be given with the
approval of the Trustee shall constitute sufficient notice to such Holders for
every purpose hereunder.  Neither failure
to give notice by publication to Holders of Bearer Securities as provided
above, nor any defect in any notice so published, shall affect the sufficiency
of any notice mailed to Holders of Registered Securities as provided above.

 

Any
request, demand, authorization, direction, notice, consent or waiver required
or permitted under this Indenture shall be in the English language, except that
any published notice may be in an official language of the country of
publication.

 

In any
case where the Company mails a notice to Holders, a copy must be sent to the
Trustee and in any case where the Trustee mails a notice to Holders, copies
must be sent to the Company.

 

Where
this Indenture provides for notice in any manner, such notice may be waived in
writing by the Person entitled to receive such notice, either before or after
the event, and such waiver shall be equivalent of such notice.  Waivers of notice by Holders shall be filed
with the Trustee, but such filing shall not be a condition precedent to the
validity of any action taken in reliance upon such waiver.

 

13

 

Section 1.7.           Headings and Table of Contents.  The Article and Section headings
herein and the Table of Contents are for convenience only and shall not affect
the construction hereof.

 

Section 1.8.           Successors and Assigns.  All covenants and agreements in this
Indenture by the Company shall bind its successors and assigns, whether so
expressed or not.

 

Any
act or proceeding that is required or permitted by any provision of this
Indenture and that is authorized or required to be done or performed by any
board, committee or officer of the Company shall and may be done and performed
with like force and effect by the like board, committee or officer of any
Person that shall at the time be the successor or assign of the Company.

 

Section 1.9.           Separability.  In case any provision of this Indenture or
the Securities shall be invalid, illegal or unenforceable, the validity,
legality and enforceability of the remaining provisions shall not in any way be
affected or impaired thereby.

 

Section 1.10.         Benefits of Indenture.  Nothing in this Indenture or in the
Securities, expressed or implied, shall give to any Person, other than the
parties hereto and their successors hereunder, any Agent and the Holders, any
benefit or any legal or equitable right, remedy or claim under this Indenture.

 

Section 1.11.         Governing Law.  UNLESS OTHERWISE PROVIDED WITH RESPECT TO ANY
SECURITIES OF ANY SERIES PURSUANT TO SECTION 3.1, THIS INDENTURE, THE
SECURITIES AND ANY COUPONS APPERTAINING THERETO SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, INCLUDING ALL
MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE.  This Indenture is subject to the Trust
Indenture Act and if any provision hereof limits, qualifies or conflicts with a
provision of the Trust Indenture Act that is required by the Trust Indenture
Act to be a part of and govern this Indenture, the latter provision shall
control. If any provision of this Indenture modifies or excludes any provision
of the Trust Indenture Act that may be so modified or excluded, the latter
provision shall be deemed to apply to this Indenture as so modified, or to be
excluded, as the case may be, whether or not such provision of this Indenture
refers expressly to such provision of the Trust Indenture Act.

 

Section 1.12.         Legal Holidays.  Unless otherwise provided with respect to any
Security or Securities pursuant to Section 3.1, in any case where any
Interest Payment Date, Redemption Date, sinking fund payment date, Stated Maturity
or Maturity or other payment date of any Security shall not be a Business Day
at any Place of Payment, then, notwithstanding any other provision of this
Indenture or any Security or coupon, payment of principal, premium, if any or
interest or other payments need not be made at such Place of Payment on such
date, but may be made on the next succeeding Business Day at such Place of
Payment with the same force and effect as if made on such date; provided 

14

 

that no interest shall
accrue on the amount so payable for the period from and after such Interest
Payment Date, Redemption Date, sinking fund payment date, Stated Maturity or
Maturity or other payment date, as the case may be.

 

In any
case where any notice to Holders is required to be given by a certain date and
such date shall not be a Business Day, then (notwithstanding any other
provision of this Indenture or the Securities) such notice need not be made on
such date, but may be made on the next succeeding day that is a Business Day
with the same force and effect as if made on the date such notice was
originally required to be made.

 

Section 1.13.         No Recourse Against Others.  No past, present or future director, officer,
employee, agent, member, manager, trustee or stockholder, as such, of the
Company or any successor Person shall have any liability for any obligations of
the Company or any successor Person, either directly or through the Company or
any successor Person, under the Securities or this Indenture or for any claim
based on, in respect of or by reason of such obligations or their creation,
whether by virtue of any rule of law, statute or constitutional provision
or by the enforcement of any assessment or by any legal or equitable proceeding
or otherwise.  By accepting a Security,
each Holder agrees to the provisions of this Section 1.13 and waives and
releases all such liability.  Such waiver
and release shall be part of the consideration for the issue of the Securities.

 

Section 1.14.         Submission to Jurisdiction:
Appointment of Agent for Service of Process.  The Company hereby appoints the Vice
President, Legal Services at the office of the Company located in The City of
New York at the address set forth in the first paragraph of this Indenture as
its authorized agent (the “Authorized Agent”) upon which process may be served
in any legal action or proceeding against it with respect to its obligations
under this Indenture or the Securities of any series (including, without
limitation, any action based on or arising out of the United States federal
securities law), instituted in any federal or state court in the Borough of
Manhattan, The City of New York, by the Trustee or the Holder of any Security,
and the Company hereby expressly accepts the jurisdiction of any such court in
respect of any such action.  The Company
hereby irrevocably waives, to the fullest extent permitted by law, the defense
of an inconvenient forum to the maintenance of such suit, action or proceeding
and any objection to such suit, action or proceeding whether on the grounds of
venue, residence or domicile.  A final
judgment (that is a judgment obtained after exhaustion of all appeals and
expiration of all time to appeal) in any such suit, action or proceeding shall
be conclusive and may be enforced in other jurisdictions by suit on the
judgment or in any other manner provided by law.  The Vice President, Legal Services of the
Company hereby accepts such appointment, which shall be irrevocable unless and
until the appointment of a successor authorized agent for service of process,
and such successor’s acceptance of such appointment, shall have occurred, and
the Company and such Authorized Agents will take any and all actions, including
the filing of any and all documents and instruments, that may be necessary to
continue such appointment or appointments in full force and effect as
aforesaid.  Service of process upon an
Authorized Agent will be deemed, in every respect, effective service of process
upon the Company.  Notwithstanding the
foregoing, any action against the Company arising out of or based

 

15

 

on any Security or this
Indenture may also be instituted by the Holder of such Security in any court in
the Commonwealth of Australia, and the Company hereby expressly accepts the
jurisdiction of any such court in respect of any such action.

 

ARTICLE II

 

SECURITY FORMS

 

Section 2.1.           Forms Generally.  The Securities of each series and the
coupons, if any, to be attached thereto shall be in substantially such form as
shall be established by or pursuant to a Board Resolution or in one or more
indentures supplemental hereto, in each case with such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by
this Indenture, and may have such letters, numbers or other marks of
identification and such legends or endorsements placed thereon as may be
required to comply with any applicable law, rule or regulation or with the
rules or usage of any securities exchange or Depositary therefor or as
may, consistently herewith, be determined by the officers executing such
Securities and coupons, if any, as evidenced by their execution of the
Securities and coupons, if any.  If
temporary Securities of any series are issued as permitted by Section 3.4,
the form thereof also shall be established as provided in the preceding
sentence.  If the forms of Securities and
coupons, if any, of any series are established by, or by action taken pursuant
to, a Board Resolution, a copy of the Board Resolution together with an
appropriate record of any such action taken pursuant thereto, including a copy
of the approved form of Securities or coupons, if any, shall be certified by
the Secretary or an Assistant Secretary of the Company and delivered to the
Trustee at or prior to the delivery of the Company Order contemplated by Section 3.3
for the authentication and delivery of such Securities.

 

Unless
otherwise specified as contemplated by Section 3.1, Bearer Securities
shall have interest coupons attached.

 

The
definitive Securities and coupons, if any, shall be typeset, printed,
lithographed or engraved on steel engraved borders or may be produced in any
other manner or medium, all as determined by the officers executing such Securities
and coupons, if any, as evidenced by their execution of such Securities and
coupons, if any.

 

Section 2.2.           Form of Trustee’s Certificate
of Authentication.  Subject to Section 6.13,
the Trustee’s certificate of authentication shall be in substantially the
following form:

 

16

 

This
is one of the Securities of the series designated herein and issued under the
within-mentioned Indenture.

 

	
   

  	
   

  	
  The Chase Manhattan
  Bank, as Trustee

  
	
   

  	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  	
   

  	
  By  

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Authorized Signatory

  

 

Section 2.3.           Securities in Global Form.  If Securities of or within a series are
issuable in whole or in part in global form, any such Security may provide that
it shall represent the aggregate or specified amount of Outstanding Securities
from time to time endorsed thereon and may also provide that the aggregate
amount of Outstanding Securities represented thereby may from time to time be
reduced or increased to reflect exchanges. 
Any endorsement of a Security in global form to reflect the amount, or
any increase or decrease in the amount, or changes in the rights of Holders, of
Outstanding Securities represented thereby, shall be made in such manner and by
such Person or Persons as shall be specified therein or in the Company Order to
be delivered to the Trustee pursuant to Section 3.3 or 3.4.  Subject to the provisions of Section 3.3
and, if applicable, Section 3.4, the Trustee shall deliver and redeliver
any security in permanent global form in the manner and upon instructions given
by the Person or Persons specified therein or in the applicable Company
Order.  Any instructions by the Company
with respect to endorsement or delivery or redelivery of a Security in global
form shall be in writing but need not comply with Section 1.2 hereof and
need not be accompanied by an Opinion of Counsel.

 

The
provisions of the last paragraph of Section 3.3 shall apply to any
Security in global form if such Security was never issued and sold by the
Company and the Company delivers to the Trustee the Security in global form
together with written instructions (which need not comply with Section 1.2
and need not be accompanied by an Opinion of Counsel) with regard to the
reduction in the principal amount of Securities represented thereby, together
with the written statement contemplated by the last sentence of Section 3.3.

 

Notwithstanding
the provisions of Section 2.1 and 3.7, unless otherwise specified as
contemplated by Section 3.1, payment of principal of, premium, if any, and
interest on any Security in permanent global form shall be made to the
registered Holder thereof.

 

Section 2.4.           Form of Legend for Securities
in Global Form.  Unless otherwise
provided with respect to any Securities of any series pursuant to Section 3.1
or required by the Depositary, any Security of such series in global form
authenticated and delivered hereunder shall bear a legend in substantially the
following form:

 

THIS SECURITY IS IN
GLOBAL FORM WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO
AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE

 

17

 

OF A DEPOSITARY.  UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR
IN PART FOR SECURITIES IN CERTIFICATED FORM, THIS SECURITY MAY NOT BE
TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY
OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE
DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY
OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. 
EVERY SECURITY AUTHENTICATED AND DELIVERED UPON REGISTRATION OF, OR IN
EXCHANGE FOR, OR IN LIEU OF, THIS SECURITY WILL BE IN GLOBAL FORM, SUBJECT TO
THE FOREGOING.

 

ARTICLE III

 

THE SECURITIES

 

Section 3.1.           Amount Unlimited; Issuable in
Series.  (a)  The aggregate principal
amount of Securities which may be authenticated and delivered under this
Indenture is unlimited.  The Securities
may be issued from time to time in one or more series.

 

(b) 
The following matters shall be established with respect to each series of
Securities issued hereunder:  (i) by
a Board Resolution, (ii) by action taken pursuant to a Board Resolution
and (subject to Section 3.3) set forth, or determined in the manner
provided, in an Officers’ Certificate or (iii) in one or more indentures
supplemental hereto:

 

(1)          the title of the
Securities of the series (which title shall distinguish the Securities of the
series from all other series of Securities);

 

(2)          any limit upon the
aggregate principal amount of the Securities of the series which may be
authenticated and delivered under this Indenture (which limit shall not pertain
to Securities authenticated and delivered upon registration of transfer of, or
in exchange for, or in lieu of, other Securities of the series pursuant to Section 3.4,
3.5, 3.6, 8.6, or 10.7);

 

(3)          the date or dates on
which the principal of and premium, if any, on the Securities of the series is
payable or the method of determination and/or extension of such date or dates;
and the amount or amounts of such principal and premium, if any, payments or
the method of determination thereof;

 

(4)          the rate or rates at
which the Securities of the series shall bear interest, if any, or the method
of calculating and/or resetting such rate or rates of interest, the date or
dates from which such interest shall accrue or the method by which such date or
dates shall be determined, the Interest Payment Dates on which

 

18

 

any such interest
shall be payable and, with respect to Registered Securities, the Regular Record
Date, if any, for the interest payable on any Registered Security on any
Interest Payment Date;

 

(5)          the place or places
where the principal of, premium, if any, and interest, if any, on Securities of
the series shall be payable;

 

(6)          the period or periods
within which, the price or prices at which, the currency or currencies
(including currency units) in which, and the other terms and conditions upon
which, Securities of the series may be redeemed, in whole or in part, at the
option of the Company and, if other than as provided in Section 10.3, the
manner in which the particular Securities of such series (if less than all
Securities of such series are to be redeemed) are to be selected for
redemption;

 

(7)          the right, if any, to
extend the interest payment periods and any conditions to the payment or
resumption of payment of interest before, during or after any such extension;

 

(8)          the obligation, if
any, of the Company to redeem or purchase Securities of the series pursuant to
any sinking fund or analogous provisions or upon the happening of a specified
event or at the option of a Holder thereof and the period or periods within
which, the price or prices at which, and the other terms and conditions upon
which, Securities of the series shall be redeemed or purchased, in whole or in
part, pursuant to such obligation;

 

(9)          if other than
denominations of $1,000 and any integral multiple thereof, (if Registered
Securities), and if other than the denomination of $5,000 and any integral
multiple thereof, (if Bearer Securities), the denominations in which Securities
of the series shall be issuable;

 

(10)        if other than Dollars,
the currency or currencies (including currency unit or units) in which the
principal of, premium, if any, and interest, if any, or other payments, if any,
on the Securities of the series shall be payable, or in which the Securities of
the series shall be denominated, and the particular provisions applicable
thereto in accordance with, in addition to, or in lieu of the provisions of Section 3.11;

 

(11)        if the payments of
principal of, or premium, if any, or interest, if any, or other payments, if
any, on the Securities of the series are to be made, at the election of the
Company or a Holder, in a currency or currencies (including currency unit or
units) other than that in which such Securities are denominated or designated
to be payable, the currency or currencies (including currency unit or units) in
which such payments are to be made, the terms and conditions of such payments and
the manner in which the exchange rate with respect to such payments shall be
determined, and the particular provisions applicable thereto in accordance
with, in addition to, or in lieu of the provisions of Section 3.11;

 

19

 

(12)        if the amount of
payments of principal of, or premium, if any, interest, if any, or other
payments, if any, on the Securities of the series shall be determined with
reference to an index, formula or other method (which index, formula or method
may be based, without limitation, on the price of one or more commodities,
derivatives or securities; one or more securities, derivatives or commodities
exchange indices or other indices; a currency or currencies (including currency
unit or units) other than that in which the Securities of the series are
denominated or designated to be payable; or any other variable or the
relationship between any variables or combination of variables), the index,
formula or other method by which such amounts shall be determined;

 

(13)        if other than the
principal amount thereof, the portion of the principal amount of such
Securities of the series or other amount which shall be payable upon
declaration of acceleration thereof pursuant to Section 5.2 or the method
by which such portion or amount shall be determined;

 

(14)        if other than as
provided in Section 3.7, the Person to whom any interest on any Registered
Security of the series shall be payable and the manner in which, or the Person
to whom, any interest on any Bearer Securities of the series shall be payable;

 

(15)        if the principal
amount payable at the Maturity of any Securities of the series will not be
determinable as of one or more dates prior to Maturity, the amount which shall
be deemed to be the principal amount of such Securities as of any such date
hereunder or thereunder, or, if other than as provided in the definition of the
term “Outstanding”, which shall be deemed to be Outstanding as of any date
prior to the Stated Maturity (or, in any such case, the manner in which such
amount deemed to be the principal amount shall be determined);

 

(16)        provisions, if any,
granting special rights to the Holders of Securities of the series upon the
occurrence of such events as may be specified;

 

(17)        any deletions from,
modifications of or additions to the Events of Default set forth in Section 5.1
or covenants of the Company set forth in Article IX pertaining to the
Securities of the series;

 

(18)        whether Securities of
the series shall be issuable as Registered Securities or Bearer Securities
(with or without interest coupons), or both, and any restrictions applicable to
the offering, sale or delivery of Bearer Securities and, if other than as
provided in Section 3.5, the terms upon which Bearer Securities of a series
may be exchanged for Registered Securities of the same series and vice versa;

 

(19)        the date as of which
any Bearer Securities of the series and any temporary global Security
representing Outstanding Securities of the series shall be dated if other than
the date of original issuance of the first Security of the series to be issued;

 

20

 

(20)        the forms of the
Securities and coupons, if any, of the series;

 

(21)        the exclusion of
Sections 4.3, 4.4, 4.5, 4.6 or any of them, with respect to the Securities of
or within the series; or the applicability, if any, to the Securities of or
within the series of such means of defeasance or covenant defeasance other than
those provided in Sections 4.4 and 4.5 as may be specified for the Securities
and coupons, if any, of such series, and whether, for the purpose of any
defeasance or covenant defeasance pursuant to Section 4.4 or 4.5 or
otherwise, the term “Government Obligations” shall include obligations referred
to in the definition of such term which are not obligations of the United
States or an agency or instrumentality of the United States;

 

(22)        if other than the
Trustee, the identity of the Registrar and any Paying Agent;

 

(23)        any terms which may be
related to warrants issued by the Company in connection with, or for the
purchase of, Securities of such series, including whether and under what
circumstances the Securities of any series may be used toward the exercise
price of any such warrants;

 

(24)        the designation of the
initial Exchange Rate Agent, if any;

 

(25)        if the Securities of
the series shall be issued in whole or in part in global form, (i) the
Depositary for such global Securities, (ii) the form of any legend in
addition to or in lieu of that in Section 2.4 which shall be borne by such
global Securities, (iii) whether beneficial owners of interests in any
Securities of the series in global form may exchange such interests for
certificated Securities of such series and of like tenor of any authorized form
and denomination, and (iv) if other than as provided in Section 3.5,
the circumstances under which any such exchange may occur;

 

(26)        if the Securities of
the series will be governed by, and the extent to which such Securities will be
governed by, any law other than the laws of the state of New York; and

 

(27)        any other terms of the
series, including any terms which may be required by or advisable under the
laws or regulations of the United States or advisable (as determined by the
Company) in connection with the marketing of Securities of the series.

 

(c) 
The terms applicable to the Securities of any one series and coupons, if any,
appertaining to any Bearer Securities of such series need not be identical but
may vary as may be provided (i) by a Board Resolution, (ii) by action
taken pursuant to a Board Resolution and (subject to Section 3.3) set
forth, or determined in the manner provided, in the related Officers’
Certificate or (iii) in an indenture supplemental hereto.  All Securities of any one series need not be
issued at the same time and, unless otherwise

 

21

 

provided, a series may be
reopened, without the consent of the Holders, for issuances of additional
Securities of such series.

 

(d) 
If any of the terms of the Securities of any series are established by action
taken pursuant to a Board Resolution, a copy of such Board Resolution shall be
certified by the Secretary or an Assistant Secretary of the Company and
delivered to the Trustee at or prior to the delivery of the Officers’
Certificate setting forth, or providing the manner for determining, the terms
of the Securities of such series, and an appropriate record of any action taken
pursuant thereto in connection with the issuance of any Securities of such
series shall be delivered to the Trustee prior to the authentication and
delivery thereof.

 

Section 3.2.           Denominations.  Unless otherwise provided as contemplated by Section 3.1,
any Registered Securities of a series shall be issuable in denominations of
$1,000 and any integral multiple thereof and any Bearer Securities of a series
shall be issuable in the denomination of $5,000 and any integral multiple
thereof.

 

Section 3.3.           Execution, Authentication,
Delivery and Dating.  Securities
shall be executed on behalf of the Company by an Authorized Officer. The
signature of such officer on the Securities may be manual or facsimile.  The coupons, if any, of Bearer Securities
shall bear the facsimile signature of an Authorized Officer.

 

Securities
and coupons bearing the manual or facsimile signatures of individuals who were
at any time the proper officers of the Company shall bind the Company,
notwithstanding that such individuals or any of them have ceased to be officers
or to hold such offices prior to the authentication and delivery of such
Securities or were not officers or did not hold such offices at the date of
such Securities.

 

At any
time and from time to time, the Company may deliver Securities, together with
any coupons appertaining thereto, of any series executed by the Company to the
Trustee for authentication, together with a Company Order for the
authentication and delivery of such Securities, and the Trustee in accordance
with the Company Order shall authenticate and deliver such Securities; provided,
however, that in the case of Securities offered in a Periodic Offering, the
Trustee shall authenticate and deliver such Securities from time to time in
accordance with such other procedures (including, without limitation, the
receipt by the Trustee of oral or electronic instructions from the Company or
its duly authorized agents, promptly confirmed in writing) acceptable to the
Trustee as may be specified by or pursuant to a Company Order delivered to the
Trustee prior to the time of the first authentication of Securities of such
series.

 

If the
form or terms of the Securities of a series have been established by or
pursuant to one or more Board Resolutions as permitted by Sections 2.1 and 3.1,
in authenticating such Securities and accepting the additional responsibilities
under this Indenture in relation to such Securities, the Trustee shall be
entitled to receive, and (subject to Section 315(a) through (d) of
the Trust Indenture Act) shall be fully protected in relying upon, an Opinion
of Counsel substantially to the effect that,

 

22

 

(1)    if the forms of such Securities and any
coupons have been established by or pursuant to a Board Resolution as permitted
by Section 2.1, such forms have been established in conformity with the
provisions of this Indenture;

 

(2)    if the terms of such Securities and any
coupons have been established by or pursuant to a Board Resolution as permitted
by Section 3.1, such terms have been, or in the case of Securities of a series
offered in a Periodic Offering, will be, established in conformity with the
provisions of this Indenture, subject in the case of Securities offered in a
Periodic Offering, to any conditions specified in such Opinion of Counsel, and
all conditions precedent to the authentication and delivery of the Securities
and coupons have been complied with; and

 

(3)    such Securities together with any coupons
appertaining thereto, when authenticated and delivered by the Trustee and
issued by the Company in the manner and subject to any conditions specified in
such Opinion of Counsel, will constitute legal, valid and binding obligations
of the Company, enforceable in accordance with their terms, subject to
bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and
other similar laws of general applicability relating to or affecting the
enforcement of creditors’ rights and to general equity principles and except
further as may be limited by or subject to certain exceptions and
qualifications specified in such Opinion of Counsel, including in the case of
any Securities denominated in a Foreign Currency, (A) requirements that a
claim with respect to any Securities denominated other than in Dollars (or a
foreign currency or foreign currency unit judgment in respect of such claim) be
converted into Dollars at a rate of exchange prevailing on a date determined
pursuant to applicable law or (B) governmental authority to limit, delay
or prohibit the making of payments in foreign currency or currency units or
payments outside the United States.

 

Notwithstanding
that such form or terms have been so established, the Trustee shall have the
right to decline to authenticate such Securities if, in the written opinion of
counsel to the Trustee (which counsel may be an employee of the Trustee)
reasonably acceptable to the Company, the issue of such Securities pursuant to
this Indenture will adversely affect the Trustee’s own rights, duties or
immunities under this Indenture or otherwise in a manner which is not
reasonably acceptable to the Trustee. 
Notwithstanding the generality of the foregoing, the Trustee will not be
required to authenticate Securities denominated in a Foreign Currency if the
Trustee reasonably believes that it would be unable to perform its duties with respect
to such Securities.

 

Notwithstanding
the provisions of Section 3.1 and of the two preceding paragraphs, if all
of the Securities of any series are not to be issued at one time, it shall not
be necessary to deliver the Officers’ Certificate otherwise required pursuant
to Section 3.1 or the Company Order and Opinion of Counsel otherwise
required pursuant to the two preceding paragraphs in connection with the
authentication of each Security of such series if such documents, with
appropriate modifications to cover such future issuances, are delivered at or
prior to the authentication upon original issuance of the first Security of
such series to be issued.

 

23

 

With
respect to Securities of a series offered in a Periodic Offering, the Trustee
may rely, as to the authorization by the Company of any of such Securities, the
form and terms thereof and the legality, validity, binding effect and
enforceability thereof, upon the Opinion of Counsel and the other documents
delivered pursuant to Sections 2.1 and 3.1 and this Section, as applicable, in
connection with the first authentication of Securities of such series.

 

If the
Company shall establish pursuant to Section 3.1 that the Securities of a
series are to be issued in whole or in part in global form, then, unless
otherwise provided with respect to such Securities pursuant to Section 3.1,
the Company shall execute and the Trustee shall, in accordance with this Section and
the Company Order with respect to such series, authenticate and deliver one or
more Securities in global form that (i) shall represent and shall be
denominated in an amount equal to the aggregate principal amount of the
Outstanding Securities of such series to be represented by such Security or
Securities in global form, (ii) shall be registered, if a Registered
Security, in the name of the Depositary for such Security or Securities in
global form or the nominee of such Depositary, (iii) shall be delivered by
the Trustee to such Depositary or pursuant to such Depositary’s instruction and
(iv) shall bear the legend set forth in Section 2.4.

 

Unless
otherwise established pursuant to Section 3.1, each Depositary designated
pursuant to Section 3.1 for a Registered Security in global form must, at
the time of its designation and at all times while it serves as Depositary, be
a clearing agency registered under the Securities Exchange Act of 1934 and any
other applicable statute or regulation. 
Neither the Company nor the Trustee shall have any responsibility to
determine if the Depositary is so registered.

 

Each
Depositary shall enter into an agreement with the Trustee governing the
respective duties and rights of such Depositary and the Trustee with regard to
Securities issued in global form.

 

Each
Registered Security shall be dated the date of its authentication and each
Bearer Security shall be dated as of the date specified as contemplated by Section 3.1.

 

No
Security or coupon appertaining thereto shall be entitled to any benefits under
this Indenture or be valid or obligatory for any purpose until authenticated by
the manual signature of one of the authorized signatories of the Trustee or an
Authenticating Agent and no coupon shall be valid until the Security to which
it appertains has been so authenticated. 
Such signature upon any Security shall be conclusive evidence, and the
only evidence, that such Security has been duly authenticated and delivered
under this Indenture and is entitled to the benefits of this Indenture.  Except as permitted by Section 3.6 or
3.7, the Trustee shall not authenticate and deliver any Bearer Security unless
all appurtenant coupons for interest then matured have been detached and
cancelled.

 

Notwithstanding
the foregoing, if any Security shall have been authenticated and delivered
hereunder but never issued and sold by the Company, and the Company shall
deliver such Security to the Trustee for cancellation as provided in Section 3.9
together 

 

24

 

with a written statement (which need not comply with Section 1.2
and need not be accompanied by an Opinion of Counsel) stating that such
Security has never been issued and sold by the Company, for all purposes of
this Indenture such Security shall be deemed never to have been authenticated
and delivered hereunder and shall not be entitled to the benefits of this
Indenture.

 

Section 3.4.           Temporary Securities.  Pending the preparation of definitive
Securities of any series, the Company may execute and, upon Company Order, the
Trustee shall authenticate and deliver temporary Securities of such series
which are printed, lithographed, typewritten, mimeographed or otherwise
produced, in any authorized denomination, substantially of the tenor and form,
with or without coupons, of the definitive Securities in lieu of which they are
issued and with such appropriate insertions, omissions, substitutions and other
variations as the officers executing such Securities may determine, as
conclusively evidenced by their execution of such Securities and coupons, if
any.  In the case of Securities of any
series, all or a portion of such temporary Securities may be in global form.

 

Except
in the case of temporary Securities in global form, each of which shall be
exchanged in accordance with the provisions thereof, if temporary Securities of
any series are issued, the Company will cause definitive Securities of such
series to be prepared without unreasonable delay.  After preparation of definitive Securities of
such series, the temporary Securities of such series shall be exchangeable for
definitive Securities of such series upon surrender of the temporary Securities
of such series at the office or agency of the Company pursuant to Section 9.2
in a Place of Payment for such series, without charge to the Holder.  Upon surrender for cancellation of any one or
more temporary Securities of any series (accompanied by any unmatured coupons
appertaining thereto), the Company shall execute and the Trustee shall authenticate
and deliver in exchange therefor a like principal amount of definitive
Securities of the same series of authorized denominations and of like tenor;
provided, however, that no definitive Bearer Security shall be delivered in
exchange for a temporary Registered Security; and provided further that no
definitive Bearer Security shall be delivered in exchange for a temporary
Bearer Security unless the Trustee shall have received from the person entitled
to receive the definitive Bearer Security a certificate substantially in the
form approved in or pursuant to the Board Resolutions relating thereto and such
delivery shall occur only outside the United States.  Until so exchanged, the temporary Securities
of any series shall in all respects be entitled to the same benefits under this
Indenture as definitive Securities of such series except as otherwise specified
as contemplated by Section 3.1.

 

Section 3.5.           Registration, Transfer and
Exchange.  The Company shall cause to
be kept at the Corporate Trust Office of the Trustee or in any office or agency
to be maintained by the Company in accordance with Section 9.2 in a Place
of Payment or in such other place or medium as may be specified pursuant to Section 3.1
a register (the “Register”) in which, subject to such reasonable regulations as
it may prescribe, the Company shall provide for the registration of Registered
Securities and the registration of transfers of Registered Securities.  The Register shall be in written form or any
other form capable of being converted into written form within a reasonable
time.  Unless

 

25

 

otherwise provided as
contemplated by Section 3.1, the Trustee is hereby appointed “Registrar”
for the purpose of registering Registered Securities and transfers of
Registered Securities as herein provided. 
The Company may have one or more co-Registrars.

 

Upon
surrender for registration of transfer of any Registered Security of any series
at the office or agency maintained pursuant to Section 9.2 in a Place of
Payment for that series, the Company shall execute, and the Trustee shall
authenticate and deliver, in the name of the designated transferee or
transferees, one or more new Registered Securities of the same series, of any
authorized denominations and of a like aggregate principal amount.

 

Unless
otherwise provided as contemplated by Section 3.1, Bearer Securities
(except for any temporary global Bearer Securities) or any coupons appertaining
thereto (except for coupons attached to any temporary global Bearer Security)
shall be transferable by delivery.

 

Unless
otherwise provided as contemplated by Section 3.1, at the option of the
Holder, Registered Securities of any series (except a Registered Security in
global form) may be exchanged for other Registered Securities of the same
series, of any authorized denominations and of a like aggregate principal
amount containing identical terms and provisions, upon surrender of the
Registered Securities to be exchanged at such office or agency.  Whenever any Registered Securities are so
surrendered for exchange, the Company shall execute, and the Trustee shall
authenticate and deliver, the Registered Securities which the Holder making the
exchange is entitled to receive.  Unless
otherwise specified as contemplated by Section 3.1, Bearer Securities may
not be issued in exchange for Registered Securities.

 

Unless
otherwise specified as contemplated by Section 3.1, at the option of the
Holder, Bearer Securities of such series may be exchanged for Registered Securities
(if the Securities of such series are issuable in registered form) or Bearer
Securities (if Bearer Securities of such series are issuable in more than one
denomination and such exchanges are permitted by such series) of the same
series, of any authorized denominations and of like tenor and aggregate
principal amount, upon surrender of the Bearer Securities to be exchanged at
any such office or agency, with all unmatured coupons and all matured coupons
in default thereto appertaining.  If the
Holder of a Bearer Security is unable to produce any such unmatured coupon or
coupons or matured coupon or coupons in default, such exchange may be effected
if the Bearer Securities are accompanied by payment in funds acceptable to the
Company and the Trustee in an amount equal to the face amount of such missing
coupon or coupons, or the surrender of such missing coupon or coupons may be
waived by the Company and the Trustee if there be furnished to them such
security or indemnity as they may require to save each of them and any Paying
Agent harmless.  If thereafter the Holder
of such Security shall surrender to any Paying Agent any such missing coupon in
respect of which such a payment shall have been made, such Holder shall be
entitled to receive the amount of such payment; provided, however, that, except
as otherwise provided in Section 9.2, interest represented

 

26

 

by coupons shall be payable only upon presentation and
surrender of those coupons at an office or agency located outside the United
States.  Notwithstanding the foregoing,
in case any Bearer Security of any series is surrendered at any such office or
agency in exchange for a Registered Security of the same series after the close
of business at such office or agency on (i) any Regular Record Date and
before the opening of business at such office or agency on the relevant
Interest Payment Date or (ii) any Special Record Date and before the
opening of business at such office or agency on the related date for payment of
Defaulted Interest, such Bearer Security shall be surrendered without the
coupon relating to such Interest Payment Date or proposed date of payment, as
the case may be (or, if such coupon is so surrendered with such Bearer
Security, such coupon shall be returned to the person so surrendering the
Bearer Security), and interest or Defaulted Interest, as the case may be, will
not be payable on such Interest Payment Date or proposed date for payment, as
the case may be, in respect of the Registered Security issued in exchange for
such Bearer Security, but will be payable only to the Holder of such coupon,
when due in accordance with the provisions of this Indenture.

 

Unless
otherwise specified pursuant to Section 3.1 with respect to a series of
Securities or as otherwise provided below in this Section 3.5, owners of
beneficial interests in Securities of such series represented by a Security
issued in global form will not be entitled to have Securities of such series
registered in their names, will not receive or be entitled to receive physical
delivery of Securities of such series in certificated form and will not be
considered the Holders or owners thereof for any purposes hereunder.  Notwithstanding any other provision of this
Section, unless and until it is exchanged in whole or in part for Securities in
certificated form in the circumstances described below, a Security in global
form representing all or a portion of the Securities of a series may not be
transferred or exchanged except as a whole by the Depositary for such series to
a nominee of such Depositary or by a nominee of such Depositary to such
Depositary or another nominee of such Depositary or by such Depositary or any
such nominee to a successor Depositary for such series or a nominee of such
successor Depositary.

 

If at
any time the Depositary for the Securities of a series notifies the Company
that it is unwilling or unable to continue as Depositary for the Securities of
such series or if at any time the Depositary for the Securities of such series
notifies the Company that it shall no longer be eligible under Section 3.3,
the Company shall appoint a successor Depositary with respect to the Securities
of such series.  Unless otherwise
provided as contemplated by Section 3.1, if a successor Depositary for the
Securities of such series is not appointed by the Company within 90 days after
the Company receives such notice or becomes aware of such ineligibility, the
Company’s election pursuant to Section 3.1(b) (25) shall no longer be
effective with respect to the Securities of such series and the Company shall
execute, and the Trustee, upon receipt of a Company Order for the
authentication and delivery of certificated Securities of such series of like
tenor, shall authenticate and deliver, Securities of such series of like tenor
in certificated form, in authorized denominations and in an aggregate principal
amount equal to the principal amount of the Security or Securities of such
series of like tenor in global form in exchange for such Security or Securities
in global form.

 

27

 

The
Company may at any time in its sole discretion determine that Securities of a
series issued in global form shall no longer be represented by such a Security
or Securities in global form.  In such
event the Company shall execute, and the Trustee, upon receipt of a Company
Order for the authentication and delivery of certificated Securities of such
series of like tenor, shall authenticate and deliver, Securities of such series
of like tenor in certificated form, in authorized denominations and in an
aggregate principal amount equal to the principal amount of the Security or
Securities of such series of like tenor in global form in exchange for such
Security or Securities in global form.

 

If
specified by the Company pursuant to Section 3.1 with respect to a series
of Securities, the Depositary for such series may surrender a Security in
global form of such series in exchange in whole or in part for Securities of
such series in certificated form on such terms as are acceptable to the Company
and such Depositary.  Thereupon, the
Company shall execute, and the Trustee shall authenticate and deliver, without
service charge,

 

(i)              to each Person specified by such
Depositary a new certificated Security or Securities of the same series of like
tenor, of any authorized denomination as requested by such Person in aggregate
principal amount equal to and in exchange for such Person’s beneficial interest
in the Security in global form; and

 

(ii)             to such Depositary a new Security
in global form of like tenor in a denomination equal to the difference, if any,
between the principal amount of the surrendered Security in global form and the
aggregate principal amount of certificated Securities delivered to Holders
thereof.

 

Upon
the exchange of a Security in global form for Securities in certificated form,
such Security in global form shall be cancelled by the Trustee.  Unless expressly provided with respect to the
Securities of any series that such Security may be exchanged for Bearer
Securities, Securities in certificated form issued in exchange for a Security
in global form pursuant to this Section shall be registered in such names
and in such authorized denominations as the Depositary for such Security in
global form shall instruct the Trustee. 
The Trustee shall deliver such Securities to the Persons in whose names
such Securities are so registered.

 

Whenever
any Securities are surrendered for exchange, the Company shall execute, and the
Trustee shall authenticate and deliver, the Securities which the Holder making
the exchange is entitled to receive.

 

All
Securities issued upon any registration of transfer or upon any exchange of
Securities shall be the valid obligations of the Company, evidencing the same
debt, and entitled to the same benefits under this Indenture, as the Securities
surrendered upon such registration of transfer or exchange.

 

28

 

Every
Registered Security presented or surrendered for registration of transfer or
for exchange shall (if so required by the Company, the Registrar or the
Trustee) be duly endorsed, or be accompanied by a written instrument of
transfer in form satisfactory to the Company, the Registrar and the Trustee duly
executed by the Holder thereof or his attorney duly authorized in writing.

 

Unless
otherwise provided as contemplated by Section 3.1, no service charge shall
be made for any registration of transfer or for any exchange of Securities, but
the Company may require payment of a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any registration or
transfer or exchange of Securities, other than exchanges pursuant to Section 3.4
or 10.7 not involving any transfer.

 

Unless
otherwise provided as contemplated by Section 3.1, the Company shall not
be required (i) to issue, register the transfer of, or exchange any
Securities for a period beginning at the opening of business l5 days before any
selection for redemption of Securities of like tenor and of the series of which
such Security is a part and ending at the close of business on the earliest
date on which the relevant notice of redemption is deemed to have been given to
all Holders of Securities of like tenor and of such series to be redeemed, (ii) to
register the transfer of or exchange any Registered Security so selected for
redemption, in whole or in part, except the unredeemed portion of any Security
being redeemed in part or (iii) to exchange any Bearer Security so
selected for redemption, except that such a Bearer Security may be exchanged
for a Registered Security of that series and like tenor; provided that such
Registered Security shall be simultaneously surrendered for redemption.

 

The
foregoing provisions of this Section 3.5 relating to registration,
transfer and exchange may be modified, supplemented or superseded with respect
to any series of Securities by a Board Resolution or in one or more indentures
supplemental hereto.

 

Section 3.6.           Replacement Securities.  If a mutilated Security or a Security with a
mutilated coupon appertaining to it is surrendered to the Trustee, together
with, in proper cases, such security or indemnity as may be required by the
Company or the Trustee to save each of them harmless, the Company shall execute
and the Trustee shall authenticate and deliver a replacement Registered
Security, if such surrendered Security was a Registered Security, or a
replacement Bearer Security with coupons corresponding to the coupons
appertaining to the surrendered Security, if such surrendered Security was a
Bearer Security, of the same series and date of maturity, if the Trustee’s
requirements are met.

 

If
there shall be delivered to the Company and the Trustee (i) evidence to
their satisfaction of the destruction, loss or theft of any Security or
Security with a destroyed, lost or stolen coupon and (ii) such security or
indemnity as may be required by them to save each of them and any agent of
either of them harmless, then, in the absence of notice to the Company or the
Trustee that such Security or coupon has been acquired by a bona fide
purchaser, the Company shall execute and the Trustee shall authenticate and
deliver

 

29

 

in lieu of any such destroyed, lost or stolen Security
or in exchange for the Security to which a destroyed, lost or stolen coupon
appertains (with all appurtenant coupons not destroyed, lost or stolen), a
replacement Registered Security, if such Holder’s claim appertains to a Registered
Security, or a replacement Bearer Security with coupons corresponding to the
coupons appertaining to the destroyed, lost or stolen Bearer Security or the
Bearer Security to which such lost, destroyed or stolen coupon appertains, if
such Holder’s claim appertains to a Bearer Security, of the same series and
principal amount, containing identical terms and provisions and bearing a
number not contemporaneously outstanding with coupons corresponding to the
coupons, if any, appertaining to the destroyed, lost or stolen Security.

 

In
case any such mutilated, destroyed, lost or stolen Security or coupon has
become or is about to become due and payable, the Company in its discretion
may, instead of issuing a new Security or coupon, pay such Security or coupon;
provided, however, that payment of principal of and any premium or interest on
Bearer Securities shall, except as otherwise provided in Section 9.2, be
payable only at an office or agency located outside the United States and,
unless otherwise specified as contemplated by Section 3.1, any interest on
Bearer Securities shall be payable only upon presentation and surrender of the
coupons appertaining thereto.

 

Upon
the issuance of any new Security under this Section, the Company may require
the payment of a sum sufficient to cover any tax or other governmental charge
that may be imposed in relation thereto and any other expenses (including the
fees and expenses of the Trustee, its agents and counsel) connected therewith.

 

Every
new Security of any series with its coupons, if any, issued pursuant to this Section in
lieu of any destroyed, lost or stolen Security, or in exchange for a Security
to which a destroyed, lost or stolen coupon appertains, shall constitute an
original additional contractual obligation of the Company, whether or not the
destroyed, lost or stolen Security and its coupon, if any, or the destroyed,
lost or stolen coupon, shall be at any time enforceable by anyone, and shall be
entitled to all the benefits of this Indenture equally and proportionately with
any and all other Securities of that series and their coupons, if any, duly
issued hereunder.

 

The
provisions of this Section are exclusive and shall preclude (to the extent
lawful) all other rights and remedies with respect to the replacement or
payment of mutilated, destroyed, lost or stolen Securities or coupons.

 

Section 3.7.           Payment of Interest; Interest
Rights Preserved.  (a)  Unless
otherwise provided as contemplated by Section 3.1, interest, if any, on
any Registered Security which is payable, and is punctually paid or duly
provided for, on any Interest Payment Date shall be paid to the Person in whose
name that Security (or one or more Predecessor Securities) is registered at the
close of business on the Regular Record Date for such interest at the office or
agency maintained for such purpose pursuant to Section 9.2; provided,
however, that at the option of the Company, interest on any series of
Registered Securities that bear interest may be paid (i) by check mailed
to the address of

 

30

 

the Person entitled
thereto as it shall appear on the Register of Holders of Securities of such
series or (ii) to a Holder of $1,000,000 or more in aggregate principal
amount of Securities by wire transfer to an account maintained by the Person
entitled thereto as specified in the Register of Holders of Securities of such
series.

 

Unless
otherwise provided as contemplated by Section 3.1, (A) (i) interest,
if any, on Bearer Securities shall be paid only against presentation and
surrender of the coupons for such interest installments as are evidenced
thereby as they mature and (ii) principal, original issue discount, if
any, and premium, if any, on Bearer Securities shall be paid only against
presentation and surrender of such Securities; in either case at the office of
a Paying Agent located outside the United States, unless the Company shall have
otherwise instructed the Trustee in writing provided that any such instruction
for payment in the United States does not cause any Bearer Security to be
treated as a “registration-required obligation” under United States laws and
regulations, (B) the interest, if any, on any temporary Bearer Security
shall be paid, as to any installment of interest evidenced by a coupon attached
thereto only upon presentation and surrender of such coupon as provided in
clause (A) above and, as to other installments of interest, only upon
presentation of such Security for notation thereon of the payment of such
interest and (C) if at the time a payment of principal of premium, if any,
or interest, if any, on a Bearer Security or coupon shall become due, the
payment of the full amount so payable at the office or offices of all the
Paying Agents outside the United States is illegal or effectively precluded
because of the imposition of exchange controls or other similar restrictions on
the payment of such amount in Dollars, then the Company may instruct the
Trustee to make such payment at a Paying Agent located in the United States,
provided that provision for such payment in the United States would not cause
such Bearer Security to be treated as a “registration-required obligation”
under United States laws and regulations.

 

(b) 
Unless otherwise provided as contemplated by Section 3.1, any interest on
any Registered Security of any series which is payable, but is not punctually
paid or duly provided for, on any interest payment date (herein called “Defaulted
Interest”) shall forthwith cease to be payable to the Holder on the relevant
Regular Record Date by virtue of having been such Holder, and such Defaulted
Interest may be paid by the Company, at its election in each case, as provided
in clause (1) or (2) below:

 

(1)  The
Company may elect to make payment of any Defaulted Interest to the Persons in
whose names such Registered Securities of such series (or their respective
Predecessor Securities) are registered at the close of business on a Special
Record Date for the payment of such Defaulted Interest, which shall be fixed in
the following manner.  The Company shall
deposit with the Trustee 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 deposited to be held in trust for the
benefit of the Persons entitled to such Defaulted Interest as in this clause (1) provided.  Thereupon the Trustee shall fix a Special
Record Date for the payment of such Defaulted Interest which shall be not more
than 15 days and not less than 10

 

31

 

days prior to the date of
the proposed payment and not less than 10 days after the receipt by the Trustee
of the notice of the proposed payment. 
The Trustee shall promptly notify the Company of such Special Record
Date and, in the name and at the expense of the Company, shall cause notice of
the proposed payment of such Defaulted Interest and the Special Record Date
therefor to be mailed, first-class postage prepaid, to each Holder of such
Registered Securities of such series at his address as it appears in the
Register, not less than 10 days prior to such Special Record Date.  Notice of the proposed payment of such
Defaulted Interest and the Special Record Date therefor having been so mailed,
such Defaulted Interest shall be paid to the Persons in whose names such
Registered Securities of such series (or their respective Predecessor
Securities) are registered at the close of business on such Special Record Date
and shall no longer be payable pursuant to the following clause (2).

 

(2)  The
Company may make payment of any Defaulted Interest to the Persons in whose
names such Registered Securities of such series (or their respective
Predecessor Securities) are registered at the close of business on a specified
date in any other lawful manner not inconsistent with the requirements of any
securities exchange on which such Registered Securities may be listed, and upon
such notice as may be required by such exchange, if, after notice given by the
Company to the Trustee of the proposed payment pursuant to this clause (2),
such manner of payment shall be deemed practicable by the Trustee.

 

(c) 
Subject to the foregoing provisions of this Section and Section 3.5,
each Security delivered under this Indenture upon registration of transfer of
or in exchange for or in lieu of any other Security shall carry the rights to
interest accrued and unpaid, and to accrue, which were carried by such other
Security.

 

Section 3.8.           Persons Deemed Owners.  Prior to due presentment of any Registered
Security for registration of transfer, the Company, the Trustee and any agent
of the Company or the Trustee may treat the Person in whose name such
Registered Security is registered as the owner of such Registered Security for
the purpose of receiving payment of principal of, and premium, if any, and
(subject to Section 3.7) interest and any other payments on such
Registered Security and for all other purposes whatsoever, whether or not such
Registered Security shall be overdue, and neither the Company, the Trustee nor
any agent of the Company or the Trustee shall be affected by notice to the
contrary.

 

The
Company, the Trustee and any agent of the Company or the Trustee may treat the
bearer of any Bearer Security and the bearer of any coupon as the absolute
owner of such Bearer Security or coupon for the purpose of receiving payment
thereof or on account thereof and for all other purposes whatsoever, whether or
not such Bearer Security or coupon be overdue, and neither the Company, the
Trustee nor any agent of the Company or the Trustee shall be affected by notice
to the contrary.

 

32

 

None
of the Company, the Trustee or any agent of the Company or the Trustee shall
have any responsibility or liability for any aspect of the records relating to
or payments made on account of beneficial ownership interests of a Security in
global form, or for maintaining, supervising or reviewing any records relating
to such beneficial ownership interests. 
Notwithstanding the foregoing, with respect to any Security in global
form, nothing herein shall prevent the Company or the Trustee, or any agent of
the Company or the Trustee, from giving effect to any written certification,
proxy or other authorization furnished by any Depositary (or its nominee), as a
Holder, with respect to such Security in global form or impair, as between such
Depositary and owners of beneficial interests in such Security in global form,
the operation of customary practices governing the exercise of the rights of
such Depositary (or its nominee) as Holder of such Security in global form.

 

Section 3.9.           Cancellation.  The Company at any time may deliver
Securities and coupons to the Trustee for cancellation.  The Registrar and any Paying Agent shall
forward to the Trustee any Securities and coupons surrendered to them for
replacement, for registration of transfer, or for exchange or payment.  The Trustee shall cancel all Securities and coupons
surrendered for replacement, for registration of transfer, or for exchange,
payment, redemption or cancellation and may destroy cancelled Securities and
coupons and, if so destroyed, shall issue a certificate of destruction to the
Company.  The Company may not issue new
Securities to replace Securities that it has paid or delivered to the Trustee
for cancellation.

 

Section 3.10.         Computation of Interest.  Except as otherwise specified as contemplated
by Section 3.1, interest on the Securities of each series shall be
computed on the basis of a 360-day year of twelve 30-day months.

 

Section 3.11.         Currency and Manner of Payment in
Respect of Securities.  (a) 
Unless otherwise specified with respect to any Securities pursuant to Section 3.1,
with respect to Registered Securities of any series not permitting the election
provided for in paragraph (b) below or the Holders of which have not made
the election provided for in paragraph (b) below, and with respect to
Bearer Securities of any series, except as provided in paragraph (d) below,
payment of the principal of, and premium, if any, interest, if any, and other
amounts, if any, on any Registered or Bearer Security of such series will be
made in the currency or currencies or currency unit or units in which such
Registered Security or Bearer Security, as the case may be, is payable.  The provisions of this Section 3.11,
including without limitation any defined terms specified herein, may be
modified or superseded in whole or in part pursuant to Section 3.1 with
respect to any Securities.

 

(b) 
It may be provided pursuant to Section 3.1, with respect to Registered
Securities of any series, that Holders shall have the option, subject to
paragraphs (d) and (e) below, to receive payments of principal of, or
premium, if any, or interest, if any, on such Registered Securities in any of
the currencies or currency units which may be designated for such election by
delivering to the Trustee (or the applicable Paying Agent) a written election
with signature guarantees and in the applicable form established

 

33

 

pursuant to Section 3.1,
not later than the close of business on the Election Date immediately preceding
the applicable payment date.  If a Holder
so elects to receive such payments in any such currency or currency unit, such
election will remain in effect for such Holder or any transferee of such Holder
until changed by such Holder or such transferee by written notice to the
Trustee (or any applicable Paying Agent) for such series of Registered
Securities (but any such change must be made not later than the close of
business on the Election Date immediately preceding the next payment date to be
effective for the payment to be made on such payment date, and no such change
of election may be made with respect to payments to be made on any Registered
Security of such series with respect to which an Event of Default has occurred
or with respect to which the Company has deposited funds pursuant to Article IV
or with respect to which a notice of redemption has been given by or on behalf
of the Company).  Any Holder of any such
Registered Security who shall not have delivered any such election to the
Trustee (or any applicable Paying Agent) not later than the close of business on
the applicable Election Date will be paid the amount due on the applicable
payment date in the relevant currency or currency unit as provided in Section 3.11(a).  The Trustee (or the applicable Paying Agent)
shall notify the Company and the Exchange Rate Agent as soon as practicable
after the Election Date of the aggregate principal amount of Registered
Securities for which Holders have made such written election.

 

(c) 
If the election referred to in paragraph (b) above has been provided for
with respect to any Registered Securities of a series pursuant to Section 3.1,
then, unless otherwise specified pursuant to Section 3.1 with respect to
any such Registered Securities, not later than the fourth Business Day after
the Election Date for each payment date for such Registered Securities, the
Exchange Rate Agent will deliver to the Company a written notice specifying, in
the currency or currencies or currency unit or units in which Registered
Securities of such series are payable, the respective aggregate amounts of
principal of, premium, if any, and interest, if any, on such Registered
Securities to be paid on such payment date, and specifying the amounts in such
currency or currencies or currency unit or units so payable in respect of such
Registered Securities as to which the Holders of Registered Securities
denominated in any currency or currencies or currency unit or units shall have
elected to be paid in another currency or currency unit as provided in
paragraph (b) above.  If the
election referred to in paragraph (b) above has been provided for with
respect to any Registered Securities of a series pursuant to Section 3.1,
and if at least one Holder has made such election, then, unless otherwise
specified pursuant to Section 3.1, on the second Business Day preceding
such payment date the Company will deliver to the Trustee (or the applicable
Paying Agent) an Exchange Rate Officers’ Certificate in respect of the Dollar,
Foreign Currency or Currencies or other currency unit payments to be made on
such payment date.  Unless otherwise
specified pursuant to Section 3.1, the Dollar, Foreign Currency or
Currencies or other currency unit amount receivable by Holders of Registered
Securities who have elected payment in a currency or currency unit as provided
in paragraph (b) above shall be determined by the Company on the basis of
the applicable Market Exchange Rate in effect on the second Business Day (the “Valuation
Date”) immediately preceding each

 

34

 

payment date, and such
determination shall be conclusive and binding for all purposes, absent manifest
error.

 

(d) 
If a Conversion Event occurs with respect to a Foreign Currency or any other
currency unit in which any of the Securities are denominated or payable otherwise
than pursuant to an election provided for pursuant to paragraph (b) above,
then, unless otherwise specified pursuant to Section 3.1, with respect to
each date for the payment of principal of, premium, if any, and interest, if
any, on the applicable Securities denominated or payable in such Foreign
Currency or such other currency unit occurring after the last date on which
such Foreign Currency or such other currency unit was used (the “Conversion
Date”), the Dollar shall be the currency of payment for use on each such
payment date (but such Foreign Currency or such other currency unit that was
previously the currency of payment shall, at the Company’s election, resume
being the currency of payment on the first such payment date preceded by 15
Business Days during which the circumstances which gave rise to the Dollar
becoming such currency of payment no longer prevail).  Unless otherwise specified pursuant to Section 3.1,
the Dollar amount to be paid by the Company to the Trustee or any applicable
Paying Agent and by the Trustee or any applicable Paying Agent to the Holders
of such Securities with respect to such payment date shall be, in the case of a
Foreign Currency other than a currency unit, the Dollar Equivalent of the
Foreign Currency or, in the case of a Foreign Currency that is a currency unit,
the Dollar Equivalent of the Currency Unit, in each case as determined by the
Exchange Rate Agent in the manner provided in paragraph (f) or (g) below.

 

(e) 
Unless otherwise specified pursuant to Section 3.1, if the Holder of a
Registered Security denominated in any currency or currency unit shall have
elected to be paid in another currency or currency unit or in other currencies
as provided in paragraph (b) above, and (i) a Conversion Event occurs
with respect to any such elected currency or currency unit, such Holder shall
receive payment in the currency or currency unit in which payment would have
been made in the absence of such election and (ii) if a Conversion Event
occurs with respect to the currency or currency unit in which payment would
have been made in the absence of such election, such Holder shall receive
payment in Dollars as provided in paragraph (d) of this Section 3.11
(but, subject to any contravening valid election pursuant to paragraph (b) above,
the elected payment currency or currency unit, in the case of the circumstances
described in clause (i) above, or the payment currency or currency unit in
the absence of such election, in the case of the circumstances described in
clause (ii) above, shall, at the Company’s election, resume being the
currency or currency unit of payment with respect to Holders who have so
elected, but only with respect to payments on payment dates preceded by 15
Business Days during which the circumstances which gave rise to such currency
or currency unit, in the case of the circumstances described in clause (i) above,
or the Dollar, in the case of the circumstances described in clause (ii) above,
becoming the currency or currency unit, as applicable, of payment, no longer
prevail).

 

(f) 
The “Dollar Equivalent of the Foreign Currency” shall be determined by the
Exchange Rate Agent and shall be obtained for each subsequent payment date by
the

 

35

 

Exchange Rate Agent by converting
the specified Foreign Currency into Dollars at the Market Exchange Rate on the
Conversion Date.

 

(g) 
The “Dollar Equivalent of the Currency Unit” shall be determined by the
Exchange Rate Agent and, subject to the provisions of paragraph (h) below,
shall be the sum of each amount obtained by converting the Specified Amount of
each Component Currency (as each such term is defined in paragraph (h) below)
into Dollars at the Market Exchange Rate for such Component Currency on the
Valuation Date with respect to each payment.

 

(h) 
For purposes of this Section 3.11, the following terms shall have the
following meanings:

 

A “Component
Currency” shall mean any currency which, on the Conversion Date, was a
component currency of the relevant currency unit.

 

“Conversion
Event” shall mean the cessation of use of (i) a Foreign Currency both by
the government of the country which issued such currency and for the settlement
of transactions by a central bank or other public institutions of or within the
international banking community or (ii) any currency unit for the purposes
for which it was established.

 

“Election
Date” shall mean the Regular Record Date for the applicable series of
Registered Securities as specified pursuant to Section 3.1 by which the
written election referred to in Section 3.11(b) may be made.

 

“Euro”
means the lawful currency of the participating member states of the European
Union that adopt, or have adopted, a single currency in accordance with the
Treaty establishing the European Community, as amended by the Treaty on
European Union signed February 7, 1992.

 

“Exchange
Rate Agent,” when used with respect to Securities of or within any series,
shall mean, unless otherwise specified with respect to any Securities pursuant
to Section 3.1, a New York Clearing House bank designated pursuant to Section 3.1
or Section 3.12.

 

“Exchange
Rate Officer’s Certificate” shall mean a certificate setting forth (i) the
applicable Market Exchange Rate or the applicable bid quotation and (ii) the
Dollar or Foreign Currency amounts of principal (and premium, if any) and
interest, if any (on an aggregate basis and on the basis of a Security having
the lowest denomination principal amount in the relevant currency or currency
unit), payable with respect to a Security of any series on the basis of such
Market Exchange Rate or the applicable bid quotation, signed by any Authorized
Officer or by any other Officer.

 

36

 

“Foreign
Currency” shall mean any currency issued by the government or governments of
one or more countries other than the United States or by any recognized
confederation or association of such governments and shall include the Euro.

 

“Market
Exchange Rate” shall mean, unless otherwise specified with respect to any
Securities pursuant to Section 3.1, as of any date of determination, (i) for
any conversion involving a currency unit on the one hand and Dollars or any
Foreign Currency on the other, the exchange rate between the relevant currency
unit and Dollars or such Foreign Currency calculated by the method specified
pursuant to Section 3.1 for the Securities of the relevant series, (ii) for
any conversion of Dollars into any Foreign Currency, the noon buying rate for
such Foreign Currency for cable transfers quoted in New York City as certified
for customs purposes by the Federal Reserve Bank of New York and (iii) for
any conversion of one Foreign Currency into Dollars or another Foreign
Currency, the spot rate at noon local time in the relevant market at which, in
accordance with normal banking procedures, the Dollars or Foreign Currency into
which conversion is being made could be purchased with the Foreign Currency
from which conversion is being made from major banks located in New York City,
London or any other principal market for Dollars or such purchased Foreign
Currency, in each case determined by the Exchange Rate Agent.  Unless otherwise specified with respect to
any Securities pursuant to Section 3.1, in the event of the unavailability
of any of the exchange rates provided for in the foregoing clauses (i), (ii) and
(iii), the Exchange Rate Agent shall use, in its sole discretion and without
liability on its part, such quotation of the Federal Reserve Bank of New York
as of the most recent available date, or quotations from one or more major
banks in New York City, London or other principal market for such currency or
currency unit in question (which may include any such bank acting as Trustee
under this Indenture), or such other quotations as the Exchange Rate Agent
shall deem appropriate.  Unless otherwise
specified by the Exchange Rate Agent, if there is more than one market for
dealing in any currency or currency unit by reason of foreign exchange
regulations or otherwise, the market to be used in respect of such currency or
currency unit shall be that upon which a nonresident issuer of securities
designated in such currency or currency unit would purchase such currency or
currency unit in order to make payments in respect of such securities.

 

A “Specified
Amount” of a Component Currency shall mean the number of units of such
Component Currency or fractions thereof which such Component Currency
represented in the relevant currency unit on the Conversion Date.  If after the Conversion Date the official unit
of any Component Currency is altered by way of combination or subdivision, the
Specified Amount of such Component Currency shall be divided or multiplied in
the same proportion.  If after the
Conversion Date two or more Component Currencies are consolidated into a single
currency, the respective Specified Amounts of such Component Currencies shall
be replaced by an amount in such single currency equal to the sum of the
respective Specified Amounts of such consolidated Component Currencies
expressed in such single currency, and such amount shall thereafter be a
Specified Amount and such single currency shall thereafter be a Component
Currency.  If after the Conversion Date
any Component Currency shall be divided into two or more

 

37

 

currencies, the Specified Amount of such Component
Currency shall be replaced by specified amounts of such two or more currencies,
the sum of which, at the Market Exchange Rate of such two or more currencies on
the date of such replacement, shall be equal to the Specified Amount of such
former Component Currency and such amounts shall thereafter be Specified
Amounts and such currencies shall thereafter be Component Currencies.  If, after the Conversion Date of the relevant
currency unit, a Conversion Event (other than any event referred to above in
this definition of “Specified Amount”) occurs with respect to any Component
Currency of such currency unit and is continuing on the applicable Valuation
Date, the Specified Amount of such Component Currency shall, for purposes of
calculating the Dollar Equivalent of the Currency Unit, be converted into
Dollars at the Market Exchange Rate in effect on the Conversion Date of such
Component Currency.

 

All
decisions and determinations of the Exchange Rate Agent regarding the Dollar
Equivalent of the Foreign Currency, the Dollar Equivalent of the Currency Unit,
the Market Exchange Rate and changes in the Specified Amounts as specified
above shall be in its sole discretion and shall, in the absence of manifest
error, be conclusive for all purposes and irrevocably binding upon the Company,
the Trustee (and any applicable Paying Agent) and all Holders of Securities
denominated or payable in the relevant currency, currencies or currency units.  The Exchange Rate Agent shall promptly give
written notice to the Company and the Trustee of any such decision or
determination.

 

In the
event that the Company determines in good faith that a Conversion Event has
occurred with respect to a Foreign Currency, the Company will promptly give
written notice thereof to the Trustee (or any applicable Paying Agent) and to
the Exchange Rate Agent (and the Trustee (or such Paying Agent) will promptly
thereafter give notice in the manner provided in Section 1.6 to the affected
Holders) specifying the Conversion Date. 
In the event the Company so determines that a Conversion Event has
occurred with respect to any currency unit in which Securities are denominated
or payable, the Company will promptly give written notice thereof to the
Trustee (or any applicable Paying Agent) and to the Exchange Rate Agent (and
the Trustee (or such Paying Agent) will promptly thereafter give notice in the
manner provided in Section 1.6 to the affected Holders) specifying the
Conversion Date and the Specified Amount of each Component Currency on the
Conversion Date.  In the event the
Company determines in good faith that any subsequent change in any Component
Currency as set forth in the definition of Specified Amount above has occurred,
the Company will similarly give written notice to the Trustee (or any
applicable Paying Agent) and to the Exchange Rate Agent.

 

The
Trustee of the appropriate series of Securities shall be fully justified and
protected in relying and acting upon information received by it from the
Company and the Exchange Rate Agent and shall not otherwise have any duty or
obligation to determine the accuracy or validity of such information
independent of the Company or the Exchange Rate Agent.

 

Section 3.12.         Appointment and Resignation of
Exchange Rate Agent.  Unless
otherwise specified pursuant to Section 3.1, if and so long as the
Securities of any series

 

38

 

(i) are denominated
in a currency or currency unit other than Dollars or (ii) may be payable
in a currency or currency unit other than Dollars, or so long as it is required
under any other provision of this Indenture, then the Company will maintain
with respect to each such series of Securities, or as so required, at least one
Exchange Rate Agent.  The Company will
cause the Exchange Rate Agent to make the necessary foreign exchange
determinations at the time and in the manner specified pursuant to Section 3.11
for the purpose of determining the applicable rate of exchange and, if
applicable, for the purpose of converting the issued currency or currencies or
currency unit or units into the applicable payment currency or currency unit
for the payment of principal, premium, if any, and interest, if any, pursuant
to Section 3.11.

 

No
resignation of the Exchange Rate Agent and no appointment of a successor
Exchange Rate Agent pursuant to this Section shall become effective until
the acceptance of appointment by the successor Exchange Rate Agent as evidenced
by a written instrument delivered to the Company and the Trustee of the
appropriate series of Securities accepting such appointment executed by the
successor Exchange Rate Agent.

 

If the
Exchange Rate Agent shall resign, be removed or become incapable of acting, or
if a vacancy shall occur in the office of the Exchange Rate Agent for any
cause, with respect to the Securities of one or more series, the Company shall
promptly appoint a successor Exchange Rate Agent or Exchange Rate Agents with
respect to the Securities of that or those series (it being understood that any
such successor Exchange Rate Agent may be appointed with respect to the
Securities of one or more or all of such series and that, unless otherwise
specified pursuant to Section 3.1, at any time there shall only be one
Exchange Rate Agent with respect to the Securities of any particular series
that are originally issued by the Company on the same date and that are
initially denominated and/or payable in the same currency or currencies or
currency unit or units).

 

Section 3.13.         CUSIP Numbers.  The Company in issuing Securities may use “CUSIP”
numbers (if then generally in use), and if so, the Trustee may use the CUSIP
numbers in notices of redemption or exchange as a convenience to Holders;
provided, however, that any such notice may state that no representation is
made as to the correctness or accuracy of the CUSIP number printed in the
notice or on the Securities, that reliance may be placed only on the other
identification numbers printed on the Securities, and any such redemption or
exchange shall not be affected by any defect or omission of such CUSIP
numbers.  The Company will promptly
notify the Trustee of any change in CUSIP numbers known to an Officer of the
Company.

 

ARTICLE IV

 

SATISFACTION, DISCHARGE
AND DEFEASANCE

 

Section 4.1.           Termination of Company’s
Obligations Under the Indenture. 
This Indenture shall upon Company Request cease to be of further effect
with respect to Securities of or within any series and any coupons appertaining
thereto (except as to any surviving rights of registration of transfer or
exchange of such Securities and replacement

 

39

 

of such Securities which
may have been lost, stolen or mutilated as herein expressly provided for) and
the Trustee, at the expense of the Company, shall execute proper instruments
acknowledging satisfaction and discharge of this Indenture with respect to such
Securities and any coupons appertaining thereto when:

 

(1)    either

 

(A)    all such Securities previously authenticated
and delivered and all coupons appertaining thereto (other than (i) such
coupons appertaining to Bearer Securities surrendered in exchange for
Registered Securities and maturing after such exchange, surrender of which is
not required or has been waived as provided in Section 3.5, (ii) such
Securities and coupons which have been destroyed, lost or stolen and which have
been replaced or paid as provided in Section 3.6, (iii) such coupons
appertaining to Bearer Securities called for redemption and maturing after the
relevant Redemption Date, surrender of which has been waived as provided in Section 10.6
and (iv) such Securities and coupons for whose payment money has
theretofore been deposited in trust or segregated and held in trust by the
Company and thereafter repaid to the Company or discharged from such trust, as
provided in Section 9.3) have been delivered to the Trustee for
cancellation; or

 

(B)     all Securities of such series and, in the
case of (i) or (ii) below, any coupons appertaining thereto not
theretofore delivered to the Trustee for cancellation

 

(i)      have become due and payable, or

 

(ii)     will become due and payable at the Stated
Maturity or the principal thereof within one year, or

 

(iii)    if redeemable at the option of the Company,
are to be called for redemption within one year under arrangements satisfactory
to the Trustee for giving of notice of redemption by the Trustee in the name,
and at the expense, of the Company,

 

and
the Company, in the case of (i), (ii) or (iii) above, has irrevocably
deposited or caused to be deposited with the Trustee as trust funds (which may
be held in an account insured by the Federal Deposit Insurance Corporation) in
trust for the purpose an amount in cash, Government Obligations or a
combination thereof in the currency or currencies or currency unit or units in
which the Securities of such series are payable, sufficient to pay and
discharge (without reinvestment) the entire indebtedness on such Securities and
such coupons not theretofore delivered to the Trustee for cancellation, for
principal, premium, if any, and interest, with respect thereto, to the date of
such deposit (in the case of Securities which have become due and payable) or
to the Stated Maturity or Redemption Date, as the case may be;

 

(2)    the Company has paid or caused to be paid
all other sums then payable hereunder by the Company; and

 

40

 

(3)  the
Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent provided for in this Article relating
to the satisfaction and discharge of this Indenture as to such series have been
complied with.

 

Notwithstanding
the satisfaction and discharge of this Indenture, the obligation of the Company
to the Trustee and any predecessor Trustee under Section 6.8, the
obligations of the Company to any Authenticating Agent under Section 6.13 and,
if money shall have been deposited with the Trustee pursuant to subclause (B) of
clause (1) of this Section, the obligations of the Trustee under Section 4.2
and the last paragraph of Section 9.3 shall survive.

 

Section 4.2.           Application of Trust Funds.  Subject to the provisions of the last
paragraph of Section 9.3, all money and Government Obligations deposited
with the Trustee pursuant to Section 4.1 shall be held in trust and
applied by it, in accordance with the provisions of the Securities, the coupons
and this Indenture, to the payment, either directly or through any Paying Agent
(including the Company acting as its own Paying Agent) as the Trustee may
determine, to the Persons entitled thereto, of the principal, premium, if any
and any interest for whose payment such money has been deposited with or
received by the Trustee, but such money need not be segregated from other funds
except to the extent required by law.

 

Section 4.3.           Applicability of Defeasance
Provisions; Company’s Option to Effect Defeasance or Covenant Defeasance.  Unless pursuant to Section 3.1 provision
is made to exclude with respect to the Securities of a particular series either
or both of (i) defeasance of the Securities of or within such series under
Section 4.4 or (ii) covenant defeasance of the Securities of or
within such series under Section 4.5, then the provisions of such Section or
Sections, as the case may be, together with the provisions of Sections 4.6
through 4.9 inclusive, with such modifications thereto as may be specified
pursuant to Section 3.1 with respect to any Securities of such series,
shall be applicable to such Securities and any coupons appertaining thereto,
and the Company may at its option, at any time, with respect to such Securities
and any coupons appertaining thereto, elect to have Section 4.4 (if
applicable) or Section 4.5 (if applicable) be applied to such Outstanding
Securities and any coupons appertaining thereto upon compliance with the
conditions set forth below in this Article.

 

Section 4.4.           Defeasance and Discharge.  Upon the Company’s exercise of the option (if
any) specified in Section 4.3 applicable to this Section with respect
to the Securities of or within a series, the Company shall be deemed to have
been discharged from its obligations with respect to such Securities and any
coupons appertaining thereto on the date the conditions set forth in Section 4.6
are satisfied (hereinafter “defeasance”). 
For this purpose, such defeasance means that the Company shall be deemed
to have paid and discharged the entire indebtedness represented by such
Securities and any coupons appertaining thereto, which Securities and coupons
appertaining thereto shall thereafter be deemed to be “Outstanding” only for
the purposes of Section 4.7 and the other Sections of this Indenture
referred to in clause (ii) of this Section, and to have satisfied all

 

41

 

its other obligations
under such Securities and any coupons appertaining thereto and this Indenture
insofar as such Securities and any coupons appertaining thereto are concerned
(and the Trustee, at the expense of the Company, shall on Company Order execute
proper instruments acknowledging the same), except the following which shall
survive until otherwise terminated or discharged hereunder: (i) the rights of
Holders of such Securities and any coupons appertaining thereto to receive,
solely from the trust funds described in Section 4.6(a) and as more fully set
forth in such Section, payments in respect of the principal of, and premium, if
any, and interest, if any, on such Securities or any coupons appertaining
thereto when such payments are due, (ii) the Company’s obligations with respect
to such Securities under Sections 3.5, 3.6, 9.2 and 9.3 and with respect to the
payment of Additional Amounts, if any, payable with respect to such Securities
as specified pursuant to Section 9.8 (subject to Section 3.1),   (iii) the rights, powers, trusts, duties and
immunities of the Trustee hereunder, including, without limitation, the Trustee’s
rights under Section 6.8 of this Indenture, and (iv) this Article IV.  Subject to compliance with this Article IV,
the Company may exercise its option under this Section notwithstanding the
prior exercise of its option under Section 4.5 with respect to such Securities
and any coupons appertaining thereto. 
Following a defeasance, payment of such Securities may not be
accelerated because of an Event of Default.

 

Section 4.5.           Covenant Defeasance.  Upon the Company’s exercise of the option (if
any) specified in Section 4.3 applicable to this Section with respect
to any Securities of or within a series, the Company shall be released from its
obligations under Sections 7.1, 9.4 and 9.5, and, if specified pursuant to Section 3.1,
its obligations under any other covenant, with respect to such Securities and
any coupons appertaining thereto on and after the date the conditions set forth
in Section 4.6 are satisfied (hereinafter, “covenant defeasance”), and
such Securities and any coupons appertaining thereto shall thereafter be deemed
to be not “Outstanding” for the purposes of any direction, waiver, consent or
declaration or Act of Holders (and the consequences of any thereof) in
connection with Sections 7.1, 9.4 and 9.5, or such other covenant, but shall
continue to be deemed “Outstanding” for all other purposes hereunder.  For this purpose, such covenant defeasance
means that, with respect to such Securities and any coupons appertaining
thereto, the Company may omit to comply with and shall have no liability in
respect of any term, condition or limitation set forth in any such Section or
such other covenant, whether directly or indirectly, by reason of any reference
elsewhere herein to any such Section or such other covenant or by reason of
reference in any such Section or such other covenant to any other
provision herein or in any other document and such omission to comply shall not
constitute an Event of Default under Section 5.1(3) or 5.1(6) or
otherwise, as the case may be, but, except as specified above, the remainder of
this Indenture and such Securities and any coupons appertaining thereto shall
be unaffected thereby.

 

Section 4.6.           Conditions to Defeasance or
Covenant Defeasance.  The following
shall be the conditions to application of Section 4.4 or Section 4.5
to any Securities of or within a series and any coupons appertaining thereto:

 

42

 

(a)  The Company
shall have deposited or caused to be deposited irrevocably with the Trustee (or
another trustee satisfying the requirements of Section 6.11 who shall
agree to comply with, and shall be entitled to the benefits of, the provisions
of Sections 4.3 through 4.9 inclusive and the last paragraph of Section 9.3
applicable to the Trustee, for purposes of such Sections also a “Trustee”) as
trust funds in trust for the purpose of making the payments referred to in
clauses (x) and (y) of this Section 4.6(a), specifically pledged
as security for, and dedicated solely to, the benefit of the Holders of such Securities
and any coupons appertaining thereto, with instructions to the Trustee as to
the application thereof, (A) money in an amount (in such currency,
currencies or currency unit in which such Securities and any coupons
appertaining thereto are then specified as payable at Maturity), or (B) if
Securities of such series are not subject to repayment at the option of
Holders, Government Obligations which through the payment of interest and
principal in respect thereof in accordance with their terms (but without
reinvestment) will provide, not later than one day before the due date of any
payment referred to in clause (x) or (y) of this Section 4.6(a),
money in an amount or (C) a combination thereof in an amount, sufficient,
in the opinion of a nationally recognized independent accounting or investment
banking firm expressed in a written certification thereof delivered to the
Trustee, to pay and discharge (without reinvestment), and which shall be
applied by the Trustee to pay and discharge, (x) the principal of,
premium, if any, and interest, if any, on such Securities and any coupons
appertaining thereto on the Maturity of such principal or installment of
principal or interest and (y) any 
mandatory sinking fund payments applicable to such Securities on the day
on which such payments are due and payable in accordance with the terms of this
Indenture and such Securities and any coupons appertaining thereto.  Before such a deposit the Company may make
arrangements satisfactory to the Trustee for the redemption of Securities at a
future date or dates in accordance with Article X which shall be given
effect in applying the foregoing.

 

(b)  Such defeasance
or covenant defeasance shall not result in a breach or violation of, or
constitute an Event of Default under, this Indenture or result in a breach or
violation of, or constitute a default under, any other material agreement or
instrument to which the Company is a party or by which it is bound.

 

(c)  In the case of
an election under Section 4.4, no Event of Default under Section 5.1(4) or
5.1(5) with respect to such Securities and any coupons appertaining
thereto shall have occurred and be continuing during the period commencing on
the date of such deposit and ending on the 91st day after such date (it being
understood that this condition shall not be deemed satisfied until the
expiration of such period).

 

(d)  In the case of
an election under Section 4.4, the Company shall have delivered to the
Trustee an Officers’ Certificate and an Opinion of Counsel to the effect that (i) the
Company has received from, or there has been published by, the Internal Revenue
Service a ruling or (ii) since the date of execution 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 shall confirm that, the
Holders of such Securities will not recognize income, gain or loss for Federal
income tax 

 

43

 

purposes
as a result of such 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 defeasance had not occurred.

 

(e)  In the case of
an election under Section 4.5, the Company shall have delivered to the
Trustee an Opinion of Counsel to the effect that the Holders of such Securities
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, in the same manner and at the same times as would have been
the case if such covenant defeasance had not occurred.

 

(f)  The Company
shall have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent under this Section 4.6
to the defeasance under Section 4.4 or the covenant defeasance under Section 4.5
(as the case may be) have been complied with and an Opinion of Counsel to the
effect that either (i) as a result of a deposit pursuant to subsection (a) above
and the related exercise of the Company’s option under Section 4.4 or Section 4.5
(as the case may be), registration is not required under the Investment Company
Act of 1940, as amended, by the Company, with respect to the trust funds representing
such deposit or by the trustee for such trust funds or (ii) all necessary
registrations under said act have been effected.

 

(g)  Such defeasance
or covenant defeasance shall be effected in compliance with any additional or
substitute terms, conditions or limitations which may be imposed on the Company
in connection therewith as contemplated by Section 3.1.

 

Section 4.7.           Deposited Money and Government
Obligations to Be Held in Trust. 
Subject to the provisions of the last paragraph of Section 9.3, all
money and Government Obligations (or other property as may be provided pursuant
to Section 3.1) (including the proceeds thereof) deposited with the
Trustee pursuant to Section 4.6 in respect of any Securities of any series
and any coupons appertaining thereto shall be held in trust and applied by the
Trustee, in accordance with the provisions of such Securities and any coupons
appertaining thereto and this Indenture, to the payment, either directly or
through any Paying Agent (including the Company acting as its own Paying Agent)
as the Trustee may determine, to the Holders of such Securities and any coupons
appertaining thereto of all sums due and to become due thereon in respect of
principal, premium, if any, and interest, if any, but such money need not be
segregated from other funds except to the extent required by law.

 

Unless
otherwise specified with respect to any Security pursuant to Section 3.1,
if, after a deposit referred to in Section 4.6(a) has been made, (i) the
Holder of a Security in respect of which such deposit was made is entitled to,
and does, elect pursuant to Section 3.11(b) or the terms of such
Security to receive payment in a currency or currency unit other than that in
which the deposit pursuant to Section 4.6(a) has been made in respect
of such Security or (ii) a Conversion Event occurs as contemplated in Section 3.11(d) or
3.11(e) or by the terms of any Security in respect of which the deposit 

 

44

 

pursuant to Section 4.6(a) has been made,
the indebtedness represented by such Security and any coupons appertaining
thereto shall be deemed to have been, and will be, fully discharged and
satisfied through the payment of the principal of, premium, if any, and
interest, if any, on such Security as the same becomes due out of the proceeds
yielded by converting (from time to time as specified below in the case of any
such election) the amount or other property deposited in respect of such
Security into the currency or currency unit in which such Security becomes
payable as a result of such election or Conversion Event based on the
applicable Market Exchange Rate for such currency or currency unit in effect on
the second Business Day prior to each payment date, except, with respect to a
Conversion Event, for such currency or currency unit in effect (as nearly as
feasible) at the time of the Conversion Event. 
The Trustee shall have no duty under this paragraph until it has been
provided with all necessary information.

 

Section 4.8.           Repayment to Company.  The Trustee (and any Paying Agent) shall
promptly pay to the Company upon Company Request any excess money or securities
held by them at any time.  Such Company
Request shall specifically set forth the amount of such excess and the Trustee
shall be fully protected and shall incur no liability in reliance on such
Company Request.

 

Section 4.9.           Indemnity for Government
Obligations.  The Company shall pay,
and shall indemnify the Trustee against, any tax, fee or other charge imposed
on or assessed against Government Obligations deposited pursuant to this Article or
the principal and interest received on such Government Obligations, other than
any such tax, fee or other charge that by law is for the account of the Holders
of the Securities subject to defeasance or covenant defeasance pursuant to this
Article.

 

ARTICLE V

 

EVENTS OF DEFAULT AND
REMEDIES

 

Section 5.1.           Events of Default.  An “Event of Default” occurs with respect to
the Securities of any series if (whatever the reason for such Event of Default
and whether it shall be voluntary or involuntary or be 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):

 

(1)    the Company defaults in the payment of
interest on any Security of that series or any coupon appertaining thereto or
any Additional Amount payable with respect to any Security of that series as
specified pursuant to Section 9.8 (subject to Section 3.1) when the
same becomes due and payable and such default continues for a period of 30
days;

 

(2)    the Company defaults in the payment of the
principal of, or any premium on, any Security of that series when the same
becomes due and payable at its Maturity or on redemption or otherwise, or in
the payment of a mandatory sinking fund payment when and as due by the terms of
the Securities of that series;

 

45

 

(3)    the Company defaults in the performance of,
or breaches, any covenant or warranty of the Company in this Indenture with
respect to any Security of that series (other than a covenant or warranty a
default in whose performance or whose breach is elsewhere in this Section specifically
dealt with), and such default or breach continues for a period of 60 days after
there has been given, by registered or certified mail, to the Company by the
Trustee or to the Company and the Trustee by the Holders of at least 25% in
principal amount of the Outstanding Securities of that series, a written notice
specifying such default or breach and requiring it to be remedied and stating
that such notice is a “Notice of Event of Default” hereunder;

 

(4)    the Company (A) commences a voluntary
case or proceeding under any applicable law involving a Winding Up of the Company
or any other case or proceeding whereby the Company may be wound up, dissolved
or cease to exist as a body corporate, or (B) consents to the entry of a
decree or order for relief in respect of the Company in an involuntary case or
proceeding under any applicable law involving a Winding Up of the Company or to
the commencement of any such case or proceeding against it or (C) files a
petition or answer or consent seeking such relief under any applicable law, or
consents to the filing of such petition; provided in any such case that such
event will necessarily result in a Winding Up of the Company;

 

(5)    a court of competent jurisdiction enters or,
in the case of (C) below, a proceeding shall have been commenced by any
person other than the Company for (A) a decree or order for relief in
respect of the Company in an involuntary case or proceeding involving a Winding
Up of the Company or (B) a decree or order relating to a Winding Up of the
Company where such decree or order will necessarily result in a Winding Up of
the Company or (C) a decree or order appointing a custodian, receiver,
liquidator, statutory manager, controller, assignee, trustee, sequestrator or
other similar official of the Company or of any substantial part of its
property, and such decree, proceeding or order shall be continuing and not
rescinded, suspended or stayed for a period of 60 consecutive days, or the
Company consents to such an appointment or makes a general assignment for the
benefit of its creditors;

 

(6)    any other Event of Default provided as
contemplated by Section 3.1 with respect to Securities of that series.

 

Section 5.2.           Acceleration; Rescission and
Annulment.  If an Event of Default
with respect to Securities of any series at the time Outstanding occurs and is
continuing, then, in every such case the Trustee or the Holders of not less
than 25% in principal amount of the Outstanding Securities of that series may
declare the principal amount (or, if any of the Securities of that series are
Original Issue Discount Securities, such portion of the principal amount of
such Securities as may be specified in the terms thereof) of all of the
Securities of that series to be due and payable immediately, by a notice in
writing to the Company (and to the Trustee if given by the Holders), and upon
any such declaration such principal amount (or specified amount) shall become
immediately due and payable.

 

46

 

At any
time after such a declaration of acceleration with respect to Securities of any
series has been made and before a judgment or decree for payment of the money
due has been obtained by the Trustee as hereinafter in this Article provided,
the Holders of at least a majority in principal amount of the Outstanding
Securities of that series, by written notice to the Trustee, may rescind and
annul such declaration and its consequences if all existing Events of Default
with respect to Securities of that series, other than the non-payment of the
principal of Securities of that series that have become due solely by such
declaration of acceleration, have been cured or waived as provided in Section 5.7.  No such rescission shall affect any
subsequent default or impair any right consequent thereon.

 

Section 5.3.           Collection of Indebtedness and
Suits for Enforcement by Trustee. 
The Company covenants that if:

 

(1)    there is a default in the payment of any
interest on any Security or coupon, if any, when such interest becomes due and
payable and such default continues for a period of 30 days, or

 

(2)    there is a default in the payment of the
principal of (or premium, if any, on) any Security at the Maturity thereof,

 

the
Company will, upon demand of the Trustee, pay to it, for the benefit of the
Holders of such Securities or coupons, if any, the whole amount then due and
payable on such Securities for principal, premium, if any, and interest and, to
the extent that payment of such interest shall be legally enforceable, interest
on any overdue principal, premium, if any, and on any overdue interest, at the
rate or rates prescribed therefor in such Securities or coupons, if any, and,
in addition thereto, such further amount as shall be sufficient to cover the
costs and expenses of collection, including the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel.

 

If the
Company fails to pay such amounts forthwith upon such demand, the Trustee, in
its own name and as trustee of an express trust, may institute a judicial
proceeding for the collection of the sums so due and unpaid, may prosecute such
proceeding to judgment or final decree and may enforce the same against the
Company or any other obligor upon the Securities of such series and collect the
moneys adjudged or decreed to be payable in the manner provided by law out of
the property of the Company or any other obligor upon the Securities of such
series, wherever situate.

 

If an
Event of Default with respect to Securities of any series occurs and is
continuing, the Trustee may in its discretion proceed to protect and enforce
its rights and the rights of the Holders of Securities of such series by such
appropriate judicial proceedings as the Trustee shall deem most effectual to
protect any such rights, whether for the specific enforcement of any covenant
or agreement in this Indenture or in aid of the exercise of any power granted
herein, or to enforce any other proper remedy.

 

47

 

Section 5.4.           Trustee May File Proofs of
Claim.  In case of the pendency of
any Winding Up of the Company or any other receivership, insolvency,
liquidation, bankruptcy, reorganization, arrangement, adjustment, composition
or other judicial proceeding relative to the Company (or any other obligor upon
the Securities), its property or its creditors, the Trustee (irrespective of
whether the principal of the Securities shall then be due and payable as
therein expressed or by declaration or otherwise and irrespective of whether
the Trustee shall have made any demand on the Company for the payment of any
overdue principal, premium, interest or Additional Amounts) shall be entitled
and empowered, by intervention in such proceeding or otherwise, to take any and
all actions authorized under the Trust Indenture Act in order to have claims of
the Holders and the Trustee allowed in any such proceeding.  In particular, the Trustee shall be
authorized to collect and receive any moneys or other property payable or
deliverable on any such claims and to distribute the same; and any custodian,
receiver, assignee, trustee, liquidator, sequestrator or other similar official
in any such judicial proceeding is hereby authorized by each Holder to make
such payments to the Trustee and, in the event that the Trustee shall consent
to the making of such payments directly to the Holders, to pay to the trustee
any amount due it for the reasonable compensation, expenses, disbursements and
advances of the trustee, its agents and counsel, any other amounts due the
Trustee under Section 6.8.

 

No
provision of this Indenture shall be deemed to authorize the Trustee to
authorize or consent to or accept or adopt on behalf of any Holder any plan of
reorganization, arrangement, adjustment or composition affecting the Securities
or the rights of any Holder thereof or to authorize the Trustee to vote in
respect of the claim of any Holder in any such proceeding; provided, however,
that the Trustee may, on behalf of the Holders, vote for the election of a
trustee in bankruptcy or similar official and be a member of a creditors’ or
other similar committee.

 

Section 5.5.           Trustee May Enforce Claims
Without Possession of Securities. 
All rights of action and claims under this Indenture or the Securities
may be prosecuted and enforced by the Trustee, in its own name and as trustee
of an express trust, without the possession of any of the Securities or the
production thereof in any proceeding relating thereto.

 

Section 5.6.           Delay or Omission Not Waiver.  No delay or omission by the Trustee or any
Holder of any Securities to exercise any right or remedy accruing upon an Event
of Default shall impair any such right or remedy or constitute a waiver of or
acquiescence in any such Event of Default.

 

Section 5.7.           Waiver of Past Events of Default.  The Holders of at least a majority in
aggregate principal amount of Outstanding Securities of any series by notice to
the Trustee may waive on behalf of the Holders of all Securities of such series
a past Event of Default with respect to that series and its consequences except
an Event of Default (i) in the payment of the principal of, or premium, if
any, or interest on any Security of such series or any coupon appertaining
thereto or (ii) in respect of a covenant or provision hereof which
pursuant to Section 8.2 cannot be amended or modified 

 

48

 

without the consent of
the Holder of each Outstanding Security of such series adversely affected.  Upon any such waiver, such Event of Default
shall be deemed to have been cured, for every purpose of this Indenture; but no
such waiver shall extend to any subsequent or other Event of Default or impair
any right consequent thereon.  In case of
any such waiver, the Company, the Trustee and the Holders shall be restored to
their former positions and rights hereunder and under the Securities of such
series, respectively.

 

Section 5.8.           Control by Majority.  The Holders of at least a majority in
aggregate principal amount of the Outstanding Securities of each series
affected (with each such series voting as a class) shall have the right to
direct the time, method and place of conducting any proceeding for any remedy
available to the Trustee or exercising any trust or power conferred on it with
respect to Securities of that series; provided, however, that (i) the
Trustee may refuse to follow any direction that conflicts with law or this
Indenture, (ii) the Trustee may refuse to follow any direction that is
unduly prejudicial to the rights of the Holders of Securities of such series
not consenting, or that would in the good faith judgment of the Trustee have a
substantial likelihood of involving the Trustee in personal liability and (iii) the
Trustee may take any other action deemed proper by the Trustee which is not
inconsistent with such direction.

 

Section 5.9.           Limitation on Suits by Holders.  No Holder of any Security of any series or
any coupons appertaining thereto shall have any right to institute any
proceeding, judicial or otherwise, with respect to this Indenture, or for the
appointment of a receiver or trustee, or for any other remedy hereunder,
unless:

 

(1)    the Holder has previously given written
notice to the Trustee of a continuing Event of Default with respect to the
Securities of that series;

 

(2)    the Holders of at least 25% in aggregate
principal amount of the Outstanding Securities of that series have made a
written request to the Trustee to institute proceedings in respect of such
Event of Default in its own name as Trustee hereunder;

 

(3)    such Holder or Holders have offered to the
Trustee indemnity satisfactory to the Trustee against any loss, liability or
expense to be, or which may be, incurred by the Trustee in pursuing the remedy;

 

(4)    the Trustee for 60 days after its receipt of
such notice, request and the offer of indemnity has failed to institute any
such proceedings; and

 

(5)    during such 60 day period, the Holders of at
least a majority in aggregate principal amount of the Outstanding Securities of
that series have not given to the Trustee a direction inconsistent with such
written request.

 

No one
or more Holders shall have any right in any manner whatever by virtue of, or by
availing of, any provision of this Indenture to affect, disturb or prejudice
the 

 

49

 

rights of any other of such Holders, or to obtain or
to seek to obtain priority or preference over any other of such Holders or to
enforce any right under this Indenture, except in the manner herein provided
and for the equal and ratable benefit of all of such Holders.

 

Section 5.10.         Rights of Holders to Receive Payment.  Notwithstanding any other provision of this
Indenture, but subject to Section 9.2, the right of any Holder of a
Security or coupon to receive payment of principal of, and premium, if any,
and, (subject to Sections 3.5 and 3.7), interest on the Security, on or after
the respective due dates expressed in the Security (or, in case of redemption,
on the redemption dates), and the right of any Holder of a coupon to receive
payment of interest due as provided in such coupon, 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 5.11.         Application of Money Collected.  If the Trustee collects any money pursuant to
this Article, it shall pay out the money in the following order, at the date or
dates fixed by the Trustee and, in case of the distribution of such money on
account of principal, premium, if any, or interest, upon presentation of the
Securities and the notation thereon of the payment if only partially paid and
upon surrender thereof if fully paid:

 

First:  to the Trustee for amounts due under Section 6.8;

 

Second:
to Holders of Securities and coupons in respect of which or for the benefit of
which such money has been collected for amounts due and unpaid on such
Securities for principal, premium, if any, and interest, ratably, without
preference or priority of any kind, according to the amounts due and payable on
such Securities for principal, premium, if any, and interest, respectively; and

 

Third:  to the Company.

 

The
Trustee may fix a record date and payment date for any payment to Holders
pursuant to this Section 5.11.  At
least 15 days before such record date, the Trustee shall mail to each Holder
and the Company a notice that states the record date, the payment date and the
amount to be paid.

 

Section 5.12.         Restoration of Rights and Remedies.  If the Trustee or any Holder has instituted
any proceeding to enforce any right or remedy under this Indenture and such
proceeding has been discontinued or abandoned for any reason, or has been
determined adversely to the Trustee or to such Holder, then and in every such
case, subject to any determination in such proceeding, the Company, the Trustee
and the Holders shall be restored severally and respectively to their former
positions hereunder and thereafter all rights and remedies of the Trustee and
the Holders shall continue as though no such proceeding had been instituted.

 

Section 5.13.         Rights and Remedies Cumulative.  Except as otherwise provided with respect to
the replacement or payment of mutilated, destroyed, lost or stolen 

 

50

 

Securities in the last
paragraph of Section 3.6, no right or remedy herein conferred upon or
reserved to the Trustee or the Holders is intended to be exclusive of any other
right or remedy, and every right and remedy shall, to the extent permitted by
law, be cumulative and in addition to every other right and remedy given
hereunder or now or hereafter existing at law or in equity or otherwise.  The assertion or employment of any right or
remedy hereunder, or otherwise, shall not prevent the concurrent assertion or
employment of any other appropriate right or remedy.

 

Section 5.14.         Waiver of Stay, Extension or Usury
Laws.  The Company covenants (to the
extent that it may lawfully do so) that it will 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 or any usury or other similar law wherever enacted,
now or at any time hereafter in force, that would prohibit or forgive the
Company from paying all or any portion of the principal of or premium, if any,
or interest on the Securities contemplated herein or in the Securities or that
may affect the covenants or the performance of this Indenture; and the Company
(to the extent that it may lawfully do so) hereby expressly waives all benefit
or advantage of any such law, and covenants that it will not 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 had
been enacted.

 

Section 5.15.         Waiver of Sovereign Immunity.  To the extent that the Company or any
properties, assets or revenues of the Company may have or may hereafter become
entitled to, or have attributed to it, any right of immunity, on the grounds of
sovereignty or otherwise, from any legal action, suit or proceeding, from the
giving of any relief in any thereof, from setoff or counterclaim, from the
jurisdiction of any court, from service of process, from attachment upon or
prior to judgment, from attachment in aid of execution or judgment, or from
execution of judgment, or other legal process or proceeding for the giving of
any relief or for the enforcement of any judgment, in any jurisdiction in which
proceedings may at any time be commenced, with respect to its obligations,
liabilities or any other matter under or arising out of or in connection with
any Security or any series of this Indenture, the Company, to the extent
permitted by applicable law, hereby irrevocably and unconditionally waives, and
agrees not to plead or claim, any such immunity and consent to such relief and
enforcement, provided, however, that nothing herein shall affect
the applicability of:

 

(1)    Section 13A of the Banking Act 1959 of
the Commonwealth of Australia, which provides that in the event of a bank such
as the Company becoming unable to meet its obligations or suspending payment
thereof, the assets of such bank in Commonwealth of Australia shall be
available to meet its deposit liabilities in Commonwealth of Australia in
priority to all other liabilities of such bank;

 

(2)    Section 86 of the Reserve Bank Act 1959
of the Commonwealth of Australia, which provides, in a Winding Up of a bank,
that debts due to the Reserve Bank of Australia by a bank such as the Company
shall, subject to Section 13A of the Banking Act 1959 of the Commonwealth
of Australia, have priority over all 

 

51

 

other debts of such bank
other than debts due to the Commonwealth of Australia; and

 

(3)    Section 16 of the Banking Act 1959 of
the Commonwealth of Australia, which provides, in a Winding Up of a bank such
as the Company, that, subject to Section 13A of the Banking Act 1959 to
the Commonwealth of Australia, debts due to the Australian Prudential
Regulation Authority have priority over all other unsecured debts of the bank.

 

ARTICLE VI

 

THE TRUSTEE

 

Section 6.1.           Rights, Duties and
Responsibilities of Trustee.  Subject
to the provisions of the Trust Indenture Act:

 

(a)  In the absence
of bad faith on its part, the Trustee may conclusively rely and shall be
protected in acting or refraining from acting upon any document believed by it
to be genuine and to have been signed or presented by the proper party or
parties.  The Trustee need not
investigate any fact or matter stated in the document.

 

(b)  Any request or
direction of the Company mentioned herein shall be sufficiently evidenced by a
Company Request or Company Order (other than delivery of any Security, together
with any coupons appertaining thereto, to the Trustee for authentication and
delivery pursuant to Section 3.3, which shall be sufficiently evidenced as
provided therein) and any resolution of the Board of Directors may be
sufficiently evidenced by a Board Resolution.

 

(c)  Before the
Trustee acts or refrains from acting, it may consult with counsel and/or
require an Officers’ Certificate.  The
Trustee shall not be liable for any action it takes or omits to take in good
faith in reliance on a Board Resolution, the advice of counsel acceptable to
the Company and the Trustee, a certificate of an Officer or Officers delivered
pursuant to Section 1.2, an Officers’ Certificate or an Opinion of
Counsel.

 

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

 

(e)  The Trustee
shall not be liable for any action it takes or omits to take in good faith
which it believes to be authorized or within its discretion or rights or
powers.

 

(f)  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 clause (f) does not
limit the effect of Section 6.1(c);

 

52

 

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

 

(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 5.8.

 

(g)  The Trustee
shall not be required to expend or risk its own funds or otherwise incur any
financial liability in the performance of any of its duties hereunder, or in
the exercise of its rights or powers, if it shall have reasonable grounds for
believing that repayment of such funds or adequate indemnity against such risk
or liability is not reasonably assured to it.

 

(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, coupon 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, during business hours and upon reasonable notice, the
books, records and premises of the Company, personally or by agent or attorney.

 

Notwithstanding
anything contained herein to the contrary, in case an Event of Default with
respect to the Securities of any series has occurred and is continuing, the
Trustee shall exercise, with respect to Securities of such series, such of the
rights and powers vested in it by this Indenture, and shall use the same degree
of care and skill in their exercise, as a prudent individual would exercise or
use under the circumstances in the conduct of his or her own affairs.

 

Section 6.2.           Trustee May Hold Securities.  The Trustee, any Paying Agent, any Registrar
or any other agent of the Company, in its individual or any other capacity, may
become the owner or pledgee of Securities and coupons and, subject to Sections
310(b) and 311 of the Trust Indenture Act, may otherwise deal with the
Company, an Affiliate or Subsidiary with the same rights it would have if it
were not Trustee, Paying Agent, Registrar or such other agent.

 

Section 6.3.           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 with the Company.

 

Section 6.4.           Trustee’s Disclaimer.  The recitals contained herein and in the
Securities, except the Trustee’s certificate of authentication, shall be taken
as the statements of the Company, and the Trustee assumes no responsibility for
their correctness.  The Trustee makes no
representation as to the validity or adequacy of this 

 

53

 

Indenture or the
Securities or any coupon, except that the Trustee represents and warrants that
it is duly authorized to execute and deliver this Indenture, authenticate the
Securities and perform its obligations hereunder and thereunder; that the
statements made by it in a Statement of Eligibility and Qualification on Form T-1
supplied or to be supplied to the Company in connection with the registration
of any Securities are and will be true and accurate subject to the
qualifications set forth therein; and that such Statement complies and will
comply in all material respects with the requirements of the Trust Indenture
Act and the Securities Act.  The Trustee
shall not be accountable for the Company’s use of the proceeds from the
Securities or for monies paid over to the Company pursuant to the Indenture.

 

Section 6.5.           Notice of Events of Default.  If a default occurs and is continuing with
respect to the Securities of any series and if it is known to the Trustee, the
Trustee shall, within 90 days after it occurs, transmit, in the manner and to
the extent provided in Section 313(c) of the Trust Indenture Act,
notice of all such uncured events that are known to it; provided, however,
that, except in the case of an Event of Default in payment on the Securities of
any series, the Trustee may withhold the notice if and so long as a Responsible
Officer in good faith determines that withholding such notice is in the
interests of Holders of Securities of that series; provided, further, that in
the case of any default or breach of the character specified in Section 5.1(3) with
respect to the Securities and coupons of such series, no such notice to Holders
shall be given until at least 60 days after the occurrence thereof.  For the purpose of this Section only,
the term “default” means any event which is, or after notice or lapse of time
or both would become, an Event of Default with respect to the securities of
such series.

 

Section 6.6.           Reports by Trustee to Holders.  Within 60 days after each May 15 of each
year commencing with the first May 15 after the first issuance of
Securities pursuant to this Indenture, the Trustee shall transmit by mail to
all Holders of Securities as provided in Section 313(c) of the Trust
Indenture Act a brief report dated as of such May 15 if required by and in
compliance with Section 313(a) of the Trust Indenture Act.  A copy of each report shall, at the time of
such transmission to Holders, be filed by the Trustee with each stock exchange,
if any, upon which the Securities are listed, with the Commission and with the
Company.  The Company will promptly
notify the Trustee when the Securities are listed on any stock exchange and of
any delisting thereof.

 

Section 6.7.           Security Holder 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 Holders of Securities of each series.  If the Trustee is not the Registrar, the
Company shall furnish to the Trustee within 14 days after each Regular Record
Date, and at such other times as the Trustee may request in writing, within 5
Business Days of such request, a list, in such form and as of such date as the
Trustee may reasonably require, containing all the information in the
possession or control of the Registrar, the Company or any of its Paying Agents
other than the Trustee as to the names and addresses of Holders of Securities
of each such series.  If there are Bearer
Securities of any series Outstanding, even if the Trustee is the Registrar, the
Company shall furnish to the Trustee 

 

54

 

such a list containing
such information with respect to Holders of such Bearer Securities only.

 

Section 6.8.           Compensation and Indemnity.  (a)  The Company shall pay to the
Trustee from time to time such compensation for its services as the Company and
the Trustee may agree in writing from time to time.  The Trustee’s compensation shall not be
limited by any law on compensation of a trustee of an express trust.  The Company shall reimburse the Trustee upon
request for all reasonable expenses, disbursements and advances incurred by it
in connection with the performance of its duties under this Indenture, except
any such expense, disbursement or advance as may be attributable to its
negligence or bad faith.  Such expenses
shall include the reasonable compensation and expenses of the Trustee’s agents
and counsel.

 

(b) 
The Company shall indemnify the Trustee for, and hold it harmless against, any
and all loss, liability, damage, claim or expense (including taxes other than
taxes based upon, measured by or determined by the income of the Trustee),
including the costs and expenses of defending itself against any third-party claim,
incurred by it arising out of or in connection with its acceptance or
administration of the trust or trusts hereunder (collectively, “Claims”).  The Trustee shall notify the Company promptly
of any Claim for which it may seek indemnity. 
The Company shall defend the Claim and the Trustee shall cooperate in
the defense.  The Trustee may have
separate counsel and the Company shall pay the reasonable fees and expenses of
such counsel.  The Company need not pay
for any settlement made without its consent; provided that such consent shall
not be unreasonably withheld.

 

(c) 
The Company need not reimburse any expense, disbursement or advance or
indemnify against any Claim incurred by the Trustee through negligence or bad
faith.

 

(d) 
To secure the payment obligations of the Company pursuant to this Section, the
Trustee shall have a lien prior to the Securities of any series on all money or
property held or collected by the Trustee, except that held in trust to pay
principal, premium, if any, and interest on particular Securities.

 

(e) 
When the Trustee incurs expenses or renders services in connection with an
Event of Default specified in Section 5.1(4) or Section 5.1(5),
the expenses (including the reasonable charges and expenses of its counsel) and
the compensation for the services are intended to constitute expenses of
administration under any applicable federal or state bankruptcy, insolvency or
other similar law.

 

(f) 
The provisions of this Section shall survive the termination of this
Indenture.

 

Section 6.9.           Replacement of Trustee.  (a)  The resignation or removal of the
Trustee and the appointment of a successor Trustee shall become effective only
upon the successor Trustee’s acceptance of appointment as provided in Section 6.10.

 

55

 

(b) 
The Trustee may resign at any time with respect to the Securities of any series
by giving written notice thereof to the Company.  If the instrument of acceptance by a
successor Trustee required by Section 6.10 shall not have been delivered
to the Trustee within 30 days after the giving of such notice of resignation,
the resigning Trustee may petition, at the expense of the Company, any court of
competent jurisdiction for the appointment of a successor Trustee with respect
to the Securities of such series.

 

(c) 
The Holders of a majority in aggregate principal amount of the Outstanding
Securities of any series may remove the Trustee with respect to that series by
so notifying the Trustee and the Company and may appoint a successor Trustee
for such series with the Company’s consent.

 

If an
instrument of acceptance by a successor Trustee required by Section 6.10
shall not have been delivered to the Trustee within 30 days after the giving of
such notice of removal, the Trustee being removed may petition, at the expense
of the Company, any court of competent jurisdiction for the appointment of a
successor Trustee with respect to the Securities of such series.

 

(d)  If at any time:

 

(1)           the Trustee fails to
comply with Section 310(b) of the Trust Indenture Act after written
request therefor by the Company or by any Holder who has been a bona fide
Holder of a Security for at least six months, or

 

(2)           the Trustee shall cease
to be eligible under Section 6.11 hereof or Section 310(a) of
the Trust Indenture Act and shall fail to resign after written request therefor
by the Company or by any Holder of a Security who has been a bona fide Holder
of a Security for at least six months; or

 

(3)           the Trustee becomes
incapable of acting, is adjudged a bankrupt or an insolvent or a receiver or
public officer takes charge of the Trustee or its property or affairs for the
purpose of rehabilitation, conservation or liquidation, then, in any such case,
(i) the Company may remove the Trustee with respect to all Securities or (ii) subject
to Section 315(e) of the Trust Indenture Act, any Holder who has been
a bona fide Holder of a Security for at least six months may, on behalf of
himself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Trustee with respect to all Securities and
the appointment of a successor Trustee or Trustees.

 

(e) 
If the Trustee resigns or is removed or becomes incapable of acting or if a
vacancy exists in the office of Trustee for any reason, with respect to Securities
of one or more series, the Company shall promptly appoint a successor Trustee
with respect to the Securities of that or those series (it being understood
that any such successor Trustee may be appointed with respect to the Securities
of one or more or all of such series and that at any time there shall be only
one Trustee with respect to the Securities of any particular 

 

56

 

series) and shall comply
with the applicable requirements of Section 6.10.  If, within one year after such resignation,
removal or incapability, or the occurrence of such vacancy, a successor Trustee
with respect to the Securities of any series shall be appointed by Act of the
Holders of a majority in principal amount of the Outstanding Securities of such
series delivered to the Company and the retiring Trustee, the successor Trustee
so appointed shall, forthwith upon its acceptance of such appointment in
accordance with the applicable requirements of Section 6.10, become the
successor Trustee with respect to the Securities of such series and to that
extent supersede the successor Trustee appointed by the Company.  If no successor Trustee with respect to the
Securities of any series shall have been so appointed by the Company or the
Holders and accepted appointment in the manner required by Section 6.10,
then, subject to Section 315(e) of the Trust Indenture Act, any
Holder who has been a bona fide Holder of a Security of such series for at
least six months may, on behalf of himself and all others similarly situated,
petition any court of competent jurisdiction for the appointment of a successor
Trustee with respect to the Securities of such series.

 

Section 6.10.                            Acceptance
of Appointment by Successor.  (a) 
In case of the appointment hereunder of a successor Trustee with respect to all
Securities, every such successor Trustee shall execute, acknowledge and deliver
to the Company and to the retiring Trustee an instrument accepting such
appointment.  Thereupon, the resignation
or removal of the retiring Trustee shall become effective, and the successor
Trustee, without further act, deed or conveyance, shall become vested with all
the rights, powers and duties of the retiring Trustee; but, on the request of
the Company or the successor Trustee, such retiring Trustee shall, upon payment
of its charges, execute and deliver an instrument transferring to such
successor Trustee all the rights, powers and trusts of the retiring Trustee and
shall duly assign, transfer and deliver to such successor Trustee all property
and money held by such retiring Trustee hereunder subject nevertheless to its
lien, if any, provided for in Section 6.8 of this Indenture.

 

(b) 
In case of the appointment hereunder of a successor Trustee with respect to the
Securities of one or more (but not all) series, the Company, the retiring
Trustee and such successor Trustee shall execute and deliver an indenture
supplemental hereto wherein such successor Trustee shall accept such
appointment and which (i) shall contain such provisions as shall be
necessary or desirable to transfer and confirm to, and to vest in, such
successor Trustee all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series to which the appointment
of such successor Trustee relates, (ii) if the retiring Trustee is not
retiring with respect to all Securities, shall contain such provisions as shall
be deemed necessary or desirable to confirm that all the rights, powers, trusts
and duties of the retiring Trustee with respect to the Securities of that or
those series as to which the retiring Trustee is not retiring shall continue to
be vested in the retiring Trustee and (iii) shall add to or change any of
the provisions of this Indenture as shall be necessary to provide for or
facilitate the administration of the trusts hereunder by more than one Trustee,
it being understood that nothing herein or in such supplemental indenture shall
constitute such Trustees co-trustees of the same trust and that each such
Trustee shall be trustee of a trust or trusts

 

57

 

hereunder separate and
apart from any trust or trusts hereunder administered by any other such Trustee
and upon the execution and delivery of such supplemental indenture the
resignation or removal of the retiring Trustee shall become effective to the
extent provided therein and each such successor Trustee, without any further
act, deed or conveyance, shall become vested with all the rights, powers, trusts
and duties of the retiring Trustee with respect to the Securities of that or
those series to which the appointment of such successor Trustee relates; but,
on request of the Company or any successor Trustee, such retiring Trustee shall
duly assign, transfer and deliver to such successor Trustee all property and
money held by such retiring Trustee hereunder with respect to the Securities of
that or those series to which the appointment of such successor Trustee
relates.

 

(c) 
Upon request of any such successor Trustee, the Company shall execute any and
all instruments for more fully and certainly vesting in and confirming to such
successor Trustee all such rights, powers and trusts referred to in paragraph (a) or
(b) of this Section, as the case may be.

 

(d) 
No successor Trustee shall accept its appointment unless at the time of such
acceptance such successor Trustee shall be qualified and eligible under the
Trust Indenture Act.

 

(e) 
The Company shall give notice of each resignation and each removal of the
Trustee with respect to the Securities of any series and each appointment of a
successor Trustee with respect to the Securities of any series in the manner
provided for notices to the Holders of Securities in Section 1.6.  Each notice shall include the name of the
successor Trustee with respect to the Securities of such series and the address
of its Corporate Trust Office.

 

Section 6.11.                            Eligibility;
Disqualification.  There shall at all
times be a Trustee hereunder with respect to each series of Securities (which
need not be the same Trustee for all series). 
Each Trustee hereunder shall be eligible to act as trustee under Section 310(a)(1) of
the Trust Indenture Act and shall have a combined capital and surplus of at
least $50,000,000.  If such corporation
publishes reports of condition at least annually, pursuant to law or the
requirements of Federal, State, Territorial or District of Columbia supervising
or examining authority, then for the purposes of this Section, the combined
capital and surplus of such corporation shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so
published.  If at any time the Trustee
shall cease to be eligible in accordance with the provisions of this Section,
it shall resign immediately in the manner and with the effect hereinafter
specified in this Article.

 

If the
Trustee has or shall acquire a conflicting interest within the meaning of the
Trust Indenture Act, the Trustee shall either eliminate such interest or
resign, to the extent and in the manner provided by, and subject to the
provisions of, the Trust Indenture Act and this Indenture.  To the extent permitted by the Trust
Indenture Act, any Trustee hereunder shall not be deemed to have a conflicting
interest by virtue of being the trustee under (i) the Subordinated
Indenture, dated as of the date hereof, between the Company

 

58

 

and The Chase Manhattan Bank, as trustee, (ii) the
Junior Subordinated Indenture, dated as of date hereof (the “Junior
Subordinated Indenture”), between the Company and The Chase Manhattan Bank, as
trustee, (iii) the Amended and Restated Declaration of Trust of Westpac
Capital Trust I, dated as of the date hereof, among Westpac Capital Holdings Inc.,
as sponsor, Lewis E. Love, Jr., Manuela Adl and Robert Goldwasser, as the
regular trustees, The Chase Manhattan Bank, as the property trustee, Chase
Manhattan Bank Delaware, as the Delaware trustee and the holders from time to
time of the securities representing undivided beneficial ownership interests in
the assets of Westpac Capital Trust I, (iv) the Amended and Restated
Declaration of Trust of Tavarua Funding Trust I, dated as of the date hereof,
among Westpac Funding Holdings Pty Ltd., as sponsor, Lewis E. Love, Jr.,
Manuela Adl and Robert Goldwasser, as the regular trustees, Chase Manhattan
Bank, as the property trustee, The Chase Manhattan Bank Delaware, as the
Delaware trustee and the holders from time to time of the securities
representing undivided beneficial ownership interests in the assets of Tavarua
Funding Trust I, (v) the Capital Trust Preferred Securities Guarantee,
dated as of the date hereof, between the Company, as guarantor, and The Chase
Manhattan Bank, as capital trust preferred guarantee trustee, (vi) the
Funding Trust Preferred Securities Guarantee, dated as of the date hereof,
between the Company, as guarantor, and The Chase Manhattan Bank, as funding
trust preferred guarantee trustee and (vii) the 8% New Zealand-dollar
denominated junior subordinated convertible debentures, issued by the Company
acting through its branch located in Wellington, Commonwealth of New Zealand
pursuant to the Junior Subordinated Indenture.

 

Section 6.12.                            Merger,
Conversion, Consolidation or Succession to Business.  Any corporation into which the Trustee may be
merged or converted or with which it may be consolidated, or any corporation
resulting from any merger, conversion or consolidation to which the Trustee
shall be a party, or any corporation succeeding to all or substantially all the
corporate trust business of the Trustee, shall be the successor of the Trustee
hereunder, provided such corporation shall be otherwise qualified and eligible
under this Article, without the execution or filing of any paper or any further
act on the part of any of the parties hereto. 
In case any Securities shall have been authenticated, but not delivered,
by the Trustee then in office, any successor by merger, conversion or consolidation
to such authenticating Trustee may adopt such authentication and deliver the
Securities so authenticated with the same effect as if such successor Trustee
had itself authenticated such Securities.

 

Section 6.13.                            Appointment
of Authenticating Agent.  The Trustee
shall initially be the Authenticating Agent. 
The Trustee may appoint an Authenticating Agent or Agents with respect
to one or more series of Securities which shall be authorized to act on behalf
of the Trustee to authenticate Securities of such series issued upon original
issue exchange, registration of transfer or partial redemption thereof, and
Securities so authenticated shall be entitled to the benefits of this Indenture
and shall be valid and obligatory for all purposes as if authenticated by the
Trustee hereunder.  Any such appointment
shall be evidenced by an instrument in writing signed by a Responsible Officer
of the Trustee, a copy of which instrument shall be promptly furnished to the 

 

59

 

Company.  Wherever reference is made in this Indenture
to the authentication and delivery of Securities by the Trustee or the Trustee’s
certificate of authentication, such reference shall be deemed to include
authentication and delivery on behalf of the Trustee by an Authenticating Agent
and a certificate of authentication executed on behalf of the Trustee by an
Authenticating Agent.  Each
Authenticating Agent shall be acceptable to the Company and, except as may
otherwise be provided pursuant to Section 3.1, shall at all times be a
bank or trust company or corporation organized and doing business and in good
standing under the laws of the United States of America or of any State or the
District of Columbia, authorized under such laws to act as Authenticating
Agent, having a combined capital and surplus of not less than $50,000,000 and
subject to supervision or examination by Federal or State authorities.  If such Authenticating Agent publishes
reports of condition at least annually, pursuant to law or the requirements of
the aforesaid supervising or examining authority, then for the purposes of this
Section, the combined capital and surplus of such Authenticating Agent shall be
deemed to be its combined capital and surplus as set forth in its most recent
report of condition so published.  In case
at any time an Authenticating Agent shall cease to be eligible in accordance
with the provisions of this Section, such Authenticating Agent shall resign
immediately in the manner and with the effect specified in this Section.

 

Any
corporation into which an Authenticating Agent may be merged or converted or
with which it may be consolidated, or any corporation resulting from any
merger, conversion or consolidation to which such Authenticating Agent shall be
a party, or any corporation succeeding to the corporate agency or corporate
trust business of an Authenticating Agent, shall continue to be an
Authenticating Agent, provided such corporation shall be otherwise eligible
under this Section, without the execution or filing of any paper or further act
on the part of the Trustee or the Authenticating Agent.

 

An
Authenticating Agent for any series of Securities may at any time resign by
giving written notice of resignation to the Trustee for such series and to the
Company. The Trustee for any series of Securities may at any time terminate the
agency of an Authenticating Agent by giving written notice of termination to
such Authenticating Agent and to the Company. 
Upon receiving such a notice of resignation or upon such a termination,
or in case at any time such Authenticating Agent shall cease to be eligible in
accordance with the provisions of this Section, the Trustee for such series may
appoint a successor Authenticating Agent which shall be acceptable to the
Company and shall give notice of such appointment to all Holders of Securities
of the series with respect to which such Authenticating Agent will serve in the
manner set forth in Section 1.6. 
Any successor Authenticating Agent upon acceptance of its appointment
hereunder shall become vested with all the rights, powers and duties of its
predecessor hereunder, with like effect as if originally named as an
Authenticating Agent herein.  No
successor Authenticating Agent shall be appointed unless eligible under the
provisions of this Section.

 

The
Company agrees to pay to each Authenticating Agent from time to time such
reasonable compensation as the Company and such Authenticating Agent agree in 

 

60

 

writing from time to time including reimbursement of
its reasonable expenses for its services under this Section.

 

If an
appointment with respect to one or more series is made pursuant to this
Section, the Securities of such series may have endorsed thereon, in addition
to or in lieu of the Trustee’s certificate of authentication, an alternate
certificate of authentication substantially in the following form:

 

This
is one of the Securities of the series designated herein and issued under the
within-mentioned Indenture.

 

	
   

  	
  The Chase Manhattan
  Bank, as Trustee

  
	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  as Authenticating Agent

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  

 

Section 6.14.                            Preferential
Collection of Claims Against Company. 
If and when the Trustee shall be or become a creditor of the Company (or
any other obligor under the Securities), the Trustee shall be subject to the
provisions of the Trust Indenture Act regarding the collection of claims
against the Company (or any such other obligor).

 

ARTICLE VII

 

CONSOLIDATION, MERGER OR
SALE BY THE COMPANY

 

Section 7.1.                                  Consolidation,
Merger or Sale of Assets Permitted. 
The Company may not merge or consolidate with or into any other Person
or sell, convey or transfer all or substantially all of its assets to any
Person, unless (i) (A) in the case of such merger or consolidation,
the Company is the surviving Person or (B) the Person formed by such
consolidation or into which the Company is merged, or the Person that acquires
by sale, conveyance or transfer, the assets of the Company is organized and
existing under the laws of the Commonwealth of Australia or any political
subdivision of the Commonwealth of Australia and entitled to carry on the
business of the Company and such Person expressly assumes by supplemental
indenture delivered to the Trustee all the obligations of the Company under the
Securities and any coupons appertaining thereto and under this Indenture, (ii) immediately
thereafter, giving effect to such merger or consolidation, or such sale,
conveyance or transfer, no Event of Default shall have occurred and be
continuing and (iii) the Company shall have delivered to the Trustee an
Officers’ Certificate and an Opinion of Counsel each stating that such merger,
consolidation, sale, conveyance or transfer complies with this Article and
that all conditions precedent herein provided for relating to such transaction
have been complied with (which Opinion of Counsel may rely on such Officers’
Certificate with respect to compliance with the preceding clause (ii)).  In the event of the assumption by a successor

 

61

 

Person of the obligations
of the Company as provided in clause (i)(B) of the immediately
preceding sentence, such successor Person shall succeed to and be substituted
for the Company hereunder and under the Securities and any coupons appertaining
thereto and all such obligations of the Company shall terminate.

 

ARTICLE VIII

 

SUPPLEMENTAL INDENTURES

 

Section 8.1.                                  Supplemental
Indentures Without Consent of Holders. 
Without the consent of any Holders, the Company and the Trustee, at any
time and from time to time, may enter into indentures supplemental hereto, in
form reasonably satisfactory to the Trustee, for any of the following purposes:

 

(1)           to evidence the
succession of another Person to the Company and the assumption by any such
successor of the covenants and obligations of the Company herein and in the
Securities (with such changes herein and therein as may be necessary or
advisable to reflect such Person’s legal status, if such Person is not a
corporation); or

 

(2)           to add to the covenants
of the Company for the benefit of the Holders of all or any series of
Securities (and if such covenants are to be for the benefit of less than all
series of Securities, stating that such covenants, for which a grace period may
be provided, are expressly being included solely for the benefit of such
series) or to surrender any right or power herein conferred upon the Company or
to comply with any requirement of the Commission in connection with the
qualification of this Indenture under the Trust Indenture Act or otherwise; or

 

(3)           to add any additional
Events of Default with respect to all or any series of Securities; or

 

(4)           to add to or change any
of the provisions of this Indenture to such extent as shall be necessary to
facilitate the issuance of Bearer Securities (including, without limitation, to
provide that Bearer Securities may be registrable as to principal only) or to
facilitate or provide for the issuance of Securities in global form in addition
to or in place of Securities in certificated form; or

 

(5)           to change or eliminate
any of the provisions of this Indenture, provided that any such change or
elimination shall become effective only with respect to any series of
Securities which has not been issued as of the execution of such supplemental
indenture or when there is no Security Outstanding of any series created prior
to the execution of such supplemental indenture which is entitled to the
benefit of such provision; or

 

(6)           to secure the
Securities; or

 

62

 

(7)           to establish the form
or terms of Securities of any series as permitted by Sections 2.1 and 3.1; or

 

(8)           to provide for the
delivery of indentures supplemental hereto or the Securities of any series in
or by means of any computerized, electronic or other medium, including without
limitation by computer diskette; or

 

(9)           to evidence and provide
for the acceptance of appointment hereunder by a successor Trustee with respect
to the Securities of one or more series or to add to or change any of the
provisions of this Indenture as shall be necessary to provide for or facilitate
the administration of the trusts hereunder by more than one Trustee, pursuant
to the requirements of Article VI; or

 

(10)     if allowed without penalty
under applicable laws and regulations, to permit payment in the United States
(including any of the states and the District of Columbia), its territories,
its possessions and other areas subject to its jurisdiction of principal,
premium, if any, or interest, if any, on Bearer Securities or coupons, if any;
or

 

(11)     to maintain qualification of
this Indenture under the Trust Indenture Act; or

 

(12)     to correct or supplement any
provision herein which may be inconsistent with any other provision herein or
to cure any ambiguity or omission or to correct any mistake, provided such
action shall not adversely affect the interests of the Holders of Securities of
any series; or

 

(13)     to make any other provisions
with respect to matters or questions arising under this Indenture, provided
such action shall not adversely affect the interests of the Holders of
Securities of any series.

 

The
Company has undertaken with the Australian Prudential Regulation Authority that
it will not consent to the amendment of Section 5.1 or Article X
hereof or a change in the Stated Maturity of the principal of the Securities of
any series without the prior approval of the Australian Prudential Regulation
Authority.

 

Section 8.2.                                  With
Consent of Holders.  With the written
consent of the Holders of not less than a majority of the aggregate principal
amount of the Outstanding Securities of each series adversely affected by such
supplemental indenture (with the Securities of each series voting as a class),
the Company and the Trustee may enter into an indenture or indentures supplemental
hereto to add any provisions to or to change or eliminate any provisions of
this Indenture or of any other indenture supplemental hereto or to modify the
rights of the Holders of Securities of each such series; provided, however,
that without the consent of the Holder of each Outstanding Security affected
thereby, a supplemental indenture under this Section may not:

 

63

 

(1)           change the Stated
Maturity of the principal of, or any installment of principal of or interest
on, any Security, or reduce the principal amount thereof or the rate of
interest thereon or any premium payable upon the redemption thereof, or reduce
the amount of the principal of an Original Issue Discount Security or Indexed
Security that would be due and payable upon a declaration of acceleration of
the Maturity thereof pursuant to Section 5.2, or change the coin or
currency in which any Securities or any premium or the interest thereon is
payable, or impair the right to institute suit for the enforcement of any such
payment on or after the Stated Maturity thereof (or, in the case of redemption,
on or after the Redemption Date);

 

(2)           reduce the percentage
in principal amount of the Outstanding Securities of any series, the consent of
whose Holders is required for any such supplemental indenture, or the consent
of whose Holders is required for any waiver (of compliance with certain
provisions of this Indenture or certain defaults hereunder and their
consequences) provided for in this Indenture;

 

(3)           change any obligation
of the Company to maintain an office or agency in the places and for the
purposes specified in Section 9.2; or

 

(4)           except to the extent
provided in Section 8.1(9), make any change in Section 5.2, 5.7, 5.10
or this Section 8.2 except to increase any percentage or to provide that
certain other provisions of this Indenture cannot be modified or waived except
with the consent of the Holders of each Outstanding Security affected thereby.

 

For
the purposes of this Section 8.2, if the Securities of any series are
issuable upon the exercise of warrants, any holder of an unexercised and
unexpired warrant with respect to such series shall not be deemed to be a
Holder of Outstanding Securities of such series in the amount issuable upon the
exercise of such warrants.

 

A
supplemental indenture which changes or eliminates any covenant or other
provision of this Indenture which has expressly been included solely for the
benefit of one or more particular series of Securities, or which modifies the
rights of the Holders of Securities of such series with respect to such
covenant or other provision, shall be deemed not to affect the rights under
this Indenture of the Holders of Securities of any other series.

 

The
Company has undertaken with the Australian Prudential Regulation Authority that
it will not consent to the amendment of Section 5.1 or Article X
hereof or to a change in the Stated Maturity of the principal of the Securities
of any series without the prior approval of the Australian Prudential
Regulation Authority.  Immediately prior
to entering into a supplemental indenture amending such sections or changing
the Stated Maturity of the principal of the Securities of any series pursuant
to this Section 8.2, the Company shall deliver to the Trustee an Officers’
Certificate stating that the Company is entitled to effect such amendment or
change and setting forth a statement of facts 

 

64

 

showing that the conditions precedent to the right of
the Company to do so have occurred.

 

It is
not necessary under this Section 8.2 for the Holders to consent to the
particular form of any proposed supplemental indenture, but it is sufficient if
they consent to the substance thereof.

 

Section 8.3.                                  Compliance
with Trust Indenture Act.  Every
amendment to this Indenture or the Securities of one or more series shall be
set forth in a supplemental indenture that complies with the Trust Indenture
Act as then in effect.

 

Section 8.4.                                  Execution
of Supplemental Indentures.  In
executing, or accepting the additional trusts created by, any supplemental
indenture permitted by this Article or the modification thereby of the
trusts created by this Indenture, the Trustee shall be entitled to receive, and
shall be fully protected in relying upon, an Officers’ Certificate and an
Opinion of Counsel stating that the execution of such supplemental indenture is
authorized or permitted by this Indenture. 
The Trustee may, but shall not be obligated to, enter into any such supplemental
indenture which adversely affects the Trustee’s own rights, duties or
immunities under this Indenture or otherwise. 
The Trustee shall enter into any such supplemental indenture if such
supplemental indenture does not adversely affect the Trustee’s own rights,
duties or immunities under this Indenture or otherwise.

 

Section 8.5.                                  Effect
of Supplemental Indentures.  Upon the
execution of any supplemental indenture under this Article, this Indenture
shall be modified in accordance therewith, and such supplemental indenture
shall form a part of this Indenture for all purposes; and every Holder of
Securities theretofore or thereafter authenticated and delivered hereunder and
of any coupon appertaining thereto shall be bound thereby; provided that if such
supplemental indenture makes any of the changes described in clauses (1) through
(4) of the first proviso to Section 8.2, such supplemental indenture
shall bind each Holder of a Security who has consented to it and every
subsequent Holder of such Security or any part thereof.

 

Section 8.6.                                  Reference
in Securities to Supplemental Indentures. 
Securities, including any coupons, of any series authenticated and
delivered after the execution of any supplemental indenture pursuant to this Article may,
and shall if required by the Trustee, bear a notation in form approved by the
Trustee as to any matter provided for in such supplemental indenture.  If the Company shall so determine, new
Securities including any coupons of any series so modified as to conform, in the
opinion of the Trustee and the Company, to any such supplemental indenture may
be prepared and executed by the Company and authenticated and delivered by the
Trustee in exchange for Outstanding Securities including any coupons of such
series.

 

65

 

ARTICLE IX

 

COVENANTS

 

Section 9.1.                                  Payment
of Principal, Premium, if any, and Interest.  The Company covenants and agrees for the
benefit of the Holders of each series of Securities that it will duly and
punctually pay the principal of, and premium, if any, and interest on the
Securities of that series in accordance with the terms of the Securities of
such series, any coupons appertaining thereto and this Indenture.  An installment of principal, premium, if any,
or interest shall be considered paid on the date it is due if the Trustee or
Paying Agent holds on that date money designated for and sufficient to pay the
installment.

 

Section 9.2.                                  Maintenance
of Office or Agency.  If Securities
of a series are issued as Registered Securities, the Company will maintain in
each Place of Payment for any series of Securities an office or agency where
Securities of that series may be presented or surrendered for payment, where
Securities of that series may be surrendered for registration of transfer or
exchange and where notices and demands to or upon the Company in respect of the
Securities of that series and this Indenture may be served.  If Securities of a series are issuable as
Bearer Securities, the Company will maintain, (i) subject to any laws or
regulations applicable thereto, an office or agency in a Place of Payment for
that series which is located outside the United States, where Securities of
that series and related coupons may be presented and surrendered for payment;
provided, however, that if the Securities of that series are listed on The
International Stock Exchange of the United Kingdom and the Republic of Ireland
Limited, the Luxembourg Stock Exchange or any other stock exchange located
outside the United States and such stock exchange shall so require, the Company
will maintain a Paying Agent for the Securities of that series in London,
Luxembourg or any other required city located outside the United States, as the
case may be, so long as the Securities of that series are listed on such
exchange and (ii) subject to any laws or regulations applicable thereto,
an office or agency in a Place of Payment for that series which is located
outside the United States where Securities of that series may be surrendered
for exchange and where notices and demands to or upon the Company in respect of
the Securities of that series and this Indenture may be served.  The Company will give prompt written notice
to the Trustee of the location, and any change in the location, of any such
office or agency.  If at any time the
Company shall fail to maintain any such required office or agency or shall fail
to furnish the Trustee with the address thereof, such presentations,
surrenders, notices and demands may be made or served at the Corporate Trust
Office of the Trustee, and the Company hereby appoints the Trustee as its agent
to receive all such presentations, surrenders, notices and demands.

 

Unless
otherwise specified as contemplated by Section 3.1, no payment of
principal, premium or interest on Bearer Securities shall be made at any office
or agency of the Company in the United States, by check mailed to any address
in the United States, by transfer to an account located in the United States or
upon presentation or surrender in the United States of a Bearer Security or
coupon for payment, even if the payment would 

 

66

 

be credited to an account located outside the United
States; provided, however, that, if the Securities of a series are denominated
and payable in Dollars, payment of principal of and any premium or interest on
any such Bearer Security shall be made at an office of a Paying Agent of the
Company in the Borough of Manhattan, the City of New York, if (but only if)
payment in Dollars of the full amount of such principal, premium or interest,
as the case may be, at all offices or agencies outside the United States
maintained for the purpose by the Company in accordance with this Indenture is
illegal or effectively precluded by exchange controls or other similar
restrictions.

 

Subject
to the preceding paragraphs, the Company may also from time to time designate
one or more other offices or agencies where the Securities (including any
coupons, if any) of one or more series may be presented or surrendered for any
or all such purposes and may from time to time rescind such designations;
provided, however, that no such designation or rescission shall in any manner
relieve the Company of its obligation to maintain an office or agency in each
Place of Payment for Securities (including any coupons, if any) of any series
for such purposes.  The Company will give
prompt written notice to the Trustee of any such designation or rescission and
of any change in the location of any such other office or agency.

 

Unless
otherwise specified as contemplated by Section 3.1, the Trustee shall
initially serve as Paying Agent.  The
Paying Agent may make reasonable rules not inconsistent herewith for the
performance of its functions.

 

Section 9.3.                                  Money
for Securities to Be Held in Trust; Unclaimed Money.  If the Company shall at any time act as its
own Paying Agent with respect to any series of Securities, it will, on or
before each due date of the principal of, or premium, if any, or interest on
any of the Securities of that series, segregate and hold in trust for the
benefit of the Persons entitled thereto a sum sufficient to pay the principal,
premium, if any, or interest so becoming due until such sums shall be paid to
such Persons or otherwise disposed of as herein provided and will promptly
notify the Trustee in writing of its action or failure so to act.

 

If the
Company is not acting as its own Paying Agent, the Company will cause each
Paying Agent for any series of Securities other than the Trustee to execute and
deliver to the Trustee an instrument in which such Paying Agent shall agree
with the Trustee, subject to the provisions of this Section, that such Paying
Agent will:

 

(1)           hold all sums held by
it for the payment of the principal of, or premium, if any, or interest on
Securities of that series in trust for the benefit of the Persons entitled
thereto until such sums shall be paid to such Persons or otherwise disposed of
as herein provided;

 

(2)           give the Trustee notice
of any default by the Company (or any other obligor upon the Securities of that
series) in the making of any payment of principal, premium, if any, or interest
on the Securities; and

 

67

 

(3)           at any time during the
continuance of any such default, upon the written request of the Trustee,
forthwith pay to the Trustee all sums so held in trust by such Paying Agent.

 

The
Company may at any time, for the purpose of obtaining the satisfaction and
discharge of this Indenture or for any other purpose, pay, or by Company Order
direct any Paying Agent to pay, to the Trustee all sums held in trust by the
Company or such Paying Agent, such sums to be held by the Trustee upon the same
trusts as those upon which such sums were held by the Company or such Paying
Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying
Agent shall be released from all further liability with respect to such
money.  If the Company acts as Paying
Agent, it shall segregate the money held by it as Paying Agent and hold it in a
separate trust fund.

 

Any
money deposited with the Trustee or any Paying Agent, or then held by the
Company, in trust for the payment of any principal, premium or interest or
other amounts on any Security of any series and remaining unclaimed for two
years after such principal, premium, if any, or interest or other amounts has
become due and payable shall be paid to the Company on Company Request, or (if
then held by the Company) shall be discharged from such trust; and the Holder of
such Security and coupon, if any, shall thereafter, as an unsecured general
creditor, look only to the Company for payment thereof, and all liability of
the Trustee or such Paying Agent with respect to such trust money, and all
liability of the Company as trustee thereof, shall thereupon cease; provided,
however, that the Trustee or such Paying Agent, before being required to make
any such repayment, may at the expense of the Company cause to be published
once, in a newspaper published in the English language, customarily published
on each Business Day and of general circulation in The City of New York, or
cause to be mailed to such Holder, notice that such money remains unclaimed and
that, after a date specified therein, which shall not be less than 30 days from
the date of such publication, any unclaimed balance of such money then
remaining will be repaid to the Company.

 

Section 9.4.                                  Corporate
Existence.  Subject to Article VII,
the Company will at all times do or cause to be done all things necessary to preserve
and keep in full force and effect its corporate existence and its rights and
franchises; provided that nothing in this Section 9.4 shall prevent the
abandonment or termination of any right or franchise of the Company if, in the
opinion of the Company, such abandonment or termination is in the best
interests of the Company.

 

Section 9.5.                                  Insurance.  The Company covenants and agrees that it will
maintain, and cause each of its Subsidiaries to maintain, insurance with
responsible and reputable insurance companies or associations or through a
program of self-insurance in such amounts and covering such risks as are
consistent with sound business practice for corporations engaged in the same or
a similar business similarly situated.

 

68

 

Section 9.6.                                  Reports by the
Company.  The Company covenants:

 

(a)  to file with
the Trustee, within 30 days after the Company is required to file the same with
the Commission, copies of the annual reports and of the information, documents
and other reports (or copies of such portions of any of the foregoing as the
Commission may from time to time by rules and regulations prescribe) which
the Company may be required to file with the Commission pursuant to Section 13
or Section 15(d) of the Securities Exchange Act of 1934, as amended; or, if the
Company is not required to file information, documents or reports pursuant to
either of such sections, then to file with the Trustee and the Commission, in
accordance with rules and regulations prescribed from time to time by the
Commission, such of the supplementary and periodic information, documents and
reports which may be required pursuant to Section 13 of the Securities Exchange
Act of 1934, as amended, in respect of a security listed and registered on a
national securities exchange as may be prescribed from time to time in such rules and
regulations;

 

(b)  to file with
the Trustee and the Commission, in accordance with the rules and
regulations prescribed from time to time by the Commission, such additional
information, documents and reports with respect to compliance by the Company
with the conditions and covenants provided for in this Indenture, as may be
required from time to time by such rules and regulations; and

 

(c)  to transmit to
all Holders of Securities within 30 days after the filing thereof with the
Trustee, in the manner and to the extent provided in Section 313(c) of
the Trust Indenture Act, such summaries of any information, documents and
reports required to be filed by the Company pursuant to subsections (a) and
(b) of this Section 9.6, as may be required by rules and
regulations prescribed from time to time by the Commission.

 

Section 9.7.                                  Annual
Review Certificate.  The Company
covenants and agrees to deliver to the Trustee, within 120 days after the end
of each fiscal year of the Company, a brief certificate from the principal
executive officer, principal financial officer or principal accounting officer
as to his or her knowledge of the Company’s compliance with all conditions and
covenants under this Indenture.  For
purposes of this Section 9.7, such compliance shall be determined without
regard to any period of grace or requirement of notice provided under this
Indenture.

 

Section 9.8.                                  Payment
of Additional Amounts.  (a)  All
payments in respect of the Securities shall be made without withholding or
deduction for, or on account of, any taxes, assessments or other governmental
charges (“relevant tax”) imposed or levied by or on behalf of the Commonwealth
of Australia or any political subdivision or authority in or of the
Commonwealth of Australia, unless the withholding or deduction is required by
law.  In that event, the Company will pay
such additional amounts (“Additional Amounts”) as may be necessary so that the
net amount received by the Holder of the Securities, after such withholding or
deduction, will equal the amount that the Holder 

 

69

 

would have received in
respect of the Securities without such withholding or deduction.  However, the Company will pay no Additional
Amounts:

 

(1)           to the extent that the
relevant tax is imposed or levied by virtue of the Holder, or the beneficial
owner, of the Securities having some connection (whether present, past or
future) with the Commonwealth of Australia or any political subdivision or
authority of or in the Commonwealth of Australia, other than being a Holder, or
the beneficial owner, of the Securities;

 

(2)           to the extent that the
relevant tax is imposed or levied by virtue of the Holder, or the beneficial
owner, of the Securities not complying with any statutory requirements or not
having made a declaration of non-residence in, or other lack of connection
with, the Commonwealth of Australia or any political subdivision or authority
of or in the Commonwealth of Australia or any similar claim for exemption, if
the Company or its agent has provided the Holder, or the beneficial owner, of
the Securities with at least 60 days’ prior written notice of an opportunity to
comply with such statutory requirements or make a declaration or claim;

 

(3)           to the extent that the
relevant tax is imposed or levied by virtue of the Holder, or the beneficial
owner, of the Securities having presented for payment more than 30 days after
the date on which the payment in respect of the Securities first became due and
payable, except to the extent that the Holder, or the beneficial owner, of the
Securities would have been entitled to such Additional Amounts if the Holder or
beneficial owner had presented the Securities for payment on any day within
such 30-day period;

 

(4)           to the extent that the
relevant tax is imposed or levied by virtue of the Holder, or the beneficial
owner, of the Securities having presented the Securities for payment in the
Commonwealth of Australia, unless the Securities could not have been presented
for payment elsewhere; or

 

(5)           to the extent that the
relevant tax is imposed or levied by virtue of the Holder, or the beneficial
owner, of the Securities being an associate of the Company for purposes of Section 128F(6) of
the Income Tax Assessment Act 1936 of the Commonwealth of Australia.

 

In
addition, the Company will pay no Additional Amounts to any Holder who is a
fiduciary or partnership or other than the sole beneficial owner of the payment
in respect of the Securities to the extent such payment would, under the laws
of the Commonwealth of Australia or any political subdivision or authority of
or in the Commonwealth of Australia, be treated as being derived or received
for tax purposes by a beneficiary or settlor with respect to such fiduciary or
a member of such partnership or a beneficial owner who would not have been
entitled to Additional Amounts had it been the Holder of the Securities.

 

70

 

(b) 
Any reference in this Indenture or any indenture supplemental hereto to
principal or interest shall be deemed to also refer to any Additional Amount
that may be payable under this Section 9.8.

 

Section 9.9.                                  Payment
of Stamp Taxes.  The Company will pay
or discharge or cause to be paid or discharged all stamp and similar taxes, if
any, that may be imposed by the Commonwealth of Australia or any political
subdivision or taxing authority thereof or therein with respect to the
execution or delivery of this Indenture or the Securities.

 

Section 9.10.                            Indemnification
of Judgment Currency.  The Company
shall indemnify the Trustee and any Holder of a Security against any loss
incurred by the Trustee or such Holder, as the case may be, as a result of any
judgment or order being given or made for any amount due under this Indenture
or such Security and such judgment or order being expressed and paid in a
currency (the “Judgment Currency”) other than the currency in which such
Security is denominated or payable, as the case may be (the “Specified Currency”),
and as a result of any variation as between (i) the rate of exchange at
which the Specified Currency amount is converted into the Judgment Currency for
the purpose of such judgment or order and (ii) the spot rate of exchange
in The City of New York at which the Trustee or such Holder, as the case may
be, on the date of payment of such judgment or order is able to purchase the
Specified Currency with the amount of the Judgment Currency actually received
by the Trustee or such Holder.   The
foregoing indemnity shall constitute a separate and independent obligation of
the Company and shall continue in full force and effect notwithstanding any
such judgment or order as aforesaid.  The
term “spot rate of exchange” shall include any premiums and costs of exchange
payable in connection with the purchase of, or conversion into, the Specified
Currency.

 

Section 9.11.                            Waiver
of Certain Covenants.  Company may
omit in any particular instance to comply with any term, provision or condition
set forth in Section 9.4 and 9.9 with respect to the Securities of any
series if before the time for such compliance the Holders of at least a
majority in principal amount of the Outstanding Securities of such series
shall, by Act of such Holders, either waive such compliance in such instance or
generally waive compliance with such term, provision or condition, but no such
waiver shall extend to or affect such term, provision or condition except to
the extent so expressly waive, and, until such waiver shall become effective,
the obligations of the Company and the duties of the Trustee in respect of any
such term, provision or condition shall remain in full force and effect.

 

ARTICLE X

 

REDEMPTION

 

Section 10.1.                            Applicability
of Article.  (a)  Securities
(including coupons, if any) of or within any series that are redeemable in
whole or in part before their Stated Maturity shall be redeemable in accordance
with their terms and (except as otherwise 

 

71

 

specified as contemplated
by Section 3.1 for Securities of any series) in accordance with this
Article.

 

(b) 
No Securities of any series will be redeemed before their Stated Maturity
without the prior written approval of the Australian Prudential Regulation
Authority, if approval is then required.

 

Section 10.2.                            Election
to Redeem; Notice to Trustee.  The
election of the Company to redeem any Securities, including coupons, if any,
shall be evidenced by or pursuant to a Board Resolution or a Company
Order.  In the case of any redemption at
the election of the Company of less than all the Securities or coupons, if any,
of any series having the same terms, the Company shall, at least 45 but not
more than 60 days prior to the Redemption Date fixed by the Company (unless a
shorter notice shall be satisfactory to the Trustee), notify the Trustee of
such Redemption Date, of the principal amount of Securities of such series to
be redeemed and, if applicable, of the tenor of the Securities to be redeemed.  In the case of any redemption of Securities (i) prior
to the expiration of any restriction on such redemption provided in the terms
of such Securities or elsewhere in this Indenture or (ii) pursuant to an
election of the Company that is subject to a condition specified in the terms
of such Securities, the Company shall furnish the Trustee with an Officers’
Certificate evidencing compliance with such restriction or condition.

 

Section 10.3.                            Selection
of Securities to Be Redeemed.  Unless
otherwise specified as contemplated by Section 3.1, if less than all the
Securities (including coupons, if any) of a series with the same terms are to
be redeemed, the Trustee, not more than 60 but at least 45 days prior to the
Redemption Date, shall select the Securities of the series to be redeemed in
such manner as the Trustee shall deem fair and appropriate.  The Trustee shall make the selection from
Securities of the series that are Outstanding and that have not previously been
called for redemption and may provide for the selection for redemption of
portions (equal to the minimum authorized denomination for Securities,
including coupons, if any, of that series or any integral multiple thereof) of
the principal amount of Securities, including coupons, if any, of such series
of a denomination larger than the minimum authorized denomination for
Securities of that series.  The Trustee
shall promptly notify the Company in writing of the Securities selected by the
Trustee for redemption and, in the case of any Securities selected for partial
redemption, the principal amount thereof to be redeemed.  If the Securities (including coupons, if any)
of a series having different issue dates, interest rates and maturities
(whether or not originally issued in a Periodic Offering) are to be redeemed,
the Company in its discretion may select the particular Securities or portions
thereof to be redeemed and shall notify the Trustee thereof by such time prior
to the relevant redemption date or dates as the Company and the Trustee may
agree.

 

For
purposes of this Indenture, unless the context otherwise requires, all
provisions relating to the redemption of Securities (including coupons, if any)
shall relate, in the case of any Securities (including coupons, if any)
redeemed or to be redeemed only in part, to the portion of the principal amount
of such Securities (including coupons, if any) that has been or is to be
redeemed.

 

72

 

Section 10.4.                            Notice
of Redemption.  Unless otherwise
specified as contemplated by Section 3.1, notice of redemption shall be
given in the manner provided in Section 1.6 not less than 30 days nor more
than 60 days prior to the Redemption Date to the Holders of the Securities to
be redeemed.

 

All
notices of redemption shall state:

 

(1)           the Redemption Date;

 

(2)           the Redemption Price;

 

(3)           if less than all the
Outstanding Securities of a series are to be redeemed, the identification (and,
in the case of partial redemption, the principal amounts) of the particular
Security or Securities to be redeemed;

 

(4)           in case any Security is
to be redeemed in part only, the notice that 
relates to such Security shall state that on and after the Redemption
Date, upon surrender of such Security, the holder will receive, without a charge,
a new Security or Securities of authorized denominations for the principal
amount thereof remaining unredeemed;

 

(5)           the Place or Places of
Payment where such Securities, together in the case of Bearer Securities with
all coupons appertaining thereto, if any, maturing after the Redemption Date,
are to be surrendered for payment for the Redemption Price;

 

(6)           that Securities of the
series called for redemption and all unmatured coupons, if any, appertaining
thereto must be surrendered to the Paying Agent to collect the Redemption
Price;

 

(7)           that, on the Redemption
Date, the Redemption Price will become due and payable upon each such Security,
or the portion thereof, to be redeemed and, if applicable, that interest
thereon will cease to accrue on and after said date;

 

(8)           that the redemption is
for a sinking fund, if such is the case;

 

(9)           that, unless otherwise
specified in such notice, Bearer Securities of any series, if any, surrendered
for redemption must be accompanied by all coupons maturing subsequent to the Redemption
Date or the amount of any such missing coupon or coupons will be deducted from
the Redemption Price, unless security or indemnity satisfactory to the Company,
the Trustee and any Paying Agent is furnished; and

 

(10)     the CUSIP number, if any, of such
Securities.

 

Notice
of redemption of Securities to be redeemed shall be given by the Company or, at
the Company’s request, by the Trustee in the name and at the expense of the
Company.  Any notice given in the manner
provided herein shall be conclusively 

 

73

 

presumed to have been given, whether or not such
notice is actually received.  Failure to
mail any notice or defect in the mailed notice or the mailing thereof in
respect of any Security shall not affect the validity of the redemption of any
other Security.

 

Section 10.5.                            Deposit
of Redemption Price.  On or prior to
any Redemption Date, the Company shall deposit with the Trustee or with a
Paying Agent (or, if the Company is acting as its own Paying Agent, which it
may not do in the case of a sinking fund payment under Article XI,
segregate and hold in trust as provided in Section 9.3) an amount of money
in the currency or currencies (including currency units or composite
currencies) in which the Securities of such series are payable (except as
otherwise specified pursuant to Section 3.1 for the Securities of such
series) sufficient to pay on the Redemption Date the Redemption Price of, and
(unless the Redemption Date shall be an Interest Payment Date) interest accrued
to the Redemption Date on, all Securities or portions thereof which are to be
redeemed on that date.

 

Unless
any Security by its terms prohibits any sinking fund payment obligation from
being satisfied by delivering and crediting Securities (including Securities
redeemed otherwise than through a sinking fund), the Company may deliver such
Securities to the Trustee for crediting against such payment obligation in
accordance with the terms of such Securities and this Indenture.

 

Section 10.6.                            Securities
Payable on Redemption Date.  Notice
of redemption having been given as aforesaid, the Securities so to be redeemed
shall, on the Redemption Date, become due and payable at the Redemption Price
therein specified, and from and after such date (unless the Company shall
default in the payment of the Redemption Price and accrued interest) such
Securities shall cease to bear interest and the coupons for any such interest
appertaining to any Bearer Security so to be redeemed, except to the extent provided
below, shall be void.  Except as provided
in the next succeeding paragraph, upon surrender of any such Security,
including coupons, if any, for redemption in accordance with said notice, such
Security shall be paid by the Company at the Redemption Price, together with
accrued interest to the Redemption Date; provided, however, that installments
of interest on Bearer Securities whose Stated Maturity is on or prior to the
Redemption Date and the principal of, and premium, if any, on such Bearer
Securities shall be payable only at an office or agency located outside the
United States and its possessions (except as otherwise provided in Section 9.2)
and, unless otherwise specified as contemplated by Section 3.1, only upon
presentation and surrender of coupons for such interest; and provided, further,
that, unless otherwise specified as contemplated by Section 3.1,
installments of interest on Registered Securities whose Stated Maturity is on
or prior to the Redemption Date shall be payable to the Holders of such
Securities, or one or more Predecessor Securities, registered as such at the
close of business on the relevant Record Dates according to their terms and the
provisions of Section 3.7.

 

If any
Bearer Security surrendered for redemption shall not be accompanied by all
appurtenant coupons maturing after the Redemption Date, such Bearer Security
may be paid after deducting from the Redemption Price an amount equal to the
face amount of 

 

74

 

all such missing coupons, or the surrender of such
missing coupon or coupons may be waived by the Company and the Trustee if there
be furnished to them such security or indemnity as they may require to save
each of them and any Paying Agent harmless. 
If thereafter the Holder of such Bearer Security shall surrender to the
Trustee or any Paying Agent any such missing coupon in respect of which a
deduction shall have been made from the Redemption Price, such Holder shall be
entitled to receive the amount so deducted; provided, however, that interest
represented by coupons shall be payable only at an office or agency located
outside of the United States (except as otherwise provided pursuant to Section 9.2)
and, unless otherwise specified as contemplated by Section 3.1, only upon
presentation and surrender of those coupons.

 

If any
Security called for redemption shall not be so paid upon surrender thereof for
redemption, the principal (and premium, if any) shall, until paid, bear
interest from the Redemption Date at the rate prescribed therefor in the
Security.

 

Section 10.7.                            Securities
Redeemed in Part.  Upon surrender of
a Security that is redeemed in part at any Place of Payment therefor (with, if
the Company or the Trustee so require, due endorsement by, or a written
instrument of transfer in form satisfactory to the Company and the Trustee duly
executed by, the Holder thereof or his attorney duly authorized in writing),
the Company shall execute and the Trustee shall authenticate and deliver to the
Holder of that Security, without service charge a new Security or Securities of
the same series, having the same form, terms and Stated Maturity, in any
authorized denomination equal in aggregate principal amount to the unredeemed
portion of the principal amount of the Security surrendered.

 

Section 10.8.                            Optional
Redemption Due to Changes in Australian Tax Treatment.  The Securities of any series may be redeemed,
in whole but not in part, at the Redemption Price specified in the form of
Security for such series established pursuant to Section 3.1, with any
accrued interest to the Redemption Date, at any time within 90 days of the
Company requesting and receiving an opinion of competent tax counsel to the
effect that there has been, an amendment to, change in or announced proposed
change in the laws or regulations under those laws, of the Commonwealth of
Australia or any political subdivision or authority thereof or therein; a
judicial decision interpreting, applying or clarifying those laws or
regulations; an administrative pronouncement or action that represents an
official position, including a clarification of an official position, of the
governmental authority or regulatory body making the administrative
pronouncement or taking any action; or a threatened challenge asserted in connection
with an audit of the Company, or any of its subsidiaries, or a threatened
challenge asserted in writing against any other taxpayer that has raised
capital through the issuance of securities that are substantially similar to
the Securities, which amendment or change is adopted or which proposed change,
decision or pronouncement is announced or which action, clarification or
challenge occurs on or after the date of the applicable prospectus supplement
or term sheet, following which there is more than an insubstantial risk that
any payment on the Securities is, or will be, subject to withholding or
deduction in respect of any taxes, assessments or other governmental charges; provided, however, that, if at the time there is available
to the Company the opportunity to eliminate, within the 

 

75

 

90-day period, the risk
that any payment on the Securities is, or will be, subject to such withholding
or deduction by taking some ministerial action, such as filing a form or making
an election, or pursuing some other similar reasonable measure that in the
Company’s sole judgment has or will cause no adverse effect on the Company or
any of the Company’s Subsidiaries or Affiliates and will involve no material
cost, the Company will pursue that measure in lieu of redeeming the Securities
of any series pursuant to this Section 10.8.

 

ARTICLE XI

 

SINKING FUNDS

 

Section 11.1.                            Applicability
of Article.  The provisions of this Article shall
be applicable to any sinking fund for the retirement of Securities of a series
except as otherwise specified as contemplated by Section 3.1 for
Securities of such series.

 

The
minimum amount of any sinking fund payment provided for by the terms of
Securities of any series is herein referred to as a “mandatory sinking fund
payment,” and any payment in excess of such minimum amount provided for by the
terms of Securities of any series is herein referred to as an “optional sinking
fund payment.”  If provided for by the
terms of Securities of any series, the cash amount of any sinking fund payment
may be subject to reduction as provided in Section 11.2.  Each sinking fund payment shall be applied to
the redemption of Securities of any series as provided for by the terms of
Securities of such series.

 

Section 11.2.                            Satisfaction
of Sinking Fund Payments with Securities. 
The Company (i) may deliver Outstanding Securities of a series
(other than any previously called for redemption) together, in the case of
Bearer Securities of such series, with all unmatured coupons appertaining
thereto and (ii) may apply as a credit Securities of a series which have
been redeemed either at the election of the Company pursuant to the terms of
such Securities or through the application of permitted optional sinking fund payments
pursuant to the terms of such Securities, in each case in satisfaction of all
or any part of any sinking fund payment with respect to the Securities of such
series required to be made pursuant to the terms of such Securities as provided
for by the terms of such series; provided that such Securities have not been
previously so credited.  Such Securities
shall be received and credited for such purpose by the Trustee at the
Redemption Price specified in such Securities for redemption through operation
of the sinking fund and the amount of such sinking fund payment shall be
reduced accordingly.

 

Section 11.3.                            Redemption
of Securities for Sinking Fund.  Not
less than 60 days prior to each sinking fund payment date for any series of
Securities, the Company will deliver to the Trustee an Officers’ Certificate
specifying the amount of the next ensuing sinking fund payment for that series
pursuant to the terms of that series, the portion thereof, if any, which is to
be satisfied by payment of cash and the portion thereof, if any, which is to be
satisfied by delivering and crediting Securities of that series pursuant to Section 11.2
and will also deliver to the Trustee any Securities to be so 

 

76

 

delivered.  Not less than 30 days before each such
sinking fund payment date the Trustee shall select the Securities to be
redeemed upon such sinking fund payment date in the manner specified in Section 10.3
and cause notice of the redemption thereof to be given in the name of and at
the expense of the Company in the manner provided in Section 10.4.  Such notice having been duly given, the
redemption of such Securities shall be made upon the terms and in the manner
stated in Sections 10.5 and 10.6.  This
Indenture may be executed in any number of counterparts, each of which shall be
an original, but such counterparts shall together constitute but one
instrument.

 

77

 

IN
WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly
executed, and their respective corporate seals to be hereunto affixed and
attested, all as of the day and year first above written.

 

	
   

  	
   

  	
  WESTPAC BANKING
  CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Lewis E.
  Love, Jr.

  
	
   

  	
   

  	
  Name:  Lewis E. Love, Jr.

  
	
   

  	
   

  	
  Title:   Vice President & Head of Legal and

  
	
   

  	
   

  	
  Compliance
  — Americas and Europe

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  THE CHASE MANHATTAN
  BANK,

  
	
   

  	
   

  	
  as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Annette Marsula

  
	
   

  	
   

  	
  Name: Annette Marsula

  
	
   

  	
   

  	
  Title:   Assistant Vice President

  

 

78

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00147-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00147-of-00352.parquet"}]]