Document:

PLEDGE AGREEMENT DATED AS OF MAY 10, 2004

 Exhibit 4.5 
  

PLEDGE AGREEMENT 
  
 PLEDGE AGREEMENT, dated as of May 10, 2004 (this “Agreement”), by and among Oscient Pharmaceuticals Corporation, a corporation duly
organized and existing under the laws of the Commonwealth of Massachusetts (the “Grantor”), having its principal office at 100 Beaver Street, Waltham, MA 02453, and U.S. Bank National Association (“U.S. Bank”), a
national banking association, (i) in its capacity as trustee (the “Trustee”) for the holders (the “Holders”) of the Securities (as hereinafter defined) issued by the Grantor under the Indenture referred to below and
(ii) in its individual capacity, as securities intermediary (in such capacity, the “Pledged Securities Intermediary”) at its office at One Federal Street, 3rd Floor, Boston, Massachusetts 02110 (the “Account Office”) with respect to the Pledge Account (as hereinafter defined). Capitalized terms used
herein and not otherwise defined herein shall have the meanings given to such terms in the Indenture. 
  
 RECITALS 
  
 The Grantor and the Trustee have entered into that certain Indenture dated as of the date hereof (as amended, restated, supplemented or otherwise modified from time to time, the “Indenture”), pursuant to which the Grantor
is issuing $6,000,000 in aggregate principal amount of its 31⁄2% Senior Subordinated Convertible Notes due 2011 (the “Securities”) on May 25, 2004. 
  
 Subject to the terms of this Agreement, the Pledged Securities Intermediary has established for the Grantor, as beneficial
owner, a securities account (the “Pledge Account”) at the Account Office, registered in the name of the Trustee, as entitlement holder, and designated as Account No. 785837010, Reference: U.S. Bank Pledge Account for the benefit of
the Holders of Oscient 31⁄2% Senior Subordinated Convertible Securities. 
  
 The Grantor has agreed to purchase or cause the purchase of security entitlements with respect to the U. S. Government Securities identified by CUSIP number in Schedule I hereto (such security entitlements being,
collectively, the “Initial Pledged Securities,” together with the Additional Pledged Securities (as defined below), the “Pledged Securities”), for the account of the Pledged Securities Intermediary for credit to the
Pledge Account, in an amount that will be sufficient, upon receipt of the scheduled interest and principal payments in respect thereof, to provide for the payment of the first six scheduled interest payments due on the Securities (up to and
including the interest payment due on April 15, 2007, but excluding Liquidated Damages, if any). 
  
 To secure the obligations of the Grantor under the Indenture and the Securities to pay in full each of the first six scheduled interest payments on the
Securities and to pay the principal and interest on the Securities and all other amounts payable by the Grantor under the Indenture in the event that the Securities or any principal thereof becomes due and payable prior to such time as the first six
scheduled interest payments thereon shall have been paid in full (collectively, the “Obligations”), the Grantor has agreed (i) to grant to the Trustee, for its benefit and the ratable 

  

 
benefit of the Holders of the Securities, a security interest in the Pledge Account and all cash, Pledged Securities and other Collateral (as hereinafter
defined) from time to time deposited therein or credited thereto and (ii) to execute and deliver this Agreement in order to secure the payment and performance by the Grantor of all the Obligations. 
  
 It is a condition precedent to the purchase of the Securities by the initial
Holders thereof that the Grantor shall have granted the security interests contemplated by this Agreement. 
  
 Unless otherwise defined herein or in the Indenture, terms used herein that are defined in Article 8 or 9 of the Uniform Commercial Code as in effect in
the State of New York (the “UCC”) are used herein as therein defined. 
  
 NOW, THEREFORE, for and in consideration of the mutual promises herein contained, and in order to induce the initial Holders to purchase the Securities, the Grantor hereby agrees with the Trustee, for the benefit of
the Trustee and for the ratable benefit of the Holders of the Securities, and with the Pledged Securities Intermediary, as follows: 
  
 SECTION 1. Grant of Security Interest. The Grantor hereby grants to the Trustee, for its benefit and for the ratable benefit of the Holders of the
Securities, a security interest in and to all of the Grantor’s right, title and interest in, to and under the following, in each case whether now owned or hereafter acquired, wherever located and whether now or hereafter existing (hereinafter
collectively referred to as the “Collateral”): 
  
 (a) the Pledge Account; 
  
 (b) all cash or credit
balances from time to time deposited in or credited to the Pledge Account; 
  
 (c) the Pledged Securities and all other financial assets (including certificated and uncertificated securities) and security entitlements from time to time deposited in, credited to, or created or otherwise carried
in the Pledge Account; 
  
 (d) all interest, dividends, cash,
instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of the Collateral; 
  
 (e) all securities (whether certificated or uncertificated) or other financial assets, security entitlements, securities accounts, accounts, general
intangibles, instruments, documents, cash or deposit accounts representing or evidencing any or all of the Collateral; and 
  
 (f) to the extent not covered by clauses (a) through (e) above, all proceeds of any and all of the foregoing Collateral (including, without limitation,
proceeds that constitute property of the types described in clauses (a) through (e) above). 
  

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 SECTION 2. Secured Obligations. This Agreement and the grant of a security interest in the
Collateral secure the prompt and complete payment and performance when due (whether at stated maturity, by acceleration, upon redemption or otherwise) of all Obligations now or hereafter existing, whether for principal, interest, fees, expenses,
indemnities or otherwise, and all obligations of the Grantor now or hereafter existing under this Agreement (all such Obligations and such other obligations being, collectively, the “Secured Obligations”). Without limiting the
generality of the foregoing, this Agreement and the grant of a security interest in the Collateral hereunder secure, to the fullest extent permitted by applicable law, the payment of all amounts that constitute part of the Secured Obligations and
that would be owed by the Grantor to the Trustee or the Holders under the Securities or the Indenture but for the fact that they are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving
the Grantor. 
  
 SECTION 3. Maintaining the Pledge Account.
Prior to or concurrently with the execution and delivery hereof and for so long as any Secured Obligation shall remain outstanding, 
  
 (a) the Trustee shall establish and maintain (and the Pledged Securities Intermediary shall maintain and administer in accordance with this Agreement) the
Pledge Account with the Pledged Securities Intermediary at the Account Office in accordance with the terms of this Agreement. The Pledge Account shall at all times be under the sole dominion and control of, and shall at all times be segregated from
any other custodial, collateral or other accounts maintained by, or under the dominion and control of, the Trustee; 
  
 (b) it shall be a term and condition of the Pledge Account, notwithstanding any term or condition to the contrary in any other agreement relating to the
Pledge Account, and except as otherwise provided by the provisions of Section 5 and Section 15.9 of this Agreement, that no Collateral (including proceeds thereof) shall be paid or released from the Pledge Account to or for the account of, or
withdrawn by or for the account of, and no entitlement orders with respect to any of the Collateral shall be given to the Pledged Securities Intermediary by, the Grantor or any other Person other than the Trustee as provided herein; 
  
 (c) subject to the provisions of this Agreement, the Pledge Account shall be
registered in the name of the Trustee on the books and records of the Pledged Securities Intermediary, the Trustee shall be identified on such books and records as the entitlement holder with respect to all security entitlements in all financial
assets from time to time held in or credited to the Pledge Account, and the Trustee shall have the sole right to (i) deliver entitlement orders with respect to the Pledge Account and any Collateral from time to time credited thereto, deposited
therein or represented thereby or (ii) make withdrawals from the Pledge Account or otherwise exercise any other rights with respect to any Collateral from time to time credited thereto or on deposit therein; and 
  
 (d) the Pledge Account shall be subject to such applicable laws, and such
applicable regulations of any appropriate banking or governmental authority, as may now or hereafter be in 

  

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effect, including without limitation any applicable regulations of the Board of Governors of the Federal Reserve System. 
  
 SECTION 4. Acquisition of Pledged Securities for Credit to the Pledge
Account. 
  
 (a) On or prior to the date hereof, the Grantor
shall purchase or cause the purchase of the Pledged Securities for the account of the Pledged Securities Intermediary for credit to the Pledge Account. 
  
 (b) Upon transfer or credit of the Pledged Securities to the Pledged Securities Intermediary, as confirmed to the Pledged Securities Intermediary by the
Federal Reserve Bank of New York or another securities intermediary at which the Pledged Securities Intermediary maintains a securities account, the Pledged Securities Intermediary shall make appropriate book entries indicating that the Pledged
Securities have been credited to and are held in the Pledge Account. 
  
 SECTION 5. Disbursements From the Pledge Account; Transfers of Additional Amounts to the Pledge Account. 
  
 (a) At least three Business Days prior to the due date of any of the first six scheduled interest payments on the Securities, the Grantor may, pursuant to
written instructions given by the Grantor to the Trustee (each an “Issuer Order”), instruct the Trustee to direct the Pledged Securities Intermediary to release from the Pledge Account, and pay to the Holders of the Securities as of
the applicable Record Date, proceeds of the Pledged Securities sufficient to provide for payment in full of such interest then due on the Securities. Upon receipt of an Issuer Order, the Trustee will direct the Pledged Securities Intermediary to
sell Pledged Securities sufficient to provide for payment in full of such interest then due on the Securities and to release funds from (and to the extent of) proceeds of the Pledged Securities in the Pledge Account in an amount sufficient to
provide for the payment in full of such interest then due on the Securities, as instructed in such Issuer Order, and to transfer such funds to the Holders of the Securities in accordance with the payment provisions of the Indenture. Nothing in this
Section 5 shall affect the Trustee’s rights to direct the application of the Collateral to the payment of amounts due on the Securities upon acceleration thereof in accordance with the terms of the Indenture. 
  
 (b) If the Grantor makes all or any portion of any interest payment for which
the Collateral is security from a source of funds other than the Pledge Account (“Grantor Funds”), the Grantor may, after payment in full of such interest payment, instruct the Trustee, pursuant to an Issuer Order, to direct the
Pledged Securities Intermediary to release to the Grantor, or to another party designated by the Grantor in such Issuer Order (the “Grantor’s Designee”), proceeds from the Pledge Account in an amount that, in the discretion of
the Grantor, is less than or equal to the amount of Grantor Funds applied to such interest payment; provided that, after giving effect to such release, the scheduled interest and principal payments in respect of the Pledged Securities remaining in
the Pledge Account, together with any cash remaining in the Pledge Account, equal or exceed the amount necessary to provide for the timely payment in full of interest on the Securities for as many of the first six scheduled interest payments as
shall then 

  

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remain. Upon (i) receipt by the Trustee of such Issuer Order and (ii) confirmation by the Trustee of the payment in full of such interest payment (from such
Grantor Funds and, if necessary, additional funds released from the Pledge Account in accordance with Section 5(a)), the Trustee shall direct the Pledged Securities Intermediary to release funds from (and to the extent of) proceeds of the Pledged
Securities in the Pledge Account and to transfer such funds to the Grantor or the Grantor’s Designee, as the case may be, as instructed in such Issuer Order as soon as practicable after such conditions are satisfied. 
  
 (c) If at any time the scheduled interest and principal payments in respect
of the Pledged Securities then credited to the Pledge Account, together with any cash then held in the Pledge Account, exceed 100% of the amount necessary (which shall be certified in writing by the principal executive, financial or accounting
officer of the Grantor in accordance with, and meeting the requirements of, the provisions of Section 314(d) of the Trust Indenture Act of 1939, as amended (“TIA”) or, if such amount, together with all other amounts disbursed from
the Pledge Account in the preceding 12 month period, equals or exceeds $100,000, by a nationally recognized firm of independent accountants selected by the Grantor and delivered to the Trustee) to provide for the payment in full, when due, of the
first six scheduled interest payments on the Securities (or such number of the first six scheduled interest payments on the Securities as shall then remain, as the case may be), the Grantor may instruct the Trustee, pursuant to an Issuer Order, to
direct the Pledged Securities Intermediary to release any such excess amount to the Grantor or to the Grantor’s Designee. Upon receipt of such Issuer Order (which shall be accompanied by a certificate in accordance with, and meeting the
requirements of, the provisions of Section 314(d) of the TIA or, if the amount to be released from the pledge, together with all other amounts disbursed from the Pledge Account in the preceding 12 month period, equals or exceeds $100,000, by a
certificate of such nationally recognized firm of independent accountants stating that the scheduled interest and principal payments in respect of the Pledged Securities credited to the Pledge Account, together with any cash held in the Pledge
Account, in each case after giving effect to such release, equal or exceed 100% of the amount necessary to provide for the payment in full, when due, of such remaining scheduled interest payments on the Securities), the Trustee shall instruct the
Pledged Securities Intermediary to release funds from (and to the extent of) proceeds of such Pledged Securities in accordance with such Issuer Order and the accompanying certificate and to transfer such funds to the Grantor or the Grantor’s
Designee, as the case may be; provided, however, that before such funds may be transferred hereunder, if the certificate required by this sentence is executed by the Grantor rather than by a nationally recognized firm of independent accountants
selected by the Grantor, the mathematical accuracy of the computations set forth in such certificate shall be verified by a verification agent with assets of at least $50 million selected by the Grantor (the “Verification Agent”).

  
 (d) Upon the release of any Collateral from the Pledge Account
in accordance with the terms of this Section 5, whether upon release of proceeds of Collateral to the Holders as payment of interest or upon release of proceeds of Collateral to the Grantor or the Grantor’s Designee as provided in Section 5(b)
or Section 5(c), the security interest evidenced by this Agreement in such released Collateral will automatically terminate and be of no further force and effect. 
  

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 (e) At least three Business Days prior to the due date of each of the first six scheduled interest
payments on the Securities, the Grantor shall give the Trustee notice (by Issuer Order) as to whether such interest payment will be made pursuant to Section 5(a) or 5(b) above and the respective amounts of interest that will be paid from the Pledge
Account and from Grantor Funds (it being understood that the failure by the Grantor to provide an Issuer Order shall not constitute an Event of Default). Any Grantor Funds to be used to make any interest payment (or portion thereof) shall be
delivered to the Trustee, in immediately available funds, prior to 11:00 a.m. (New York City time) on such interest payment date. If no such notice is given or such Grantor Funds have not been so delivered, the Trustee will act pursuant to Section
5(a) above as if it had received an Issuer Order pursuant thereto for the payment in full of the interest then due from the proceeds of Pledged Securities in the Pledge Account. 
  
 (f) If on any interest payment date there are insufficient proceeds of Pledged Securities in the Pledge Account to make the
scheduled payment of interest due on such date (after taking into account any Grantor Funds delivered to the Trustee as provided in Section 5(b) above), the Trustee shall direct the Pledged Securities Intermediary to liquidate Collateral in the
Pledge Account to the extent necessary to pay, in full, such scheduled payment of interest. 
  
 (g) Nothing contained in this Agreement (including without limitation the provisions hereof regarding the delivery of Issuer Orders by the Grantor to the Trustee) shall (i) afford the Grantor any right to issue
entitlement orders to the Pledged Securities Intermediary or any other Person with respect to the Pledge Account or any security entitlement in respect of the Pledged Securities, or otherwise afford the Grantor control of the Pledge Account or any
such security entitlement, or (ii) otherwise give rise to any rights of the Grantor with respect to the Pledge Account, the Pledged Securities, or any security entitlement thereto, other than the Grantor’s rights under this Agreement as the
beneficial owner of Collateral pledged to and subject to the exclusive dominion and control (subject to the Trustee’s obligations to comply with Sections 5(a) through (f) and Section 15.9 hereof) of the Trustee in its capacity as such (and not
as a securities intermediary). The Grantor acknowledges, confirms and agrees that the Trustee holds a security interest in the Pledged Securities solely as Trustee for the Holders of the Securities and not as a securities intermediary. 

 
 (h) Anything contained herein to the contrary notwithstanding, prior to
any release of any Collateral to the Grantor or the Grantor’s Designee, the Grantor shall deliver to the Trustee such certificates, opinions or other documents as may be required by the Indenture or the TIA in connection with such release and
shall otherwise comply with the requirements of the Indenture and the TIA applicable thereto. 
  
 (i) If at any time the Grantor is obligated to pay any amount to the Trustee or the Pledged Securities Intermediary pursuant to the terms of this Agreement and the Trustee charges such amount against the Pledge
Account with the result that the scheduled interest and principal payments in respect of the Pledged Securities then credited to the Pledge Account, together with any cash then held in the Pledge Account, are less than 100% of the amount necessary
to provide for the payment in full, when due, of the first six scheduled interest payments on the Securities 

  

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(or such number of the first six scheduled interest payments on the Securities as shall then remain, as the case may be), the Grantor shall deposit cash into
the Pledge Account in the amount of such deficiency and shall deliver to the Trustee a certificate signed by its principal executive, financial or accounting officer stating that the scheduled interest and principal payments in respect of the
Pledged Securities credited to the Pledge Account, together with any cash held in the Pledge Account, in each case after giving effect to such deposit by the Grantor, equal or exceed 100% of the amount necessary to provide for the payment in full,
when due, of such remaining scheduled interest payments on the Securities and the Verification Agent, or, at the option of the Grantor, a nationally recognized firm of independent accountants selected by the Grantor, shall verify the mathematical
accuracy of the computations set forth in such certificate. 
  
 (j) Neither the Trustee nor the Pledged Securities Intermediary shall be liable for any disbursement made or other action taken in accordance with an Issuer Order. In no event shall either of the Pledged Securities Intermediary or the
Trustee in its role hereunder be liable for any special, indirect or consequential loss or damage of any kind whatsoever (including but not limited to lost profits), except as a result of its gross negligence or willful misconduct. 
  
 SECTION 6. Securities Intermediary. U.S. Bank, as Pledged Securities
Intermediary, hereby represents and warrants to, and agrees with the Grantor and the Trustee, as follows: 
  
 (a) It is a securities intermediary as of the date hereof and, for so long as this Agreement remains in effect and U.S. Bank is acting as the Pledged
Securities Intermediary hereunder, it shall remain a securities intermediary and shall at all times act in such capacity with respect to the Trustee, the Pledge Account and all other Collateral. 
  
 (b) The Pledge Account is and will be maintained as a securities account.

  
 (c) Each item of property (whether cash, certificated or
uncertificated securities, security certificates, security entitlements or any other property whatsoever) credited to the Pledge Account shall be treated as a financial asset. 
  
 (d) All financial assets in registered form or payable to, or to the order of, any Person and credited to the Pledge Account
shall be registered in the name of, payable to or to the order of, or endorsed to, the Pledged Securities Intermediary, and in no case during the term of this Agreement will any financial asset credited to the Pledge Account be registered in the
name of, payable to or to the order of, or endorsed to, the Grantor, except to the extent the foregoing have been subsequently endorsed by the Grantor to the Pledged Securities Intermediary or in blank. 
  
 (e) It (i) shall, upon written direction from the Trustee, as entitlement
holder with respect to the Pledge Account, the Pledged Securities and all other Collateral, and without further consent from the Grantor, comply with all instructions, entitlement orders and directions of any kind originated by the Trustee
concerning the Collateral, including without limitation directions to liquidate or otherwise dispose of the Collateral as and to the extent directed by the Trustee and to pay over to the Trustee, or as otherwise directed by the Trustee, all proceeds
and other value 

  

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therefrom or otherwise distributed with respect thereto, without any set-off or deduction, and (ii) shall not, except as otherwise directed in writing by the
Trustee, as entitlement holder with respect to the Pledge Account, the Pledged Securities and all other Collateral, comply or agree to comply with any instructions, entitlement orders or directions of any kind that are originated by the Grantor or
any other Person with respect to any of the Collateral. 
  
 (f)
Except for the claims and interests of the Trustee under this Agreement and the rights of the Grantor vis-à-vis the Trustee hereunder, it does not know of any claim to or security interest or other interest in the Collateral. 
  
 (g) It hereby waives its rights to set off any obligations of the Grantor to
it against any or all of the Collateral, and hereby agrees that any and all liens, encumbrances, claims or security interests which it may have against the Collateral, either now or in the future, are and shall be subordinate and junior in right of
payment to the prior payment in full of all Secured Obligations. 
  
 SECTION 7. Representations and Warranties. The Grantor hereby represents and warrants that: 
  
 (a) The execution and delivery by the Grantor of, and the performance by the Grantor of its obligations under, this Agreement will not contravene any
provision of applicable law or the articles of incorporation or by-laws of the Grantor or any material agreement or other material instrument binding upon the Grantor or any judgment, order or decree of any governmental body, agency or court having
jurisdiction over the Grantor, or result in the creation or imposition of any lien on any assets of the Grantor, except for the security interests granted under this Agreement. 
  
 (b) Other than those consents already obtained, no consent of any other Person and no approval, authorization or order of,
action by or qualification with, any governmental authority, regulatory body, agency or other third party is required (i) for the execution, delivery or performance by the Grantor of its obligations under this Agreement or (ii) for the grant by the
Grantor of the security interests created by this Agreement. To the best of Grantor’s knowledge, no consent of any other Person and no approval, authorization or order of, action by or qualification with, any governmental authority, regulatory
body, agency or other third party is required for the exercise by the Trustee of the rights provided for in this Agreement or the remedies in respect of the Collateral pursuant to this Agreement. 
  
 (c) The Grantor is the beneficial owner of the Collateral, free and clear of
any lien or claim of any Person (except for the security interests created by this Agreement and any lien arising under the Indenture in favor of the Trustee). The Grantor has not at any time transferred any of the Collateral to any Person other
than the Trustee or encumbered any of the Collateral with a lien in favor of any other Person. No financing statement or instrument similar in effect covering all or any part of the Grantor’s interest in any of the Collateral is on file in any
public or recording office, other than the financing statements filed pursuant to this Agreement. 
  

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 (d) This Agreement has been duly authorized, executed and delivered by the Grantor and constitutes a
valid and binding agreement of the Grantor, enforceable against the Grantor in accordance with its terms, except as the enforceability hereof may be limited by applicable bankruptcy, insolvency or similar laws affecting creditors’ rights
generally or by equitable principles of general applicability. 
  
 (e) Upon the transfer to the Pledged Securities Intermediary of the Pledged Securities, the crediting thereof to the Pledge Account in accordance with Section 4 above and the execution and delivery of this Agreement by all of the parties
hereto, the grant of a security interest in the Collateral pursuant to this Agreement for the benefit of the Trustee and the Holders of the Securities will create a valid and perfected first priority security interest in such Collateral securing the
payment of the Secured Obligations. 
  
 (f) There are no legal or
governmental proceedings pending or, to the best of the Grantor’s knowledge, threatened to which the Grantor is a party or to which any of the properties of the Grantor is subject that would adversely affect in any material respect the power or
ability of the Grantor to perform its obligations under this Agreement or to consummate the transactions contemplated hereby. 
  
 (g) The pledge of the Collateral pursuant to this Agreement is not prohibited by any law or governmental regulation (including, without limitation,
Regulations U and X of the Board of Governors of the Federal Reserve System) applicable to the Grantor. 
  
 (h) To the best of Grantor’s knowledge, no Default or Event of Default exists. 
  
 (i) The Grantor’s exact legal name is that indicated on the signature page hereof. 
  
 (j) The Grantor is a corporation organized in the Commonwealth of
Massachusetts. 
  
 (k) The Grantor’s place of business or, if
more than one, its chief executive office as well as the Grantor’s mailing address is as is set forth in Section 15.1. 
  
 SECTION 8. Further Assurances. 
  
 (a) The Grantor agrees that from time to time, it will, at its own expense, promptly upon reasonable request by the Trustee, execute and deliver or cause
to be executed and delivered, or use its best efforts to procure, all assignments, instruments and other documents, all in form and substance reasonably satisfactory to the Trustee, deliver any instruments to the Trustee and take any other actions
that may be necessary or, in the reasonable opinion of the Trustee, desirable to perfect, continue the perfection of, or protect the first priority of the Trustee’s security interest in and to the Collateral, to protect the Collateral against
the rights, claims, or interests of third Persons (other than any such rights, claims or interests created by or arising through the Trustee) or to effect the purposes of this Agreement. 
  

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 (b) The Grantor hereby authorizes the Trustee to file any financing or continuation statements with
respect to the Collateral without the signature of the Grantor (to the extent permitted by applicable law); provided, however, that the Grantor shall not be relieved of any of its obligations under Section 8(a) or 8(d) hereof. A photocopy or other
reproduction of this Agreement or any financing statement covering the Collateral or any part thereof shall be sufficient as a financing statement where permitted by law. 
  
 (c) The Grantor will furnish to the Trustee from time to time statements and schedules further identifying and describing
the Collateral and such other reports in connection with the Collateral as the Trustee may reasonably request, all in reasonable detail. 
  
 (d) The Grantor will promptly pay all costs and expenses reasonably incurred in connection with any of the foregoing paragraphs within this Section within
30 days of receipt of an invoice therefor. The Grantor also agrees, whether or not requested by the Trustee, to take all actions that are necessary to perfect and to continue the perfection of, and to protect the first priority of, the
Trustee’s security interest in and to the Collateral, including the filing of all necessary financing and continuation statements, and to protect the Collateral against the rights, claims or interests of third Persons (other than any such
rights, claims or interests created by or arising through the Trustee) and to provide any such financing and continuation statements to the Trustee and the Pledged Securities Intermediary. 
  
 (e) The Grantor hereby irrevocably authorizes the Trustee at any time and
from time to time to file in any Uniform Commercial Code jurisdiction any initial financing statements and amendments thereto that (x) indicate the Collateral as being of an equal or lesser scope or with greater detail, and (y) contain any other
information required by part 5 of Article 9 of the Uniform Commercial Code of the appropriate jurisdiction for the sufficiency or filing office acceptance of any financing statement or amendment; provided that the Trustee shall have no obligation to
perform any of the foregoing actions. 
  
 (f) The Pledged
Securities Intermediary covenants and agrees with the Grantor and the Trustee that for so long as the Pledged Securities Intermediary holds assets in the Pledge Account, the Pledged Securities Intermediary will, as soon as reasonably practicable,
certify in writing the aggregate principal balance of the respective Pledged Securities and the amount of cash balances held in such Pledge Account on a monthly basis, as of the Grantor’s fiscal month end or at such other time as the parties
may mutually agree. The Grantor will provide the Pledged Securities Intermediary with a schedule of its fiscal months as soon as such schedule becomes reasonably available. 
  
 SECTION 9. Covenants. The Grantor covenants and agrees with the Trustee and the Holders of the Securities that from
and after the date of this Agreement until the earlier of (x) payment in full in cash of each of the first six scheduled interest payments due on the Securities (up to and including the interest payment due on April 15, 2007, but excluding
Liquidated Damages, if any) under the terms of the Indenture or (y) payment in cash of Secured Obligations due and owing under the Indenture and the Securities in the event such Secured Obligations 

  

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become due and payable prior to the payment in full of the first six scheduled interest payments on the Securities (up to and including the interest payment
due on April 15, 2007, but excluding Liquidated Damages, if any): 
  
 (a) it will not (and will not purport to) sell or otherwise dispose of, or grant any option, right or warrant with respect to, any of the Collateral or its beneficial interest therein, and it will not create or permit to exist any lien or
other adverse interest in or with respect to its beneficial interest in any of the Collateral (except for the security interests granted under this Agreement and any lien arising under the Indenture in favor of the Trustee); 
  
 (b) it will not (i) enter into any agreement or understanding that restricts
or inhibits or purports to restrict or inhibit the Trustee’s rights or remedies hereunder, including without limitation the Trustee’s right to sell or otherwise dispose of the Collateral, or (ii) fail to pay or discharge when due any tax,
assessment or levy of any nature with respect to its beneficial interest in the Collateral not later than five days prior to the date of any proposed sale under any judgment, writ or warrant of attachment with respect to such beneficial interest;
and 
  
 (c) it will not, without providing at least five days
prior written notice to the Trustee, change its name, its place of business or, if more than one, chief executive office, or its mailing address or organizational identification number and will not change its type of organization, jurisdiction of
organization or other legal structure. 
  
 SECTION 10. Power of
Attorney. In addition to all of the powers granted to the Trustee pursuant to the Indenture, the Grantor hereby appoints and constitutes the Trustee as the Grantor’s attorney-in-fact (with full power of substitution), with full authority in
the place and stead of the Grantor and in the name of the Grantor or otherwise, from time to time in the Trustee’s reasonable discretion to take any action and to execute any instrument that the Trustee may deem necessary or advisable to
accomplish the purposes of this Agreement, including, without limitation: 
  
 (a) to ask for, demand, collect, sue for, recover, compromise, receive and give acquittance and receipt for moneys due and to become due under or in respect of any of the Collateral, 
  
 (b) to receive, indorse and collect any drafts or other instruments,
documents and chattel paper, 
  
 (c) to file any claims or take
any action or institute any proceedings that the Trustee may reasonably deem necessary or desirable for the collection of any of the Collateral or otherwise to enforce the rights of the Trustee with respect to any of the Collateral, and 

 
 (d) to pay or discharge any taxes or liens levied or placed upon the
Collateral, the legality or validity thereof and the amounts necessary to discharge the same all as determined by the Trustee in its sole discretion, it being understood that any such payments made by the Trustee 

  

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shall become part of the Secured Obligations of the Grantor to the Trustee, and shall be due and payable immediately upon demand; 
  
 provided, however, that the Trustee shall have no obligation to perform any of the foregoing
actions. The Trustee’s authority under this Section 10 shall include, without limitation, the authority to endorse and negotiate any checks or instruments representing proceeds of Collateral in the name of the Grantor, execute and give receipt
for any certificate of ownership or any document constituting Collateral, transfer title to any item of Collateral, authorize the filing of any financing statements (to the extent permitted by applicable law) or any other documents reasonably deemed
necessary or appropriate by the Trustee to preserve, protect or perfect the security interest in the Collateral and to file the same, prepare, file and sign the Grantor’s name on any notice of lien, and to take any other actions arising from or
incident to the powers granted to the Trustee in this Agreement. This power of attorney is coupled with an interest and is irrevocable by the Grantor. 
  
 SECTION 11. No Assumption of Duties; Reasonable Care. The rights and powers conferred on the Trustee hereunder are solely to preserve and protect
the security interest of the Trustee and the Holders of the Securities in and to the Collateral granted hereby and shall not be interpreted to, and shall not, impose any duties on the Trustee in connection therewith other than those expressly
provided herein or in the Indenture or imposed under applicable law. Except as provided by herein, by applicable law or by the Indenture, the Trustee shall be deemed to have exercised reasonable care in the custody and preservation of any Collateral
in its possession if the Collateral is accorded treatment substantially equal to that which the Trustee accords similar property held by itself for its own account, it being understood that the Trustee, in its capacity as such, shall not have any
responsibility for (a) ascertaining or taking action with respect to calls, conversions, exchanges, maturities or other matters relative to any Collateral, whether or not the Trustee has or is deemed to have knowledge of such matters, (b) taking any
necessary steps to preserve rights against any parties with respect to any Collateral or (c) investing or reinvesting any of the Collateral or any loss on any investment. Without limiting any rights of the Trustee hereunder, the rights and
limitations upon the liability of the Trustee set forth in Article 5 of the Indenture are expressly incorporated herein and made a part hereof and shall extend to the role of the Trustee as Pledged Securities Intermediary. 
  
 SECTION 12. Indemnity. The Grantor shall indemnify, hold harmless and
defend the Trustee, the Pledged Securities Intermediary and each of their respective directors, officers, agents and employees, from and against any and all claims, actions, obligations, liabilities and expenses, including defense costs,
investigative fees and costs, and reasonable legal fees and damages arising from their execution of or performance under this Agreement, except to the extent that such claim, action, obligation, liability or expense is directly attributable to the
bad faith, gross negligence or willful misconduct of such indemnified person. This indemnification shall survive the termination of this Agreement. 
  
 SECTION 13. Remedies Upon Event of Default. If prior to April 15, 2007, (i) any Event of Default shall have occurred and be continuing and (ii) the
Trustee, by notice to the 

  

 12 

 
Grantor, or the Holders of at least 25% in aggregate principal amount of the Securities at the time outstanding by written notice to the Grantor and the
Trustee, may declare the Notes due and payable at their principal amount together with any accrued and unpaid interest; provided if an Event of Default specified in clauses (g) or (h) of Section 5.01 of the Indenture occurs and is continuing, then
the principal and any accrued and unpaid interest on all the Securities shall become and be immediately due and payable without any declaration or other act on the part of the Trustee or any Holders, then: 
  
 (a) The Trustee may exercise, in addition to all other rights given by law or
by this Agreement or the Indenture, all of the rights and remedies with respect to the Collateral of a secured party under the Uniform Commercial Code as in effect from time to time in any relevant jurisdiction and also may, without notice except as
specified below, (i) sell, redeem or liquidate any of the Collateral, (ii) transfer any or all of the Collateral to any account designated by the Trustee, including an account or accounts established in the Trustee’s name, (iii) register title
to any Collateral in any name specified by the Trustee, including the name of the Trustee or any of its nominees or agents, without reference to any interest of the Grantor, or (iv), sell the Collateral or any part thereof in one or more parcels at
any broker’s board or at public or private sale, in one or more sales or lots, at any of the Trustee’s offices or elsewhere, for cash, on credit or for future delivery, and upon such other terms as the Trustee may deem commercially
reasonable. The Grantor agrees that the Collateral is of a type customarily sold on recognized markets and, accordingly, that no notice to any Person is required before any sale of any of the Collateral pursuant to the terms of this Agreement;
provided, however that, without prejudice to the foregoing, to the extent notice of any such sale shall be required by law, the Grantor agrees that at least ten days’ notice to the Grantor of the time and place of any public sale or the time
after which any private sale is to be made shall constitute reasonable notification. The Trustee shall not be obligated to make any sale of Collateral regardless of notice of sale having been given. The Trustee may adjourn any public or private sale
from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and place to which it was so adjourned. The purchaser of any or all Collateral so sold shall thereafter hold the
same absolutely free from any claim, encumbrance or right of any kind whatsoever created by or through the Grantor. Any sale of the Collateral conducted in conformity with reasonable commercial practices of banks, insurance companies, commercial
finance companies, or other financial institutions disposing of property similar to the Collateral shall be deemed to be commercially reasonable. The Trustee or any Holder of Securities may, in its own name or in the name of a designee or nominee,
buy any of the Collateral at any public sale and, if permitted by applicable law, at any private sale. All expenses (including court costs and reasonable attorneys’ fees, expenses and disbursements) of, or incident to, the enforcement of any of
the provisions hereof shall be recoverable from the proceeds of the sale or other disposition of the Collateral. If there are insufficient Pledged Securities together with proceeds of Pledged Securities and other Collateral in the Pledge Account to
make any required payment on the Secured Obligations, the Grantor shall be liable to the Trustee for any deficiency. 
  
 (b) All cash proceeds received by or on behalf of the Trustee in respect of any sale of, collection from, or other realization upon all or any part of the
Collateral may, following the 

  

 13 

 
payment of the reasonable fees and expenses of the Trustee and the Pledged Securities Intermediary, be held by the Trustee (or by the Pledged Securities
Intermediary on its behalf) as collateral for, and/or then or at any time thereafter applied (after payment of any amounts payable to the Trustee pursuant to Section 14) in whole or in part by the Trustee as follows: 
  
 FIRST: To the payment of the amount equal to all accrued and
unpaid interest on the Securities; and 
  
 SECOND: To the repayment of a portion of the principal of the Securities and accrued and unpaid Liquidated Damages, if any. 
  
 (c) The Trustee may, without notice to the Grantor except as required by law and at any time or from time to time, charge, set-off and otherwise apply all
or any part of the Secured Obligations against the Pledge Account or any part thereof. 
  
 (d) The Grantor further agrees to use its best efforts to do or cause to be done all such other acts as may be necessary to make such sale or sales of all or any portion of the Collateral pursuant to this Section 13
valid and binding and in compliance with any and all other applicable requirements of law. The Grantor further agrees that a breach of any of the covenants contained in this Section 13 will cause irreparable injury to the Trustee and the Holders of
the Securities, that the Trustee and the Holders of the Securities have no adequate remedy at law in respect of such breach and, as a consequence, that each and every covenant contained in this Section 13 shall be specifically enforceable against
the Grantor and, to the fullest extent permitted by law, the Grantor hereby waives and agrees not to assert any defenses against an action for specific performance of such covenants except for a defense that no Event of Default has occurred and is
continuing. 
  
 (e) Notwithstanding the foregoing, the Trustee and
the Holders of the Securities shall not have the benefit of the remedies set forth in this Section 13 if an Event of Default has occurred but is cured prior to the acceleration of the Securities by the Trustee or the Holders of the Securities.

  
 SECTION 14. Expenses. The Grantor will promptly upon
demand pay to the Trustee and the Pledged Securities Intermediary the amount of any and all reasonable expenses, including, without limitation, the reasonable fees, expenses and disbursements of counsel, experts and agents retained by the Trustee or
the Pledged Securities Intermediary, as the case may be, that the Trustee or the Pledged Securities Intermediary, as the case may be, may incur in connection with (a) the review, negotiation and administration of this Agreement, (b) the custody or
preservation of, or the sale of, collection from, or other realization upon, any of the Collateral, (c) the exercise or enforcement of any of the rights of the Trustee and the Holders of the Securities hereunder or (d) the failure by the Grantor to
perform or observe any of the provisions hereof. 
  

 14 

 SECTION 15. Miscellaneous Provisions. 
  
 Section 15.1. Notices. Any notice or other communication given
hereunder shall be sufficiently given if in writing and delivered in person or mailed by first class mail, commercial courier service or telecopier communication, addressed as follows: 
  
 If to the Grantor: 
  
 Oscient Pharmaceuticals Corporation 
 100
Beaver Street 
 Waltham Massachusetts 02453 
 Attention: Chief Financial Officer 
 Fax: (781) 893-9535 
  
 If to the Trustee or Pledged Securities Intermediary: 
  
 U.S. Bank National Association 
 One Federal Street, 3rd Floor 
 Boston, Massachusetts 02110 
 Attention: Alison Nadeau 
 Fax: (617) 603-6683 
 Phone: (617) 603-6553 
  
 All such notices and other communications shall, when mailed, delivered or telecopied, respectively, be effective when deposited in the mails, delivered
or telecopied, respectively, addressed as aforesaid. 
  
 Section
15.2. No Adverse Interpretation of Other Agreements. This Agreement may not be used to interpret another pledge, security or debt agreement of the Grantor or any subsidiary thereof. No such pledge, security or debt agreement (other than the
Indenture) may be used to interpret this Agreement. 
  
 Section
15.3. Severability. The provisions of this Agreement are severable, and if any clause or provision shall be held invalid, illegal or unenforceable in whole or in part in any jurisdiction, then, to the fullest extent permitted by law, such
invalidity or unenforceability shall affect in that jurisdiction only such clause or provision, or part thereof, and shall not in any manner affect such clause or provision in any other jurisdiction or any other clause or provision of this Agreement
in any jurisdiction. 
  
 Section 15.4. Headings. The
headings in this Agreement have been inserted for convenience of reference only, are not to be considered a part hereof and shall in no way modify or restrict any of the terms or provisions hereof. 
  

 15 

 Section 15.5. Counterpart Originals. This Agreement may be signed in two or more counterparts,
each of which shall be deemed an original, but all of which shall together constitute one and the same agreement. 
  
 Section 15.6. Benefits of Agreement. Nothing in this Agreement, express or implied, shall give to any Person, other than the parties hereto and
their successors hereunder, and the Holders of the Securities, any benefit or any legal or equitable right, remedy or claim under this Agreement. 
  
 Section 15.7. Amendments, Waivers and Consents. Any amendment or waiver of any provision of this Agreement and any consent to any departure by the
Grantor from any provision of this Agreement shall be effective only if made or duly given in compliance with all of the terms and provisions of the Indenture, and then such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given, provided that an amendment or supplement to this Agreement for the purpose contemplated by Section 16 may be entered into by the Grantor, the Trustee and the Pledged Securities Intermediary without the consent
of any Holder, so long as such amendment or supplement is reasonably satisfactory in form and substance to the Grantor, the Trustee and the Pledged Securities Intermediary. Neither the Trustee nor any Holder of Securities shall be deemed, by any
act, delay, indulgence, omission or otherwise, to have waived any right or remedy hereunder or to have acquiesced in any Event of Default or in any breach of any of the terms and conditions hereof. Failure of the Trustee or any Holder of Securities
to exercise, or delay in exercising, any right, power or privilege hereunder shall not preclude any other or further exercise thereof or the exercise of any other right, power or privilege. A waiver by the Trustee or any Holder of Securities of any
right or remedy hereunder on any one occasion shall not be construed as a bar to any right or remedy that the Trustee or such Holder would otherwise have on any future occasion. The rights and remedies herein provided are cumulative, may be
exercised singly or concurrently and are not exclusive of any rights or remedies provided by law. 
  
 Section 15.8. Interpretation of Agreement. To the fullest extent permitted by applicable law, acceptance of or acquiescence in a course of
performance rendered under this Agreement shall not be relevant to determine the meaning of this Agreement even though the accepting or acquiescing party had knowledge of the nature of the performance and opportunity for objection. 
  
 Section 15.9. Continuing Security Interest; Termination. 

 
 (a) This Agreement shall create a continuing security interest in and to
the Collateral and shall, unless otherwise provided in this Agreement, remain in full force and effect until the payment in cash of the Secured Obligations. This Agreement shall be binding upon the Grantor, its transferees, successors and assigns,
and shall inure, together with the rights and remedies of the Trustee hereunder, to the benefit of the Trustee, the Holders of the Securities, the Pledged Securities Intermediary and their respective successors, transferees and assigns. 

 
 (b) This Agreement (other than Grantor’s obligations under Sections
12 and 14) shall terminate upon the earlier of (i) the payment in cash of the Secured Obligations and (ii) the 

  

 16 

 
payment in full in cash of the first six scheduled interest payments on all of the Securities. At such time, the Trustee shall, pursuant to an Issuer Order,
direct the Pledged Securities Intermediary to promptly transfer to the Grantor all of the Collateral hereunder that has not been sold, disposed of, retained or applied by or on behalf of the Trustee in accordance with the terms of this Agreement and
the Indenture and take all other actions that are necessary to release the security interest created by this Agreement in and to the Collateral, including the execution and delivery of all termination statements necessary to terminate any financing
or continuation statements filed with respect to the Collateral. Such transfer shall be without warranty by or recourse to the Trustee in its capacity as such, except as to the absence of any liens on the Collateral created by or arising through the
Trustee, and shall be at the expense of the Grantor. 
  
 Section
15.10. Survival of Representations and Covenants. All representations, warranties and covenants of the Grantor contained herein shall survive the execution and delivery of this Agreement and the termination of this Agreement. 
  
 Section 15.11. Waivers. The Grantor, to the fullest extent permitted
by applicable law, waives presentment and demand for payment of any of the Obligations, protest and notice of dishonor or default with respect to any of the Obligations, and all other notices to which the Grantor might otherwise be entitled, except
as otherwise expressly provided herein or in the Indenture. 
  
 Section 15.12. Authority of the Trustee. 
  
 (a)
The Trustee shall have and be entitled to exercise all powers hereunder that are specifically granted to it by the terms hereof, together with such powers as are reasonably incident thereto. The Trustee may perform any of its duties hereunder or in
connection with the Collateral by or through agents or employees and shall be entitled to retain counsel and to act in reliance upon the advice of counsel concerning all such matters. Except as otherwise expressly provided in this Agreement or the
Indenture, neither the Trustee nor any director, officer, employee, attorney or agent of the Trustee shall be liable to the Grantor for any action taken or omitted to be taken by the Trustee, in its capacity as Trustee, hereunder, except for its own
bad faith, gross negligence or willful misconduct, and the Trustee shall not be responsible for the validity, effectiveness or sufficiency hereof or of any document or security furnished pursuant hereto. The Trustee and its directors, officers,
employees, attorneys and agents shall be entitled to rely on any communication, instrument or document reasonably believed by it or them to be genuine and correct and to have been signed or sent by the proper person or persons. 
  
 (b) The Grantor acknowledges that the rights and responsibilities of the
Trustee under this Agreement with respect to any action taken by the Trustee or the exercise or non-exercise by the Trustee of any option, right, request, judgment or other right or remedy provided for herein or resulting or arising out of this
Agreement shall, as between the Trustee and the Holders of the Securities, be governed by the Indenture and by such other agreements with respect thereto as may exist from time to time among them, but, as between the Trustee and the Grantor, the
Trustee shall be conclusively presumed to be acting as agent for the Holders of the Securities 

  

 17 

 
with full and valid authority so to act or refrain from acting, and the Grantor shall not be obligated or entitled to make any inquiry respecting such
authority. 
  
 Section 15.13. Final Expression. This
Agreement, together with the Indenture and any other agreement executed in connection herewith, is intended by the parties as a final expression of this Agreement and is intended as a complete and exclusive statement of the terms and conditions
thereof. 
  
 Section 15.14. Rights of Holders of the
Securities. No Holder of Securities shall have any independent rights hereunder other than those rights granted to individual Holders of the Securities pursuant to the Indenture; provided that nothing in this subsection shall limit any rights
granted to the Trustee under the Securities or the Indenture. 
  
 Section 15.15. Governing Law; Submission to Jurisdiction; Waiver of Jury Trial; Waiver of Damages. 
  
 (a) THIS AGREEMENT SHALL BE GOVERNED BY AND INTERPRETED UNDER THE LAWS OF THE STATE OF NEW YORK. 
  
 (b) ANYTHING CONTAINED IN THIS AGREEMENT OR IN ANY OTHER AGREEMENT BETWEEN
THE TRUSTEE AND THE PLEDGED SECURITIES INTERMEDIARY TO THE CONTRARY NOTWITHSTANDING, THE “PLEDGED SECURITIES INTERMEDIARY’S JURISDICTION” WITH RESPECT TO THE PLEDGED SECURITIES FOR PURPOSES OF SECTIONS 8-110(e), 9-305(a)(3) AND
9-304(b)(1) OF THE UCC SHALL BE THE STATE OF NEW YORK. 
  
 (c) FOR
ANY SUIT, ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT, THE GRANTOR HEREBY AGREES TO SUBMIT TO THE JURISDICTION OF ANY FEDERAL OR STATE COURT LOCATED IN THE CITY OF NEW YORK. 
  
 (d) THE GRANTOR AGREES THAT THE TRUSTEE SHALL, IN ITS CAPACITY AS TRUSTEE OR IN THE NAME AND ON BEHALF OF ANY HOLDER OF
SECURITIES, HAVE THE RIGHT, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW (AND TO THE EXTENT THE TRUSTEE HAS RECEIVED INDEMNITY DEEMED SATISFACTORY TO IT AND HAS AGREED TO DO SO), TO PROCEED AGAINST THE GRANTOR OR THE COLLATERAL IN A COURT IN
ANY LOCATION REASONABLY SELECTED IN GOOD FAITH (AND HAVING PERSONAL OR IN REM JURISDICTION OVER THE GRANTOR OR THE COLLATERAL, AS THE CASE MAY BE) TO ENABLE THE TRUSTEE TO REALIZE ON SUCH COLLATERAL, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER
ENTERED IN FAVOR OF THE TRUSTEE. THE GRANTOR AGREES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THAT IT WILL NOT ASSERT ANY COUNTERCLAIMS, SETOFFS OR CROSSCLAIMS IN ANY PROCEEDING BROUGHT BY THE TRUSTEE TO REALIZE ON SUCH PROPERTY OR TO
ENFORCE A JUDGMENT OR OTHER COURT ORDER IN FAVOR OF THE TRUSTEE, EXCEPT FOR SUCH COUNTERCLAIMS, SETOFFS OR CROSSCLAIMS WHICH, IF NOT 

  

 18 

 
ASSERTED IN ANY SUCH PROCEEDING, COULD NOT OTHERWISE BE BROUGHT OR ASSERTED. THE GRANTOR WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY
OBJECTION THAT IT MAY HAVE TO THE LOCATION OF THE COURT IN THE CITY OF NEW YORK IN THE BOROUGH OF MANHATTAN ONCE THE TRUSTEE HAS COMMENCED A PROCEEDING DESCRIBED IN THIS PARAGRAPH INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE
OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS. 
  
 (e) THE
GRANTOR AGREES THAT NONE OF ANY HOLDER OF SECURITIES, (EXCEPT AS OTHERWISE PROVIDED IN THIS AGREEMENT OR THE INDENTURE) THE TRUSTEE IN ITS CAPACITY AS TRUSTEE, OR U.S. BANK NATIONAL ASSOCIATION IN ITS CAPACITY AS PLEDGED SECURITIES INTERMEDIARY
SHALL HAVE ANY LIABILITY TO THE GRANTOR (WHETHER ARISING IN TORT, CONTRACT OR OTHERWISE) FOR LOSSES SUFFERED BY THE GRANTOR IN CONNECTION WITH, ARISING OUT OF, OR IN ANY WAY RELATED TO, THE TRANSACTIONS CONTEMPLATED AND THE RELATIONSHIP ESTABLISHED
BY THIS AGREEMENT, OR ANY ACT, OMISSION OR EVENT OCCURRING IN CONNECTION THEREWITH, UNLESS SUCH LOSSES WERE THE RESULT OF ACTS OR OMISSIONS ON THE PART OF THE TRUSTEE OR SUCH HOLDERS OF SECURITIES, AS THE CASE MAY BE, CONSTITUTING BAD FAITH, GROSS
NEGLIGENCE OR WILLFUL MISCONDUCT. 
  
 (f) TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, THE GRANTOR WAIVES THE POSTING OF ANY BOND OTHERWISE REQUIRED OF THE TRUSTEE OR ANY HOLDER OF SECURITIES IN CONNECTION WITH ANY JUDICIAL PROCESS OR PROCEEDING TO ENFORCE ANY JUDGMENT OR OTHER COURT ORDER PERTAINING TO
THIS AGREEMENT OR ANY RELATED AGREEMENT OR DOCUMENT ENTERED IN FAVOR OF THE TRUSTEE OR ANY HOLDER OF SECURITIES, OR TO ENFORCE BY SPECIFIC PERFORMANCE, TEMPORARY RESTRAINING ORDER OR PRELIMINARY OR PERMANENT INJUNCTION, THIS AGREEMENT OR ANY RELATED
AGREEMENT OR DOCUMENT BETWEEN THE GRANTOR ON THE ONE HAND AND THE TRUSTEE AND/OR THE HOLDERS OF THE SECURITIES ON THE OTHER HAND. 
  
 SECTION 16. Provisions Relating to Additional Securities. The Grantor and the Trustee, on behalf of the Holders of the Securities originally issued
on the date hereof (the “Firm Securities”) and on behalf of the Holders of any “Additional Securities” (as defined in the Indenture), hereby acknowledge that the Grantor may issue Additional Securities from time to
time after the date hereof and that, pursuant to the terms of the Indenture, the Firm Securities and any Additional Securities will be treated as part of a single class for all purposes under the Indenture. Accordingly, anything contained herein to
the contrary notwithstanding, (a) upon the issuance of any Additional Securities (i) for all purposes under this Agreement the term “Securities” shall thereafter include such Additional Securities; provided that any references
herein to the first six scheduled interest payments due on the Securities shall mean, with respect 

  

 19 

 
to such Additional Securities, only such number, if any, of the first six scheduled interest payments on the Securities as shall then remain at the time such
Additional Securities are originally issued (such number, if any, of the first six scheduled interest payments on the Securities that shall remain at such time being the “Covered Interest Payments” in respect of such Additional
Securities), (ii) in the event that any Additional Securities are issued prior to such time as the first six scheduled interest payments on the Securities shall have been paid in full, the Grantor shall purchase or cause to be purchased, for the
account of the Pledged Securities Intermediary for credit to the Pledge Account, additional security entitlements with respect to U. S. Government Securities (such security entitlements being, collectively, the “Additional Pledged
Securities”) in an amount that will be sufficient, upon receipt of the scheduled interest and principal payments in respect thereof, to provide for the payment of all Covered Interest Payments in respect of such Additional Securities, and
(iii) for all purposes under this Agreement and the Indenture (including without limitation Section 4(b)) the term “Pledged Securities” shall thereafter include any such Additional Pledged Securities, and (b) as provided in Section
15.7, in connection with the issuance of any Additional Securities, the parties hereto shall be permitted to enter into such amendments or supplements to this Agreement as may be necessary or advisable in order to give effect to the provisions of
this Section 16 without the consent of the Holders of the Firm Securities or the Holders of any Additional Securities that are outstanding at the time of such issuance. For the avoidance of doubt and without limiting the generality of the foregoing,
the Grantor and the Trustee, on behalf of the Holders of the Securities, hereby acknowledge and agree that the Holders of the Firm Securities and the Holders of any Additional Securities shall be entitled to share ratably in the benefits of this
Agreement. In the event that the Grantor shall issue Additional Securities on more than one occasion, then the provisions of this Section 16 shall apply to such successive issuances of Additional Securities, mutatis mutandis. 
  

 20 

 IN WITNESS WHEREOF, the Grantor, the Trustee and the Pledged Securities Intermediary have each caused
this Agreement to be duly executed and delivered as of the date first above written. 
  

			
	 Grantor:

	
	OSCIENT PHARMACEUTICALS
CORPORATION
		
	By:	 	/s/    STEPHEN COHEN
	 Name:
	 	Stephen Cohen
	 Title:
	 	Senior Vice President and CFO

  

			
	 Trustee:

	
	U.S. BANK NATIONAL ASSOCIATION
		
	By:	 	/s/    ALISON D.B. NADEAU
	 Name:
	 	Alison D.B. Nadeau
	 Title:
	 	Vice President

  

			
	 Pledged Securities Intermediary:

	
	U.S. BANK NATIONAL ASSOCIATION
		
	By:	 	/s/    ALISON D.B. NADEAU
	 Name:
	 	Alison D.B. Nadeau
	 Title:
	 	Vice President

  

 21 

 SCHEDULE I 
  
 PLEDGED SECURITIES 
  

								
	 SECURITY

	  	CUSIP NO.

	  	MATURITY

	  	PRINCIPAL
AMOUNT

	 United States Treasury
	  	912833CL2	  	8/15/04	  	$	90,816.18
	 United States Treasury
	  	912833CM0	  	2/15/05	  	 	103,875.45
	 United States Treasury
	  	912833CN8	  	8/15/05	  	 	102,595.50
	 United States Treasury
	  	912833CP3	  	2/15/06	  	 	100,783.20
	 United States Treasury
	  	912833CQ1	  	8/15/06	  	 	99,003.45
	 United States Treasury
	  	912833CR9	  	2/15/07	  	 	96,790.05
	 TOTAL
	  	 	  	 	  	$	593,863.83REGISTRATION RIGHTS AGREEMENT DATED MAY 25, 2004

 Exhibit 4.6 
  

OSCIENT PHARMACEUTICALS CORPORATION 
 31⁄2% Senior Convertible Notes due 2011 
 REGISTRATION RIGHTS AGREEMENT 
 May 25, 2004 
  
 Smithfield Fiduciary LLC 
 c/o Highbridge Capital Management, LLC 

9 West 57th Street, 27th Floor 
 New York, NY 10019

  
 Ladies and Gentlemen: 
  
 Oscient Pharmaceuticals Corporation, a Massachusetts corporation (the
“Company”), proposes to issue and sell (such issuance and sale, the “Initial Placement”) to the Initial Purchaser (as defined below), upon the terms set forth in a purchase agreement, dated May 25, 2004 (the
“Purchase Agreement”), $6,000,000 aggregate principal amount, plus an option, subject to the terms and conditions of the Purchase Agreement, (the “Option”) to purchase up to an additional $3,000,000 aggregate
principal amount, of its 31⁄2% Senior Convertible Notes due 2011 (the “Securities”). The Securities will be convertible into shares of Common Stock (as defined herein), at the conversion price set forth in the Offering Memorandum
(as defined herein), as the same may be adjusted from time to time pursuant to the Indenture (as defined herein). As an inducement to you to enter into the Purchase Agreement and in satisfaction of a condition to your obligations thereunder, the
Company agrees with you, (i) for your benefit and (ii) for the benefit of the Holders (as defined herein) from time to time of the Securities and the shares of Common Stock issuable upon conversion of the Securities, as follows: 
  
 1. Definitions. Capitalized terms used herein without definition shall have the
respective meanings set forth in the Purchase Agreement. As used in this Agreement, the following capitalized terms shall have the following meanings: 
  
 “Affiliate” of any specified person means any other person directly or indirectly controlling or controlled by or under direct or
indirect common control with such specified person. For the purposes of this definition, “control” (including, with correlative meanings, the terms “controlling,” “controlled by” and “under common control
with”), as used with respect to any person, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such person whether through the ownership of voting securities or by
agreement or otherwise. 
  
 “Business Day” has
the meaning set forth in the Indenture. 
  
 “Closing
Date” means the date of the closing of the sale of the Firm Securities as contemplated by the Purchase Agreement. 
  
 “Common Stock” means the common stock, par value $0.10 per share, of the Company, as it exists on the date of this Agreement and any
other shares of capital stock or other securities of the Company into which such Common Stock may be reclassified or changed, together with 

  

 
any and all other securities which may from time to time be issuable upon conversion of Securities. 
  
 “Company” has the meaning set forth in the preamble hereto.

  
 “Exchange Act” means the Securities Exchange
Act of 1934, as amended, and the rules and regulations of the SEC promulgated thereunder. 
  
 “Holder” means a person who is a holder or beneficial owner of any Securities or shares of Common Stock issuable upon conversion of Securities; provided that, unless otherwise expressly stated
herein, only registered holders of Securities or Common Stock issued on conversion thereof shall be counted for purposes of calculating any proportion of holders entitled to take any action or give notice pursuant to this Agreement. 
  
 “Holder Information” with respect to any Holder means
information with respect to such Holder required to be included in any Shelf Registration Statement or the related Prospectus pursuant to the Securities Act and which information is included therein in reliance upon and in conformity with
information furnished to the Company in writing by such Holder for inclusion therein. 
  
 “Indenture” means the Indenture relating to the Securities, to be dated as of May 10, 2004, and to be entered into between the Company and U.S. Bank National Association, as Trustee, as the same may
be amended from time to time in accordance with the terms thereof. 
  
 “Initial Placement” has the meaning set forth in the preamble hereto. 
  
 “Initial Purchaser” means Smithfield Fiduciary LLC. 
  
 “Liquidated Damages” has the meaning set forth in Section 2(e) hereof. 
  
 “Liquidated Damages Payment Date” means each April 15 and
October 15. 
  
 “Losses” has the meaning set
forth in Section 5(d) hereof. 
  
 “Majority
Holders” means the Holders of a majority of the then outstanding aggregate principal amount of Securities being registered under a Shelf Registration Statement; provided that Holders of the shares of Common Stock issued upon
conversion of Securities shall be deemed to be Holders of the aggregate principal amount of Securities from which such Common Stock was converted; and provided further, that Securities or shares of Common Stock which have been sold or
otherwise transferred pursuant to the Shelf Registration Statement shall not be included in the calculation of Majority Holders. 
  
 “NASD” means the National Association of Securities Dealers, Inc. 
  
 “Notice and Questionnaire” means a Selling Securityholder Notice and Questionnaire substantially in the
form of Annex A to the Offering Memorandum. 
  

 -2- 

 “Notice Holder” means any Holder of Transfer Restricted Securities that has delivered a
properly completed and signed Notice and Questionnaire to the Company in accordance with Section 2(b) hereof. 
  
 “Offering Memorandum” in the Purchase Agreement. 
  

“Option” has the meaning set forth in the preamble hereto. 
  
 “Person” has the meaning set forth in the Indenture. 
  
 “Prospectus” means the prospectus included in any Shelf
Registration Statement (including, without limitation, a prospectus that discloses information previously omitted from a prospectus filed as part of an effective registration statement in reliance upon Rule 430A under the Securities Act), as amended
or supplemented by any prospectus supplement, with respect to the terms of the offering of any portion of the Securities or shares of Common Stock issuable upon conversion thereof covered by such Shelf Registration Statement, and all amendments and
supplements to such prospectus, including all documents incorporated or deemed to be incorporated by reference in such prospectus. 
  
 “Purchase Agreement” has the meaning set forth in the preamble hereto. 
  
 “Questionnaire Deadline” has the meaning set forth in Section 2(b) hereof. 
  
 “Record Holder” means each person who is registered on the
books of the registrar as the holder of Securities at the close of business on April 1 and October 1 immediately preceding such Liquidated Damages Payment Date. 
  

“Registration Default” has the meaning set forth in Section 2(e) hereof. 
  
 “Rule 144” means Rule 144 under the Securities Act (or any similar provision then in force). 
  
 “Rule 144A” means Rule 144A under the Securities Act (or any
successor provision promulgated by the SEC). 
  
 “Rule
144(k)” means Rule 144(k) under the Securities Act (or any successor provision promulgated by the SEC). 
  
 “Rule 415” means Rule 415 under the Securities Act (or any successor provision promulgated by the SEC). 
  
 “SEC” means the Securities and Exchange Commission.

  
 “Securities” has the meaning set forth in the
preamble hereto. 
  
 “Securities Act” means the
Securities Act of 1933, as amended, and the rules and regulations of the SEC promulgated thereunder. 
  
 “Shelf Registration” means a registration effected pursuant to Section 2 hereof. 
  

 -3- 

 “Shelf Registration Period” has the meaning set forth in Section 2(c) hereof.

  
 “Shelf Registration Statement” means any
“shelf” registration statement of the Company filed pursuant to the provisions of Section 2 hereof which covers the Transfer Restricted Securities on Form S-3 or on another appropriate form (as determined by the Company) for an offering to
be made on a delayed or continuous basis pursuant to Rule 415 and all amendments and supplements to such registration statement, including post-effective amendments, in each case including the Prospectus contained therein, all exhibits thereto and
all documents incorporated or deemed to be incorporated by reference therein. 
  
 “Suspension Period” has the meaning set forth in Section 2(d) hereof. 
  
 “Transfer Restricted Securities” means each Security and each share of Common Stock issuable upon conversion thereof (and any security
issued with respect thereto upon any stock dividend, split or similar event) until the earliest of the date on which such Security or share of Common Stock, or any security issued with respect thereto upon any stock dividend, split or similar event,
as the case may be: (i) has been transferred pursuant to a Shelf Registration Statement or another registration statement covering such Security or share of Common Stock which has been filed with the SEC pursuant to the Securities Act, in either
case after such registration statement has become effective and while such registration statement is effective under the Securities Act; (ii) has been transferred pursuant to Rule 144 (or any similar provision then in force); (iii) may be sold or
transferred pursuant to Rule 144(k) (or any successor provision promulgated by the SEC); or (iv) ceases to be outstanding. Notwithstanding the foregoing, each Security and each share of Common Stock issuable upon conversion thereof (and any security
issued with respect thereto upon any stock dividend, split or similar event) that has not previously ceased to be a Transfer Restricted Security pursuant to the previous sentence shall cease to be a Transfer Restricted Security on the date that is
two (2) years after the later of the Closing Date or the latest Option Closing Date (as defined in the Purchase Agreement). 
  
 “Trustee” means the trustee with respect to the Securities under the Indenture. 
  
 All references in this Agreement to financial statements and schedules and
other information which is “contained,” “included,” or “stated” in the Shelf Registration Statement, any preliminary Prospectus or Prospectus (and all other references of like import) shall be
deemed to mean and include all such financial statements and schedules and other information incorporated or deemed to be incorporated by reference in such Shelf Registration Statement, preliminary Prospectus or Prospectus, as the case may be; and
all references in this Agreement to amendments or supplements to the Shelf Registration Statement, any preliminary Prospectus or Prospectus shall be deemed to mean and include any document filed with the SEC under the Exchange Act, after the date of
such Shelf Registration Statement, preliminary Prospectus or Prospectus, as the case may be, which is incorporated or deemed to be incorporated by reference therein. 
  

 -4- 

 2. Shelf Registration Statement. 
  
 (a) The Company shall, at its expense, prepare and file with the SEC within 90 days following the Closing Date a Shelf
Registration Statement with respect to resales of the Transfer Restricted Securities by the Holders from time to time on a delayed or continuous basis pursuant to Rule 415 and in accordance with the methods of distribution set forth in such Shelf
Registration Statement and thereafter shall use its reasonable best efforts to cause such Shelf Registration Statement to be declared effective under the Securities Act within 210 days after the Closing Date; provided that if any Securities
are issued upon exercise of the Option granted to the Initial Purchaser in the Purchase Agreement and the date on which such Securities are issued occurs after the Closing Date, the Company will take such steps, prior to the effective date of the
Shelf Registration Statement, to ensure that such Securities issued upon an exercise of the Option and the shares of Common Stock issuable upon conversion thereof are included in the Shelf Registration Statement on the same terms as the Securities
issued on the Closing Date. The Company shall supplement or amend the Shelf Registration Statement if required by the rules, regulations or instructions applicable to the registration form used by the Company for the Shelf Registration Statement, or
by the Securities Act, the Exchange Act or the SEC. 
  
 (b) (i)
The Company shall name each Holder that delivers a properly completed and signed Notice and Questionnaire to the Company as a selling security holder in the Shelf Registration Statement. A Holder of Transfer Restricted Securities may include such
securities in the Shelf Registration Statement only if the Holder sends by first-class registered mail or by courier with delivery confirmation, a properly completed Notice and Questionnaire to the Company. In order to be included in the Shelf
Registration Statement at the time of its effectiveness, the Notice and Questionnaire must be sent on or prior to the 20th Business Day after the date the Notice and Questionnaire is deemed to have been given in accordance with Section 7(c) hereof (or, in the case of a Holder that is a transferee of Transfer Restricted Securities, on or prior to the
earlier of (x) the 20th Business Day after the completion of the transfer of Transfer Restricted Securities to the
transferee and (y) 9:00 a.m., New York time, on the fifth Business Day prior to initial effectiveness of the Shelf Registration Statement) (in any case, the “Questionnaire Deadline”). The Company agrees and undertakes that it shall
distribute a Notice and Questionnaire (A) no later than 30 Business Days prior to the expected effectiveness of the Shelf Registration Statement to each Holder in accordance with Section 7(c) hereof, and (B) in the case of a Holder that is a
transferee of Transfer Restricted Securities, upon the request of such transferee Holder given in accordance with Section 7(c) hereof, to such Holder at the address set forth in such request. 
  
 (ii) Following the effectiveness of the Shelf Registration
Statement, upon receipt of a completed Notice and Questionnaire from a Holder, the Company will, as promptly as practicable, but in any event within 10 Business Days after its receipt thereof, file any amendments to the Shelf Registration Statement
or supplements to the related Prospectus as are necessary to permit the Holder to deliver the Prospectus to purchasers of Transfer Restricted Securities (subject to the right of the Company to suspend the use of the Prospectus as described in
Section 2(d) hereof), provided, however, that (i) if a supplement to the related Prospectus is required to permit the Holder (or other Holders not included in the Shelf Registration Statement 

  

 -5- 

 
upon effectiveness) to deliver the Prospectus to purchasers of Transfer Restricted Securities, the Company shall not be required to file more than one (1)
such supplement during any twenty (20) day period and (ii) if a post effective amendment to the Shelf Registration Statement is required to permit the Holder (or other Holders not included in the Shelf Registration Statement upon effectiveness) to
deliver the Prospectus to purchasers of Transfer Restricted Securities, the Company shall not be required to file more than one (1) post-effective amendment to the Shelf Registration Statement in any sixty (60) day period. The Company shall use its
reasonable best efforts to cause any such post-effective amendment to become effective under the Securities Act as promptly as is practicable; provided, that if a Notice and Questionnaire is delivered to the Company during a Suspension
Period, the Company shall not be obligated to amend the Shelf Registration Statement or supplement the Prospectus until the termination of such Suspension Period. 
  
 (iii) Each Holder as to which the Shelf Registration Statement is being effected agrees to furnish promptly
to the Company (x) such other information as the Company may reasonably request for use in connection with the Shelf Registration Statement or Prospectus or in any application to be filed with or under state securities laws and (y) all information
required to be disclosed in order to make the information previously furnished to the Company by such Holder not misleading. 
  
 (c) The Company shall use its reasonable best efforts to keep the Shelf Registration Statement continuously effective, supplemented and amended under the
Securities Act in order to permit the Prospectus forming a part thereof to be usable, subject to Section 2(d) hereof, by all Notice Holders until the earliest to occur of: (i) the last date on which in the opinion of counsel to the Company the
holding period applicable to sales of all Transfer Restricted Securities under Rule 144(k) has expired; (ii) the date as of which all Transfer Restricted Securities have been transferred under Rule 144; (iii) such date as of which all Transfer
Restricted Securities have been sold pursuant to the Shelf Registration Statement; and (iv) the date that is two (2) years after the later of the Closing Date or the latest Option Closing Date (as defined in the Purchase Agreement) (in any such
case, such period being called the “Shelf Registration Period”). The Company will, in order to fulfill its obligations and this Section 2(c): (x) subject to Section 2(d), prepare and file with the SEC such amendments and
post-effective amendments to the Shelf Registration Statement as may be necessary to keep the Shelf Registration Statement continuously effective for the Shelf Registration Period; (y) subject to Section 2(d), cause the related Prospectus to be
supplemented by any required supplement, and as so supplemented to be filed pursuant to Rule 424 (or any similar provisions then in force) under the Securities Act; and (z) comply in all material respects with the provisions of the Securities Act
with respect to the disposition of all Transfer Restricted Securities covered by the Shelf Registration Statement during the Shelf Registration Period. 
  
 (d) The Company may suspend the availability of any Shelf Registration Statement and the use of any Prospectus (the period during which the availability
of any Shelf Registration Statement and any Prospectus may be suspended herein referred to as the “Suspension Period”), without incurring any obligation to pay Liquidated Damages pursuant to Section 2(e), for a period not to exceed:
(i) 45 consecutive days at any one time; (ii) 45 days in the aggregate in any three-month period; or (iii) 120 days in the aggregate during any 12-month period, in each case only for valid business reasons, to be determined in good faith by the
Company in its sole 

  

 -6- 

 
judgment (which shall not include the avoidance of the Company’s obligations hereunder), including, without limitation, the acquisition or divestiture
of assets, pending corporate developments, public filings with the SEC and similar events; provided that if the suspension of the Shelf Registration Statement relates to a previously undisclosed proposed or pending material business
transaction, the disclosure of which, in the sole judgment of the Company, would impede the Company’s ability to consummate such transaction, the Company may extend the Suspension Period set forth in (i) and (ii) above to 75 days;
provided further, that the Company promptly thereafter complies with the requirements of Section 3(j) hereof, if applicable. 
  
 (e) The Company and the Initial Purchaser agree that the Holders of Transfer Restricted Securities will suffer damages, and it would not be feasible to
ascertain the extent of such damages with precision, if the Company fails to fulfill its obligations under Section 2 hereof. Accordingly, if: (i) the Shelf Registration Statement is not filed with the SEC on or within 90 days after the Closing Date;
(ii) the Shelf Registration Statement has not been declared effective by the SEC within 210 days after the Closing Date; or (iii) the Shelf Registration Statement is filed and declared effective but shall thereafter cease to be effective (without
being succeeded immediately by a replacement Shelf Registration Statement filed and declared effective) or usable (including as a result of a Suspension Period) for the offer and sale of Transfer Restricted Securities for a period of time (including
any Suspension Period) which exceeds: (x) 45 consecutive days at any time; (y) 45 days in the aggregate in any three-month period; or (z) 120 days in the aggregate in any 12-month period (each such event referred to in clauses (i) through (iii), a
“Registration Default”), provided that any suspension of the Shelf Registration Statement as a result of the time required by the SEC to declare effective a post-effective amendment to the Shelf Registration Statement in
connection with the Company’s obligation to file such an amendment pursuant to Section 2(d)(ii) hereof shall not be included in the calculation of a Registration Default; the Company shall pay to each Notice Holder (who is also a Record Holder)
during any period in which a Registration Default has occurred or is continuing in an amount (the “Liquidated Damages”) equal to: (i) one-quarter of one percent (25 basis points) per annum per $1,000 principal amount of Securities
constituting Transfer Restricted Securities for the period up to and including the 90th day during which such Registration Default has occurred and is continuing; and (ii) one-half of one percent (50 basis points) per annum per $1,000 principal
amount of Securities constituting Transfer Restricted Securities for the period including and subsequent to the 91st day during which such Registration Default has occurred and is continuing, it being understood that all calculations pursuant to
this and the preceding sentence shall be carried out to five decimal places. Following the cure of all Registration Defaults, Liquidated Damages will cease to accrue with respect to such Registration Defaults. All accrued Liquidated Damages shall be
paid by the Company on each Liquidated Damages Payment Date in cash to the date of such cure and Liquidated Damages will be calculated on the basis of a 360-day year consisting of twelve 30-day months. The parties hereto agree that the Liquidated
Damages provided for in this Section 2(e) constitute a reasonable estimate of the damages that may be incurred by Holders by reason of a Registration Default and that such Liquidated Damages are the only monetary damages available to Holders in the
event of a Registration Default. Notwithstanding anything in the Agreement to the contrary, Liquidated Damages shall only be payable to Notice Holders. 
  
 (f) All of the Company’s obligations (including, without limitation, the obligation to pay Liquidated Damages) set forth in the preceding paragraph
which are outstanding or exist 

  

 -7- 

 
with respect to any Transfer Restricted Security at the time such security ceases to be a Transfer Restricted Security shall survive until such time as all
such obligations with respect to such security shall have been satisfied in full. Notwithstanding the foregoing, no Liquidated Damages shall accrue as to any Transfer Restricted Security from and after the earlier of: (i) the date such security is
no longer a Transfer Restricted Security; and (ii) the expiration of the Shelf Registration Period. 
  
 (g) Immediately upon the occurrence or the termination of a Registration Default, the Company shall give the Trustee, so long as the Securities remain
outstanding, notice of such commencement or termination of the obligation to pay Liquidated Damages with regard to the Securities, and the amount thereof and of the nature of the default giving rise to such commencement or the event giving rise to
such termination, as the case may be (such notice to be contained in an Officer’s Certificate (as such term is defined in the Indenture)), and prior to receipt of such Officer’s Certificate the Trustee and the transfer and paying agent
shall be entitled to assume that no such commencement or termination has occurred, as the case may be. 
  
 3. Registration Procedures. In connection with any Shelf Registration Statement, the following provisions shall apply: 
  
 (a) The Company shall: (i) furnish to the Initial Purchaser, within a reasonable period of time, but in any event within three Business Days, prior to the
filing thereof with the SEC to afford the Initial Purchaser and its counsel a reasonable opportunity for review, a copy of each Shelf Registration Statement, and each amendment thereof, and a copy of each Prospectus, and each amendment or supplement
thereto (excluding amendments caused by the filing of a report under the Exchange Act), and shall reflect in each such document, when so filed with the SEC, such comments as the Initial Purchaser may reasonably propose, except to the extent the
Company reasonably determines it to be inadvisable or inappropriate to reflect such comments therein; and (ii) include information regarding the Notice Holders and the methods of distribution they have elected for their Transfer Restricted
Securities provided to the Company in Notice and Questionnaires as necessary to permit such distribution by the methods specified therein. 
  
 (b) Subject to Section 2(d), the Company shall ensure that: (i) any Shelf Registration Statement and any amendment thereto and any Prospectus forming a
part thereof and any amendment or supplement thereto comply in all material respects with the Securities Act and the rules and regulations thereunder; (ii) any Shelf Registration Statement and any amendment thereto does not, when it becomes
effective, contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading; and (iii) any Prospectus forming a part of any Shelf Registration
Statement, and any amendment or supplement to such Prospectus, does not include an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances under which they
were made, not misleading; provided that the Company makes no representation with respect to any Holder Information. 
  

 -8- 

 (c) The Company, as promptly as reasonably practicable (but in any event within two Business Days), shall
notify the Initial Purchaser and each Notice Holder: 
  
 (i) when any Prospectus or any supplement thereto has been filed with the SEC and when the Shelf Registration Statement or any post-effective amendment thereto has become effective; 
  
 (ii) of the issuance by the SEC or any other federal or
state governmental authority of any stop order suspending the effectiveness of the Shelf Registration Statement or of any order preventing or suspending the use of any Prospectus or the initiation or threat of any proceedings for that purpose;

  
 (iii) of the receipt by the Company of any
notification with respect to the suspension of the qualification or exemption from qualification of the Transfer Restricted Securities included in any Shelf Registration Statement for sale in any jurisdiction or the initiation or threat of any
proceeding for that purpose; 
  
 (iv) of the
occurrence of, but not the nature of or details concerning, any event or the existence of any condition that requires the making of any changes in the Shelf Registration Statement or the Prospectus or any document incorporated by reference therein
so that, as of such date, the statements therein are not misleading and the Shelf Registration Statement or the Prospectus or any document incorporated by reference therein, as the case may be, does not include an untrue statement of a material fact
or omit to state a material fact required to be stated therein or necessary to make the statements therein (in the case of the Prospectus, in light of the circumstances under which they were made) not misleading; 
  
 (v) of the Company’s determination that a
post-effective amendment to the Shelf Registration Statement is necessary (other than a post-effective amendment pursuant to Section 2(b)(ii)); and 
  
 (vi) of the commencement (including as a result of any of the events or circumstances described in paragraph (ii) above) and termination
of any Suspension Period. 
  
 (d) The Company shall use its
reasonable best efforts to obtain: (i) the withdrawal of any order suspending the effectiveness of any Shelf Registration Statement and the use of any related Prospectus; and (ii) the lifting of any suspension of the qualification (or exemption from
qualification) of any of the Transfer Restricted Securities for offer or sale in any jurisdiction in which they have been qualified for sale, in each case at the earliest possible time, and shall provide notice to each Notice Holder and the Initial
Purchaser of the withdrawal of any such orders or suspensions. 
  
 (e) The Company shall promptly furnish to the Initial Purchaser (and, upon written request from any Notice Holder to such Notice Holder), without charge, at least one copy of any Shelf Registration Statement and any post-effective amendment
thereto, excluding all documents incorporated or deemed to be incorporated therein by reference and all exhibits thereto. 
  
 (f) The Company shall, during the Shelf Registration Period, promptly deliver to the Initial Purchaser and each Notice Holder, without charge, as many
copies of the Prospectus (including each preliminary Prospectus) included in any Shelf Registration Statement, and any amendment or supplement thereto, as such person may reasonably request and except as provided in Sections 2(d) and 3(p) hereof;
and the Company hereby consents to the use of the 

  

 -9- 

 
Prospectus and any amendment or supplement thereto by each of the selling Holders in connection with the offering and sale of the Transfer Restricted
Securities covered by the Prospectus or any amendment or supplement thereto. 
  
 (g) Prior to any offering of Transfer Restricted Securities pursuant to any Shelf Registration Statement, the Company shall register or qualify or cooperate with the Notice Holders and their respective counsel in
connection with the registration or qualification (or exemption from such registration or qualification) of such Transfer Restricted Securities for offer and sale, under the securities or blue sky laws of such jurisdictions within the United States
as any such Notice Holders reasonably request and shall maintain such qualification in effect so long as required and do any and all other acts or things necessary or advisable to enable the offer and sale in such jurisdictions of the Transfer
Restricted Securities covered by such Shelf Registration Statement; provided, however, that the Company will not be required to: (i) qualify generally to do business as a foreign corporation or as a dealer in securities in any
jurisdiction where it is not then so qualified or; (ii) take any action which would subject it to service of process or taxation in excess of a nominal dollar amount in any such jurisdiction where it is not then so subject. 
  
 (h) If the Transfer Restricted Securities are in certificated form, the
Company shall cooperate with the Holders to facilitate the timely preparation and delivery of certificates representing Transfer Restricted Securities sold pursuant to any Shelf Registration Statement free of any restrictive legends and, with
respect of any Securities, in such denominations permitted by the Indenture and registered in such names as Holders may request at least two Business Days prior to settlement of sales of Transfer Restricted Securities pursuant to such Shelf
Registration Statement. 
  
 (i) Subject to the exceptions
contained in (i) and (ii) of Section 3(g) above, the Company shall use its reasonable best efforts to cause the Transfer Restricted Securities covered by the applicable Shelf Registration Statement to be registered with or approved by such other
federal, state and local governmental agencies or authorities, and self-regulatory organizations in the United States as may be necessary to enable the Holders to consummate the disposition of such Transfer Restricted Securities as contemplated by
the Shelf Registration Statement; without limitation to the foregoing, the Company shall provide all such information as may be required by the NASD in connection with the offering under the Shelf Registration Statement of the Transfer Restricted
Securities (including, without limitation, such as may be required by NASD Rule 2710 or 2720), and shall cooperate with each Holder in connection with any filings required to be made with the NASD by such Holder in that regard. 
  
 (j) Upon the occurrence of any event described in Section 3(c)(iv) or 3(c)(v)
hereof, the Company shall promptly prepare and file with the SEC a post-effective amendment to any Shelf Registration Statement, or an amendment or supplement to the related Prospectus, or any document incorporated therein by reference, or file a
document which is incorporated or deemed to be incorporated by reference in such Shelf Registration Statement or Prospectus, as the case may be, so that, as thereafter delivered to purchasers of the Transfer Restricted Securities included therein,
the Shelf Registration Statement and the Prospectus, in each case as then amended or supplemented, will not include an untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make
the statements 

  

 -10- 

 
therein (in the case of the Prospectus, in light of the circumstances under which they were made) not misleading and, in the case of a post-effective
amendment, use its reasonable best efforts to cause it to become effective as promptly as practicable; provided that the Company’s obligations under this paragraph (j) shall be suspended if the Company has suspended the use of the
Prospectus in accordance with Section 2(d) hereof and given notice of such suspension to Notice Holders, it being understood that the Company’s obligations under this Section 3(j) shall be automatically reinstated at the end of such Suspension
Period. 
  
 (k) The Company shall provide, prior to the effective
date of any Shelf Registration Statement hereunder a CUSIP number for the Transfer Restricted Securities registered under such Shelf Registration Statement. 
  
 (l) The Company shall use its reasonable best efforts to comply with all applicable rules and regulations of the SEC and shall make generally available to
its security holders an earnings statement satisfying the provisions of Section 11(a) of the Securities Act and Rule 158 promulgated by the SEC thereunder (or any similar rule promulgated under the Securities Act) for a 12-month period commencing on
the first day of the first fiscal quarter of the Company commencing after the effective date of any Shelf Registration Statement or each post-effective amendment to any Shelf Registration Statement, which such statements shall be made available no
later than 45 days after the end of the 12-month period or 90 days after the end of the 12-month period, if the 12-month period coincides with the fiscal year of the Company. 
  
 (m) The Company shall use its reasonable best efforts to cause the Indenture to be qualified under the TIA (as defined in
the Indenture) not later than the effective date of the first Shelf Registration Statement. 
  
 (n) The Company shall cause all shares of Common Stock issuable upon conversion of the Securities to be reserved for listing on each securities exchange or quotation system on which the Common Stock is then listed no
later than the date the applicable Shelf Registration Statement is declared effective and, shall cause all Common Stock to be so listed when issued, and, in connection therewith, to make such filings as may be required under the Exchange Act and to
have such filings declared effective as and when required thereunder. 
  
 (o) If reasonably requested in writing in connection with any disposition of Transfer Restricted Securities pursuant to a Shelf Registration Statement, make reasonably available for inspection during normal business hours by a
representative for the Notice Holders of such Transfer Restricted Securities and any broker-dealers, attorneys and accountants retained by such Notice Holders, all relevant financial and other records, pertinent corporate documents and properties of
the Company and its subsidiaries, and cause the appropriate executive officers, directors and designated employees of the Company and its subsidiaries to make reasonably available for inspection during normal business hours all relevant information
reasonably requested by such representative for the Notice Holders or any such broker-dealers, attorneys or accountants in connection with such disposition, in each case as is customary for similar “due diligence” examinations;
provided, however, that any information that is designated by the Company, in good faith, as confidential at the time of delivery of such information shall be kept confidential by such persons, unless disclosure thereof is made in
connection with a court, administrative or regulatory proceeding or required by law, or such information has become 

  

 -11- 

 
available to the public generally through the Company or through a third party without an accompanying obligation of confidentiality. 
  
 (p) Each Notice Holder agrees that, upon receipt of notice of the happening
of an event described in Sections 3(c)(ii) through and including 3(c)(vi), it shall forthwith discontinue (and shall cause its agents and representatives to discontinue) disposition of Transfer Restricted Securities and will not resume disposition
of Transfer Restricted Securities until such Holder has received copies of an amended or supplemented Prospectus contemplated by Section 3(j) hereof, or until such Notice Holder is advised in writing by the Company that the use of the Prospectus may
be resumed or that the relevant Suspension Period has been terminated, as the case may be, provided that the foregoing shall not prevent the sale, transfer or other disposition of Transfer Restricted Securities by a Holder in a transaction
which is exempt from, or not subject to, the registration requirements of the Securities Act, so long as such Holder does not and is not required to deliver the applicable Prospectus or Shelf Registration Statement in connection with such sale,
transfer or other disposition, as the case may be; and provided, further, that the provisions of this Section 3(p) shall not prevent the occurrence of a Registration Default or otherwise limit the obligation of the Company to pay
Liquidated Damages. 
  
 (q) The Company shall use its reasonable
best efforts to take all other steps necessary to effect the registration of the Securities covered by the Shelf Registration Statement contemplated hereby. 
  
 4. Registration Expenses. The Company shall bear all fees and expenses incurred in connection with the performance of its obligations under Sections 2 and 3 hereof
and shall reimburse the Holders for the reasonable fees and disbursements of one firm or counsel designated by the Company (and reasonably acceptable to the Initial Purchaser acting on behalf of the Holders) to act as counsel for the Holders in
connection therewith. Such fees and expenses shall include, without limitation: (i) all registration and filing fees and expenses (including filings made with the NASD); (ii) all fees and expenses of compliance with federal securities and state Blue
Sky or securities laws; (iii) all expenses of printing (including printing of Prospectuses and certificates for the Common Stock to be issued upon conversion of the Securities) and the Company’s expenses for messenger and delivery services and
telephone; (iv) all fees and disbursements of counsel to the Company; (v) all application and filing fees in connection with listing (or authorizing for quotation) the Common Stock on a national securities exchange or automated quotation system
pursuant to the requirements hereof; and (vi) all fees and disbursements of independent certified public accountants of the Company. The Company shall bear its internal expenses (including, without limitation, all salaries and expenses of their
officers and employees performing legal, accounting or other duties), the expenses of any annual audit and the fees and expenses of any Person, including special experts, retained by the Company. Notwithstanding the provisions of this Section 4,
each Holder shall bear the expense of any broker’s commission, agency fee and underwriter’s discount or commission (including, without limitation, the expenses related to the engagement of a “qualified independent underwriter”),
if any, relating to the sale or disposition of such Holder’s Transfer Restricted Securities pursuant to a Shelf Registration Statement. 
  

 -12- 

 5. Indemnification and Contribution. 
  
 (a) The Company agrees to indemnify and hold harmless each Holder of Transfer Restricted Securities covered by any Shelf
Registration Statement (including, without limitation, each Initial Purchaser), its directors, officers, and employees and each person, if any, who controls any such Holder within the meaning of either the Securities Act or the Exchange Act
(collectively referred to for purposes of this Section 5 as a “Holder”) against any losses, claims, damages or liabilities, joint or several, or actions in respect thereof, to which any of them may become subject, under the
Securities Act or otherwise, insofar as such losses, claims, damages, liabilities or actions arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in the Shelf Registration Statement, or in any
Prospectus, or any amendment thereof or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact necessary to make the statements therein, in the light of the circumstances under which
they were made, not misleading, and will reimburse each such party for any legal or other expenses reasonably incurred by such party in connection with investigating or defending any such action or claim as such expenses are incurred;
provided, however, that: (i) the Company shall not be liable in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon Holder Information; and (ii) with respect to any untrue statement
or omission of material fact made in any Shelf Registration Statement, or in any Prospectus, the indemnity agreement contained in this Section 5(a) shall not inure to the benefit of the Holder or any person who controls the Holder within the meaning
of either the Securities Act or the Exchange Act from whom the person asserting any such loss, claim, damage or liability purchased the securities concerned, to the extent that any such loss, claim, damage or liability of the Holders occurs under
the circumstance where it shall have been established that: (w) the Company had previously furnished copies of the Prospectus, and any amendments and supplements thereto, to the Holder; (x) delivery of the Prospectus, and any amendment or
supplements thereto, was required by the Securities Act to be made to such person; (y) the untrue statement or omission of a material fact contained in the Prospectus was corrected in amendments or supplements thereto; and (z) there was not sent or
given to such person, at or prior to the written confirmation of the sale of such securities to such person, a copy of such amendments or supplements to the Prospectus. This indemnity agreement will be in addition to any liability that the Company
may otherwise have. This indemnity agreement will not apply to any loss, damage, expense, liability or claim arising from an offer or sale, occurring during a Suspension Period, of Transfer Restricted Securities by a Notice Holder who has previously
received notice from the Company of the commencement of the Suspension Period pursuant to Section 3(c)(vi). 
  
 (b) Each Holder, severally and not jointly, agrees to indemnify and hold harmless the Company, each of its directors and officers and each person, if any,
who controls the Company within the meaning of either the Securities Act or the Exchange Act, to the same extent as the foregoing indemnity from the Company to the Holders and agrees to reimburse each such indemnified party, as incurred, for any
legal or other expenses reasonably incurred by them in connection with investigating or defending any loss, claim, damage, liability or action, but only with reference to Holder Information supplied by such Holder. In no event shall any Holder, its
directors, officers or any person, if any, who controls such Holder be liable or responsible for any amount in excess of the amount by which the total amount received by such Holder with respect to its sale of Transfer Restricted Securities pursuant
to a Shelf Registration Statement 

  

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exceeds: (i) the amount paid by such Holder for such Transfer Restricted Securities; plus (ii) the amount of any damages that such Holder, its directors,
officers or any person who controls such Holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. This indemnity agreement will be in addition to any liability that such Holder
may otherwise have. 
  
 (c) Promptly after receipt by an
indemnified party under this Section 5 of notice of any claim or the commencement of any action or proceeding (including any governmental investigation), such indemnified party will, if a claim for indemnification in respect thereof is to be made
against the indemnifying party under Section 5(a) or 5(b) hereof, notify the indemnifying party in writing of the commencement thereof; but the omission so to notify the indemnifying party will not relieve it from any liability which it may have to
any indemnified party to the extent it is not materially prejudiced as a result thereof and in any event shall not relieve it from any liability which it may have otherwise than on account of this indemnity agreement. In case any such action or
proceeding is brought against any indemnified party, and it notifies the indemnifying party of the commencement thereof, the indemnifying party will be entitled to participate therein (jointly with any other indemnifying party similarly notified),
and to the extent that it may elect, by written notice, delivered to such indemnified party promptly after receiving the aforesaid notice from such indemnified party, to assume the defense thereof, with counsel reasonably satisfactory to such
indemnified party; provided, however, that if the defendants (including any impleaded parties) in any such action include both the indemnified party and the indemnifying party and the indemnified party shall have reasonably concluded
that there may be legal defenses available to it and/or other indemnified parties which are different from or additional to those available to the indemnifying party, the indemnified party or parties shall have the right to select separate counsel
to defend such action on behalf of such indemnified party or parties. Upon receipt of notice from the indemnifying party to such indemnified party of its election so to appoint counsel to defend such action and approval by the indemnified party of
such counsel, the indemnifying party will not be liable to such indemnified party under this Section 5 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof unless: (i) the indemnified
party shall have employed separate counsel in accordance with the proviso to the preceding sentence (it being understood, however, that the indemnifying party shall not be liable for the expense of more than one separate counsel (in addition to any
local counsel), approved by the Holders in the case of paragraph (a) of this Section 5, representing the indemnified parties under such paragraph (a) who are parties to such action); (ii) the indemnifying party shall not have employed counsel
reasonably satisfactory to the indemnified party to represent the indemnified party within a reasonable time after notice or commencement of the action; (iii) the indemnifying party has authorized the employment of counsel for the indemnified party
at the expense of the indemnifying party; or (iv) the use of counsel chosen by the indemnifying party to represent the indemnified party would present such counsel with a conflict of interest. An indemnifying party will not, without the prior
written consent of the indemnified parties, settle or compromise or consent to the entry of any judgment with respect to any pending or threatened claim, action, suit or proceeding in respect of which indemnification or contribution may be sought
hereunder (whether or not the indemnified parties are actual or potential parties to such claim or action) unless such settlement, compromise or consent includes an unconditional release of each indemnified party from all liability arising out of
such claim, action, suit or proceeding. Subject to the provisions of the immediately following sentence, no indemnifying party shall be liable for 

  

 -14- 

 
any settlement, compromise or the consent to the entry of judgment in connection with any such action effected without its written consent, but if settled
with its written consent or if there be a final judgment for the plaintiff in any such action other than a judgment entered with the consent of such indemnified party, the indemnifying party agrees to indemnify and hold harmless any indemnified
party from and against any loss or liability by reason of such settlement or judgment. If at any time an indemnified party shall have requested that an indemnifying party reimburse the indemnified party for reasonable fees and expenses of counsel as
contemplated by this Section 5(c) and to which it would be entitled under Section 5(a) or 5(b) hereof, the indemnifying party agrees that it shall be liable for any settlement of any proceeding effected without its written consent if: (x) such
settlement is entered into more than 45 days after receipt by such indemnifying party of such request for reimbursement, (y) such indemnifying party shall have received notice of the terms of such settlement at least 30 days prior to such settlement
being entered into and (z) such indemnifying party shall not have reimbursed such indemnified party in accordance with such request prior to the date of such settlement. 
  
 (d) In the event that the indemnity provided in paragraph (a) or (b) of this Section 5 is unavailable to or insufficient to
hold harmless an indemnified party for any reason, each indemnifying party agrees to contribute to the aggregate losses, claims, damages and liabilities (including legal or other expenses reasonably incurred in connection with investigating or
defending same) (collectively, “Losses”) to which the indemnified party may be subject in such proportion as is appropriate to reflect the relative benefits received by the Company from the Initial Placement, on the one hand, and a
Holder with respect to the sale by such Holder of Securities or Common Stock, on the other hand; provided, however, that in no case shall an indemnifying party that is a Holder be responsible for any amount in excess of the total price
at which the Transfer Restricted Securities are sold by such Holder to a purchaser. If the allocation provided by the immediately preceding sentence is unavailable for any reason, the Company and such Holder shall contribute in such proportion as is
appropriate to reflect not only such relative benefits but also the relative fault of the Company on the one hand and of such Holder on the other in connection with the statements or omissions which resulted in such Losses, as well as any other
relevant equitable considerations. The relative benefits received by the Company on the one hand and such Holder on the other shall be deemed to be in the same respective proportions as the total net proceeds from the Initial Placement (before
deducting expenses) received by or on behalf of the Company as set forth in the Offering Memorandum, on the one hand, and the total proceeds received by such Holder with respect to its sale of Transfer Restricted Securities under the Shelf
Registration Statement, on the other hand, bear to the total gross proceeds from the Initial Placement. Relative fault shall be determined by reference to, among other things, whether any untrue or any alleged untrue statement of a material fact or
the omission or alleged omission to state a material fact relates to information provided by the Company on the one hand or relates to Holder Information supplied by such Holder, on the other, the intent of the parties and their relative knowledge,
information and opportunity to correct or prevent such untrue statement or omission. The parties agree that it would not be just and equitable if contribution pursuant to this paragraph (d) were determined by pro rata allocation or any other method
of allocation that does not take account of the equitable considerations referred to above. Notwithstanding the provisions of this paragraph (d), no person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities
Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. For purposes of this Section 5(d), each person who controls such Holder 

  

 -15- 

 
within the meaning of either the Securities Act or the Exchange Act shall have the same rights to contribution as such Holder, and each person who controls
the Company within the meaning of either the Securities Act or the Exchange Act and each officer and director of the Company shall have the same rights to contribution as the Company, subject in each case to the applicable terms and conditions of
this paragraph (d). 
  
 (e) The provisions of this Section 5 will
remain in full force and effect, regardless of any investigation made by or on behalf of any Holder, any underwriter or the Company or any of the officers, directors or controlling persons referred to in Section 5 hereof, and will survive the sale
by a Holder of Transfer Restricted Securities covered by a Shelf Registration Statement. 
  
 6. Rules 144 and 144A. The Company covenants that it shall use its reasonable best efforts to file the reports required to be filed by it under the Securities Act and the Exchange Act in a timely manner so long
as the Transfer Restricted Securities remain outstanding. If at any time the Company is not required to file such reports, it will, upon request of any Holder or beneficial owner of Transfer Restricted Securities, make available such information
necessary to permit sales pursuant to Rule 144A. The Company further covenants that, for as long as any Transfer Restricted Securities remain outstanding, it will take such further action as any Holder of Transfer Restricted Securities may
reasonably request, all to the extent required from time to time to enable such Holder to sell Transfer Restricted Securities without registration under the Securities Act within the limitation of the exemptions provided by Rule 144 and Rule 144A.
Upon the written request of any Holder of Transfer Restricted Securities, the Company shall deliver to such Holder a written statement as to whether it has complied with such requirements. 
  

	7.	Miscellaneous. 

  
 (a) No Inconsistent Agreements. The Company has not, as of the date hereof, entered into nor shall it, on or after the date hereof, enter into, any
agreement with respect to its securities that is inconsistent with the rights granted to the Holders herein or otherwise conflicts with the provisions hereof. In addition, the Company shall not grant to any of its securityholders (other than the
Holders of Transfer Restricted Securities in such capacity) the right to include any of its securities in the Shelf Registration Statement provided for in this Agreement other than the Transfer Restricted Securities. 
  
 (b) Amendments and Waivers. The provisions of this Agreement,
including the provisions of this sentence, may not be amended, qualified, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given, unless the Company consents in writing and the Company has
obtained the written consent of at least the majority of the Holders of the then outstanding Transfer Restricted Securities; provided that with respect to any matter that directly or indirectly affects the rights of the Initial Purchaser
hereunder, the Company shall obtain the written consent of the Initial Purchaser against which such amendment, qualification, supplement, waiver or consent is to be effective. Notwithstanding the foregoing (except the foregoing proviso), a waiver or
consent to departure from the provisions hereof with respect to a matter that relates exclusively to the rights of Holders whose Transfer Restricted Securities are being sold pursuant to a Shelf Registration Statement and that does not directly or
indirectly affect the rights of other Holders may be given by the Majority Holders. 
  

 -16- 

 (c) Notices. All notices and other communications provided for or permitted hereunder shall be
made in writing by hand-delivery, first-class mail, telecopier, or air courier guaranteeing overnight delivery: 
  
 (i) if to the Initial Purchaser, initially at its address set forth in the Purchase Agreement; 
  
 (ii) if to any other Holder, at the most current address of
such Holder maintained by the Registrar under the Indenture or the registrar of the Common Stock (provided that while the Securities or the Common Stock are in book-entry form, notice to the Trustee shall serve as notice to the Holders), or,
in the case of the Notice Holder, the address set forth in its Notice and Questionnaire; and 
  
 (iii) if to the Company, to: 
  
 Oscient Pharmaceuticals Corporation 
 100
Beaver Street 
 Waltham, MA 02453 
 Facsimile: (781) 893-9535 
 Attn: Chief Financial Officer 
  
 With a copy to: 
  
 Ropes & Gray LLP 
 One International
Place 
 Boston, MA 02110-2624 
 Facsimile: (617) 951-7050 
 Attn: Patrick O’Brien, Esq. 
  
 All such notices and communications shall be deemed to have been duly given when received, if delivered by hand or air courier, and when
sent, if sent by first-class mail or telecopier. 
  
 The Initial
Purchaser or the Company by notice to the other may designate additional or different addresses for subsequent notices or communications. 
  
 (d) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the successors and assigns of each of the parties,
including, without the need for an express assignment or any consent by the Company thereto, subsequent Holders. The Company hereby agrees to extend the benefits of this Agreement to any Holder and underwriter and any such Holder and underwriter may
specifically enforce the provisions of this Agreement as if an original party hereto. In the event that any other person shall succeed to the Company under the Indenture, then such successor shall enter into an agreement, in form and substance
reasonably satisfactory to the Initial Purchaser, whereby such successor shall assume all of the Company’s obligations under this Agreement. 
  
 (e) Counterparts. This Agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which
when so executed shall be 

  

 -17- 

 
deemed to be an original and all of which taken together shall constitute one and the same agreement. 
  
 (f) Headings. The headings in this Agreement are for convenience of
reference only and shall not limit or otherwise affect the meaning hereof. 
  
 (g) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN SAID STATE. 
  
 (h) Severability. In the event that any one of more of the provisions
contained herein, or the application thereof in any circumstances, is held invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and of the remaining
provisions hereof shall not be in any way impaired or affected thereby, it being intended that all of the rights and privileges of the parties shall be enforceable to the fullest extent permitted by law. 
  
 (i) Securities Held by the Company, Etc. Whenever the consent or
approval of Holders of a specified percentage of principal amount of Securities or the shares of Common Stock issuable upon conversion thereof is required hereunder, Securities or the shares of Common Stock issued upon conversion thereof held by the
Company or its Affiliates (other than subsequent Holders of Securities or the Common Stock issued upon conversion thereof if such subsequent Holders are deemed to be Affiliates solely by reason of their holdings of such Securities) shall not be
counted in determining whether such consent or approval was given by the Holders of such required percentage. 
  
 (j) Termination. This Agreement and the obligations of the parties hereunder shall terminate upon the end of the Shelf Registration Period, except
for any liabilities or obligations under Section 2(e), 4 or 5 to the extent arising prior to the end of the Shelf Registration Period. 
  

 -18- 

 Please confirm that the foregoing correctly sets forth the agreement between the Company and you.

  
 Very truly yours, 
  

			
	OSCIENT PHARMACEUTICALS CORPORATION
		
	By:	 	/s/    STEPHEN COHEN
	 Name:
	 	Stephen Cohen
	 Title:
	 	Senior Vice President and CFO

  
 The foregoing Agreement is hereby
confirmed and accepted as of the date first above written. 
  

			
	SMITHFIELD FIDUCIARY LLC
		
	By:	 	/s/    ADAM J. CHILL
	 Name:
	 	Adam J. Chill
	 Title:
	 	Authorized Signatory

  

 -19-

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