Document:

Exhibit
4.2

EXECUTION
COPY

REGISTRATION
RIGHTS AGREEMENT

dated as
of September 26, 2006

between

INCYTE
CORPORATION

and

PIPER
JAFFRAY & CO.

 

REGISTRATION
RIGHTS AGREEMENT dated as of September 26, 2006 between Incyte Corporation, a
Delaware corporation (the “Company”), and
Piper Jaffray & Co (the “Initial Purchaser”),
who are parties to that certain Purchase Agreement dated September 20, 2006 (the
“Purchase Agreement”).  In order to induce the Initial Purchaser to
enter into the Purchase Agreement, the Company has agreed to provide the
registration rights set forth in this Agreement.  The execution of this Agreement is a
condition to the closing under the Purchase Agreement.

The Company agrees
with the Initial Purchaser, (i) for its benefit as Initial Purchaser and (ii)
for the benefit of the beneficial owners (including the Initial Purchaser) from
time to time of the Securities (as defined herein) and the beneficial owners
from time to time of the Underlying Common Stock (as defined herein) issued
upon conversion of the Securities (each of the foregoing a “Holder”
and together the “Holders”), as follows:

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

“Additional
Interest Amount” has the meaning set forth in Section 2(e)
hereof.

“Affiliate”
means with respect to any specified person, an “affiliate,” as defined in Rule
144, of such person.

“Amendment
Effectiveness Deadline” has the meaning set forth in
Section 2(d) hereof.

“Business
Day” means any day, except a Saturday, Sunday or legal
holiday on which banking institutions in The City of New York are authorized or
obligated by law or executive order to close.

“Common
Stock” means the shares of common stock, $.001 par value per
share, of the Company, together with the Rights evidenced by such common stock
to the extent provided in the Rights Agreement, and any other shares of common
stock as may constitute “Common Stock” for purposes of the Indenture, including
the Underlying Common Stock.

“Conversion
Price” has the meaning assigned such term in the Indenture.

“Deferral
Notice” has the meaning set forth in Section 3(h)
hereof.

“Deferral
Period” has the meaning set forth in Section 3(h)
hereof.

“Effectiveness
Deadline” has the meaning set forth in Section 2(a)
hereof.

“Effectiveness
Period” means the period commencing on the first date that a
Shelf Registration Statement is declared effective under the Securities Act
hereof and ending on the date that all Securities and the Underlying Common
Stock have ceased to be Registrable Securities.

 

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

“Filing
Deadline” has the meaning set forth in Section 2(a)
hereof.

“Holder”
has the meaning set forth in the second paragraph of this Agreement.

“Indenture”
means the Indenture dated as of September 26, 2006 between the Company and U.S.
Bank National Association, as trustee, pursuant to which the Securities are
being issued.

“Initial
Purchaser” means Piper Jaffray & Co.

“Interest
Payment Date” means each February 15 and August 15.

“Issue
Date” means the first date of original issuance of the
Securities.

“Material
Event” has the meaning set forth in Section 3(h) hereof.

“Notice
and Questionnaire” means a written notice delivered to the
Company containing substantially the information called for by the Selling
Securityholder Notice and Questionnaire attached as Annex A to the Offering
Memorandum of the Company dated September 20, 2006 relating to the Securities.

“Notice
Holder” means, on any date, any Holder that has delivered a
Notice and Questionnaire to the Company on or prior to such date.

“Purchase
Agreement” has the meaning set forth in the preamble hereof.

“Prospectus”
means a prospectus included in a Shelf Registration Statement (including,
without limitation, an “issuer free writing prospectus,” as such term is
defined in Rule 433 under the Securities Act and a prospectus that discloses
information previously omitted pursuant to Rule 430A under the Securities Act),
as amended or supplemented, and all materials incorporated by reference in such
prospectus or free writing prospectus.

“Record
Holder” means with respect to any Interest Payment Date
relating to any Securities or Underlying Common Stock as to which any
Additional Interest Amount has accrued, the registered holder of such Security
or Underlying Common Stock on the February 1 or August 1 immediately preceding
the Interest Payment Date.

“Registrable
Securities” means the Securities until such Securities have
been converted into or exchanged for the Underlying Common Stock and, at all
times subsequent to any such conversion, the Underlying Common Stock and any
securities into or for which such Underlying Common Stock has been converted or
exchanged, and any security issued with respect thereto upon any stock
dividend, split or similar event until, in the case of any such security, (A)
the earliest of (i) its effective registration under the Securities Act and
resale in accordance with a Shelf Registration Statement, (ii) expiration of
the holding period that would be applicable thereto under Rule 144(k), (iii)
its sale to the public pursuant to Rule 144 (or any similar 

 3
 

 

provision then in force,
but not Rule 144A) under the Securities Act or (iv) its cessation of being
outstanding, and (B) as a result of the event or circumstance described in any
of the foregoing clauses (i) through (iv), the legend with respect to transfer
restrictions required under the Indenture is removed or removable in accordance
with the terms of the Indenture or such legend, as the case may be.

“Registration
Default” has the meaning set forth in Section 2(e)
hereof.

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

“Rights
Agreement” means the Stockholder Rights Agreement dated
September 25, 1998 between the Company and ChaseMellon Shareholder Services,
L.L.C., as rights agent.

“Rule 144”
means Rule 144 under the Securities Act, as such Rule may be amended from time
to time, or any similar rule or regulation hereafter adopted by the SEC.

“Rule
144A” means Rule 144A under the Securities Act, as such Rule
may be amended from time to time, or any similar rule or regulation hereafter
adopted by the SEC.

“SEC”
means the Securities and Exchange Commission.

“Securities”
means the 31⁄2% Convertible Senior Notes due 2011 of the Company to be purchased
pursuant to the Purchase Agreement, including any Securities purchased by the
Initial Purchaser upon exercise of their option to purchase additional
Securities.

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

“Shelf
Registration Statement” has the meaning set forth in
Section 2(a) hereof, including amendments to such registration statement,
all exhibits and all materials incorporated by reference in such registration
statement.

“Special
Counsel” means Wilson Sonsini Goodrich and Rosati or one such
other successor counsel as shall be specified by the Holders of a majority of
the Registrable Securities, but which may, with the written consent of the Initial
Purchaser (which shall not be unreasonably withheld), be another nationally
recognized law firm experienced in securities law matters designated by the
Company.  For purposes of determining
Holders of a majority of the Registrable Securities in this definition, Holders
of Securities shall be deemed to be the Holders of the number of shares of
Underlying Common Stock into which such Securities are or would be convertible
as of the date the consent is requested.

“TIA” means
the Trust Indenture Act of 1939, as amended.

“Trustee”
means U.S. Bank National Association, the Trustee under the Indenture.

“Underlying
Common Stock” means the Common Stock into which the
Securities are convertible or issued upon any such conversion.

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SECTION 2.      Shelf
Registration.  (a)  The
Company shall prepare and file or cause to be prepared and filed with the SEC,
as soon as practicable but in any event by the date (the “Filing
Deadline”) 90 days after the Issue Date, a registration statement
for an offering to be made on a delayed or continuous basis pursuant to Rule
415 of the Securities Act registering the resale from time to time by Holders
thereof of all of the Registrable Securities (a “Shelf
Registration Statement”).  The
Shelf Registration Statement shall be on Form S-3 or another appropriate form
permitting registration of the Registrable Securities for resale by the Holders
in accordance with the methods of distribution elected by the Holders and set
forth in the Shelf Registration Statement; provided, however
that in no event shall such method of distribution take the form of an
underwritten offering of the Registrable Securities without the prior written
consent of the Company.  The Company
shall use its reasonable best efforts to cause a Shelf Registration Statement
to be declared effective under the Securities Act as promptly as is practicable
but in any event by the date (the “Effectiveness Deadline”)
that is 180 days after the Issue Date, and to keep a Shelf Registration
Statement continuously effective under the Securities Act until the expiration
of the Effectiveness Period.  Each Holder
that became a Notice Holder on or prior to the date five Business Days prior to
the date the initial Shelf Registration Statement is declared effective shall
be named as a selling security holder in the initial Shelf Registration
Statement and the related Prospectus in such a manner as to permit such Holder
to deliver or make available the Prospectus to purchasers of Registrable
Securities in accordance with applicable law. 
Only Registrable Securities shall be included in a Shelf Registration
Statement.

(b)           If
a Shelf Registration Statement covering resales of the Registrable Securities
ceases to be effective for any reason at any time during the Effectiveness
Period (other than because all securities registered thereunder shall have been
resold pursuant thereto or shall have otherwise ceased to be Registrable
Securities), the Company shall use its reasonable best efforts to obtain the
prompt withdrawal of any order suspending the effectiveness thereof, and in any
event shall within 30 days of such cessation of effectiveness amend the Shelf
Registration Statement in a manner reasonably expected to obtain the withdrawal
of the order suspending the effectiveness thereof, or file an additional Shelf
Registration Statement so that all Registrable Securities outstanding as of the
date of such filing are covered by a Shelf Registration Statement.  If a new Shelf Registration Statement is
filed pursuant to this Section 2(b), the Company shall use its reasonable
best efforts to cause the new Shelf Registration Statement to become effective
as promptly as is practicable after such filing and to keep the new Shelf
Registration Statement continuously effective until the end of the
Effectiveness Period.

(c)           The
Company shall amend and supplement the Prospectus and/or amend the Shelf
Registration Statement if required by the rules, regulations or instructions
applicable to the registration form used by the Company for such Shelf
Registration Statement or file a new Shelf Registration Statement, if required by
the Securities Act or as necessary and reasonably requested by the Initial
Purchaser or by the Trustee on behalf of the Holders of the Registrable
Securities covered by such Shelf Registration Statement to correct any material
misstatements or omissions with respect to any Holder as necessary to name a
Notice Holder as a selling securityholder pursuant to Section 2(d) below.

(d)           Each
Holder may sell Registrable Securities pursuant to a Shelf Registration
Statement and related Prospectus only in accordance with this Section 2(d)
and Section 3(h).  Each Holder
wishing to sell Registrable Securities pursuant to a Shelf Registration
Statement and 

 5
 

 

related Prospectus shall deliver a Notice and Questionnaire to the
Company at least three Business Days prior to any intended distribution of
Registrable Securities under the Shelf Registration Statement.  From and after the date the initial Shelf
Registration Statement is declared effective, the Company shall, as promptly as
practicable after the date a Notice and Questionnaire is delivered pursuant to
Section 8(c) hereof, and in any event on or before the later of (x) 15
Business Days (or 8 Business Days if the Company is then able to name a selling
security holder by means of a supplement to the related Prospectus) after such
date or (y) 15 Business Days (or 8 Business Days if the Company is then able to
name a selling security holder by means of a supplement to the related
Prospectus) after the expiration of any Deferral Period in effect when the
Notice and Questionnaire is delivered or put into effect within 15 Business
Days (or 8 Business Days if the Company is then able to name a selling security
holder by means of a supplement to the related Prospectus) of such delivery
date:

(i)            if required by applicable law, file
with the SEC a post-effective amendment to the Shelf Registration Statement or
prepare and, if required by applicable law, file a supplement to the related
Prospectus or a supplement or amendment to any document incorporated therein by
reference or file a new Shelf Registration Statement or any other required
document so that the Holder delivering such Notice and Questionnaire is named
as a selling securityholder in a Shelf Registration Statement and the related
Prospectus in such a manner as to permit such Holder to deliver or make
available such Prospectus to purchasers of the Registrable Securities in
accordance with applicable law and, if the Company shall file a post effective
amendment to a Shelf Registration Statement or shall file a new Shelf Registration
Statement, the Company shall use its reasonable best efforts to cause such post
effective amendment or new Shelf Registration Statement to be declared
effective under the Securities Act as promptly as is practicable, but in any
event by the date (the “Amendment
Effectiveness Deadline”) that is 45 days after the date such post
effective amendment or new Shelf Registration Statement is required by this
Section 2(d) to be filed; provided, however,
that the Shelf Registration Statement shall include the disclosure required by
Rule 430B under the Securities Act in order to enable the Company to add
selling security holders on to the Shelf Registration Statement pursuant to the
filing of prospectus supplements; and provided further, if the Company is then
able to name a selling security holder to the Shelf Registration Statement by
means of either a supplement to the related prospectus or a post-effective
amendment, the Company shall file a prospectus supplement to name the Holder as
a selling security holder in the Shelf Registration Statement;

(ii)           provide such Holder copies of any
documents filed pursuant to Section 2(d)(i); and

(iii)          notify such Holder as promptly as
practicable after the effectiveness under the Securities Act of any new Shelf
Registration Statement or post effective amendment filed pursuant to
Section 2(d)(i);

provided that
if such Notice and Questionnaire is delivered during a Deferral Period, the
Company shall so inform the Holder delivering such Notice and Questionnaire and
shall take the actions set forth in clauses (i), (ii) and (iii) above upon
expiration of the Deferral Period in accordance with Section 3(h).  Notwithstanding anything contained herein to
the contrary, (i) the 

 6
 

 

Company shall be under no
obligation to name any Holder that is not a Notice Holder as a selling
securityholder in any Shelf Registration Statement or related Prospectus and
(ii) the Amendment Effectiveness Deadline shall be extended by ten Business
Days from the expiration of a Deferral Period.

(e)           The
parties hereto agree that the Holders of Registrable Securities will suffer
damages, and that it would not be feasible to ascertain the extent of such
damages with precision, if:

(i)            the initial Shelf Registration
Statement has not been filed on or prior to the Filing Deadline,

(ii)           the initial Shelf Registration
Statement has not been declared effective under the Securities Act on or prior
to the Effectiveness Deadline,

(iii)          the Company has failed to perform its
obligations set forth in Section 2(d)(i) within the time period required
therein,

(iv)          a post-effective amendment to a Shelf
Registration Statement filed pursuant to Section 2(d)(i) has not become
effective under the Securities Act on or prior to the Amendment Effectiveness
Deadline,

(v)           the aggregate duration of Deferral
Periods in any period exceeds the number of days permitted in respect of such
period pursuant to Section 3(h) hereof, or

(vi)          the number of Deferral Periods in any
period exceeds the number permitted in respect of such period pursuant to
Section 3(h) hereof.

Each event described in
any of the foregoing clauses (i) through (vi) is individually referred to
herein as a “Registration Default.” For
purposes of this Agreement, each Registration Default set forth above shall
begin and end on the dates set forth in the table set forth below:

	
  Type of

  Registration

  Default by

  Clause

  	
   

  	
  Beginning Date

  	
   

  	
  Ending Date

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (i)

  	
   

  	
  Filing Deadline

  	
   

  	
  the date the initial Shelf Registration Statement is
  filed

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (ii)

  	
   

  	
  Effectiveness Deadline

  	
   

  	
  the date the initial Shelf Registration Statement
  becomes effective under the Securities Act

  

 

 7
 

 

 

	
  Type of

  Registration

  Default by

  Clause

  	
   

  	
  Beginning Date

  	
   

  	
  Ending Date

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (iii)

  	
   

  	
  the date by which the Company is required to perform
  its obligations under Section 2(d)(i)

  	
   

  	
  the date the Company performs its obligations set
  forth in Section 2(d)(i)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (iv)

  	
   

  	
  the Amendment Effectiveness Deadline

  	
   

  	
  the date the applicable post-effective amendment to
  a Shelf Registration Statement becomes effective under the Securities Act

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (v)

  	
   

  	
  the date on which the aggregate duration of Deferral
  Periods in any period exceeds the number of days permitted by
  Section 3(h)

  	
   

  	
  termination of the Deferral Period that caused the
  limit on the aggregate duration of Deferral Periods to be exceeded

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (vi)

  	
   

  	
  the date of commencement of a Deferral Period that
  causes the number of Deferral Periods to exceed the number permitted by
  Section 3(h)

  	
   

  	
  termination of the Deferral Period that caused the
  number of Deferral Periods to exceed the number permitted by
  Section 3(h)

  

 

For purposes of this
Agreement, Registration Defaults shall begin on the dates set forth in the
table above and shall continue until the ending dates set forth in the table
above.

Commencing
on (and including) any date that a Registration Default has begun and ending on
(but excluding) the next date on which there are no Registration Defaults that
have occurred and are continuing (a “Registration Default
Period”), the Company shall pay, as liquidated damages and not as a
penalty, to Record Holders of Registrable Securities in respect of each day in
the Registration Default Period, additional interest in respect of any Security
that is a Registrable Security that has not been converted into Underlying
Common Stock, at a rate per annum equal to 0.25% of the aggregate principal
amount of such Security (the “Initial Additional
Interest Amount”) for the first 90 days since the date that a
Registration Default begins, and at a rate per annum equal to 0.5% of the
aggregate principal amount of such Security (the “Subsequent
Additional Interest Amount”, and together with the Initial
Additional Interest Amount, the “Additional Interest
Amount”) after the first 90 days of such Registration Default Period;
provided that in the case of a
Registration Default Period that is in effect solely as a result of a
Registration Default of the type described in clause (iii) or (iv) of the
preceding paragraph, such Additional Interest Amount shall be paid only to the
Holders (as set forth in the succeeding paragraph) that have delivered Notices
and Questionnaires that caused the Company to incur the obligations set forth
in Section 2(d), the non-performance of which is the basis of 

 8
 

 

such Registration
Default.  Notwithstanding the foregoing,
no Additional Interest Amount shall accrue as to any Registrable Security from
and after the earlier of (x) the date such security is no longer a Registrable
Security and (y) expiration of the Effectiveness Period.  The rates of accrual of the Additional
Interest Amount, with respect to any period shall not exceed the rates provided
for in this paragraph notwithstanding the occurrence of multiple concurrent
Registration Defaults.

If a Holder has
converted some or all of its Notes into Common Stock, the Holder will not be
entitled to receive any Additional Interest with respect to such Common Stock
or the principal amount of the Notes that have been so converted.  In addition, in no event will Additional
Interest be payable in connection with a Registration Default relating to a
failure to register the Common Stock deliverable upon conversion of the
Notes.  For avoidance of doubt, if the
Company fails to register both the Notes and the Common Stock deliverable upon
conversion of the Notes, then Additional Interest will be payable solely in
connection with the Registration Default relating to the failure to register
the Notes.

The Additional
Interest Amount shall be payable on each Interest Payment Date during the
Registration Default Period (and on the Interest Payment Date next succeeding
the end of the Registration Default Period if the Registration Default Period
does not end on a Interest Payment Date) to the Record Holders of the
Registrable Securities entitled thereto pursuant to the terms of the Indenture;
provided that any Additional Interest
Amount accrued with respect to any Security or portion thereof redeemed by the
Company on a redemption date, purchased by the Company on a repurchase date or
converted into Underlying Common Stock on a conversion date prior to the
Interest Payment Date, shall, in any such event, be paid instead to the Holder
who submitted such Security or portion thereof for redemption, purchase or
conversion on the applicable redemption date, repurchase date or conversion
date, as the case may be, on such date (or promptly following the conversion
date, in the case of conversion), unless the redemption date or the repurchase
date, as the case may be, falls after February 1 or August 1 and on or prior to
the corresponding Interest Payment Date in which case such amounts shall be
paid to the Holder entitled to receive payments of interest in respect of such
Securities pursuant to the terms of the Indenture; and provided
further, that, in the case of a Registration Default of the type
described in clause (iii) or (iv) of the first paragraph of this Section 2(e),
such Additional Interest Amount shall be paid only to the Holders entitled
thereto by check mailed to the address set forth in the Notice and Questionnaire
delivered by such Holder.  The Trustee
shall be entitled, on behalf of registered holders of Securities or Underlying
Common Stock, to seek any available remedy for the enforcement of this
Agreement, including for the payment of such Additional Interest Amount.  Notwithstanding the foregoing, the parties
agree that the sole damages payable for a violation of the terms of this
Agreement with respect to which additional interest or liquidated damages are
expressly provided shall be such Additional Interest Amount. Nothing shall
preclude any Holder from pursuing or obtaining specific performance or other
equitable relief with respect to this Agreement.

All of the Company’s
payment obligations set forth in this Section 2(e) that have accrued with
respect to any Registrable Security at the time such security ceases to be a
Registrable Security shall survive until such time as all such payment
obligations with respect to such security have been satisfied in full
(notwithstanding termination of this Agreement pursuant to Section 8(k)).

 9
 

 

The parties hereto
agree that the additional interest provided for in this Section 2(e)
constitute a reasonable estimate of the damages that may be incurred by Holders
of Registrable Securities by reason of the failure of a Shelf Registration
Statement to be filed or declared effective or available for effecting resales
of Registrable Securities in accordance with the provisions hereof.

SECTION 3.      Registration
Procedures.  In
connection with the registration obligations of the Company under Section 2
hereof, the Company shall:

(a)           Before
filing any Shelf Registration Statement or Prospectus or any amendments or
supplements thereto with the SEC, furnish to the Initial Purchaser and the
Special Counsel of such offering, if any, copies of all such documents proposed
to be filed at least three Business Days prior to the filing of such Shelf
Registration Statement or amendment thereto or Prospectus or supplement thereto
(other than supplements or amendments that do nothing more than name Notice
Holders and provide information with respect thereto).

(b)           Subject
to Section 3(h) hereof, prepare and file with the SEC such amendments and
post-effective amendments to each Shelf Registration Statement as may be
necessary to keep such Shelf Registration Statement continuously effective
during the Effectiveness Period; cause the related Prospectus to be
supplemented by any required prospectus supplement, and as so supplemented to
be filed pursuant to Rule 424 (or any similar provisions then in force) under
the Securities Act; and use its best efforts to comply with the provisions of
the Securities Act applicable to it with respect to the disposition of all
securities covered by such Shelf Registration Statement during the
Effectiveness Period in accordance with the intended methods of disposition by
the sellers thereof set forth in such Shelf Registration Statement as so
amended or such Prospectus as so supplemented.

(c)           As
promptly as practicable give notice to the Notice Holders, the Initial Purchaser
and the Special Counsel, (i) when any Prospectus, prospectus supplement, Shelf
Registration Statement or post-effective amendment to a Shelf Registration
Statement has been filed with the SEC and, with respect to a Shelf Registration
Statement or any post-effective amendment, when the same has been declared
effective (other than supplements or amendments that do nothing more than name
Notice Holders and provide information with respect thereto), (ii) of any
request, following the effectiveness of the initial Shelf Registration
Statement under the Securities Act, by the SEC or any other federal or state
governmental authority for amendments or supplements to any Shelf Registration
Statement or related Prospectus or for additional information, (iii) of the issuance
by the SEC or any other federal or state governmental authority of any stop
order suspending the effectiveness of any Shelf Registration Statement or the
initiation or threatening of any proceedings for that purpose, (iv) of the
receipt by the Company of any notification with respect to the suspension of
the qualification or exemption from qualification of any of the Registrable
Securities for sale in any jurisdiction or the initiation or threatening of any
proceeding for such purpose, (v) of the occurrence of, but not the nature of or
details concerning, a Material Event and (vi) of the determination by the
Company that a post effective amendment to a Shelf Registration Statement will
be filed with the SEC, which notice may, at the discretion of the Company (or as
required pursuant to Section 3(h)) state that it constitutes a Deferral
Notice, in which event the provisions of Section 3(h) shall apply.

 10
 

 

(d)           Use
its reasonable best efforts to obtain the withdrawal of any order suspending
the effectiveness of a Shelf Registration Statement or the lifting of any
suspension of the qualification (or exemption from qualification) of any of the
Registrable Securities for sale in any jurisdiction in which they have been
qualified for sale, in either case as promptly as practicable, and provide
prompt notice to each Notice Holder and the Initial Purchaser of the withdrawal
of any such order.

(e)           As
promptly as practicable furnish to each Notice Holder, the Special Counsel and
the Initial Purchaser, upon request and without charge, at least one conformed
copy of each Shelf Registration Statement and any amendment thereto, including
exhibits and all documents incorporated or deemed to be incorporated therein by
reference.

(f)            During
the Effectiveness Period, deliver to each Notice Holder, the Special Counsel,
if any, and the Initial Purchaser, in connection with any sale of Registrable
Securities pursuant to a Shelf Registration Statement, without charge, as many
copies of the Prospectus relating to such Registrable Securities (including
each preliminary prospectus) and any amendment or supplement thereto as any
such person may reasonably request; and the Company hereby consents (except
during such periods that a Deferral Notice is outstanding and has not been
revoked) to the use of such Prospectus or each amendment or supplement thereto
by each such person in connection with any offering and sale of the Registrable
Securities covered by such Prospectus or any amendment or supplement thereto in
the manner set forth therein on the terms set forth herein.

(g)           Prior
to any public offering of the Registrable Securities pursuant to a Shelf
Registration Statement, use its reasonable best efforts to register or qualify
or cooperate with the Notice Holders and the Special Counsel in connection with
the registration or qualification (or exemption from such registration or
qualification) of such Registrable Securities for offer and sale under the
securities or Blue Sky laws of such jurisdictions within the United States as
any Notice Holder reasonably requests in writing (which request may be included
in the Notice and Questionnaire); prior to any public offering of the
Registrable Securities pursuant to a Shelf Registration Statement, use its
reasonable best efforts to keep each such registration or qualification (or
exemption therefrom) effective during the Effectiveness Period in connection
with such Notice Holder’s offer and sale of Registrable Securities pursuant to
such registration or qualification (or exemption therefrom) and do any and all
other acts or things reasonably necessary or advisable to enable the
disposition in such jurisdictions of such Registrable Securities in the manner
set forth in the Shelf Registration Statement and the related Prospectus; provided that the Company will not be
required to (i) qualify as a foreign corporation or as a dealer in securities
in any jurisdiction where it would not otherwise be required to qualify but for
this Agreement or (ii) take any action that would subject it to general service
of process in suits or to taxation in any such jurisdiction where it is not
then so subject.

(h)           Upon
(A) the issuance by the SEC of a stop order suspending the effectiveness of a
Shelf Registration Statement or the initiation of proceedings with respect to a
Shelf Registration Statement under Section 8(d) or 8(e) of the Securities
Act, (B) the occurrence of any event or the existence of any fact (a “Material Event”) as a result of which a
Shelf Registration Statement shall contain any untrue statement of a material
fact or omit to state any material fact required to be stated therein or
necessary to make the statements therein not misleading, or any 

 11
 

 

Prospectus shall contain any untrue statement of a material fact or
omit to state any material fact required to be stated therein or necessary to
make the statements therein, in the light of the circumstances under which they
were made, not misleading, or (C) the occurrence or existence of any pending
corporate development that, in the reasonable discretion of the Company, makes
it appropriate to suspend the availability of a Shelf Registration Statement
and the related Prospectus:

(i)            in the case of clause (B) above, as
promptly as practicable prepare and file, if necessary pursuant to applicable
law, a post effective amendment to such Shelf Registration Statement or a
supplement to the related Prospectus or any document incorporated therein by
reference or file any other required document that would be incorporated by
reference into such Shelf Registration Statement and Prospectus so that such
Shelf Registration Statement does not contain any untrue statement of a
material fact or omit to state any material fact required to be stated therein
or necessary to make the statements therein not misleading, and such Prospectus
does not contain any untrue statement of a material fact or omit to state any
material fact required to be stated therein or necessary to make the statements
therein, in the light of the circumstances under which they were made, not
misleading, as thereafter delivered to the purchasers of the Registrable
Securities being sold thereunder, and, in the case of a post effective
amendment to a Shelf Registration Statement, use its reasonable best efforts to
cause it to be declared effective as promptly as is practicable, and

(ii)           give notice to the Notice Holders,
and the Special Counsel, if any, that the availability of a Shelf Registration
Statement is suspended (a “Deferral Notice”).

The Company will use its
reasonable best efforts to ensure that the use of the Prospectus may be resumed
(x) in the case of clause (A) above, as promptly as is practicable, (y) in the
case of clause (B) above, as soon as, in the sole judgment of the Company,
public disclosure of such Material Event would not be prejudicial to or
contrary to the interests of the Company or, if necessary to avoid unreasonable
burden or expense, as soon as practicable thereafter and (z) in the case of
clause (C) above, as soon as in the reasonable discretion of the Company, such
suspension is no longer appropriate.  The
Company shall be entitled to exercise its right under this Section 3(h) to
suspend the availability of a Shelf Registration Statement or any Prospectus,
without incurring or accruing any obligation to pay additional interest pursuant
to Section 2(e), so long as the aggregate duration of any periods during
which the availability of the Shelf Registration Statement and any Prospectus
is suspended (the “Deferral Period”)
does not exceed 45 days in any three month period or 90 days in any 12 month
period; provided that in the case of a Material
Event relating to an acquisition or a probable acquisition or financing,
recapitalization, business combination or other similar transaction, the
Company may, without incurring any obligation to pay additional interest pursuant
to Section 2(e), deliver to Notice Holders a second notice to the effect
set forth above, which shall have the effect of extending the Deferral Period
by up to an additional 15 days in any three-month period, or such shorter
period of time as is specified in such second notice.

(i)            If requested in writing in
connection with a disposition of Registrable 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 Registrable
Securities, 

 12

any broker
dealers, attorneys and accountants retained by such Notice Holders, and any
attorneys or other agents retained by a broker-dealer engaged by such Notice
Holders, all relevant financial and records, corporate documents and other
relevant information as may be 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 that
such persons shall first agree in writing with the Company that any non-public
information shall be used solely for the purposes of satisfying “due diligence”
obligations under the Securities Act and exercising rights under this Agreement
and shall be kept confidential for a period of five years by such persons,
unless (i) disclosure of such information is required by court or
administrative order or is necessary to respond to inquiries of regulatory
authorities, (ii) in the opinion of Special Counsel, disclosure of such
information is required by law (including any disclosure requirements pursuant
to federal securities laws in connection with the filing of any Shelf
Registration Statement or the use of any prospectus referred to in this
Agreement), (iii) such information becomes generally available to the public
other than as a result of a disclosure or failure to safeguard by any such
person or (iv) such information becomes available to any such person from a
source other than the Company and such source is not bound by a confidentiality
agreement, and provided further that the
foregoing inspection and information gathering shall, to the greatest extent
possible, be coordinated on behalf of all the Notice Holders and the other
parties entitled thereto by the Special Counsel.  Any person legally compelled to disclose any
such confidential information made available for inspection shall provide the
Company with prompt prior written notice of such requirement so that the Company
may seek a protective order, confidentiality treatment or other appropriate
remedy.

(j)            If requested by any Notice Holder,
(i) promptly incorporate in the Shelf Registration Statement or Prospectus,
pursuant to a supplement or post-effective amendment if necessary, such
information regarding such Holder as required by the rules and regulations of
the SEC as such Holder may reasonably request to be included therein (unless
the Company reasonably objects to such inclusion and, in the opinion of the
Special Counsel, such information is not required to be so incorporated) and
(ii) make all required filings of such supplement or such post-effective
amendment as soon as practicable after the Company has received notification of
the matters to be incorporated in such filing.

(k)           Comply with all applicable rules and
regulations of the SEC and make generally available to its securityholders
earning statements (which need not be audited) satisfying the provisions of
Section 11(a) of the Securities Act and Rule 158 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 a Shelf Registration Statement, which statements shall be
made available no later than 45 days after the end of the 12-month period or 90
days if the 12-month period coincides with the fiscal year of the Company.

(l)            Cooperate with each Notice Holder to
facilitate the timely preparation and delivery of certificates representing
Registrable Securities sold or to be sold pursuant to a Shelf Registration
Statement, which certificates shall not bear any restrictive legends, and cause
such Registrable Securities to be in such denominations as are permitted by the
Indenture and registered in such names as such Notice Holder may request in
writing at least one Business Day 

 13
 

prior to any sale of such
Registrable Securities.

(m)          Obtain opinions of counsel to the
Company (which counsel and opinions, in form, scope and substance, shall be
reasonably satisfactory to the Holders and Special Counsel) addressed to each
Notice Holder, covering the matters customarily covered in opinions requested
in underwritten offerings and obtain “cold comfort” letters from the
independent registered public accounting firm of the Company (and, if
necessary, any other registered public accounting firm of any subsidiary of the
Company, or of any person or business acquired by the Company for which
financial statements and financial data are or are required to be included or
incorporated by reference in the Shelf Registration Statement or the related
Prospectus or in the documents incorporated or deemed to be incorporated
therein) addressed to the Company and each Notice Holder, such letters to be in
customary form and covering matters of the type customarily covered in “cold
comfort” letters in connection with underwritten offerings.

(n)           Provide a CUSIP number for all
Registrable Securities covered by each Shelf Registration Statement not later
than the effective date of such Shelf Registration Statement and provide the
Trustee and the transfer agent for the Common Stock with printed certificates
for the Registrable Securities that are in a form eligible for deposit with The
Depository Trust Company.

(o)           Use its best efforts to cause the
Indenture to be qualified under the TIA in connection with the registration of
the Registrable Securities, cooperate with the Trustee and the Holders to
effect such changes to the Indenture as may be required for the Indenture to be
so qualified in accordance with the terms of the TIA and execute, and use its
reasonable best efforts to cause the Trustee to execute, all documents as may
be required to effect such changes and all other forms and documents required
to be filed with the SEC to enable the Indenture to be so qualified in a timely
manner.

(p)           Cooperate and assist in any filings
required to be made with the National Association of Securities Dealers, Inc.

(q)           Cause the Underlying Common Stock
covered by the Shelf Registration Statement to be listed or quoted, as the case
may be, on each securities exchange or automated quotation system on which the
Common Stock is then listed or quoted.

(r)            Upon (i) the filing of the initial
Shelf Registration Statement and (ii) the effectiveness of the initial Shelf
Registration Statement, announce the same, in each case by release to Business
Wire.

SECTION
4.      Holder’s Obligations.
(a)  Each Holder agrees, by acquisition of the Registrable
Securities, that no Holder shall be entitled to sell any of such Registrable
Securities pursuant to a Shelf Registration Statement or to receive a
Prospectus relating thereto, unless such Holder has furnished the Company with
a Notice and Questionnaire as required pursuant to Section 2(d) hereof
(including the information required to be included in such Notice and
Questionnaire) and the information set forth in the next sentence.  Each Notice Holder agrees promptly to furnish
to the Company all information required to be disclosed in order to make the
information previously furnished to the Company by such Notice Holder not
misleading and any 

 14
 

other information
regarding such Notice Holder and the distribution of such Registrable
Securities as the Company may from time to time reasonably request.  Any sale of any Registrable Securities by any
Holder shall constitute a representation and warranty by such Holder that the
information relating to such Holder and its plan of distribution is as set
forth in the Prospectus made available or delivered by such Holder in
connection with such disposition, that such Prospectus does not as of the time
of such sale contain any untrue statement of a material fact relating to or
provided by such Holder or its plan of distribution and that such Prospectus
does not as of the time of such sale omit to state any material fact relating
to or provided by such Holder or its plan of distribution necessary to make the
statements in such Prospectus, in the light of the circumstances under which
they were made, not misleading.  Each
Holder further agrees not to sell any Registrable Securities without
delivering, or, if permitted by applicable securities law, making available, to
the purchaser thereof a Prospectus in accordance with the requirements of
applicable securities laws.  Each Holder
further agrees that such Holder will not make any offer relating to the
Registrable Securities that would constitute an “issuer free writing prospectus”
(as defined in Rule 433 under the Securities Act) or that would otherwise
constitute a “free writing prospectus” (as defined in Rule 405 under the
Securities Act), unless it has obtained the prior written consent of the
Company.

(b)           Upon receipt of any Deferral Notice,
each Notice Holder agrees not to sell any Registrable Securities pursuant to
any Shelf Registration Statement until such Notice Holder’s receipt of copies
of the supplemented or amended Prospectus provided for in Section 3(h)(i),
or until it is advised in writing by the Company that the Prospectus may be
used.

SECTION
5.      Registration Expenses.  The Company shall bear all fees and expenses
incurred in connection with the performance by the Company of its obligations
under Sections 2 and 3 of this Agreement whether or not any Shelf
Registration Statement is declared effective. 
Such fees and expenses shall include, without limitation, (i) all
registration and filing fees (including, without limitation, fees and expenses
(x) with respect to filings required to be made with the National Association
of Securities Dealers, Inc. and the SEC and (y) of compliance with federal and
state securities or Blue Sky laws (including, without limitation, reasonable
fees and disbursements of the Special Counsel in connection with Blue Sky
qualifications of the Registrable Securities under the laws of such
jurisdictions as Notice Holders of a majority of the Registrable Securities
being sold pursuant to a Shelf Registration Statement may designate), (ii)
printing expenses (including, without limitation, expenses of printing
certificates for Registrable Securities in a form eligible for deposit with The
Depository Trust Company), (iii) all expenses of any Persons in preparing or
assisting in preparing, word processing, printing and distributing any Shelf
Registration Statement, any Prospectus, any amendments or supplements thereto, any,
securities sales agreements and other documents relating to the performance of
and compliance with this Agreement, (iv) all fees and disbursements relating to
the qualification of the Indenture under applicable securities laws, (v) the
fees and disbursements of counsel for the Company in connection with any Shelf
Registration Statement, (vi) fees and disbursements of the Trustee and its
counsel and of the registrar and transfer agent for the Common Stock, (vii)
Securities Act liability insurance obtained by the Company in its sole
discretion, (vii) the fees and disbursements of Special Counsel (other than
fees and expenses in connection with any underwritten offerings), and (ix) the
fees and disbursements of the independent registered public accounting firm of
the Company and of any other Person or business whose financial statements are
included or incorporated or deemed to be incorporated by reference in a Shelf
Registration 

 15
 

Statement, including the
expenses of any “cold comfort” or similar letters required by or incident to
such performance and compliance.  In
addition, the Company shall pay the internal expenses of the Company
(including, without limitation, all salaries and expenses of officers and
employees performing legal or accounting duties), the expense of any annual
audit, the fees and expenses incurred in connection with the listing by the
Company of the Registrable Securities on any securities exchange on which
similar securities of the Company are then listed and the fees and expenses of
any person, including special experts, retained by the Company.  Notwithstanding the provisions of this
Section 5, each seller of Registrable Securities shall pay any broker’s
commission, agency fee or underwriter’s discount or commission in connection
with the sale of the Registrable Securities under a Shelf Registration
Statement.

SECTION 6.      Indemnification
and Contribution.

(a)           The Company agrees to indemnify and
hold harmless each Notice Holder, each person, if any, who controls any Notice
Holder within the meaning of either Section 15 of the Securities Act or
Section 20 of the Exchange Act, and each affiliate of any Holder within the
meaning of Rule 405 under the Securities Act from and against any and all
losses, claims, damages and liabilities (including, without limitation, any
legal or other expenses reasonably incurred by such Holder in connection with
defending or investigating any such action or claim) caused by any untrue
statement or alleged untrue statement of a material fact contained in any Shelf
Registration Statement or any amendment thereof, or any Prospectus (as amended
or supplemented if the Company shall have furnished any amendments or
supplements thereto), caused by any omission or alleged omission to state
therein a material fact required to be stated therein or necessary to make the
statements therein not misleading, in the light of the circumstances under
which they were made, except insofar as such losses, claims, damages or
liabilities are caused by any such untrue statement or omission or alleged
untrue statement or omission based upon information relating to any Holder
furnished to the Company in writing by or on behalf of such Holder expressly
for use therein; provided that
the foregoing indemnity shall not inure to the benefit of any Holder (or to the
benefit of any person controlling such Holder) from whom the person asserting
such losses, claims, damages or liabilities purchased the Registrable
Securities, if a copy of the Prospectus (as then amended or supplemented if the
Company shall have furnished any amendments or supplements thereto) was not
sent or given by or on behalf of such Holder to such person, if required by law
so to have been delivered at or prior to the written confirmation of the sale
of the Registrable Securities to such person, and if the Prospectus (as so
amended or supplemented) would have cured the defect giving rise to such
losses, claims, damages or liabilities, unless such failure is the result of
noncompliance by the Company with Section 2(c) hereof.

(b)           Each Holder agrees severally and not
jointly to indemnify and hold harmless the Company and the Company’s directors,
officers who sign any Shelf Registration Statement and each person, if any, who
controls the Company (within the meaning of either Section 15 of the
Securities Act or Section 20 of the Exchange Act) or any other Holder, to
the same extent as the foregoing indemnity from the Company to such Holder, but
only with reference to information relating to such Holder furnished to the
Company in writing by or on behalf of such Holder expressly for use in such
Shelf Registration Statement or Prospectus or amendment or supplement
thereto.  In no event shall the liability
of any Holder hereunder be greater in amount than the dollar amount of the
proceeds received by such Holder upon the sale of the Registrable 

 16
 

Securities pursuant to the
Shelf Registration Statement giving rise to such indemnification obligation.

(c)           In case any proceeding (including any
governmental investigation) shall be instituted involving any person in respect
of which indemnity may be sought pursuant to Section 6(a) or 6(b) hereof,
such person (the “indemnified party”)
shall promptly notify the person against whom such indemnity may be sought (the
“indemnifying party”) in writing and
the indemnifying party, upon request of the indemnified party, shall retain
counsel reasonably satisfactory to the indemnified party to represent the
indemnified party and any others the indemnifying party may designate in such
proceeding and shall pay the reasonable fees and disbursements of such counsel
related to such proceeding.  In any such
proceeding, any indemnified party shall have the right to retain its own
counsel, but the fees and expenses of such counsel shall be at the expense of
such indemnified party unless (i) the indemnifying party and the indemnified
party shall have mutually agreed to the retention of such counsel or (ii) the
named parties to any such proceeding (including any impleaded parties) include
both the indemnifying party and the indemnified party and representation of
both parties by the same counsel would be inappropriate due to actual or
potential differing interests between them. 
It is understood that the indemnifying party shall not, in respect of
the legal expenses of any indemnified party in connection with any proceeding
or related proceedings in the same jurisdiction, be liable for the fees and
expenses of more than one separate firm (in addition to any local counsel) for
all such indemnified parties and that all such fees and expenses shall be
reimbursed as they are incurred.  Such
firm shall be designated in writing by, in the case of parties indemnified
pursuant to Section 6(a), the Holders of a majority (with Holders of
Securities deemed to be the Holders, for purposes of determining such majority,
of the number of shares of Underlying Common Stock into which such Securities
are or would be convertible as of the date on which such designation is made)
of the Registrable Securities covered by the Shelf Registration Statement held
by Holders that are indemnified parties pursuant to Section 6(a) and, in
the case of parties indemnified pursuant to Section 6(b), the
Company.  The indemnifying party shall
not be liable for any settlement of any proceeding effected without its written
consent, but if settled with such consent or if there be a final judgment for
the plaintiff, the indemnifying party agrees to indemnify the indemnified party
from and against any loss or liability by reason of such settlement or
judgment.  No indemnifying party shall,
without the prior written consent of the indemnified party, effect any
settlement of any pending or threatened proceeding in respect of which any
indemnified party is or could have been a party and indemnity could have been
sought hereunder by such indemnified party, unless such settlement includes an
unconditional release of such indemnified party from all liability on claims
that are the subject matter of such proceeding.

(d)           To the extent that the indemnification
provided for in Section 6(a) or 6(b) is unavailable to an indemnified
party or insufficient in respect of any losses, claims, damages or liabilities
referred to therein, then each indemnifying party under such paragraph, in lieu
of indemnifying such indemnified party thereunder, shall contribute to the
amount paid or payable by such indemnified party as a result of such losses,
claims, damages or liabilities (i) in such proportion as is appropriate to
reflect the relative fault of the indemnifying party or parties on the one hand
and of the indemnified party or parties on the other hand in connection with
the statements or omissions that resulted in such losses, claims, damages or
liabilities, as well as any other relevant equitable considerations.  The relative benefits received by any Holder
shall be 

 17
 

deemed to be equal to the value
of receiving registration rights under this Agreement for the Registrable
Securities.  The relative fault of the
Holders on the one hand and the Company on the other hand shall be determined
by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a
material fact relates to information supplied by the Holders or by the Company,
and the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent such statement or omission.  The Holders’ respective obligations to contribute
pursuant to this Section 6(d) are several in proportion to the respective
number of Registrable Securities they have sold pursuant to a Shelf
Registration Statement, and not joint.

The
parties hereto agree that it would not be just and equitable if contribution
pursuant to this Section 6(d) were determined by pro rata
allocation or by any other method of allocation that does not take into account
the equitable considerations referred to in the immediately preceding
paragraph.  The amount paid or payable by
an indemnified party as a result of the losses, claims, damages or liabilities
referred to in the immediately preceding paragraph shall be deemed to include,
subject to the limitations set forth above, any legal or other expenses
reasonably incurred by such indemnified party in connection with investigating
or defending any such action or claim. 
Notwithstanding this Section 6(d), no indemnifying party that is a
selling Holder shall be required to contribute any amount in excess of the
amount by which the total price at which the Registrable Securities sold by it
and distributed to the public were offered to the public exceeds the amount of
any damages that such indemnifying party has otherwise been required to pay by
reason of such untrue or alleged untrue statement or omission or alleged
omission.  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.

(e)           The remedies provided for in this
Section 6 are not exclusive and shall not limit any rights or remedies
which may otherwise be available to an indemnified party at law or in equity,
hereunder, under the Purchase Agreement or otherwise.

(f)            The indemnity and contribution provisions
contained in this Section 6 shall remain operative and in full force and
effect regardless of (i) any termination of this Agreement, (ii) any
investigation made by or on behalf of any Holder, any person controlling any
Holder or any affiliate of any Holder or by or on behalf of the Company, its
officers or directors or any person controlling the Company and (iii) the sale
of any Registrable Securities by any Holder.

SECTION 7.      Information
Requirements.  The
Company covenants that, if at any time before the end of the Effectiveness
Period, the Company is not subject to the reporting requirements of the
Exchange Act, it will cooperate with any Holder and take such further
reasonable action as any Holder may reasonably request in writing (including,
without limitation, making such reasonable representations as any such Holder
may reasonably request), all to the extent required from time to time to enable
such Holder to sell Registrable Securities without registration under the
Securities Act within the limitation of the exemptions provided by Rule 144 and
Rule 144A under the Securities Act and customarily taken in connection with
sales pursuant to such exemptions.  Upon
the written request of any Holder, the Company shall deliver to such Holder a
written statement as to whether it has complied with such filing requirements,
unless such a statement has been included in the Company’s most recent report
filed pursuant to 

 18
 

Section 13 or Section 15(d)
of Exchange Act.  Notwithstanding the foregoing,
nothing in this Section 7 shall be deemed to require the Company to
register any of its securities (other than the Underlying Common Stock) under
the Exchange Act.

SECTION
8.          Miscellaneous.

(a)           No
Conflicting Agreements.  The
Company is not, as of the date hereof, a party to, nor shall it, on or after
the date of this Agreement, enter into, any agreement with respect to its
securities that conflicts with the rights granted to the Holders in this
Agreement.  The Company represents and
warrants that the rights granted to the Holders hereunder do not in any way
conflict with the rights granted to the holders of the Company’s securities
under any other agreements.

(b)           Amendments
and Waivers.  The provisions
of this Agreement, including the provisions of this sentence, may not be
amended, modified or supplemented, and waivers or consents to departures from
the provisions hereof may not be given, unless the Company has obtained the
written consent of Holders of a majority of the then outstanding Underlying
Common Stock constituting Registrable Securities (with Holders of Securities
deemed to be the Holders, for purposes of this Section, of the number of
outstanding shares of Underlying Common Stock into which such Securities are or
would be convertible as of the date on which such consent is requested).  Notwithstanding the foregoing, a waiver or consent
to depart from the provisions hereof with respect to a matter that relates
exclusively to the rights of Holders whose 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 Holders of at least a
majority of the Registrable Securities being sold by such Holders pursuant to
such Shelf Registration Statement; provided
that the provisions of this sentence may not be amended, modified or
supplemented except in accordance with the provisions of the immediately
preceding sentence.  Notwithstanding the
foregoing, this Agreement may be amended by written agreement signed by the
Company and the Initial Purchaser, without the consent of the Holders of Registrable
Securities, to cure any ambiguity or to correct or supplement any provision
contained herein that may be defective or inconsistent with any other provision
contained herein, or to make such other provisions in regard to matters or
questions arising under this Agreement that shall not adversely affect the
interests of the Holders of Registrable Securities.  Each Holder of Registrable Securities
outstanding at the time of any such amendment, modification, supplement, waiver
or consent or thereafter shall be bound by any such amendment, modification,
supplement, waiver or consent effected pursuant to this Section 8(b)
whether or not any notice, writing or marking indicating such amendment,
modification, supplement, waiver or consent appears on the Registrable
Securities or is delivered to such Holder.

(c)           Notices.  All notices and other communications provided
for or permitted hereunder shall be made in writing by hand delivery, by
telecopier, by courier or by first class mail, return receipt requested, and
shall be deemed given (i) when made, if made by hand delivery, (ii) upon
confirmation, if made by telecopier, (iii) one Business Day after being
deposited with such courier, if made by overnight courier or (iv) on the date
indicated on the notice of receipt, if made by first class mail, to the parties
as follows:

 19
 

(i)            if
to a Holder, at the most current address given by such Holder to the Company in
a Notice and Questionnaire or any amendment thereto;

(ii)           if
to the Company, to:

Incyte
Corporation

Route 141
& Henry Clay Road, Building 336

Wilmington,
Delaware 19880

Attention:
General Counsel

Telecopy No.: (302)
425-2707

with a copy to:

Pillsbury
Winthrop Shaw Pittman LLP

50
Fremont Street

San
Francisco, CA 94105

Attention:
Stanton D. Wong

Telecopy No.: (415)
983-1200

(iii)          if
to the Initial Purchaser, to:

Piper
Jaffray & Co.

345
California Street, Suite 2400

San
Francisco, California  94104

Attention:
General Counsel

Telecopy No.: (415)
984-5121

with a
copy to:

Wilson
Sonsini Goodrich & Rosati, Professional Corporation

650
Page Mill Road

Palo
Alto, California  94304

Attention:
John A. Fore

Telecopy No.: (650)
493-6811

or to such other
address as such person may have furnished to the other persons identified in
this Section 8(c) in writing in accordance herewith.

(d)           Approval
of Holders.  Whenever the
consent or approval of Holders of a specified percentage of Registrable
Securities is required hereunder, Registrable Securities held by the Company or
its affiliates (as such term is defined in Rule 405 under the Securities Act)
(other than the Initial Purchaser or subsequent Holders if such subsequent
Holders are deemed to be such affiliates solely by reason of their holdings of
such Registrable Securities) shall not be counted in determining whether such
consent or approval was given by the Holders of such required percentage.

(e)           Successors
and Assigns.  Any person who
purchases any Registrable Securities from the Initial Purchaser shall be
deemed, for purposes of this Agreement, to be an assignee of 

 20
 

the Initial Purchaser.  This Agreement shall inure to the benefit of
and be binding upon the successors and assigns of each of the parties and shall
inure to the benefit of and be binding upon each Holder of any Registrable
Securities, provided that nothing
herein shall be deemed to permit any assignment, transfer or other disposition
of Registrable Securities in violation of the terms of the Indenture.  If any transferee of any Holder shall acquire
Registrable Securities, in any manner, whether by operation of law or
otherwise, such Registrable Securities shall be held subject to all of the
terms of this Agreement, and by taking and holding such Registrable Securities,
such person shall be conclusively deemed to have agreed to be bound by and to
perform all of the terms and provisions of this Agreement and such person shall
be entitled to receive the benefits hereof.

(f)            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 deemed to be original and all of which taken
together shall constitute one and the same agreement.

(g)           Headings.  The headings in this Agreement are for
convenience of reference only and shall not limit or otherwise affect the
meaning hereof.

(h)           Governing
Law.  THIS AGREEMENT SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK
WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES THEREOF.

(i)            Severability.  If any term, provision, covenant or
restriction of this Agreement is held to be invalid, illegal, void or
unenforceable, the remainder of the terms, provisions, covenants and
restrictions set forth herein shall remain in full force and effect and shall
in no way be affected, impaired or invalidated thereby, and the parties hereto
shall use their reasonable best efforts to find and employ an alternative means
to achieve the same or substantially the same result as that contemplated by
such term, provision, covenant or restriction, it being intended that all of
the rights and privileges of the parties shall be enforceable to the fullest
extent permitted by law.

(j)            Entire
Agreement.  This Agreement is
intended by the parties as a final expression of their agreement and is
intended to be a complete and exclusive statement of the agreement and
understanding of the parties hereto in respect of the subject matter contained
herein and the registration rights granted by the Company with respect to the
Registrable Securities.  Except as
provided in the Purchase Agreement, there are no restrictions, promises,
warranties or undertakings, other than those set forth or referred to herein,
with respect to the registration rights granted by the Company with respect to
the Registrable Securities.  This
Agreement supersedes all prior agreements and undertakings among the parties
with respect to such registration rights. 
No party hereto shall have any rights, duties or obligations other than
those specifically set forth in this Agreement.

(k)           Termination.  This Agreement and the obligations of the
parties hereunder shall terminate upon the end of the Effectiveness Period,
except for any liabilities or obligations under Section 4, 5 or 6 hereof,
any confidentiality obligations under Section 3(i) hereof, and the
obligations to make payments of and provide for additional interest under
Section 2(e) hereof to 

 21
 

the extent such damages accrue
prior to the end of the Effectiveness Period, each of which shall remain in
effect in accordance with its terms.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 22

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the date first
written above.

	
  

  	
  INCYTE
  CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Paul A.
  Friedman

  
	
   

  	
   

  	
  Name: Paul A.
  Friedman

  
	
   

  	
   

  	
  Title: President
  & CEO

  

 

 

	
  Confirmed and accepted as of

  
	
  the date first
  above written:

  
	
   

  
	
  PIPER JAFFRAY
  & CO.

  
	
   

  
	
   

  
	
  By:

  	
  /s/ C. Jason
  Moran

  	
   

  
	
   

  	
  Name: C. Jason
  Moran

  
	
   

  	
  Title: PrincipalExhibit
10.5.2

Execution
Version

AMENDMENT
TO ESCROW AGREEMENT (this “Amendment”), dated as of the 8th day of June, 2006,
by and among AFG Enterprises USA, Inc., a Nevada corporation (the “Company”); The
Bank of New York, a New York banking corporation, as Escrow Agent (in such
capacity, the “Escrow Agent”); The Bank of New York, a New York banking
corporation, as Collateral Agent (in such capacity, the “Collateral Agent”)
under that certain Security Agreement with the Company and The Bank of New
York, a New York banking corporation, as Trustee for the holders of certain
notes of the Company (in such capacity, the “Trustee”) under that certain Indenture
dated as of March 29, 2006 (the “Indenture”) with the Company.  Capitalized terms used but not defined herein
shall have the meanings ascribed to such terms in the Escrow Agreement (as
defined below).

WITNESSETH:

WHEREAS, in connection with the
Indenture, the Company issued and sold the Notes to the Holders and entered
into that certain Escrow Agreement dated as of March 29, 2006 (the “Escrow
Agreement”) among the Company, the Escrow Agent, the Collateral Agent and the
Trustee;

WHEREAS, the
Company, the Escrow Agent, the Collateral Agent and the Trustee wish to amend
the terms of the Escrow Agreement to permit investment of Escrow Property in
U.S. Treasury Notes or Bills, in each case with maturity dates not later than
90 days after the date of investment; and

WHEREAS,
pursuant to the terms of the Escrow Agreement, the Company wishes to instruct
the Escrow Agent to invest the Escrow Property in U.S. Treasury Bills with
maturity dates of 90 days after the date of investment.

NOW, THEREFORE,
in consideration of the premises and mutual covenants contained herein, the
parties hereto do hereby agree as follows:

1.               Amendment to Escrow Agreement.   In
accordance with Section 13 of the Escrow Agreement, Section 3(b) of the Escrow
Agreement is hereby amended by deleting it in its entirety and inserting the
following in lieu thereof:

“x      (b)                                     The
Escrow Property shall be invested in U.S. Treasury Notes or Bills, in each case
with maturity dates not later than 90 days after the date of investment, and/or
“money market” funds of banks or trust companies that are members of the United
States Federal Reserve System having a minimum net worth of $1 billion.  The Escrow Agent shall invest the Escrow
Property in accordance with the written instructions of the Company; provided
that such instructions shall comply with the restrictions of the first sentence
of this Section 3(b).  In the
absence of written instructions from the Company, the Escrow Agent is hereby
authorized to invest the Escrow Property in U.S. Treasury Bills with maturity
dates not later than 30 days after the date of investment.  The Escrow Agent shall pay to the party or
parties entitled to delivery of the

 

Escrow
Property the amount of income actually received, if any, from the investment of
the cash comprising the Escrow Property in accordance with the terms of this
Agreement.”

2.               Instruction to Invest Escrow Property.
   Provided that such
written instructions shall comply with the first sentence of Section 3(b) of
the Escrow Agreement as amended hereby; the Escrow Agent shall invest the
Escrow Property in accordance with the written instructions of the Company until
otherwise instructed by the Company (in compliance with Section 3(b) of the
Escrow Agreement as amended hereby).

3.               No Modifications.   Except
as amended hereby, the terms and conditions of the Escrow Agreement shall
continue in full force and effect and is hereby in all respects ratified and
confirmed.

4.               Binding Effect.   This
Amendment shall be binding upon and inure to the benefit of the parties hereto
and their respective successors and assigns.

5.               Governing
Law.   This
Amendment, and all matters arising out of or relating to the subject matter
hereof, shall be governed by, and construed in accordance with, the laws of the
State of New York.

6.               Severability.   If one
or more provisions of this Amendment are held to be unenforceable under
applicable law, such provisions shall be excluded from this Amendment and the
balance of this Amendment shall be interpreted as if such provision were so
excluded and shall be enforceable in accordance with its terms.

7.               Counterparts.   This Amendment
may be executed in counterparts, each of which shall be deemed an original, and
all of which together shall be deemed to constitute one and the same
instrument.

[Signature
pages follow]

 

IN WITNESS WHEREOF, this Amendment
has been executed as of the date and year first written above.

	
   

  	
  AFG ENTERPRISES USA, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Stephen
  Peary

  	
   

  
	
   

  	
  Name: Stephen
  Peary

  
	
   

  	
  Title: Chief
  Financial officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE
  BANK OF NEW YORK,

  
	
   

  	
  as Escrow Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Geovanni
  Barris

  	
   

  
	
   

  	
  Name: Geovanni Barris

  
	
   

  	
  Title: Vice
  President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE
  BANK OF NEW YORK,

  
	
   

  	
  as Collateral
  Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Geovanni
  Barris

  	
   

  
	
   

  	
  Name: Geovanni
  Barris

  
	
   

  	
  Title: Vice
  President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE
  BANK OF NEW YORK,

  
	
   

  	
  as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Geovanni
  Barris

  	
   

  
	
   

  	
  Name: Geovanni
  Barris

  
	
   

  	
  Title: Vice
  President

  

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  AMATIS LIMITED,

  	
  $13,500,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
  By: Amaranth
  Advisors L.L.C., its Trading Advisor

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Karl Wachter

  	
   

  	
   

  
	
  Name: Karl J.
  Wachter

  	
   

  
	
  Title:
  Authorized Signatory

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  RADCLIFF SPC, LTD. for and on behalf of the Class A 

  	
   

  
	
  Convertible
  Crossover Segregated Portfolio,

  	
  $8,750,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Gerald F.
  Stahlecker

  	
   

  	
   

  
	
  Name:  Gerald F. Stahlecker

  	
   

  
	
  Title:  Managing Director

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  CONTEXT ADVANTAGE FUND, LTD formerly

  	
   

  
	
  CONTEXT
  CONVERTIBLE

  	
   

  
	
  ARBITRAGE
  OFFSHORE, LTD,

  	
  $3,100,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Michael S.
  Rosen

  	
   

  	
   

  
	
  Name: Michael S.
  Rosen

  	
   

  
	
  Title: CEO &
  Co-Chairman

  	
   

  
	
  Context Capital
  Management LLC

  	
   

  
	
  Investment
  Advisor

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  CONTEXT ADVANTAGE FUND, LP formerly

  	
   

  
	
  CONTEXT
  CONVERTIBLE

  	
   

  
	
  ARBITRAGE
  FUND, LP,

  	
  $900,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Michael S.
  Rosen

  	
   

  	
   

  
	
  Name:  Michael S. Rosen

  	
   

  
	
  Title:  CEO & Co-Chairman

  	
   

  
	
  Context Capital
  Management LLC

  	
   

  
	
  General Partner

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  WOLVERINE CONVERTIBLE

  	
   

  
	
  ARBITRAGE
  FUND TRADING LIMITED,

  	
  $1,000,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ James V.
  Harkness

  	
   

  	
   

  
	
  Name: James V.
  Harkness

  	
   

  
	
  Title: CEO

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  PORTSIDE GROWTH AND

  	
   

  
	
  OPPORTUNITY
  FUND,

  	
  $2,000,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Jeffrey
  Smith

  	
   

  	
   

  
	
  Name: Jeffrey
  Smith

  	
   

  
	
  Title:
  Authorized Signatory

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  CHEYNE FUND LP,

  	
  $4,400,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ P. Treadwell

  	
   

  	
   

  
	
  Name: P.
  Treadwell

  	
   

  
	
  Title: Portfolio
  Manager

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  CHEYNE LEVERAGE FUND,

  	
  $3,600,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ P. Treadwell

  	
   

  	
   

  
	
  Name: P.
  Treadwell

  	
   

  
	
  Title: Portfolio
  Manager

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking corporation,
as Collateral Agent under that certain Security Agreement with the Company; and
The Bank of New York, a New York banking corporation, as Trustee for the
holders of certain notes of the Company under that certain Indenture dated as
of March 29, 2006.

 

	
  CRANSHIRE CAPITAL, LP,

  	
  $500,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Lawrence A.
  Prosser

  	
   

  	
   

  
	
  Name: Lawrence
  A. Prosser

  	
   

  
	
  Title: CFO –
  Downsview Capital, Inc.

  	
   

  
	
  The General
  Partner

  	
   

  
				

 

 

ACCEPTANCE
AND AGREEMENT

 

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking corporation,
as Escrow Agent; The Bank of New York, a New York banking corporation, as
Collateral Agent under that certain Security Agreement with the Company; and
The Bank of New York, a New York banking corporation, as Trustee for the
holders of certain notes of the Company under that certain Indenture dated as
of March 29, 2006.

 

	
  JMG CAPITAL PARTNERS, LP,

  	
  $3,375,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Jonathan
  Glaser

  	
   

  	
   

  
	
  Name: Jonathan
  Glaser

  	
   

  
	
  Title: Member Manager
  of the GP

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured Nonconvertible
Notes due 2011 of AFG Enterprises USA, Inc., a Nevada corporation (the “Company”)
set forth next to its name, and as the Holder of such Notes accepts and agrees
to the terms of that certain Amendment to Escrow Agreement by and among the
Company; The Bank of New York, a New York banking corporation, as Escrow Agent;
The Bank of New York, a New York banking corporation, as Collateral Agent under
that certain Security Agreement with the Company; and The Bank of New York, a
New York banking corporation, as Trustee for the holders of certain notes of
the Company under that certain Indenture dated as of March 29, 2006.

 

	
  JMG
  TRITON OFFSHORE FUND, LTD.,

  	
  $3,375,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Jonathan
  Glaser

  	
   

  	
   

  
	
  Name: Jonathan Glaser

  	
   

  
	
  Title: Member
  Manager of the Investment Manager

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  PLEXUS FUND LIMITED,

  	
  $2,500,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ M. Whitehouse (Partner)

  	
   

  	
   

  
	
  Name: Michael
  Whitehouse

  	
   

  
	
  Title: 6/16/06

  	
   

  
				

 

 

ACCEPTANCE AND AGREEMENT

Each Holder, by executing this document, represents,
as to itself only, that as of the date and year first written above, it is the
record and beneficial holder of that principal amount of Senior Secured
Nonconvertible Notes due 2011 of AFG Enterprises USA, Inc., a Nevada
corporation (the “Company”) set forth next to its name, and as the Holder of
such Notes accepts and agrees to the terms of that certain Amendment to Escrow
Agreement by and among the Company; The Bank of New York, a New York banking
corporation, as Escrow Agent; The Bank of New York, a New York banking
corporation, as Collateral Agent under that certain Security Agreement with the
Company; and The Bank of New York, a New York banking corporation, as Trustee
for the holders of certain notes of the Company under that certain Indenture
dated as of March 29, 2006.

 

	
  SMITHFIELD FIDUCIARY LLC,

  	
  $1,000,000 principal amount

  
	
  as
  Nonconvertible Holder

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By: 

  	
  /s/ Scott M.
  Wallace

  	
   

  	
   

  
	
  Name: Scott M.
  Wallace

  	
   

  
	
  Title:
  Authorized Signatory

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}]]