Document:

EXHIBIT 4.2

                           AMERICAN TOWER CORPORATION

                                       TO

                         ...............................

                                 --------------

                                    Indenture

                      Dated as of ..................., 2000

                                 --------------

<PAGE>
<TABLE>
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                                                  Table of Contents

                                                                                                                 Page

<S>                       <C>                                                                                    <C>
ARTICLE ONE                Definitions and Other Provisions.......................................................1
         Section 101       Definitions............................................................................1
         Section 102       Compliance Certificates and Opinions..................................................11
         Section 103       Form of Documents Delivered to Trustee................................................12
         Section 104       Acts of Holders; Record Dates.........................................................12
         Section 105       Notices, Etc., to Trustee and Company.................................................14
         Section 106       Notice to Holders; Waiver.............................................................14
         Section 107       Conflict with Trust Indenture Act.....................................................14
         Section 108       Effect of Headings and Table of Contents..............................................15
         Section 109       Successors and Assigns................................................................15
         Section 110       Separability Clause...................................................................15
         Section 111       Benefits of Indenture.................................................................15
         Section 112       Governing Law.........................................................................15
         Section 113       Legal Holidays........................................................................15

ARTICLE TWO                Security Forms........................................................................16
         Section 201       Forms Generally.......................................................................16
         Section 202       Form of Face of Security..............................................................16
         Section 203       Form of Reverse of Security...........................................................18
         Section 204       Form of Legend for Global Securities..................................................22
         Section 205       Form of Trustee's Certificate of Authentication.......................................22

ARTICLE THREE              The Securities........................................................................23
         Section 301       Amount Unlimited; Issuable in Series..................................................23
         Section 302       Denominations.........................................................................25
         Section 303       Execution, Authentication, Delivery and Dating........................................26
         Section 304       Temporary Securities..................................................................27
         Section 305       Registration, Registration of Transfer and Exchange...................................28
         Section 306       Mutilated, Destroyed, Lost and Stolen Securities......................................29
         Section 307       Payment of Interest; Interest Rights Preserved........................................30
         Section 308       Persons Deemed Owners.................................................................31
         Section 309       Cancellation..........................................................................31
         Section 310       Computation of Interest...............................................................32

ARTICLE FOUR               Satisfaction and Discharge............................................................32
         Section 401       Satisfaction and Discharge of Indenture...............................................32
         Section 402       Application of Trust Money............................................................33

ARTICLE FIVE               Remedies..............................................................................33
         Section 501       Events of Default.....................................................................33
         Section 502       Acceleration of Maturity; Rescission and Annulment....................................35
         Section 503       Collection of Indebtedness and Suits for Enforcement by Trustee.......................36
         Section 504       Trustee May File Proofs of Claim......................................................36

                                                         -i-
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                                                  Table of Contents
                                                    (continued)
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         Section 505       Trustee May Enforce Claims Without Possession of Securities...........................37
         Section 506       Application of Money Collected........................................................37
         Section 507       Limitation on Suits...................................................................38
         Section 508       Unconditional Right of Holders to Receive Principal,
                           Premium and Interest..................................................................38
         Section 509       Restoration of Rights and Remedies....................................................38
         Section 510       Rights and Remedies Cumulative........................................................39
         Section 511       Delay or Omission Not Waiver..........................................................39
         Section 512       Control by Holders....................................................................39
         Section 513       Waiver of Past Defaults...............................................................39
         Section 514       Undertaking for Costs.................................................................40
         Section 515       Waiver of Usury, Stay or Extension Laws...............................................40

ARTICLE SIX                The Trustee...........................................................................40
         Section 601       Certain Duties and Responsibilities...................................................40
         Section 102       Notice of Defaults....................................................................41
         Section 603       Certain Rights of Trustee.............................................................41
         Section 604       Not Responsible for Recitals or Issuance of Securities................................42
         Section 605       May Hold Securities...................................................................42
         Section 606       Money Held in Trust...................................................................42
         Section 607       Compensation and Reimbursement........................................................42
         Section 608       Conflicting Interests.................................................................43
         Section 609       Corporate Trustee Required; Eligibility...............................................43
         Section 610       Resignation and Removal; Appointment of Successor.....................................43
         Section 611       Acceptance of Appointment by Successor................................................45
         Section 612       Merger, Conversion, Consolidation or Succession to Business...........................46
         Section 613       Preferential Collection of Claims Against Company.....................................46
         Section 614       Appointment of Authenticating Agent...................................................46

ARTICLE SEVEN              Holders' Lists and Reports by Trustee and Company.....................................48
         Section 701       Company to Furnish Trustee Names and Addresses of Holders.............................48
         Section 702       Preservation of Information; Communications to Holders................................48
         Section 703       Reports by Trustee....................................................................49
         Section 704       Reports by Company....................................................................49

ARTICLE EIGHT              Consolidation, Merger, Conveyance, Transfer or
                           Lease.................................................................................49
         Section 801       Company May Consolidate, Etc., Only on Certain Terms..................................49
         Section 802       Successor Substituted.................................................................50

ARTICLE NINE               Supplemental Indentures...............................................................50
         Section 901       Supplemental Indentures Without Consent of Holders....................................50
         Section 902       Supplemental Indentures With Consent of Holders.......................................52
         Section 903       Execution of Supplemental Indentures..................................................53

                                                        -ii-
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                                                  Table of Contents
                                                    (continued)
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         Section 904       Effect of Supplemental Indentures.....................................................53
         Section 905       Conformity with Trust Indenture Act...................................................53
         Section 906       Reference in Securities to Supplemental Indentures....................................53

ARTICLE TEN                Covenants.............................................................................53
         Section 1001      Payment of Principal, Premium and Interest............................................53
         Section 1002      Maintenance of Office or Agency.......................................................54
         Section 1003      Money for Securities Payments to Be Held in Trust.....................................54
         Section 1004      Statement by Officers as to Default...................................................55
         Section 1005      Existence.............................................................................55
         Section 1006      Maintenance of Properties.............................................................56
         Section 1007      Payment of Taxes and Other Claims.....................................................56
         Section 1008      Maintenance of Insurance..............................................................56
         Section 1009      Waiver of Certain Covenants...........................................................56

ARTICLE ELEVEN             Redemption of Securities..............................................................57
         Section 1101      Applicability of Article..............................................................57
         Section 1102      Election to Redeem; Notice to Trustee.................................................57
         Section 1103      Selection by Trustee of Securities to Be Redeemed.....................................57
         Section 1104      Notice of Redemption..................................................................58
         Section 1105      Deposit of Redemption Price...........................................................59
         Section 1106      Securities Payable on Redemption Date.................................................59
         Section 1107      Securities Redeemed in Part...........................................................59

ARTICLE TWELVE             Sinking Funds.........................................................................60
         Section 1201      Applicability of Article..............................................................60
         Section 1202      Satisfaction of Sinking Fund Payments with Securities.................................60
         Section 1203      Redemption of Securities for Sinking Fund.............................................60

ARTICLE THIRTEEN           Defeasance and Covenant Defeasance.............................................................61
         Section 1301      Company's Option to Effect Defeasance or Covenant Defeasance..........................61
         Section 1302      Defeasance and Discharge..............................................................61
         Section 1303      Covenant Defeasance...................................................................61
         Section 1304      Conditions to Defeasance or Covenant Defeasance.......................................62
         Section 1305      Deposited Money and U.S. Government Obligations to Be Held
                            in Trust; Miscellaneous Provisions...................................................64
         Section 1306      Reinstatement.........................................................................65
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                                                       -iii-

<PAGE>
    Certain Sections of this Indenture relating to Sections 310 through 318,
                 inclusive, of the Trust Indenture Act of 1939:

Trust Indenture
  Act Section                                                  Indenture Section

ss.310(a)(1)...........................................................609
       (a)(2)..........................................................609
       (a)(3)...............................................Not Applicable
       (a)(4)...............................................Not Applicable
       (b).............................................................608
ss.311(a)..............................................................613
       (b).............................................................613
ss.312(a)..............................................................701
       (b).............................................................702
       (c).............................................................702
ss.313(a)..............................................................703
       (b).............................................................703
       (c).............................................................703
       (d).............................................................703
ss.314(a)..............................................................704
       (a)(4)..........................................................101
       (b)..................................................Not Applicable
       (c)(1)..........................................................102
       (c)(2)..........................................................102
       (c)(3)...............................................Not Applicable
       (d)..................................................Not Applicable
       (e).............................................................102
ss.315(a)..............................................................601
       (b).............................................................602
       (c).............................................................601
       (d).............................................................601
       (e).............................................................514
ss.316(a)..............................................................101
       (a)(1)(A).......................................................502
       (a)(1)(B).......................................................513
       (a)(2)...............................................Not Applicable
       (b).............................................................508
       (c).............................................................104
ss.317(a)(1)...........................................................503
       (a)(2)..........................................................504
       (b).............................................................508
       (c).............................................................104
ss.317(a)(1)...........................................................503
       (a)(2)..........................................................504
       (b)............................................................1003
ss.318(a)..............................................................107
----------------------
NOTE:    This reconciliation and tie shall not, for any purpose, be deemed to be
         part of the Indenture.
<PAGE>
         INDENTURE,  dated as of  ................,  2000 between American Tower
Corporation,  a corporation  duly  organized and existing  under the laws of the
State  of  Delaware  corporation  (herein  called  the  "Company"),  having  its
principal  office at 116 Huntington  Avenue,  Boston,  Massachusetts  02116, and
 .............................., a ........................... duly organized and
existing under the laws of ........, as Trustee (herein called the "Trustee").

                             RECITALS OF THE COMPANY

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

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

         Now, Therefore, This Indenture Witnesseth:

         For  and in  consideration  of the  premises  and the  purchase  of the
Securities  by the Holders  thereof,  it is mutually  agreed,  for the equal and
proportionate  benefit of all Holders of the Securities or of series thereof, as
follows:

                                  ARTICLE ONE

                        Definitions and Other Provisions
                             of General Application

         Section 101 Definitions.

                  For  all  purposes  of this  Indenture,  except  as  otherwise
expressly provided or unless the context otherwise requires:

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

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

                  (c) all accounting terms not otherwise defined herein have the
         meanings  assigned  to  them  in  accordance  with  generally  accepted
         accounting  principles,  and,  except  as  otherwise  herein  expressly
         provided,  the term "generally  accepted  accounting  principles"  with
         respect to any computation  required or permitted  hereunder shall mean
         such accounting principles as are generally accepted at the Issue Date;

                  (d)  unless  otherwise  specifically  set  forth  herein,  all
         calculations or  determinations  of a Person shall be performed or made
         on  a  consolidated   basis  in  accordance  with  generally   accepted
         accounting principles;
<PAGE>

                  (e) unless the context otherwise requires, any reference to an
         "Article" or a "Section" refers to an Article or a Section, as the case
         may be, of this Indenture; and

                  (f) the words  "herein",  "hereof" and  "hereunder"  and other
         words of similar  import refer to this  Indenture as a whole and not to
         any particular Article, Section or other subdivision.

         Certain  terms,  used  principally  in Article  14, are defined in that
Article.

         "Act", when used with respect to any Holder,  has the meaning specified
in Section 104.

         "Affiliate" of any specified  Person means any other Person directly or
indirectly  controlling  or  controlled  by or under  direct or indirect  common
control  with  such  specified  Person.  For the  purposes  of this  definition,
"control"  when used with  respect to any  specified  Person  means the power to
direct the  management  and  policies of such  Person,  directly or  indirectly,
whether  through the ownership of voting  securities,  by contract or otherwise;
and the terms  "controlling" and "controlled"  have meanings  correlative to the
foregoing.

         "ATC"  means  ATC  Teleports,   Inc.,  a  Delaware  corporation  and  a
Subsidiary of the Company.

         "ATI"  means  American  Towers,  Inc.,  a  Delaware  corporation  and a
Subsidiary of the Company.

         "ATLP" means American Tower, L.P., a Delaware limited partnership and a
Subsidiary of the Company.

         "Authenticating  Agent"  means any  Person  authorized  by the  Trustee
pursuant  to  Section  614 to act on  behalf  of  the  Trustee  to  authenticate
Securities of one or more series.

         "Bankruptcy  Code" means Title 11,  United  States  Bankruptcy  Code of
1978, as amended,  or any similar United States federal or state law relating to
bankruptcy, insolvency, receivership, winding-up, liquidation, reorganization or
relief of debtors or any amendment to, succession to or change in any such law.

         "blockage period" has the meaning specified in Section 1203.

         "Board of Directors" means either the board of directors of the Company
or any duly authorized committee of that board.

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

                                      -2-
<PAGE>

         "Business Day",  when used with respect to any Place of Payment,  means
each Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on which
banking institutions in that Place of Payment are authorized or obligated by law
or executive order to close.

         "Capital Lease Obligation" means, at any time any determination thereof
is to be made,  the amount of the  liability in respect of a capital  lease that
would  at such  time be  required  to be  capitalized  on the  balance  sheet in
accordance with GAAP.

         "Capital Stock" means (i) in the case of a corporation,  capital stock,
(ii) in the case of any  association  or  business  entity,  any and all shares,
interests,  participations,  rights or other equivalents (however designated) or
capital  stock and  (iii) in the case of a  partnership,  partnership  interests
(whether  general or  limited)  and any other  interest  or  participation  that
confers on a Person the right to receive a share of the  profits  and losses of,
or distributions of assets of, such partnership.

         "Cash  Equivalents"  means (i) United States  dollars,  (ii) securities
issued  or  directly  and fully  guaranteed  or  insured  by the  United  States
government or any agency or  instrumentality  thereof having  maturities of less
than one year from the date of  acquisition,  (iii)  certificates of deposit and
eurodollar  time deposits with maturities of less than one year from the date of
acquisition,  bankers'  acceptances  with  maturities  of less than one year and
overnight  bank  deposits,  in each case  with any  lender  party to the  Credit
Agreement or with any  domestic  commercial  bank having  capital and surplus in
excess of  $500,000,000  and a Keefe  Bank Watch  Rating of "B" or better,  (iv)
repurchase  obligations  with a term of not more than seven days for  underlying
securities  of the types  described in clauses (ii) and (iii)  entered into with
any financial  institution meeting the qualifications  specified in clause (iii)
above and (v) commercial paper having the highest rating obtainable from Moody's
Investors Service, Inc. or Standard & Poor's Ratings Services, a division of the
McGraw-Hill Companies,  Inc., and in each case maturing within nine months after
the date of acquisition.

         "Change of Control" means the occurrence of any of the following:

                           (i) the sale,  lease or transfer,  in one or a series
                  of related  transactions,  of all or substantially  all of the
                  Company's  assets to any Person or group (as such term is used
                  in Section  13(d)(3)  of the  Exchange  Act)  (other  than the
                  Principal Shareholders or their Related Parties),

                           (ii)  the   adoption  of  a  plan   relating  to  the
                  liquidation or dissolution of the Company,

                           (iii) the acquisition, directly or indirectly, by any
                  Person or group (as such term is used in Section  13(d)(3)  of
                  the  Exchange  Act) (other  than one or more of the  Principal
                  Shareholders  and their Related Parties) of 50% or more of the
                  voting  power of the  voting  stock of the  Company  by way of
                  merger  or  consolidation  or  otherwise,  provided  that such
                  acquisition  will not constitute a "Change of Control"  unless
                  or until such  Person or group owns,  directly or

                                      -3-
<PAGE>

                  indirectly,  more of the voting  power of the voting  stock of
                  the Company than the Principal  Shareholders and their Related
                  Parties, or

                           (iv) the Continuing Directors cease for any reason to
                  constitute a majority of the  directors of the Company then in
                  office.

For purposes of this definition, any transfer of an Equity Interest of an entity
that was formed for the purpose of acquiring  voting stock of the Company  shall
be deemed to be a transfer of such portion of such voting  stock as  corresponds
to the portion of the equity of such entity that has been so transferred.

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

         "Common  Stock" of any Person means  Capital  Stock of such Person that
does not rank prior, as to the payment of dividends or as to the distribution of
assets upon any voluntary or involuntary liquidation,  dissolution or winding up
of such Person, to shares of Capital Stock of any other class of such Person.

         "Company"  means  the  Person  named  as the  "Company"  in  the  first
paragraph  of this  instrument  until a successor  Person shall have become such
pursuant  to  the  applicable  provisions  of  this  Indenture,  and  thereafter
"Company" shall mean such successor Person.

         "Company  Request" or "Company  Order" means a written request or order
signed  in the  name of the  Company  by its  Chairman  of the  Board,  its Vice
Chairman of the Board, its Chief Executive Officer, its Chief Operating Officer,
its Chief Financial  Officer,  its President or a Vice President,  and,  without
duplication,  by its  Treasurer,  an Assistant  Treasurer,  its  Secretary or an
Assistant Secretary, and delivered to the Trustee.

         "Corporate  Trust Office" means the principal  office of the Trustee in
 ................... at which at any particular time its corporate trust business
shall be administered.

         "corporation" means a corporation,  association,  company,  joint-stock
company or business trust.

         "Covenant Defeasance" has the meaning specified in Section 1303.

         "Credit Agreement" means Amended and Restated Loan Agreement,  dated as
of January 6, 2000,  among ATC, ATI, ATLP,  Toronto Dominion  (Texas),  Inc., as
administrative  agent, The  Toronto-Dominion  Bank, New York Branch,  as Issuing
Bank, TD Securities (USA) Inc. and Chase  Securities Inc., as Co-Lead  Arrangers
and  Co-Book  Managers,  The Bank of New  York and  Chase  Securities  Inc.,  as
Co-Syndication  Agents,  Credit Suisse First Boston, as Documentation Agent, and
the financial  institutions defined as "Lenders" therein, as heretofore

                                      -4-
<PAGE>

amended,  including (i) any related notes,  guarantees  (including guarantees by
the  Company   and/or  the  Company's   Subsidiaries),   collateral   documents,
instruments and agreements executed in connection therewith, and in each case as
amended, modified,  renewed, refunded, replaced or refinanced from time to time,
and  (ii)  any  notes,   guarantees   (including  guarantees  by  the  Company's
Subsidiaries),  collateral  documents,  instruments  and agreements  executed in
connection  with  any  such   amendment,   modification,   renewal,   refunding,
replacement or refinancing.

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

         "Defaulted Interest" has the meaning specified in Section 307.

         "Defeasance" has the meaning specified in Section 1302.

         "Depositary"  means,  with respect to Securities of any series issuable
in whole or in part in the form of one or more  Global  Securities,  a  clearing
agency registered under the Exchange Act that is designated to act as Depositary
for such Securities as contemplated by Section 301.

         "Disqualified  Stock" means any Capital Stock that, by its terms (or by
the  terms of any  security  into  which it is  convertible  or for  which it is
exchangeable),  or upon the  happening of any event,  matures or is  mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or is redeemable
at the option of the holder  thereof (other than upon a Change of Control of the
Company in circumstances  where the holders of the Securities would have similar
rights),  in whole or in part on or prior to one year after the Stated  Maturity
of the Securities.  The amount of Disqualified Stock shall be the greater of the
liquidation preference or mandatory or optional redemption price thereof.

         "Equity  Interests"  means Capital  Stock and all warrants,  options or
other  rights  to  acquire   Capital  Stock   (including  any   Indebtedness  or
Disqualified  Stock that is  convertible  into,  or  exchangeable  for,  Capital
Stock).

         "Event of Default" has the meaning specified in Section 501.

         "Exchange  Act"  means  the  Securities  Exchange  Act of 1934  and any
statute successor thereto, in each case as amended from time to time.

         "Expiration Date" has the meaning specified in Section 104.

         "GAAP" means generally accepted accounting  principles set forth in the
opinions and  pronouncements of the Accounting  Principles Board of the American
Institute of Certified Public  Accountants and statements and  pronouncements of
the Financial  Accounting  Standards  Board, or in such other statements by such
other entity as have been  approved by a significant  segment of the  accounting
profession, which are in effect on the Issue Date.

                                      -5-
<PAGE>

         "Global  Security"  means a Security that  evidences all or part of the
Securities  of any series and bears the legend set forth in Section 204 (or such
legend as may be specified as contemplated by Section 301 for such Securities).

         "guarantee"  means a guarantee (other than by endorsement of negotiable
instruments  for  collection  or deposit in the  ordinary  course of  business),
direct or indirect,  in any manner (including,  without  limitation,  letters of
credit and reimbursement  agreements in respect thereof),  of all or any part of
any Indebtedness.

         "Hedging   Obligations"   means,  with  respect  to  any  Person,   the
Obligations  of such Person under (i) interest  rate swap  agreements,  interest
rate cap  agreements  and  interest  rate  collar  agreements,  and  (ii)  other
agreements or arrangements  designed to protect such Person against fluctuations
in interest rates.

         "Holder"  means a Person in whose name a Security is  registered in the
Security Register.

         "Immediate Family Member" means,  with respect to any individual,  such
individual's spouse (past or current),  descendants (natural or adoptive, of the
whole or half  blood)  of the  parents  of such  individual,  such  individual's
grandparents and parents (natural or adoptive),  and the  grandparents,  parents
and descendants of parents (natural or adoptive,  of the whole or half blood) of
such individual's spouse (past or current).

         "incur" means, with respect to any obligation of any Person, to create,
issue, incur, assume or directly or indirectly  guarantee or in any other manner
become directly or indirectly  liable for any  Indebtedness  (and  "incurrence",
"incurred",  "incurable" and "incurring" shall have meanings  correlative to the
foregoing).

         "Indebtedness"  means,  with  respect  to any  Person,  whether  or not
contingent,  (i) all  indebtedness  of such Person for borrowed money or for the
deferred  purchase  price of  property or services  (other  than  current  trade
liabilities  incurred  in  the  ordinary  course  of  business  and  payable  in
accordance  with  customary  practices)  or which is evidenced by a note,  bond,
debenture or similar  instrument,  (ii) all Capital  Lease  Obligations  of such
Person,  (iii) all obligations of such Person in respect of letters of credit or
bankers'  acceptances issued or created for the account of such Person, (iv) all
Hedging  Obligations of such Person, (v) all liabilities  secured by any Lien on
any  property  owned by such  Person  even if such  Person  has not  assumed  or
otherwise  become  liable for the payment  thereof to the extent of the value of
the  property  subject  to such  Lien,  and  (vi) to the  extent  not  otherwise
included,  any guarantee by such person of any other  Person's  indebtedness  or
other obligations described in clauses (i) through (v) above.

         "Indenture" means this instrument as originally  executed and as it may
from  time  to  time  be  supplemented  or  amended  by one or  more  indentures
supplemental  hereto entered into pursuant to the applicable  provisions hereof,
including,  for all  purposes  of this  instrument  and  any  such  supplemental
indenture,  the  provisions  of the Trust  Indenture Act that are deemed to be a
part  of and  govern  this  instrument  and  any  such  supplemental  indenture,
respectively.  The term

                                      -6-
<PAGE>

"Indenture"  shall also  include the terms of  particular  series of  Securities
established as contemplated by Section 301.

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

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

         "Investment  Company Act" means the Investment  Company Act of 1940 and
any statute successor thereto, in each case as amended from time to time.

         "Issue  Date"  means the date of  initial  issuance  of the  Securities
pursuant to this Indenture.

         "Lien" means,  with respect to any asset, any mortgage,  lien,  pledge,
charge,  security  interest or encumbrance of any kind in respect of such asset,
whether or not filed,  recorded or  otherwise  perfected  under  applicable  law
(including any conditional sale or other title retention agreement, any lease in
the nature  thereof,  any option or other  agreement  to sell or give a security
interest in any asset and any filing of, or  agreement  to give,  any  financing
statement under the "Uniform  Commercial  Code" (or equivalent  statutes) of any
jurisdiction).

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

         "Notice of Default"  means a written  notice of the kind  specified  in
Section 501(4) or 501(5).

         "Officers'  Certificate"  means a certificate signed by the Chairman of
the Board, a Vice Chairman of the Board, the Chief Executive Officer,  the Chief
Operating  Officer,  the  Chief  Financial  Officer,  the  President  or a  Vice
President,  and, without duplication,  by the Treasurer, an Assistant Treasurer,
the Controller,  the Secretary or an Assistant  Secretary,  of the Company,  and
delivered to the Trustee.

         "Opinion of  Counsel"  means a written  opinion of counsel,  who may be
counsel for the Company, and who shall be acceptable to the Trustee.

         "Original  Issue Discount  Security"  means any Security which provides
for an amount less than the principal  amount thereof to be due and payable upon
a declaration of acceleration of the Maturity thereof pursuant to Section 502.

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

                                      -7-
<PAGE>

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

                  (ii)  Securities for whose payment or redemption  money in the
         necessary amount has been theretofore deposited with the Trustee or any
         Paying  Agent  (other  than the  Company)  in trust  or set  aside  and
         segregated in trust by the Company (if the Company shall act as its own
         Paying  Agent) for the Holders of such  Securities;  provided  that, if
         such Securities are to be redeemed,  notice of such redemption has been
         duly  given   pursuant  to  this   Indenture  or   provision   therefor
         satisfactory to the Trustee has been made;

                  (iii)  Securities  as to which  Defeasance  has been  effected
         pursuant to Section 1302; and

                  (iv)  Securities  which have been paid pursuant to Section 306
         or in  exchange  for or in lieu of which  other  Securities  have  been
         authenticated and delivered pursuant to this Indenture,  other than any
         such  Securities in respect of which there shall have been presented to
         the Trustee proof satisfactory to it that such Securities are held by a
         bona  fide   purchaser  in  whose  hands  such   Securities  are  valid
         obligations of the Company;

provided,  however,  that in  determining  whether the Holders of the  requisite
principal  amount of the Outstanding  Securities  have given,  made or taken any
request,  demand,  authorization,  direction,  notice,  consent, waiver or other
action  hereunder as of any date, (A) the principal  amount of an Original Issue
Discount Security which shall be deemed to be Outstanding shall be the amount of
the  principal  thereof  which  would be due and  payable  as of such  date upon
acceleration  of the Maturity  thereof to such date pursuant to Section 502, (B)
if, as of such date, the principal  amount  payable at the Stated  Maturity of a
Security is not determinable,  the principal amount of such Security which shall
be deemed to be  Outstanding  shall be the amount as specified or  determined as
contemplated by Section 301, (C) the principal amount of a Security  denominated
in one or more foreign  currencies or currency units which shall be deemed to be
Outstanding shall be the U.S. dollar  equivalent,  determined as of such date in
the manner provided as  contemplated by Section 301, of the principal  amount of
such  Security  (or,  in the case of a Security  described  in Clause (A) or (B)
above, of the amount determined as provided in such Clause),  and (D) Securities
owned by the Company or any other  obligor upon the  Securities or any Affiliate
of the Company or of such other obligor shall be  disregarded  and deemed not to
be  Outstanding,  except  that,  in  determining  whether the  Trustee  shall be
protected in relying upon any such request,  demand,  authorization,  direction,
notice, consent, waiver or other action, only Securities which the Trustee knows
to be so owned  shall be so  disregarded.  Securities  so owned  which have been
pledged in good faith may be regarded as Outstanding if the pledgee  establishes
to the satisfaction of the Trustee the pledgee's right so to act with respect to
such  Securities  and that the pledgee is not the  Company or any other  obligor
upon the Securities or any Affiliate of the Company or of such other obligor.

         "Paying  Agent" means any Person  authorized  by the Company to pay the
principal  of or any  premium or  interest  on any  Securities  on behalf of the
Company.

                                      -8-
<PAGE>

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

         "Place of  Payment",  when used with respect to the  Securities  of any
series,  means the place or places  where the  principal  of and any premium and
interest  on  the  Securities  of  that  series  are  payable  as  specified  as
contemplated by Section 301.

         "Predecessor  Security" of any particular Security means every previous
Security  evidencing all or a portion of the same debt as that evidenced by such
particular  Security;  and,  for the purposes of this  definition,  any Security
authenticated  and  delivered  under Section 306 in exchange for or in lieu of a
mutilated,  destroyed,  lost or stolen  Security shall be deemed to evidence the
same debt as the mutilated, destroyed, lost or stolen Security.

         "Principal  Shareholders"  means  Steven B.  Dodge,  Thomas H.  Stoner,
Hicks, Muse, Tate & Furst Incorporated,  Cox Telecom Towers,  Inc., Chase Equity
Associates,   LLC  and  Clear  Channel  Communications,   Inc.  including  their
Affiliates.

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

         "Redemption  Price",  when  used with  respect  to any  Security  to be
redeemed,  means  the  price  at  which it is to be  redeemed  pursuant  to this
Indenture.

         "Regular Record Date" for the interest  payable on any Interest Payment
Date on the  Securities of any series means the date  specified for that purpose
as contemplated by Section 301.

         "Related Party" with respect to any Principal Shareholder means (i) any
80% (or more) owned  Subsidiary  or Immediate  Family  Member (in the case of an
individual) of such Principal Shareholder or (ii) any Person, the beneficiaries,
stockholders,  partners,  owners or Persons  beneficially holding an 80% or more
controlling  interest  of which  consist  of such  Principal  Shareholder  or an
Immediate  Family  Member,  or (iii) any  Person  employed  by the  Company in a
management capacity as of the Issue Date.

         "Responsible Officer", when used with respect to the Trustee, means the
chairman or any  vice-chairman  of the board of  directors,  the chairman or any
vice-chairman of the executive committee of the board of directors, the chairman
of the trust committee,  the president,  any vice president,  the secretary, any
assistant secretary,  the treasurer,  any assistant treasurer,  the cashier, any
assistant cashier,  any trust officer or assistant trust officer, the controller
or any  assistant  controller  or any other  officer of the Trustee  customarily
performing  functions  similar to those performed by any of the above designated
officers and also means,  with respect to a particular  corporate  trust matter,
any other  officer to whom such matter is referred  because of his  knowledge of
and familiarity with the particular subject.

                                      -9-
<PAGE>

         "Restricted Subsidiary" means a Subsidiary of the Company other than an
Unrestricted Subsidiary.

         "Securities"  has the  meaning  stated  in the  first  recital  of this
Indenture and more particularly means any Securities authenticated and delivered
under this Indenture.

         "Securities  Act"  means  the  Securities  Act of 1933 and any  statute
successor thereto, in each case as amended from time to time.

         "Security  Register"  and  "Security  Registrar"  have  the  respective
meanings specified in Section 305.

         "Special Record Date" for the payment of any Defaulted Interest means a
date fixed by the Trustee pursuant to Section 307.

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

         "Subsidiary"  means a  corporation  more  than  50% of the  outstanding
voting stock of which is owned, directly or indirectly, by the Company or by one
or  more  other  Subsidiaries,   or  by  the  Company  and  one  or  more  other
Subsidiaries.  For the purposes of this  definition,  "voting stock" means stock
which ordinarily has voting power for the election of directors,  whether at all
times  or only so long as no  senior  class of stock  has such  voting  power by
reason of any contingency.

         "Trustee"  means  the  Person  named  as the  "Trustee"  in  the  first
paragraph of this  instrument  until a successor  Trustee shall have become such
pursuant  to  the  applicable  provisions  of  this  Indenture,  and  thereafter
"Trustee" shall mean or include each Person who is then a Trustee hereunder, and
if at any time  there  is more  than one such  Person,  "Trustee"  as used  with
respect to the  Securities  of any series shall mean the Trustee with respect to
Securities of that series.

         "Trust Indenture Act" means the Trust Indenture Act of 1939 as in force
at the date as of which this instrument was executed; provided, however, that in
the event the Trust  Indenture  Act of 1939 is amended  after such date,  "Trust
Indenture Act" means, to the extent  required by any such  amendment,  the Trust
Indenture Act of 1939 as so amended.

         "Unrestricted  Subsidiary"  means  (i) , (ii) ,  (iii) , and  (iv)  any
Subsidiary  of the  Company  that  at the  time  of  determination  shall  be an
Unrestricted Subsidiary (as designated by the Board of Directors of the Company,
as provided below) and (iii) any Subsidiary of an Unrestricted  Subsidiary.  The
Board of Directors of the Company may  designate  any  Subsidiary of the Company
(including any newly acquired or newly formed  Subsidiary) to be an Unrestricted
Subsidiary if all of the following conditions apply: (a) neither the Company nor
any of its Restricted  Subsidiaries provides credit support for any Indebtedness
of  such  Subsidiary   (including  any  undertaking,   agreement  or  instrument
evidencing such  Indebtedness),  (b) such

                                      -10-
<PAGE>

Subsidiary  is  not  liable,  directly  or  indirectly,   with  respect  to  any
Indebtedness  other  than  Unrestricted   Subsidiary   Indebtedness,   (c)  such
Unrestricted Subsidiary is not a party to any agreement,  contract,  arrangement
or understanding  at such time with the Company or any Restricted  Subsidiary of
the Company  unless the terms of any such  agreement,  contract,  arrangement or
understanding are no less favorable to the Company or such Restricted Subsidiary
than  those  that  might  be  obtained  at the  time  from  Persons  who are not
Affiliates  of the  Company  (the  "Third  Party  Value")  or, in the event such
condition is not satisfied,  an amount equal to the value of the portion of such
agreement,  contract,  arrangement or understanding to such Subsidiary in excess
of the Third  Party  Value shall be deemed a  Restricted  Payment,  and (d) such
Unrestricted  Subsidiary does not own any Capital Stock of any Subsidiary of the
Company that has not theretofore been or is not simultaneously  being designated
an Unrestricted  Subsidiary.  Any such  designation by the Board of Directors of
the Company shall be evidenced to the Trustee by filing with the Trustee a board
resolution  giving  effect  to such  designation  and an  Officers'  Certificate
certifying that such  designation  complies with the foregoing  conditions.  The
Board of Directors of the Company may designate any Unrestricted Subsidiary as a
Restricted Subsidiary.

         "U.S. Government Obligation" has the meaning specified in Section 1304.

         "Vice President", when used with respect to the Company or the Trustee,
means any vice  president,  whether or not  designated  by a number or a word or
words added before or after the title "vice president".

         Section 102 Compliance Certificates and Opinions.

         Upon any  application  or request by the Company to the Trustee to take
any action under any provision of this  Indenture,  the Company shall furnish to
the Trustee such  certificates  and opinions as may be required  under the Trust
Indenture Act. Each such certificate or opinion shall be given in the form of an
Officers'  Certificate,  if to be  given by an  officer  of the  Company,  or an
Opinion  of  Counsel,  if to be given by  counsel,  and  shall  comply  with the
requirements of the Trust Indenture Act and any other  requirements set forth in
this Indenture.

         Every  certificate  or  opinion  with  respect  to  compliance  with  a
condition or covenant  provided for in this Indenture  (except for  certificates
provided for in Section 1004) shall include,

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

                  (2) a  brief  statement  as to the  nature  and  scope  of the
         examination  or  investigation  upon which the  statements  or opinions
         contained in such certificate or opinion are based;

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

                                      -11-
<PAGE>

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

         Section 103 Form of Documents Delivered to Trustee.

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

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

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

         Section 104 Acts of Holders; Record Dates.

         Any request, demand, authorization,  direction, notice, consent, waiver
or other action  provided or permitted  by this  Indenture to be given,  made or
taken by Holders may be embodied in and evidenced by one or more  instruments of
substantially  similar  tenor  signed by such Holders in person or by agent duly
appointed in writing;  and, except as herein otherwise expressly provided,  such
action shall become  effective when such instrument or instruments are delivered
to the Trustee and, where it is hereby expressly required,  to the Company. Such
instrument  or  instruments  (and the  action  embodied  therein  and  evidenced
thereby) are herein  sometimes  referred to as the "Act" of the Holders  signing
such instrument or instruments.  Proof of execution of any such instrument or of
a writing  appointing any such agent shall be sufficient for any purpose of this
Indenture  and (subject to Section 601)  conclusive  in favor of the Trustee and
the Company, if made in the manner provided in this Section.

         The fact and date of the execution by any Person of any such instrument
or writing may be proved by the affidavit of a witness of such execution or by a
certificate  of a notary  public  or  other  officer  authorized  by law to take
acknowledgments of deeds, certifying that the individual signing such instrument
or writing acknowledged to him the execution thereof. Where such execution is by
a  signer  acting  in a  capacity  other  than  his  individual  capacity,  such
certificate  or

                                      -12-
<PAGE>

affidavit shall also constitute sufficient proof of his authority.  The fact and
date of the execution of any such instrument or writing, or the authority of the
Person  executing  the same,  may also be proved in any other  manner  which the
Trustee deems sufficient.

         The ownership of Securities shall be proved by the Security Register.

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

         The  Company  may set any  day as a  record  date  for the  purpose  of
determining  the Holders of  Outstanding  Securities  of any series  entitled to
give,  make or take  any  request,  demand,  authorization,  direction,  notice,
consent,  waiver or other action  provided or permitted by this  Indenture to be
given, made or taken by Holders of Securities of such series,  provided that the
Company  may not set a record date for,  and the  provisions  of this  paragraph
shall not apply  with  respect  to,  the  giving or making of (i) any  Notice of
Default,  (ii) any declaration of acceleration referred to in Section 502, (iii)
any request to institute  proceedings  referred to in Section 507(2) or (iv) any
direction referred to in Section 512. If any record date is set pursuant to this
paragraph,  the Holders of Outstanding Securities of the relevant series on such
record  date,  and no other  Holders,  shall be  entitled  to take the  relevant
action,  whether or not such  Holders  remain  Holders  after such record  date;
provided  that no such action  shall be effective  hereunder  unless taken on or
prior to the applicable  Expiration  Date by Holders of the requisite  principal
amount of Outstanding  Securities of such series on such record date. Nothing in
this  paragraph  shall be  construed  to prevent the Company  from setting a new
record  date for any  action  for which a record  date has  previously  been set
pursuant  to this  paragraph  (whereupon  the record date  previously  set shall
automatically  and with no action by any Person be cancelled  and of no effect),
and nothing in this  paragraph  shall be  construed  to render  ineffective  any
action  taken by  Holders  of the  requisite  principal  amount  of  Outstanding
Securities  of the  relevant  series on the date such action is taken.  Promptly
after any record date is set pursuant to this paragraph, the Company, at its own
expense,  shall cause notice of such record date, the proposed action by Holders
and the applicable  Expiration Date to be given to the Trustee in writing and to
each  Holder of  Securities  of the  relevant  series in the manner set forth in
Section 106.

         With  respect to any record  date set  pursuant  to this  Section,  the
Company may designate any day as the "Expiration Date" and from time to time may
change the  Expiration  Date to any earlier or later day;  provided that no such
change shall be effective  unless notice of the proposed new Expiration  Date is
given to the  Trustee  in  writing,  and to each  Holder  of  Securities  of the
relevant  series in the  manner  set forth in  Section  106,  on or prior to the
existing  Expiration  Date. If an Expiration Date is not designated with respect
to any record date set pursuant to this Section,  the Company shall be deemed to
have initially designated the 180th day after such record date as the Expiration
Date with respect thereto, subject to its right to change the Expiration Date as
provided in this paragraph.

                                      -13-
<PAGE>

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

         Section 105 Notices, Etc., to Trustee and Company.

         Any request, demand, authorization,  direction, notice, consent, waiver
or Act of Holders or other  document  provided or permitted by this Indenture to
be made upon, given or furnished to, or filed with,

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

                  (2) the  Company  by the  Trustee  or by any  Holder  shall be
         sufficient  for  every  purpose   hereunder  (unless  otherwise  herein
         expressly  provided)  if in writing  and  mailed,  first-class  postage
         prepaid, to the Company addressed to it at the address of its principal
         office  specified in the first  paragraph of this  instrument or at any
         other  address  previously  furnished  in writing to the Trustee by the
         Company.

         Section 106 Notice to Holders; Waiver.

         Where this Indenture  provides for notice to Holders of any event, such
notice shall be sufficiently given (unless otherwise herein expressly  provided)
if in writing and mailed,  first-class  postage prepaid, to each Holder affected
by such event, at his address as it appears in the Security Register,  not later
than the latest date (if any),  and not earlier than the earliest date (if any),
prescribed for the giving of such notice. In any case where notice to Holders is
given by mail,  neither the failure to mail such  notice,  nor any defect in any
notice so mailed,  to any particular Holder shall affect the sufficiency of such
notice with respect to other Holders.  Where this Indenture  provides for notice
in any manner,  such  notice may be waived in writing by the Person  entitled to
receive such notice,  either before or after the event, and such waiver shall be
the equivalent of such notice.  Waivers of notice by Holders shall be filed with
the Trustee,  but such filing shall not be a condition precedent to the validity
of any action taken in reliance upon such waiver.

         In case by reason of the  suspension  of  regular  mail  service  or by
reason of any other cause it shall be impracticable to give such notice by mail,
then such  notification  as shall be made with the approval of the Trustee shall
constitute a sufficient notification for every purpose hereunder.

         Section 107 Conflict with Trust Indenture Act.

         If any provision hereof limits, qualifies or conflicts with a provision
of the Trust  Indenture Act which is required under such Act to be a part of and
govern this Indenture,  the latter provision shall control.  If any provision of
this  Indenture  modifies or excludes any

                                      -14-
<PAGE>

provision of the Trust  Indenture Act which may be so modified or excluded,  the
latter provision shall be deemed to apply to this Indenture as so modified or to
be excluded, as the case may be.

         Section 108 Effect of Headings and Table of Contents.

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

         Section 109 Successors and Assigns.

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

         Section 110 Separability Clause.

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

         Section 111 Benefits of Indenture.

         Nothing in this  Indenture  or in the  Securities,  express or implied,
shall give to any  Person,  other than the parties  hereto and their  successors
hereunder,  the holders of Senior Debt and the Holders, any benefit or any legal
or equitable right, remedy or claim under this Indenture.

         Section 112 Governing Law.

         This Indenture and the Securities shall be governed by and construed in
accordance with the law of the State of New York.

         Section 113 Legal Holidays.

         In any case where any Interest Payment Date,  Redemption Date or Stated
Maturity of any  Security  shall not be a Business  Day at any Place of Payment,
then (notwithstanding any other provision of this Indenture or of the Securities
(other than a provision  of any  Security  which  specifically  states that such
provision shall apply in lieu of this Section)) payment of interest or principal
(and  premium,  if any) need not be made at such  Place of Payment on such date,
but may be made on the next  succeeding  Business  Day at such  Place of Payment
with the same  force  and  effect  as if made on the  Interest  Payment  Date or
Redemption Date, or at the Stated Maturity.

                                      -15-
<PAGE>

                                  ARTICLE TWO

                                 Security Forms

         Section 201 Forms Generally.

         The  Securities of each series shall be in  substantially  the form set
forth in this  Article,  or in such  other  form as shall be  established  by or
pursuant to a Board Resolution or in one or more indentures supplemental hereto,
in each case with such  appropriate  insertions,  omissions,  substitutions  and
other  variations as are required or permitted by this  Indenture,  and may have
such  letters,  numbers or other  marks of  identification  and such  legends or
endorsements  placed  thereon as may be required to comply with the rules of any
securities exchange or Depositary therefor or as may, consistently  herewith, be
determined  by the officers  executing  such  Securities,  as evidenced by their
execution  thereof.  If the form of Securities of any series is  established  by
action taken pursuant to a Board Resolution,  a copy of an appropriate record of
such action shall be certified by the Secretary or an Assistant Secretary of the
Company and  delivered to the Trustee at or prior to the delivery of the Company
Order  contemplated by Section 303 for the  authentication  and delivery of such
Securities.

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

         Section 202 Form of Face of Security.

         [Insert  any  legend  required  by the  Internal  Revenue  Code and the
regulations thereunder.]

                 ...............................................

             .......................................................

No. .........                                                      $ ........

         American Tower  Corporation,  a corporation duly organized and existing
under the laws of Delaware (herein called the "Company", which term includes any
successor  Person  under  the  Indenture  hereinafter  referred  to),  for value
received,  hereby  promises  to  pay to  ..................................,  or
registered assigns, the principal sum of ............................ Dollars on
 .........................................  [if the Security is to bear  interest
prior to Maturity, insert-- , and to pay interest thereon from .............  or
from the most recent  Interest  Payment Date to which  interest has been paid or
duly provided for, semi-annually on ............  and ............ in each year,
commencing ........., at the rate of ....% per annum, until the principal hereof
is paid or made available for payment,  provided that any principal and premium,
and any such  installment  of interest,  which is overdue shall bear interest at
the rate of ...% per annum (to the  extent  that the  payment  of such  interest
shall be legally  enforceable),  from the dates such  amounts are due until they
are paid or made  available for payment,  and such interest  shall be payable on
demand.  The interest so payable,  and punctually  paid or duly provided for, on
any

                                      -16-
<PAGE>

Interest Payment Date will, as provided in such Indenture, be paid to the Person
in  whose  name  this  Security  (or  one or  more  Predecessor  Securities)  is
registered  at the  close  of  business  on the  Regular  Record  Date  for such
interest, which shall be the ....... or ....... (whether or not a Business Day),
as the case may be, next preceding such Interest Payment Date. Any such interest
not so punctually  paid or duly provided for will forthwith  cease to be payable
to the Holder on such  Regular  Record Date and may either be paid to the Person
in  whose  name  this  Security  (or  one or  more  Predecessor  Securities)  is
registered at the close of business on a Special  Record Date for the payment of
such  Defaulted  Interest to be fixed by the Trustee,  notice  whereof  shall be
given to Holders  of  Securities  of this  series not less than 10 days prior to
such Special  Record Date, or be paid at any time in any other lawful manner not
inconsistent  with the  requirements  of any  securities  exchange  on which the
Securities of this series may be listed, and upon such notice as may be required
by such exchange, all as more fully provided in said Indenture].

[If the  Security  is not to bear  interest  prior to  Maturity,  insert  -- The
principal  of this  Security  shall  not bear  interest  except in the case of a
default in payment of principal upon acceleration,  upon redemption or at Stated
Maturity and in such case the overdue  principal  and any overdue  premium shall
bear  interest at the rate of ....% per annum (to the extent that the payment of
such interest shall be legally enforceable), from the dates such amounts are due
until they are paid or made  available  for  payment.  Interest  on any  overdue
principal or premium  shall be payable on demand.  Any such  interest on overdue
principal or premium which is not paid on demand shall bear interest at the rate
of  ......%  per annum (to the  extent  that the  payment  of such  interest  on
interest shall be legally  enforceable),  from the date of such demand until the
amount so  demanded  is paid or made  available  for  payment.  Interest  on any
overdue interest shall be payable on demand.]

         Payment of the principal of (and premium, if any) and any such interest
on this Security will be made at the office or agency of the Company  maintained
for that purpose in ............,  in such coin or currency of the United States
of America as at the time of payment is legal  tender for  payment of public and
private debts;  provided,  however, that at the option of the Company payment of
interest  may be made by check  mailed to the  address  of the  Person  entitled
thereto as such address shall appear in the Security Register.

         Reference is hereby made to the further provisions of this Security set
forth on the reverse  hereof,  which further  provisions  shall for all purposes
have the same effect as if set forth at this place.

                                      -17-
<PAGE>

         Unless the  certificate of  authentication  hereon has been executed by
the Trustee referred to on the reverse hereof by manual signature, this Security
shall  not be  entitled  to any  benefit  under  the  Indenture  or be  valid or
obligatory for any purpose.

         In Witness  Whereof,  the Company has caused this instrument to be duly
executed under its corporate seal.

Dated:                                       American Tower Corporation

                                             By................................
                                                Title:
Attest:

 ................
Title:

         Section 203 Form of Reverse of Security.

         This  Security is one of a duly  authorized  issue of securities of the
Company (herein called the "Securities"), issued and to be issued in one or more
series  under an  Indenture,  dated as of  ...............  (herein  called  the
"Indenture",  which  term  shall  have  the  meaning  assigned  to  it  in  such
instrument),  between the Company and  ...................,  as Trustee  (herein
called the  "Trustee",  which term  includes  any  successor  trustee  under the
Indenture), and reference is hereby made to the Indenture for a statement of the
respective rights,  limitations of rights,  duties and immunities  thereunder of
the  Company,  the  Trustee,  the  holders of Senior Debt and the Holders of the
Securities  and of the terms  upon  which  the  Securities  are,  and are to be,
authenticated  and delivered.  This Security is one of the series  designated on
the face hereof [if applicable, insert-- , limited in aggregate principal amount
to $...........].

         [If  applicable,  insert-- The Securities of this series are subject to
redemption upon not less than 30 days' notice by mail, [if applicable,  insert--
(1) on ...........  in any year commencing with the year ......  and ending with
the year  ......  through  operation  of the  sinking  fund for this series at a
Redemption Price equal to 100% of the principal amount, and (2)] at any time [if
applicable,  insert-- on or after  ..........,  19..], as a whole or in part, at
the election of the Company,  at the following  Redemption  Prices (expressed as
percentages of the principal amount): If redeemed [if applicable, insert-- on or
before  ...............,  ...%,  and if  redeemed]  during the  12-month  period
beginning ............. of the years indicated,

                        Redemption                                 Redemption
         Year              Price              Year                   Price

                                      -18-
<PAGE>

and  thereafter at a Redemption  Price equal to .....% of the principal  amount,
together in the case of any such redemption [if  applicable,  insert -- (whether
through  operation of the sinking fund or otherwise)]  with accrued  interest to
the Redemption  Date, but interest  installments  whose Stated Maturity is on or
prior to such Redemption Date will be payable to the Holders of such Securities,
or one or more Predecessor Securities, of record at the close of business on the
relevant  Record Dates  referred to on the face  hereof,  all as provided in the
Indenture.]

         [If  applicable,  insert-- The Securities of this series are subject to
redemption  upon not less than 30 days' notice by mail, (1) on  ............  in
any year  commencing  with the year ....  and ending with the year ....  through
operation  of the  sinking  fund for this  series at the  Redemption  Prices for
redemption  through  operation of the sinking fund  (expressed as percentages of
the  principal  amount)  set forth in the table  below,  and (2) at any time [if
applicable,  insert-- on or after  ............],  as a whole or in part, at the
election of the Company, at the Redemption Prices for redemption  otherwise than
through operation of the sinking fund (expressed as percentages of the principal
amount) set forth in the table below:  If redeemed  during the  12-month  period
beginning ............ of the years indicated,

                      Redemption Price            Redemption Price For
                       For Redemption             Redemption Otherwise
                     Through Operation           Than Through Operation
                          of the                  of the Sinking Fund
  Year                  Sinking Fund              -----------------------
  ----               ------------------

and  thereafter at a Redemption  Price equal to .....% of the principal  amount,
together in the case of any such redemption  (whether  through  operation of the
sinking fund or otherwise)  with accrued  interest to the  Redemption  Date, but
interest  installments  whose Stated  Maturity is on or prior to such Redemption
Date  will  be  payable  to the  Holders  of  such  Securities,  or one or  more
Predecessor  Securities,  of  record at the close of  business  on the  relevant
Record Dates referred to on the face hereof, all as provided in the Indenture.]

         [If applicable,  insert -- Notwithstanding  the foregoing,  the Company
may not,  prior to  .............,  redeem  any  Securities  of this  series  as
contemplated by [if applicable, insert -- Clause (2) of] the preceding paragraph
as a part of, or in anticipation of, any refunding operation by the application,
directly  or  indirectly,  of moneys  borrowed  having an  interest  cost to the
Company (calculated in accordance with generally accepted financial practice) of
less than .....% per annum.]

         [If applicable, insert -- The sinking fund for this series provides for
the redemption on ............  in each year beginning with the year ....... and
ending  with  the  year  ......  of [if  applicable,

                                      -19-
<PAGE>

insert -- not less than  $..........  ("mandatory  sinking  fund")  and not more
than]  $.........  aggregate  principal  amount of  Securities  of this  series.
Securities  of this series  acquired or redeemed by the Company  otherwise  than
through [if  applicable,  insert --  mandatory]  sinking  fund  payments  may be
credited against  subsequent [if applicable,  insert -- mandatory]  sinking fund
payments  otherwise  required  to be made  [if  applicable,  insert  -- , in the
inverse order in which they become due].]

         [If the Security is subject to redemption of any kind, insert -- In the
event of  redemption of this Security in part only, a new Security or Securities
of this  series  and of like tenor for the  unredeemed  portion  hereof  will be
issued in the name of the Holder hereof upon the cancellation hereof.]

         The indebtedness evidenced by this Security is, to the extent set forth
in the  Indenture,  subordinate  and  subject  in right of  payment to the prior
payment  in full  in cash or Cash  Equivalents  of all  Senior  Debt,  and  this
Security is issued  subject to the  provisions  of the  Indenture  with  respect
thereto.  Each Holder of this Security, by accepting the same, (a) agrees to and
shall be bound by such provisions, (b) authorizes and directs the Trustee on his
behalf to take such action as may be necessary or  appropriate to effectuate the
subordination so provided and (c) appoints the Trustee his  attorney-in-fact for
any and all such purposes.

         [If  applicable,  insert  --  The  Indenture  contains  provisions  for
defeasance  at any  time of [the  entire  indebtedness  of this  Security]  [or]
[certain  restrictive  covenants  and  Events of  Default  with  respect to this
Security] [, in each case] upon compliance with certain  conditions set forth in
the Indenture.]

         [If the Security is not an Original Issue Discount Security,  insert --
If an Event of Default with respect to Securities of this series shall occur and
be  continuing,  the principal of the  Securities of this series may be declared
due and payable in the manner and with the effect provided in the Indenture.]

         [If the Security is an Original Issue Discount  Security,  insert -- If
an Event of Default with respect to Securities of this series shall occur and be
continuing,  an amount of  principal  of the  Securities  of this  series may be
declared  due and  payable in the manner  and with the  effect  provided  in the
Indenture.  Such amount shall be equal to -- insert formula for  determining the
amount.  Upon payment (i) of the amount of principal so declared due and payable
and (ii) of interest on any overdue  principal,  premium and  interest  (in each
case  to the  extent  that  the  payment  of  such  interest  shall  be  legally
enforceable),  all of the Company's obligations in respect of the payment of the
principal of and premium and interest,  if any, on the Securities of this series
shall terminate.]

         The Indenture permits, with certain exceptions as therein provided, the
amendment  thereof and the  modification  of the rights and  obligations  of the
Company  and the rights of the  Holders of the  Securities  of each series to be
affected under the Indenture at any time by the Company and the Trustee with the
consent of the Holders of 66 2/3% in principal  amount of the  Securities at the
time  Outstanding  of each series to be affected.  The  Indenture  also contains

                                      -20-
<PAGE>

provisions  permitting the Holders of specified  percentages in principal amount
of the  Securities  of each  series  at the time  Outstanding,  on behalf of the
Holders of all  Securities  of such series,  to waive  compliance by the Company
with certain  provisions of the  Indenture  and certain past defaults  under the
Indenture  and their  consequences.  Any such consent or waiver by the Holder of
this  Security  shall be  conclusive  and binding  upon such Holder and upon all
future Holders of this Security and of any Security issued upon the registration
of transfer  hereof or in exchange  therefor or in lieu  hereof,  whether or not
notation of such consent or waiver is made upon this Security.

         As provided  in and subject to the  provisions  of the  Indenture,  the
Holder of this  Security  shall not have the right to institute  any  proceeding
with respect to the Indenture or for the appointment of a receiver or trustee or
for any other remedy thereunder,  unless such Holder shall have previously given
the Trustee written notice of a continuing  Event of Default with respect to the
Securities of this series,  the Holders of not less than 25% in principal amount
of the Securities of this series at the time Outstanding shall have made written
request to the  Trustee  to  institute  proceedings  in respect of such Event of
Default as Trustee and offered the Trustee reasonable indemnity, and the Trustee
shall not have  received  from the Holders of a majority in principal  amount of
Securities of this series at the time Outstanding a direction  inconsistent with
such  request,  and shall have failed to institute any such  proceeding,  for 60
days after receipt of such notice, request and offer of indemnity. The foregoing
shall not apply to any suit  instituted  by the Holder of this  Security for the
enforcement of any payment of principal hereof or any premium or interest hereon
on or after the respective due dates expressed herein.

         No reference  herein to the Indenture and no provision of this Security
or of the Indenture  shall alter or impair the obligation of the Company,  which
is  absolute  and  unconditional,  to pay the  principal  of and any premium and
interest  on this  Security  at the  times,  place and rate,  and in the coin or
currency, herein prescribed.

         As provided in the Indenture and subject to certain limitations therein
set  forth,  the  transfer  of this  Security  is  registrable  in the  Security
Register,  upon surrender of this Security for  registration  of transfer at the
office or agency of the  Company  in any place  where the  principal  of and any
premium  and  interest  on this  Security  are  payable,  duly  endorsed  by, or
accompanied  by a written  instrument  of transfer in form  satisfactory  to the
Company and the Security  Registrar  duly  executed by, the Holder hereof or his
attorney duly authorized in writing, and thereupon one or more new Securities of
this  series and of like tenor,  of  authorized  denominations  and for the same
aggregate  principal  amount,  will be issued to the  designated  transferee  or
transferees.

         The  Securities  of this series are issuable  only in  registered  form
without coupons in denominations of $.......  and any integral multiple thereof.
As provided in the  Indenture  and  subject to certain  limitations  therein set
forth, Securities of this series are exchangeable for a like aggregate principal
amount of Securities of this series and of like tenor of a different  authorized
denomination, as requested by the Holder surrendering the same.

                                      -21-
<PAGE>

         No service charge shall be made for any such  registration  of transfer
or exchange,  but the Company may require  payment of a sum  sufficient to cover
any tax or other governmental charge payable in connection therewith.

         Prior to due presentment of this Security for registration of transfer,
the  Company,  the Trustee and any agent of the Company or the Trustee may treat
the Person in whose name this Security is registered as the owner hereof for all
purposes,  whether or not this Security be overdue, and neither the Company, the
Trustee nor any such agent shall be affected by notice to the contrary.

         All terms used in this  Security  which are  defined  in the  Indenture
shall have the meanings assigned to them in the Indenture.

         Section 204 Form of Legend for Global Securities.

         Unless  otherwise  specified  as  contemplated  by Section  301 for the
Securities evidenced thereby,  every Global Security authenticated and delivered
hereunder shall bear a legend in substantially the following form:

         This Security is a Global  Security within the meaning of the Indenture
         hereinafter  referred to and is  registered in the name of a Depositary
         or a nominee thereof. This Security may not be exchanged in whole or in
         part for a Security  registered,  and no transfer  of this  Security in
         whole or in part may be  registered,  in the name of any  Person  other
         than such  Depositary  or a  nominee  thereof,  except  in the  limited
         circumstances described in the Indenture.

         Section 205 Form of Trustee's Certificate of Authentication.

         The Trustee's  certificates of authentication shall be in substantially
the following form:

         This is one of the Securities of the series designated therein referred
to in the within-mentioned Indenture.

                                                  ........................,
                                                                 As Trustee

                                                  By.......................
                                                         Authorized Officer

                                      -22-
<PAGE>

                                 ARTICLE THREE

                                 The Securities

         Section 301 Amount Unlimited; Issuable in Series.

         The aggregate principal amount of Securities which may be authenticated
and delivered under this Indenture is unlimited.

         The  Securities  may be issued in one or more  series.  There  shall be
established in or pursuant to a Board  Resolution  and,  subject to Section 303,
set forth, or determined in the manner provided, in an Officers' Certificate, or
established in one or more indentures supplemental hereto, prior to the issuance
of Securities of any series,

                  (a) the title of the  Securities  of the series  (which  shall
         distinguish  the Securities of the series from  Securities of any other
         series);

                  (b) any  limit  upon the  aggregate  principal  amount  of the
         Securities of the series which may be authenticated and delivered under
         this Indenture (except for Securities  authenticated and delivered upon
         registration  of transfer of, or in exchange  for, or in lieu of, other
         Securities of the series pursuant to Section 304, 305, 306, 906 or 1107
         and except for any  Securities  which,  pursuant  to Section  303,  are
         deemed never to have been authenticated and delivered hereunder);

                  (c) the  Person  to whom any  interest  on a  Security  of the
         series  shall be  payable,  if other than the Person in whose name that
         Security (or one or more  Predecessor  Securities) is registered at the
         close of business on the Regular Record Date for such interest;

                  (d) the date or dates on which the principal of any Securities
         of the series is payable;

                  (e) the rate or rates at which any  Securities  of the  series
         shall  bear  interest,  if any,  the date or dates  from which any such
         interest  shall  accrue,  the Interest  Payment Dates on which any such
         interest  shall be payable  and the  Regular  Record  Date for any such
         interest payable on any Interest Payment Date;

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

                  (g) the period or periods within which, the price or prices at
         which and the terms and  conditions  upon which any  Securities  of the
         series  may be  redeemed,  in whole or in part,  at the  option  of the
         Company and, if other than by a Board  Resolution,  the manner in which
         any  election  by  the  Company  to  redeem  the  Securities  shall  be
         evidenced;

                                      -23-
<PAGE>

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

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

                  (j) if the amount of  principal  of or any premium or interest
         on any Securities of the series may be determined  with reference to an
         index or pursuant to a formula,  the manner in which such amounts shall
         be determined;

                  (k) if  other  than  the  currency  of the  United  States  of
         America,  the  currency,  currencies  or  currency  units in which  the
         principal of or any premium or interest on any Securities of the series
         shall be payable and the manner of determining  the equivalent  thereof
         in the  currency  of the  United  States of  America  for any  purpose,
         including for purposes of the  definition of  "Outstanding"  in Section
         101;

                  (l) if the  principal  of or any  premium or  interest  on any
         Securities  of the  series is to be  payable,  at the  election  of the
         Company or the Holder  thereof,  in one or more  currencies or currency
         units other than that or those in which such  Securities  are stated to
         be payable,  the currency,  currencies  or currency  units in which the
         principal of or any premium or interest on such  Securities as to which
         such  election is made shall be payable,  the periods  within which and
         the terms and conditions upon which such election is to be made and the
         amount  so  payable  (or the  manner  in  which  such  amount  shall be
         determined);

                  (m) if other than the entire  principal  amount  thereof,  the
         portion of the principal  amount of any  Securities of the series which
         shall be payable  upon  declaration  of  acceleration  of the  Maturity
         thereof pursuant to Section 502;

                  (n) if the principal  amount payable at the Stated Maturity of
         any Securities of the series will not be  determinable as of any one or
         more dates  prior to the Stated  Maturity,  the amount  which  shall be
         deemed to be the  principal  amount of such  Securities  as of any such
         date for any purpose  thereunder or hereunder,  including the principal
         amount  thereof which shall be due and payable upon any Maturity  other
         than the Stated  Maturity or which shall be deemed to be Outstanding as
         of any date prior to the Stated  Maturity  (or,  in any such case,  the
         manner in which such amount deemed to be the principal  amount shall be
         determined);

                  (o) if applicable, that the Securities of the series, in whole
         or any specified part, shall be defeasible  pursuant to Section 1302 or
         Section  1303 or both  such  Sections  and,  if  other  than by a Board
         Resolution,  the manner in which any election by the Company to defease
         such Securities shall be evidenced;

                                      -24-
<PAGE>

                  (p) if applicable,  that any Securities of the series shall be
         issuable  in  whole  or in  part  in the  form  of one or  more  Global
         Securities  and, in such case,  the  respective  Depositaries  for such
         Global  Securities,  the form of any legend or legends  which  shall be
         borne by any such Global Security in addition to or in lieu of that set
         forth in Section 204 and any circumstances in addition to or in lieu of
         those set forth in Clause (2) of the last  paragraph  of Section 305 in
         which any such Global Security may be exchanged in whole or in part for
         Securities  registered,  and any  transfer of such  Global  Security in
         whole or in part  may be  registered,  in the name or names of  Persons
         other  than  the  Depositary  for such  Global  Security  or a  nominee
         thereof;

                  (q) any  addition to or change in the Events of Default  which
         applies to any  Securities of the series and any change in the right of
         the Trustee or the requisite  Holders of such Securities to declare the
         principal amount thereof due and payable pursuant to Section 502;

                  (r) any  addition to or change in the  covenants  set forth in
         Article Ten which applies to Securities of the series;

                  (s) if  applicable,  that the  Securities  of the  series  are
         convertible  into or exchangeable  for Common Stock or other securities
         of the Company, the period or periods within which, the price or prices
         at which and the terms and conditions  upon which,  and the limitations
         and  restrictions,  if any,  upon which,  any  Securities of the series
         shall be convertible or exchangeable,  in whole or in part, into Common
         Stock or other securities of the Company; and

                  (t) any other  terms of the series  (which  terms shall not be
         inconsistent with the provisions of this Indenture, except as permitted
         by Section 901(5)).

         All  Securities  of any one  series  shall be  substantially  identical
except as to denomination and except as may otherwise be provided in or pursuant
to the Board  Resolution  referred  to above and  (subject  to Section  303) set
forth,  or  determined  in the manner  provided,  in the  Officers'  Certificate
referred to above or in any such indenture supplemental hereto.

         If any of the terms of the  series  are  established  by  action  taken
pursuant to a Board Resolution,  a copy of an appropriate  record of such action
shall be certified by the Secretary or an Assistant Secretary of the Company and
delivered  to  the  Trustee  at or  prior  to  the  delivery  of  the  Officers'
Certificate setting forth the terms of the series.

         The Securities shall be subordinated in right of payment to Senior Debt
as provided in Article Fourteen.

         Section 302 Denominations.

         The Securities of each series shall be issuable only in registered form
without  coupons  and  only in such  denominations  as  shall  be  specified  as
contemplated  by Section 301. In the absence of any such specified  denomination
with respect to the  Securities  of any series,  the

                                      -25-
<PAGE>

Securities of such series shall be issuable in  denominations  of $1,000 and any
integral multiple thereof.

         Section 303 Execution, Authentication, Delivery and Dating.

         The  Securities  shall be  executed  on  behalf of the  Company  by its
Chairman of the Board,  its Vice Chairman of the Board,  its President or one of
its Vice Presidents, under its corporate seal reproduced thereon attested by its
Secretary or one of its  Assistant  Secretaries.  The  signature of any of these
officers on the Securities may be manual or facsimile.

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

         At any time and from time to time after the  execution  and delivery of
this Indenture, the Company may deliver Securities of any series executed by the
Company to the Trustee for authentication, together with a Company Order for the
authentication  and delivery of such  Securities,  and the Trustee in accordance
with the Company Order shall  authenticate and deliver such  Securities.  If the
form or terms of the  Securities  of the  series  have  been  established  by or
pursuant to one or more Board  Resolutions as permitted by Sections 201 and 301,
in authenticating such Securities, and accepting the additional responsibilities
under this  Indenture  in relation  to such  Securities,  the  Trustee  shall be
entitled to receive,  and (subject to Section  601) shall be fully  protected in
relying upon, an Opinion of Counsel stating,

                  (a) if the form of such Securities has been  established by or
         pursuant to Board  Resolution  as permitted  by Section 201,  that such
         form has been  established  in conformity  with the  provisions of this
         Indenture;

                  (b) if the terms of such Securities  have been  established by
         or pursuant to Board  Resolution as permitted by Section 301, that such
         terms have been  established in conformity  with the provisions of this
         Indenture; and

                  (c) that such Securities,  when authenticated and delivered by
         the  Trustee and issued by the Company in the manner and subject to any
         conditions specified in such Opinion of Counsel,  will constitute valid
         and  legally  binding   obligations  of  the  Company   enforceable  in
         accordance  with  their  terms,  subject  to  bankruptcy,   insolvency,
         fraudulent  transfer,  reorganization,  moratorium  and similar laws of
         general applicability relating to or affecting creditors' rights and to
         general equity principles.

If such  form or terms  have  been so  established,  the  Trustee  shall  not be
required  to  authenticate  such  Securities  if the  issue  of such  Securities
pursuant to this  Indenture  will  affect the  Trustee's  own rights,  duties or
immunities  under the  Securities  and this  Indenture  or otherwise in a manner
which is not reasonably acceptable to the Trustee.

                                      -26-
<PAGE>

         Notwithstanding  the  provisions  of Section  301 and of the  preceding
paragraph,  if all Securities of a series are not to be originally issued at one
time, it shall not be necessary to deliver the Officers'  Certificate  otherwise
required  pursuant to Section  301 or the  Company  Order and Opinion of Counsel
otherwise  required  pursuant  to such  preceding  paragraph  at or prior to the
authentication  of each Security of such series if such  documents are delivered
at or prior to the  authentication  upon original issuance of the first Security
of such series to be issued.

         Each Security shall be dated the date of its authentication.

         No Security shall be entitled to any benefit under this Indenture or be
valid or  obligatory  for any purpose  unless there  appears on such  Security a
certificate  of  authentication  substantially  in the form  provided for herein
executed  by the  Trustee by manual  signature,  and such  certificate  upon any
Security shall be conclusive evidence, and the only evidence, that such Security
has  been  duly  authenticated  and  delivered  hereunder.  Notwithstanding  the
foregoing, if any Security shall have been authenticated and delivered hereunder
but never issued and sold by the  Company,  and the Company  shall  deliver such
Security to the Trustee for  cancellation  as provided in Section  309,  for all
purposes of this  Indenture  such  Security  shall be deemed  never to have been
authenticated  and  delivered  hereunder  and  shall  never be  entitled  to the
benefits of this Indenture.

         Section 304 Temporary Securities.

         Pending the  preparation  of definitive  Securities of any series,  the
Company may execute,  and upon Company Order the Trustee shall  authenticate and
deliver,  temporary  Securities  which are printed,  lithographed,  typewritten,
mimeographed   or   otherwise   produced,   in  any   authorized   denomination,
substantially  of the tenor of the  definitive  Securities in lieu of which they
are issued and with such appropriate  insertions,  omissions,  substitutions and
other  variations as the officers  executing such  Securities may determine,  as
evidenced by their execution of such Securities.

         If  temporary  Securities  of any series are issued,  the Company  will
cause definitive  Securities of that series to be prepared without  unreasonable
delay.  After the  preparation  of  definitive  Securities  of such series,  the
temporary  Securities  of such  series  shall  be  exchangeable  for  definitive
Securities  of such series upon  surrender of the  temporary  Securities of such
series at the office or agency of the  Company  in a Place of  Payment  for that
series, without charge to the Holder. Upon surrender for cancellation of any one
or more  temporary  Securities of any series,  the Company shall execute and the
Trustee  shall  authenticate  and  deliver  in  exchange  therefor  one or  more
definitive Securities of the same series, of any authorized denominations and of
like tenor and aggregate  principal  amount.  Until so exchanged,  the temporary
Securities  of any series shall in all respects be entitled to the same benefits
under this Indenture as definitive Securities of such series and tenor.

                                      -27-
<PAGE>

         Section 305 Registration, Registration of Transfer and Exchange.

         The Company shall cause to be kept at the Corporate Trust Office of the
Trustee a register  (the  register  maintained  in such  office and in any other
office or agency of the  Company in a Place of Payment  being  herein  sometimes
collectively  referred to as the "Security  Register") in which, subject to such
reasonable  regulations as it may  prescribe,  the Company shall provide for the
registration of Securities and of transfers of Securities. The Trustee is hereby
appointed  "Security  Registrar" for the purpose of  registering  Securities and
transfers of Securities as herein provided.

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

         At the option of the Holder,  Securities of any series may be exchanged
for other Securities of the same series, of any authorized  denominations and of
like tenor and aggregate  principal amount,  upon surrender of the Securities to
be  exchanged  at  such  office  or  agency.  Whenever  any  Securities  are  so
surrendered  for  exchange,  the Company  shall  execute,  and the Trustee shall
authenticate and deliver, the Securities which the Holder making the exchange is
entitled to receive.

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

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

         No service  charge  shall be made for any  registration  of transfer or
exchange of Securities,  but the Company may require payment of a sum sufficient
to cover any tax or other governmental  charge that may be imposed in connection
with any  registration  of  transfer  or  exchange  of  Securities,  other  than
exchanges pursuant to Section 304, 906 or 1107 not involving any transfer.

         If the Securities of any series (or of any series and specified  tenor)
are to be redeemed  in part,  the  Company  shall not be required  (a) to issue,
register the transfer of or exchange any  Securities  of that series (or of that
series and specified tenor, as the case may be) during a period beginning at the
opening  of  business  15 days  before  the day of the  mailing  of a notice  of
redemption of any such Securities selected for redemption under Section 1103 and
ending at the close of business on the day of such  mailing,  or (b) to register
the transfer of or exchange any

                                      -28-
<PAGE>

Security so selected for  redemption in whole or in part,  except the unredeemed
portion of any Security being redeemed in part.

         The  provisions of clauses (a), (b), (c) and (d) below shall apply only
to Global Securities:

                  (a) Each Global  Security  authenticated  under this Indenture
         shall be registered in the name of the  Depositary  designated for such
         Global  Security or a nominee  thereof and delivered to such Depositary
         or a nominee  thereof  or  custodian  therefor,  and each  such  Global
         Security  shall  constitute a single  Security for all purposes of this
         Indenture.

                  (b) Notwithstanding any other provision in this Indenture,  no
         Global  Security may be  exchanged  in whole or in part for  Securities
         registered,  and no transfer  of a Global  Security in whole or in part
         may be registered,  in the name of any Person other than the Depositary
         for  such  Global  Security  or  a  nominee  thereof  unless  (i)  such
         Depositary  (A) has notified the Company that it is unwilling or unable
         to continue as Depositary for such Global Security or (B) has ceased to
         be a clearing  agency  registered  under the Exchange  Act,  (ii) there
         shall have  occurred and be continuing an Event of Default with respect
         to such Global Security or (iii) there shall exist such  circumstances,
         if  any,  in  addition  to or in  lieu of the  foregoing  as have  been
         specified for this purpose as contemplated by Section 301.

                  (c)  Subject  to Clause (2) above,  any  exchange  of a Global
         Security for other  Securities may be made in whole or in part, and all
         Securities  issued in  exchange  for a Global  Security  or any portion
         thereof shall be registered  in such names as the  Depositary  for such
         Global Security shall direct.

                  (d)  Every   Security   authenticated   and   delivered   upon
         registration of transfer of, or in exchange for or in lieu of, a Global
         Security  or any portion  thereof,  whether  pursuant to this  Section,
         Section 304, 306, 906 or 1107 or otherwise,  shall be authenticated and
         delivered in the form of, and shall be, a Global Security,  unless such
         Security  is  registered  in  the  name  of a  Person  other  than  the
         Depositary for such Global Security or a nominee thereof.

         Section 306 Mutilated, Destroyed, Lost and Stolen Securities.

         If any mutilated  Security is surrendered  to the Trustee,  the Company
shall  execute  and the  Trustee  shall  authenticate  and  deliver in  exchange
therefor a new  Security  of the same  series  and of like  tenor and  principal
amount and bearing a number not contemporaneously outstanding.

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

                                      -29-
<PAGE>

lieu of any such destroyed,  lost or stolen Security, a new Security of the same
series  and of like  tenor  and  principal  amount  and  bearing  a  number  not
contemporaneously outstanding.

         In case any such  mutilated,  destroyed,  lost or stolen  Security  has
become or is about to become due and payable, the Company in its discretion may,
instead of issuing a new Security, pay such Security.

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

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

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

         Section 307 Payment of Interest; Interest Rights Preserved.

         Except as  otherwise  provided  as  contemplated  by  Section  301 with
respect to any series of Securities,  interest on any Security which is payable,
and is punctually paid or duly provided for, on any Interest  Payment Date shall
be paid to the Person in whose name that  Security  (or one or more  Predecessor
Securities)  is registered  at the close of business on the Regular  Record Date
for such interest.

         Any interest on any Security of any series which is payable, but is not
punctually  paid or duly  provided  for, on any  Interest  Payment  Date (herein
called  "Defaulted  Interest") shall forthwith cease to be payable to the Holder
on the relevant  Regular  Record Date by virtue of having been such Holder,  and
such  Defaulted  Interest  may be paid by the  Company,  at its election in each
case, as provided in clause (a) or (b) below:

                  (a) The  Company  may elect to make  payment of any  Defaulted
         Interest to the Persons in whose  names the  Securities  of such series
         (or their  respective  Predecessor  Securities)  are  registered at the
         close of  business  on a Special  Record  Date for the  payment of such
         Defaulted  Interest,  which shall be fixed in the following manner. The
         Company  shall notify the Trustee in writing of the amount of Defaulted
         Interest  proposed  to be paid on each  Security of such series and the
         date of the proposed  payment,  and at the same time the Company  shall
         deposit  with the  Trustee  an amount of money  equal to the  aggregate
         amount  proposed  to be paid in respect of such  Defaulted  Interest or
         shall make  arrangements  satisfactory  to the Trustee for such deposit
         prior to the date of the

                                      -30-
<PAGE>

         proposed payment, such money when deposited to be held in trust for the
         benefit of the Persons  entitled to such Defaulted  Interest as in this
         Clause provided.  Thereupon the Trustee shall fix a Special Record Date
         for the payment of such Defaulted Interest which shall be not more than
         15 days and not  less  than 10 days  prior to the date of the  proposed
         payment  and not less than 10 days after the  receipt by the Trustee of
         the notice of the proposed  payment.  The Trustee shall promptly notify
         the  Company of such  Special  Record  Date and, in the name and at the
         expense of the Company,  shall cause notice of the proposed  payment of
         such  Defaulted  Interest  and the Special  Record Date  therefor to be
         given to each  Holder of  Securities  of such  series in the manner set
         forth in  Section  106,  not less  than 10 days  prior to such  Special
         Record Date. Notice of the proposed payment of such Defaulted  Interest
         and the  Special  Record  Date  therefor  having  been so mailed,  such
         Defaulted  Interest  shall be paid to the  Persons  in whose  names the
         Securities of such series (or their respective Predecessor  Securities)
         are registered at the close of business on such Special Record Date and
         shall no longer be payable pursuant to the following clause (b).

                  (b) The Company may make payment of any Defaulted  Interest on
         the   Securities   of  any  series  in  any  other  lawful  manner  not
         inconsistent with the requirements of any securities  exchange on which
         such Securities may be listed,  and upon such notice as may be required
         by such exchange,  if, after notice given by the Company to the Trustee
         of the proposed payment pursuant to this Clause, such manner of payment
         shall be deemed practicable by the Trustee.

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

         Section 308 Persons Deemed Owners.

         Prior to due  presentment of a Security for  registration  of transfer,
the  Company,  the Trustee and any agent of the Company or the Trustee may treat
the  Person  in whose  name such  Security  is  registered  as the owner of such
Security  for the purpose of  receiving  payment of principal of and any premium
and  (subject to Section  307) any  interest on such  Security and for all other
purposes  whatsoever,  whether or not such Security be overdue,  and neither the
Company,  the  Trustee  nor any agent of the  Company  or the  Trustee  shall be
affected by notice to the contrary.

         Section 309 Cancellation.

         All Securities  surrendered  for payment,  redemption,  registration of
transfer or exchange or for credit  against any sinking fund payment  shall,  if
surrendered  to any Person other than the  Trustee,  be delivered to the Trustee
and shall be promptly  cancelled  by it. The Company may at any time  deliver to
the  Trustee  for  cancellation  any  Securities  previously  authenticated  and
delivered   hereunder  which  the  Company  may  have  acquired  in  any  manner
whatsoever,  and may

                                      -31-
<PAGE>

deliver to the Trustee (or to any other  Person for delivery to the Trustee) for
cancellation any Securities previously authenticated hereunder which the Company
has not issued and sold,  and all  Securities  so  delivered  shall be  promptly
cancelled by the Trustee.  No Securities shall be authenticated in lieu of or in
exchange for any  Securities  cancelled as provided in this  Section,  except as
expressly  permitted by this  Indenture.  All cancelled  Securities  held by the
Trustee shall be disposed of as directed by a Company Order.

         Section 310 Computation of Interest.

         Except as  otherwise  specified  as  contemplated  by  Section  301 for
Securities  of any series,  interest on the  Securities  of each series shall be
computed on the basis of a 360-day year of twelve 30-day months.

                                  ARTICLE FOUR

                           Satisfaction and Discharge

         Section 401 Satisfaction and Discharge of Indenture.

         This Indenture shall upon Company Request cease to be of further effect
(except as to any surviving  rights of  registration  of transfer or exchange of
Securities  herein expressly  provided for), and the Trustee,  at the expense of
the Company,  shall execute proper  instruments  acknowledging  satisfaction and
discharge of this Indenture, when

                  (a) either

                           (i)  all  Securities  theretofore  authenticated  and
                  delivered   (other  than  (A)   Securities   which  have  been
                  destroyed, lost or stolen and which have been replaced or paid
                  as  provided  in  Section  306 and (B)  Securities  for  whose
                  payment  money  has  theretofore  been  deposited  in trust or
                  segregated  and held in trust by the  Company  and  thereafter
                  repaid  to the  Company  or  discharged  from such  trust,  as
                  provided in Section  1003) have been  delivered to the Trustee
                  for cancellation; or

                           (ii) all such Securities not theretofore delivered to
                  the Trustee for cancellation

                           (A) have become due and payable, or

                           (B) will  become  due and  payable  at  their  Stated
                           Maturity within one year, or

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

                                      -32-
<PAGE>

         and the Company, in the case of (A), (B) or (C) above, has deposited or
         caused to be deposited with the Trustee as trust funds in trust for the
         purpose  money in an amount  sufficient to pay and discharge the entire
         indebtedness  on  such  Securities  not  theretofore  delivered  to the
         Trustee for cancellation, for principal and any premium and interest to
         the date of such deposit (in the case of  Securities  which have become
         due and payable) or to the Stated  Maturity or Redemption  Date, as the
         case may be;

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

                  (c) the Company  has  delivered  to the  Trustee an  Officers'
         Certificate and an Opinion of Counsel, each stating that all conditions
         precedent   herein  provided  for  relating  to  the  satisfaction  and
         discharge of this Indenture have been complied with.

         Notwithstanding  the satisfaction and discharge of this Indenture,  the
obligations of the Company to the Trustee under Section 607, the  obligations of
the Trustee to any  Authenticating  Agent under  Section 614 and, if money shall
have been deposited with the Trustee pursuant to subclause (ii) of clause (a) of
this  Section,  the  obligations  of the Trustee  under Section 402 and the last
paragraph of Section 1003 shall survive.

         Section 402 Application of Trust Money.

         Subject to the  provisions of the last  paragraph of Section 1003,  all
money deposited with the Trustee  pursuant to Section 401 shall be held in trust
and applied by it, in accordance  with the provisions of the Securities and this
Indenture,  to  the  payment,  either  directly  or  through  any  Paying  Agent
(including  the  Company  acting as its own  Paying  Agent) as the  Trustee  may
determine, to the Persons entitled thereto, of the principal and any premium and
interest for whose payment such money has been deposited with the Trustee.

                                  ARTICLE FIVE

                                    Remedies

         Section 501 Events of Default.

         "Event of Default",  wherever used herein with respect to Securities of
any series,  means any one of the following events (whatever the reason for such
Event of Default and whether it shall be occasioned by the provisions of Article
Fourteen or be  voluntary or  involuntary  or be effected by operation of law or
pursuant  to any  judgment,  decree or order of any court or any order,  rule or
regulation of any administrative or governmental body):

                  (a) default in the payment of any  interest  upon any Security
         of that series when it becomes due and payable, and continuance of such
         default for a period of 30 days; or

                                      -33-
<PAGE>

                  (b) default in the payment of the  principal of or any premium
         on any Security of that series at its Maturity; or

                  (c) default in the deposit of any sinking fund  payment,  when
         and as due by the terms of a Security of that series; or

                  (d) default in the performance,  or breach, of any covenant or
         warranty  of the  Company in this  Indenture  (other than a covenant or
         warranty a default in whose performance or whose breach is elsewhere in
         this  Section  specifically  dealt  with or which  has  expressly  been
         included  in  this  Indenture  solely  for the  benefit  of  series  of
         Securities other than that series),  and continuance of such default or
         breach  for a  period  of 60  days  after  there  has  been  given,  by
         registered  or certified  mail, to the Company by the Trustee or to the
         Company  and the  Trustee by the  Holders of at least 25% in  principal
         amount of the  Outstanding  Securities of that series a written  notice
         specifying  such default or breach and  requiring it to be remedied and
         stating that such notice is a "Notice of Default" hereunder; or

                  (e) the entry by a court having  jurisdiction  in the premises
         of (i) a decree or order for relief in  respect  of the  Company or any
         Restricted  Subsidiary in an involuntary  case or proceeding  under any
         applicable Federal or State bankruptcy,  insolvency,  reorganization or
         other  similar law or (ii) a decree or order  adjudging  the Company or
         any such Restricted Subsidiary a bankrupt or insolvent, or approving as
         properly  filed  a  petition   seeking   reorganization,   arrangement,
         adjustment or  composition  of or in respect of the Company or any such
         Restricted  Subsidiary  under any  applicable  Federal or State law, or
         appointing  a  custodian,  receiver,  liquidator,   assignee,  trustee,
         sequestrator  or other  similar  official  of the  Company  or any such
         Restricted  Subsidiary or of any substantial  part of its property,  or
         ordering  the  winding  up or  liquidation  of  its  affairs,  and  the
         continuance  of any such  decree or order for  relief or any such other
         decree or order  unstayed and in effect for a period of 60  consecutive
         days; or

                  (f)  the   commencement  by  the  Company  or  any  Restricted
         Subsidiary  of a  voluntary  case or  proceeding  under any  applicable
         Federal  or  State  bankruptcy,  insolvency,  reorganization  or  other
         similar  law or of any other case or  proceeding  to be  adjudicated  a
         bankrupt  or  insolvent,  or the  consent  by the  Company  or any such
         Restricted  Subsidiary  to the entry of a decree or order for relief in
         respect  of  the  Company  or  any  such  Restricted  Subsidiary  in an
         involuntary  case or proceeding  under any applicable  Federal or State
         bankruptcy,  insolvency,  reorganization or other similar law or to the
         commencement of any bankruptcy or insolvency case or proceeding against
         the  Company or any such  Restricted  Subsidiary,  or the filing by the
         Company or any such  Restricted  Subsidiary  of a petition or answer or
         consent seeking  reorganization or relief under any applicable  Federal
         or State  law,  or the  consent by the  Company or any such  Restricted
         Subsidiary to the filing of such petition or to the  appointment  of or
         taking  possession  by a  custodian,  receiver,  liquidator,  assignee,
         trustee,  sequestrator or other similar  official of the Company or any
         such Restricted  Subsidiary or of any substantial  part of the property
         of the Company or any such Restricted Subsidiary,  or the making by

                                      -34-
<PAGE>

         the Company or any such Restricted  Subsidiary of an assignment for the
         benefit  of  creditors,  or the  admission  by the  Company or any such
         Restricted  Subsidiary  in  writing of its  inability  to pay its debts
         generally as they become due, or the taking of corporate  action by the
         Company or any such  Restricted  Subsidiary in  furtherance of any such
         action; or

                  (g) any  other  Event of  Default  provided  with  respect  to
         Securities of that series.

         Section 502 Acceleration of Maturity; Rescission and Annulment.

         If an Event of Default  (other  than an Event of Default  specified  in
Section  501(6) or 501(7)) with respect to  Securities of any series at the time
Outstanding occurs and is continuing, then in every such case the Trustee or the
Holders of not less than 25% in principal  amount of the Outstanding  Securities
of that series may declare the  principal  amount of all the  Securities of that
series  (or,  if any  Securities  of that  series are  Original  Issue  Discount
Securities,  such portion of the principal  amount of such  Securities as may be
specified by the terms thereof) to be due and payable  immediately,  by a notice
in writing to the Company (and to the Trustee if given by Holders), and upon any
such  declaration  such  principal  amount (or  specified  amount)  shall become
immediately due and payable.  If an Event of Default  specified in clause (e) or
(f) of  Section  501  with  respect  to  Securities  of any  series  at the time
Outstanding  occurs,  the principal  amount of all the Securities of that series
(or, if any Securities of that series are Original  Issue  Discount  Securities,
such portion of the principal  amount of such  Securities as may be specified by
the terms thereof)  shall  automatically,  and without any  declaration or other
action on the part of the  Trustee or any  Holder,  become  immediately  due and
payable.

         At any time after such a declaration  of  acceleration  with respect to
Securities  of any  series  has been made and  before a  judgment  or decree for
payment of the money due has been obtained by the Trustee as hereinafter in this
Article  provided,  the  Holders  of a  majority  in  principal  amount  of  the
Outstanding  Securities of that series, by written notice to the Company and the
Trustee, may rescind and annul such declaration and its consequences if

                  (a) the Company has paid or  deposited  with the Trustee a sum
         sufficient to pay

                           (i) all overdue  interest on all  Securities  of that
                  series,

                           (ii) the principal of (and  premium,  if any, on) any
                  Securities of that series which have become due otherwise than
                  by such  declaration of acceleration  and any interest thereon
                  at the rate or rates prescribed therefor in such Securities,

                           (iii) to the extent that payment of such  interest is
                  lawful,  interest  upon overdue  interest at the rate or rates
                  prescribed therefor in such Securities, and

                                      -35-
<PAGE>

                           (iv)  all  sums  paid  or  advanced  by  the  Trustee
                  hereunder   and   the   reasonable   compensation,   expenses,
                  disbursements  and  advances  of the  Trustee,  its agents and
                  counsel; and

                  (b) all Events of Default with respect to  Securities  of that
         series,  other than the  non-payment  of the principal of Securities of
         that  series  which  have  become  due  solely by such  declaration  of
         acceleration, have been cured or waived as provided in Section 513.

No such  rescission  shall  affect  any  subsequent  default or impair any right
consequent thereon.

The Trustee shall not be required to act upon an Event of Default  unless it has
actual knowledge of such Event of Default.

         Section 503  Collection of  Indebtedness  and Suits for  Enforcement by
Trustee.

         The Company covenants that if

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

                  (b)  default is made in the  payment of the  principal  of (or
         premium, if any, on) any Security at the Maturity thereof,

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

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

         Section 504 Trustee May File Proofs of Claim.

         In case of any  judicial  proceeding  relative  to the  Company (or any
other obligor upon the Securities),  its property or its creditors,  the Trustee
shall  be  entitled  and  empowered,  by  intervention  in  such  proceeding  or
otherwise,  to take any and all actions authorized under the Trust Indenture Act
in order to have  claims of the  Holders  and the  Trustee  allowed  in any such
proceeding.  In  particular,  the  Trustee  shall be  authorized  to collect and
receive any moneys or

                                      -36-
<PAGE>

other  property  payable or deliverable on any such claims and to distribute the
same; and any custodian,  receiver, assignee, trustee, liquidator,  sequestrator
or other similar official in any such judicial  proceeding is hereby  authorized
by each Holder to make such  payments to the Trustee  and, in the event that the
Trustee shall consent to the making of such payments directly to the Holders, to
pay to the Trustee any amount due it for the reasonable compensation,  expenses,
disbursements and advances of the Trustee, its agents and counsel, and any other
amounts due the Trustee under Section 607.

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

         Section  505  Trustee  May  Enforce   Claims   Without   Possession  of
Securities.

         All rights of action and claims under this  Indenture or the Securities
may be prosecuted  and enforced by the Trustee  without the possession of any of
the Securities or the production thereof in any proceeding relating thereto, and
any such  proceeding  instituted by the Trustee shall be brought in its own name
as trustee of an express  trust,  and any  recovery  of  judgment  shall,  after
provision   for  the   payment  of  the   reasonable   compensation,   expenses,
disbursements  and advances of the Trustee,  its agents and counsel,  be for the
ratable  benefit  of the  Holders  of the  Securities  in  respect of which such
judgment has been recovered.

         Section 506 Application of Money Collected.

         Any money  collected by the Trustee  pursuant to this Article  shall be
applied in the following  order,  at the date or dates fixed by the Trustee and,
in case of the distribution of such money on account of principal or any premium
or interest, upon presentation of the Securities and the notation thereon of the
payment if only partially paid and upon surrender thereof if fully paid:

         FIRST: To the payment of all amounts due the Trustee under Section 607;

         SECOND: To the extent provided in Article  Fourteen,  to the holders of
Senior Debt of the Company in accordance with Article Fourteen; and

         THIRD:  To the payment of the amounts then due and unpaid for principal
of and any premium and interest on the Securities in respect of which or for the
benefit of which such money has been collected,  ratably,  without preference or
priority  of any  kind,  according  to the  amounts  due  and  payable  on  such
Securities for principal and any premium and interest, respectively.

                                      -37-
<PAGE>

         Section 507 Limitation on Suits.

         No  Holder  of any  Security  of any  series  shall  have any  right to
institute any proceeding, judicial or otherwise, with respect to this Indenture,
or for the  appointment  of a  receiver  or  trustee,  or for any  other  remedy
hereunder, unless

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

                  (b) the  Holders of not less than 25% in  principal  amount of
         the  Outstanding  Securities  of that  series  shall have made  written
         request to the  Trustee  to  institute  proceedings  in respect of such
         Event of Default in its own name as Trustee hereunder;

                  (c)  such  Holder  or  Holders  have  offered  to the  Trustee
         reasonable indemnity against the costs,  expenses and liabilities to be
         incurred in compliance with such request;

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

                  (e) no direction  inconsistent  with such written  request has
         been given to the Trustee during such 60-day period by the Holders of a
         majority in  principal  amount of the  Outstanding  Securities  of that
         series;

it being  understood and intended that no one or more of such Holders shall have
any right in any manner  whatever by virtue of, or by availing of, any provision
of this  Indenture to affect,  disturb or  prejudice  the rights of any other of
such Holders,  or to obtain or to seek to obtain priority or preference over any
other of such  Holders or to enforce any right under this  Indenture,  except in
the manner herein  provided and for the equal and ratable benefit of all of such
Holders.

         Section  508  Unconditional  Right of  Holders  to  Receive  Principal,
Premium and Interest.

         Notwithstanding  any other provision in this  Indenture,  the Holder of
any  Security  shall have the right,  which is absolute  and  unconditional,  to
receive payment of the principal of and any premium and (subject to Section 307)
interest on such Security on the respective Stated Maturities  expressed in such
Security  (or,  in the  case  of  redemption,  on the  Redemption  Date)  and to
institute suit for the  enforcement  of any such payment,  and such rights shall
not be impaired without the consent of such Holder.

         Section 509 Restoration of Rights and Remedies.

         If the Trustee or any Holder has  instituted  any proceeding to enforce
any  right  or  remedy  under  this  Indenture  and  such  proceeding  has  been
discontinued or abandoned for any reason,  or has been  determined  adversely to
the  Trustee or to such  Holder,  then and in every  such  case,  subject to any
determination in such proceeding, the Company, the Trustee and the Holders shall
be restored  severally and respectively to their former positions  hereunder and
thereafter all rights

                                      -38-
<PAGE>

and  remedies of the Trustee  and the Holders  shall  continue as though no such
proceeding had been instituted.

         Section 510 Rights and Remedies Cumulative.

         Except as otherwise provided with respect to the replacement or payment
of mutilated,  destroyed,  lost or stolen  Securities  in the last  paragraph of
Section 306, no right or remedy herein conferred upon or reserved to the Trustee
or to the Holders is intended to be exclusive of any other right or remedy,  and
every right and remedy shall, to the extent  permitted by law, be cumulative and
in addition to every other right and remedy given  hereunder or now or hereafter
existing at law or in equity or  otherwise.  The  assertion or employment of any
right or remedy  hereunder,  or  otherwise,  shall not  prevent  the  concurrent
assertion or employment of any other appropriate right or remedy.

         Section 511 Delay or Omission Not Waiver.

         No delay or omission of the Trustee or of any Holder of any  Securities
to exercise any right or remedy  accruing upon any Event of Default shall impair
any such right or remedy or  constitute a waiver of any such Event of Default or
an acquiescence therein.  Every right and remedy given by this Article or by law
to the  Trustee or to the  Holders may be  exercised  from time to time,  and as
often as may be deemed expedient,  by the Trustee or by the Holders, as the case
may be.

         Section 512 Control by Holders.

         The  Holders  of a  majority  in  principal  amount of the  Outstanding
Securities  of any series  shall  have the right to direct the time,  method and
place of conducting any proceeding for any remedy  available to the Trustee,  or
exercising  any trust or power  conferred  on the  Trustee,  with respect to the
Securities of such series, provided that

                  (a) such  direction  shall not be in conflict with any rule of
         law or with this Indenture, and

                  (b) the Trustee may take any other action deemed proper by the
         Trustee which is not inconsistent with such direction.

         Section 513 Waiver of Past Defaults.

         The  Holders of not less than a  majority  in  principal  amount of the
Outstanding  Securities  of any series  may on behalf of the  Holders of all the
Securities of such series waive any past default  hereunder with respect to such
series and its consequences, except a default

                  (a) in the  payment  of the  principal  of or any  premium  or
         interest on any Security of such series, or

                                      -39-
<PAGE>

                  (b) in respect of a covenant or  provision  hereof which under
         Article  Nine cannot be modified or amended  without the consent of the
         Holder of each Outstanding Security of such series affected.

         Upon any such waiver,  such default shall cease to exist, and any Event
of  Default  arising  therefrom  shall be deemed to have been  cured,  for every
purpose of this Indenture;  but no such waiver shall extend to any subsequent or
other default or impair any right consequent thereon.

         Section 514 Undertaking for Costs.

         In any suit for the  enforcement  of any  right or  remedy  under  this
Indenture,  or in any suit against the Trustee for any action taken, suffered or
omitted by it as Trustee, a court may require any party litigant in such suit to
file an  undertaking to pay the costs of such suit, and may assess costs against
any such party  litigant,  in the manner and to the extent provided in the Trust
Indenture  Act;  provided that neither this Section nor the Trust  Indenture Act
shall be deemed to authorize any court to require such an undertaking or to make
such an assessment in any suit instituted by the Company.

         Section 515 Waiver of Usury, Stay or Extension Laws.

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

                                  ARTICLE SIX

                                   The Trustee

         Section 601 Certain Duties and Responsibilities.

         The duties and  responsibilities of the Trustee shall be as provided by
the Trust  Indenture Act.  Notwithstanding  the foregoing,  no provision of this
Indenture shall require the Trustee to expend or risk its own funds or otherwise
incur any financial liability in the performance of any of its duties hereunder,
or in the exercise of any of its rights or powers,  if it shall have  reasonable
grounds for believing that repayment of such funds or adequate indemnity against
such risk or liability is not  reasonably  assured to it. Whether or not therein
expressly so provided, every provision of this Indenture relating to the conduct
or affecting  the  liability of or affording  protection to the Trustee shall be
subject to the provisions of this Section.

                                      -40-
<PAGE>

         Section 602 Notice of Defaults.

         If a default occurs hereunder with respect to Securities of any series,
the Trustee  shall give the Holders of  Securities of such series notice of such
default as and to the extent  provided  by the Trust  Indenture  Act;  provided,
however,  that in the case of any default of the  character  specified in clause
(d) of Section 501 with respect to Securities of such series,  no such notice to
Holders shall be given until at least 30 days after the occurrence thereof.  For
the purpose of this  Section,  the term  "default"  means any event which is, or
after  notice or lapse of time or both would  become,  an Event of Default  with
respect to Securities of such series.

         Section 603 Certain Rights of Trustee.

         Subject to the provisions of Section 601:

                  (a) the Trustee may rely and shall be  protected  in acting or
         refraining  from acting upon any  resolution,  certificate,  statement,
         instrument,  opinion,  report,  notice,  request,  direction,  consent,
         order, bond,  debenture,  note, other evidence of indebtedness or other
         paper or document  believed by it to be genuine and to have been signed
         or presented by the proper party or parties;

                  (b) any request or direction of the Company  mentioned  herein
         shall be sufficiently  evidenced by a Company Request or Company Order,
         and any  resolution  of the Board of  Directors  shall be  sufficiently
         evidenced by a Board Resolution;

                  (c)  whenever  in the  administration  of this  Indenture  the
         Trustee shall deem it desirable  that a matter be proved or established
         prior to  taking,  suffering  or  omitting  any action  hereunder,  the
         Trustee (unless other evidence be herein specifically  prescribed) may,
         in the  absence  of bad  faith  on its  part,  rely  upon an  Officers'
         Certificate;

                  (d) the  Trustee  may  consult  with  counsel  and the written
         advice of such  counsel or any  Opinion  of  Counsel  shall be full and
         complete  authorization  and protection in respect of any action taken,
         suffered  or omitted  by it  hereunder  in good  faith and in  reliance
         thereon;

                  (e) the Trustee  shall be under no  obligation to exercise any
         of the rights or powers  vested in it by this  Indenture at the request
         or direction of any of the Holders  pursuant to this Indenture,  unless
         such Holders shall have offered to the Trustee  reasonable  security or
         indemnity  against the costs,  expenses and liabilities  which might be
         incurred by it in compliance with such request or direction;

                  (f) the Trustee  shall not be bound to make any  investigation
         into the  facts  or  matters  stated  in any  resolution,  certificate,
         statement,  instrument,  opinion,  report, notice, request,  direction,
         consent,  order, bond, debenture,  note, other evidence of indebtedness
         or other paper or document,  but the Trustee,  in its  discretion,  may
         make such further inquiry or  investigation  into such facts or matters
         as it may see fit,  and, if the Trustee  shall  determine  to make such
         further inquiry or  investigation,  it shall be entitled to

                                      -41-
<PAGE>

         examine the books,  records and premises of the Company,  personally or
         by agent or attorney; and

                  (g) the  Trustee  may  execute  any of the  trusts  or  powers
         hereunder  or perform  any duties  hereunder  either  directly or by or
         through  agents or attorneys and the Trustee  shall not be  responsible
         for any  misconduct  or negligence on the part of any agent or attorney
         appointed with due care by it hereunder.

         Section 604 Not Responsible for Recitals or Issuance of Securities.

         The  recitals  contained  herein  and in  the  Securities,  except  the
Trustee's  certificates of  authentication,  shall be taken as the statements of
the Company,  and neither the Trustee nor any  Authenticating  Agent assumes any
responsibility for their correctness. The Trustee makes no representations as to
the validity or sufficiency of this Indenture or of the Securities.  Neither the
Trustee  nor  any  Authenticating  Agent  shall  be  accountable  for the use or
application by the Company of Securities or the proceeds thereof.

         Section 605 May Hold Securities.

         The Trustee,  any Authenticating  Agent, any Paying Agent, any Security
Registrar  or any other agent of the  Company,  in its  individual  or any other
capacity, may become the owner or pledgee of Securities and, subject to Sections
608 and 613, may  otherwise  deal with the Company with the same rights it would
have if it were  not  Trustee,  Authenticating  Agent,  Paying  Agent,  Security
Registrar or such other agent.

         Section 606 Money Held in Trust.

         Money held by the  Trustee in trust  hereunder  need not be  segregated
from other  funds  except to the extent  required by law.  The Trustee  shall be
under no liability for interest on any money received by it hereunder  except as
otherwise agreed with the Company.

         Section 607 Compensation and Reimbursement.

         The Company agrees

                  (1) to pay  to  the  Trustee  from  time  to  time  reasonable
         compensation   for  all  services   rendered  by  it  hereunder  (which
         compensation  shall not be limited by any provision of law in regard to
         the compensation of a trustee of an express trust);

                  (2)  except  as  otherwise   expressly   provided  herein,  to
         reimburse  the Trustee  upon its request for all  reasonable  expenses,
         disbursements   and  advances  incurred  or  made  by  the  Trustee  in
         accordance  with  any  provision  of  this  Indenture   (including  the
         reasonable  compensation  and the  expenses  and  disbursements  of its
         agents and counsel),  except any such expense,  disbursement or advance
         as may be attributable to its negligence or bad faith; and

                                      -42-
<PAGE>

                  (3) to  indemnify  the  Trustee  for,  and to hold it harmless
         against,  any loss, liability or expense incurred without negligence or
         bad  faith  on its  part,  arising  out of or in  connection  with  the
         acceptance  or   administration  of  the  trust  or  trusts  hereunder,
         including the costs and expenses of defending  itself against any claim
         or liability in connection  with the exercise or  performance of any of
         its powers or duties hereunder.

         Section 608 Conflicting Interests.

         If the Trustee has or shall acquire a conflicting  interest  within the
meaning of the Trust  Indenture  Act, the Trustee  shall either  eliminate  such
interest or resign,  to the extent and in the manner provided by, and subject to
the provisions  of, the Trust  Indenture Act and this  Indenture.  To the extent
permitted  by such Act,  the Trustee  shall not be deemed to have a  conflicting
interest  by virtue of being a trustee  under  this  Indenture  with  respect to
Securities  of more than one series  [or a trustee  under -- list here any prior
indentures  between the Company and the Trustee that have not been satisfied and
discharged  and that may be excluded by the proviso to Section  310(b)(1) of the
Trust Indenture Act].

         Section 609 Corporate Trustee Required; Eligibility.

         There shall at all times be one (and only one) Trustee  hereunder  with
respect to the  Securities  of each series,  which may be Trustee  hereunder for
Securities of one or more other  series.  Each Trustee shall be a Person that is
eligible  pursuant to the Trust Indenture Act to act as such, and has a combined
capital and surplus of at least  $50,000,000  and has its Corporate Trust Office
in the Borough of Manhattan,  The City of New York. If any such Person publishes
reports of condition at least annually,  pursuant to law or to the  requirements
of its supervising or examining authority, then for the purposes of this Section
and to the extent permitted by the Trust Indenture Act, the combined capital and
surplus of such Person shall be deemed to be its combined capital and surplus as
set forth in its most recent  report of condition so  published.  If at any time
the  Trustee  with  respect to the  Securities  of any series  shall cease to be
eligible in accordance  with the  provisions  of this  Section,  it shall resign
immediately  in the  manner and with the effect  hereinafter  specified  in this
Article.

         Section 610 Resignation and Removal; Appointment of Successor.

         No  resignation  or  removal of the  Trustee  and no  appointment  of a
successor  Trustee  pursuant to this Article  shall become  effective  until the
acceptance  of  appointment  by the  successor  Trustee in  accordance  with the
applicable requirements of Section 611.

         The Trustee may resign at any time with  respect to the  Securities  of
one or more  series by giving  written  notice  thereof to the  Company.  If the
instrument of acceptance  by a successor  Trustee  required by Section 611 shall
not have been  delivered to the Trustee  within 30 days after the giving of such
notice of resignation, the resigning Trustee may petition any court of competent
jurisdiction  for the  appointment  of a successor  Trustee  with respect to the
Securities of such series.

                                      -43-
<PAGE>

         The Trustee may be removed at any time with  respect to the  Securities
of any series by Act of the  Holders of a majority  in  principal  amount of the
Outstanding  Securities  of such  series,  delivered  to the  Trustee and to the
Company.

         If at any time:

                  (1) the Trustee  shall fail to comply  with  Section 608 after
         written request therefor by the Company or by any Holder who has been a
         bona fide Holder of a Security for at least six months, or

                  (2) the Trustee  shall cease to be eligible  under Section 609
         and shall fail to resign after written request  therefor by the Company
         or by any such Holder, or

                  (3) the Trustee  shall become  incapable of acting or shall be
         adjudged a bankrupt or insolvent or a receiver of the Trustee or of its
         property  shall be appointed or any public officer shall take charge or
         control of the Trustee or of its property or affairs for the purpose of
         rehabilitation, conservation or liquidation,

then,  in any such case,  (A) the Company by a Board  Resolution  may remove the
Trustee  with  respect to all  Securities,  or (B) subject to Section  514,  any
Holder  who has been a bona fide  Holder of a  Security  for at least six months
may, on behalf of himself and all others similarly situated,  petition any court
of  competent  jurisdiction  for the removal of the Trustee  with respect to all
Securities and the appointment of a successor Trustee or Trustees.

         If the Trustee shall resign,  be removed or become incapable of acting,
or if a vacancy shall occur in the office of Trustee for any cause, with respect
to the  Securities of one or more series,  the Company,  by a Board  Resolution,
shall  promptly  appoint a  successor  Trustee or Trustees  with  respect to the
Securities of that or those series (it being  understood that any such successor
Trustee may be appointed with respect to the Securities of one or more or all of
such series and that at any time there shall be only one Trustee with respect to
the  Securities of any  particular  series) and shall comply with the applicable
requirements of Section 611. If, within one year after such resignation, removal
or  incapability,  or the occurrence of such vacancy,  a successor  Trustee with
respect to the Securities of any series shall be appointed by Act of the Holders
of a majority in principal  amount of the Outstanding  Securities of such series
delivered  to the Company and the retiring  Trustee,  the  successor  Trustee so
appointed shall, forthwith upon its acceptance of such appointment in accordance
with the applicable  requirements of Section 611,  become the successor  Trustee
with respect to the  Securities of such series and to that extent  supersede the
successor Trustee appointed by the Company. If no successor Trustee with respect
to the  Securities  of any series shall have been so appointed by the Company or
the Holders and accepted  appointment in the manner required by Section 611, any
Holder who has been a bona fide Holder of a Security of such series for at least
six months may, on behalf of himself and all others similarly situated, petition
any court of competent  jurisdiction for the appointment of a successor  Trustee
with respect to the Securities of such series.

                                      -44-
<PAGE>

         The Company shall give notice of each  resignation  and each removal of
the Trustee with respect to the Securities of any series and each appointment of
a successor  Trustee with respect to the Securities of any series to all Holders
of Securities of such series in the manner  provided in Section 106. Each notice
shall include the name of the successor  Trustee with respect to the  Securities
of such series and the address of its Corporate Trust Office.

         Section 611 Acceptance of Appointment by Successor.

         In  case of the  appointment  hereunder  of a  successor  Trustee  with
respect to all  Securities,  every such  successor  Trustee so  appointed  shall
execute,  acknowledge and deliver to the Company and to the retiring  Trustee an
instrument accepting such appointment,  and thereupon the resignation or removal
of the retiring  Trustee  shall become  effective  and such  successor  Trustee,
without any further act,  deed or  conveyance,  shall become vested with all the
rights,  powers,  trusts and duties of the retiring Trustee; but, on the request
of the Company or the successor  Trustee,  such  retiring  Trustee  shall,  upon
payment of its charges,  execute and deliver an instrument  transferring to such
successor Trustee all the rights,  powers and trusts of the retiring Trustee and
shall duly assign,  transfer and deliver to such successor  Trustee all property
and money held by such retiring Trustee hereunder.

         In  case of the  appointment  hereunder  of a  successor  Trustee  with
respect to the Securities of one or more (but not all) series, the Company,  the
retiring  Trustee and each  successor  Trustee with respect to the Securities of
one or more series shall  execute and deliver an indenture  supplemental  hereto
wherein each successor Trustee shall accept such appointment and which (a) shall
contain  such  provisions  as shall be  necessary  or  desirable to transfer and
confirm to, and to vest in,  each  successor  Trustee  all the  rights,  powers,
trusts and duties of the retiring Trustee with respect to the Securities of that
or those series to which the appointment of such successor Trustee relates,  (b)
if the retiring  Trustee is not retiring with respect to all  Securities,  shall
contain  such  provisions  as shall be deemed  necessary or desirable to confirm
that all the rights,  powers,  trusts and duties of the  retiring  Trustee  with
respect  to the  Securities  of that or those  series as to which  the  retiring
Trustee is not retiring shall continue to be vested in the retiring Trustee, and
(c) shall add to or change any of the  provisions of this  Indenture as shall be
necessary  to  provide  for or  facilitate  the  administration  of  the  trusts
hereunder by more than one Trustee,  it being  understood that nothing herein or
in such supplemental indenture shall constitute such Trustees co-trustees of the
same  trust and that each such  Trustee  shall be  trustee  of a trust or trusts
hereunder separate and apart from any trust or trusts hereunder  administered by
any other such Trustee; and upon the execution and delivery of such supplemental
indenture  the  resignation  or removal of the  retiring  Trustee  shall  become
effective  to the  extent  provided  therein  and each such  successor  Trustee,
without any further act,  deed or  conveyance,  shall become vested with all the
rights,  powers,  trusts and duties of the retiring  Trustee with respect to the
Securities of that or those series to which the  appointment  of such  successor
Trustee relates;  but, on request of the Company or any successor Trustee,  such
retiring  Trustee  shall duly  assign,  transfer  and deliver to such  successor
Trustee all  property and money held by such  retiring  Trustee  hereunder  with
respect to the  Securities of that or those series to which the  appointment  of
such successor Trustee relates.

                                      -45-
<PAGE>

         Upon request of any such successor  Trustee,  the Company shall execute
any and all instruments  for more fully and certainly  vesting in and confirming
to such successor Trustee all such rights,  powers and trusts referred to in the
first or second preceding paragraph, as the case may be.

         No successor Trustee shall accept its appointment unless at the time of
such  acceptance  such  successor  Trustee shall be qualified and eligible under
this Article.

         Section  612  Merger,   Conversion,   Consolidation  or  Succession  to
Business.

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

         Section 613 Preferential Collection of Claims Against Company.

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

         Section 614 Appointment of Authenticating Agent.

         The Trustee may appoint an Authenticating  Agent or Agents with respect
to one or more series of  Securities  which shall be authorized to act on behalf
of the Trustee to  authenticate  Securities  of such series issued upon original
issue and upon exchange,  registration of transfer or partial redemption thereof
or pursuant to Section 306, and Securities so authenticated shall be entitled to
the  benefits  of this  Indenture  and  shall be valid  and  obligatory  for all
purposes as if authenticated  by the Trustee  hereunder.  Wherever  reference is
made in this Indenture to the  authentication  and delivery of Securities by the
Trustee or the Trustee's certificate of authentication,  such reference shall be
deemed to include  authentication  and  delivery  on behalf of the Trustee by an
Authenticating  Agent and a certificate of authentication  executed on behalf of
the  Trustee by an  Authenticating  Agent.  Each  Authenticating  Agent shall be
acceptable to the Company and shall at all times be a corporation  organized and
doing business under the laws of the United States of America, any State thereof
or the District of Columbia, authorized under such laws to act as Authenticating
Agent,  having a combined  capital and surplus of not less than  $50,000,000 and
subject to supervision or  examination  by Federal or State  authority.  If such
Authenticating Agent publishes reports of condition at least annually,  pursuant
to law or to the requirements of said supervising or examining  authority,  then
for the  purposes  of this  Section,

                                      -46-
<PAGE>

the combined capital and surplus of such Authenticating Agent shall be deemed to
be its  combined  capital and surplus as set forth in its most recent  report of
condition so published. If at any time an Authenticating Agent shall cease to be
eligible in accordance with the provisions of this Section,  such Authenticating
Agent shall resign  immediately  in the manner and with the effect  specified in
this Section.

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

         An Authenticating Agent may resign at any time by giving written notice
thereof to the Trustee and to the Company. The Trustee may at any time terminate
the agency of an  Authenticating  Agent by giving written notice thereof to such
Authenticating  Agent  and to the  Company.  Upon  receiving  such a  notice  of
resignation  or  upon  such  a  termination,   or  in  case  at  any  time  such
Authenticating  Agent  shall  cease  to  be  eligible  in  accordance  with  the
provisions of this Section,  the Trustee may appoint a successor  Authenticating
Agent  which  shall be  acceptable  to the Company and shall give notice of such
appointment  in the manner  provided in Section 106 to all Holders of Securities
of the series with respect to which such  Authenticating  Agent will serve.  Any
successor  Authenticating  Agent upon  acceptance of its  appointment  hereunder
shall become  vested with all the rights,  powers and duties of its  predecessor
hereunder,  with like effect as if originally named as an Authenticating  Agent.
No successor  Authenticating  Agent shall be appointed unless eligible under the
provisions of this Section.

         The  Trustee  agrees to pay to each  Authenticating  Agent from time to
time  reasonable  compensation  for its  services  under this  Section,  and the
Trustee shall be entitled to be  reimbursed  for such  payments,  subject to the
provisions of Section 607.

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

                                      -47-
<PAGE>

         This is one of the Securities of the series designated therein referred
to in the within-mentioned Indenture.

                                              ..........................,
                                                              As Trustee

                                              By........................,
                                                  As Authenticating Agent

                                              By.........................
                                                       Authorized Officer

                                 ARTICLE SEVEN

                Holders' Lists and Reports by Trustee and Company

         Section 701 Company to Furnish Trustee Names and Addresses of Holders.

         The Company will furnish or cause to be furnished to the Trustee

                  (a)  semi-annually,  not later than  January 15 and July 15 in
         each year, a list, in such form as the Trustee may reasonably  require,
         of the names and  addresses of the Holders of Securities of each series
         as of the preceding December 31 or June 30, as the case may be, and

                  (b) at such other times as the Trustee may request in writing,
         within 30 days after the receipt by the Company of any such request,  a
         list of  similar  form and  content  as of a date not more than 15 days
         prior to the time such list is furnished;

excluding from any such list names and addresses  received by the Trustee in its
capacity as Security Registrar.

         Section 702 Preservation of Information; Communications to Holders.

         The  Trustee  shall  preserve,  in as  current a form as is  reasonably
practicable,  the names and  addresses  of Holders  contained in the most recent
list  furnished  to the  Trustee as  provided  in Section  701 and the names and
addresses  of Holders  received  by the  Trustee  in its  capacity  as  Security
Registrar.  The  Trustee may  destroy  any list  furnished  to it as provided in
Section 701 upon receipt of a new list so furnished.

                                      -48-
<PAGE>

         The rights of Holders to communicate with other Holders with respect to
their rights under this Indenture or under the Securities, and the corresponding
rights  and  privileges  of the  Trustee,  shall  be as  provided  by the  Trust
Indenture Act.

         Every Holder of Securities,  by receiving and holding the same,  agrees
with the Company and the  Trustee  that  neither the Company nor the Trustee nor
any  agent  of  either  of them  shall  be held  accountable  by  reason  of any
disclosure of  information as to names and addresses of Holders made pursuant to
the Trust Indenture Act.

         Section 703 Reports by Trustee.

         The Trustee  shall  transmit to Holders  such  reports  concerning  the
Trustee and its actions under this Indenture as may be required  pursuant to the
Trust Indenture Act at the times and in the manner provided pursuant thereto.

         A copy of each such report shall,  at the time of such  transmission to
Holders,  be filed by the  Trustee  with  each  stock  exchange  upon  which any
Securities are listed,  with the  Commission  and with the Company.  The Company
will notify the Trustee when any Securities are listed on any stock exchange.

         Section 704 Reports by Company.

         The  Company  shall  file  with the  Trustee  and the  Commission,  and
transmit to Holders,  such  information,  documents and other reports,  and such
summaries thereof, as may be required pursuant to the Trust Indenture Act at the
times and in the manner  provided  pursuant to such Act;  provided that any such
information,  documents  or reports  required  to be filed  with the  Commission
pursuant  to  Section  13 or 15(d) of the  Exchange  Act shall be filed with the
Trustee  within  15 days  after  the same is so  required  to be filed  with the
Commission.

                                 ARTICLE EIGHT

              Consolidation, Merger, Conveyance, Transfer or Lease

         Section 801 Company May Consolidate, Etc., Only on Certain Terms.

         The Company shall not  consolidate  with or merge into any other Person
or convey,  transfer  or lease its  properties  and assets  substantially  as an
entirety  to any  Person,  and the  Company  shall  not  permit  any  Person  to
consolidate  with or merge into the  Company or  convey,  transfer  or lease its
properties and assets substantially as an entirety to the Company, unless:

                  (a) in case the Company shall  consolidate  with or merge into
         another  Person or convey,  transfer or lease its properties and assets
         substantially  as an entirety to any Person,  the Person formed by such
         consolidation  or into which the Company is merged or the Person  which
         acquires by conveyance or transfer, or which leases, the properties and
         assets  of  the  Company  substantially  as  an  entirety  shall  be  a
         corporation,  partnership, limited liability company or trust, shall be
         organized and validly  existing  under the laws

                                      -49-
<PAGE>

         of the United  States of America,  any State thereof or the District of
         Columbia  and shall  expressly  assume,  by an  indenture  supplemental
         hereto,  executed and delivered to the Trustee, in form satisfactory to
         the Trustee,  the due and punctual  payment of the principal of and any
         premium  and  interest on all the  Securities  and the  performance  or
         observance  of  every  covenant  of this  Indenture  on the part of the
         Company to be performed or observed;

                  (b)  immediately  after giving effect to such  transaction and
         treating any indebtedness which becomes an obligation of the Company or
         any Subsidiary as a result of such  transaction as having been incurred
         by the Company or such Subsidiary at the time of such  transaction,  no
         Event of Default,  and no event which, after notice or lapse of time or
         both,  would  become an Event of Default,  shall have  happened  and be
         continuing;

                  (c) if,  as a result  of any such  consolidation  or merger or
         such conveyance, transfer or lease, properties or assets of the Company
         would become subject to a mortgage,  pledge, lien, security interest or
         other encumbrance  which would not be permitted by this Indenture,  the
         Company or such successor  Person,  as the case may be, shall take such
         steps  as shall be  necessary  effectively  to  secure  the  Securities
         equally  and  ratably  with  (or  prior  to) all  indebtedness  secured
         thereby; and

                  (d) the Company  has  delivered  to the  Trustee an  Officers'
         Certificate  and  an  Opinion  of  Counsel,   each  stating  that  such
         consolidation,   merger,  conveyance,  transfer  or  lease  and,  if  a
         supplemental indenture is required in connection with such transaction,
         such  supplemental  indenture  comply  with this  Article  and that all
         conditions  precedent  herein provided for relating to such transaction
         have been complied with.

         Section 802 Successor Substituted.

         Upon any  consolidation  of the Company  with, or merger of the Company
into,  any other Person or any  conveyance,  transfer or lease of the properties
and assets of the  Company  substantially  as an  entirety  in  accordance  with
Section 801, the successor Person formed by such consolidation or into which the
Company is merged or to which such  conveyance,  transfer or lease is made shall
succeed to, and be  substituted  for, and may exercise every right and power of,
the  Company  under this  Indenture  with the same  effect as if such  successor
Person had been named as the Company herein, and thereafter,  except in the case
of a lease,  the  predecessor  Person shall be relieved of all  obligations  and
covenants under this Indenture and the Securities.

                                  ARTICLE NINE

                             Supplemental Indentures

         Section 901 Supplemental Indentures Without Consent of Holders.

         Without the consent of any Holders,  the Company,  when authorized by a
Board Resolution,  and the Trustee, at any time and from time to time, may enter
into one or more

                                      -50-
<PAGE>

indentures  supplemental hereto, in form satisfactory to the Trustee, for any of
the following purposes:

                  (a) to  evidence  the  succession  of  another  Person  to the
         Company and the  assumption  by any such  successor of the covenants of
         the Company herein and in the Securities; or

                  (b) to add to the  covenants of the Company for the benefit of
         the Holders of all or any series of Securities  (and if such  covenants
         are to be for the  benefit  of less  than  all  series  of  Securities,
         stating that such covenants are expressly being included solely for the
         benefit  of such  series)  or to  surrender  any right or power  herein
         conferred upon the Company; or

                  (c) to add any additional Events of Default for the benefit of
         the Holders of all or any series of Securities  (and if such additional
         Events of Default  are to be for the benefit of less than all series of
         Securities,   stating  that  such  additional  Events  of  Default  are
         expressly being included solely for the benefit of such series); or

                  (d)  to add  to or  change  any  of  the  provisions  of  this
         Indenture to such extent as shall be necessary to permit or  facilitate
         the  issuance  of  Securities  in  bearer  form,   registrable  or  not
         registrable as to principal,  and with or without interest coupons,  or
         to permit or facilitate  the issuance of  Securities in  uncertificated
         form; or

                  (e) to add to,  change or eliminate  any of the  provisions of
         this Indenture in respect of one or more series of Securities, provided
         that any such  addition,  change or  elimination  (i) shall neither (A)
         apply to any Security of any series  created  prior to the execution of
         such  supplemental  indenture  and  entitled  to the  benefit  of  such
         provision  nor (B) modify the rights of the Holder of any such Security
         with respect to such provision or (ii) shall become effective only when
         there is no such Security Outstanding; or

                  (f) to establish the form or terms of Securities of any series
         as permitted by Sections 201 and 301; or

                  (g) to evidence and provide for the  acceptance of appointment
         hereunder by a successor  Trustee with respect to the Securities of one
         or more  series and to add to or change any of the  provisions  of this
         Indenture  as shall be  necessary  to  provide  for or  facilitate  the
         administration  of the  trusts  hereunder  by more  than  one  Trustee,
         pursuant to the requirements of Section 611; or

                  (h) to cure  any  ambiguity,  to  correct  or  supplement  any
         provision herein which may be defective or inconsistent  with any other
         provision  herein,  or to make any other  provisions  with  respect  to
         matters or questions  arising under this Indenture,  provided that such
         action  pursuant  to this  clause  (h) shall not  adversely  affect the
         interests  of the Holders of  Securities  of any series in any material
         respect.

                                      -51-
<PAGE>

         Section 902 Supplemental Indentures With Consent of Holders.

         With  the  consent  of the  Holders  of not  less  than a  majority  in
principal  amount of the Outstanding  Securities of each series affected by such
supplemental  indenture, by Act of said Holders delivered to the Company and the
Trustee, the Company, when authorized by a Board Resolution, and the Trustee may
enter into an indenture  or  indentures  supplemental  hereto for the purpose of
adding any  provisions  to or changing in any manner or  eliminating  any of the
provisions  of this  Indenture  or of  modifying in any manner the rights of the
Holders of Securities of such series under this  Indenture;  provided,  however,
that no such supplemental  indenture shall, without the consent of the Holder of
each Outstanding Security affected thereby,

                  (a) change the Stated  Maturity  of the  principal  of, or any
         installment of principal of or interest on, any Security, or reduce the
         principal amount thereof or the rate of interest thereon or any premium
         payable  upon the  redemption  thereof,  or  reduce  the  amount of the
         principal of an Original Issue Discount  Security or any other Security
         which would be due and payable upon a declaration  of  acceleration  of
         the  Maturity  thereof  pursuant to Section 502, or change any Place of
         Payment  where,  or the coin or currency in which,  any Security or any
         premium  or  interest  thereon  is  payable,  or  impair  the  right to
         institute suit for the  enforcement of any such payment on or after the
         Stated Maturity thereof (or, in the case of redemption, on or after the
         Redemption  Date),  or modify the  provisions  of this  Indenture  with
         respect to the  subordination of the Securities in a manner  materially
         adverse to the Holders, or

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

                  (c) modify any of the provisions of this Section,  Section 513
         or Section 1009,  except to increase any such  percentage or to provide
         that certain other  provisions of this Indenture  cannot be modified or
         waived without the consent of the Holder of each  Outstanding  Security
         affected  thereby;  provided,  however,  that this clause  shall not be
         deemed to require the consent of any Holder with  respect to changes in
         the references to "the Trustee" and concomitant changes in this Section
         and Section 1009, or the deletion of this proviso,  in accordance  with
         the requirements of Section 611 and clause (h) of Section 901.

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

                                      -52-
<PAGE>

         It shall not be necessary  for any Act of Holders under this Section to
approve the particular form of any proposed supplemental indenture, but it shall
be sufficient if such Act shall approve the substance thereof.

         Section 903 Execution of Supplemental Indentures.

         In  executing,  or  accepting  the  additional  trusts  created by, any
supplemental indenture permitted by this Article or the modifications thereby of
the trusts created by this Indenture,  the Trustee shall be entitled to receive,
and  (subject  to Section  601) shall be fully  protected  in relying  upon,  an
Opinion of Counsel stating that the execution of such supplemental  indenture is
authorized  or  permitted by this  Indenture.  The Trustee may, but shall not be
obligated  to,  enter into any such  supplemental  indenture  which  affects the
Trustee's own rights, duties or immunities under this Indenture or otherwise.

         Section 904 Effect of Supplemental Indentures.

         Upon the execution of any  supplemental  indenture  under this Article,
this Indenture shall be modified in accordance therewith,  and such supplemental
indenture shall form a part of this Indenture for all purposes; and every Holder
of Securities  theretofore or thereafter  authenticated and delivered  hereunder
shall be bound thereby.

         Section 905 Conformity with Trust Indenture Act.

         Every  supplemental  indenture  executed pursuant to this Article shall
conform to the requirements of the Trust Indenture Act.

         Section 906 Reference in Securities to Supplemental Indentures.

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

                                  ARTICLE TEN

                                    Covenants

         Section 1001 Payment of Principal, Premium and Interest.

         The  Company  covenants  and agrees for the  benefit of each  series of
Securities that it will duly and punctually pay the principal of and any premium
and interest on the  Securities of that series in  accordance  with the terms of
the Securities and this Indenture.

                                      -53-
<PAGE>

         Section 1002 Maintenance of Office or Agency.

         The  Company  will  maintain in each Place of Payment for any series of
Securities an office or agency where  Securities of that series may be presented
or surrendered for payment,  where  Securities of that series may be surrendered
for  registration  of transfer or exchange  and where  notices and demands to or
upon the Company in respect of the  Securities of that series and this Indenture
may be served. The Company will give prompt written notice to the Trustee of the
location,  and any change in the location,  of such office or agency.  If at any
time the Company  shall fail to maintain any such  required  office or agency or
shall fail to furnish the Trustee with the address thereof,  such presentations,
surrenders,  notices and demands  may be made or served at the  Corporate  Trust
Office of the Trustee,  and the Company hereby appoints the Trustee as its agent
to receive all such presentations, surrenders, notices and demands.

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

         Section 1003 Money for Securities Payments to Be Held in Trust.

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

         Whenever  the  Company  shall  have one or more  Paying  Agents for any
series of Securities, it will, prior to each due date of the principal of or any
premium or interest on any  Securities  of that  series,  deposit  with a Paying
Agent a sum  sufficient  to pay such amount,  such sum to be held as provided by
the Trust  Indenture  Act,  and (unless  such Paying  Agent is the  Trustee) the
Company will promptly notify the Trustee of its action or failure so to act.

         The Company will cause each Paying  Agent for any series of  Securities
other than the Trustee to execute and  deliver to the Trustee an  instrument  in
which such Paying Agent shall agree with the Trustee,  subject to the provisions
of this Section,  that such Paying Agent will (1) comply with the  provisions of
the Trust  Indenture  Act  applicable to it as a Paying Agent and (2) during the
continuance  of any  default  by the  Company  (or any  other  obligor  upon the
Securities  of that  series)  in the  making of any  payment  in  respect of the
Securities of that series,  upon the written  request of the Trustee,  forthwith
pay to the Trustee  all sums held in trust by such  Paying  Agent for payment in
respect of the Securities of that series.

                                      -54-
<PAGE>

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

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

         Section 1004 Statement by Officers as to Default.

         The Company will deliver to the Trustee,  within 120 days after the end
of each fiscal year of the Company  ending after the date  hereof,  an Officers'
Certificate, stating whether or not to the best knowledge of the signers thereof
the Company is in default in the performance and observance of any of the terms,
provisions  and conditions of this  Indenture  (without  regard to any period of
grace or requirement of notice provided  hereunder) and, if the Company shall be
in default,  specifying  all such defaults and the nature and status  thereof of
which they may have knowledge.

         Section 1005 Existence.

         Subject to Article  Eight,  the Company will do or cause to be done all
things  necessary to preserve  and keep in full force and effect its  existence,
rights  (charter and  statutory) and  franchises;  provided,  however,  that the
Company  shall not be required to preserve  any such right or  franchise  if the
Board of Directors  shall determine that the  preservation  thereof is no longer
desirable  in the  conduct  of the  business  of the  Company  and that the loss
thereof is not disadvantageous in any material respect to the Holders.

                                      -55-
<PAGE>

         Section 1006 Maintenance of Properties.

         The Company will cause all properties  used or useful in the conduct of
its business or the business of any  Restricted  Subsidiary to be maintained and
kept in good condition, repair and working order and supplied with all necessary
equipment  and  will  cause  to  be  made  all  necessary   repairs,   renewals,
replacements,  betterments and improvements  thereof,  all as in the judgment of
the Company  may be  necessary  so that the  business  carried on in  connection
therewith may be properly and advantageously  conducted at all times;  provided,
however,  that  nothing  in  this  Section  shall  prevent  the  Company  or any
Restricted  Subsidiary from discontinuing the operation or maintenance of any of
such  properties  if such  discontinuance  is, in the judgment of the Company or
such  Restricted  Subsidiary,  desirable  in the conduct of its  business or the
business  of any  such  Restricted  Subsidiary  and not  disadvantageous  in any
material respect to the Holders.

         Section 1007 Payment of Taxes and Other Claims.

         The Company will pay or  discharge  or cause to be paid or  discharged,
before  the  same  shall  become  delinquent,  (a) all  taxes,  assessments  and
governmental  charges  levied or imposed upon the Company or any  Subsidiary  or
upon the income,  profits or  property  of the Company or any of its  Restricted
Subsidiaries, and (b) all lawful claims for labor, materials and supplies which,
if unpaid, might by law become a lien upon the property of the Company or any of
its  Restricted  Subsidiaries;  provided,  however,  that  the  Company  or such
Restricted  Subsidiary  shall not be required to pay or discharge or cause to be
paid or  discharged  any such tax,  assessment,  charge or claim  whose  amount,
applicability  or  validity  is being  contested  in good  faith by  appropriate
proceedings.

         Section 1008 Maintenance of Insurance.

         The Company shall, and shall cause its Restricted Subsidiaries to, keep
at all times all of their  properties  which are of an insurable  nature insured
against loss or damage with insurers  believed by the Company to be  responsible
to the  extent  that  property  of  similar  character  is usually so insured by
corporations  similarly  situated and owning like  properties in accordance with
good  business  practice.  The Company  shall,  and shall  cause its  Restricted
Subsidiaries  to, use the  proceeds  from any such  insurance  policy to repair,
replace or otherwise restore the property to which such proceeds relate.

         Section 1009 Waiver of Certain Covenants.

         Except as  otherwise  specified  as  contemplated  by  Section  301 for
Securities of such series,  the Company may,  with respect to the  Securities of
any series, omit in any particular  instance to comply with any term,  provision
or  condition  set forth in any  covenant  provided  pursuant  to clause  (r) of
Section  301 or clause (b) or (g) of Section  901 for the benefit of the Holders
of such series or in any of Sections 1005 to 1007, inclusive, if before the time
for such  compliance  the Holders of at least a majority in principal  amount of
the Outstanding Securities of such series shall, by Act of such Holders,  either
waive such compliance in such instance or

                                      -56-
<PAGE>

generally waive compliance with such term,  provision or condition,  but no such
waiver shall extend to or affect such term, provision or condition except to the
extent so expressly waived,  and, until such waiver shall become effective,  the
obligations  of the Company and the duties of the Trustee in respect of any such
term, provision or condition shall remain in full force and effect.

                                 ARTICLE ELEVEN

                            Redemption of Securities

         Section 1101 Applicability of Article.

         Securities  of any series  which are  redeemable  before  their  Stated
Maturity  shall be  redeemable  in  accordance  with their  terms and (except as
otherwise  specified  as  contemplated  by Section 301 for such  Securities)  in
accordance with this Article.

         Section 1102 Election to Redeem; Notice to Trustee.

         The election of the Company to redeem any Securities shall be evidenced
by a Board  Resolution or in another manner specified as contemplated by Section
301 for  such  Securities.  In case of any  redemption  at the  election  of the
Company  of less  than all the  Securities  of any  series  (including  any such
redemption  affecting only a single  Security),  the Company shall,  at least 60
days prior to the Redemption  Date fixed by the Company (unless a shorter notice
shall be  satisfactory  to the Trustee),  notify the Trustee of such  Redemption
Date, of the  principal  amount of Securities of such series to be redeemed and,
if applicable, of the tenor of the Securities to be redeemed. In the case of any
redemption of Securities  prior to the  expiration  of any  restriction  on such
redemption  provided  in the  terms  of such  Securities  or  elsewhere  in this
Indenture,  the Company shall furnish the Trustee with an Officers'  Certificate
evidencing compliance with such restriction.

         Section 1103 Selection by Trustee of Securities to Be Redeemed.

         If less  than  all the  Securities  of any  series  are to be  redeemed
(unless all the  Securities  of such  series and of a specified  tenor are to be
redeemed  or  unless  such  redemption  affects  only a  single  Security),  the
particular  Securities  to be redeemed  shall be selected  not more than 60 days
prior to the Redemption Date by the Trustee, from the Outstanding  Securities of
such series not previously called for redemption,  by such method as the Trustee
shall deem fair and  appropriate  and which may  provide for the  selection  for
redemption of a portion of the principal  amount of any Security of such series,
provided that the  unredeemed  portion of the  principal  amount of any Security
shall be in an authorized denomination (which shall not be less than the minimum
authorized  denomination) for such Security.  If less than all the Securities of
such series and of a specified tenor are to be redeemed  (unless such redemption
affects only a single Security),  the particular Securities to be redeemed shall
be selected not more than 60 days prior to the  Redemption  Date by the Trustee,
from  the  Outstanding  Securities  of  such  series  and  specified  tenor  not
previously called for redemption in accordance with the preceding sentence.

                                      -57-
<PAGE>

         The  Trustee  shall  promptly  notify  the  Company  in  writing of the
Securities  selected for  redemption as aforesaid and, in case of any Securities
selected for partial redemption as aforesaid, the principal amount thereof to be
redeemed.

         The  provisions  of the two preceding  paragraphs  shall not apply with
respect  to any  redemption  affecting  only a  single  Security,  whether  such
Security  is to be  redeemed  in  whole  or in  part.  In the  case of any  such
redemption  in part,  the  unredeemed  portion  of the  principal  amount of the
Security  shall be in an authorized  denomination  (which shall not be less than
the minimum authorized denomination) for such Security.

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

         Section 1104 Notice of Redemption.

         Notice  of  redemption  shall  be given by  first-class  mail,  postage
prepaid,  mailed not less than 30 nor more than 60 days prior to the  Redemption
Date, to each Holder of Securities to be redeemed,  at his address  appearing in
the Security Register.

         All notices of redemption shall state:

                  (a) the Redemption Date,

                  (b) the Redemption Price,

                  (c) if less than all the Outstanding  Securities of any series
         consisting  of more  than a single  Security  are to be  redeemed,  the
         identification  (and,  in the case of  partial  redemption  of any such
         Securities,  the principal amounts) of the particular  Securities to be
         redeemed and, if less than all the Outstanding Securities of any series
         consisting  of a single  Security  are to be  redeemed,  the  principal
         amount of the particular Security to be redeemed,

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

                  (e) that on the  Redemption  Date,  if such is the  case,  the
         right of the holders of each such  Security  to convert the  Securities
         shall terminate;

                  (f) the place or places  where  each  such  Security  is to be
         surrendered for payment of the Redemption Price, and

                  (g) that the  redemption is for a sinking fund, if such is the
         case.

                                      -58-
<PAGE>

         Notice of  redemption  of  Securities to be redeemed at the election of
the Company shall be given by the Company or, at the Company's  request,  by the
Trustee in the name and at the expense of the Company and shall be irrevocable.

         Section 1105 Deposit of Redemption Price.

         Prior to any  Redemption  Date,  the  Company  shall  deposit  with the
Trustee or with a Paying  Agent (or,  if the Company is acting as its own Paying
Agent,  segregate  and hold in trust as provided  in Section  1003) an amount of
money  sufficient to pay the Redemption  Price of, and (except if the Redemption
Date shall be an Interest  Payment Date) accrued interest on, all the Securities
which are to be redeemed on that date.

         Section 1106 Securities Payable on Redemption Date.

         Notice of redemption having been given as aforesaid,  the Securities so
to be redeemed  shall,  on the  Redemption  Date,  become due and payable at the
Redemption  Price  therein  specified,  and from and after such date (unless the
Company  shall  default  in the  payment  of the  Redemption  Price and  accrued
interest) such  Securities  shall cease to bear interest.  Upon surrender of any
such Security for redemption in accordance with said notice, such Security shall
be paid by the Company at the Redemption  Price,  together with accrued interest
to the Redemption Date; provided,  however,  that, unless otherwise specified as
contemplated  by Section 301,  installments of interest whose Stated Maturity is
on or prior to the  Redemption  Date  will be  payable  to the  Holders  of such
Securities,  or one or more  Predecessor  Securities,  registered as such at the
close of business on the relevant  Record Dates according to their terms and the
provisions of Section 307.

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

         Section 1107 Securities Redeemed in Part.

         Any Security  which is to be redeemed only in part shall be surrendered
at a Place of Payment therefor (with, if the Company or the Trustee so requires,
due endorsement by, or a written  instrument of transfer in form satisfactory to
the Company and the Trustee duly executed by, the Holder thereof or his attorney
duly  authorized  in writing),  and the Company shall  execute,  and the Trustee
shall  authenticate  and deliver to the Holder of such Security  without service
charge,  a new Security or Securities  of the same series and of like tenor,  of
any authorized  denomination as requested by such Holder, in aggregate principal
amount equal to and in exchange for the  unredeemed  portion of the principal of
the Security so surrendered.

                                      -59-
<PAGE>

                                 ARTICLE TWELVE

                                  Sinking Funds

         Section 1201 Applicability of Article.

         The  provisions of this Article shall be applicable to any sinking fund
for the retirement of Securities of any series except as otherwise  specified as
contemplated by Section 301 for such Securities.

         The minimum  amount of any sinking  fund  payment  provided  for by the
terms of any  Securities  is herein  referred to as a  "mandatory  sinking  fund
payment",  and any payment in excess of such minimum amount  provided for by the
terms of such  Securities  is herein  referred to as an  "optional  sinking fund
payment". If provided for by the terms of any Securities, the cash amount of any
sinking fund  payment may be subject to  reduction as provided in Section  1202.
Each sinking fund payment  shall be applied to the  redemption  of Securities as
provided for by the terms of such Securities.

         Section 1202 Satisfaction of Sinking Fund Payments with Securities.

         The Company (1) may deliver  Outstanding  Securities of a series (other
than  any  previously  called  for  redemption)  and (2) may  apply  as a credit
Securities  of a series which have been  redeemed  either at the election of the
Company  pursuant to the terms of such  Securities or through the application of
permitted  optional  sinking  fund  payments  pursuant  to  the  terms  of  such
Securities,  in each case in satisfaction of all or any part of any sinking fund
payment  with  respect to any  Securities  of such  series  required  to be made
pursuant to the terms of such  Securities  as and to the extent  provided for by
the terms of such  Securities;  provided  that the  Securities to be so credited
have not been previously so credited.  The Securities to be so credited shall be
received and credited for such purpose by the Trustee at the  Redemption  Price,
as  specified  in the  Securities  so to be  redeemed,  for  redemption  through
operation of the sinking fund and the amount of such sinking fund payment  shall
be reduced accordingly.

         Section 1203 Redemption of Securities for Sinking Fund.

         Not less than 30 days prior to each  sinking  fund payment date for any
Securities,  the Company will  deliver to the Trustee an  Officers'  Certificate
specifying  the  amount  of the  next  ensuing  sinking  fund  payment  for such
Securities  pursuant to the terms of such Securities,  the portion  thereof,  if
any,  which is to be  satisfied by payment of cash and the portion  thereof,  if
any, which is to be satisfied by delivering and crediting Securities pursuant to
Section  1202 and will also  deliver  to the  Trustee  any  Securities  to be so
delivered.  Not less than 15 days prior to each such sinking fund payment  date,
the Trustee  shall select the  Securities  to be redeemed upon such sinking fund
payment  date in the manner  specified  in Section  1103 and cause notice of the
redemption  thereof to be given in the name of and at the expense of the Company
in the manner provided in Section 1104. Such notice having been duly given,  the
redemption  of such  Securities  shall be made upon the terms and in the  manner
stated in Sections 1106 and 1107.

                                      -60-
<PAGE>

                                ARTICLE THIRTEEN

                       Defeasance and Covenant Defeasance

         Section  1301  Company's  Option  to  Effect   Defeasance  or  Covenant
Defeasance.

         The Company may elect,  at its option at any time, to have Section 1302
or Section 1303 applied to any  Securities or any series of  Securities,  as the
case may be, designated  pursuant to Section 301 as being defeasible pursuant to
such  Section  1302 or 1303,  in  accordance  with any  applicable  requirements
provided  pursuant to Section 301 and upon  compliance  with the  conditions set
forth below in this  Article.  Any such  election  shall be evidenced by a Board
Resolution or in another  manner  specified as  contemplated  by Section 301 for
such Securities.

         Section 1302 Defeasance and Discharge.

         Upon the Company's exercise of its option (if any) to have this Section
applied to any Securities or any series of  Securities,  as the case may be, the
Company shall be deemed to have been  discharged from its  obligations,  and the
provisions of Article Fourteen shall cease to be effective, with respect to such
Securities as provided in this Section on and after the date the  conditions set
forth in Section 1304 are satisfied (hereinafter called "Defeasance").  For this
purpose, such Defeasance means that the Company shall be deemed to have paid and
discharged the entire  indebtedness  represented by such  Securities and to have
satisfied all its other  obligations  under such  Securities  and this Indenture
insofar as such Securities are concerned (and the Trustee, at the expense of the
Company,  shall execute proper instruments  acknowledging the same),  subject to
the  following  which shall  survive  until  otherwise  terminated or discharged
hereunder:  (a) the rights of Holders of such Securities to receive, solely from
the trust fund  described  in  Section  1304 and as more fully set forth in such
Section, payments in respect of the principal of and any premium and interest on
such  Securities  when  payments are due,  (b) the  Company's  obligations  with
respect to such Securities  under Sections 304, 305, 306, 1002 and 1003, (c) the
rights,  powers,  trusts, duties and immunities of the Trustee hereunder and (d)
this Article.  Subject to compliance with this Article, the Company may exercise
its  option  (if  any)  to  have  this   Section   applied  to  any   Securities
notwithstanding  the prior  exercise of its option (if any) to have Section 1303
applied to such Securities.

         Section 1303 Covenant Defeasance.

         Upon the Company's exercise of its option (if any) to have this Section
applied to any Securities or any series of  Securities,  as the case may be, (a)
the Company shall be released from its  obligations  under clause (c) of Section
801, Sections 1006 through 1008, inclusive,  and any covenants provided pursuant
to clause (r) of Section 301 or clause (b) or (g) of Section 901 for the benefit
of the Holders of such Securities, and (b) the occurrence of any event specified
in clause (d) of Section 501 (with  respect to any of clause (c) of Section 801,
Sections 1006 through 1008, inclusive,  and any such covenants provided pursuant
to clause (r) of Section 301 or clause (b) or (g) of Section 901 shall be deemed
not to be or result in an Event of Default,  and (c) the  provisions  of Article
Fourteen  shall  cease  to be  effective,  in each  case  with  respect  to such

                                      -61-
<PAGE>

Securities as provided in this Section on and after the date the  conditions set
forth in Section 1304 are satisfied (hereinafter called "Covenant  Defeasance").
For this purpose,  such  Covenant  Defeasance  means that,  with respect to such
Securities,  the Company may omit to comply with and shall have no  liability in
respect of any term,  condition or  limitation  set forth in any such  specified
Section (to the extent so specified in the case of clause (d) of Section 501) or
Article  Fourteen,  whether  directly or  indirectly  by reason of any reference
elsewhere herein to any such Section or Article or by reason of any reference in
any such  Section  or  Article  to any  other  provision  herein or in any other
document,  but the  remainder of this  Indenture  and such  Securities  shall be
unaffected thereby.

         Section 1304 Conditions to Defeasance or Covenant Defeasance.

         The following  shall be the  conditions to the  application  of Section
1302 or Section 1303 to any Securities or any series of Securities,  as the case
may be:

                  (a) The Company shall  irrevocably have deposited or caused to
         be deposited with the Trustee (or another  trustee which  satisfies the
         requirements  contemplated by Section 609 and agrees to comply with the
         provisions  of this Article  applicable  to it) as trust funds in trust
         for the purpose of making the following payments,  specifically pledged
         as security for, and  dedicated  solely to, the benefits of the Holders
         of such  Securities,  (i) money in an amount,  or (ii) U.S.  Government
         Obligations  which  through  the  scheduled  payment of  principal  and
         interest  in  respect  thereof  in  accordance  with  their  terms will
         provide,  not later than one day  before  the due date of any  payment,
         money  in an  amount,  or (iii) a  combination  thereof,  in each  case
         sufficient,   in  the  opinion  of  a  nationally  recognized  firm  of
         independent  public  accountants  expressed in a written  certification
         thereof delivered to the Trustee, to pay and discharge, and which shall
         be applied by the Trustee (or any such other qualifying trustee) to pay
         and  discharge,  the  principal of and any premium and interest on such
         Securities on the respective Stated Maturities,  in accordance with the
         terms of this  Indenture  and such  Securities.  As used herein,  "U.S.
         Government  Obligation"  means (x) any  security  which is (i) a direct
         obligation of the United States of America for the payment of which the
         full  faith and  credit of the  United  States of America is pledged or
         (ii) an obligation  of a Person  controlled or supervised by and acting
         as an agency or  instrumentality  of the United  States of America  the
         payment  of which is  unconditionally  guaranteed  as a full  faith and
         credit  obligation  by the United States of America,  which,  in either
         case (i) or (ii),  is not callable or  redeemable  at the option of the
         issuer  thereof,  and (y) any  depositary  receipt issued by a bank (as
         defined in Section  3(a)(2) of the  Securities  Act) as custodian  with
         respect to any U.S. Government  Obligation which is specified in Clause
         (x) above and held by such bank for the  account  of the holder of such
         depositary  receipt,  or  with  respect  to  any  specific  payment  of
         principal of or interest on any U.S. Government  Obligation which is so
         specified  and held,  provided  that  (except as  required by law) such
         custodian  is not  authorized  to make any  deduction  from the  amount
         payable  to the  holder  of such  depositary  receipt  from any  amount
         received by the custodian in respect of the U.S. Government  Obligation
         or the  specific  payment of  principal  or interest  evidenced by such
         depositary receipt.

                                      -62-
<PAGE>

                  (b) In the event of an election to have  Section 1302 apply to
         any  Securities  or any series of  Securities,  as the case may be, the
         Company  shall  have  delivered  to the  Trustee  an Opinion of Counsel
         stating  that (i) the  Company  has  received  from,  or there has been
         published by, the Internal  Revenue  Service a ruling or (ii) since the
         date of this  instrument,  there  has been a change  in the  applicable
         Federal  income tax law, in either case (i) or (ii) to the effect that,
         and based thereon such opinion shall confirm that,  the Holders of such
         Securities  will not  recognize  gain or loss for  Federal  income  tax
         purposes as a result of the  deposit,  Defeasance  and  discharge to be
         effected with respect to such Securities and will be subject to Federal
         income tax on the same amount, in the same manner and at the same times
         as would be the case if such deposit, Defeasance and discharge were not
         to occur.

                  (c) In the event of an election to have  Section 1303 apply to
         any  Securities  or any series of  Securities,  as the case may be, the
         Company  shall have  delivered  to the Trustee an Opinion of Counsel to
         the effect that the Holders of such  Securities will not recognize gain
         or loss for Federal  income tax purposes as a result of the deposit and
         Covenant  Defeasance to be effected with respect to such Securities and
         will be subject to Federal  income tax on the same amount,  in the same
         manner and at the same times as would be the case if such  deposit  and
         Covenant Defeasance were not to occur.

                  (d)  The  Company  shall  have  delivered  to the  Trustee  an
         Officer's  Certificate  to the effect that neither such  Securities nor
         any  other  Securities  of the  same  series,  if  then  listed  on any
         securities exchange, will be delisted as a result of such deposit.

                  (e) No event  which  is,  or after  notice or lapse of time or
         both would become,  an Event of Default with respect to such Securities
         or any other  Securities  shall have  occurred and be continuing at the
         time of such  deposit or, with  regard to any such event  specified  in
         clause (e) or (f) of Section  501,  at any time on or prior to the 90th
         day  after the date of such  deposit  (it  being  understood  that this
         condition shall not be deemed satisfied until after such 90th day).

                  (f) Such Defeasance or Covenant Defeasance shall not cause the
         Trustee to have a conflicting  interest within the meaning of the Trust
         Indenture  Act  (assuming  all  Securities  are in  default  within the
         meaning of such Act).

                  (g) Such Defeasance or Covenant Defeasance shall not result in
         a breach or  violation  of, or  constitute a default  under,  any other
         agreement or  instrument to which the Company is a party or by which it
         is bound.

                  (h) Such Defeasance or Covenant Defeasance shall not result in
         the trust arising from such deposit  constituting an investment company
         within the  meaning of the  Investment  Company  Act unless  such trust
         shall  be  registered  under  such  Act  or  exempt  from  registration
         thereunder.

                                      -63-
<PAGE>

                  (i) At the time of such deposit, (i) no default in the payment
         of any  principal  of or premium or  interest  on any Senior Debt shall
         have occurred and be continuing,  (ii) no event of default with respect
         to any Senior Debt shall have  resulted  in such Senior Debt  becoming,
         and  continuing  to be, due and  payable  prior to the date on which it
         would  otherwise  have become due and payable  (unless  payment of such
         Senior  Debt has been made or duly  provided  for),  and (iii) no other
         event of default  with  respect to any Senior Debt shall have  occurred
         and be  continuing  permitting  (after notice or lapse of time or both)
         the  holders  of such  Senior  Debt (or a  trustee  on  behalf  of such
         holders) to declare such Senior Debt due and payable  prior to the date
         on which it would otherwise have become due and payable.

                  (j)  The  Company  shall  have  delivered  to the  Trustee  an
         Officer's  Certificate and an Opinion of Counsel, each stating that all
         conditions  precedent  with  respect  to such  Defeasance  or  Covenant
         Defeasance have been complied with.

         Section 1305 Deposited Money and U.S. Government Obligations to Be Held
in Trust; Miscellaneous Provisions.

         Subject to the  provisions of the last  paragraph of Section 1003,  all
money and U.S. Government Obligations (including the proceeds thereof) deposited
with the  Trustee or other  qualifying  trustee  (solely  for  purposes  of this
Section and Section 1306, the Trustee and any such other trustee are referred to
collectively  as the  "Trustee")  pursuant  to  Section  1304 in  respect of any
Securities shall be held in trust and applied by the Trustee, in accordance with
the provisions of such  Securities and this  Indenture,  to the payment,  either
directly or through any such Paying Agent  (including  the Company acting as its
own  Paying  Agent)  as the  Trustee  may  determine,  to the  Holders  of  such
Securities,  of all sums due and to become due  thereon in respect of  principal
and any premium and interest,  but money so held in trust need not be segregated
from other funds except to the extent required by law. Money and U.S. Government
Obligations  so held in trust shall not be subject to the  provisions of Article
Fourteen.

         The Company shall pay and indemnify the Trustee against any tax, fee or
other  charge  imposed on or assessed  against the U.S.  Government  Obligations
deposited  pursuant to Section 1304 or the  principal  and interest  received in
respect thereof other than any such tax, fee or other charge which by law is for
the account of the Holders of Outstanding Securities.

         Anything in this Article to the contrary  notwithstanding,  the Trustee
shall  deliver or pay to the Company from time to time upon Company  Request any
money or U.S. Government Obligations held by it as provided in Section 1304 with
respect to any Securities which, in the opinion of a nationally  recognized firm
of independent public accountants  expressed in a written  certification thereof
delivered to the Trustee,  are in excess of the amount  thereof which would then
be required to be deposited to effect the Defeasance or Covenant Defeasance,  as
the case may be, with respect to such Securities.

                                      -64-
<PAGE>

         Section 1306 Reinstatement.

         If the  Trustee  or the  Paying  Agent is  unable to apply any money in
accordance  with this Article with  respect to any  Securities  by reason of any
order or judgment of any court or governmental authority enjoining,  restraining
or otherwise  prohibiting  such  application,  then the  obligations  under this
Indenture  and such  Securities  from which the Company has been  discharged  or
released  pursuant to Section  1302 or 1303 shall be revived and  reinstated  as
though no deposit had  occurred  pursuant to this  Article  with respect to such
Securities, until such time as the Trustee or Paying Agent is permitted to apply
all money held in trust pursuant to Section 1305 with respect to such Securities
in accordance with this Article;  provided,  however,  that if the Company makes
any payment of  principal  of or any  premium or  interest on any such  Security
following such reinstatement of its obligations, the Company shall be subrogated
to the rights (if any) of the Holders of such Securities to receive such payment
from the money so held in trust.

         This instrument may be executed in any number of counterparts,  each of
which so executed shall be deemed to be an original,  but all such  counterparts
shall  together  constitute  but one and the same  instrument.  In  proving  the
existence  of this  Indenture it shall not be necessary to produce more than one
copy.

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

                                         American Tower Corporation

                                         By..............................

Attest:

 ...................

         ..........................

         By........................

Attest:

 ...................

                                      -65-
<PAGE>

STATE OF NEW YORK          )
                           )  ss.:
COUNTY OF NEW YORK                 )

         On the  ....  day of  ...........,  ....,  before  me  personally  came
 ...........................,  to me  known,  who,  being by me duly  sworn,  did
depose      and     say     that     he     is      ....................      of
 .................................,  one of  the  corporations  described  in and
which  executed  the  foregoing  instrument;  that  he  knows  the  seal of said
corporation;  that the seal affixed to said  instrument is such corporate  seal;
that  it was so  affixed  by  authority  of  the  Board  of  Directors  of  said
corporation; and that he signed his name thereto by like authority.

                                                        .....................

STATE OF NEW YORK          )
                           )  ss.:
COUNTY OF NEW YORK                 )

         On the  ....  day of  ...........,  ....,  before  me  personally  came
 ...........................,  to me  known,  who,  being by me duly  sworn,  did
depose      and     say     that     he     is      ....................      of
 .................................,  one of  the  corporations  described  in and
which  executed  the  foregoing  instrument;  that  he  knows  the  seal of said
corporation;  that the seal affixed to said  instrument is such corporate  seal;
that  it was so  affixed  by  authority  of  the  Board  of  Directors  of  said
corporation; and that he signed his name thereto by like authority.

                                                         ....................

                                      -66-<PAGE>

                               SHAREHOLDER AGREEMENT

     This Agreement dated as of  May 22, 2000 (the "Shareholder Agreement") by
and between Michael Foods, Inc., a Minnesota corporation ("Michael") and the
Shareholders of Michael listed on Schedule I (individually "Shareholder" and
collectively "Shareholders").

     WHEREAS, Michael is a publicly-held corporation whose common stock is
traded on the NASDAQ National Market System ("NASDAQ-NMS"); and

     WHEREAS, the Shareholders desire to sell an aggregate of 1,500,000 shares
of common stock of Michael (the "Shares") and Michael desires to purchase such
Shares, in each case subject to the execution and delivery of this Shareholder
Agreement;

     NOW, THEREFORE, in consideration of the foregoing and of the terms and
conditions hereinafter set forth, the parties agree as follows:

SECTION 1.          CERTAIN DEFINITIONS

     As used in this Shareholder Agreement, the following terms shall have the
following meanings:

     (a)  "AFFILIATE" shall mean, as applied to a specified Person, any other
Person that directly or indirectly through one or more intermediaries, Controls,
or is Controlled by, or is under common Control with, such specified Person.

     (b)  "BENEFICIALLY OWN  OR "BENEFICIAL OWNERSHIP" with respect to any
securities shall mean having "Beneficial Ownership" of such securities in
accordance with the provisions of Rule 13d-3 under the Exchange Act, except that
a Person shall be deemed to be the Beneficial Owner of a security if that Person
has the right to acquire Beneficial Ownership of such security without giving
effect to the sixty (60) day provision provided under such rule.  Without
duplicative counting of the same securities by the same Holder, Equity
Securities Beneficially Owned by a Person shall include Equity Securities
Beneficially Owned by all other Persons with whom such Person would constitute a
Group.

<PAGE>

     (c)  "BUSINESS DAY" shall mean any day that is not a Saturday, a Sunday, a
bank holiday or any other day on which commercial banking institutions in
Minneapolis, Minnesota, are not generally open for business.

     (d)  "CLOSING" shall have the meaning set forth in Section 4(b) hereof.

     (e)  "CONTROL" shall mean, with respect to a specified Person, the position
or the possession, directly or indirectly, of the power to direct, cause the
direction of, or substantially influence the management and policies of such
Person, whether through the ownership of voting securities, partnership
interests or other ownership interests, or by contract or otherwise; provided
that, in any event, any Person who owns directly or indirectly ten percent (10%)
or more of the securities having ordinary voting power for the election of
directors or other governing body of a corporation or ten percent (10%) or more
of the partnership interests or other ownership interests of any other Person
shall be deemed to Control such corporation or other Person.

     (f)  "EXCHANGE ACT" shall mean the Securities Exchange Act of 1934, as
amended, or any similar federal statute, and the rules and regulations of the
SEC thereunder, all as the same shall be in effect from time to time.

     (g)  "EQUITY SECURITIES" shall mean: (i) any and all shares of capital
stock of Michael; and (ii) any other securities, warrants, options or rights of
any nature (whether or not issued by Michael) that are convertible into any,
exchangeable for, or exercisable for the purchase of, or otherwise give the
Holder thereof any rights in respect of, shares of capital stock of Michael.

     (h)  "GOVERNMENTAL AUTHORITY" shall mean any nation or government, any
state or other political subdivision thereof and any entity exercising
executive, legislative, judicial, regulatory or administrative functions of or
pertaining to government.

     (i)  "GROUP" shall mean two or more Persons acting together for the purpose
of acquiring, holding, voting or disposing of Equity Securities, which Persons
would be required to file a statement on Schedule 13D or 13G with the SEC as a
"Person" within the meaning of Section 13(d)(3) of the

                                         -2-
<PAGE>

Exchange Act if such Persons Beneficially Owned sufficient securities to require
such a filing under the Exchange Act.

     (j)  "HOLDER" shall mean any Shareholder that owns common stock of Michael.

     (k)  "PERSON" shall mean an individual, partnership, corporation, business
trust, joint stock company, trust, unincorporated association, joint venture or
other entity of whatever nature.

     (l)  "REGISTRABLE SECURITIES" means any Equity Securities Beneficially
Owned by a Shareholder as of the date of this Shareholder Agreement and any
Equity Securities issued in respect thereof as a result of a stock dividend,
stock split, recapitalization, merger or other similar transaction with respect
to such Equity Securities Beneficially Owned.

     (m)  "REQUIREMENT OF LAW" shall mean, as to any specified Person, any law,
treaty, rule or regulation of any Governmental Authority applicable to such
Person or any of its property or to which such Person or any of its property is
subject.

     (n)  "SEC' shall mean the Securities and Exchange Commission or its
successor.

     (o)  "SECURITIES ACT" shall mean the Securities Act of 1933, as amended, or
any similar federal statute, and the rules and regulations of the SEC
thereunder, all as the same shall be in effect from time to time, and a
reference to a particular section thereof shall be deemed to include a reference
to the comparable section, if any, of any similar federal statute.

     (p)  The "TOTAL VOTING POWER" at any measurement date shall mean the total
number of votes which could have been cast in an election of directors of
Michael had a meeting of the shareholders of Michael been duly held based upon a
record date as of the measurement date if all Equity Securities then outstanding
and entitled to vote at such meeting were present and voted to the fullest
extent possible at such meeting.

SECTION 2.          REPRESENTATIONS AND WARRANTIES OF MICHAEL

     Michael represents and warrants to the Shareholders that:

                                         -3-
<PAGE>

     (a)  Michael has been duly incorporated and is validly existing and in good
standing as a corporation under the laws of the State of Minnesota, with
corporate power to transact in all material respects its business as now
conducted by it, to enter into this Shareholder Agreement, and to perform its
obligations hereunder.

     (b)  This Shareholder Agreement has been duly authorized, executed and
delivered by Michael and constitutes a legal, valid and binding agreement of
Michael, enforceable against Michael in accordance with its terms, except as
such enforceability may be limited by bankruptcy, insolvency, reorganization,
moratorium and other similar laws relating to or affecting creditors generally,
by general equity principles (regardless of whether such enforceability is
considered in a proceeding in equity or at law) or by an implied covenant of
good faith and fair dealing.

     (c)  Except as otherwise contemplated in this Shareholder Agreement, no
consent, approval or authorization of, or filing, registration, qualification,
declaration or designation with, any Governmental Authority is required on the
part of Michael as a condition to the valid execution, delivery and performance
of this Shareholder Agreement by Michael, except where the absence of any such
consent, approval or authorization of, or the failure to make any such filing,
registration, qualification, declaration or designation with any Governmental
Authority would not have a material adverse effect on Michael and its
subsidiaries taken as a whole or materially impair Michael's ability to perform
its obligations hereunder.

     (d)  The execution, delivery and performance by Michael of this Shareholder
Agreement will not: (i) conflict with the Articles of Incorporation or Bylaws of
Michael, as amended; (ii) conflict with, result in a violation or breach of, or
constitute (with or without notice or lapse of time or both) a default (or give
rise to any third-party right of termination, cancellation, material
modification or acceleration) under, any of the terms, conditions or provisions
of any trust agreement, voting agreement, shareholders agreement, voting trust,
note, bond, mortgage, indenture, license, contract, commitment, arrangement,
understanding, agreement or other instrument or obligation of any kind affecting
Michael or to which

                                         -4-
<PAGE>

Michael is a party or by which any of its properties or assets are or may be
bound; (iii) violate any Requirement of Law applicable to Michael; or (iv)
violate any order, injunction, judgment or decree of any court or other
Governmental Authority or any determination of an arbitrator applicable to
Michael or any of Michael's properties or assets, except where such conflict,
breach or other default under clause (ii) or any such violation under clauses
(iii) or (iv) would not have a material adverse effect on Michael and its
subsidiaries taken as a whole or materially impair Michael's ability to perform
its obligations hereunder.

SECTION 3.          REPRESENTATIONS AND WARRANTIES OF THE SHAREHOLDERS

     Each Shareholder severally represents and warrants to Michael that:

     (a)  Such Shareholder has the legal capacity, power and authority to enter
into and perform all of such Shareholder's obligations under this Shareholder
Agreement.  This Shareholder Agreement has been duly executed and delivered by
each Shareholder and constitutes a legal, valid and binding agreement of each
Shareholder, enforceable against each Shareholder in accordance with its terms,
except as such enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium and other similar laws relating to or affecting
creditors generally, by general equity principles (regardless of whether such
enforceability is considered in a proceeding in equity or at law) or by an
implied covenant of good faith and fair dealing.  If such Shareholder is married
and such Shareholder's Equity Securities constitute community property, this
Shareholder Agreement has been duly authorized, executed and delivered by, and
constitutes a legal, valid and binding agreement of such Shareholder's spouse,
enforceable against such Person in accordance with its terms, except as such
enforceability may be limited by bankruptcy, insolvency, reorganization,
moratorium and other similar laws relating to or affecting creditors generally,
by general equity principles (regardless of whether such enforceability is
considered in a proceeding in equity or at law) or by an implied covenant of
good faith and fair dealing.

     (b)  No consent, approval or authorization of, or filing, registration,
qualification, declaration or designation with, any Governmental Authority is
required on the part of such Shareholder as a

                                         -5-
<PAGE>

condition to the valid execution, delivery and performance of this Shareholder
Agreement by such Shareholder.

     (c)  The execution, delivery and performance by such Shareholder of this
Shareholder Agreement will not: (i) conflict with, result in a violation or
breach of, or constitute (with or without notice or lapse of time or both) a
default (or give rise to any third-party right of termination, cancellation,
material modification or acceleration) under, any of the terms, conditions or
provisions of any trust agreement, voting agreement, shareholders agreement,
voting trust, note, bond, mortgage, indenture, license, contract, commitment,
arrangement, understanding, agreement or other instrument or obligation of any
kind affecting such Shareholder or to which such Shareholder is a party or by
which any of such Shareholder's properties or assets are or may be bound; (ii)
violate any Requirement of Law applicable to such Shareholder; or (iii) violate
any order, injunction, judgment or decree of any court or other Governmental
Authority or any determination of an arbitrator applicable to such Shareholder
or any of such Shareholder's properties or assets.

     (d)  Such Shareholder is the sole record and beneficial owner of the Shares
identified in Schedule I as being sold by such Shareholder, and such Shares are
not subject to any claim, option, warrant or other call right, and upon delivery
to Michael at Closing of certificates for such Shares, in transferable form,
Michael will have good legal and beneficial title thereto, free of all liens or
encumbrances of any kind.

SECTION 4.          SALE OF MICHAEL SHARES

     (a)  At the Closing, each of the Shareholders shall sell and deliver to
Michael and Michael shall purchase from each Shareholder, the number of Shares
set forth opposite the Shareholder's name on SCHEDULE I.  The purchase price for
each of the Shares shall be $21.77 per share, that being three percent (3%)
below the average closing price of Michael common stock as reported on the
NASDAQ-NMS for the ten trading days commencing on May 8, 2000 and ending on May
19, 2000.  The purchase price will

                                         -6-
<PAGE>

be paid at Closing by wire transfer of same day funds to the account of each
Shareholder against receipt of certificates for the Shares in transferable form.

     (b)  Closing will be held at the offices of Maun & Simon, PLC in
Minneapolis, Minnesota on the date that this Shareholder Agreement is executed
and delivered by Michael and each of the Shareholders, unless the Shareholders
and Michael agree on a different time, place or manner of Closing.  In addition
to the exchange of the consideration provided in Section 4(a), at the Closing
the Shareholders and Michael will deliver to each other a certificate or
certificates confirming the truth and 'completeness of the representations and
warranties of such party as of the date of Closing and such other documents,
certificates or conveyances as counsel for Michael and the Shareholders shall
reasonably request.

SECTION 5.          COVENANTS OF THE SHAREHOLDERS

     (a)  ACQUISITION OF EQUITY SECURITIES.  Until April 26, 2001 or the first
date that the Shareholders, collectively and in the aggregate, Beneficially Own
Equity Securities representing less than five percent (5%) of the Total Voting
Power, whichever is earlier, no Shareholder shall, directly or indirectly,
acquire, offer to acquire, agree to acquire, become the Beneficial Owner of, or
obtain any rights in respect of, any Equity Securities, by purchase or
otherwise, or take any action in furtherance thereof, if the effect of such
acquisition, agreement or other action would be (either immediately or upon
consummation of any such acquisition, agreement or other action, or expiration
of any period of time provided in any such acquisition, agreement or other
action) to increase the aggregate voting power in the election of directors of
all Equity Securities then Beneficially Owned by all Shareholders (such
aggregate voting power, (the "Aggregate Voting Power") to twenty percent (20%)
or more of the Total Voting Power (such maximum percentage limitation, the
"Maximum Percentage").   Notwithstanding anything to the contrary in this
Section 5(a), the Maximum Percentage may be exceeded if, and solely to the
extent that, the Aggregate Voting Power is or will be increased solely as a
result of a repurchase of any Voting Securities by Michael or any of its
subsidiaries or any other change in Michael's

                                         -7-
<PAGE>

capitalization or by reason of the issuance of stock options by Michael to any
of the Shareholders pursuant to any stock option plan maintained by Michael.

     (b)  NO VOTING TRUSTS. Until April 26, 2001 or the first date that the
Shareholders, collectively and in the aggregate, Beneficially Own Equity
Securities representing less than five percent (5%) of the Total Voting Power,
whichever is earlier, no Shareholder shall deposit any Equity Securities in a
voting trust or subject any Equity Securities to any arrangement or agreement
with respect to the voting of such Equity Securities except for a voting trust
or other arrangement among the Shareholders or any of their Affiliates.

     (c)  NO PROXY SOLICITATION ADVERSE TO BOARD RECOMMENDATION.  Until April
26, 2001 or the first date that the Shareholders, collectively and in the
aggregate, Beneficially Own Equity Securities representing less than five
percent (5%) of the Total Voting Power, whichever is earlier, no Shareholder
shall solicit proxies or become a "participant" in a "solicitation" (as such
terms are defined in Regulation 14A under the Exchange Act) in opposition to the
recommendation of the Board of Directors of Michael with respect to any matter.

     (d)  NO FORMATION OF GROUP.  Until April 26, 2001 or the first date that
the Shareholders, collectively and in the aggregate, Beneficially Own Equity
Securities representing less than five percent (5%) of the Total Voting Power,
whichever is earlier, no Shareholder shall join a partnership, limited
partnership, syndicate or other Group, or otherwise act in concert with any
other Person, for the purpose of acquiring, holding, voting or disposing of
Equity Securities, or otherwise become a "Person" within the meaning of
Section 13(d)(3) of the Exchange Act (in each case other than solely with other
Shareholders or their Affiliates or with such Shareholders' or Affiliates'
representatives for estate planning purposes).

SECTION 6.          ADDITIONAL COVENANTS OF SHAREHOLDERS

     (a) RESTRICTIONS ON DISPOSITION.  Except as otherwise permitted herein, the
Shareholders, individually and collectively, shall not:

                                         -8-
<PAGE>

          (i)   until June 30, 2000, other than the Shares sold pursuant to this
     Shareholder Agreement, sell or offer to sell any Equity Securities; or

          (ii)  during each of the calendar quarters ending September 30, 2000
     and December 31, 2000, sell or offer to sell Equity Securities in excess of
     200,000 shares of Michael common stock, as adjusted for any share dividend,
     stock split or other recapitalization of Equity Securities or;

          (iii) prior to January 1, 2001, pledge, hypothecate or encumber any
     Equity Securities Beneficially Owned by such Shareholder, except to a
     financial institution pursuant to a bona fide pledge, hypothecation or
     encumbrance to secure a bona fide loan for money borrowed to one or more
     Shareholders, provided that, upon foreclosure on such Equity Securities,
     such financial institution has executed and delivered to Michael an
     agreement whereby such financial institution agrees to be legally bound by
     the terms of this Shareholder Agreement as a "Shareholder" as if such
     financial institution were an original signatory hereto.

     (b)  RESTRICTIONS ON DISPOSITION.  Until April 26, 2001 or the first date
that the Shareholders, collectively and in the aggregate, Beneficially Own
Equity Securities representing less than five percent (5%) of the Total Voting
Power, whichever is earlier, the Shareholders, individually or collectively,
shall not:

          (i)   sell or offer to sell Equity Securities having five percent (5%)
     or more of the Total Voting Power of Michael to any Person or Group in any
     single transaction or series of transactions without providing Michael the
     first right to buy such shares as provided in Section 6(c) below; or

          (ii)  sell or offer to sell Equity Securities to any Person or Group
     which the Shareholders have actual knowledge at time of the sale to
     Beneficially Own five percent (5%) or more of the Total Voting Power of
     Michael or, to any Person or Group who, by virtue of the sale or offer,
     would Beneficially Own, five percent (5%) or more of the Total Voting Power
     of

                                         -9-
<PAGE>

     Michael, without in either case, providing to Michael a first right to buy
     such shares as provided in Section 6(c) below.

     (c)  MICHAEL'S FIRST RIGHT TO PURCHASE.  During the period and upon the
occurrence of any event described in Section 6(b)(i) or (ii), the Shareholder or
Shareholders proposing to sell or offer Equity Securities shall provide written
notice thereof to Michael and shall offer to Michael the right to purchase such
Equity Securities.  The notice shall state the number of shares offered and the
price per share and any other conditions of the proposed sale or offer and shall
include a copy of any written document setting forth the terms of the proposed
sale or offer between the Shareholder or Shareholders and the purchaser or
offeree.  Michael shall have twenty (20) days from its receipt of such notice
within which to purchase the Equity Securities so offered.  In the event that
Michael does not complete the purchase within such twenty (20) day period, the
Shareholder or Shareholders sending the notice shall be permitted for a period
of thirty (30) days thereafter to sell Equity Securities equal in number to the
shares offered in such notice free of any restrictions under this Shareholder
Agreement at a price not less than the purchase price per share set forth in
such notice and under terms and conditions no more favorable to the purchaser
than the terms and conditions offered to Michael in such notice.

     (d)  TENDER OFFERS.  The restrictions set forth in Section 6(b) and the
first right to buy set forth in Section 6(c) shall not apply if a tender offer
is made for all or substantially all of the outstanding shares of Michael Common
Stock and the Board of Directors of Michael does not, within seven (7) days of
the commencement of such tender offer, announce its opposition to the tender
offer.  Notwithstanding the foregoing, the following additional terms and
conditions shall apply in the event of the commencement of a tender offer:

          (i)   In the event that one or more of the Shareholders has given
     notice to Michael pursuant to Section 6(c) of this Shareholder Agreement
     and, prior to the exercise of Michael's right to buy, a tender offer is
     commenced for all or substantially all of the outstanding shares of Michael
     Common Stock, Michael shall, within twenty (20) days of the date that such

                                         -10-
<PAGE>

     Shareholder or Shareholders have given such notice, have the right to
     acquire the Equity Securities subject to the notice at the higher of the
     price offered by the Shareholder or Shareholders in the notice or the
     tender offer price, regardless of whether Michael's Board of Directors has
     announced its opposition to such tender offer.

          (ii)  In the event that one or more of the Shareholders has given
     notice to Michael pursuant to Section 6(c) of this Shareholder Agreement
     and, subsequent to the exercise of Michael's right to buy, either a tender
     offer is commenced for all or substantially all of the outstanding shares
     of Michael Common Stock or the Board of Directors rescinds its earlier
     opposition to such tender offer, Michael shall have the option of (A)
     rescinding its agreement to purchase the shares from the Shareholder or
     Shareholders within two (2) days after the commencement of such tender
     offer or the announcement by the Board of the rescission of opposition to
     the tender offer, or (B) acquiring such shares at the higher of the price
     offered by the Shareholder or Shareholders in the notice or the tender
     offer price.

SECTION 7.          LEGEND

     All certificates representing shares of common stock of Michael which are
subject to this Shareholder Agreement shall bear the following legend:

          "The shares represented by this certificate are subject to certain
     restrictions on the transfer, sale or other disposition of the shares
     pursuant to an agreement dated  May 22, 2000, between the issuer and the
     registered owner hereof, a copy of which may be obtained from the secretary
     of the corporation."

     The Shareholders shall promptly deliver all certificates for Equity
Securities to the secretary of Michael who shall place the foregoing legend on
the certificates.  The Secretary of Michael shall promptly return the legended
certificates to the Shareholders.

                                         -11-
<PAGE>

SECTION 8.          DIRECTORS

     For a period of three years from the date of this Agreement, if the
Shareholders collectively own ten percent (10%) or more of the outstanding
common stock of Michael, they shall be entitled to nominate two (2) persons to
stand for election as directors of Michael.  During such three-year period, if
the Shareholders own less than ten percent (10%), but more than five percent
(5%), of the outstanding common stock of Michael, they shall be entitled to
nominate one (1) person to stand for election as a director of Michael.  Within
thirty (30) days following the end of each calendar year the Shareholders shall
give notice to Michael of the nominees of the Shareholders.  No director serving
as a nominee of the Shareholders shall be required to resign as a result of a
decline in the Shareholders' percentage ownership of common stock of Michael.
If either Stephen Papetti or Arthur J. Papetti voluntarily terminate employment
with the Company and its subsidiaries while he is serving as a director of the
Company, he will tender his resignation from the Board but the Board of
Directors shall not be required to accept such resignation.

SECTION 9.          REGISTRATION RIGHTS

     (a)  REQUESTED REGISTRATION.  Until April 26, 2001 or the date that all of
the shares of Michael common stock Beneficially Owned by the Shareholders are
eligible for sale under Rule 144 of the SEC without any volume limitation,
whichever is earlier, subject to the following provisions a Shareholder may
request that Michael register all or a portion of his Registrable Securities.
If Michael shall receive a written request from one or more Shareholders that
Michael effect the registration under the Securities Act of all or a part of
such Shareholders' Registrable Securities, then Michael will, within ten (10)
days after receipt thereof, give notice to all other Shareholders of the receipt
of such request and each such holder may elect by written notice received by
Michael within ten (10) days from the date of the notice by Michael to have all
or part of his Registrable Securities included in such registration.  Upon
receipt of such notice, Michael will, as soon as practicable, use reasonable
efforts to effect the registration on Form S-3 and pursuant to Rule 415 (the
"Resale Registration Statement") under the Securities Act of all

                                         -12-
<PAGE>

Registrable Securities which it has been so requested to register covering
resales from time to time of such Registrable Securities and Michael shall use
its reasonable best efforts to: (i) cause the Resale Registration Statement to
be declared effective by the SEC as soon as practicable thereafter; and (ii)
maintain the effectiveness of the Resale Registration Statement continuously
until the earliest of:  (A) the date on which the Shareholders no longer hold
Registrable Securities registered under the Resale Registration Statement or (B)
the third anniversary of this Shareholder Agreement or such lesser time as may
be permitted under Rule 144 under the Securities Act to enable the Shareholders
to sell the Registrable Securities under the Securities Act without such
registration.  Michael: (i) shall not be obligated to cause any special audit to
be undertaken in connection with any such registration; (ii) shall be entitled
to postpone for a reasonable period of time, but not in excess of ninety (90)
days, the filing of any registration statement otherwise required to be prepared
pursuant to this section if Michael is, at such time, conducting or about to
conduct an underwritten public offering of Equity Securities (or securities
convertible into Equity Securities) and is advised in writing by its managing
underwriter that such underwritten public offer would, in its opinion, be
adversely effected by the registration so requested; and (iii) shall be entitled
to postpone such requested registration for up to ninety (90) days if Michael
determines, in view of the advisability of deferring public disclosure of
material corporate developments or other information, that such registration and
the disclosure required to be made pursuant thereto would not be in the best
interest of Michael at such time.

     (b)  EFFECTIVE REGISTRATION.  A registration pursuant to this Section 9
will not be deemed to have been effected unless the Registration Statement has
been declared effective by the SEC; provided, however, that if after such
Registration Statement has been declared effective, the offering of Registrable
Securities pursuant to such Registration Statement is interfered with by any
stop order, injunction or other order or requirement of the SEC or any other
Governmental Authority or court, such Registration Statement will be deemed not
to have been effected during the period of such interference until the offering
of Registrable Securities pursuant to such Registration Statement may legally
resume.

                                         -13-
<PAGE>

     (c)  REGISTRATION EXPENSES.  The Shareholders requesting registration shall
bear all expenses incurred in connection with the registration of the
Registrable Securities pursuant to this Section 9.  Such expenses shall include,
without limitation, all printing, legal and accounting expenses (other than
normal audit expenses) incurred by Michael and all registration and filing fees
imposed by the SEC, any state securities commission or the NASDAQ-NMS, any
brokerage fees or commissions and any taxes of any kind (including, without
limitation, transfer taxes) with respect to any disposition, sale or transfer of
Registrable Securities, and any legal, accounting and other expenses incurred by
such Shareholder.

     (d)  SELECTION OF UNDERWRITER AND INVESTMENT MANAGER.  If a requested
registration pursuant to this Section 9 involves an underwritten offering, the
selling Shareholders shall have the exclusive right to select an investment
banker or bankers and managers to administer the offering.

     (e)  REGISTRATION PROCEDURES.  If and whenever Michael is required to use
its reasonable efforts to cause the registration of any Registrable Securities
under the Securities Act as provided in this  Shareholder Agreement, Michael
will, as expeditiously as reasonably possible: (i) prepare and file with the SEC
such amendments and supplements to such Resale Registration Statement and the
prospectus used in connection therewith and shall timely file with the SEC all
required filings under the Exchange Act as may be necessary to comply with the
provisions of the Securities Act with respect to the disposition of all
Registrable Securities covered by such Resale Registration Statement and to keep
the Resale Registration Statement effective, but only while it shall be required
under the provisions of this Shareholder Agreement to cause the Registration
Statement to remain current; (ii) furnish to each Shareholder seeking
registration hereunder such number of copies of the prospectus included in such
Resale Registration Statement (including each preliminary prospectus and summary
prospectus), and such other documents as each such Shareholder may reasonably
request in order to facilitate the disposition of the Registrable Securities by
such Shareholder but only while it shall be required under the provisions hereof
to cause the Registration Statement to remain current; (iii) use its reasonable
efforts to register or qualify such Registrable Securities covered by such
Resale Registration Statement under such

                                         -14-
<PAGE>

other securities or blue sky laws of such jurisdictions as the Shareholders
shall reasonably request, except that Michael shall not, for any purpose, be
required to qualify generally to do business as a foreign corporation in any
jurisdiction where, but for the requirements of this clause, it would not be
obligated to be so qualified, to subject itself to taxation in any such
jurisdiction, or consent to general service of process in any such jurisdiction;
(iv) use its reasonable efforts to list the Registrable Securities on the
NASDAQ-NMS, if such Registrable Securities are not already so listed.

     (f)  POST-REGISTRATION NOTICES.  Michael shall promptly notify the
Shareholders: (i) when a prospectus or any prospectus supplement or
post-effective amendment (including any required filings under the Exchange Act)
has been filed and, with respect to the Resale Registration Statement or any
post-effective amendment, when the same has become effective; (ii) of any
request by the SEC or any state securities authority for amendments or
supplements to the Resale Registration Statement and prospectus or for
additional information after the Resale Registration Statement has become
effective; (iii) of the issuance by the SEC of any stop order suspending the
effectiveness of the Resale Registration Statement; (iv) of the issuance by any
state securities commission or other regulatory authority of any order
suspending the qualification or exemption from qualification of any of the
Registrable Securities under such state's securities or "blue sky" laws; and (v)
of the happening of any event which makes any statement made in the Resale
Registration Statement or related prospectus untrue or which requires the making
of changes in such Resale Registration Statement or prospectus so that they will
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 light of the circumstances under which they were made, not
misleading.  As soon as practicable, following the expiration of the Suspension
Period (as defined below), Michael shall prepare and file with the SEC and
furnish a supplement or amendment to such prospectus so that, as thereafter
deliverable to the purchasers of such Registrable Securities, such prospectus
will not contain any untrue statement of a material fact or omit to state a
material fact

                                         -15-
<PAGE>

necessary to make the statements therein, in light of the circumstances under
which they were made, not misleading.

     Upon receipt of any notice (a "Suspension Notice") by the Shareholders from
Michael of the happening of any event of the kind described in this
Section 9(g), the Shareholders shall forthwith discontinue disposition of the
Registrable Securities pursuant to the Resale Registration Statement until the
Shareholders' receipt of the copies of the supplemental or amended prospectus
contemplated by this Section 9(g) or until the Shareholders have been advised in
writing (the "Advice") by Michael that the use of the prospectus may be resumed,
and has received copies of any additional or supplemental filings which are
incorporated by reference in the prospectus, and, if so directed by Michael,
will, or will request any broker or dealer acting as the Shareholders' agent(s)
to deliver to Michael (at Michael's expense) all copies, other than permanent
file copies then in the Shareholders' or their brokers' or dealers' possession
of the prospectus covering such Registrable Securities current at the time of
receipt of such notice; provided, however, that in no event shall the period
from the date on which the Shareholders receive a Suspension Notice to the date
which the Shareholders receive either the Advice or copies of the supplemental
or amended prospectus contemplated in this Section 9(g) (the "Suspension
Period") exceed sixty (60) calendar days.

     (g)  INFORMATION.  Michael may require each selling Shareholder to furnish
it with such information regarding such selling Shareholder and pertinent to the
disclosure requirements relating to the registration and the distribution of
such securities as Michael may from time to time reasonably request in writing.

     (h)  UNDERWRITING AGREEMENT.  The selling Shareholders shall execute and
deliver an underwriting agreement in customary form in connection with any
underwritten offering made pursuant to a registration hereunder.

                                         -16-
<PAGE>

SECTION 10.         INDEMNIFICATION AND CONTRIBUTION

     (a)  INDEMNIFICATION BY MICHAEL.  Michael agrees to indemnify and hold
harmless to the full extent permitted by law, each Shareholder from and against
all losses, claims, damages, liabilities and expenses (including, without
limitation, reasonable legal fees and expenses incurred by shareholders
(collectively, the "Damages") to which the Shareholders may become subject under
the Securities Act or otherwise, insofar as such Damages (or proceedings in
respect thereto arise out of or are based upon any untrue or alleged untrue
statement of a material fact contained in the Resale Registration Statement (or
any supplement or amendment thereto, including filings under the Exchange Act)
pursuant to which Registrable Securities were registered under the Securities
Act, or caused by any omission or alleged omission to state therein a material
fact necessary to make the statements therein in light of the circumstances
under which they were made, not misleading, or caused by any untrue statement or
alleged untrue statement of a material fact contained in any prospectus (as
amended or supplemented if Michael shall have furnished any amendments or
supplements thereto), or caused by any omission or alleged omission to state
therein a material fact necessary to make the statements therein in light of the
circumstances under which they were made, not misleading, except insofar as such
Damages arise out of or are based upon any such untrue statement or omission
based upon information relating to the Shareholders furnished in writing to
Michael by the Shareholders specifically for use therein; provided, however,
that Michael shall not be liable to the Shareholders under this Section 10(a) to
the extent that any such Damages were caused by the fact that the Shareholders
sold Registrable Securities to a Person as to who it shall be established that
there was not sent or given, at or prior to written confirmation of such sale, a
copy of the prospectus as then amended or supplemented if, but only if:  (i)
Michael has previously furnished copies of such amended or supplemented
prospectus to the Shareholders; and (ii) such Damages were caused by any untrue
statement or omission or alleged untrue statement or omission contained in the
prospectus so delivered which was corrected in such amended or supplemented
prospectus.

                                         -17-
<PAGE>

     (b)  INDEMNIFICATION BY SHAREHOLDERS.  The Shareholders agree to indemnify,
jointly and severally, and hold harmless Michael, its stockholders, directors,
officers and each Person, if any, who Controls Michael within the meaning of
either Section 15 of the Securities Act or Section 20 of the Exchange Act to the
same extent as the foregoing indemnity from Michael to the Shareholders in
Section 10(a) of this Shareholder Agreement but only with reference to
information relating to the Shareholders furnished in writing to Michael by the
Shareholders specifically for use in the Resale Registration Statement (or any
amendment thereto) or any prospectus (or any amendment or supplement thereto);
provided, however, that the Shareholders shall not be obligated to provide such
indemnity to the extent that such Damages result from a failure of Michael to
promptly amend or take action to correct or supplement any such Resale
Registration Statement or prospectus on the basis of corrected or supplemental
information provided in writing by the Shareholders to Michael expressly for
such purpose.  In no event shall the liability of the Shareholders hereunder be
greater in amount than the amount of the proceeds received by the Shareholders
upon the sale of the Registrable Securities giving rise to such indemnification
obligation.

     (c)  CONTRIBUTION.  To the extent that the indemnification provided for in
Section 10(a) or (b) is unavailable to an indemnified party or insufficient in
respect of any Damages, then each indemnifying party under such Section, 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 Damages in
such proportion as is appropriate to reflect the relative fault of Michael, on
the one hand, and the Shareholders, on the other hand, in connection with the
statements or omissions that resulted in such Damages, as well as any other
relevant equitable considerations.  The relative fault of Michael, on the one
hand, and the Shareholders, 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 Michael or by the Shareholders and the
parties' relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission.

                                         -18-
<PAGE>

     If indemnification is available under Section 10(a) or (b), the
indemnifying parties shall indemnify each indemnified party to the full extent
provided in such sections without regard to the relative fault of said
indemnifying party or the indemnified party or any other equitable
considerations provided for in this Section 10(c).  Michael and the Shareholders
agree that it would not be just or equitable if contribution pursuant to this
Section 10(c) 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 this section.

SECTION 11.         GENERAL PROVISIONS

     (a)  GOVERNING LAW.  This Shareholder Agreement shall be governed by and
interpreted and enforced in accordance with the laws of the State of Minnesota
without giving effect to any conflicts of law provisions.

     (b)  REMEDIES.  Michael, on the one hand, and the Shareholders, on the
other, acknowledge and agree that the other would not have an adequate remedy at
law for money damages in the event that any of the covenants or agreements in
this Shareholder Agreement of such party were not performed in accordance with
its terms, and it is therefore agreed that in addition to and without limiting
any other remedy or right such party may have, any party will have the right to
an injunction or other equitable relief (including specific performance) in any
court of competent jurisdiction, enjoining any such breach and enforcing
specifically the terms and provisions hereof.  All rights, powers and remedies
provided under this Shareholder Agreement or otherwise available in respect
hereof at law or in equity shall be cumulative and not alternative.

     (c)  NOTICES.   All notices, demands and other communications given under
this Shareholder Agreement shall be in writing, shall be given either by
personal delivery or by nationally recognized overnight courier or by
telecopier, and shall be deemed to have been given or made when personally
delivered, one Business Day after delivered to a nationally recognized overnight
courier, postage

                                         -19-
<PAGE>

prepaid, and receipt requested, or one Business Day after transmission by
facsimile, receipt confirmed, addressed as follows:

          (i)   IF TO MICHAEL:

                Gregg A. Ostrander
                Chairman of the Board, President and Chief Executive Officer
                Michael Foods, Inc.
                5353 Wayzata Boulevard
                324 Park National Bank Building
                Minneapolis, Minnesota  55416
                Telephone:  612-546-1500
                Facsimile No.: 612-546-3711

                with a copy to:

                Albert A. Woodward
                Maun & Simon, PLC
                2000 Midwest Plaza Building West
                801 Nicollet Mall
                Minneapolis, Minnesota 55402
                Telephone: 612-904-7400
                Facsimile No.: 612-904-7424

          (ii)  IF TO THE SHAREHOLDERS:

                Arthur J. Papetti
                Alfred Papetti
                Stephen Papetti
                c/o Papetti Holding Company
                877 North Avenue East
                Building 4
                Elizabeth, New Jersey 07206
                Telephone: 908-527-1900
                Facsimile No.: 908-527-1996

                with a copy to:

                Martin B. O'Connor, II            Robert M. LaRose
                O'Connor, Morss & O'Connor        Thompson Coburn LLP
                Liberty Hall Center               One Firstar Plaza
                1085 Morris Avenue                Suite 3400
                Union, New Jersey 07083           St. Louis, Missouri 63101
                Telephone: 908-354-5660           Telephone: 314-552-6068
                Facsimile No.: 908-354-5786       Facsimile No.: 314-552-7068

or to such other address as any such Person  may from time to time designate by
notice to the others.

                                         -20-
<PAGE>

     (d)  SEVERABILITY.  If any term, provision, covenant or restriction of this
Shareholder Agreement is held by a court of competent jurisdiction to be
invalid, void, or unenforceable, the remainder of the terms, provisions,
covenants and restrictions shall remain in full force and effect and shall in no
way be affected, impaired or invalidated.  The parties agree that they will use
their best efforts at all times to support and defend this Shareholder
Agreement.

     (e)  AMENDMENTS.  This Shareholder Agreement may be amended only by an
agreement in writing signed by all of the parties hereto.

     (f)  DESCRIPTIVE HEADINGS.  Descriptive headings are for convenience only
and shall not control or affect the meaning or construction of any provision of
this Shareholder Agreement.

     (g)  COUNTERPARTS.  This Shareholder Agreement shall become binding when
one or more counterparts hereof, individually or taken together, bears the
signatures of each of the parties hereto.  This Shareholder Agreement may be
executed in any number of counterparts, each of which shall be an original as
against the party whose signature appears thereon, or on whose behalf such
counterpart is executed, but all of which when taken together shall be one and
the same statement.

     (h)  SUCCESSORS AND ASSIGNS.  This Shareholder Agreement shall be binding
upon and inure to the benefit of and be enforceable by the successors and
assigns of the parties hereto, provided that a Shareholder may not assign any of
his rights or obligations hereunder to any Person without the prior written
consent of Michael.  Notwithstanding the foregoing, the consent of Michael shall
not be required in connection with the assignment of this Shareholder Agreement
to the estate of a Shareholder.

     (i)  This Shareholder Agreement is intended to supercede any earlier-dated
shareholder agreements, including the Shareholder Agreement dated February 26,
1997, as amended February 25, 2000, in their entirety.  From and after the date
of this Shareholder Agreement, all such earlier-dated shareholder agreements
shall terminate and all rights and obligations of the parties thereto shall be
governed solely by this Shareholder Agreement.

                                         -21-
<PAGE>

IN WITNESS WHEREOF, the parties hereto intending to be legally bound have duly
executed this Shareholder Agreement, all as of the day and year first above
written.

                                        MICHAEL FOODS, INC.

                                        By: /s/ Gregg A. Ostrander
                                           -----------------------------------
                                        Its: Chairman/President/CEO
                                            ----------------------------------

                                        SHAREHOLDERS:

                                        /s/ Stephen Papetti
                                        --------------------------------------
                                        Stephen Papetti

                                        /s/ Alfred Papetti
                                        --------------------------------------
                                        Alfred Papetti

                                        /s/ Arthur J. Papetti
                                        --------------------------------------
                                        Arthur J. Papetti

                                         -22-
<PAGE>

                                     SCHEDULE I
                               LIST OF SHAREHOLDERS

<TABLE>
<CAPTION>
                                                       NUMBER OF
A.   SHAREHOLDERS                                      SHARES SOLD
     ------------                                      -----------
<S>                                                    <C>
     Stephen Papetti                                   375,000
     Alfred Papetti                                    375,000
     Arthur J. Papetti                                 750,000

</TABLE>

                                         -23-

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