Document:

CERTIFICATE OF DESIGNATIONS

Exhibit 4.1

CERTIFICATE OF DESIGNATIONS

of

8% SERIES A REDEEMABLE PREFERRED STOCK

of

ASCENT ENERGY INC.

(Pursuant to Section 151(g) of the
Delaware General
Corporation Law)

        Ascent Energy Inc.,
a corporation organized and existing under the laws of the State of Delaware
(the "Company"), hereby certifies that the following resolution was duly adopted
by the board of directors of the Company (the "Board of Directors") by unanimous
written consent dated _______, 2001, pursuant to Section 151(g) of the Delaware General
Corporation Law:

        RESOLVED, that
pursuant to the authority granted to and vested in the Board of Directors in
accordance with the provisions of the Certificate of Incorporation of the
Company, the Board of Directors hereby creates a series of Preferred Stock, par
value $0.001 per share, of the Company and hereby states the designation and
number of shares, and fixes the relative rights, preferences and limitations
thereof as follows:

        Section
1.     Designation and
Amount.     The shares of this series of Preferred Stock
shall be designated as "8% Series A Redeemable Preferred Stock" (the "Series A
Redeemable Preferred Stock") and the number of shares constituting the Series A
Redeemable Preferred Stock shall be 21,100. Such number of shares may be
increased or decreased at any time by resolution of the Board of Directors;
provided, however, no decrease shall reduce the number of shares of Series A
Redeemable Preferred Stock to a number less than the number of shares then
outstanding plus the number of shares reserved for issuance upon the exercise of
outstanding options, rights, or warrants for, or upon the conversion or exchange
of, any outstanding securities issued by the Company convertible or exchangeable
into, Series A Redeemable Preferred Stock.

        Section
2.     Ranking.     The Series A
Redeemable Preferred Stock shall rank, as to the payment of dividends and the
distribution of the assets upon liquidation, dissolution or winding up of the
Company: (a) on a parity with the Company's Series B Convertible Preferred
Stock, par value $0.001 per share (the "Series B Convertible Preferred Stock"),
(b) senior to or on a parity with all other classes and series of the Company's
preferred stock, and (c) senior to the Company's common stock, par value $0.001
per share ("Common Stock").

        Section
3.     Liquidation.     Upon the
voluntary or involuntary liquidation, winding up or dissolution of the Company
(in connection with the bankruptcy or insolvency of the Company or otherwise),
out of the assets available for distribution to shareholders, the holders of
Series A Redeemable Preferred Stock shall be entitled to receive, in preference
to any payment or distribution to the holders of Common Stock or any other stock
of the Company ranking junior to the Series A Redeemable Preferred Stock, as to
dividends, liquidation, dissolution or winding up, $1,000 per share (the
"Preferred Liquidation Value") plus an amount equal to all Preferred Dividends
(as defined in Section 4 below) (whether or not earned or declared) accrued and
unpaid on each such share up to and including the date of final distribution to
such holders. After the Preferred Liquidation Value and all accrued and unpaid
Preferred Dividends have been paid on the Series A Redeemable Preferred Stock,
the remaining assets shall be paid to the holders of Common Stock and other
junior classes of stock in accordance with their respective priority, if any. In
the event the net assets of the Company are insufficient to pay the holders of
the Series A Redeemable Preferred Stock the full amount of their preference set
forth above and the holders of any other series of capital stock of the Company
ranking on a parity with the Series A Redeemable Preferred Stock the liquidating
payments to which they are entitled, then the remaining net assets of the
Company shall be divided among and paid to the holders of the shares of Series A
Redeemable Preferred Stock and any such other capital stock of the Company
ranking on a parity with the Series A Redeemable Preferred Stock ratably per
share in proportion to the full per share amounts to which they would be
entitled if all amounts payable thereon were paid in full, and the holders of
Common Stock and other junior classes of stock will receive nothing. Neither a
merger or consolidation of the Company with or into any other corporation or
entity nor the sale of all or substantially all of the assets of the Company
shall be deemed to be a liquidation, dissolution or winding up within the
meaning of this provision.

        Section
4.     Dividends.     The Series
A Redeemable Preferred Stock is entitled to receive, out of legally available
funds, preferential cumulative dividends from the issuance date thereof at the
annual rate of eight percent (8%) of the Preferred Liquidation Value per share
("Preferred Dividends"). All Preferred Dividends, if declared by the Board of
Directors, shall be payable quarterly and promptly after the tenth business day
of each January, April, July and October of each year (each, a "Dividend Payment
Date"), commencing on July 10, 2001, to holders of record on the record date,
which the Board of Directors shall fix not more than sixty (60) days or less
than ten (10) days preceding a Dividend Payment Date. As provided below in
Section 7(d), Preferred Dividends shall cease to accrue on shares of Series A
Redeemable Preferred Stock on the date of their redemption. No dividend shall be
declared on any other series or class or classes of stock to which the Series A
Redeemable Preferred Stock ranks prior as to dividends or liquidation, in
respect of any period, nor shall any shares of any such series or class be
redeemed, purchased or otherwise acquired for any consideration (or any money be
paid into any sinking fund or otherwise set apart for the purchase of any such
shares), unless there shall have been or contemporaneously are declared and paid
on all shares of the Series A Redeemable Preferred Stock at the time outstanding
dividends for all quarterly periods coinciding with or ending before such
quarterly period, ratably in proportion to the respective annual dividend rates
per annum fixed therefor. No dividend shall be declared on any other series or
class or classes of stock ranking on a parity with the Series A Redeemable
Preferred Stock, as to dividends, in respect of any quarterly period, nor shall
any shares of any such series or class be redeemed or purchased or otherwise
acquired for any consideration (or any money be paid into any sinking fund or
otherwise set apart for the purchase of any such shares), unless there shall
have been or contemporaneously are declared and paid on all shares of the Series
A Redeemable Preferred Stock at the time outstanding dividends for all quarterly
periods coinciding with or ending before such quarterly period, ratably in
proportion to the respective annual dividend rates per annum fixed therefor.
Preferred Dividends shall also be payable upon any Redemption Date (as defined
in Section 7(c) below) and upon the final distribution date relating to the
dissolution, liquidation or winding up of the Company. Preferred Dividends shall
begin to accrue on outstanding shares of Series A Redeemable Preferred Stock and
to accumulate from the issuance date of such shares whether or not earned or
declared, but Preferred Dividends for any period less than a full quarterly
period between Dividend Payment Dates shall be computed on the basis of a
365-day year for the actual number of days elapsed. Preferred Dividends shall
accrue whether or not there shall be (at the time any such dividend becomes
payable or at any other time) profits, surplus or other funds of the Company
legally available for the payment of dividends. Accumulations of dividends on
shares of Series A Redeemable Preferred Stock shall not bear interest.

        Section
5.     Conversion Rights.     The
Series A Redeemable Preferred Stock is not convertible into or exchangeable for
any securities or other property of the Company.

        Section
6.     Voting Rights.

                   
(a)     Except as set forth below or as otherwise provided
by Delaware law, holders of shares of Series A Redeemable Preferred Stock shall
not be entitled to vote such shares; provided, that in all cases where the
holders of shares of Series A Redeemable Preferred Stock have the right to vote
such shares, such holders shall be entitled to one vote for each such share held
by them.

                   
(b)     Without the affirmative vote of the holders of not
less than a majority of the shares of Series A Redeemable Preferred Stock
outstanding, voting together as a single class, the Company shall not amend or
waive any of the provisions of the Certificate of Incorporation or this
Certificate of Designations, which would materially and adversely affect any
right, preference or privilege of the Series A Redeemable Preferred Stock or of
the holders thereof; provided, however, that any increase in the amount of
authorized Preferred Stock or the creation and/or issuance of other series of
Preferred Stock, in each case ranking on a parity with or junior to the Series A
Redeemable Preferred Stock, shall not be deemed to materially and adversely
affect such rights, preferences or privileges and shall not require the consent
of the holders of the then outstanding Series A Redeemable Preferred Stock; and
provided further, that the authorization and/or issuance of additional shares of
Series A Redeemable Preferred Stock and/or the creation and/or issuance of other
series or classes of preferred stock ranking prior to the Series A Redeemable
Preferred Stock shall be deemed to materially and adversely affect such rights,
preferences and privileges.

        Section
7.     Redemption.

                   
(a)     On the fifth anniversary of the date that the Series
A Redeemable Preferred Stock was issued (the "Mandatory Redemption Date"), the
Company shall redeem from any source of funds legally available therefore, in
the manner provided herein, all of the shares of Series A Redeemable Preferred
Stock then outstanding, at a cash price per share equal to 100% of the Preferred
Liquidation Value plus an amount equal to all Preferred Dividends (whether or
not earned or declared) accrued and unpaid on each such share up to and
including the date fixed for redemption (the "Redemption Price"), in immediately
available funds. Any such redemption shall be conducted in accordance with
Section 7(c) below.

                   
(b)     The Company shall have the right, at any time and
from time to time, on and after the date of issuance, and at its sole option and
election, to redeem the shares of Series A Redeemable Preferred Stock, in whole
or in part, at the Redemption Price. Any such redemption shall be conducted in
accordance with Section 7(c). If less than all the outstanding shares of Series
A Redeemable Preferred Stock are to be redeemed, the number of shares of Series
A Redeemable Preferred Stock to be redeemed shall be as determined by the Board
of Directors. Any such partial redemption shall be effected on a pro rata
basis.

                   
(c)     The Company shall provide each holder of Series A
Redeemable Preferred Stock with a written notice of redemption (addressed to the
holder at its address as it appears on the stock transfer books of the Company),
not earlier than sixty (60) nor later than twenty (20) days before the date
fixed for redemption. The notice of redemption shall specify (i) the date fixed
for redemption (the "Redemption Date"); (ii) whether all or less than all of the
outstanding shares of Series A Redeemable Preferred Stock are to be redeemed and
the total number of shares of the Series A Redeemable Preferred Stock to be
redeemed; (iii) the amount of the Redemption Price; (iv) whether the redemption
is an optional redemption or a mandatory redemption; and (v) that the holder's
are to surrender to the Company, at the place or places the holders of Series A
Redeemable Preferred Stock may obtain payment of the Redemption Price, their
certificates in the manner designated. If funds are available on the date fixed
for redemption, then whether or not shares are surrendered for payment of the
Redemption Price, the shares of Series A Redeemable Preferred Stock shall no
longer be outstanding and the holders thereof shall cease to be Series A
Redeemable Preferred Stock holders of the Company with respect to the shares
redeemed on and after the date fixed for redemption and shall be entitled to
receive the Redemption Price, without interest, upon the surrender of the share
certificate. On or before the applicable Redemption Date, each holder of shares
of Series A Redeemable Preferred Stock to be redeemed on such Redemption Date
shall surrender the certificate or certificates representing such shares to the
Company, duly endorsed, in the manner and at the place designated in the
Redemption Notice and there upon the Redemption Price for such shares shall be
payable in cash to the order of the person whose name appears on such
certificate or certificates as the owner thereof, and each surrendered
certificate shall be cancelled and retired. In the event less than all of the
shares of Series A Redeemable Preferred Stock represented by a certificate are
redeemed, a new certificate representing the unredeemed shares of Series A
Redeemable Preferred Stock shall be issued forthwith. Failure to mail the notice
described in the first sentence of this Section 7(c), or any defect therein or
in the mailing thereof, to any particular holder shall not affect the validity
of the proceeding for the redemption of any shares so to be redeemed from any
other holder. In order to facilitate the redemption of shares of Series A
Redeemable Preferred Stock, the Board of Directors may fix a record date for the
determination of shares of Series A Redeemable Preferred Stock to be redeemed,
or may cause the transfer books of the Company for the Series A Redeemable
Preferred Stock to be closed, not more than sixty (60) days or less than twenty
(20) days prior to the applicable Redemption Date.

                   
(d)     Notice of redemption having been given as provided
in Section 7(c) above, notwithstanding that any certificates for such shares
shall not have been surrendered for cancellation, unless the Company defaults in
the payment in full of the applicable redemption price, from and after the
Redemption Date designated in the notice of redemption (i) the shares
represented thereby shall no longer be deemed outstanding, (ii) the rights to
receive dividends thereon shall cease to accrue and (iii) all rights of the
holders of shares of Series A Redeemable Preferred Stock to be redeemed shall
cease and terminate, excepting only the right to receive the Redemption Price
therefor.

                   
(e)     The Company shall not be required to establish any
sinking or retirement fund with respect to the shares of Series A Redeemable
Preferred Stock.

        Section
8.     Change of Control Redemption.

                   
(a)     Upon the occurrence of a Change of Control (as
defined below) each holder of Series A Redeemable Preferred Stock shall have the
right to require the Company to redeem such Series A Redeemable Preferred Stock,
in cash at a price per share equal to 101% of the Preferred Liquidation Value
plus an amount equal to all Preferred Dividends (whether or not earned or
declared) accrued and unpaid on each such share up to and including the date
fixed for redemption. Any such redemption shall be conducted in accordance with
Section 7(c). For purposes of this Section 8, "Change of Control" means the
occurrence of any of the following events:

  
           
    (i)     any "person" or "group" (within the meaning of
    Section 13(d) or 14(d) of the Securities Exchange Act of 1934, as amended
    (the "Exchange Act")), other than any stockholder that owns individually, or
    with its affiliates, in excess of 25% of the voting power of all classes of
    voting stock of the Company on the initial date of issuance of the Series A
    Preferred Stock, becomes the "beneficial owner" (as defined in Rules 13d-3
    under the Exchange Act, except that a person or entity shall be deemed to
    have "beneficial ownership" of all securities that such person or group has
    the right to acquire, whether such right is exercisable immediately or only
    after the passage of time), directly or indirectly, of more than a majority
    of the voting power of all classes of voting stock of the Company;

           
    (ii)     the direct or indirect sale, lease, exchange or
    other transfer of all or substantially all of the assets of the Company to
    any "person" or "group" (within the meaning of Section 13(d) or 14(d) of the
    Exchange Act), other than a subsidiary or other affiliate of the
Company;

           
    (iii)     the consummation of any consolidation or
    merger of the Company with or into another entity with the effect that the
    stockholders of the Company as of the date of issuance of the Series A
    Redeemable Preferred Stock hold less than 51% of the combined voting power
    of the outstanding voting securities of the surviving entity of such merger
    or the entity resulting from such consolidation ordinarily having the right
    to vote in the election of directors immediately after such merger or
    consolidation;

           
    (iv)     during any consecutive two-year period,
    individuals who at the beginning of such period constituted the Board of
    Directors of the Company (together with any new directors whose election to
    such Board of Directors, or whose nomination for election by the
    stockholders of the Company, was approved by a vote of a majority of the
    directors then still in office who were either directors at the beginning of
    such period or whose election or nomination for election was previously so
    approved) cease for any reason to constitute a majority of the Board of
    Directors of the Company then in office; or

           
    (v)     the Company is liquidated or dissolved or adopts
    a plan of liquidation or dissolution.     
  

                   
(b)     The Company shall provide each holder of Series A
Redeemable Preferred Stock with a written notice of the occurrence of a Change
of Control (addressed to the holder at its address as it appears on the stock
transfer books of the Company), not earlier than sixty (60) nor later than
twenty (20) days before the date of such occurrence. Such notice shall specify
the date for redemption payments to be made, which shall be a date not later
than the date of the occurrence of the Change of Control.

        Section
9.     Failure to Redeem.     If
the Company is unable or shall fail to discharge its obligation to redeem all
outstanding shares of Series A Redeemable Preferred Stock pursuant to Section
7(a) or 8(a) (each, a "Mandatory Redemption Obligation"), such Mandatory
Redemption Obligation shall be discharged as soon as the Company is able to
discharge such Mandatory Redemption Obligation. The shares of Series A
Redeemable Preferred Stock not redeemed shall remain outstanding and entitled to
all the rights and preferences provided herein. If and so long as any Mandatory
Redemption Obligation with respect to the Series A Redeemable Preferred Stock
shall not be fully discharged, the Company shall not declare or make any
dividend or other distribution or, directly or indirectly, redeem, purchase, or
otherwise acquire for any consideration any other series or class or classes of
stock to which the Series A Redeemable Preferred Stock ranks equal or prior as
to dividends or liquidation or discharge any mandatory or optional redemption,
sinking fund or other similar obligation in respect of any such securities
(except in connection with a redemption, sinking fund or other similar
obligation to be satisfied pro rata with the Series A Redeemable Preferred
Stock).

        Section
10.     Reacquired Shares.    
Any shares of Series A Redeemable Preferred Stock converted, exchanged,
redeemed, purchased or otherwise acquired by the Company in any manner
whatsoever shall be retired and canceled promptly after the acquisition thereof.
All such shares shall upon their cancellation become authorized but unissued
shares of Preferred Stock without designation as to series and may be reissued
as part of a new series of Preferred Stock to be created by resolution or
resolutions of the Board of Directors as permitted by the Certificate of
Incorporation or as otherwise permitted under Delaware law.

        Section
11.     Preemptive Rights.    
The Series A Redeemable Preferred Stock is not entitled to any preemptive rights
in respect of any securities of the Company.

        Section
12.     Severability of
Provisions.     Whenever possible, each provision hereof
shall be interpreted in a manner as to be effective and valid under applicable
law, but if any provision hereof is held to be prohibited by or invalid under
applicable law, such provision shall be ineffective only to the extent of such
prohibition or invalidity, without invalidating or otherwise adversely affecting
the remaining provisions hereof. If a court of competent jurisdiction should
determine that a provision hereof would be valid or enforceable if a period of
time were extended or shortened or a particular percentage were increased or
decreased, then such court may make such change as shall be necessary to render
the provision in question effective and valid under applicable law.

        Section
13.     Replacement.     Upon
receipt of evidence satisfactory to the Company (an affidavit of the registered
holder shall be satisfactory) of the ownership and the loss, theft, destruction
or mutilation of any certificate evidencing shares of Series A Redeemable
Preferred Stock, and, in the case of any such loss, theft or destruction, upon
receipt of indemnity reasonably satisfactory to the Company (provided, that, if
the holder is a financial institution or other institutional investor, its own
agreement shall be satisfactory), or, in the case of any such mutilation, upon
surrender of such certificate, the Company shall execute and deliver in lieu of
such certificate a new certificate of like kind representing the number of
shares of Series A Redeemable Preferred Stock of such class represented by such
lost, stolen, destroyed or mutilated certificate and dated the date of the lost,
stolen, destroyed or mutilated certificate, and dividends shall accrue on the
Series A Redeemable Preferred Stock represented by such new certificate from the
date to which dividends have been fully paid on the Series A Redeemable
Preferred Stock represented by the lost, stolen, destroyed or mutilated
certificate.

        Section
14.     Successors and
Transferees.     The provisions applicable to shares of
Series A Redeemable Preferred Stock shall bind and inure to the benefit of and
be enforceable by the Company, the respective successors to the Company, and by
any record holder of shares of Series A Redeemable Preferred Stock.

        IN WITNESS WHEREOF,
Ascent Energy Inc. has caused this Certificate of Designations to be signed by
the undersigned on this __ day of __________, 2001.

		
      ASCENT ENERGY INC.

      By:___________________________
                    
      Jeffrey
      Clarke
                        
      PresidentNumber

Exhibit 4.2

	
      Number
- -
	
       Shares
 - -

		

 

 

ASCENT ENERGY INC.
ORGANIZED UNDER THE LAWS
OF THE STATE OF DELAWARE
8% SERIES A REDEEMABLE PREFERRED STOCK

This Certifies That _________________________ is the registered
holder of________________ shares of 8% Series A Redeemable Preferred Stock,
$0.001 par value, of the above Corporation, which are fully paid and
non-assessable and transferable only on the books of the Corporation by the
holder hereof in person or by duly authorized Attorney upon surrender of this
Certificate properly endorsed.

 

In Witness Whereof, the said Corporation has caused this
Certificate to be signed by its duly authorized officers and its Seal to be
hereunto affixed this ____ day of __________, ______.

 

                                    
_______________________        
_______________________
                                      
               
President                                         
 
Secretary

 

 

PREFERRED

$0.001
par value

STOCK CERTIFICATE

THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR
ANY STATE SECURITIES LAW, AND SUCH SECURITIES MAY NOT BE SOLD, TRANSFERRED OR
OTHERWISE DISPOSED OF UNLESS THE SAME ARE REGISTERED AND QUALIFIED IN ACCORDANCE
WITH THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS, OR IN THE OPINION OF
COUNSEL REASONABLY SATISFACTORY TO THE COMPANY SUCH REGISTRATION AND
QUALIFICATION ARE NOT SO REQUIRED.

ANY STOCKHOLDER MAY OBTAIN WITHOUT CHARGE, BY REQUEST TO THE
OFFICE OF THE SECRETARY OF THE COMPANY, A COPY OF A STATEMENT OF THE RIGHTS,
PREFERENCES, PRIVILEGES AND RESTRICTIONS GRANTED TO OR IMPOSED UPON THE SHARES
OF SERIES A PREFERRED STOCK REPRESENTED HEREBY AND OF EACH OTHER CLASS OR SERIES
OF SHARES AUTHORIZED TO BE ISSUED BY THE COMPANY AND UPON THE HOLDERS
THEREOF.

 

No. - -

Ascent Energy Inc.

CERTIFICATE
FOR

- -

SHARES

OF

Series A Redeemable
Preferred Stock

ISSUED TO

_____________________

DATED

__________, _____

        For value received,
______________________ hereby sells, assigns and transfers unto
_______________________________ Shares of the Preferred Stock represented by the
within Certificate, and do hereby irrevocably constitute and appoint
______________________ Attorney to transfer the said Stock on the books of and
within named Corporation with full power of substitution in the premises.

 

Dated: ________________________

 

In presence of: __________________

  NOTICE: THE SIGNATURE OF THIS ASSIGNMENT MUST CORRESPOND WITH
  THE NAME AS WRITTEN UPON THE FACE OF THE CERTIFICATE, IN EVERY PARTICULAR,
  WITHOUT ALTERATION OR ENLARGEMENT, OR ANY CHANGE
WHATEVER.

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