Document:

Remarketing Agreement

 Exhibit 4.1 
 REMARKETING AGREEMENT 
 REMARKETING AGREEMENT, dated as of March 17, 2009 (the
“Agreement”), between Wells Fargo & Company, a Delaware corporation, and Morgan Stanley & Co. Incorporated (“Morgan Stanley”) and Goldman, Sachs & Co. (“Goldman Sachs”). 
 WHEREAS, the Company (as defined below) has issued $3,000,000,000 aggregate original principal amount of its Floating Rate Convertible Senior Debentures
due 2033, now referred to as its Remarketed Senior Debentures due 2033 (the “Debentures”), pursuant to an indenture, dated as of April 15, 2003, between the Company and Citibank, N.A., as trustee (the “Trustee”), as amended
by the First Supplemental Indenture, dated as of November 8, 2004, the Second Supplemental Indenture, dated as of April 1, 2008 and the Third Supplemental Indenture, dated as of May 6, 2008 (together, the “Indenture”); and

 WHEREAS, the Company has requested that Morgan Stanley and Goldman Sachs act as Remarketing Agents (as defined below) with respect to the
remarketing of the Debentures tendered for remarketing in connection with the Remarketing Reset Date (as defined below) and as such to perform the services described herein; and 
 WHEREAS, Morgan Stanley and Goldman Sachs, severally and not jointly, are prepared to act as the Remarketing Agents with respect to the remarketing of
the Debentures in connection with the Remarketing Reset Date pursuant to the terms of, but subject to the conditions set forth in, this Agreement; 
 NOW, THEREFORE, for and in consideration of the covenants herein made, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and subject to the conditions herein set forth, the parties
hereto agree as follows: 
 Section 1. Definitions. Capitalized terms used and not defined in this Agreement shall have the meanings
assigned to them in the Indenture (including the form of the Debentures). 
 “Accreted Principal Amount” shall have the meaning
assigned to such term in the Indenture. 
 “Applicable Time” shall mean, in connection with a successful remarketing, the Reset
Yield Determination Date and time of sale of Debentures in the remarketing on such date as specified by the Remarketing Agents to the Company in the notice provided pursuant to Section 4(f) of this Agreement. 
 “Beneficial Owners” means the owners at any time of beneficial interests in the Debentures. 
 “Business Day” shall have the meaning assigned to such term in the Indenture. 

 “Closing Date” shall mean, in connection with a successful remarketing, the date specified by
the Remarketing Agents to the Company in the notice provided pursuant to Section 4(f) of this Agreement, which shall be the later of (i) May 1, 2009 and (ii) the third Business Day following a successful remarketing in connection
with the Remarketing Reset Date. 
 “Commission” means the Securities and Exchange Commission. 
 “Company” means Wells Fargo & Company and its successors under this Agreement. 
 “Depositary” means The Depository Trust Company and its successors. 
 “Failed Remarketing” shall have the meaning assigned to such term in Section 4(j) of this Agreement. 
 “Final Term Sheet” shall have the meaning assigned to such term in Section 3(b)(i) of this Agreement. 
 “FINRA” means the Financial Industry Regulatory Authority. 
 “Free Writing Prospectus” means a free writing prospectus, as defined in Rule 405 under the 1933 Act. 
 “Hold Notice” means a notice from a Holder to the Paying Agent stating that such Holder has elected not to have all or a specified Original Principal Amount of its Debentures remarketed. 
 “Holders” shall have the meaning assigned to such term in the Indenture. 
 “Issuer Free Writing Prospectus” means any “issuer free writing prospectus,” as defined in Rule 433 of the 1933 Act Regulations
(“Rule 433”), relating to the remarketing of the Debentures that (i) is required to be filed with the Commission by the Company, or (ii) is exempt from filing pursuant to Rule 433(d)(5)(i) because it contains a description of the
Debentures or of the remarketing that does not reflect the final terms, in each case in the form filed or required to be filed with the Commission or, if not required to be filed, in the form retained in the Company’s records pursuant to Rule
433(g). 
 “1933 Act” means the Securities Act of 1933, as amended. 
 “1933 Act Regulations” means the rules and regulations promulgated by the Commission from time to time under the 1933 Act. 
 “1934 Act” means the Securities Exchange Act of 1934, as amended. 
 “1934 Act Documents” shall have the meaning assigned to such term in Section 2(a) of this Agreement. 
 “1934 Act Regulations” means the rules and regulations promulgated by the Commission from time to time under the 1934 Act. 
  

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 “1939 Act” means the Trust Indenture Act of 1939, as amended. 
 “1939 Act Regulations” means the rules and regulations promulgated by the Commission from time to time under the 1939 Act. 
 “Nationally Recognized Statistical Rating Organization” shall have the meaning assigned to such term in Section 3(a) of this Agreement.

 “Original Principal Amount” shall have the meaning assigned to such term in the Indenture. 
 “Paying Agent” means Wells Fargo Bank, N.A. and its successors. 
 “Prospectus” shall have the meaning assigned to such term in Section 2(a) of this Agreement. 
 “Purchase Agreement” means the purchase agreement, dated April 9, 2003, between the Company and the initial purchasers party thereto relating to the initial issuance and sale of the Debentures. 
 “Registration Statement” shall have the meaning assigned to such term in Section 2(a) of this Agreement. 
 “Remarketing Agents” means Morgan Stanley and Goldman Sachs, acting severally and not jointly, in their capacity as remarketing agents
hereunder, and its successors and assigns. 
 “Remarketing Materials” shall have the meaning assigned to such term in
Section 3(c) of this Agreement. 
 “Remarketing Period” means the period from and including April 17, 2009 to and
including May 1, 2009. 
 “Remarketing Purchase Price” shall have the meaning assigned to such term in the Indenture.

 “Remarketing Reset Date” means May 1, 2009. 
 “Representation Date” shall have the meaning assigned to such term in Section 2(a) of this Agreement. 
 “Required Remarketing” shall have the meaning assigned to such term in Section 4(h) of this Agreement. 
 “Reset Yield” shall have the meaning assigned to such term in Section 4(c) of this Agreement. 
 “Reset Yield Determination Date” means the Business Day, if any, during the Remarketing Period on which the Remarketing Agents establish the Reset Yield effective from and including the Remarketing Reset Date. 
  

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 “Underwriting Agreement” means the form of underwriting agreement attached as Annex II to this
Agreement. 
 Section 2. Representations and Warranties. (a) The Company has filed with the Commission, and there has become
effective, a registration statement on Form S-3 (File No.: 333-135006), including the form of prospectus therein relating to senior debt securities, including the Debentures, and other securities. Such Registration Statement, as amended, and
the documents incorporated or deemed to be incorporated by reference therein, and including any prospectus supplement relating to the Debentures that is filed with the Commission pursuant to Rule 424(b) under the 1933 Act and deemed part of such
registration statement pursuant to Rule 430B under the 1933 Act, are hereinafter called, collectively, the “Registration Statement”; the form of prospectus therein dated June 19, 2006, relating to senior debt securities, including the
Debentures, and other securities, including the documents incorporated or deemed to be incorporated by reference therein, and any preliminary prospectus supplement relating to the Debentures, are hereinafter called, collectively, the
“preliminary prospectus”; and the related prospectus dated June 19, 2006, including the documents incorporated or deemed to be incorporated by reference therein, and prospectus supplement to be dated the Reset Yield Determination
Date, relating to the Debentures, are hereinafter called, collectively, the “Prospectus.” The Company represents and warrants to the Remarketing Agents as of the date hereof, the Applicable Time and the Closing Date (each such time and/or
date being hereinafter referred to as a “Representation Date”), that (i) it has made all the filings with the Commission that it is required to make under the 1934 Act and the 1934 Act Regulations (collectively, the “1934 Act
Documents”), (ii) each 1934 Act Document complies in all material respects with the requirements of the 1934 Act and 1934 Act Regulations, and each 1934 Act Document did not at the time of filing with the Commission, and as of each
Representation Date, as modified or superseded by any subsequently filed 1934 Act Document on or prior to such Representation Date, will not, include an untrue statement of a material fact or omit to state a material fact required to be stated
therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading and (iii) the applicable Remarketing Materials, as of each Representation Date after the date hereof, as
modified or superseded by any subsequently filed 1934 Act Document on or prior to such Representation Date (or, if applicable, by any Issuer Free Writing Prospectus or other document filed pursuant to the 1933 Act and the 1933 Act Regulations), will
not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading
(and, if applicable, any such Issuer Free Writing Prospectus, as of its issue date and at all subsequent times through the completion of the remarketing of the Debentures or until any earlier date that the Company notifies the Remarketing Agents as
described in Section 3(c), will not include any information that will conflict with the information contained in the Remarketing Materials, including any document incorporated by reference therein and any preliminary or other prospectus deemed
to be a part thereof that has not been superseded or modified). 
  

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 (b) The Company further represents and warrants to the Remarketing Agents as of each
Representation Date as follows: 
 (i) This Agreement has been duly authorized, executed and delivered by the Company and,
assuming it has been duly executed and delivered by the Remarketing Agents, constitutes a valid and binding agreement of the Company, enforceable against the Company in accordance with its terms, except as the enforcement thereof may be limited by
bankruptcy, insolvency (including, without limitation, all laws relating to fraudulent transfers), reorganization, moratorium or similar laws affecting enforcement of creditors’ rights generally and except as enforcement thereof is subject to
general principles of equity (regardless of whether enforcement is considered in a proceeding in equity or at law), and except further as the enforcement thereof may be subject to limitations on rights to indemnity or contribution or both by Federal
or state securities laws or the public policies underlying such laws. 
 (ii) The Indenture has been duly authorized, executed
and delivered by the Company and duly qualified under the Trust Indenture Act of 1939, as amended (the “1939 Act”), and, assuming it has been duly executed and delivered by the Trustee, constitutes a valid and binding agreement of the
Company, enforceable against the Company in accordance with its terms, except as the enforcement thereof may be limited by bankruptcy, insolvency (including, without limitation, all laws relating to fraudulent transfers), reorganization, moratorium
or similar laws affecting enforcement of creditors’ rights generally and except as enforcement thereof is subject to general principles of equity (regardless of whether enforcement is considered in a proceeding in equity or at law). 

(iii) The Debentures have been duly authorized and executed by the Company and authenticated, issued and delivered in the manner
provided for in the Indenture and delivered against payment of the purchase price therefor as provided in the Purchase Agreement, and constitute valid and binding obligations of the Company, enforceable against the Company in accordance with their
terms, except as the enforcement thereof may be limited by bankruptcy, insolvency (including, without limitation, all laws relating to fraudulent transfers), reorganization, moratorium or similar laws affecting enforcement of creditors’ rights
generally and except as enforcement thereof is subject to general principles of equity (regardless of whether enforcement is considered in a proceeding in equity or at law), and are in the form contemplated by, and entitled to the benefits of, the
Indenture. 
 (iv) Other than as disclosed in the Registration Statement and the Prospectus, there is no action, suit,
proceeding, inquiry or investigation before or brought by any court or governmental agency or body, domestic or foreign, now pending, or, to the knowledge of the Company, threatened, against or affecting the Company or any subsidiary, which is
required to be disclosed in the Registration Statement and Prospectus, in each case including the documents incorporated by reference therein, or which might reasonably be expected to result in a material adverse change in the condition, financial
or otherwise, or in the earnings, business affairs or business prospects of the Company and its subsidiaries considered as one enterprise, whether or not arising in the ordinary course of business, or which might reasonably be expected to materially
and adversely affect the properties or assets thereof or the consummation of the transactions contemplated in this Agreement or the performance by the Company of its obligations hereunder. 
  

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 (v) The Debentures are rated AA by Standard & Poor’s Rating Services and
Aa3 by Moody’s Investor Services, Inc. or such other rating as to which the Company shall have most recently notified the Remarketing Agents pursuant to Section 3(a) hereof. 
 (vi) Consistent with the applicable provisions in the Indenture, on or prior to the Remarketing Reset Date, the Company shall have removed
from the remarketed Debentures any legend relating to restrictions on transfer of the remarketed Debentures and provided for the “unrestricted” CUSIP to apply to all of the remarketed Debentures. 
 (c) Subject to Section 2(d) below, the following provisions of the form of Underwriting Agreement attached as Annex II hereto are
incorporated by reference, mutatis mutandis, herein: Sections 1(a), (b)(i), (d) and (e); Sections 4(a), (b), (c), (d) and (e); and Sections 5(a) and (d)(ii); and the Company hereby makes the representations and warranties, and
agrees to comply with the covenants and obligations, set forth in the provisions of the Underwriting Agreement incorporated by reference herein, as modified by the provisions of Section 2(d) below; provided, however that any requirements
relating to the filing of the Prospectus with the Commission, as set forth in the Underwriting Agreement, shall be modified to require such filing no later than the close of business on the second Business Day after the Reset Yield Determination
Date. 
 (d) With respect to the provisions of the form of Underwriting Agreement incorporated herein, for the purposes
hereof, (i) all references therein to the “Underwriter,” the “Underwriters,” the “Representative” or the “Representatives” shall be deemed to refer to the Remarketing Agents; (ii) all references
therein to the “Securities” shall be deemed to refer to the Debentures; (iii) all references therein to this “Agreement,” the “Underwriting Agreement,” “hereof,” “herein” and all references of
similar import, shall be deemed to mean and refer to this Agreement; (iv) all references therein to “the date hereof,” “the date of this Agreement” and all similar references shall be deemed to refer to the date of this
Agreement; (v) all references therein to the “Applicable Time” and “Closing Date” shall be deemed to refer to the Applicable Time and Closing Date as defined in this Agreement; (vi) all references therein to the
“Registration Statement,” the “Preliminary Final Prospectus” or the “Final Prospectus” shall be deemed to refer to the Registration Statement, the preliminary prospectus and the Prospectus, respectively, as defined in
this Agreement; (vii) all references therein to “Basic Prospectus” shall be deemed to refer to the form of prospectus relating to senior debt securities, including the Debentures, and other securities included in the Registration
Statement; (viii) all references therein to “Disclosure Package” shall be deemed to refer collectively to the preliminary prospectus and any Issuer Free Writing Prospectus, each as defined in this Agreement; (ix) all references
therein to “Issuer Free Writing Prospectus” shall be deemed to refer to the Issuer Free Writing Prospectus as defined in this Agreement; (x) all references therein to “Blood Letter” shall be deemed to refer to the letter
from the Remarketing Agents dated the Closing Date which describes information in the Registration Statement or Prospectus that is to be furnished by the Remarketing Agents; (xi) all references therein to “Act” and “Exchange
Act” shall be deemed to refer to the Securities Act of 1933 and the Securities Exchange Act of 1934, respectively; and (xii) all references therein to “Indenture” shall be deemed to refer to the Indenture as defined in this
Agreement. 
  

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 (e) Any certificate signed by any director or officer of the Company and delivered to the
Remarketing Agents or to counsel for the Remarketing Agents in connection with the remarketing of the Debentures shall be deemed a representation and warranty by the Company to the Remarketing Agents as to the matters covered thereby. 
 Section 3. Covenants of the Company. The Company covenants with the Remarketing Agents as follows: 
 (a) The Company will provide prompt notice by telephone, confirmed in writing (which may include facsimile or other electronic
transmission), to the Remarketing Agents of (i) any notification or announcement by a “Nationally Recognized Statistical Rating Organization” (as defined in Section 3(a)(62) of the 1934 Act) with regard to the ratings of any
securities of the Company, including, without limitation, notification or announcement of a downgrade in or withdrawal of the rating of any security of the Company or notification or announcement of the placement of any rating of any securities of
the Company under surveillance or review, including placement on CreditWatch or on Watch List with negative implications, or (ii) the occurrence at any time of any event set forth in Section 8(b)(ii), (iii)(A), (v) or
(vi) of this Agreement. 
 (b) The Company, at its expense, will furnish to the Remarketing Agents: 
 (i) (A) a manually executed copy of the Registration Statement, including all exhibits thereto, in the form it became effective and all
amendments thereto, any preliminary prospectus and the Prospectus, (B) a final term sheet (the “Final Term Sheet”) reflecting the final terms of the Debentures being remarketed, in form and substance satisfactory to the Remarketing
Agents, and (C) any other Issuer Free Writing Prospectus relating to the remarketing of the Debentures; 
 (ii) each 1934
Act Document filed after the date hereof; 
 (iii) in connection with the remarketing of Debentures, such other information as
the Remarketing Agents may reasonably request from time to time; and 
 (iv) an officers’ certificate, a favorable
opinion (including a statement as to the absence of material misstatements in or omissions from the then-current Remarketing Materials relating to the remarketing of the Debentures) of Mary E. Schaffner, Esq., counsel for the Company, a favorable
opinion of Faegre & Benson LLP, as special tax counsel to the Company, as to certain tax matters and a “comfort letter” or letters from the Company’s independent accountants, in each case in form and substance satisfactory to
the Remarketing Agents, of the same tenor as the officers’ certificate, opinions and comfort letter, respectively, delivered in connection with the remarketing of the Debentures that occurred in May 2008, but modified to relate to the
then-current Remarketing Materials relating to the remarketing of the Debentures, and in each case as of the date or dates and times specified by the Remarketing Agents in Annex I hereto. 
 The Company agrees to provide the Remarketing Agents with as many copies of the foregoing written materials and other Company-approved information as the
Remarketing Agents may reasonably request for use in connection with the remarketing of Debentures and consents to the use thereof for such purpose. 
  

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 (c) If, at any time during which the Remarketing Agents would be obligated to take any
action under this Agreement, any event or condition known to the Company relating to or affecting the Company, any subsidiary thereof or the Debentures shall occur which could reasonably be expected to cause any of the reports, documents, materials
or information referred to in paragraph (b)(i) or (ii) above or any document incorporated therein by reference (collectively, the “Remarketing Materials”) to contain an untrue statement of a material fact or omit to state a material
fact, or, in the case of any Issuer Free Writing Prospectus, if applicable, forming part of the Remarketing Materials, as a result of which such Issuer Free Writing Prospectus would conflict with the information otherwise contained in the
Remarketing Materials, the Company shall promptly notify the Remarketing Agents in writing of the circumstances and details of such event or condition; and the Company, at its expense, shall promptly prepare and provide to the Remarketing Agents
such report or other document as may be necessary to eliminate or correct such statement, omission or conflict, and, if required, will file such report or other document with the Commission and will forward to the Remarketing Agents copies thereof a
reasonable amount of time prior to the proposed filing. 
 (d) So long as the Debentures are outstanding and the Remarketing
Agents would be obligated to take any action under this Agreement, the Company will file all documents required to be filed with the Commission pursuant to the 1934 Act within the time periods required by the 1934 Act and the 1934 Act Regulations.

 (e) The Company will comply with the 1933 Act and the 1933 Act Regulations, the 1934 Act and the 1934 Act Regulations and
the 1939 Act and the 1939 Act Regulations so as to permit the completion of the remarketing of the Debentures as freely transferable securities, as contemplated in this Agreement and in the offering memorandum relating to the initial issuance of the
Debentures. The Company shall timely pay any required Commission filing fees relating to the remarketing of the Debentures and update the “Calculation of Registration Fee” table in accordance with the 1933 Act Regulations.

 (f) The Company shall provide to the Remarketing Agents and any other broker-dealer participating in the remarketing of the
Debentures the opportunity to conduct an underwriter’s due diligence investigation of the Company in a scope customarily provided in connection with a public offering of the Company’s debt securities. 
 (g) The Company agrees that, unless it obtains the prior written consent of the Remarketing Agents, and each Remarketing Agent, severally
and not jointly, agrees with the Company that, unless it has obtained or will obtain, as the case may be, the prior written consent of the Company, it has not made and will not make any offer relating to the Debentures that would constitute an
Issuer Free Writing Prospectus or that would otherwise constitute a Free Writing Prospectus required to be filed with the Commission or retained by the Company under Rule 433 under the 1933 Act. Any such Free Writing Prospectus consented to by the
Remarketing Agents or the Company is hereinafter referred to as a “Permitted Free Writing Prospectus.” The Company agrees that (x) it has treated and will treat, as the case may be, each Permitted Free Writing Prospectus as an Issuer
Free Writing Prospectus and (y) it has complied 

  

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and will comply, as the case may be, with the requirements of Rules 164 and 433 under the 1933 Act applicable to any Permitted Free Writing Prospectus,
including in respect of timely filing with the Commission, legending and record keeping. 
 (h) The Company will arrange for
the qualification of the Debentures for sale under the laws of such jurisdictions as the Remarketing Agents may designate, will maintain such qualifications in effect so long as required to complete the remarketing of the Debentures;
provided, however, that the Company shall not be required to qualify to do business in any jurisdiction where it is not now so qualified or to take any action which would subject it to general or unlimited service of process in any
jurisdiction where it is not now so subject or subject itself to taxation in any jurisdiction where it is not now so subject. 
 Section 4.
Appointment and Obligations of the Remarketing Agents. (a) Unless this Agreement is otherwise terminated in accordance with Section 11 hereof, in accordance with the terms, but subject to the conditions, of this Agreement, the
Company hereby appoints Morgan Stanley and Goldman Sachs, and Morgan Stanley and Goldman Sachs, acting severally and not jointly, hereby accept such appointment, to use their reasonable best efforts to remarket the Debentures in accordance with the
Indenture and this Agreement as the exclusive Remarketing Agents with respect to the Debentures not subject to a duly submitted (and not timely withdrawn) Hold Notice. The Company agrees that a Remarketing Agent shall have the right (with the
agreement of the other Remarketing Agent), on prior notice to the Company, to appoint one or more additional remarketing agents so long as any such additional remarketing agents shall be reasonably acceptable to the Company. Upon any such
appointment, the parties shall enter into an appropriate amendment to this Agreement to reflect the addition of any such remarketing agent. 
 (b) It is expressly understood and agreed by and between the parties hereto that the Remarketing Agents shall not be obligated to set the Reset Yield on any Debentures, to remarket any Debentures or to perform any of
the other duties set forth herein at any time that (i) any of the conditions set forth in clause (a) of Section 8 hereof shall not have been fully and completely met to the satisfaction of the Remarketing Agents, or (ii) any of
the events set forth in clause (b) of Section 8 hereof shall have occurred or be continuing. 
 (c) The yield on the
Debentures will be reset by the Remarketing Agents on the Reset Yield Determination Date to the yield (the “Reset Yield”) for the period from and including the Remarketing Reset Date to but excluding May 1, 2010 (or, if such day is
not a Business Day, the immediately succeeding Business Day) necessary for the proceeds from the remarketing of the Debentures, net of any fee to the Remarketing Agents, to be 100% of the Accreted Principal Amount, as of such Remarketing Reset Date,
of the Debentures remarketed; provided that the Reset Yield shall not exceed the maximum rate permitted by law and shall not be less than 0% per annum. 
 (d) The Company confirms that the deadline for delivering a Hold Notice to the Paying Agent is 5:00 p.m., New York City time, on April 16, 2009. 
  

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 (e) Notwithstanding the foregoing, if (i) Holders of less than $50 million aggregate
Original Principal Amount of Debentures have elected or are deemed to have elected to have their Debentures remarketed in connection with the Remarketing Reset Date pursuant to Section 15.03 of the Indenture or (ii) a Failed Remarketing
occurs on the Remarketing Reset Date, the Reset Yield shall be the yield necessary, in the judgment of the Remarketing Agents based on bids from at least three independent nationally recognized securities dealers selected by the Remarketing Agents,
for the Debentures to trade at a price equal to 100% of the Accreted Principal Amount thereof as of such Remarketing Reset Date. If the Remarketing Agents are not able to obtain bids from at least three independent nationally recognized securities
dealers on the Remarketing Reset Date, the Reset Yield shall be 3.55175%. If the Reset Yield is established on the Remarketing Reset Date but a Failed Remarketing occurs after such date, such Reset Yield will continue to apply to the Debentures
notwithstanding such Failed Remarketing. 
 (f) By approximately 4:30 p.m., New York City time, on the Reset Yield
Determination Date, the Remarketing Agents shall notify the Company, the Trustee, the Paying Agent and the Depositary by telephone, confirmed in writing (which may include facsimile or other electronic transmission), of the Reset Yield and the
Closing Date and the Company only of the Applicable Time or, if applicable, a Failed Remarketing. The Company shall issue a press release stating such Reset Yield and publish such information on its website on the World Wide Web. The Reset Yield,
determined as provided in this Section 4, shall be conclusive and binding on the Holders and Beneficial Owners of the Debentures. 
 (g) As early as practicable, and, in any event, by 5:00 p.m., New York City time, on April 16, 2009, the Company shall notify the Remarketing Agents and the Trustee by telephone, confirmed in writing (which
may include facsimile or other electronic transmission), of the Original Principal Amount of Debentures that is not subject to a duly submitted (and not timely withdrawn) Hold Notice. 
 (h) If Holders of at least $50 million aggregate Original Principal Amount of Debentures have elected or are deemed to have elected to
have their Debentures remarketed with respect to the Remarketing Reset Date (a “Required Remarketing”), the Remarketing Agents shall use their reasonable best efforts to conduct such remarketing on any Business Day during the Remarketing
Period as selected by the Remarketing Agents in accordance with the terms of this Agreement and the Indenture in consultation with the Company. 
 (i) If the Debentures are successfully remarketed by the Remarketing Agents on the Remarketing Reset Date, the Remarketing Agents shall deduct the fee specified in Annex I to this Agreement from the proceeds of such
remarketing and remit the remaining proceeds, which shall be at least 100% of the Accreted Principal Amount of the Debentures remarketed as of the Remarketing Reset Date, to the Holders who elected or are deemed to have elected to participate in
such remarketing on the Closing Date. 
 (j) If, by 4:00 p.m., New York City time, on the Remarketing Reset Date with respect
to a Required Remarketing, a Required Remarketing is not conducted for any reason or the Remarketing Agents are unable to remarket all Debentures for which an election to remarket has been made or deemed to have been made or if, at any time prior to
delivery of and payment for the Debentures on the Closing Date, a condition precedent in this Agreement shall not have been fulfilled, a failed remarketing (“Failed Remarketing”) shall be deemed to have occurred. In the event of a Failed
Remarketing, the Company shall issue a press release regarding such Failed 

  

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Remarketing and stating the aggregate Original Principal Amount of Debentures that the Company will repurchase as required pursuant to Section 15.04(a)
of the Indenture and publish such information on its website on the World Wide Web. 
 (k) The Company will request, not later
than 20 Business Days prior to April 16, 2009 (the date by which Holders are required to give notice pursuant to Section 15.03(a) of the Indenture), that the Depositary notify its participants of the potential remarketing of the
Debentures, the identities of the Remarketing Agents, the procedures a Beneficial Owner must follow to deliver a Hold Notice, the date by which such Hold Notice must be delivered and the right of the Beneficial Owners of Debentures to require the
Company to purchase Debentures if there is a Failed Remarketing or upon the other circumstances provided in the Indenture. The Company will also issue a press release and publish such information on its website on the World Wide Web. 
 (l) It is understood and agreed that the Remarketing Agents shall not have any obligation whatsoever to purchase any Debentures, whether
in the remarketing or otherwise, and shall in no way be obligated to provide funds to make payment upon tender of Debentures for remarketing or to otherwise expend or risk their own funds or incur or be exposed to financial liability in the
performance of their respective duties under this Agreement. 
 (m) If a Holder of Debentures whose Debentures were sold in
the remarketing contemplated by this Agreement does not receive payment for such Debentures (with respect to such Holder, a “Failed Settlement”), such Holder will have the right to require the Company to purchase for cash on the date of
the Failed Settlement all or a portion of such Debentures at the Remarketing Purchase Price. Such Holder shall notify the Company as promptly as possible of the occurrence of the Failed Settlement. Upon receipt of confirmation of the Failed
Settlement from a Remarketing Agent, the Company shall purchase such Debentures for which an election is made as promptly as possible following the Failed Settlement. 
 Section 5. Fees and Expenses. The Company agrees that the fees to be paid to the Remarketing Agents in connection with the remarketing will be as set forth in Annex I hereto. The Company will pay all expenses
of the Remarketing Agents in connection with this Agreement, including: (a) the preparation, filing (if applicable), printing and delivery of the Registration Statement, any preliminary prospectus and the Prospectus, and any amendments or
supplements thereto, in connection with the remarketing of the Debentures; (b) the preparation and delivery of this Agreement and such other documents as may be required in connection with the remarketing of the Debentures; (c) the fees
and disbursements of the Company’s accountants, counsel and other advisors or agents and of the fees and disbursements of the Trustee and Paying Agent; (d) the fees charged by Nationally Recognized Statistical Rating Organizations for the
rating of the Debentures; and (e) the reasonable fees and disbursements of counsel to the Remarketing Agents (including for advice with respect to Rule 2a-7 under the Investment Company Act of 1940). 
 Section 6. Resignation or Removal of the Remarketing Agents. (a) A Remarketing Agent may resign and be discharged from its duties and
obligations hereunder at any time, such resignation to be effective 10 days after delivery of a written notice to the Company and the Trustee of such resignation. 
  

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 (b) A Remarketing Agent also may resign and be discharged from its duties and obligations
hereunder at any time, such resignation to be effective immediately, upon termination of this Agreement as to such Remarketing Agent in accordance with Section 11(b) hereof. 
 (c) The Company may remove a Remarketing Agent by giving not less than 10 days’ prior written notice to the Remarketing
Agents, such removal to be effective upon the expiration of such notice period and the Company’s appointment of a successor Remarketing Agent. In such case, the Company will use its best efforts to appoint a successor Remarketing Agent
and amend this Agreement accordingly or enter into a remarketing agreement with such person as soon as reasonably practicable. 
 (d) It shall be the sole responsibility of the Company to appoint successor Remarketing Agents. 
 Section 7. Dealing in the
Debentures; Purchase of Debentures by the Company. (a) Morgan Stanley and Goldman Sachs, when acting as the Remarketing Agents or in their individual or any other capacity, may, to the extent permitted by law, buy, sell, hold and deal in
any of the Debentures. Morgan Stanley and Goldman Sachs, as Holders or Beneficial Owners of the Debentures, may exercise any vote or join as a Holder or Beneficial Owner, as the case may be, in any action which any Holder or Beneficial Owner of
Debentures may be entitled to exercise or take pursuant to the Indenture with like effect as if they did not act in any capacity hereunder. The Remarketing Agents, in their capacity either as principal or agent, may also engage in or have an
interest in any financial or other transaction with the Company as freely as if they did not act in any capacity hereunder. 
 (b) The Company may purchase Debentures in the remarketing, provided that, in the event that any Beneficial Owners of Debentures have elected not to participate in the remarketing by delivering and not timely withdrawing a Hold Notice, the
Reset Yield established with respect to Debentures in the remarketing is not different from the Reset Yield that would have been established if the Company had not purchased such Debentures. 
 Section 8. Conditions to Remarketing Agents’ Obligations. The obligations of the Remarketing Agents under this Agreement have been undertaken
in reliance on, and shall be subject to: 
 (a) the due performance by the Company of its obligations and agreements as set
forth in this Agreement and the accuracy of the representations and warranties in this Agreement and any certificate delivered pursuant hereto; and 
 (b) the further condition that none of the following events shall have occurred at any time during which the Remarketing Agents would otherwise be obligated to take any action under this Agreement, as determined by
the Remarketing Agents in their sole judgment: 
 (i) (A) there shall have occurred any downgrading, or any notice shall
have been given of any intended or potential downgrading or of any review for a possible change that does not indicate the direction of the possible change, in the rating accorded the Company or any of the Company’s securities or in the rating
outlook for the Company by any Nationally Recognized Statistical Rating Organization or (B) the rating assigned to the Debentures shall be lower than Aa3 (or the equivalent) or withdrawn by any Nationally Recognized Statistical Rating
Organization; 
  

 12 

 (ii) without the prior written consent of the Remarketing Agents, (A) the Indenture
(including the Debentures) shall have been amended in any manner, or otherwise contain any provision not contained therein as of the date hereof, that in either case was not approved by the Remarketing Agents and in the judgment of the Remarketing
Agents materially change the nature of the Debentures or the remarketing procedures or (B) any person shall succeed to, or the Company shall otherwise assign, transfer or convey, the obligations of the Company under the Indenture and the
Debentures (it being understood that, notwithstanding the provisions of this clause (ii), the Company shall not be prohibited from amending the Indenture); 
 (iii) (A) trading in any securities of the Company shall have been suspended or materially limited on any exchange or in any over-the-counter market; or (B) trading generally on the New York Stock Exchange shall
have been suspended or materially limited, or minimum or maximum prices for trading shall have been fixed, or maximum ranges for prices shall have been required, by said exchange or by order of the Commission, FINRA or any other governmental
authority, or a material disruption has occurred in commercial banking or securities settlement or clearance services in the United States, or a banking moratorium shall have been declared by Federal, California or New York authorities; 

(iv) there shall have occurred any material adverse change in the financial markets in the United States or the international financial
markets, any outbreak of hostilities or escalation thereof or other calamity or crisis or any change or development involving a prospective change in national or international political, financial or economic conditions, in each case the effect of
which is such as to make it, in the judgment of the Remarketing Agents, impracticable to remarket the Debentures or to enforce contracts for the sale of the Debentures; 
 (v) an Event of Default, or any event which, with the giving of notice or passage of time, or both, would constitute an Event of Default,
with respect to the Debentures shall have occurred and be continuing; 
 (vi) a material adverse change in the condition,
financial or otherwise, or in the earnings, business affairs or business prospects of the Company and its subsidiaries considered as one enterprise, whether or not arising in the ordinary course of business, shall have occurred; or 
 (vii) the Company shall fail to furnish to the Remarketing Agents on the Closing Date (or other date specified in Annex I) the
officers’ certificate, opinions and comfort letter(s), in each case as referred to in Section 3(b) of this Agreement, and such other documents and opinions as counsel for the Remarketing Agents may reasonably require for the purpose of
enabling such counsel to pass upon the sale of Debentures in the remarketing as herein contemplated and related proceedings, or in order to evidence 

  

 13 

 
the accuracy and completeness of any of the representations and warranties, or the fulfillment of any of the conditions, herein contained, or the Remarketing
Agents shall not have received on the Closing Date a favorable opinion (including a statement as to the absence of material misstatements in or omissions from the then-current Remarketing Materials relating to the remarketing of the Debentures) of
counsel for the Remarketing Agents; 
 and the Remarketing Agents shall have received on the Reset Yield Determination Date such a certificate of the
Company, signed by any Senior Vice President or Executive Vice President and the principal financial officer or accounting officer of the Company, dated as of such date, to the effect that (i) the representations and warranties in this
Agreement are true and correct with the same force and effect as though expressly made at and as of such date, (ii) the Company has complied with all agreements and satisfied all conditions on its part to be performed or satisfied at or prior
to such date and (iii) none of the events specified in this clause (b) has occurred; and 
 (c) In the event of the
failure of any of the foregoing conditions, the Remarketing Agents may terminate their obligations under this Agreement as provided in Section 11. 
 Section 9. Indemnification. (a) The Company agrees to indemnify and hold harmless each of the Remarketing Agents and their affiliates, officers, directors and employees and each person, if any, who
controls each of the Remarketing Agents within the meaning of Section 20 of the 1934 Act as follows: 
 (i) against any
loss, liability, claim, damage and expense whatsoever, as incurred, arising out of, (A) the failure to have an effective Registration Statement under the 1933 Act relating to the Debentures or the failure to satisfy the prospectus delivery
requirements of the 1933 Act because the Company failed to provide the Remarketing Agents with the Prospectus or Final Term Sheet for delivery, or the failure by the Company to timely pay any required Commission filing fees relating to the
remarketing of the Debentures or to make any related required filing with the Commission, or (B) any untrue statement or alleged untrue statement of a material fact contained in any of the Remarketing Materials (including any incorporated
documents), or (C) the omission or alleged omission therefrom of a material fact necessary to make the statements therein, in the light of the circumstances in which they were made, not misleading, or (D) any violation by the Company of,
or any failure by the Company to perform any of its obligations under, this Agreement, or (E) the acts or omissions of the Remarketing Agents in connection with their duties and obligations to determine the Reset Yield hereunder except that are
finally judicially determined to be due to their gross negligence, willful misconduct or bad faith; 
 (ii) against any and
all loss, liability, claim, damage and expense whatsoever, as incurred, to the extent of the aggregate amount paid in settlement of any litigation, or investigation or proceeding by any governmental agency or body, commenced or threatened, or of any
claim whatsoever arising out of, or based upon, any of items (A) through (E) in clause (i) above; provided that such settlement is effected with the written consent of the Company; and 
  

 14 

 (iii) against any and all expense whatsoever, as incurred (including the fees and
disbursements of counsel chosen by the Remarketing Agents), reasonably incurred in investigating, preparing or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any
claim whatsoever arising out of, or based upon, any of items (A) through (E) in clause (i) above to the extent that any such expense is not paid under (i) or (ii) above; 
 provided, however, that the foregoing indemnity shall not apply to any losses, liabilities, claims, damages and expenses to the extent arising out of any
untrue statement or omission made in reliance upon and in conformity with written information furnished to the Company by the Remarketing Agents expressly for use in the Remarketing Materials. 
 (b) The Remarketing Agents, severally and not jointly, agree to indemnify and hold harmless the Company, its directors and any of its
officers who signed the Registration Statement, from and against any loss, liability, claim, damage and expense, as incurred, but only with respect to untrue statements or omissions made in the Remarketing Materials in reliance upon and in
conformity with information furnished to the Company in writing by the Remarketing Agents expressly for use in such Remarketing Materials. The indemnity agreement in this paragraph shall extend upon the same terms and conditions to each person, if
any, who controls the Company within the meaning of Section 20 of the 1934 Act. 
 (c) Each indemnified party shall give
notice as promptly as reasonably practicable to each indemnifying party of any action commenced against it in respect of which indemnity may be sought hereunder, but failure to so notify an indemnifying party shall not relieve such indemnifying
party from any liability hereunder to the extent it is not materially prejudiced as a result thereof and in any event shall not relieve it from any liability which it may have otherwise than on account of this indemnity agreement. In the case of
parties indemnified pursuant to clause (a) above, counsel to the indemnified parties shall be selected by the Remarketing Agents and, in the case of parties indemnified pursuant to clause (b) above, counsel to the indemnified parties shall
be selected by the Company. In case any such action is brought against any indemnified party, and it notifies the indemnifying party of the commencement thereof, the indemnifying party will be entitled to participate therein, and to the extent that
it shall wish, jointly, with any other indemnifying party similarly notified, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel
to the indemnifying party). In any such proceeding, any indemnified party shall have the right to obtain its own counsel, but the fees and expenses of such counsel shall be at the expense of such indemnified party unless (i) the indemnifying
party and the indemnified party shall have mutually agreed to the retention of such counsel or (ii) the named parties to any such proceeding (including any impleaded parties) include both the indemnified party and the indemnifying party and
representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of interests between them. In no event shall the indemnifying parties be liable for fees and expenses of more than one counsel (in
addition to any local counsel) separate from their own counsel for all indemnified parties in connection with any one action or separate but similar or related actions in the same jurisdiction arising out of the same general allegations or
circumstances. An indemnifying party shall not be liable for any settlement of any proceeding effected without its 

  

 15 

 
prior written consent, but if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the
indemnified party from and against any loss or liability by reasons of such settlement or judgment. No indemnifying party shall, without the prior written consent of the indemnified parties (which consent shall not be unreasonably withheld or
delayed), settle or compromise or consent to the entry of any judgment with respect to any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever in respect of which
indemnification or contribution could be sought under this Section 9 or Section 10 hereof (whether or not the indemnified parties are actual or potential parties thereto), unless such settlement, compromise or consent (i) includes an
unconditional release of each indemnified party from all liability arising out of such litigation, investigation, proceeding or claim and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act by or on
behalf of any indemnified party. 
 (d) The indemnity agreements contained in this Section 9 shall remain operative and
in full force and effect, regardless of any investigation made by or on behalf of the Remarketing Agents, and shall survive the termination or cancellation of this Agreement and the remarketing of any Debentures hereunder. 
 Section 10. Contribution. If the indemnification provided for in Section 9 hereof is for any reason unavailable to or insufficient to hold
harmless an indemnified party in respect of any losses, liabilities, claims, damages or expenses referred to therein, then each indemnifying party shall contribute to the aggregate amount of such losses, liabilities, claims, damages and expenses
incurred by such indemnified party, as incurred, (i) in such proportion as is appropriate to reflect the relative benefits received by the Company on the one hand and each Remarketing Agent on the other hand from the remarketing of the
Debentures pursuant to this Agreement or (ii) if the allocation provided by clause (i) is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above
but also the relative fault of the Company on the one hand and of each Remarketing Agent on the other hand in connection with the acts, failures to act, statements or omissions which resulted in such losses, liabilities, claims, damages or expenses,
as well as any other relevant equitable considerations. 
 The relative benefits received by the Company on the one hand and each Remarketing
Agent on the other hand in connection with the remarketing of the Debentures pursuant to this Agreement shall be deemed to be in the same respective proportions as (i) the aggregate accreted principal amount of the Debentures, and (ii) the
fee received by such Remarketing Agent in connection with the remarketing of the Debentures in connection with the Remarketing Reset Date. 
 The relative fault of the Company on the one hand and each Remarketing Agent on the other hand shall be determined by reference to, among other things, the responsibility hereunder of the applicable party for any act or failure to act
relating to the losses, liabilities, claims, damages or expenses incurred or, in the case of any losses, liabilities, claims, damages or expenses arising out of any untrue or alleged untrue statement of a material fact contained in any of the
Remarketing Materials or the omission or alleged omission to state a material fact therefrom, whether any such untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact relates to information
supplied by the Company or by the Remarketing Agents and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. 
  

 16 

 The Company and the Remarketing Agents agree that it would not be just and equitable if contribution
pursuant to this Section 10 were determined by pro rata allocation or by any other method of allocation which does not take account of the equitable considerations referred to above in this Section 10. The aggregate amount of losses,
liabilities, claims, damages and expenses incurred by an indemnified party and referred to above in this Section 10 shall be deemed to include any legal or other expenses reasonably incurred by such indemnified party in investigating, preparing
or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any such act or failure to act or untrue or alleged untrue statement or omission
or alleged omission. 
 Notwithstanding the provisions of this Section 10, no Remarketing Agent shall be required to contribute any
amount in excess of the amount by which the total price at which the Debentures remarketed by it and resold to the public were sold to the public exceeds the amount of any damages which such Remarketing Agent has otherwise been required to pay by
reason of any act or failure to act for which it is responsible hereunder or any untrue or alleged untrue statement or omission or alleged omission. 
 No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.

 For purposes of this Section 10, each person, if any, who controls a Remarketing Agent within the meaning of Section 15 of the
1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as such Remarketing Agent, and each director of the Company, each officer of the Company who signed the Registration Statement, and each person, if any, who
controls the Company within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as the Company. 
 Section 11. Termination of Remarketing Agreement. (a) This Agreement shall terminate as to a Remarketing Agent on the effective date of the resignation or removal of such Remarketing Agent pursuant to
Section 6 hereof. 
 (b) In addition, a Remarketing Agent may terminate all of its obligations under this Agreement
immediately by notifying the Company and the other Remarketing Agent of its election to do so, at any time on or before the Closing Date, in the event that: (i) any of the conditions referred to or set forth in Section 8(a) hereof have not
been met or satisfied in full, or the Company shall have failed to comply with the certification requirements of Section 8(b); (ii) any of the events set forth in Section 8(b) hereof shall have occurred or be continuing; or
(iii) a Remarketing Agent determines, in its sole discretion, after consultation with the Company and the other Remarketing Agent, that it shall not have received all of the information, whether or not specifically referenced herein, necessary
to fulfill its obligations under this Agreement. 
  

 17 

 (c) If this Agreement is terminated pursuant to this Section, such termination shall be
without liability of any party to any other party, except that, in the case of removal of a Remarketing Agent by the Company pursuant to Section 6 or termination pursuant to Section 11(b) of this Agreement, the Company shall reimburse the
Remarketing Agent or Agents for all of its or their out-of-pocket expenses, including the reasonable fees and disbursements of counsel for the Remarketing Agents. Sections 2, 5, 9, 10, 11(c) and 12 shall survive termination of this Agreement and
remain in full force and effect. 
 Section 12. Remarketing Agents’ Performance; Duty of Care. (a) The duties and
obligations of the Remarketing Agents shall be determined solely by the express provisions of this Agreement and the Indenture. No implied covenants or obligations of or against the Remarketing Agents shall be read into this Agreement or the
Indenture. In the absence of bad faith on the part of the Remarketing Agents, the Remarketing Agents may conclusively rely upon any document furnished to them, which purports to conform to the requirements of this Agreement and the Indenture, as to
the truth of the statements expressed in any of such documents. The Remarketing Agents shall be protected in acting upon any document or communication reasonably believed by them to have been signed, presented or made by the proper party or parties.
The Remarketing Agents shall incur no liability hereunder to any Beneficial Owner or Holder of Debentures in their individual capacity or as Remarketing Agents for any action or failure to act in connection with the remarketing or otherwise. A
Remarketing Agent shall incur no liability to the Company with respect to calculation of the Reset Yield, except as a result of gross negligence, willful misconduct or bad faith on its part. 
 (b) The Company acknowledges and agrees that (i) the transaction contemplated by this Agreement is an arm’s-length commercial
transaction between the Company, on the one hand, and the Remarketing Agents, on the other hand, (ii) in connection with the transaction contemplated hereby and the process leading to such transaction the Remarketing Agents are and have been
acting solely as a principal and not as the agent (except to the extent expressly provided herein, which the parties acknowledge is solely a contractual obligation) or fiduciary of the Company, or its stockholders, creditors, employees or any other
party, (iii) the Remarketing Agents have not assumed nor will they assume an advisory or fiduciary responsibility in favor of the Company with respect to the transaction contemplated hereby or the process leading thereto (irrespective of
whether the Remarketing Agents have advised or are currently advising the Company on other matters) and the Remarketing Agents have no obligation to the Company with respect to the transaction contemplated hereby except the obligations expressly set
forth in this Agreement, (iv) the Remarketing Agents and their affiliates may be engaged in a broad range of transactions that involve interests that differ from those of the Company, and (v) the Remarketing Agents have not provided any
legal, accounting, regulatory or tax advice with respect to the transaction contemplated hereby and the Company has consulted its own legal, accounting, regulatory and tax advisors to the extent it deemed appropriate. 
 Section 13. Integration. This Agreement supersedes all prior agreements and understandings (whether written or oral) between the Company and the
Remarketing Agents with respect to the subject matter hereof. 
  

 18 

 Section 14. Tax Disclosure. Notwithstanding any other provision of this Agreement, immediately
upon commencement of discussions with respect to the transactions contemplated hereby, the Company and the Remarketing Agents (and each employee, representative or other agent of the Company and the Remarketing Agents) may disclose to any and all
persons, without limitation of any kind, the tax treatment and tax structure of the transactions contemplated by this Agreement and all materials of any kind (including opinions or other tax analyses) that are provided to the Company or the
Remarketing Agents relating to such tax treatment and tax structure. For purposes of the foregoing, the term “tax treatment” is the purported or claimed Federal income tax treatment of the transactions contemplated hereby, and the term
“tax structure” includes any fact that may be relevant to understanding the purported or claimed Federal income tax treatment of the transactions contemplated hereby. 
 Section 15. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO
CONTRACTS MADE AND TO BE PERFORMED IN SUCH STATE. 
 Section 16. Term of Agreement. Unless otherwise terminated in accordance with the
provisions hereof, this Agreement shall remain in full force and effect from the date hereof until the later of the Closing Date and the completion of the remarketing of the Debentures. Regardless of any termination or expiration of this Agreement
pursuant to any of the provisions hereof, the obligations of the Company pursuant to Sections 2, 5, 9, 10, 11(c) and 12 hereof shall remain operative and in full force and effect until fully satisfied. 
 Section 17. Successors and Assigns. The rights and obligations of the Company hereunder may not be assigned or delegated to any other person
without the prior written consent of the Remarketing Agents. The rights and obligations of the Remarketing Agents hereunder may not be assigned or delegated to any other person (other than an affiliate of the Remarketing Agents) without the prior
written consent of the Company. This Agreement shall inure to the benefit of and be binding upon the Company and the Remarketing Agents and their respective successors and assigns, and will not confer any benefit upon any other person, partnership,
association or corporation other than persons, if any, controlling the Remarketing Agents within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act, or any indemnified party to the extent provided in Section 9
hereof, or any person entitled to contribution to the extent provided in Section 10 hereof. The terms “successors” and “assigns” shall not include any purchaser of any Debentures merely because of such purchase. 

Section 18. Headings. Section headings have been inserted in this Agreement as a matter of convenience of reference only, and it is agreed that
such section headings are not a part of this Agreement and will not be used in the interpretation of any provisions of this Agreement. 
 Section 19. Severability. If any provision of this Agreement shall be held or deemed to be or shall, in fact, be invalid, inoperative or unenforceable as applied in any particular case in any or all jurisdictions because it conflicts
with any provision of any constitution, statute, rule or public policy or for any other reason, such circumstances shall not have the effect of rendering the provision in question invalid, inoperative or unenforceable in any other case, circumstance
or jurisdiction, or of rendering any other provision or provisions of this Agreement invalid, inoperative or unenforceable to any extent whatsoever. 
  

 19 

 Section 20. Counterparts. This Agreement may be executed in several counterparts, each of which
shall be regarded as an original and all of which shall constitute one and the same document. 
 Section 21. Amendments. This
Agreement may be amended by any instrument in writing signed by each of the parties hereto so long as this Agreement as amended is not inconsistent with the Indenture in effect as of the date of any such amendment. 
 Section 22. Notices. Unless otherwise specified, any notices, requests, consents or other communications given or made hereunder or pursuant
hereto shall be made in writing (which may include facsimile or other electronic transmission) and shall be deemed to have been validly given or made when delivered or mailed, registered or certified mail, return receipt requested and postage
prepaid, addressed as follows: 
  

	 	(a)	to the Company: 

 Wells Fargo & Company

 Sixth and Marquette 
 Minneapolis, Minnesota 55402 
 Attention: Barbara S. Brett 
 Facsimile No.: (612) 667-3839 
 With a
copy to: Laurel A. Holschuh 
 Wells Fargo & Company 
 Sixth and Marquette 
 Minneapolis, Minnesota 55402 
 Facsimile No.: (612) 667-6082 
  

	 	(b)	to Morgan Stanley: 

 Morgan Stanley & Co.
Incorporated 
 1685 Broadway, 29th Floor 
 New York, New York 10036 
 Attention: Investment Banking Division 
 Telephone No.: (212) 761-6691 
 Facsimile No.: (212) 507-8999 
  

	 	(c)	to Goldman Sachs: 

 Goldman, Sachs & Co.

 85 Broad Street 
 New York,
New York 10004 
 Attention: Registration Department 
 Facsimile No.: (212) 902-3000 
 or to such other address as the Company or the Remarketing Agents shall specify in
writing. 
  

 20 

 IN WITNESS WHEREOF, each of the Company and the Remarketing Agents has caused this Agreement to be
executed in its name and on its behalf by one of its duly authorized officers as of the date first above written. 
  

					
	WELLS FARGO & COMPANY
		
	By	 	/s/ Barbara S. Brett
		 	Name:	 	Barbara S. Brett
		 	Title:	 	Senior Vice President and Assistant Treasurer
	
	MORGAN STANLEY & CO. INCORPORATED
		
	By	 	/s/ Yurij Slyz
		 	Authorized Signatory
	
	GOLDMAN, SACHS & CO.
		
	By	 	/s/ Goldman, Sachs & Co.
		 	(Goldman, Sachs & Co.)

 [Remarketing Agreement] 

 Annex I 
  

			
	Remarketing Fee:	  	The Company agrees that the following fees will be paid to the Remarketing Agents in connection with the remarketing pursuant to the Remarketing Agreement: 0.05% (5 basis points) of the
accreted principal amount of the Debentures remarketed.
		
	 Delivery Date(s) for
 Documents Required
Pursuant
 to Section 3(b)(iv):
	  	(i) comfort letter: on May 1, 2009, with a “bring-down” comfort letter on the Closing Date if the Closing Date is other than May 1, 2009, in each case with a “cut-off
date” five days prior to the applicable Delivery Date;
		
		  	(ii) officers’ certificate, legal opinions and related closing documents: at 10:00 a.m., New York City time, on the Closing Date.

  

 A-1 

 Annex II 
 [Form of Underwriting Agreement] 
  

 A-2 

 Wells Fargo & Company 
 $[            ] 
 $[            ] Notes Due [            ] 
 Underwriting Agreement 
 [DATE] 
 To the Representatives 
 named in Schedule I 
 hereto of the Underwriters 
 named in Schedule II hereto 
 Ladies and Gentlemen: 
 Wells Fargo & Company, a
Delaware corporation (the “Company”), proposes to sell to the underwriters named in Schedule II hereto (the “Underwriters”), for whom you are acting as Representatives (the “Representatives”), the principal amount of
its securities identified in Schedule I hereto (the “Securities”), to be issued under the indenture identified in Schedule I hereto (the “Indenture”), with Citibank, N.A. as the trustee (the “Trustee”). If the firm or
firms listed in Schedule II hereto include only the firm or firms listed in Schedule I hereto, then the terms “Underwriters” and “Representatives”, as used herein, shall each be deemed to refer to such firm or firms. 

1. Representations and Warranties. The Company represents and warrants to, and agrees with, each Underwriter that: 
 (a) The Company meets the requirements for use of Form S-3 under the Securities Act of 1933, as amended (the “Act”) and has
filed with the Securities and Exchange Commission (the “Commission”) an automatic shelf registration statement on such Form as defined in Rule 405 under the Act (the file number of which is set forth in Schedule I hereto) for the
registration under the Act of the Securities. Such registration statement, including any amendments thereto, became effective upon filing. The Company proposes to file with the Commission pursuant to Rule 424 under the Act a supplement to a form of
prospectus included in such registration statement relating to the Securities in the form heretofore delivered to you. Such registration statement, including all exhibits thereto (but excluding the Statements of Eligibility on Form T-1), as amended
at the date of this Agreement, and including any prospectus supplement 

 
relating to the Securities that is filed with the Commission pursuant to Rule 424(b) under the Act and deemed part of such registration statement pursuant to
Rule 430B under the Act, is hereinafter called the “Registration Statement”; such prospectus in the form in which it appears in the Registration Statement is hereinafter called the “Basic Prospectus” and such supplemented form of
prospectus, in the form in which it shall be filed with the Commission pursuant to Rule 424(b) (including the Basic Prospectus as so supplemented) is hereinafter called the “Final Prospectus”. Any preliminary form of the Final Prospectus
which has been or will be filed pursuant to Rule 424 is hereinafter called the “Preliminary Final Prospectus”. Any reference herein to the Registration Statement, the Basic Prospectus, any Preliminary Final Prospectus or the Final
Prospectus shall be deemed to refer to and include the documents incorporated by reference therein pursuant to Item 12 of Form S-3 which were filed under the Securities Exchange Act of 1934 (the “Exchange Act”) on or before the date
of this Agreement, or the issue date of the Basic Prospectus, any Preliminary Final Prospectus or the Final Prospectus, as the case may be; and any reference herein to the terms “amend”, “amendment” or “supplement” with
respect to the Registration Statement, the Basic Prospectus, any Preliminary Final Prospectus or the Final Prospectus shall be deemed to refer to and include the filing of any document under the Exchange Act after the date of this Agreement, or the
issue date of the Basic Prospectus, any Preliminary Final Prospectus or the Final Prospectus, as the case may be, and deemed to be incorporated therein by reference. 
 (b) As of the date hereof, when the Final Prospectus is first filed pursuant to Rule 424(b) under the Act, when, prior to the Closing Date
(as hereinafter defined), any amendment to the Registration Statement becomes effective (including the filing of any document incorporated by reference in the Registration Statement), when any supplement to the Final Prospectus is filed with the
Commission and at the Closing Date (as hereinafter defined), (i) the Registration Statement, as amended as of any such time, and the Final Prospectus, as amended or supplemented as of any such time, and the Indenture will comply in all material
respects with the applicable requirements of the Act, the Trust Indenture Act of 1939 (the “Trust Indenture Act”) and the Exchange Act and the respective rules thereunder and (ii) neither the Registration Statement, as amended as of
any such time, nor the Final Prospectus, as amended or supplemented as of any such time, will contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the
statements therein not misleading; provided, however, that the Company makes no representations or warranties as to (i) that part of the Registration Statement which shall constitute the Statements of Eligibility on Form T-1 under the
Trust Indenture Act of the Trustee, or (ii) the information contained in or omitted from the Registration Statement or the Final Prospectus or any amendment thereof or supplement thereto in reliance upon and in conformity with information
furnished in writing to the Company by or on behalf of any Underwriter through the Representatives specifically for use in connection with the preparation of the Registration Statement and the Final Prospectus (it being 

  

 2 

 
understood and agreed that the only such information contained in the Registration Statement or Final Prospectus furnished by any Underwriter consists of
such information described as such in a letter dated the Closing Date (the “Blood Letter”) delivered by the Representatives to the Company). 
 (c) At the Applicable Time, the Disclosure Package does not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements therein, in the light of the
circumstances under which they were made, not misleading. The preceding sentence does not apply to statements in or omissions from the Disclosure Package based upon and in conformity with written information furnished to the Company by any
Underwriter through the Representatives specifically for use therein, it being understood and agreed that the only such information furnished by or on behalf of any Underwriter consists of the information described as such in the Blood Letter.

 (d) (i) At the time of filing the Registration Statement, (ii) at the time of the most recent amendment thereto for
the purposes of complying with Section 10(a)(3) of the Act (whether such amendment was by post-effective amendment, incorporated report filed pursuant to Sections 13 or 15(d) of the Exchange Act or form of prospectus) and (iii) at the time
the Company or any person acting on its behalf (within the meaning, for this clause only, of Rule 163(c) under the Act) made any offer relating to the Securities in reliance on the exemption in Rule 163 under the Act, the Company was or is (as the
case may be) a “well-known seasoned issuer” as defined in Rule 405 under the Act. The Company agrees to pay the fees required by the Commission relating to the Securities within the time required by Rule 456(b)(1) under the Act without
regard to the proviso therein and otherwise in accordance with Rules 456(b) and 457(r) under the Act. 
 (e) At the earliest
time after the filing of the Registration Statement that the Company or another offering participant made a bona fide offer (within the meaning of Rule 164(h)(2) under the Act) of the Securities, the Company was not and is not an Ineligible
Issuer (as defined in Rule 405 under the Act), without taking account of any determination by the Commission pursuant to Rule 405 that it is not necessary that the Company be considered an Ineligible Issuer. 
 (f) Each Issuer Free Writing Prospectus does not include any information that conflicts with the information contained in the Registration
Statement, including any document incorporated therein and any prospectus supplement deemed to be a part thereof that has not been superseded or modified. The foregoing sentence does not apply to statements in or omissions from any Issuer Free
Writing Prospectus based upon and in conformity with written information furnished to the Company by any Underwriter through the Representatives specifically for use therein, it being understood and agreed that the only such information furnished by
or on behalf of any Underwriter consists of the information described as such in the Blood Letter. 
  

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 (g) Certain Definitions. For purposes hereof: 
 (i) “Disclosure Package” shall mean (i) the Basic Prospectus, as amended and supplemented to the Applicable Time,
(ii) the Issuer Free Writing Prospectuses identified in Schedule III hereto, and (iii) any other Free Writing Prospectus that the parties hereto shall hereafter expressly agree in writing to treat as part of the Disclosure Package.

 (ii) “Applicable Time” shall mean the Applicable Time listed in Schedule I hereto. 
 (iii) “Free Writing Prospectus” shall mean a free writing prospectus, as defined in Rule 405 under the Act. 
 (iv) “Issuer Free Writing Prospectus” shall mean an issuer free writing prospectus, as defined in Rule 433 under the Act, that
(i) is required to be filed with the Commission by the Company or (ii) is exempt from filing pursuant to Rule 433(d)(5)(i) because it contains a description of the Securities or the offering that does not reflect the final terms.

 2. Purchase and Sale. Subject to the terms and conditions and in reliance upon the representations and warranties herein set forth,
the Company agrees to sell to each Underwriter, and each Underwriter agrees, severally and not jointly, to purchase from the Company, at the purchase price set forth in Schedule I hereto, the principal amount of the Securities set forth opposite
such Underwriter’s name in Schedule II hereto. 
 3. Delivery and Payment. Delivery of and payment for the Securities shall be
made at the office, on the date and at the time specified in Schedule I hereto, which date and time may be postponed by agreement between the Representatives and the Company or as provided in Section 8 hereof (such date and time of delivery and
payment for the Securities being herein called the “Closing Date”). Delivery of the Securities shall be made to the Representatives for the respective accounts of the several Underwriters against payment by the several Underwriters through
the Representatives of the purchase price thereof in the manner set forth in Schedule I hereto. The Company will deliver against payment of the purchase price the Securities in the form of one or more permanent global securities in definitive form
deposited with or on behalf of the Trustee as custodian for The Depository Trust Company (“DTC”) for credit to the respective accounts of the Underwriters and registered in the name of Cede & Co., as nominee for DTC. Interests in
the permanent global Securities will be held only in book-entry form through DTC, except in the limited circumstances described in the Final Prospectus. 
 4. Agreements. The Company agrees with the several Underwriters that: 
 (a) The
Company will provide to counsel for the Underwriters one manually executed copy of the Registration Statement, including all exhibits thereto, in the form it became effective and all amendments thereto. Prior to the Closing Date, the Company will
not file any amendment of the Registration Statement or supplement (including the Final Prospectus) to the Basic Prospectus unless the Company has furnished you a copy for your review prior to filing and 

  

 4 

 
will not file any such proposed amendment or supplement to which you reasonably object promptly after notice thereof. Neither the Representatives’
consent to, nor the Underwriters’ delivery of, any such amendment or supplement shall constitute a waiver of any of the conditions set forth in Section 5 hereof. Subject to the foregoing sentence, the Company will cause the Final
Prospectus to be filed pursuant to Rule 424(b) under the Act not later than the close of business on the second business day following the execution and delivery of this Agreement. The Company will promptly advise the Representatives (i) when
the Final Prospectus shall have been filed with the Commission pursuant to Rule 424(b), (ii) when any amendment to the Registration Statement relating to the Securities shall have become effective, (iii) of any request by the Commission
for any amendment of the Registration Statement or amendment of or supplement to the Final Prospectus or for any additional information, (iv) of the issuance by the Commission of any stop order suspending the effectiveness of the Registration
Statement, or of any notice that would prevent its use, or the institution or threatening of any proceeding for that purpose and (v) of the receipt by the Company of any notification with respect to the suspension of the qualification of the
Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose. In the event of the issuance of any stop order preventing or suspending the use of any Preliminary Final Prospectus or Final Prospectus, the
Company will use promptly its best efforts to obtain the withdrawal of such stop order. 
 (b) To prepare a final term sheet
in a form approved by you and to file such term sheet pursuant to Rule 433(d)(5)(ii) under the Act within the time required by such Rule. Any such final term sheet shall be an Issuer Free Writing Prospectus. 
 (c) If there occurs an event or development as a result of which the Disclosure Package would include an untrue statement of a material
fact or would omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances then prevailing, not misleading, the Company will notify promptly the Representatives so that any use of the Disclosure
Package may cease until it is amended or supplemented. 
 (d) If, at any time when a prospectus relating to the Securities is
required to be delivered under the Act (including in circumstances where such requirement may be satisfied pursuant to Rule 172), any event occurs as a result of which the Final Prospectus as then amended or supplemented would include any untrue
statement of a material fact or omit to state any material fact necessary to make the statements therein in the light of the circumstances under which they were made not misleading, or if it shall be necessary to amend or supplement the Final
Prospectus to comply with the Act or the Exchange Act or the respective rules thereunder, including in connection with use or delivery of the Final Prospectus, the Company will promptly notify you and will, upon your request, prepare and file with
the Commission an amendment or supplement which will correct such statement or omission or an amendment which will effect such compliance. Neither the Representatives’ request for, nor the Underwriters’ delivery of, any such amendment or
supplement shall constitute a waiver of any of the conditions set forth in Section 5 hereof. 
  

 5 

 (e) As soon as practicable, the Company will make generally available to its security
holders an earnings statement or statements of the Company and its subsidiaries which will satisfy the provisions of Section 11(a) of the Act. 
 (f) The Company will furnish to the Representatives and counsel for the Underwriters, without charge, copies of the Registration Statement (including exhibits thereto) and each amendment thereto which shall become
effective on or prior to the Closing Date and, so long as delivery of a prospectus by an Underwriter or dealer may be required by the Act (including in circumstances where such requirement may be satisfied pursuant to Rule 172), as many copies of
any Preliminary Final Prospectus, the Final Prospectus and each Issuer Free Writing Prospectus included in the Disclosure Package and any amendments thereof and supplements thereto as the Representatives may reasonably request. The Company will pay
the expenses of printing or other production of all documents relating to the offering and the expenses incurred in distributing the Final Prospectus to the Underwriters. 
 (g) The Company will arrange for the qualification of the Securities for sale under the laws of such jurisdictions as the Representatives
may designate, will maintain such qualifications in effect so long as required to complete the distribution of the Securities; provided, however, that the Company shall not be required to qualify to do business in any jurisdiction
where it is not now so qualified or to take any action which would subject it to general or unlimited service of process in any jurisdiction where it is not now so subject or subject itself to taxation in any jurisdiction where it is not now so
subject. 
 (h) Until the business day following the Closing Date or such earlier time as you may notify the Company, the
Company will not, without the consent of the Representatives, offer or sell, or announce the offering of, any debt securities that are substantially similar to the Securities (other than commercial paper) and are covered by the Registration
Statement or any other registration statement filed under the Act. 
 (i) The Company agrees that, unless it obtains the prior
written consent of the Representatives, and each Underwriter, severally and not jointly, agrees with the Company that, unless it has obtained or will obtain, as the case may be, the prior written consent of the Company, it has not made and will not
make any offer relating to the Securities that would constitute an Issuer Free Writing Prospectus or that would otherwise constitute a Free Writing Prospectus required to be filed with the Commission or retained by the Company under Rule 433 under
the Act; provided that the prior written consent of the parties hereto shall be deemed to have been given in respect of the Free Writing Prospectuses included in Schedule III hereto. Any such Free Writing Prospectus consented to 

  

 6 

 
by the Representatives or the Company is hereinafter referred to as a “Permitted Free Writing Prospectus.” The Company agrees that (x) it has
treated and will treat, as the case may be, each Permitted Free Writing Prospectus as an Issuer Free Writing Prospectus and (y) it has complied and will comply, as the case may be, with the requirements of Rules 164 and 433 under the Act
applicable to any Permitted Free Writing Prospectus, including in respect of timely filing with the Commission, legending and record keeping. 
 (j) The Company will pay all expenses incident to the performance of its obligations under this Agreement, for any filing fees or other expenses (including fees and disbursements of counsel) in connection with
qualification of the Securities for sale and determination of their eligibility for investment under the laws of such jurisdictions as the Representatives may designate and the printing of memoranda relating thereto, for any fees charged by
investment rating agencies for the rating of the Securities, for any travel expenses of the Company’s officers and employees and any other expenses of the Company in connection with attending or hosting meetings with prospective purchasers of
Securities and for expenses incurred in distributing any Preliminary Final Prospectus, the Free Writing Prospectuses included in Schedule III hereto or the Final Prospectus. 
 (k) The Company will cooperate with the Representatives and use all commercially reasonable efforts to permit the Securities to be
eligible for clearance and settlement through DTC, the Euroclear System and Clearstream Banking S.A., as applicable. 
 5. Conditions to
the Obligations of the Underwriters. The obligations of the Underwriters to purchase the Securities shall be subject to the accuracy of the representations and warranties on the part of the Company contained herein as of the date hereof, as of
the date of the effectiveness of any amendment to the Registration Statement filed after the date hereof and prior to the Closing Date (including the filing of any document incorporated by reference therein) and as of the Closing Date, to the
accuracy of the statements of the Company made in any certificates pursuant to the provisions hereof, to the performance by the Company of its obligations hereunder and to the following additional conditions: 
 (a) No stop order suspending the effectiveness of the Registration Statement, as amended from time to time, or any notice under Rule
401(g)(2) that would prevent its use, shall have been issued and no proceedings for that purpose shall have been instituted or threatened by the Commission; the Final Prospectus shall have been filed with the Commission pursuant to Rule 424(b) not
later than the close of business on the second business day following the execution and delivery of this Agreement; and the final term sheet contemplated by Section 4(b) hereto, and any other material required to be filed by the Company
pursuant to Rule 433(d) under the Act, shall have been filed with the Commission within the applicable time periods prescribed for such filings by Rule 433. 
  

 7 

 (b) The Company shall have furnished to the Representatives the opinion of Jeannine E.
Zahn, Senior Counsel of the Company or another of the Company’s lawyers, dated the Closing Date, to the effect that: 
 (i) the Company has been duly incorporated and is a validly existing corporation in good standing under the laws of the State of Delaware, has the corporate power and authority to own its properties and conduct its business as described in
the Disclosure Package or the Final Prospectus, and is duly registered as a financial holding company and a bank holding company under the Bank Holding Company Act of 1956, as amended; Wells Fargo Bank, National Association (“Wells Fargo
Bank”) is a national banking association authorized to transact the business of banking under the National Bank Act of 1864, as amended; and WFC Holdings Corporation (“WFC Holdings” and together with Wells Fargo Bank, the
“Significant Subsidiaries”) is a duly organized and validly existing corporation under the laws of the State of Delaware; 
 (ii) each of the Company and the Significant Subsidiaries is duly qualified to do business and is in good standing in each jurisdiction which requires such qualification wherein it owns or leases any material properties or conducts any
material business, except where the failure to so qualify would not have any material adverse effect upon the business, condition or properties of the Company and its subsidiaries, taken as a whole; 
 (iii) all of the outstanding shares of capital stock of each Significant Subsidiary have been duly and validly authorized and issued and
are fully paid and (except as provided in 12 U.S.C. §55 in the case of Wells Fargo Bank) nonassessable, and are owned directly or indirectly by the Company free and clear of any perfected security interest and, to the knowledge of such counsel,
any other security interests, claims, liens or encumbrances; 
 (iv) the number and type of equity securities the Company is
authorized to issue is as set forth in the Disclosure Package or the Final Prospectus; 
 (v) to such counsel’s
knowledge, there are no legal or governmental proceedings pending or threatened which are required to be disclosed in the Disclosure Package or the Final Prospectus, other than as disclosed therein, and there is no contract or other document of a
character required to be described or referred to in the Registration Statement or required to be filed as an exhibit thereto other than those described or referred to therein or filed or incorporated by reference as exhibits thereto, and the
description thereof or references thereto are correct; 
  

 8 

 (vi) neither the issue and sale of the Securities, nor the consummation of any other of
the transactions herein contemplated nor the fulfillment of the terms hereof or the Indenture will result in a breach of, or constitute a default under, any indenture or other agreement or instrument to which the Company or any Significant
Subsidiary is a party or bound and which constitutes a material contract and is set forth as an exhibit to the Company’s most recent Annual Report on Form 10-K or any subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K, or
any other indenture or material agreement or instrument known to such counsel and to which the Company or any Significant Subsidiary is a party or bound, the breach of which would have a material adverse effect on the financial condition of the
Company and its subsidiaries, taken as a whole, or violate any order or regulation known to such counsel to be applicable to the Company or any Significant Subsidiary of any court, regulatory body, administrative agency, governmental body or
arbitrator having jurisdiction over the Company or any Significant Subsidiary; nor will such action result in any violation of the provisions of the Restated Certificate of Incorporation or By-Laws of the Company; 
 (vii) the statements in the Final Prospectus (other than statements furnished in writing to the Company by or on behalf of an Underwriter
through the Representatives, it being understood and agreed that the only such information furnished by any Underwriter consists of such information described as such in the Blood Letter) under the captions “Description of Debt
Securities”, “Plan of Distribution”, “Description of the Notes”, and “Underwriting” insofar as they purport to summarize certain provisions of documents or laws specifically referred to therein, are accurate
summaries of such provisions or laws or of the sources from which such summaries were derived; 
 (viii) the Indenture has
been duly authorized, executed and delivered by the Company, has been duly qualified under the Trust Indenture Act, as amended, and (assuming the Indenture has been duly authorized, executed and delivered by the Trustee) constitutes a valid and
legally binding instrument enforceable against the Company in accordance with its terms (subject, as to enforcement of remedies, to applicable bankruptcy, reorganization, insolvency, moratorium or other laws affecting creditors’ rights
generally from time to time in effect and subject to general equity principles (regardless of whether enforceability is considered in a proceeding in equity or at law) and except further as enforcement thereof may be limited by any governmental
authority that limits, delays or prohibits the making of payments outside the United States); and the Securities have been duly authorized and executed by the Company and, when authenticated in accordance with the provisions of the Indenture and
delivered to and paid for by the Underwriters pursuant to this Agreement, the Securities will constitute valid and legally binding obligations of the Company enforceable against the Company in 

  

 9 

 
accordance with their terms and entitled to the benefits of the Indenture (subject, as to enforcement of remedies, to applicable bankruptcy, reorganization,
insolvency, moratorium or other laws affecting creditors’ rights generally from time to time in effect and subject to general equity principles (regardless of whether enforceability is considered in a proceeding in equity or at law) and except
further as enforcement thereof may be limited by any governmental authority that limits, delays or prohibits the making of payments outside the United States); 
 (ix) the Registration Statement and any amendments thereto have become effective under the Act; to the knowledge of such counsel, no stop
order suspending the effectiveness of the Registration Statement, as amended, or any notice under Rule 401(g)(2) that would prevent its use, has been issued and no proceedings for that purpose have been instituted or threatened; the Registration
Statement, the Final Prospectus and each amendment thereof or supplement thereto as of their respective effective or issue dates (other than the financial statements and other financial and statistical information contained therein, other than
statements furnished in writing to the Company by or on behalf of an Underwriter through the Representatives (it being understood and agreed that the only such information furnished by any Underwriter consists of such information described as such
in the Blood Letter) and other than the Statements of Eligibility on Form T-1 included or incorporated by reference therein, as to which such counsel need express no opinion) complied as to form in all material respects with the applicable
requirements of the Act and the Exchange Act and the respective rules thereunder; and such counsel has no reason to believe that the Registration Statement, or any amendment thereof, at the time it became effective (other than the financial
statements and other financial and statistical information contained therein, other than statements furnished in writing to the Company by or on behalf of an Underwriter through the Representatives (it being understood and agreed that the only such
information furnished by any Underwriter consists of such information described as such in the Blood Letter) and other than the Statements of Eligibility on Form T-1 included or incorporated by reference therein, as to which such counsel need
express no opinion), contained any untrue statement of a material fact or omitted to state any material fact required to be stated therein or necessary to make the statements therein not misleading or that the Final Prospectus, as of its date or as
amended or supplemented at the Closing Date (other than the financial statements and other financial and statistical information contained therein, other than statements furnished in writing to the Company by or on behalf of an Underwriter through
the Representatives (it being understood and agreed that the only such information furnished by any Underwriter consists of such information described as such in the Blood Letter) and other than the Statements of Eligibility on Form T-1 included or
incorporated by reference therein, as to which such counsel need express no opinion), included or includes any untrue statement of a material fact or omitted or omits to state a material fact necessary to make the statements therein, in light of the
circumstances under which they were made, not misleading; 
  

 10 

 (x) such counsel has no reason to believe that the Disclosure Package, as of the
Applicable Time, contained any untrue statement of a material fact or omitted to state any material fact necessary in order to make the statements therein, in the light of circumstances under which they were made, not misleading (other than the
financial statements and other financial and statistical information contained therein, other than statements furnished in writing to the Company by or on behalf of an Underwriter through the Representatives (it being understood and agreed that the
only such information furnished by any Underwriter consists of such information described as such in the Blood Letter) and other than the Statements of Eligibility on Form T-1 included or incorporated by reference therein, as to which such counsel
need express no opinion); 
 (xi) this Agreement has been duly authorized, executed and delivered by the Company; and

 (xii) no consent, approval, authorization or order of any court or government agency or body is required for the
consummation of the transactions contemplated herein, except such as have been obtained under the Act and the Trust Indenture Act and such as may be required under the Blue Sky laws of any jurisdiction or FINRA regulations in connection with the
purchase and distribution of the Securities by the Underwriters. 
 In rendering such opinion, such counsel may rely
(A) as to matters involving the application of laws of any jurisdiction other than the State of Minnesota and the Delaware General Corporation Law or the United States, to the extent deemed proper and specified in such opinion, upon the opinion
of counsel who are satisfactory to counsel for the Underwriters; and (B) as to matters of fact, to the extent deemed proper, on certificates of responsible officers of the Company and its subsidiaries and public officials. 
 (c) The Representatives shall have received from their counsel such opinion or opinions, dated the Closing Date, with respect to the
issuance and sale of the Securities, the Indenture, the Registration Statement, the Disclosure Package, the Final Prospectus and other related matters as the Representatives may reasonably require, and the Company shall have furnished to such
counsel such documents as it requests for the purpose of enabling it to pass upon such matters. 
 (d) The Company shall have
furnished to the Representatives a certificate of the Company, signed by any Senior Vice President or Executive Vice President and the principal financial or accounting officer of the Company, dated the Closing Date, to the effect that: 

(i) the representations and warranties of the Company in Section 1 hereof are true and correct on and as of the Closing Date with
the same effect as if made on the Closing Date, and the Company has complied with all the agreements and satisfied all the conditions on its part to be performed or satisfied at or prior to the Closing Date; 
  

 11 

 (ii) no stop order suspending the effectiveness of the Registration Statement, as
amended, or notice under Rule 401(g)(2) that would prevent its use, has been issued and no proceedings for that purpose have been instituted or threatened; and 
 (iii) since the date of the most recent financial statements included in the Disclosure Package or the Final Prospectus, there has been no
material adverse change in the condition, financial or otherwise, earnings, business, properties or business prospects of the Company and its subsidiaries, taken as a whole, whether or not arising from transactions in the ordinary course of
business, except as set forth in or contemplated in the Disclosure Package or the Final Prospectus. 
 (e) At the Closing
Date, KPMG LLP shall have furnished to the Representatives a letter or letters (which may refer to letters previously delivered to the Representatives), dated the Closing Date. 
 (f) As of the Closing Date, there shall not have occurred since the date hereof any change in the condition, financial or otherwise, or in
the earnings, business, properties, results of operations or business prospects of the Company and its subsidiaries, taken as a whole, from that set forth in the Disclosure Package or the Final Prospectus, as amended or supplemented as of the date
hereof, that, in the judgment of the Representatives, is material and adverse and that makes it, in the judgment of the Representatives, impracticable to market the Securities on the terms and in the manner contemplated by Disclosure Package or the
Final Prospectus, as so amended or supplemented. 
 If (i) any of the conditions specified in this Section 5 shall
not have been fulfilled when and as provided in this Agreement, or (ii) any of the opinions and certificates mentioned above or elsewhere in this Agreement shall not be reasonably satisfactory in form and substance to the Representatives and
their counsel, this Agreement and all obligations of the Underwriters hereunder may be cancelled on, or at any time prior to, the Closing Date by the Representatives. Notice of such cancellation shall be given to the Company in writing or by
telephone or facsimile confirmed in writing. 
 6. Reimbursement of Underwriters’ Expenses. If the sale of the Securities
provided for herein is not consummated because any condition to the obligations of the Underwriters set forth in Section 5 hereof is not satisfied, because of any termination pursuant to Section 10 hereof or because of any refusal,
inability or failure on the part of the Company to perform any agreement herein or comply with any provision hereof other than by reason of a default by any 

  

 12 

 
of the Underwriters, the Company will reimburse the Underwriters severally upon demand for all out-of-pocket expenses (including, without limitation,
reasonable fees and disbursements of counsel and those described in Section 4(j) hereof) that shall have been incurred by them in connection with the proposed purchase and sale of the Securities. 
 7. Indemnification and Contribution. 
 (a) The Company agrees to indemnify and hold harmless each Underwriter and each person who controls any Underwriter within the meaning of either Section 15 of the Act or Section 20 of the Exchange Act
against any and all losses, claims, damages or liabilities, joint or several, arising out of or based upon any untrue statement or alleged untrue statement of a material fact contained in the Registration Statement for the registration of the
Securities as originally filed or in any amendment thereof, or in the Basic Prospectus, any Preliminary Final Prospectus, the Final Prospectus, any Issuer Free Writing Prospectus or in any amendment thereof or supplement thereto, or arise out of or
are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and agrees to reimburse each such indemnified party to the extent set forth
below, as incurred, for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in
any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon any such untrue statement or alleged untrue statement or omission or alleged omission made therein in reliance upon and in conformity with
written information furnished to the Company by or on behalf of any Underwriter through the Representatives specifically for use therein (it being understood and agreed that the only such information furnished by any Underwriter consists of such
information described as such in the Blood Letter). This indemnity agreement will be in addition to any liability which the Company may otherwise have. 
 (b) Each Underwriter, severally and not jointly, agrees to indemnify and hold harmless the Company, each of its directors, each of its officers who signs the Registration Statement, and each person who controls the
Company within the meaning of either Section 15 of the Act or Section 20 of the Exchange Act, to the same extent as the foregoing indemnity from the Company to each Underwriter, but only with reference to written information relating to
such Underwriter furnished to the Company by or on behalf of such Underwriter through the Representatives for use in the preparation of the documents referred to in the foregoing indemnity (it being understood and agreed that the only such
information furnished by any Underwriter consists of such information described as such in the Blood Letter). This indemnity agreement will be in addition to any liability which any Underwriter may otherwise have. 
 (c) Promptly after receipt by an indemnified party under this Section 7 of notice of the commencement of any action (including any
governmental investigation), such indemnified party will, if a claim in respect thereof is to be 

  

 13 

 
made against the indemnifying party under this Section 7, notify the indemnifying party in writing of the commencement thereof; but the omission so to
notify the indemnifying party will not relieve it from any liability which it may have to any indemnified party otherwise than under this Section 7. In case any such action is brought against any indemnified party, and it notifies the
indemnifying party of the commencement thereof, the indemnifying party will be entitled to participate therein, and to the extent that it shall wish, jointly, with any other indemnifying party similarly notified, to assume the defense thereof, with
counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be counsel to the indemnifying party). In any such proceeding, any indemnified party shall have the right to obtain its own
counsel, but the fees and expenses of such counsel shall be at the expense of such indemnified party unless (i) the indemnifying party and the indemnified party shall have mutually agreed to the retention of such counsel or (ii) the named
parties to any such proceeding (including any impleaded parties) include both the indemnified party and the indemnifying party and representation of both parties by the same counsel would be inappropriate due to actual or potential conflicts of
interests between them. It is understood that the indemnifying party shall not, in respect of the legal expenses of any indemnified party in connection with any proceeding or related proceedings in the same jurisdiction, be liable for the fees and
expenses of more than one separate identified firm (in addition to any identified local counsel) for all such indemnified parties and that all such fees and expenses shall be reimbursed as they are incurred. Such firm shall be designated in writing
by the Representatives in the case of parties to be indemnified pursuant to paragraph (a) of this Section 7 and by the Company in the case of parties to be indemnified pursuant to paragraph (b) of this Section 7. An indemnifying
party shall not be liable for any settlement of any proceeding effected without its prior written consent, but if settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified
party from and against any loss or liability by reason of such settlement or judgment. No indemnifying party shall, without the prior written consent of the indemnified party (which consent shall not be unreasonably withheld or delayed), effect any
settlement of any pending or threatened proceeding in respect of which any indemnified party is a party and indemnity could have been sought hereunder by such indemnified party, unless such settlement (i) includes an unconditional release of
such indemnified party from all liability on claims that are the subject matter of such proceeding and (ii) does not include a statement as to, or an admission of, fault, culpability or a failure to act by or on behalf of the indemnified party.

 (d) To the extent the indemnification provided for in Section 7(a) or 7(b) hereof is unavailable to an indemnified
party or insufficient in respect of any losses, claims, damages or liabilities referred to therein, then each indemnifying party under such paragraph, in lieu of indemnifying such indemnified party thereunder, shall contribute to the amount paid or
payable by such indemnified party as a result of such losses, claims, damages or liabilities (i) in such proportion as is appropriate to reflect the relative benefits received by the 

  

 14 

 
Company, on the one hand, and each Underwriter, on the other hand, from the offering of such Securities or (ii) if the allocation provided by clause
(i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the relative fault of the Company, on the one hand, and each Underwriter,
on the other hand, in connection with the statements or omissions that resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative benefits received by the Company, on the one hand,
and each Underwriter, on the other hand, in connection with the offering of such Securities shall be deemed to be in the same respective proportions as the total net proceeds from the offering of such Securities (before deducting expenses) received
by the Company bear to the total discounts and commissions received by each Underwriter in respect thereof. The relative fault of the Company, on the one hand, and each Underwriter, on the other hand, shall be determined by reference to, among other
things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company or by such Underwriter and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission. Each Underwriter’s obligation to contribute pursuant to this Section 7 shall be several in the proportion that the principal amount of the
Securities the sale of which by such Underwriter gave rise to such losses, claims, damages or liabilities bears to the aggregate principal amount of the Securities the sale of which by all Underwriters gave rise to such losses, claims, damages or
liabilities, and not joint. 
 (e) The Company and the Underwriters agree that it would not be just or equitable if
contribution pursuant to Section 7(d) hereof were determined by pro rata allocation (even if the Underwriters were treated as one entity for such purpose) or by any other method of allocation that does not take account of the equitable
considerations referred to in Section 7(d) hereof. The amount paid or payable by an indemnified party as a result of the losses, claims, damages and liabilities referred to in Section 7(d) hereof shall be deemed to include, subject to the
limitations set forth above, any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section 7, no Underwriter
shall be required to contribute any amount in excess of the amount by which the total price at which the Securities referred to in Section 7(d) hereof that were offered and sold to the public through such Underwriter exceeds the amount of any
damages that such Underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the
Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. 
 8. Default by an
Underwriter. If any one or more Underwriters shall fail to purchase and pay for any of the Securities agreed to be purchased by such Underwriter or Underwriters hereunder, the remaining Underwriters shall be obligated severally to take up and
pay for (in the 

  

 15 

 
respective proportions which the principal amount of Securities set forth opposite their names in Schedule II hereto bear to the aggregate principal amount
of Securities set forth opposite the names of all the remaining Underwriters) the Securities which the defaulting Underwriter or Underwriters agreed but failed to purchase; provided, however, that in the event that the aggregate
principal amount of Securities which the defaulting Underwriter or Underwriters agreed but failed to purchase shall exceed 10% of the aggregate principal amount of Securities set forth in Schedule II hereto, the remaining Underwriters shall have the
right to purchase all, but shall not be under any obligation to purchase any, of such Securities; provided further, that if the remaining Underwriters do not exercise their right to purchase such Securities and arrangements for the purchase
of such Securities satisfactory to the Company and the Representatives are not made within 36 hours after such default, then this Agreement will terminate without liability to any nondefaulting Underwriter or the Company. In the event of a default
by any Underwriter as set forth in this Section 8, the Closing Date shall be postponed for such period, not exceeding seven days, as the Representatives shall determine in order that the required changes in the Registration Statement and the
Final Prospectus or in any other documents or arrangements may be effected. Nothing contained in this Agreement shall relieve any defaulting Underwriter of its liability, if any, to the Company and any nondefaulting Underwriter for damages
occasioned by its default hereunder. 
 9. Underwriter Representations and Agreements. 
 (a) Each Underwriter represents and agrees that (i) it and each of its affiliates has not offered or sold, and will not offer or
sell, any of the Securities to persons in the United Kingdom in circumstances which have resulted in or will result in the Securities being or becoming the subject of an offer of transferable securities to the public as defined in Section 102B
of the Financial Services and Markets Act 2000 (as amended) (the “FSMA”); (ii) it and each of its affiliates has complied, and will comply, with all applicable provisions of the FSMA with respect to anything done by it in
relation to the Securities in, from or otherwise involving the United Kingdom; and (iii) it and each of its affiliates has only communicated, or caused to be communicated, and will only communicate, or cause to be communicated, any invitation
or inducement to engage in investment activity (within the meaning of Section 21 of the FSMA) received by it in connection with the issue or sale of any Securities in circumstances in which Section 21(1) of the FSMA does not apply to the
Company. 
 (b) In relation to each Member State of the European Economic Area which has implemented the Prospectus Directive
(each, a “Relevant Member State”), each Underwriter represents and agrees that it has not made and will not make an offer of the Securities to the public in that Relevant Member State prior to the publication of a prospectus in relation to
the Securities which has been approved by the competent authority in that Relevant Member State or, where appropriate, approved in another Relevant Member State and notified to the competent authority in that Relevant Member State, all in accordance
with the Prospective Directive, except that it may make an offer of the Securities to the public in that Relevant Member State at any time: (i) to legal entities which are authorised or regulated to operate in the financial markets or, if not
so authorised 

  

 16 

 
or regulated, whose corporate purpose is solely to invest in securities; (ii) to any legal entity which meets two or more of the following criteria:
(A) an average of at least 250 employees during the last financial year; (B) a total balance sheet of more than €43,000,000; and (C) an annual net turnover of more than €50,000,000, in each case as determined in accordance
with the Prospectus Directive and as shown in its last annual or consolidated accounts; or (iii) in any other circumstances which do not require the publication of a prospectus pursuant to Article 3 of the Prospectus Directive. 
 For the purposes of this provision, the expression an “offer of the Securities to the public” in relation to any Securities in any Relevant
Member State means the communication in any form and by any means, presenting sufficient information on the terms of the offer and the Securities to be offered, so as to enable an investor to decide to purchase or subscribe to the Securities, as the
same may be varied in that Relevant Member State by any measure implementing the Prospectus Directive in that Member State and the expression “Prospectus Directive” means Directive 2003/71/EC and includes any relevant implementing measure
in the applicable Relevant Member State. 
 (c) Each Underwriter represents and agrees that it has not offered or sold the
Securities by means of any document other than (i) in circumstances which do not constitute an offer to the public within the meaning of the Companies Ordinance (Cap. 32, Laws of Hong Kong), or (ii) to “professional investors”
within the meaning of the Securities and Futures Ordinance (Cap. 571, Laws of Hong Kong) and any rules made thereunder, or (iii) in other circumstances which do not result in the document being a “prospectus” within the meaning of the
Companies Ordinance (Cap. 32, Laws of Hong Kong), and has not issued, or possessed for the purpose of issuing, any advertisement, invitation or document relating to the Securities (in each case whether in Hong Kong or elsewhere), which is directed
at, or the contents of which are likely to be accessed or read by, the public in Hong Kong (except if permitted to do so under the laws of Hong Kong) other than with respect to the Securities which are or are intended to be disposed of only to
persons outside Hong Kong or only to “professional investors” within the meaning of the Securities and Futures Ordinance (Cap. 571, Laws of Hong Kong) and any rules made thereunder. 
 (d) Each Underwriter represents and agrees that it has not offered or sold any Securities, directly or indirectly, in Japan or to, or for
the benefit of, any resident of Japan (which term as used herein means any person resident in Japan, including any corporation or other entity organized under the laws of Japan), or to others for re-offering or resale, directly or indirectly, in
Japan or to a resident of Japan, except to “qualified institutional investors” (TEKIKAKU-KIKAN-TOSHIKA) as defined under Article 2, Paragraph 3, Item 1 of the Financial Instruments and Exchange Law of Japan and pursuant to an
exemption from the registration requirements of, and otherwise in compliance with, Article 2, Paragraph 3, Item 2, Sub-Item A of the Financial Instruments and Exchange Law of Japan. When such Underwriter sells the Securities to a qualified
institutional 

  

 17 

 
investor, it will provide written notice to such qualified institutional investor prior to or simultaneous with such transfer that the Securities may be sold
or otherwise disposed of only to another qualified institutional investor. 
 (e) Each Underwriter represents and agrees that
it has not circulated or distributed the Final Prospectus, the Basic Prospectus, any Free Writing Prospectus and any other document or material in connection with the offer or sale, or invitation for subscription or purchase, of the Securities, and
it has not offered or sold the Securities, or made the Securities the subject of an invitation for subscription or purchase, whether directly or indirectly, to persons in Singapore other than (i) to an institutional investor under
Section 274 of the Securities and Futures Act, Chapter 289 of Singapore (the “SFA”), (ii) to a relevant person, or any person pursuant to Section 275(1A), and in accordance with the conditions, specified in Section 275
of the SFA or (iii) otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA. Where the Securities are subscribed or purchased under Section 275 by a relevant person which is: (a) a
corporation (which is not an accredited investor) the sole business of which is to hold investments and the entire share capital of which is owned by one or more individuals, each of whom is an accredited investor; or (b) a trust (where the
trustee is not an accredited investor) whose sole purpose is to hold investments and each beneficiary is an accredited investor, shares, debentures and units of shares and debentures of that corporation or the beneficiaries’ rights and interest
in that trust shall not be transferable for 6 months after that corporation or that trust has acquired the Securities under Section 275 except: (x) to an institutional investor under Section 274 of the SFA or to a relevant person, or
any person pursuant to Section 275(1A), and in accordance with the conditions, specified in Section 275 of the SFA; (y) where no consideration is given for the transfer; or (z) by operation of law. 
 (f) In the event that the offer or sale of the Securities by an Underwriter in a jurisdiction requires any action on the part of the
Company in or with respect to such jurisdiction, such Underwriter represents and agrees that it will (i) inform the Company that the Company is required to take such action prior to the time such action is required to be taken, and
(ii) cooperate with and assist the Company in complying with such requirements. Each Underwriter severally agrees that it will, to the best of its knowledge and belief, comply with all applicable securities laws and regulations in force in any
jurisdiction in which it purchases, offers, sells or delivers the Securities or possesses or distributes any Preliminary Final Prospectus, the Final Prospectus, any Free Writing Prospectus or any other offering material relating to the Securities,
and will obtain any required consent, approval or permission for its purchase, offer, sale or delivery of the Securities under the laws and regulations in force in any jurisdiction to which it is subject or in which it makes any such purchases,
offers, sales or deliveries. 
 (g) Each Underwriter severally agrees that it will timely file with the Corporate Financing
Department of the Financial Industry Regulatory Authority (the “Association”) any documents required to be filed under Rules 2710 and 2720 of the Association’s Conduct Rules relating to the offering of the Securities. 
  

 18 

 10. Termination. This Agreement shall be subject to termination in the absolute discretion of the
Representatives, by notice given to the Company prior to delivery of and payment for the Securities, if prior to such time there shall have occurred any (i) suspension or material limitation of trading generally on the New York Stock Exchange
or a material disruption in settlement services in the United States, (ii) suspension of trading of any securities of the Company on any exchange or in any over-the-counter market, (iii) declaration of a general moratorium on commercial
banking activities in California or New York by either Federal or state authorities, (iv) lowering of the rating assigned to any debt securities of the Company by any nationally-recognized securities rating agency or public announcement by any
such rating agency that it has under surveillance or review, with possible negative consequences, its rating of any debt securities of the Company or (v) outbreak or escalation of hostilities in which the United States is involved, declaration
of war by Congress or change in financial markets or calamity or crisis including, without limitation, an act of terrorism, that, in the judgment of the Representatives, is material and adverse and, in the case of any of the events described in
clauses (i) through (v), such event, either alone or together with any other such event, makes it, in the judgment of the Representatives, impracticable to proceed with completion of the public offering of, or sale of and payment for, the
Securities. 
 11. Representations and Indemnities to Survive. The respective agreements, representations, warranties, indemnities and
other statements of the Company or its officers and of the Underwriters set forth in or made pursuant to this Agreement will remain in full force and effect, regardless of any investigation made by or on behalf of any Underwriter or the Company or
any of the officers, directors or controlling persons referred to in Section 7 hereof, and will survive delivery of and payment for the Securities. The provisions of Sections 6 and 7 hereof shall survive the termination or cancellation of this
Agreement. 
 12. Notices. Unless otherwise provided herein, all notices required under the terms and provisions hereof shall be in
writing, either delivered by hand, by mail or by facsimile, telex, telecopier, or telegram and confirmed to the recipient, and any such notice shall be effective when received if sent to the Representatives, at the addresses specified in Schedule I
hereto, or if sent to the Company, at 444 Market Street, MAC: 0195-171, San Francisco, California, 94111. 
 13. Successors. This
Agreement will inure to the benefit of and be binding upon the parties hereto and their respective successors and the officers and directors and controlling persons referred to in Section 7 hereof, and no other person will have any right or
obligation hereunder. 
 14. No Fiduciary Duty. The Company hereby acknowledges that (a) the purchase and sale of the Securities
pursuant to this Agreement is an arm’s-length commercial transaction between the Company, on the one hand, and the Underwriters and any affiliate through which it may be acting, on the other, (b) the Underwriters are acting as principal
and not as an agent or fiduciary of the Company and (c) the Company’s engagement of the Underwriters in connection with the offering and the process leading up to the offering is as independent contractors and not in any other capacity.
Furthermore, the Company agrees that it is solely responsible for making 

  

 19 

 
its own judgments in connection with the offering (irrespective of whether any of the Underwriters has advised or is currently advising the Company on
related or other matters). The Company agrees that it will not claim that the Underwriters have rendered advisory services of any nature or respect, or owe an agency or fiduciary duty to the Company, in connection with the purchase and sale of the
Securities pursuant to this Agreement or the process leading to such purchase and sale. 
 15. Integration. This Agreement supersedes
all prior agreements and understandings (whether written or oral) between the Company and the Underwriters, or any of them, with respect to the subject matter hereof. 
 16. Applicable Law. This Agreement will be governed by and construed in accordance with the laws of the State of New York. 
 17. Business Day. As used herein, the term “business day” shall mean any day when the Commission’s office in Washington, D.C. is normally open for business. 
  

 20 

 If the foregoing is in accordance with your understanding of our agreement, please sign and return to us
the enclosed duplicate hereof, whereupon this letter and your acceptance shall represent a binding agreement among the Company and the several Underwriters. 
  

					
	Very truly yours,
	
	WELLS FARGO & COMPANY
		
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 The foregoing Agreement is hereby confirmed and accepted as of the date specified in Schedule I hereto. 
 [            ] 
 [            ] 
 [            ] 
 Acting on behalf of themselves and as the
Representatives of the several Underwriters. 
 [            ] 
  

					
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 [            ] 
  

					
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 [            ] 
  

					
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 SCHEDULE I 
 Underwriting Agreement dated [            ] (the “Agreement”) 
 Registration Statement No. 333-135006 
  

	Indenture:	Indenture dated as of July 21, 1999 between Wells Fargo & Company and Citibank, N.A., as trustee 

 Representatives, including addresses: 
 Title, Purchase Price and
Description of Securities: 
 Title: 
 Principal Amount: 
 Interest Rate: 
 Interest Payment Dates: 
 Maturity: 
 Denominations: Beneficial interests in the Securities will be held in minimum denominations of $5,000 and integral multiples of $1,000 in excess thereof

 Price to Public: 
 Purchase
price (include type of funds, if other than Federal Funds, and accrued interest or amortization if applicable): 
 Sinking fund provisions:

 Redemption provisions: 
 Provisions regarding repayment at the option of Holders: 
 Applicable Time:
[            ] p.m. (Eastern time) on the date of the Agreement 
 Closing Date, Time and
Location: [            ], 10:00 a.m., New York City time, at the offices of Gibson, Dunn & Crutcher LLP, One Montgomery Street, San Francisco, California 94104 

 

 I-1 

 SCHEDULE II 
 Fixed Rate Notes 
  

					
	 Underwriter
	  	Principal Amount	 
	 [________]
	  	 	[________	]
	 [________]
	  	 	[________	]
	 [________]
	  	 	[________	]
	 [________]
	  	 	[________	]
	 [________]
	  	 	[________	]
	 [________]
	  	 	[________	]
	 Total
	  	$	[________	]

  

 II-1 

 SCHEDULE III 
 Free Writing Prospectuses Included in Disclosure Package 
 Final Term Sheet with respect to the Securities
dated [            ] prepared pursuant to Section 4(b) of this Agreement. 
  

 III-1Indenture of Trust -- Control Refunding Revenue Bonds 2009 Series A

 Exhibit 4.01 
 EXECUTION COPY 
  
  
 INDENTURE OF TRUST 
 between 
 MARICOPA COUNTY, ARIZONA POLLUTION CONTROL CORPORATION 
 and 
 UNION BANK, N.A., 
 as Trustee 
 Dated as of March 1, 2009 
 Relating to 
 $63,500,000 
 Maricopa County, Arizona Pollution Control Corporation 
 Pollution Control Refunding
Revenue Bonds 
 2009 Series A 
 (El
Paso Electric Company Palo Verde Project) 
  
  

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
	
	 ARTICLE I DEFINITIONS

			
	 Section 1.01
	  	Definitions	  	3
	 Section 1.02
	  	Number and Gender	  	19
	 Section 1.03
	  	Articles, Sections, Etc	  	19
	 Section 1.04
	  	Content of Certificates and Opinions	  	19
	 Section 1.05
	  	Findings	  	19
	
	 ARTICLE II THE BONDS

			
	 Section 2.01
	  	Authorization and Terms of Bonds	  	20
	 Section 2.02
	  	Execution of Bonds	  	33
	 Section 2.03
	  	Transfer and Exchange of Bonds	  	34
	 Section 2.04
	  	Bond Register	  	35
	 Section 2.05
	  	Bonds Mutilated Lost Destroyed or Stolen	  	35
	 Section 2.06
	  	Disposition of Cancelled Bonds	  	36
	 Section 2.07
	  	CUSIP Number	  	36
	 Section 2.08
	  	Other Obligations	  	36
	 Section 2.09
	  	Temporary Bonds	  	36
	
	 ARTICLE III ISSUANCE OF BONDS

			
	 Section 3.01
	  	Authentication and Delivery of Bonds	  	36
	 Section 3.02
	  	Application of Proceeds of Bonds	  	37
	 Section 3.03
	  	Payment of Principal and Interest	  	37
	
	 ARTICLE IIIA ARS PROVISIONS

			
	 Section 3A.01
	  	Amendments with Conversion to Applicable ARS Rate	  	37
	 Section 3A.02
	  	Payments with Respect to ARS	  	38
	 Section 3A.03
	  	Calculation of All-Hold Rate	  	40
	 Section 3A.04
	  	Notification of Rates, Amounts and Payment Dates	  	40
	 Section 3A.05
	  	Adjustments with Respect to ARS Provisions	  	41
	 Section 3A.06
	  	Maximum Bond Interest Rate, Non-Payment Rate	  	41
	 Section 3A.07
	  	Auction Agent	  	42
	 Section 3A.08
	  	Broker-Dealers	  	43
	 Section 3A.09
	  	Provisions Relating to Auctions	  	43
	 Section 3A.10
	  	Agreement of Holders	  	43
	 Section 3A.11
	  	Changes in Auction Period or Auction Date	  	43
	 Section 3A.12
	  	Conversion of Bonds to Applicable ARS Rate	  	45
	 Section 3A.13
	  	Conversion to from ARS to Other Interest Rate Modes	  	45

  

 i 

					
	 ARTICLE IV REDEMPTION AND PURCHASE OF BONDS

			
	 Section 4.01
	  	Redemption of Bonds	  	46
	 Section 4.02
	  	Selection of Bonds to be Redeemed	  	49
	 Section 4.03
	  	Notice for Redemption	  	49
	 Section 4.04
	  	Partial Redemption of Bonds	  	50
	 Section 4.05
	  	Effect of Redemption	  	51
	 Section 4.06
	  	Payment of Redemption Price	  	51
	 Section 4.07
	  	Bank Purchase Option	  	52
	 Section 4.08
	  	Purchase of Bonds	  	54
	 Section 4.09
	  	Delivery of Tendered Bonds	  	57
	 Section 4.10
	  	Bonds Deemed Purchased	  	57
	 Section 4.11
	  	Payment Procedure Pursuant to Bond Insurance Policy	  	57
	 Section 4.12
	  	Purchase in Lieu of Redemption	  	59
	
	 ARTICLE V THE BOND FUND

			
	 Section 5.01
	  	Creation of Bond Fund	  	59
	 Section 5.02
	  	Deposits into Bond Fund	  	59
	 Section 5.03
	  	Use of Moneys in Bond Fund	  	59
	 Section 5.04
	  	Credit Facility	  	60
	 Section 5.05
	  	Custody of Bond Fund; Withdrawal of Moneys	  	62
	 Section 5.06
	  	Bonds Not Presented for Payment	  	62
	 Section 5.07
	  	Moneys Held in Trust	  	62
	 Section 5.08
	  	Payment to the Bank and to the Borrower	  	63
	
	 ARTICLE VI PURCHASE FUND

			
	 Section 6.01
	  	Tender Agent	  	63
	 Section 6.02
	  	Notice of Bonds Delivered for Purchase; Purchase of Bonds	  	64
	
	 ARTICLE VII INVESTMENTS

			
	 Section 7.01
	  	Investments	  	66
	
	 ARTICLE VIII GENERAL COVENANTS

			
	 Section 8.01
	  	Limited Obligation; Payment of Principal and Interest	  	66
	 Section 8.02
	  	Performance of Agreements; Authority	  	67
	 Section 8.03
	  	Maintenance of Corporate Existence; Compliance with Laws	  	67
	 Section 8.04
	  	Enforcement of Borrower’s Obligations under the Agreement	  	67
	 Section 8.05
	  	Further Assurances	  	67
	 Section 8.06
	  	No Disposition or Encumbrance of Issuer’s Interests	  	67
	 Section 8.07
	  	Trustee’s Access to Books Relating to Facilities	  	68
	 Section 8.08
	  	Filing of Financing Statements	  	68
	 Section 8.09
	  	Tax Covenant	  	68
	 Section 8.10
	  	Notices by Trustee	  	68
	 Section 8.11
	  	No Transfer of Credit Facility	  	69

  

 ii 

 ARTICLE IX DEFEASANCE 
  

					
	 Section 9.01
	  	Defeasance	  	69
	 Section 9.02
	  	Survival of Certain Provisions	  	70
	
	 ARTICLE X DEFAULTS AND REMEDIES

			
	Section 10.01	  	Events of Default	  	70
	 Section 10.02
	  	Remedies	  	73
	 Section 10.03
	  	Restoration to Former Position	  	73
	 Section 10.04
	  	Bond Insurer’s Right to Direct Proceedings	  	74
	 Section 10.05
	  	Limitation on Owners’ Right to Institute Proceedings	  	74
	 Section 10.06
	  	No Impairment of Right to Enforce Payment	  	74
	 Section 10.07
	  	Proceeding by Trustee Without Possession of Bonds	  	74
	 Section 10.08
	  	No Remedy Exclusive	  	74
	 Section 10.09
	  	No Waiver of Remedies	  	75
	 Section 10.10
	  	Application of Moneys	  	75
	 Section 10.11
	  	Severability of Remedies	  	76
	 Section 10.12
	  	Waivers of Events of Default	  	77
	 Section 10.13
	  	No Obligation of Issuer to Act	  	77
	
	 ARTICLE XI TRUSTEE, PAYING AGENT, REGISTRAR

			
	 Section 11.01
	  	Acceptance of Trusts	  	77
	 Section 11.02
	  	Trustee Not Responsible for Recitals, Maintenance, Insurance, etc	  	78
	 Section 11.03
	  	Limitations on Liability	  	78
	 Section 11.04
	  	Compensation, Expenses and Advances	  	79
	 Section 11.05
	  	Notice of Events of Default	  	79
	 Section 11.06
	  	Action by Trustee	  	80
	 Section 11.07
	  	Good Faith Reliance	  	80
	 Section 11.08
	  	Dealings in Bonds and with the Issuer and the Borrower	  	80
	 Section 11.09
	  	Several Capacities	  	81
	 Section 11.10
	  	Construction of Indenture	  	81
	 Section 11.11
	  	Resignation of Trustee	  	81
	 Section 11.12
	  	Removal of Trustee	  	81
	 Section 11.13
	  	Appointment of Successor Trustee	  	81
	 Section 11.14
	  	Qualifications of Successor Trustee	  	82
	 Section 11.15
	  	Judicial Appointment of Successor Trustee	  	82
	 Section 11.16
	  	Acceptance of Trusts by Successor Trustee	  	82
	 Section 11.17
	  	Successor by Merger or Consolidation	  	82
	 Section 11.18
	  	Standard of Care	  	83
	 Section 11.19
	  	Notice of Event of Default	  	83
	 Section 11.20
	  	Intervention in Litigation	  	83
	 Section 11.21
	  	Paying Agent	  	83
	 Section 11.22
	  	Qualifications of Paying Agent; Resignation; Removal	  	84
	 Section 11.23
	  	Registrar	  	84
	 Section 11.24
	  	Qualifications of Registrar; Resignation; Removal	  	85

  

 iii 

					
	 Section 11.25
	  	Appointment of Co-Trustee	  	85
	 Section 11.26
	  	Notices to Rating Agencies	  	86
	
	 ARTICLE XII EXECUTION OF INSTRUMENTS BY OWNERS AND PROOF
OF
 OWNERSHIP OF BONDS

			
	 Section 12.01
	  	Execution of Instruments Proof of Ownership	  	86
	
	 ARTICLE XIII MODIFICATION OF INDENTURE DOCUMENTS

			
	 Section 13.01
	  	Limitations	  	87
	 Section 13.02
	  	Modification without Consent of Owners	  	87
	 Section 13.03
	  	Modification with Consent of Owners	  	88
	 Section 13.04
	  	Effect of Supplemental Indenture	  	89
	 Section 13.05
	  	Consent of the Borrower, the Bank and the Bond Insurer	  	89
	 Section 13.06
	  	Amendment of Agreement without Consent of Owners	  	89
	 Section 13.07
	  	Amendment of Agreement with Consent of Owners	  	90
	 Section 13.08
	  	Issuance of Bonds Under Other Indentures: Recognition of Prior Pledges	  	90
	
	 ARTICLE XIV REMARKETING AGENT; TENDER AGENT; PURCHASE
AND
 REMARKETING OF BONDS

			
	 Section 14.01
	  	Remarketing Agent and Tender Agent	  	91
	 Section 14.02
	  	Qualifications of Remarketing Agent and Tender Agent; Resignation; Removal	  	91
	 Section 14.03
	  	Remarketing of Bonds; Notice of Interest Rates	  	92
	 Section 14.04
	  	Delivery of Bonds	  	92
	 Section 14.05
	  	Drawings on Credit Facility	  	94
	 Section 14.06
	  	Delivery of Proceeds of Sale	  	94
	
	 ARTICLE XV MISCELLANEOUS

			
	 Section 15.01
	  	Indenture to Bind and Inure to Benefit of Successors to Issuer	  	94
	 Section 15.02
	  	Parties in Interest	  	94
	 Section 15.03
	  	Severability	  	95
	 Section 15.04
	  	No Personal Liability of Issuer Under Indenture	  	95
	 Section 15.05
	  	Bonds Owned by the Issuer or the Borrower	  	95
	 Section 15.06
	  	Governing Law	  	95
	 Section 15.07
	  	Notices	  	95
	 Section 15.08
	  	Non-Business Days	  	96
	 Section 15.09
	  	Opinions	  	97
	 Section 15.10
	  	Headlines; Table of Contents	  	97
	 Section 15.11
	  	Execution in Several Counterparts	  	97
	 Section 15.12
	  	Bond Insurer as Third-Party Beneficiary	  	97
	 Section 15.13
	  	Additional Covenants of the Issuer to Bond Insurer	  	97
	 Section 15.14
	  	Bank and Bond Insurer	  	97
	 Section 15.15
	  	Statutory Notice	  	97

  

 iv 

			
	 Exhibit A – Form of Bond
	  	A-1
	 Exhibit B – Auction Procedures
	  	B-1

  

 v 

 THIS INDENTURE OF TRUST is made and entered into as of March 1, 2009, by and between MARICOPA
COUNTY, ARIZONA POLLUTION CONTROL CORPORATION, an Arizona nonprofit corporation designated as a political subdivision under the laws of the State of Arizona incorporated for and with the approval of the County of Maricopa, Arizona, pursuant to the
provisions of the Constitution of the State of Arizona and Title 9, Chapter 12, Arizona Revised Statutes, enacted by Chapter 69, Section 2, Laws of Arizona of 1972, renumbered as Title 35, Chapter 6, Arizona Revised Statutes, by Chapter 281,
Section 2, Laws of Arizona of 1986, and all acts supplemental thereto or, amendatory thereof (hereinafter, together with any successor to its functions, called the “Issuer”), and Union Bank, N.A., a national banking association
authorized to exercise corporate trust powers, with a principal corporate trust office in Los Angeles, California (hereinafter, together with any successor in such capacity, called the “Trustee”). 
 W I T N E S S E T H: 
 WHEREAS, Title 35,
Chapter 6, Arizona Revised Statutes (formerly Title 9, Chapter 12, Arizona Revised Statutes, enacted by Chapter 69, Section 2, Laws of Arizona of 1972), as amended (hereinafter called the “Act”), empowers any pollution control
corporation organized pursuant to Article 1 of the Act to issue revenue bonds in accordance with Article 2 of the Act and to make secured or unsecured loans for the purpose of financing or refinancing the acquisition, construction, improvement or
equipping of pollution control facilities, to charge and collect interest on such loans and pledge the proceeds of loan agreements as security for the payment of the principal of and interest on bonds, or designated issues of bonds, issued by the
corporation and any agreements made in connection therewith, whenever the board of directors finds such loans to be in furtherance of the purposes of the corporation; and 
 WHEREAS, Chapter 69, Section 1, Laws of Arizona of 1972, declares it to be the purpose of the Act to authorize the incorporation in the several municipalities and counties of the State of Arizona of corporations
which shall constitute political subdivisions of the State, to finance the acquisition and installation of, or the construction and leasing of, properties, machinery and equipment intended to prevent or limit air, water and other forms of pollution
for the purpose of protecting the health and welfare of the citizens of the State of Arizona, and to facilitate compliance with existing or future air, water and other quality standards designed to improve the environment, and declares that such
corporations shall serve a public purpose and perform an essential governmental function; and 
 WHEREAS, in response to an application by
four qualified electors of the County of Maricopa, Arizona (the “County”), a political subdivision of the State of Arizona, the Board of Supervisors of said County on December 5, 1983, adopted a resolution by which it determined that
it was wise, expedient, advisable and in the public interest that said application be approved, approved said application, and authorized said four electors to proceed with the incorporation of the Issuer as a pollution control corporation for said
County, all in accordance with Section 35¬802 of the Act to issue bonds and to carry out the other functions and fulfill the purposes of the Issuer; and 
 WHEREAS, the Issuer was thereupon organized and incorporated in accordance with the provisions of the Act, and, on December 5, 1983, the Articles of Incorporation of the Issuer were 

 
filed with the Arizona Corporation Commission, in accordance with Section 35-809 of the Act; and 
 WHEREAS, the Issuer has heretofore issued and sold its $63,500,000 aggregate principal amount of Pollution Control Refunding Revenue Bonds, 2005 Series B
(El Paso Electric Company Palo Verde Project) (the “Prior Bonds”), the proceeds of which were used to refinance a portion of the costs of acquisition, construction, improvement or equipping of the Project; and 
 WHEREAS, the Board of Directors of the Issuer on March 17, 2009 determined to sell additional revenue bonds of the Issuer to provide the moneys
necessary to redeem and refund the outstanding principal amount of the Prior Bonds; and 
 WHEREAS, appropriate certifications have been
received stating that the portion of the Generating Station which constitutes the pollution control facilities, as described in Exhibit A to the Agreement (defined below) (the “Generating Station”), as designed, are in furtherance of the
purpose of abating or controlling atmospheric or water pollutants or contaminants resulting from the generation of electricity at the Generating Station; and 
 WHEREAS, the Issuer and the Borrower have executed and delivered that certain Loan Agreement, dated as of March 1, 2009 (hereinafter called the “Agreement”), setting forth the undertaking by the Issuer
to issue and sell its revenue bonds under the Act (hereinafter called the “Bonds”), and to lend the proceeds of the Bonds to the Borrower to provide a portion of the moneys necessary to redeem and refund the outstanding principal amount of
Prior Bonds; and 
 WHEREAS, in the Agreement the Borrower releases the Issuer and agrees that the Issuer shall not be liable for, and will
indemnify and hold the Issuer and the Trustee harmless from, certain matters; and 
 WHEREAS, certain findings and determinations relating to
the Agreement and the Generating Station and the Project have heretofore been made and are set forth in this Indenture; and 
 WHEREAS, the
execution and delivery of the Agreement and this Indenture and the issuance of the Bonds have been in all respects duly and validly authorized, and duly adopted and approved by resolutions of the Board of Directors of the Issuer, and the Project,
the plan of financing for the Project and the issuance of the Bonds have been duly approved by the Board of Supervisors of the County, as required by the Act and otherwise; and 
 WHEREAS, all other things necessary to make the Bonds, when issued, executed and delivered by the Issuer and authenticated by the Trustee pursuant to
this Indenture, the valid, legal and binding limited obligations of the Issuer, and to constitute this Indenture a valid pledge and assignment of all right, title and interest of the Issuer in the Agreement (except as to certain payments to the
Issuer under provisions for indemnification of, and reimbursement of expenses of, the Issuer), and of certain income and revenues derived from the Agreement, for the payment of the principal of and interest on the Bonds authenticated and delivered
under this Indenture, and the creation, execution and issuance of the Bonds, subject to the terms hereof, have in all respects been duly authorized; 
  

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 NOW, THEREFORE, the Issuer, in consideration of the covenants herein contained and of the purchase and
acceptance of the Bonds by the holders thereof, in order to secure the payment of all Bonds at any time Outstanding under this Indenture, according to their tenor and effect, and the performance and observance of all the covenants and conditions in
the Bonds and herein contained, and to declare the terms and conditions upon and subject to which the Bonds are issued and secured, does grant a security interest in and pledge to the Trustee (as hereinafter defined), and to its successors and
assigns forever, the Trust Estate (as hereinafter defined) for the equal and proportionate benefit, security and protection of all holders and owners of the Bonds issued under and secured by this Indenture without privilege, priority or distinction
as to the lien or otherwise of any of the Bonds over any other of the Bonds, all upon the terms stated in this Indenture. 
 ARTICLE I

 DEFINITIONS 
 Section 1.01
Definitions. The terms defined in this Article I shall, for all purposes of this Indenture and of any supplemental indenture hereto have the meanings herein specified, unless the context clearly requires otherwise. Capitalized terms used
herein, defined in the Agreement and not otherwise defined herein, shall have the meaning specified in the Agreement. 
 “Act”
shall mean Title 35, Chapter 6, Arizona Revised Statutes (formerly Title 9, Chapter 12, Arizona Revised Statutes, enacted by Chapter 69, Section 2, Laws of Arizona of 1972), and all acts supplemental thereto or amendatory thereof. 

“Agreement” shall mean the Loan Agreement, of even date herewith, between the Issuer and the Borrower and relating to the loan of the
proceeds of the Bonds, as originally executed or as it may from time to time be supplemented or amended. 
 “All-Hold Rate” shall
mean, on any date of determination, the interest rate per annum equal to 65% of the Index on such date; provided, that in no event shall the All-Hold Rate be more than the Maximum Lawful Rate. 
 “Alternate Credit Support” shall mean any letter of credit, credit facility, insurance policy, guarantee or other credit support agreement or
security mechanism provided by the Borrower in accordance with Section 6.08 of the Agreement and any extension thereof. 
 “Applicable ARS Rate” shall mean, with respect to ARS, the rate per annum at which interest accrues on the Bonds for any Auction Period. 
 “ARS” or “Auction Rate Securities” shall mean, on any date, the Bonds when bearing interest as auction rate securities as provided in Article IIIA of this Indenture and the Auction Procedures
applicable thereto. 
 “ARS Beneficial Owner” shall mean the Person who is the beneficial owner of ARS according to the records of
(i) DTC or its participants or a successor Securities Depository while such ARS are in book-entry form, or (ii) the Trustee while such ARS are not in book-entry form. 
  

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 “ARS Defaulted Interest” shall mean interest on any ARS which is payable but is not punctually
paid or duly provided for on any ARS Interest Payment Date. 
 “ARS Interest Payment Date” shall mean, when used with respect to
ARS in an Auction Period other than a Special Auction Period, the Business Day immediately following each Auction Period, and, when used with respect to a Special Auction Period of seven days or more but fewer than 183 days, the Business Day
immediately following such Special Auction Period, and, when used with respect to a Special Auction Period of 183 days or more, each February 1 and August 1 and on the Business Day immediately following such Special Auction Period.

 “ARS Interest Period” shall mean the period commencing on and including an ARS Interest Payment Date and ending on but excluding
the next succeeding ARS Interest Payment Date; provided, that the first ARS Interest Period within each ARS Interest Rate Period shall commence on and include the Issue Date or the Conversion Date, as the case may be. 
 “ARS Interest Rate Period” shall mean each period during which the Bonds are ARS. 
 “ARS Maximum Rate” shall mean 15% per annum; provided that in no event shall the ARS Maximum Rate be more than the Maximum Lawful Rate.

 “ARS Payment Default” shall mean (a) (i) a default by the Issuer in the due and punctual payment of any installment of
interest on ARS, or (ii) a default by the Issuer in the due and punctual payment of any principal of ARS at stated maturity or pursuant to a mandatory redemption and (b) a payment default by the Bond Insurer under the Bond Insurance
Policy. 
 “ARS Rating Agency” shall mean Moody’s or S&P, or if any of Moody’s or S&P discontinues its securities
rating service, then such other nationally recognized securities rating agency as may be specified by the Broker-Dealer with the consent of the Borrower. 
 “Auction” shall mean the implementation of the Auction Procedures on an Auction Date. 
 “Auction Agent” shall mean the Auction Agent unless and until a Substitute Auction Agent Agreement becomes effective, after which “Auction Agent” shall include both the initial Auction Agent (if it is continuing to act
in such capacity under this Indenture) and each such Substitute Auction Agent so acting. 
 “Auction Agent Agreement” shall mean,
on any date, each Auction Agent Agreement and each Substitute Auction Agent Agreement, in each case as from time to time in effect. 
 “Auction Agent Fee” shall have the meaning provided in each Auction Agent Agreement. 
 “Auction Date” shall
mean, with respect to ARS, the Business Day next preceding the first day of each Auction Period, other than 
 (i) each
Auction Period commencing after the ownership of such ARS is no longer maintained in book-entry form by a Securities Depository; 
  

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 (ii) each Auction Period commencing after the occurrence and during the continuance of an
ARS Payment Default; or 
 (iii) any Auction Period commencing less than two Business Days after the cure or waiver of an ARS
Payment Default. 
 The Auction Date determined as provided in this definition may be adjusted as provided in Section 3A.11(b). 
 “Auction Period” shall mean (i) with respect to ARS in a seven-day mode, any of (A) a period, generally of seven days, beginning on
and including a Monday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Sunday) and ending on and including the Sunday thereafter (unless such Sunday is not followed by a Business Day, in
which case ending on and including the next succeeding day which is followed by a Business Day), (B) a period, generally of seven days, beginning on and including a Tuesday (or the day following the last day of the prior Auction Period if the
prior Auction Period does not end on a Monday) and ending on and including the Monday thereafter (unless such Monday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business
Day), (C) a period, generally of seven days, beginning on and including a Wednesday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Tuesday) and ending on and including the Tuesday
thereafter (unless such Tuesday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business Day), (D) a period, generally of seven days, beginning on and including a Thursday
(or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Wednesday) and ending on and including the Wednesday thereafter (unless such Wednesday is not followed by a Business Day, in which case
ending on and including the next succeeding day which is followed by a Business Day) or (E) a period, generally of seven days, beginning on and including a Friday (or the day following the last day of the prior Auction Period if the prior
Auction Period does not end on a Thursday) and ending on and including the Thursday thereafter (unless such Thursday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business
Day); (ii) with respect to ARS in a 28-day mode, any of (A) a period, generally of 28 days, beginning on and including a Monday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a
Sunday) and ending on and including the fourth Sunday thereafter (unless such Sunday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business Day), (B) a period, generally
of 28 days, beginning on and including a Tuesday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Monday) and ending on and including the fourth Monday thereafter (unless such Monday is not
followed by a Business Day, in which case ending on and including the next succeeding day followed by a Business Day), (C) a period, generally of 28 days, beginning on and including a Wednesday (or the day following the last day of the prior
Auction Period if the prior Auction Period does not end on a Tuesday) and ending on and including the fourth Tuesday thereafter (unless such Tuesday is not followed by a Business Day, in which case ending on and including the next succeeding day
followed by a Business Day), (D) a period, generally of 28 days, beginning on and including a Thursday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Wednesday) and ending on and
including 

  

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the fourth Wednesday thereafter (unless such Wednesday is not followed by a Business Day, in which case ending on and including the next succeeding day
followed by a Business Day), or (E) a period, generally of 28 days, beginning on and including a Friday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Thursday) and ending on and
including the fourth Thursday thereafter (unless such Thursday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business Day); (iii) with respect to ARS in a 35-day mode,
any of (A) a period, generally of 35 days, beginning on and including a Monday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Sunday) and ending on and including the fifth Sunday
thereafter (unless such Sunday is not followed by a Business Day, in which case ending on and including the next succeeding day which is followed by a Business Day), (B) a period, generally of 35 days, beginning on and including a Tuesday (or
the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Monday) and ending on and including the fifth Monday thereafter (unless such Monday is not followed by a Business Day, in which case ending on
and including the next succeeding day followed by a Business Day), (C) a period, generally of 35 days, beginning on and including a Wednesday (or the day following the last day of the prior Auction Period if the prior Auction Period does not
end on a Tuesday) and ending on and including the fifth Tuesday thereafter (unless such Tuesday is not followed by a Business Day, in which case ending on and including the next succeeding day followed by a Business Day), (D) a period,
generally of 35 days, beginning on and including a Thursday (or the day following the last day of the prior Auction Period if the prior Auction Period does not end on a Wednesday) and ending on and including the fifth Wednesday thereafter (unless
such Wednesday is not followed by a Business Day, in which case ending on and including the next succeeding day followed by a Business Day), or (E) a period, generally of 35 days, beginning on and including a Friday (or the day following the
last day of the prior Auction Period if the prior Auction Period does not end on a Thursday) and ending on and including the fifth Thursday thereafter (unless such Thursday is not followed by a Business Day, in which case ending on and including the
next succeeding day which is followed by a Business Day) and (iv) a Special Auction Period; provided, however, that the initial Auction Period with respect to the Bonds shall begin on and include the Issue Date, and that in the event of a
Conversion of the Bonds from another Interest Rate Period to an ARS Interest Rate Period the initial Auction Period following such Conversion shall begin on and include the Conversion Date. 
 “Auction Procedures” shall mean the provisions set forth in Exhibit B to this Indenture. 
 “Auction Rate” shall mean, with respect to the interest rate on ARS, the rate of interest per annum that results from implementation of the
Auction Procedures, and determined as described in Section 1.03 of the Auction Procedures; provided, however, that the Auction Rate shall not exceed the ARS Maximum Rate. While Auction Procedures are suspended, the Auction Rate will be
determined as otherwise described herein. 
 “Authorized Borrower Representative” shall mean each person at the time designated to
act on behalf of the Borrower by written certificate furnished to the Issuer and the Trustee containing the specimen signature of such person and signed on behalf of the Issuer. 
  

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 “Authorized Denominations” shall mean (a) with respect to any Long-Term Interest Rate
Period, $5,000 and any integral multiple thereof; (b) with respect to any Daily Interest Rate Period, Weekly Interest Rate Period or Short-Term Interest Rate Period, $100,000 and any integral multiple of $5,000 in excess of $100,000; and
(c) with respect to ARS, $25,000 and any integral multiple thereof while the ARS are in any Auction Period. 
 “Available ARS”
shall have the meaning provided in Section 1.03(b) of the Auction Procedures. 
 “Available Moneys” shall mean (i) with
respect to any date occurring during the term of a Credit Facility, (a) proceeds of a drawing under a Credit Facility which have been directly deposited in the Bond Fund or the Purchase Fund, as applicable, (b) moneys deposited in the Bond
Fund or the Purchase Fund by or on behalf of the Borrower and which have been on deposit with the Trustee or the Tender Agent, as applicable, for at least one hundred and twenty-four (124) days prior to and during which no petition by or
against the Issuer or the Borrower or any affiliate of the Borrower, under any Bankruptcy Act shall have been filed or any bankruptcy or similar proceeding shall have been commenced, unless such petition or proceeding shall have been dismissed and
such dismissal shall be final and not subject to appeal, (c) any other money (including the proceeds of the sale of refunding obligations of the Issuer) the application of which would not, in the written opinion of Bond Counsel or other
nationally recognized counsel experienced in bankruptcy matters and acceptable to the Issuer, the Rating Agencies, if any, and the Trustee and delivered to the Trustee and the Tender Agent, constitute a voidable preference in the case of a filing
for protection under the Bankruptcy Act of the Issuer or the Borrower or any affiliate of the Borrower, and (d) the proceeds from the investment of moneys described above, and (ii) with respect to any date not occurring during the term of
a Credit Facility, any moneys furnished to the Trustee or the Tender Agent, as applicable, and the proceeds from the investment thereof. 
 “Bank” shall mean the issuer of a Letter of Credit, if any, with respect to the Bonds, and, any subsequently issued Credit Facility, the issuer of such other Credit Facility so long as such other Credit Facility shall be in
effect, in its capacity as such issuer, its successors in such capacity and their assigns. 
 “Bankruptcy Act” shall mean the
United States Bankruptcy Code, any successor act thereto or amendment thereof or any other applicable federal or state bankruptcy, insolvency, reorganization, liquidation, dissolution or similar law, now or hereafter in effect. 
 “Beneficial Owner” shall mean any Person which (a) has the power, directly or indirectly, to vote or consent with respect to, or to
dispose of ownership of, any Bond (including any Person holding a Bond through nominees, depositories or other intermediaries), or (b) is treated as the owner of any Bond for federal income tax purposes. 
 “Bid” shall have the meaning provided in Section 1.01(a) of the Auction Procedures. 
 “Bond” or “Bonds” shall mean the bonds issued in accordance with this Indenture as referenced in Section 2.01(a). 
  

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 “Bond Counsel” shall mean Katten Muchin Rosenman LLP, New York, New York or any firm of
nationally recognized bond counsel which is experienced in the financing of pollution control facilities and acceptable to the Issuer, the Remarketing Agent, the Trustee and the Borrower. 
 “Bond Fund” shall mean the fund created by Section 5.01 hereof. 
 “Bond Insurance Policy” shall mean a municipal bond new issue insurance policy issued by a Bond Insurer that guarantees payment of principal of
and interest on the Bonds. 
 “Bond Insurer” shall mean the issuer of a Bond Insurance Policy, if any, with respect to the Bonds,
and, any subsequently issued Bond Insurance Policy, the issuer of such other Bond Insurance Policy so long as such other Bond Insurance Policy shall be in effect, in its capacity as such issuer, its successors in such capacity and their assigns.

 “Bond Interest Term” or “BIT” shall mean, with respect to each Bond bearing interest at a BIT Rate, the period
established in accordance with the terms of Section 2.01(c)(v) hereof. 
 “Bond Interest Term Rate” or “BIT Rate”
shall mean the interest rate on any Bond established in accordance with Section 2.01(c)(v) hereof. 
 “Book-Entry Bonds” shall
mean any Bonds which are then held in book-entry form as provided in Section 2.01(e) hereof. 
 “Borrower” shall mean
(i) El Paso Electric Company, a corporation organized under the laws of the State of Texas and its successors and assigns, and (ii) any surviving, resulting or transferee corporation as provided in Section 6.02 of the Agreement.

 “Broker-Dealer” shall mean J.P. Morgan Securities Inc. or any other broker or dealer (each as defined in the Securities Exchange
Act), commercial bank or other entity permitted by law to perform the functions required of a Broker-Dealer set forth in the Auction Procedures which (i) is a participant in or member of the Securities Depository as determined by the rules or
bylaws of the Securities Depository (or an affiliate of such a participant or member), (ii) has been appointed as such by the Borrower pursuant to Section 3A.08 of this Indenture, and (iii) has entered into a Broker-Dealer Agreement
that is in effect on the date of reference. When used herein at a time when more than one Broker-Dealer is acting under this Indenture, the term “the Broker-Dealer” shall mean, as the context dictates, either all such Broker-Dealers
collectively, or only each Broker-Dealer acting with respect to the ARS. 
 “Broker-Dealer Agreement” means each agreement among
the Auction Agent, Borrower and a Broker-Dealer pursuant to which the Broker-Dealer agrees to participate in Auctions as set forth in the Auction Procedures, as from time to time amended or supplemented. 
 “Business Day” shall mean any day other than a Saturday, Sunday or other day on which the New York Stock Exchange, Inc. or banks are authorized
or required to close in New York, New York, or in the cities in which the Principal Offices of the Trustee, the Auction Agent, the Registrar, the Paying Agent, the Tender Agent, if any, and the Remarketing Agent, if any, are 

  

 8 

 
located, and in the city or cities in which drawings under a Credit Facility are required to be made. 
 “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time. Each reference herein to a section of the Code shall be
deemed to include the United States Treasury Regulations adopted under the Code, as the same may be in effect from time to time, unless the context clearly requires otherwise. 
 “Conversion” shall mean a conversion of the Bonds from one Interest Rate Period to another Interest Rate Period (including the establishment of
a new interest period within the Long-Term Interest Rate Period) as provided in Sections 2.01(c)(ii)(B), (iii)(B), (iv)(B), (v)(B) or 3A.12 of this Indenture. 
 “Conversion Date” shall mean the effective date of a Conversion of the Bonds. 
 “Credit
Facility” shall mean, collectively, the Letter of Credit, if any, and any extensions thereof, and, upon the issuance and delivery of any Alternate Credit Support in accordance with Section 6.08 of the Agreement, “Credit Facility”
shall mean such Alternate Credit Support. 
 “County” shall mean the County of Maricopa, Arizona. 
 “Daily Interest Rate” shall mean the variable interest rate on any Bond established in accordance with Section 2.01(c)(ii) hereof.

 “Daily Interest Rate Period” shall mean each period during which a Daily Interest Rate is in effect. 
 “Default” shall mean any Event of Default or any event or condition which, with the passage of time, or giving of notice or both, would
constitute an Event of Default. 
 “Determination of Taxability” means a determination that, due to the untruth or inaccuracy of
any representation or warranty made by the Borrower in the Agreement or the breach of any covenant or warranty of the Borrower contained in the Agreement, interest on the Bonds, or any of them, is determined not to be Tax-Exempt by a final
administrative determination of the Internal Revenue Service or a final judicial decision of a court of competent jurisdiction in a proceeding of which the Borrower received notice and in which the Borrower was afforded an opportunity to participate
to the full extent permitted by law. A determination or decision will not be considered final for purposes of the preceding sentence unless (A) the Issuer or the holder or Owners of the Bonds involved in the proceeding in which the issue is
raised (i) shall have given the Borrower and the Trustee prompt written notice of the commencement thereof, and (ii) shall have offered the Borrower the opportunity to control the proceeding; provided the Borrower agrees to pay all
expenses in connection therewith and to indemnify such holder or holders against all liability for such expenses (except that any such holder may engage separate counsel, and the Borrower shall not be liable for the fees or expenses of such
counsel); and (B) such proceeding shall not be subject to a further right of appeal or shall not have been timely appealed. 
 “DTC” shall mean The Depository Trust Company, New York, New York. 
  

 9 

 “Electronic” notice shall mean notice by any form of electronic transmission capable of
producing a written record and shall constitute written notice as required herein. 
 “Event of Default” shall mean any of the
events listed in Section 10.01. 
 “Existing Owner” shall mean, with respect to any Auction, a Person who is the Beneficial
Owner of ARS at the close of business on the Business Day immediately preceding such Auction; provided, however, that for purposes of conducting an Auction, the Auction Agent may consider a Broker-Dealer acting on behalf of its customer as an
Existing Owner. 
 “Facilities” or “Project” shall mean the pollution control, solid waste disposal and sewage disposal
facilities at the Plant, which are described in Exhibit A to the Agreement, as from time to time revised, changed, amended or modified, and related improvements and any substitutions therefor. 
 “Favorable Opinion of Bond Counsel” shall mean, with respect to any action relating to the Bonds, the occurrence of which requires such an
opinion, a written legal opinion of Bond Counsel addressed to the Issuer, the Bank, the Trustee, the Borrower, the Remarketing Agent or the Broker-Dealers, as applicable, to the effect that the action proposed to be taken (i) is authorized or
permitted by the laws of the State of Arizona and federal law and this Indenture, and all conditions precedent, if any, have been satisfied, and (ii) will not adversely affect any exclusion from gross income for federal income tax purposes of
interest on the Bonds. 
 “Fitch” shall mean Fitch Ratings, a corporation organized and existing under the laws of the State of
Delaware, its successors and assigns, and, if such corporation shall be dissolved or liquidated or shall no longer perform the functions of a securities rating agency, shall be deemed to refer to any other nationally recognized securities rating
agency designated by the Borrower by notice to the Issuer and the Trustee. 
 “Government Obligations” shall mean direct
obligations of, or obligations the principal of and interest on which are unconditionally guaranteed as to full and timely payment by, the United States of America and which are not subject to prepayment or redemption prior to maturity. 

“Hold Order” shall have the meaning provided in Section 1.01(a) of the Auction Procedures. 
 “Indenture” shall mean this Indenture of Trust, as originally executed or as it may from time to time be supplemented, modified or amended by
any supplemental indenture entered into pursuant to the provisions hereof. 
 “Index” shall mean, on any Auction Date with respect
to the Bonds in any Auction Period of 35 days or less, the One Month LIBOR Rate on such date and, with respect to ARS in any Auction Period of more than 35 days, the yield on United States Treasury securities on the date the Auction Period began
which has a maturity which most closely matches the last day of the Auction Period. If such rate is unavailable, the Index for the Bonds means an index or rate agreed to by all Broker-Dealers. If for any reason on any Auction Date the Index shall
not be 

  

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determined as provided above, the Index shall mean the Index for the Auction Period ending on such Auction Date. 
 “Initial Long-Term Interest Rate” shall mean the Interest Rate for the Bonds on the date of issuance and delivery of the Bonds as specified in
Section 2.01(b) hereof. 
 “Initial Long-Term Interest Rate Period” shall mean the period commencing March 26, 2009 and
ending on the Maturity Date. 
 “Insurance Agreement” shall mean an Insurance Agreement between the Bond Insurer and the Borrower,
as amended or supplemented from time to time. 
 “Interest Accrual Date” shall mean (i) with respect to any Daily Interest
Rate Period, the first day thereof and, thereafter, the first day of each calendar month during that Daily Interest Rate Period, (ii) with respect to any Weekly Interest Rate Period, the first day thereof and, thereafter, the first day of each
calendar month during that Weekly Interest Rate Period, (iii) with respect to any Long-Term Interest Rate Period, the first day thereof and, thereafter, each Interest Payment Date in respect thereof, other than the last such Interest Payment
Date, (iv) with respect to each Bond Interest Term within a Short-Term Interest Rate Period, the first day thereof, and (v) with respect to each ARS Interest Rate Period, the first day thereof. 
 “Interest Payment Date” shall mean (i) with respect to any Daily Interest Rate Period or Weekly Interest Rate Period, the first Business
Day of each calendar month, (ii) with respect to any Long-Term Interest Rate Period, each February 1 and August 1, commencing August 1, 2009 and occurring during such Long-Term Interest Rate Period and the Business Day next
succeeding the last day thereof, (iii) with respect to any Short-Term Interest Rate Period, the Business Day next succeeding the last day of thereof, (iv) with respect to ARS, each ARS Interest Payment Date, and (v) in all events, the
redemption date or the Maturity Date. 
 “Interest Rate Period” shall mean any Daily Interest Rate Period, Weekly Interest Rate
Period, Short-Term Interest Rate Period, Long- Term Interest Rate Period or ARS Interest Rate Period. 
 “Investment Securities”
shall mean any of the following obligations or securities (only to the extent investment therein would not violate the laws of the State of Arizona) on which the Borrower (or any affiliate) is not the obligor, maturing at such time or times as to
enable disbursements to be made from the Bond Fund in accordance with the terms hereof, or which shall be marketable prior to the maturities thereof 
 (i) direct obligations of, or obligations the principal and interest of which are guaranteed as to the full and timely payment by, the United States of America, which obligations, in either case, are not subject to
redemption or prepayment at less than par by anyone other than the holder; 
 (ii) obligations issued or guaranteed by an
instrumentality of the United States of America pursuant to authority granted by the Congress of the United States of America, including obligations of the Federal National Mortgage Association, 

  

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Federal Intermediate Credit Banks, Banks for Cooperatives, Federal Land Banks or Federal Home Loan Banks; 
 (iii) commercial paper rated at the time of investment in the highest short-term grade by the Rating Agencies; 
 (iv) bankers’ acceptances drawn on and accepted by commercial banks (including the Trustee, the Paying Agent, and the Bank) having at
least $10,000,000 in capital stock, surplus and undivided profits the unsecured, uninsured obligations of which are rated not less than “Prime - 1” or “Aa2” by Moody’s and “A-1” or “A+” by S&P;

 (v) certificates of deposit, deposit accounts and savings accounts fully insured by the Federal Deposit Insurance
Corporation; 
 (vi) repurchase agreements with solvent banking or other financial institutions (including the Trustee, the
Paying Agent, and the Bank) rated at the time of investment not less than the then current rating of the Bonds by each of the Rating Agencies; 
 (vii) obligations of a state, a territory, Puerto Rico, or a possession of the United States of America, or any political subdivision of the foregoing, or of the District of Columbia and which are rated at the time of
investment not less than the then current rating of the Bonds by each of the Rating Agencies; 
 (viii) money market funds
registered under the federal Investment Company Act of 1940, whose shares are registered under the federal Securities Act of 1933, and having a rating by S&P of “AAAm-G”, “AAAm” or “Aam”, and by Moody’s of
“Aaa” or “Aa”, including funds for which the Trustee (or any affiliate of the Trustee) provides investment advice or other services; 
 (ix) custodial agreements providing for the investment of moneys through a custodian, reverse purchase agreements, option agreements and agreements to lend securities; and 
 (x) any other obligations and securities not prohibited by law and which are rated at least “Aaa” or “Aa” by
Moody’s and “AAA” or “AA” by S&P. 
 “Issue Date” shall mean March 26, 2009, the date of issuance
and delivery of the Bonds to the Underwriters against payment therefor. 
 “Issuer” shall mean Maricopa County, Arizona Pollution
Control Corporation, an Arizona nonprofit corporation designated as a political subdivision existing under the laws of the State of Arizona, incorporated for and with the approval of the County, pursuant to the provisions of the Constitution of the
State of Arizona and the Act, and its successors and assigns. 
 “Letter of Credit” shall mean the irrevocable direct pay letter of
credit, if any, issued by the Bank and delivered to the Trustee in accordance with Section 6.08 of the Agreement and any extension thereof. 
  

 12 

 “Long-Term Interest Rate” shall mean with respect to each Bond, a fixed, non-variable interest
rate on such Bond established in accordance with Section 2.01(c)(iv) hereof. 
 “Long-Term Interest Rate Period” shall mean
each period during which a Long-Term Interest Rate is in effect. 
 “Maturity Date” shall mean February 1, 2040. 

“Maximum Bond Interest Rate” shall mean (a) with respect to Bonds other than ARS the lesser of 12% per annum and the Maximum
Lawful Rate, and (b) with respect to ARS, the lesser of 15% per annum and the Maximum Lawful Rate, in each case calculated in the same manner as interest is calculated for the particular interest rate on the Bonds. 
 “Maximum Lawful Rate” shall mean the maximum rate of interest on the relevant obligation permitted by applicable law. 
 “Moody’s” shall mean Moody’s Investors Service, Inc., a corporation organized and existing under the laws of the State of Delaware,
its successors and their assigns, and, if such corporation shall be dissolved or liquidated or shall no longer perform the functions of a securities rating agency, “Moody’s” shall be deemed to refer to any other nationally recognized
securities rating agency designated by the Borrower, with the approval of the Remarketing Agent, the Bank and the Bond Insurer, by notice to the Trustee, the Tender Agent and the Issuer. 
 “Nominee” shall have the meaning specified in Section 2.01(e) hereof. 
 “Non-Payment Rate” shall mean, on any date of determination, 15% per annum; provided, that in no event shall the Non-Payment Rate be more
than the Maximum Lawful Rate. 
 “Notice of ARS Payment Default” shall mean a notice substantially in the form of Exhibit A to the
Auction Agent Agreement. 
 “Notice of Cure of ARS Payment Default” shall mean a notice substantially in the form of Exhibit B to
the Auction Agent Agreement. 
 “Official Statement” shall mean the Official Statement relating to the Bonds, including all
appendices thereto. 
 “One Month LIBOR Rate” shall mean, as of any date of determination, the offered rate (rounded up to the next
highest 0.001%) for deposits in U.S. dollars for a one-month period which appears on the Telerate Page 3750 at approximately 11:00 a.m., London time, on such date, or if such date is not a date on which dealings in U.S. dollars are transacted in the
London interbank market, then on the next preceding day on which such dealings were transacted in such market. 
 “Order” shall
have the meaning provided in Section 1.01(a) of the Auction Procedures. 
 “Outstanding” when used in reference to the Bonds,
shall mean, as at any particular date, the aggregate of all Bonds authenticated and delivered in accordance with this Indenture except: 
  

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 (iv) those cancelled at or prior to such date or delivered to or held by the Trustee at
or prior to such date for cancellation; 
 (v) those deemed to be paid in accordance with Article IX hereof; 
 (vi) those in lieu of or in exchange, replacement or substitution for which other Bonds shall have been authenticated and delivered in
accordance with this Indenture, unless proof satisfactory to the Trustee and the Borrower is presented that such Bond is held by a bona fide holder in due course; and 
 (vii) Bonds deemed purchased pursuant to Section 4.10 hereof. 
 “Owner” shall mean the person or entity in whose name any Bond is registered upon the registration books maintained pursuant to
Section 2.04 hereof. 
 “Participant” shall mean, with respect to DTC or another Securities Depository, a member of or
participant in DTC or such other Securities Depository, respectively. 
 “Paying Agent” shall mean the initial and any successor
paying agent or agents appointed in or in accordance with Section 11.21 hereof. “Principal Office” of the Paying Agent shall mean the Principal Office of the Trustee (if the Trustee is the Paying Agent) or such other office of the
Paying Agent designated in writing to the Issuer, the Trustee, the Auction Agent, the Broker-Dealers, the Bank, the Tender Agent and the Remarketing Agent, as applicable. 
 “Payment Date” shall mean each Interest Payment Date or any other date on which any principal of, premium, if any, or interest on any Bond is due and payable for any reason, including without limitation upon
any redemption of Bonds pursuant to Section 4.01. 
 “Person” shall mean a corporation, association, partnership, limited
liability company, joint venture, trust, organization, business, individual or government or any governmental agency or political subdivision thereof. 
 “Plant” shall mean Units 1, 2 and 3 of the Palo Verde Nuclear Generating Station, a nuclear power generating plant located in Maricopa County, Arizona, at which the Project is located. 
 “Potential Owner” shall mean, with respect to any Auction, any Person, including any Existing Owner, who may be interested in acquiring a
beneficial interest in ARS subject to such Auction in addition to the ARS, if any, currently owned by such Person. 
 “Prior Bonds”
shall have the meaning set forth in the 5th Whereas clause of this Indenture. 
 “Purchase Fund” shall mean the fund created by
Section 6.01 hereof. 
 “Rating Agencies” shall mean S&P and Moody’s. 
  

 14 

 “Receipts and Revenues” shall mean (a) the Repayment Installments including all moneys
drawn by the Trustee under a Credit Facility in satisfaction of the Borrower’s obligations to make Repayment Installments (b) all other moneys received by the Trustee (for the account of the Issuer) pursuant to the Agreement, (c) all
moneys and investments in the Bond Fund and (d) all income and profit from the investment of the foregoing moneys. The term “Receipts and Revenues” does not include any moneys or investments in the Purchase Fund or amounts required to
be paid to the Issuer pursuant to Sections 5.04, 5.07, 8.03 and 8.05 of the Agreement. 
 “Record Date” shall mean (a) with
respect to any Interest Payment Date in respect of any Daily Interest Rate Period, the last Business Day of each calendar month or, in the case of the last Interest Payment Date in respect of a Daily Interest Rate Period, the Business Day
immediately preceding such Interest Payment Date, (b) with respect to any Interest Payment Date in respect of any Weekly Interest Rate Period or any Bond Interest Term within a Short-Term Interest Rate Period, the Business Day immediately
preceding such Interest Payment Date, (c) with respect to any Interest Payment Date in respect of any Long-Term Interest Rate Period, the fifteenth day of the month immediately preceding such Interest Payment Date or, in the event that an
Interest Payment Date shall occur within 16 days after the first day of a Long-Term Interest Rate Period, such first day, and (d) with respect to ARS, the second Business Day next preceding each ARS Interest Payment Date. 
 “Registrar” shall mean the registrar or registrars appointed in or in accordance with Section 11.23 hereof. “Principal Office”
of the Registrar shall mean the Principal Office of the Trustee (if the Trustee is the Registrar) or such other office of the Registrar designated in writing to the Issuer, the Trustee, the Tender Agent and the Remarketing Agent. 
 “Reimbursement Agreement” shall mean the Reimbursement Agreement, between the Borrower and the Bank issued in connection with the Letter of
Credit and delivered to the Trustee in connection with Section 6.08 of the Agreement and any extension thereof. 
 “Remarketing
Agent” shall mean J.P. Morgan Securities Inc. and any successor remarketing agent appointed in accordance with Section 14.01 hereof. “Principal Office” of the Remarketing Agent shall mean J.P. Morgan Securities Inc., 383 Madison
Avenue, 23rd Floor, New York, NY 10179 Attention: Tax-Exempt Capital Markets, or such other office thereof designated in writing to the Issuer, the Trustee, the Bank and the Tender Agent. 
 “Remarketing Agreement” shall mean a Remarketing Agreement, that may be executed and delivered, between the Borrower and the Remarketing Agent,
relating to the Bonds other than ARS, as supplemented or amended in accordance with the provisions thereof. 
 “Repayment
Installment” shall mean any amount that the Borrower is required to pay to the Trustee pursuant to Section 5.02(a) of the Agreement as a repayment of the loan made by the Issuer under the Agreement. 
 “Representation Letter” shall have the meaning set forth in Section 2.01(e) hereof. 
 “S&P” shall mean Standard & Poor’s Ratings Group, a division of The McGraw-Hill Companies, Inc., a corporation organized and
existing under the laws of the State of New York, its successors and their assigns, and, if such corporation shall be dissolved or liquidated or shall 

  

 15 

 
no longer perform the functions of a securities rating agency, “S&P” shall be deemed to refer to any other nationally recognized securities
rating agency designated by the Borrower, with the approval of the Remarketing Agent and the Bank and the Bond Insurer, by notice to the Trustee, the Tender Agent and the Issuer. 
 “Securities Act” shall mean the Securities Act of 1933, as amended, and any successor thereto. 
 “Securities Depository” shall mean DTC or, if applicable, any successor securities depository appointed pursuant to this Indenture. 

“Securities Exchange Act” shall mean the Securities and Exchange Act of 1934, as amended, and any successor thereto. 
 “Sell Order” shall have the meaning provided in Section 1.01(a) of the Auction Procedures. 
 “Short-Term Interest Rate Period” shall mean, with respect to each Bond bearing interest at a BIT Rate, the period established in accordance
with Section 2.01(c)(v) hereof. 
 “SIFMA” means Securities Industry and Financial Markets Association or any person acting in
cooperation with or under the sponsorship of SIFMA and acceptable to the Remarketing Agent and effective from such date. 
 “SIFMA
Index” shall mean on any date, a rate determined on the basis of the seven-day high grade market index of tax-exempt variable rate demand obligations, as produced by Municipal Market Data (“MMD”) and published or made available by
SIFMA. 
 “Special Auction Period” shall mean, with respect to ARS, (a) any period of less than 183 days which is not another
Auction Period and which is divisible by seven and which begins on an Interest Payment Date and ends (i) in the case of ARS with Auctions generally conducted on Fridays, on a Sunday unless such Sunday is not followed by a Business Day, in which
case on the next succeeding day which is followed by a Business Day, (ii) in the case of ARS with Auctions generally conducted on Mondays, on a Monday unless such Monday is not followed by a Business Day, in which case on the next succeeding
day which is followed by a Business Day, (iii) in the case of ARS with Auctions generally conducted on Tuesdays, on a Tuesday unless such Tuesday is not followed by a Business Day, in which case on the next succeeding day which is followed by a
Business Day, (iv) in the case of ARS with Auctions generally conducted on Wednesdays, on a Wednesday unless such Wednesday is not followed by a Business Day, in which case on the next succeeding day which is followed by a Business Day, and
(v) in the case of ARS with Auctions generally conducted on Thursdays, on a Thursday unless such Thursday is not followed by a Business Day, in which case on the next succeeding day which is followed by a Business Day, or (b) any period
which is 183 days or longer which begins on an Interest Payment Date and ends not later than the day prior to the final scheduled maturity date of ARS. 
 “Special Record Date” shall mean, (a) with respect to any Bond other than ARS, the date established by the Trustee in connection with the payment of overdue interest on that Bond pursuant to
Section 2.01(b) hereof and (b) with respect to ARS, a special date fixed to determine 

  

 16 

 
the names and addresses of holders of ARS for purposes of paying interest on a special interest payment date for the payment of defaulted interest, all as
further provided in Section 3A.02(f)(ii) hereof. 
 “State” shall mean the State of Arizona. 
 “Submission Processing Deadline” shall mean the earlier of (i) 40 minutes after the Submission Deadline, and (ii) the time when the
Auction Agent begins to disseminate the results of the Auction to the Broker-Dealers. 
 “Submission Processing Representation”
shall mean the written representation in the form attached to the Broker-Dealer Agreement as Exhibit D to be used in the event that Broker-Dealers submit an Order after the Submission Deadline and prior to the Submission Processing Deadline and the
Order was (i) received by the Broker-Dealer from Existing Owners or Potential Owners prior to the Submission Deadline, or (ii) initiated internally by the Broker-Dealer for its own account prior to the Submission Deadline. Each Order
submitted to the Auction Agent after the Submission Deadline and prior to the Submission Processing Deadline shall constitute a representation by the Broker-Dealer that such Order was (i) received from an Existing Owner or Potential Owner prior
to the Submission Deadline, or (ii) initiated internally by the Broker-Dealer for its own account prior to the Submission Deadline (the “Submission Processing Representation”). 
 “Submitted Hold Order” shall have the meaning provided in Section 1.03(b) of the Auction Procedures. 
 “Substitute Auction Agent” shall mean the Person with whom the Trustee at the direction of the Borrower enters into a Substitute Auction Agent
Agreement. 
 “Substitute Auction Agent Agreement” shall mean an auction agent agreement containing terms substantially similar to
the terms of the Auction Agent Agreement whereby a Person having the qualifications required by Section 3A.07 of this Indenture agrees with the Trustee at the direction of the Borrower to perform the duties of the Auction Agent herein with
respect to the Bonds. 
 “Sufficient Clearing Bids” shall have the meaning provided in Section 1.03(b) of the Auction
Procedures. 
 “Supplemental Indenture” shall mean any supplemental indenture hereafter duly authorized and entered into between
the Issuer and the Trustee in accordance with the provisions of this Indenture. 
 “Tax Certificate” shall mean the Tax Compliance
Certificate dated March 26, 2009, executed by the Issuer in connection with the issuance of the Bonds. 
 “Tax-Exempt” shall
mean, with respect to interest on any obligations of a state or local government, including the Bonds, that such interest is excluded from the gross income of the holders thereof (other than any holder who is a “substantial user” of
facilities financed with such obligations or a “related person” within the meaning of Section 147(a) of the Code) for federal 

  

 17 

 
income tax purposes, whether or not such interest is includable as an item of tax preference or otherwise includable directly or indirectly for purposes of
calculating other tax liabilities, including any alternative minimum tax or environmental tax under the Code. 
 “Tender Agent”
shall initially mean the Trustee, and any such other party as shall be designated by the Issuer as a Tender Agent and appointed in accordance with Section 14.01 hereof. “Principal Office” of the Tender Agent shall initially mean the
Principal Office of the Trustee, or such other office thereof designated in writing to the Issuer, the Trustee and the Remarketing Agent. 
 “Tender Agreement” shall mean the Tender Agreement, if any, that may be executed and delivered, between the Borrower and the Tender Agent, relating to the Bonds other than ARS, as supplemented or amended in accordance with the
provisions thereof. 
 “Trustee” shall mean Union Bank, N.A., as trustee under this Indenture, and its successor or successors
hereunder. “Principal Office” of the Trustee shall mean a principal office of the Trustee at which at any particular time its corporate trust business shall be administered in California, which office at the date of the execution of this
Indenture, is 120 South San Pedro Street, 4th Floor, Los Angeles, California 90012, Corporate Trust Department; except that with respect to the presentation of Bonds for payment or for registration of transfer, exchange or tender, such term shall
mean the office or agency of the Trustee at Union Bank, N.A., Corporate Trust Department, 120 South San Pedro Street, 4th Floor, Los Angeles, California 90012, Attention: Bond Redemption. 
 “Trust Estate” shall mean at any particular time all right, title and interest of the Issuer in and to the Agreement (except its rights under
Sections 5.04, 5.07 and 8.05 thereof and any rights of the Issuer to receive notices, certificates, requests, requisitions, directions and other communications thereunder), including without limitation the Receipts and Revenues, all moneys and
obligations which at such time are deposited or are required to be deposited with, or are held or are required to be held by or on behalf of, the Trustee or any Paying Agent in trust under any of the provisions of this Indenture and all other
rights, titles and interests which at such time are subject to the lien of this Indenture, except for moneys or obligations deposited with or paid to the Trustee or any Paying Agent for the redemption or payment of Bonds which are deemed to have
been paid in accordance with Article IX hereof and funds held pursuant to Section 5.06 hereof. 
 “Trust Indenture Act” shall
mean the Trust Indenture Act of 1939, as amended, and any successor thereto. 
 “Underwriters” means J.P. Morgan Securities Inc.
and BNY Mellon Capital Markets, LLC. 
 “Weekly Interest Rate” shall mean a variable interest rate on the Bonds established in
accordance with Section 2.01(c)(iii) hereof. 
 “Weekly Interest Rate Period” shall mean each period during which a Weekly
Interest Rate is in effect. 
  

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 “Winning Bid Rate” shall have the meaning provided in Section 1.03(b) of the Auction
Procedures. 
 Section 1.02 Number and Gender. The singular form of any word used herein, including the terms defined in
Section 1.01, shall include the plural, and vice versa. The use herein of a word of any gender shall include all genders. 
 Section 1.03 Articles, Sections, Etc. All references herein to “Articles,” “Sections” and other subdivisions are to the corresponding Articles, Sections or subdivisions of this Indenture as originally
executed; and the words “herein,” “hereof,” “hereunder” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or subdivision hereof. The headings or titles of
the several Articles and Sections hereof, and any table of contents appended to copies hereof, shall be solely for convenience of reference and shall not affect the meaning, construction or effect of this Indenture. 
 Section 1.04 Content of Certificates and Opinions. Every certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture or the Agreement (except for the certificate of cancelled Bonds provided for in Sections 2.05, 2.06 and 4.05 hereof) shall include (a) a statement that the person or persons making or giving such certificate or
opinion have read such covenant or condition and the definitions herein relating thereto; (b) 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; (c) a statement that, in the opinion of the signers, they have made or caused to be made such examination or investigation as is necessary to enable them to express an informed opinion as to whether or not such covenant or
condition has been complied with; and (d) a statement as to whether, in the opinion of the signers, such condition or covenant has been complied with. 
 Any such certificate or opinion made or given by an officer of the Issuer or the Borrower may be based, insofar as it relates to legal matters, upon a certificate or opinion of or representations by counsel, unless
such officer knows that the certificate or opinion or representations with respect to the matters upon which his or her certificate or opinion may be based as aforesaid are erroneous, or in the exercise of reasonable care should have known that the
same were erroneous. Any such certificate or opinion made or given by counsel may be based, insofar as it relates to factual matters (with respect to which information is in the possession of the Issuer or the Borrower), upon the certificate or
opinion of or representations by an officer of the Issuer or the Borrower, as applicable, unless such counsel knows that the certificate or opinion or representations with respect to the matters upon which his or her opinion may be based as
aforesaid are erroneous, or in the exercise of reasonable care should have known that the same were erroneous. 
 Section 1.05
Findings. It is hereby found and determined by the Issuer that: 
 (a) The Borrower is a corporation which is conducting operations in
the County and is qualified under the Act to borrow the proceeds of the sale of the Bonds from the Issuer to redeem and repay the outstanding principal amount of the Prior Bonds for purposes of the Act; 
  

 19 

 (b) The Project promotes the purposes of the Act by preventing or limiting air, water and other forms of
pollution for the purpose of protecting the health and welfare of the citizens of the State of Arizona, and facilitates compliance by the Borrower with existing and possible future air, water and other quality standards designed to improve the
environment in the State of Arizona; 
 (c) The loan pursuant to the Agreement is in furtherance of the purposes of the Issuer; 

(d) It is advisable that the Bonds be subject to redemption as provided in this Indenture; 
 (e) The manner in which the Bonds are sold is most advantageous and it is necessary and advantageous that the expenses, premiums and commissions, if any,
in connection with the issuance of the Bonds be paid by the Borrower; and 
 (f) It is advisable that this Indenture contain the provisions
set forth herein. 
 ARTICLE II 
 THE BONDS 
 Section 2.01 Authorization and Terms of Bonds. 
 (a) Authorization. Bonds designated as “Maricopa County, Arizona Pollution Control Corporation Pollution Control Refunding Revenue Bonds, 2009
Series A (El Paso Electric Company Palo Verde Project)” may be issued under this Indenture. The aggregate principal amount of Bonds which may be issued and Outstanding under this Indenture shall not exceed Sixty-three Million Five Hundred
Thousand Dollars ($63,500,000). No Bonds may be issued hereunder except in accordance with this Article. 
 (b) General Terms. The
Bonds shall be issued as fully registered Bonds, without coupons, in Authorized Denominations and shall be dated as of the Issue Date. The Bonds shall mature, subject to prior redemption as provided in Article IV, upon the terms and conditions
hereinafter set forth, on the Maturity Date. The Bonds shall initially bear interest at the Long Term Interest Rate for a Long-Term Interest Rate Period commencing on March 26, 2009 and ending on the Maturity Date (the “Initial Long-Term
Interest Rate Period”). The Initial Long-Term Interest Rate shall be 7.25% per annum. 
 The Bonds shall be numbered from R-1
consecutively upwards in order of authentication. Each Bond shall bear interest from the last date to which interest has been paid in full or, if no interest has been paid in full or duly provided on such Bond, from the Issue Date. All Bonds shall
mature on the Maturity Date and shall bear interest at the rates determined from time to time in accordance with the provisions of this Indenture. Payment of the interest on any Bond shall be made to the person appearing on the bond registration
books of the Registrar as the registered holder thereof as of the close of business on the Record Date, such interest to be paid by the Paying Agent to such registered holder (i) in the event such Bond is a Book-Entry Bond, in immediately
available funds on the Interest Payment Date in accordance with the 

  

 20 

 
Representation Letter, and (ii) in the event such Bond is not a Book-Entry Bond (A) in immediately available funds (by wire transfer or by deposit
to the account of the holder of at least $1,000,000 of Bonds if such account is maintained with the Paying Agent), according to the written instructions given by such holder to the Registrar prior to the Record Date, or (B) in all other cases,
by check mailed by first class mail to the holder at such holder’s address as it appears as of the Record Date on the registration books of the Registrar; except, in each case, that, if and to the extent that there shall be a default in the
payment of the interest due on such Interest Payment Date, such defaulted interest shall be paid to the holders in whose name any such Bonds are registered as of a Special Record Date to be fixed by the Trustee, notice of which shall be given to
such holders not less than ten (10) days prior thereto. Both the principal of and premium, if any, on the Bonds shall be payable upon surrender thereof in lawful money of the United States of America at the Principal Office of the Paying Agent.
Notwithstanding the foregoing, interest on any Bond bearing a Bond Interest Term Rate (except any such Bond which is a Book-Entry Bond) shall be paid only upon presentation to the Tender Agent of the Bond on which such payment is due. The Bonds
shall be dated as of the Issue Date. The Bonds shall be substantially in the form attached hereto as Exhibit A. 
 If and to the extent,
however, that the Issuer fails to make payment or provision for payment of interest on any Bond on any Interest Payment Date, that interest shall cease to be payable to the Owner of that Bond on the applicable Record Date. When moneys become
available for payment of the interest, (a) the Trustee shall, pursuant to Section 10.10 hereof, establish a Special Record Date for the payment of that interest which shall be not more than 15 nor fewer than 10 days prior to the date of
the proposed payment, and (b) the Trustee shall give notice by first-class mail of the proposed payment and of the Special Record Date to each owner not fewer than 10 days prior to the Special Record Date and, thereafter, the interest shall be
payable to the owners of the Bonds as of the Special Record Date at the close of business on the Special Record Date. 
 (c) Interest
Rates and Rate Periods. The Bonds shall bear interest until final payment of the principal or redemption price thereof shall have been made in accordance with the provisions hereof, whether at the Maturity Date, upon redemption or otherwise:
During Daily Interest Rate Periods, interest on the Bonds shall be computed on the basis of a 365- or 366-day year for the number of days actually elapsed during Daily Interest Rate Periods. During Short-Term Interest Rate Periods or Weekly Interest
Rate Periods, interest on the Bonds shall be computed on the basis of a 365- or 366-day year for the number of days actually elapsed based on the calendar year in which the Short-Term Interest Rate Period or Weekly Interest Rate Period commences.
During any Long-Term Interest Rate Period, interest on the Bonds shall be computed upon the basis of a 360-day year, consisting of twelve 30-day months. 
 (i) Rate Periods. The Bonds shall initially bear interest as set forth in Section 2.01(b), and shall remain in such Interest Rate Period until adjusted to a different Interest Rate Period as provided
herein. After any such adjustment, the term of the Bonds shall be divided into consecutive Interest Rate Periods during which the Bonds may bear interest at the Daily Interest Rate, Weekly Interest Rate, Bond Interest Term Rate, Long-Term Interest
Rate or Applicable ARS Rate. Any Daily Interest Rate Period, Weekly Interest Rate Period or Short-Term Interest Rate Period established with respect to the Bonds shall continue in effect unless and until adjusted to a different Interest Rate 

  

 21 

 
Period as provided herein. Notwithstanding any other provision herein, the Bonds are not subject to an adjustment to a different Interest Rate Period from
the Initial Long-Term Interest Rate Period until after such Bonds have been purchased in lieu of redemption pursuant to Section 4.12 hereof. 
 (ii) Daily Interest Rate. 
 (A) Determination of Daily Interest Rate. During
each Daily Interest Rate Period, the Bonds shall bear interest at the Daily Interest Rate, determined by the Remarketing Agent on or before each Business Day for such Business Day. The Daily Interest Rate shall be the rate of interest per annum
determined by the Remarketing Agent to be the lowest interest rate which would enable the Remarketing Agent to sell the Bonds for delivery on the effective date of such interest rate at a price (without regard to accrued interest) equal to 100% of
the principal amount thereof. The Remarketing Agent shall provide the Trustee and the Borrower with telephonic or Electronic notice of the Daily Interest Rate determined by 10:30 a.m. (New York City time) on the date of determination. If the
Remarketing Agent shall not have determined a Daily Interest Rate for any day by 10:30 a.m. (New York City time) on such day, the Daily Interest Rate shall be the same as the Daily Interest Rate for the immediately preceding day. In no event shall
the Daily Interest Rate be greater than the Maximum Bond Interest Rate. 
 (B) Adjustment to a Daily Interest Rate
Period. At any time, the Borrower, by written notice to the Issuer, the Trustee, the Bank, the Tender Agent and the Remarketing Agent may elect that the Bonds shall bear interest at a Daily Interest Rate. Such notice (1) shall specify the
effective date of such adjustment to a Daily Interest Rate, which shall be (a) a Business Day not earlier than thirty-five (35) days after delivery of such notice (or such shorter period as shall be acceptable to the Trustee); (b) in
the case of an adjustment from a Long-Term Interest Rate Period, a day on which the Bonds would be permitted to be redeemed at the option of the Borrower pursuant to Section 4.01(a)(ii)(C) hereof; and (c) in the case of an adjustment from
a Weekly Interest Rate Period or a Short-Term Interest Rate Period, an Interest Payment Date on which interest is payable for the Weekly Interest Rate Period or Bond Interest Term from which the adjustment is to be made; provided, however, that if
prior to the Borrower’s making such election, any Bonds shall have been called for redemption and such redemption shall not have theretofore been effected, the effective date of such Daily Interest Rate Period shall not precede such redemption
date; and (2) if the adjustment is from a Long-Term Interest Rate Period, shall be accompanied by a Favorable Opinion of Bond Counsel addressed to the Trustee to the effect that such adjustment (a) is authorized or permitted by the
Indenture and the Act, and (b) will not adversely affect the Tax-Exempt status of the interest on the Bonds. 
 (C)
Notice of Adjustment to a Daily Interest Rate Period. The Trustee shall give notice by first class mail of an adjustment to a Daily Interest Rate Period to the Owners of the Bonds not less than 15 days (30 days if the then 

  

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current Interest Rate Period is a Long-Term Interest Rate Period) prior to the effective date of such Daily Interest Rate Period. Such notice shall state
(1) that the interest rate on the Bonds will be adjusted to a Daily Interest Rate (subject to the Borrower’s ability to rescind its election as described in Section 2.01(c)(viii) hereof), (2) the effective date of the Daily
Interest Rate Period, (3) that the Bonds are subject to mandatory tender for purchase on such effective date (except in the case of adjustment between Daily Interest Rate Periods and Weekly Interest Rate Periods), (4) the procedures for
such mandatory tender, and (5) the purchase price of the Bonds on such effective date (expressed as a percentage of the principal amount thereof). 
 (iii) Weekly Interest Rate. 
 (A) Determination of Weekly Interest Rate. During
each Weekly Interest Rate Period, the Bonds shall bear interest at the Weekly Interest Rate, which shall be determined by the Remarketing Agent no later than the first day of such Weekly Interest Rate Period and thereafter no later than 10:00 a.m.
(New York City time) on Wednesday of each week during such Weekly Interest Rate Period, unless any such Wednesday shall not be a Business Day, in which event the Weekly Interest Rate shall be determined by the Remarketing Agent no later than the
Business Day immediately preceding such Wednesday. The Weekly Interest Rate shall be the rate of interest per annum determined by the Remarketing Agent to be the lowest interest rate which would enable the Remarketing Agent to sell the Bonds for
delivery on the effective date of such interest rate at a price (without regard to accrued interest) equal to 100% of the principal amount thereof. If for any reason, a Weekly Interest Rate is not so established for any period by the time specified
above by the Remarketing Agent, the Weekly Interest Rate shall be the same as the Weekly Interest Rate in effect for the immediately preceding week. In no event shall any Weekly Interest Rate exceed the Maximum Bond Interest Rate. The first Weekly
Interest Rate determined for each Weekly Interest Rate Period shall apply to the period commencing on the first day of such Weekly Interest Rate Period and ending on the next succeeding Tuesday. Thereafter, each Weekly Interest Rate shall apply to
the period commencing on each Wednesday and ending on the next succeeding Tuesday, unless such Weekly Interest Rate Period shall end on a day other than Tuesday, in which event the last Weekly Interest Rate for such Weekly Interest Rate Period shall
apply to the period commencing on the Wednesday preceding the last day of such Weekly Interest Rate Period and ending on such last day. The Remarketing Agent shall provide the Trustee and the Borrower with written, telephonic or Electronic notice of
each Weekly Interest Rate, as determined, by 12:00 noon (New York City time) on the effective date of such Weekly Interest Rate. 
 (B) Adjustment to Weekly Interest Rate. At any time, the Borrower, by written direction to the Issuer, the Trustee, the Bank, the Tender Agent and the Remarketing Agent may elect that the Bonds shall bear interest at a Weekly
Interest Rate. Such direction (1) shall specify the effective date of such 

  

 23 

 
adjustment to a Weekly Interest Rate, which shall be (a) a Business Day not earlier than thirty-five (35) days after delivery of such notice (or
such shorter period as shall be acceptable to the Trustee); (b) in the case of an adjustment from a Long-Term Interest Rate Period, a day on which the Bonds would otherwise be permitted to be redeemed at the option of the Borrower pursuant to
Section 4.01(a)(ii)(C) hereof; and (c) in the case of an adjustment from a Daily Interest Rate Period or Short-Term Interest Rate Period, an Interest Payment Date on which interest is payable for the Daily Interest Rate Period or Bond
Interest Term from which the adjustment is to be made; provided, however, that if prior to the Borrower’s making such election, any Bonds shall have been called for redemption and such redemption shall not have theretofore been effected, the
effective date of such Weekly Interest Rate Period shall not precede such redemption date; and (2) if the adjustment is from a Long-Term Interest Rate Period, shall be accompanied by a Favorable Opinion of Bond Counsel addressed to the Trustee
to the effect that such adjustment (a) is authorized or permitted by the Indenture and the Act, and (b) will not adversely affect the Tax-Exempt status of interest on the Bonds. 
 (C) Notice of Adjustment to a Weekly Interest Rate Period. The Trustee shall give notice by first class mail of an adjustment to a
Weekly Interest Rate Period to the Owners of the Bonds not less than fifteen (15) days (thirty (30) days if the then current Interest Rate Period is a Long-Term Interest Rate Period) prior to the effective date of such Weekly Interest Rate
Period. Such notice shall state (1) that the Interest Rate on the Bonds will be adjusted to a Weekly Interest Rate (subject to the Borrower’s ability to rescind its election as provided in Section 2.01(c)(viii) hereof), (2) the
effective date of the Weekly Interest Rate Period, (3) that the Bonds are subject to mandatory tender for purchase on such effective date (except in the case of adjustments between Daily Interest Rate Periods and Weekly Interest Rate Periods),
(4) the procedures for such mandatory tender, and (5) the purchase price of such Bonds on such effective date (expressed as a percentage of the principal amount thereof). 
 (iv) Long-Term Interest Rate. 
 (A) Determination of Long-Term Interest Rate. During each Long-Term Interest Rate Period, the Bonds shall bear interest at the Long-Term Interest Rate, which shall be determined by the Remarketing Agent on a
Business Day selected by the Remarketing Agent, but not more than forty (40) days prior to and not later than the effective date of such Long-Term Interest Rate Period. The Long-Term Interest Rate shall be the rate of interest per annum
determined by the Remarketing Agent on such date, and communicated by the close of business on such date to the Trustee, the Paying Agent and the Borrower, by written, telephonic or Electronic notice, as being the lowest interest rate which would
enable the Remarketing Agent to sell the Bonds for delivery on the effective date of such Long-Term Interest Rate Period at a price (without regard to accrued interest) equal to 100% of the principal amount thereof, provided, however, that if, for
any reason, a Long-Term Interest Rate for any Long-Term Interest Rate 

  

 24 

 
Period shall not be determined or effective or if an adjustment from a Long-Term Interest Rate Period to another Interest Rate Period shall not be effective,
the Interest Rate Period for the Bonds shall automatically convert to a Daily Interest Rate Period; provided, further, however, that in the event the Borrower elected to have the right to terminate the mandatory tender for purchase required by
Section 4.08(b)(i)(A) hereof pursuant to the fourth paragraph of this Section 2.01(c)(iv)(B), the Borrower may exercise such right in accordance with the fourth paragraph of this Section 2.01(c)(iv)(B); provided, further, however,
that if the Favorable Opinion of Bond Counsel required by Section 2.01(c)(ii)(B) in connection with an adjustment to a Daily Interest Rate Period from a Long-Term Interest Rate Period cannot be obtained, then the Interest Rate Period for the
Bonds shall automatically convert to a Long-Term Interest Rate Period of one year and one day. If a Daily Interest Rate for the first day of such Daily Interest Rate Period is not determined as provided in Section 2.01(c)(ii) hereof, the Daily
Interest Rate for the first day of such Daily Interest Rate Period shall be equal to the SIFMA Index. In no event shall any Long-Term Interest Rate be greater than the Maximum Bond Interest Rate. 
 (B) Adjustment to or Continuation of a Long-Term Interest Rate Period. At any time, the Borrower, by written notice to the Issuer,
the Bank, the Trustee, the Tender Agent and the Remarketing Agent may elect that the Bonds shall bear, or continue to bear, interest at a Long-Term Interest Rate, and if it shall so elect, shall determine the duration of the Long-Term Interest Rate
Period during which the Bonds shall bear interest at such Long-Term Interest Rate. Each Long-Term Interest Rate Period shall have a duration such that the last day of such Long-Term Interest Rate Period is (1) a day which both immediately
precedes a Business Day and is at least one year after the effective date of such Long-Term Interest Rate Period, or (2) if earlier, the day immediately preceding the Maturity Date. At the time the Borrower so elects an adjustment to or
continuation of a Long-Term Interest Rate Period, the Borrower may specify two or more consecutive Long-Term Interest Rate Periods and, if the Borrower so specifies, shall specify the duration of each such Long-Term Interest Rate Period as provided
in this paragraph. Such notice shall specify the effective date of each Long-Term Interest Rate Period, which shall be (a) a Business Day not earlier than thirty-five (35) days after delivery of such notice (or such shorter period as shall
be acceptable to the Trustee); (b) in the case of an adjustment from or continuation of a Long-Term Interest Rate Period, a day on which the Bonds would be permitted to be redeemed by the Borrower pursuant to Section 4.01(a)(ii)(C) hereof,
and (c) in the case of an adjustment from a Daily, Weekly or Short-Term Interest Rate Period, an Interest Payment Date on which interest is payable for the Daily or Weekly Interest Rate Period or Bond Interest Term from which the adjustment is
to be made; provided, however, that if prior to the Borrower’s making such election, any Bonds shall have been called for redemption and such redemption shall not have theretofore been effected, the effective date of such Long-Term Interest
Rate Period shall not precede such redemption date. In addition, such notice (i) shall specify the last day of such Long-Term Interest Rate Period, and (ii) if the adjustment is from a Daily, 

  

 25 

 
Weekly or Short-Term Interest Rate Period, shall be accompanied by a Favorable Opinion of Bond Counsel addressed to the Trustee to the effect that such
adjustment (a) is authorized or permitted by the Indenture and the Act, and (b) will not adversely affect the Tax-Exempt status of interest on the Bonds. 
 If, by the thirty-fifth day prior to the last day of any Long-Term Interest Rate Period, the Trustee shall not have received notice of the
Borrower’s election that, during the next succeeding Interest Rate Period, the Bonds shall bear interest at a Daily Interest Rate, a Weekly Interest Rate, a Long-Term Interest Rate or a Bond Interest Term Rate accompanied by appropriate
opinions of Bond Counsel, if required by Section 2.01(c)(ii)(B), (iii)(B), (iv)(B) or (v)(B) hereof, the next succeeding Interest Rate Period for the Bonds shall be a Daily Interest Rate Period; provided, however, that if the Favorable Opinion
of Bond Counsel required by Section 2.01(c)(ii)(B) hereof in connection with an adjustment to a Daily Interest Rate Period from a Long-Term Interest Rate Period cannot be obtained, then the Interest Rate Period for the Bonds shall automatically
convert to a Long-Term Interest Rate Period of one year and one day. If a Daily Interest Rate for the first day of such Daily Interest Rate Period is not determined as provided in Section 2.01(c)(ii) hereof, the Daily Interest Rate for the
first day of such Daily Interest Rate Period shall be equal to the SIFMA Index. 
 At the same time that the Borrower elects
to have the Bonds bear interest at a Long-Term Interest Rate or continue to bear interest at a Long-Term Interest Rate, the Borrower may also specify to the Trustee optional redemption prices and periods different from (including that there be no
such optional redemption) those set out in Section 4.01(a)(ii)(C) during the Long-Term Interest Rate Period(s) with respect to which such election is made; provided, however, that such notice shall be accompanied by a Favorable Opinion of Bond
Counsel addressed to the Trustee to the effect that such changes (i) are authorized or permitted by the Act and this Indenture, and (ii) will not adversely affect the Tax-Exempt status of interest on the Bonds. 
 At the same time that the Borrower elects to have the Bonds bear interest at a Long-Term Interest Rate or continue to bear interest at a
Long-Term Interest Rate, the Borrower may elect to have the right to terminate the mandatory tender for purchase required by Section 4.08(b)(i)(A) (“Mandatory Tender”) in accordance with this paragraph. The Borrower may terminate the
Mandatory Tender by providing, no later than 2 p.m. on the last day of the Long-Term Interest Rate Period, to the Trustee written notice rescinding the Mandatory Tender. If the Borrower terminates the Mandatory Tender, the Borrower shall have no
obligation to redeem or purchase the Bonds prior to maturity except as otherwise provided herein and the Bonds shall bear interest from the expiration of the Long-Term Interest Rate Period at a rate per annum, in no event greater than the Maximum
Bond Interest Rate, as determined at the same time the Borrower elected to have the Bonds bear interest at a Long-Term Interest Rate or continue to bear interest at a Long-Term Interest Rate. Following such rescission, at the option of the Borrower,
the Bonds are subject to tender for purchase at 100% of 

  

 26 

 
the principal amount of the Bonds on any Business Day, if the Borrower provides written notice to the Trustee no later than noon on such Business Day.

 (C) Notice of Adjustment to or Continuation of a Long-Term Interest Rate Period. The Trustee shall give notice by
first class mail of an adjustment to or continuation of a Long-Term Interest Rate Period to the Owners of the Bonds not less than fifteen (15) days (thirty (30) days if the then current Interest Rate Period is a Long-Term Interest Rate
Period) prior to the effective date of such Long-Term Interest Rate Period. Such notice shall state (1) that the interest rate on the Bonds will be adjusted to, or continue to be, a Long-Term Interest Rate (subject to the Borrower’s
ability to rescind its election as provided in Section 2.01(c)(viii) hereof), (2) the effective date of such Long-Term Interest Rate Period, (3) that the Bonds shall be subject to mandatory tender for purchase on such effective date,
(4) the procedures for such mandatory tender, and (5) the purchase price of the Bonds on such effective date (expressed as a percentage of the principal amount thereof). 
 (v) Bond Interest Term Rate. 
 (A) Determination of Bond Interest Terms and Bond Interest Term Rates. During each Short-Term Interest Rate Period, each Bond shall bear interest during each Bond Interest Term for such Bond at the Bond
Interest Term Rate for such Bond. Each Bond Interest Term for any Bond shall be a period of at least one day but not more than the lesser of (x) 270 days or (y) the number of days of interest coverage on the Bonds provided for in any
Credit Facility then in effect minus five (5) days. When a Credit Facility, if any, other than any initial Letter of Credit is in effect with respect to the Bonds or no Credit Facility is in effect with respect to the Bonds, each Bond Interest
Term for any Bond shall be a period of at least one day but not more than 270 days. Each Bond Interest Term for any Bond shall be a period determined by the Remarketing Agent to be, in its judgment, the period which, taking into account prevailing
market conditions and all other Bond Interest Terms and Bond Interest Term Rates for all Bonds then Outstanding, is likely to result in the lowest overall net interest expense on all such Bonds; provided, however, that any such Bond purchased on
behalf of the Borrower and remaining unsold in the hands of the Remarketing Agent as of 1:00 p.m. (New York City time) on the effective date of the Bond Interest Term for such Bond shall have a Bond Interest Term of one day or, if such Bond Interest
Term would not end on a day immediately preceding a Business Day, a Bond Interest Term of more than one day ending on the day immediately preceding the next Business Day; provided, further, however, that (1) each Bond Interest Term shall end on
a day which immediately precedes a Business Day and no Bond Interest Term shall extend beyond the day immediately preceding the Maturity Date or, if a Credit Facility, if any, is then in effect with respect to the Bonds, the fifth day immediately
preceding the scheduled expiration date of such Credit Facility, and (2) if for any reason the Remarketing Agent fails or is unable to determine a Bond Interest Term on any Bond, the Bond Interest Term for such Bond shall be one day, unless
such Bond Interest Term would end on a day which 

  

 27 

 
does not precede a Business Day, in which case such Bond Interest Term shall end on the day immediately preceding the next succeeding Business Day.

 The Bond Interest Term Rate for each Bond Interest Term for each Bond shall be the rate of interest per annum determined by
the Remarketing Agent no later than 1:00 p.m. (New York City time) on the first day of such Bond Interest Term to be the lowest interest rate which would enable the Remarketing Agent to sell such Bonds on the effective date of such interest rate at
a price (without regard to accrued interest) equal to 100% of the principal amount thereof. The Remarketing Agent shall provide the Trustee and the Borrower with telephonic or Electronic notice of each Bond Interest Term Rate and Bond Interest Term
by 1:00 p.m. (New York City time) on the date of determination. If a Bond Interest Term Rate for a Bond Interest Term of one day is not determined or effective by 1:00 p.m. (New York City time) on such day, the Bond Interest Term Rate for such Bond
Interest Term of one day shall be equal to the SIFMA Index. In no event shall any Bond Interest Term Rate exceed the Maximum Bond Interest Rate. 
 Notwithstanding the foregoing, in the event that notice of redemption with respect to any Bond in a Short-Term Interest Rate Period shall have been given to the holder of such Bond by the Trustee pursuant to
Section 4.03 hereof, no subsequent Bond Interest Terms or Bond Interest Term Rates shall be determined with respect to such Bond. 
 (B) Adjustment to or Continuation of Bond Interest Term Rates. At any time, the Borrower, by written direction to the Issuer, the Trustee, the Bank, if any, the Tender Agent and the Remarketing Agent may elect
that the Bonds shall bear interest at Bond Interest Term Rates. Such direction (1) shall specify the effective date of the Short-Term Interest Rate Period during which the Bonds shall bear interest at Bond Interest Term Rates, which shall be
(a) a Business Day not earlier than thirty-five (35) days after delivery of such notice (or such shorter period as shall be acceptable to the Trustee), (b) in the case of an adjustment from a Long-Term Interest Rate Period, a day on
which the Bonds would be permitted to be redeemed at the option of the Borrower pursuant to Section 4.01(a)(ii)(C) hereof, and (c) in the case of an adjustment from a Daily or Weekly Interest Rate Period, an Interest Payment Date on which
interest is payable for the Daily or Weekly Interest Rate Period from which the adjustment is to be made; provided, however, that if prior to the Borrower’s making such election any Bonds shall have been called for redemption and such
redemption shall not have theretofore been effected, the effective date of such Short-Term Interest Rate Period shall not precede such redemption date; and (2) shall be accompanied by a Favorable Opinion of Bond Counsel addressed to the Trustee
to the effect that such adjustment (a) is authorized or permitted by the Indenture and the Act and (b) will not adversely affect the Tax-Exempt status of interest on the Bonds. 
  

 28 

 (C) Notice of Adjustment to a Bond Interest Term. The Trustee shall give notice by
first class mail of an adjustment to a Short-Term Interest Rate Period to the Owners of the Bonds not less than fifteen (15) days (thirty (30) days if the then current Interest Rate Period is a Long-Term Interest Rate Period) prior to the
effective date of such Short-Term Interest Rate Period. Such notice shall state (1) that the interest rate on the Bonds will be adjusted to Bond Interest Term Rates (subject to the Borrower’s ability to rescind its election as provided in
Section 2.01(c)(viii) hereof), (2) the effective date of the Short-Term Interest Rate Period, (3) that the Bonds are subject to mandatory tender for purchase on the effective date of such Short-Term Interest Rate Period, (4) the
procedures for such mandatory tender, and (5) the purchase price of the Bonds on such effective date (expressed as a percentage of the principal amount thereof). 
 (D) Adjustment from a Short-Term Interest Rate Period. At any time during a Short-Term Interest Rate Period, the Borrower may elect
that the Bonds shall no longer bear interest at Bond Interest Term Rates and shall instead bear interest as otherwise permitted under this Indenture. The Borrower shall give written notice to the Issuer, the Trustee, the Paying Agent and the
Remarketing Agent, if any, of such election and shall specify the Interest Rate Period to follow with respect to such Bonds upon cessation of the Short-Term Interest Rate Period and instruct the Remarketing Agent to (1) determine Bond Interest
Terms of such duration that, as soon as possible, all Bond Interest Terms shall end on the same date, not earlier than twenty-four (24) days (or such shorter period acceptable to the Trustee) following the delivery by the Borrower of such
written notice, and upon the establishment of such Bond Interest Term the day next succeeding the last day of all such Bond Interest Terms shall be the effective date of the Interest Rate Period elected by the Borrower; or (2) determine Bond
Interest Terms that will best promote an orderly transition to the next succeeding Interest Rate Period to apply to the Bonds, beginning not earlier than twenty-four (24) days (or such shorter period acceptable to the Trustee) following the
delivery by the Borrower of such written notice. If the alternative in clause (2) above is selected (and if the Trustee requests, a Favorable Opinion of Bond Counsel is received), the day next succeeding the last day of the Bond Interest Term
for each Bond shall be with respect to such Bond the effective date of the Interest Rate Period elected by the Borrower. The Remarketing Agent, promptly upon the determination thereof, shall give written notice of such last day and such effective
dates to the Borrower, the Trustee and the Tender Agent. During any transitional period from a Short-Term Interest Rate Period to the next succeeding Interest Rate Period in accordance with clause (2) above, the provisions of this Indenture
shall be deemed to apply to the Bonds as follows: the Bonds continuing to bear interest at Bond Interest Term Rates shall have applicable to them the provisions hereunder theretofore applicable to such Bonds as if all Bonds were continuing to bear
interest at Bond Interest Term Rates and the Bonds bearing interest in the Interest Rate Period to which the transition is being made will have applicable to them the provisions hereunder as if all Bonds were bearing interest in such Interest Rate
Period. 
  

 29 

 (vi) Applicable ARS Rate. The Borrower may elect that the Bonds shall bear
interest at the Applicable ARS Rate pursuant to Article IIIA hereof. In the event that the Borrower makes such an election, the provisions of this Article II shall be subject to the provisions of Article IIIA hereof. and the Auction Procedures set
forth in Exhibit B to this Indenture. 
 (vii) Terms of Credit Facility, If Any. If a Credit Facility in the form of a
letter of credit is to be held by the Trustee after the effective date of any adjustment from one Interest Rate Period to another Interest Rate Period, such Credit Facility, if any, shall be in an amount sufficient to provide payment of (x) the
principal amount of the Outstanding Bonds plus (y) the amount of interest (computed on the basis of a 365-day year in the case of an adjustment to a Daily Interest Rate Period, Weekly Interest Rate Period or Short-Term Interest Rate Period, and
on the basis of a 360-day year consisting of twelve 30-day months in the case of an adjustment to a Long-Term Interest Rate Period) which will accrue on the Outstanding Bonds for a period equal to the maximum number of days between Interest Payment
Dates during the new Interest Rate Period plus five (5) days. In the case of an adjustment to a Long-Term Interest Rate Period, a Credit Facility, if any, to be in effect after the effective date of such adjustment shall (i) extend for a
period ending on a date no earlier than five (5) days after the first date on which the Bonds may be called for redemption pursuant to Section 4.01(a)(ii)(C), and (ii) cover the premium, if any, which would be included in the purchase
price upon mandatory purchase of the Bonds pursuant to Section 4.08(b) hereof if the term of such Credit Facility was not extended beyond the expiration date set forth therein. 
 (viii) Determination Conclusive. The determination of any Bond Interest Term Rate, Daily Interest Rate, Weekly Interest Rate and
Long-Term Interest Rate and each Bond Interest Term and the calculation of interest payable on the Bonds by the Remarketing Agent shall be conclusive and binding upon such Remarketing Agent, the Trustee, the Tender Agent, the Issuer, the Borrower,
the Bank and the Owners of the Bonds. 
 (ix) Rescission of Election. Notwithstanding anything herein to the contrary,
the Borrower may rescind any election by it to adjust to or continue an Interest Rate Period pursuant to Sections 2.01(c)(ii)(B), (iii)(B), (iv)(B), (v)(B) or 3A.12 hereof prior to the effective date of such adjustment or continuation by giving
written notice thereof to the Issuer, the Trustee, the Tender Agent, the Auction Agent, the Broker-Dealers and the Remarketing Agent, if any, prior to such effective date. If the Trustee receives notice of such rescission prior to the time the
Trustee has given notice to the Owners of the Bonds pursuant to Section 2.01(c)(ii)(C), (iii)(C), (iv)(C), (v)(C) or 3A.12 as applicable, then the notice of adjustment or continuation previously delivered by the Borrower shall be of no force
and effect. If the Trustee receives notice from the Borrower of rescission of an adjustment to or continuation of an Interest Rate Period after the Trustee has given notice to the Owners of the Bonds pursuant to Section 2.01(c)(ii)(C),
(iii)(C), (iv)(C), (v)(C) or 3A.12, as applicable, then the Interest Rate Period for the Bonds shall automatically adjust to a Daily Interest Rate Period on the date originally scheduled for such adjustment or continuation; provided, however, that
in the event the Borrower elected to have the right to terminate the Mandatory Tender pursuant 

  

 30 

 
to the fourth paragraph of Section 2.01(c)(iv)(B), the Borrower may exercise such right in accordance with the fourth paragraph of
Section 2.01(c)(iv)(B); provided, however, that if the Bonds are then in a Long-Term Interest Rate Period and the Favorable Opinion of Bond Counsel required by Section 2.01(c)(ii)(B) in connection with an adjustment to a Daily Interest
Rate Period from a Long-Term Interest Rate Period cannot be obtained, then the Interest Rate Period for the Bonds shall automatically convert to a Long-Term Interest Rate Period of one year and one day. If a Daily Interest Rate for the first day of
such Daily Interest Rate Period is not determined as provided in Section 2.01(c)(ii) hereof, the Daily Interest Rate for the first day of such Daily Interest Rate Period shall be equal to the SIFMA Index. 
 (d) Form of Bonds. The Bonds may be engraved, printed, lithographed or typewritten, shall be in Authorized Denominations and may contain such
references to any of the provisions of this Indenture as may be appropriate. The form of the Bonds, the certificate of authentication to be executed on all the Bonds by the Trustee and the forms for registration of transfer shall be in substantially
the forms thereof set forth in Exhibit A hereto, with necessary or appropriate variations, omissions and insertions as permitted or required by this Indenture. The Bonds and the certificate of authentication to be executed thereon shall be in
substantially the form attached hereto as Exhibit A, with such appropriate variations, omissions and insertions as are permitted or required by this Indenture. Pursuant to recommendations promulgated by the Committee on Uniform Security
Identification Procedures, “CUSIP” numbers may be printed on the Bonds. The Bonds may bear such endorsement or legend relating thereto as may be required to conform to usage or law with respect thereto. If appropriate, the Bonds may be
printed with a portion of the text printed on the reverse side thereof and with a legend printed on the front referring to such text to the following effect: “Reference is hereby made to the further provisions of this Bond set forth on the back
hereof and such further provisions are hereby incorporated by reference as if set forth here in full.” Upon adjustment to a Long-Term Interest Rate Period, the form of Bond may include a summary of the rescission of the Mandatory Tender
pursuant to paragraph four of Section 2.01(c)(iv)(B), a summary of the mandatory and optional redemption provisions to apply to the Bonds during such Long-Term Interest Rate Period, or a statement to the effect that the Bonds will not be
optionally redeemed during such Long-Term Interest Rate Period, provided that the Registrar shall not authenticate such a revised Bond form prior to receiving a Favorable Opinion of Bond Counsel that such Bond form conforms to the terms of the Act
and of this Indenture and that authentication thereof will not adversely affect the Tax-Exempt status of the Bonds, and a summary. 
 (e)
Book-Entry System. Bonds shall be issued in the form of a single certificated fully registered Bond, registered in the name of Cede & Co., as nominee of the Depository Trust Company (such entity and its successors and assigns are
referred to herein as “DTC”), or such other name as may be requested by an authorized representative of DTC, or any successor nominee (the “Nominee”). Except as provided in paragraph (C) below, all of the Outstanding Bonds
shall be so registered in the registration books kept by the Registrar, and the provisions of this Section 2.01(e) shall apply thereto. 
 (i) The Issuer, the Borrower, the Remarketing Agent, the Tender Agent, the Trustee, the Registrar, the Paying Agent and any Co-Registrar and Co-Paying Agent shall have no responsibility or obligation to any DTC
participant or to any person 

  

 31 

 
on behalf of which a DTC participant holds an interest in the Bonds, except as otherwise expressly provided herein. Without limiting the immediately
preceding sentence, the Issuer, the Borrower, the Trustee, the Registrar, the Paying Agent, the Tender Agent, the Remarketing Agent and any Co-Registrar and Co-Paying Agent shall have no responsibility or obligation with respect to (i) the
accuracy of the records of DTC, the Nominee, any DTC participant or indirect participant with respect to any ownership interest in the Bonds, (ii) the delivery to any DTC participant or any other person, other than an Owner as shown in the
registration books kept by the Registrar, of any notice with respect to the Bonds, including any notice of redemption (except that the Trustee and Tender Agent, if any, shall have the obligation to deliver notices of optional and mandatory tender to
the Remarketing Agent, if any, as provided herein) or (iii) the payment to any DTC participant or any other person, other than an Owner, as shown in the registration books kept by the Registrar, of any amount with respect to principal or
purchase price of, premium, if any, or interest on the Bonds. The Paying Agent shall pay all principal, premium, if any, and interest on the Bonds only to or upon the order of the respective Owners, as shown in the registration books kept by the
Registrar, or their respective attorneys duly authorized in writing, and all such payments shall be valid and effective to fully satisfy and discharge the Issuer’s obligations with respect to payment of principal of, premium, if any, and
interest on the Bonds to the extent of the sum or sums so paid. The Issuer, the Borrower, the Trustee, the Registrar, the Paying Agent, the Tender Agent, the Remarketing Agent and any Co-Registrar and Co-Paying Agent may treat and consider the
person in whose name each Bond is registered in the registration books kept by the Registrar as the holder and absolute owner of such Bond for the purpose of payment of principal, purchase price, premium and interest with respect to such Bond, for
the purpose of giving notices of redemption and other matters with respect to such Bond, for the purpose of registering transfers with respect to such Bond, and for all other purposes whatsoever; provided, however, notwithstanding the foregoing
provisions, the Tender Agent, if any, shall accept any notice of optional tender pursuant to Section 4.08(a) from any Owner of any Book-Entry Bond, but shall make payment of the purchase price thereof only to the registered owner of such Bond
in the manner provided in the Representation Letter (as defined below); and provided further, that no person other than an Owner, as shown in the registration books kept by the Registrar, shall receive a certificated Bond evidencing the obligation
of the Issuer to make payments of principal, premium, if any, and interest pursuant to this Indenture. 
 (ii) The Issuer, the
Paying Agent, the Registrar, the Tender Agent and/or the Trustee shall, if not previously on file, execute and deliver to DTC a letter of representation in customary form with respect to the Bonds (the “Representation Letter”), but such
Representation Letter shall not in any way limit the provisions of the foregoing paragraph (i) or in any other way impose upon the Issuer any obligation whatsoever with respect to persons having interests in the Bonds other than the Owners, as
shown on the registration books kept by the Registrar. The Trustee, the Tender Agent and the Paying Agent shall take all actions necessary for representations of the Issuer in the Representation Letter with respect to the Trustee, the Tender Agent
and the Paying Agent to be complied with at all times. 
  

 32 

 (iii) The Issuer, with the consent of the Borrower, may, and upon request of the Borrower
shall, terminate the services of DTC with respect to the Bonds. DTC may determine to discontinue providing its services with respect to the Bonds at any time by giving written notice and all relevant information on the Beneficial Owners of the Bonds
to the Issuer, the Borrower, the Tender Agent, if any, and the Trustee and discharging its responsibilities with respect thereto under applicable law. Upon the discontinuance or termination of the services of DTC with respect to the Bonds, unless a
substitute securities depository is appointed by the Issuer (with the consent, or at the request, of the Borrower) to undertake the functions of DTC hereunder, the Issuer, at the expense of the Borrower, is obligated to deliver Bond certificates to
the Owners of such Bonds, as described in this Indenture, and such Bonds shall no longer be restricted to being registered in the registration books kept by the Registrar in the name of the Nominee, but may be registered in whatever name or names
Owners transferring or exchanging such Bonds shall designate, in accordance with the provisions of this Indenture. 
 (iv) In
connection with any notice or other communication to be provided to Owners pursuant to this Indenture by the Issuer, the Borrower the Remarketing Agent, the Tender Agent, the Trustee, the Registrar, the Paying Agent, and any Co-Registrar and
Co-Paying Agent with respect to any consent or other action to be taken by the Owners of the Bonds, the Issuer, the Borrower the Remarketing Agent, the Tender Agent, the Trustee, the Registrar, the Paying Agent, any Co-Registrar and Co-Paying Agent,
as the case may be, the Trustee shall establish a record date for such consent or other action and give DTC notice of such record date not less than 15 calendar days in advance of such record date to the extent possible. 
 (v) So long as any Bond is registered in the name of the Nominee, all payments with respect to principal, purchase price, premium, if any,
and interest on such Bond and all notices with respect to such Bond shall be made and given, respectively, in the manner provided in the Representation Letter. Owners shall have no lien or security interest in any rebate or refund paid by DTC to the
Tender Agent, if any, or the Paying Agent which arises from the payment by the Tender Agent, if any, or Paying Agent of principal of or purchase price, premium, if any, or interest on the Bonds in immediately available funds to DTC. 
 Section 2.02 Execution of Bonds. The Bonds shall be executed on behalf of the Issuer by its President, a Vice President, Secretary,
Treasurer, Assistant Secretary or Assistant Treasurer and such execution shall be attested by its President, a Vice-President, Secretary, Treasurer, Assistant Secretary or Assistant Treasurer; provided that the officer so attesting such execution
shall not be the same officer that executed such Bond. The signatures of the President, a Vice President, Secretary, Treasurer, Assistant Secretary or Assistant Treasurer of the Issuer may be facsimile signatures. 
 The Bonds and the interest thereon shall not be general obligations or an indebtedness of the Issuer but shall be limited obligations of the Issuer,
which is obliged to pay the principal and premium, if any, and interest on the Bonds only out of the Receipts and Revenues of the Issuer from the Agreement and other moneys pledged therefor under this Indenture. The Bonds shall 

  

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never constitute an indebtedness of the State of Arizona, or the County, or the Issuer within the meaning of any Arizona Constitutional provision or
statutory limitation and shall never constitute or give rise to a pecuniary liability of the State of Arizona, or the County, or the Issuer or a charge against the general credit or taxing powers of the State of Arizona, or the County, or the
general credit of the Issuer and such fact shall be plainly stated on each Bond. The Issuer has no taxing power. 
 The Bonds shall then be
delivered to the Trustee for authentication by the Trustee. In case any officer who shall have signed any of the Bonds shall cease to be such officer before the Bonds so signed or attested shall have been authenticated or delivered by the Trustee or
issued by the Issuer, such Bonds may nevertheless be authenticated, delivered and issued and, upon such authentication, delivery and issuance, shall be as binding upon the Issuer as though those who signed and attested the same had continued to be
such officers of the Issuer. Also, any Bond may be signed on behalf of the Issuer by such persons as on the actual date of the execution of such Bond shall be the proper officers although on the nominal date of such Bond any such person shall not
have been such officer. 
 Only such of the Bonds as shall bear thereon a certificate of authentication in the form recited in Exhibit A
hereto, manually executed by the Trustee, shall be valid or obligatory for any purpose or entitled to the benefits of this Indenture, and such certificate of the Trustee shall be conclusive evidence that the Bonds so authenticated have been duly
authenticated and delivered hereunder and are entitled to the benefits of this Indenture. The Trustee’s certificate of authentication on any Bond shall be deemed to have been executed by it if manually signed by an authorized signatory on
behalf of the Trustee but it shall not be necessary that the same person sign the certificate of authentication on all of the Bonds issued hereunder. 
 Upon authentication of any Bond, the Trustee, Registrar or the Tender Agent, if any, as the case may be, shall set forth on such Bond (1) the date of such authentication, and (2) in the case of a Bond
bearing interest at a Bond Interest Term Rate which is not a Book-Entry Bond, such Bond Interest Term Rate, the day next succeeding the last day of the applicable Short-Term Interest Rate Period, the number of days comprising such Short-Term
Interest Rate Period and the amount of interest to accrue during such Short-Term Interest Rate Period. 
 So long as Union Bank, N.A. is
serving as Trustee hereunder, it shall also serve as Registrar hereunder. 
 Section 2.03 Transfer and Exchange of Bonds.
Registration of any Bond may, in accordance with the terms of this Indenture, be transferred, upon the books of the Registrar required to be kept pursuant to the provisions of Section 2.04, by the person in whose name it is registered, in
person or by his duly authorized attorney, upon surrender of such Bond for cancellation, accompanied by a written instrument of transfer in a form approved by the Registrar, duly executed. Whenever any Bond shall be surrendered for registration of
transfer, the Issuer shall execute and the Trustee shall authenticate and deliver a new Bond or Bonds of the same tenor in Authorized Denominations. No registration of transfer of Bonds upon the books of the Registrar required to be kept pursuant to
the provisions of Section 2.04 hereof shall be required to be made during the period after any Record Date and prior to the related Interest Payment Date or during the period of fifteen (15) days immediately preceding the date on which

  

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the Trustee mails any notice of redemption, nor shall any registration of transfer of Bonds called for redemption be required. 
 Bonds may be exchanged at the Principal Office of the Trustee for a like aggregate principal amount of Bonds of the same tenor of Authorized
Denominations. The Trustee shall require the payment by the Owner requesting such exchange of any tax or other governmental charge required to be paid with respect to such exchange, and there shall be no other charge to any owners for any such
exchange. Except with respect to Bonds remarketed after being purchased pursuant to Sections 4.07 and 4.08 hereof, no exchange of Bonds shall be required to be made during the period after any Record Date and prior to the related Interest Payment
Date or during the period of fifteen (15) days immediately preceding the date on which the Trustee gives notice of redemption, nor shall any exchange of Bonds called for redemption be required. If a Bond is presented for transfer or exchange
after notice of redemption of such Bond has been given as provided in Section 4.03 hereof, the Registrar shall deliver a copy of such notice of redemption to the new owner of such Bond. 
 Section 2.04 Bond Register. The Registrar will keep or cause to be kept at its Principal Office sufficient books for the registration and the
registration of transfer of the Bonds, which shall at all times, during regular business hours, be open to inspection by the Issuer, the Trustee, the Bond Insurer and the Borrower; and, upon presentation for such purpose, the Registrar shall, under
such reasonable regulations as it may prescribe, register the transfer or cause to be registered the transfer, on said books, of Bonds as hereinbefore provided. 
 Section 2.05 Bonds Mutilated Lost Destroyed or Stolen. If any Bond shall become mutilated, the Issuer, upon the request and at the expense of the holder of said Bond, shall execute, and the Trustee shall
thereupon authenticate and deliver a new Bond of like tenor in exchange and substitution for the Bond so mutilated, but only upon surrender to the Registrar of the Bond so mutilated. Every mutilated Bond so surrendered to the Registrar shall be
treated by the Trustee in accordance with its document retention policies (provided that the Trustee shall not be required to destroy such Bonds) and, upon the written request of the Issuer, a certificate evidencing such disposition shall be
delivered to the Issuer, with a copy to the Borrower. If any Bond issued hereunder shall be lost, destroyed or stolen, evidence of such loss, destruction or theft may be submitted to the Issuer, the Borrower and the Registrar, and if such evidence
be satisfactory to them and indemnity satisfactory to them shall be given by or on behalf of the holder of such lost, destroyed or stolen Bond, the Issuer, at the expense of the holder, shall execute, and the Trustee shall thereupon authenticate and
deliver, a new Bond of like tenor in lieu of and in substitution for the Bond so lost, destroyed or stolen (or if any such Bond shall have matured or shall be about to mature, instead of issuing a substitute Bond the Trustee shall, at the direction
of the Issuer, pay the same without surrender thereof). The Issuer may require payment of a reasonable fee for each new Bond issued under this Section and payment of the expenses which may be incurred by the Issuer and the Trustee. Any Bond issued
under the provisions of this Section in lieu of any Bond mutilated or alleged to be lost, destroyed or stolen shall constitute an original additional contractual obligation on the part of the Issuer whether or not the Bond mutilated or so alleged to
be lost, destroyed or stolen shall be at any time enforceable by anyone, and shall be equally and proportionately entitled to the benefits of this Indenture with all other Bonds secured by this Indenture. 
  

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 All Bonds shall be held and owned upon the express condition that, to the extent permitted by law, the
foregoing provisions are exclusive with respect to the replacement or payment of lost, destroyed or improperly cancelled Bonds, notwithstanding any law or statute now existing or hereafter enacted. 
 Section 2.06 Disposition of Cancelled Bonds. When paid in full, all Bonds shall be delivered to the Trustee, who shall forthwith cancel such
Bonds and deliver upon request a certificate evidencing such cancellation to the Issuer and the Borrower. The Trustee shall treat such cancelled Bonds in accordance with its document retention policies, provided that the Trustee shall not be
required to destroy such Bonds. 
 Section 2.07 CUSIP Number. As provided in Section 2.01(d) of this Indenture, the Issuer
in issuing the Bonds may use “CUSIP” number (if then generally in use), and, if so, the Trustee shall use “CUSIP” number in notices of redemption as a convenience to holders of Bonds; provided that any such notice may state that
no representation is made as to the correctness of such numbers either as printed on the Bonds or as contained in any notice of a redemption and that reliance may be placed only on the other identification number printed on the Bonds, and any such
redemption shall not be affected by any defect in or omission of such CUSIP number. The Issuer shall promptly notify the Trustee of any changes in the CUSIP number. 
 Section 2.08 Other Obligations. The Issuer expressly reserves the right to issue, to the extent permitted by law, obligations under another ordinance(s) and/or indenture(s) to provide additional funds or,
at the request of the Borrower, to refund all or any principal amount of the Bonds. 
 Section 2.09 Temporary Bonds. Pending the
preparation of definitive Bonds, the Issuer may execute and the Trustee shall authenticate and deliver temporary Bonds. Temporary Bonds shall be issuable as fully registered Bonds, of any Authorized Denomination, and substantially in the form of the
definitive Bonds but with such omissions, insertions and variations as may be appropriate for temporary Bonds, all as may be determined by the Issuer. Temporary Bonds may contain such reference to any provisions of this Indenture as may be
appropriate. Every temporary Bond shall be executed by the Issuer and be authenticated by the Trustee upon the same conditions and in substantially the same manner, and with like effect, as the definitive Bonds. As promptly as practicable, the
Issuer shall execute and shall furnish definitive Bonds and thereupon temporary Bonds may be surrendered in exchange therefor without charge at the Principal Office of the Trustee, and the Trustee shall authenticate and deliver in exchange for such
temporary Bonds a like aggregate principal amount of the definitive Bonds of Authorized Denominations. Until so exchanged the temporary Bonds shall be entitled to the same benefits under this Indenture as definitive Bonds. 
 ARTICLE III 
 ISSUANCE OF BONDS

 Section 3.01 Authentication and Delivery of Bonds. Forthwith upon the execution and delivery of this Indenture, the Issuer
shall execute and deliver to the Trustee and the Trustee shall 

  

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authenticate the Bonds and deliver the Bonds to the initial purchasers thereof as directed hereinafter in this Section 3.01. Without any further action
on the part of the Issuer, the Trustee shall authenticate the Bonds in an aggregate principal amount of Sixty-Three Million Five Hundred Thousand Dollars ($63,500,000). Prior to the delivery on original issuance by the Trustee of any authenticated
Bonds there shall be or have been delivered to the Trustee: 
 (i) An original duly executed counterpart of this Indenture.

 (ii) An original duly executed counterpart of the Agreement. 
 (iii) A written order of the Issuer to the Trustee to authenticate and deliver the Bonds to the purchaser or purchasers therein identified
upon payment to the Trustee, but for the account of the Issuer, of a sum specified in such request and authorization plus any accrued interest on such Bonds to the date of delivery. 
 (iv) A written statement on behalf of the Borrower, executed by an Authorized Borrower Representative, (i) approving the issuance and
delivery of the Bonds and (ii) consenting to each and every provision of this Indenture. 
 Section 3.02 Application of Proceeds
of Bonds. The proceeds received by the Issuer from the sale of the Bonds in the amount of $63,500,000 shall be deposited with the Trustee, and the Trustee shall transfer such proceeds to Union Bank, N.A., as trustee for the Prior Bonds, to be
applied to the redemption of the Prior Bonds. 
 Section 3.03 Payment of Principal and Interest. For the payment of interest on
the Bonds, the Issuer shall cause to be deposited in the Bond Fund established under Section 5.01 hereof, on or prior to each Interest Payment Date, solely out of the Receipts and Revenues, an amount sufficient to pay the interest to become due
on such Interest Payment Date. The obligation of the Issuer to cause any such deposit to be made hereunder shall be reduced by the amount of moneys in the Bond Fund available on such Interest Payment Date for the payment of interest on the Bonds.

 For the payment of the principal of the Bonds on the Maturity Date or upon earlier redemption, the Issuer shall cause to be deposited in
the Bond Fund, on or prior to the Maturity Date or redemption date of the Bonds, solely out of the Receipts and Revenues, an amount sufficient to pay the principal of the Bonds then due. The obligation of the Issuer to cause any such deposit to be
made hereunder shall be reduced by the amount of moneys in the Bond Fund available on the Maturity Date or redemption date for the payment of the principal of the Bonds. 
 ARTICLE IIIA  
 ARS PROVISIONS 
 Section 3A.01 Amendments with Conversion to Applicable ARS Rate. 
 Notwithstanding any other provision in this Indenture, at the time of conversion of the Bonds to Auction Rate Securities mode pursuant to
Section 3A.12 hereof, the Borrower shall have the right direct the Issuer to amend without further consent any provisions in this Indenture 

  

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relating to the Bonds in Auction Rate Securities mode in accordance with the then current market practice with respect to similar securities and provisions.

 Section 3A.02 Payments with Respect to ARS. 
 (a) Interest with respect to ARS shall accrue from and including, as applicable, the Issue Date, the Conversion Date or the most recent ARS Interest Payment Date to which interest has been paid or duly provided for.

 (b) The Trustee shall determine the aggregate amount of interest payable in accordance with subsection (e) below with respect to ARS
on each ARS Interest Payment Date. Interest due on any ARS Interest Payment Date with respect to each $25,000 in principal amount of ARS shall equal (i) the Applicable ARS Rate multiplied by (ii) the principal amount of $25,000 multiplied
by (iii) if the number of days in the Auction Period is less than 183, the number of days in the applicable ARS Interest Period, and, if the number of days in the Auction Period is 183 or greater, the number of days in the applicable ARS
Interest Period assuming twelve 30-day months, divided by (iv) 360, and rounding the resultant figure to the nearest cent (a half cent being rounded upward). The Trustee shall notify the Securities Depository of its calculations, as provided in
Section 3A.04(b) of this Indenture. 
 (c) Interest on the ARS shall be computed on the basis of a 360-day year for the actual number of
days elapsed, except in the case of a Special Auction Period of 183 days or more in which case it will be computed on the basis of twelve 30-day months. The Applicable ARS Rate for each ARS Interest Period after the first ARS Interest Period shall
be the Auction Rate; provided that 
 (i) Reserved. 
 (ii) in the event the Auction Agent fails to calculate or, for any reason, fails to timely provide the Auction Rate for any Auction Period
(except as contemplated otherwise herein pursuant to (x), (y) and (z) below), the new Auction Period shall be the same as the preceding Auction Period if the preceding Auction Period was a period of 35 days or less and the new Auction
Period shall be a seven-day Auction Period if the preceding Auction Period was a period of greater than 35 days and the Auction Rate for the new Auction Period shall be the same as the Auction Rate for the preceding Auction Period. The ARS shall
continue in such Auction Period until changed pursuant to Section 3 A.10(a) hereof. 
 Notwithstanding the foregoing: 
 (x) if the ownership of the ARS is no longer maintained in book-entry form by a Securities Depository, the Applicable ARS Rate for
any Auction Period commencing after the delivery of certificates representing the ARS shall equal the ARS Maximum Rate; 
 (y) if an ARS Payment Default shall have occurred with respect to the ARS, the Applicable ARS Rate for the Auction Period commencing on or immediately after such ARS Payment Default and for each Auction Period thereafter, to and
including the 

  

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Auction Period, if any, during which, or commencing less than two Business Days after, such ARS Payment Default is cured in accordance with this Indenture,
shall equal the Non-Payment Rate on the first day of each such Auction Period, provided that if an” Auction occurred on the Business Day immediately preceding any such Auction Period, the Applicable ARS Rate for such Auction Period shall be the
Non-Payment Rate; or 
 (z) for any Auction Period during which there is no duly appointed Auction Agent, or during which
there is no duly appointed Broker-Dealer, no Auction will be held and, if the preceding Auction Period was 35 days or less, the new Auction Period shall be the same as the preceding Auction Period and, if the preceding Auction Period was more than
35 days, the new Auction Period shall be a seven-day Auction Period and the Auction Rate in each case shall be the ARS Maximum Rate. The ARS shall continue in such Auction Period until changed pursuant to Section 3A.11(a) hereof. 
 (d) Medium of Payment. 
 (i) The principal of and interest on the ARS shall be payable in any currency of the United States of America which on the respective dates for payment thereof is legal tender for the payment of public and private debts. The principal of
and interest on the ARS (other than at maturity) shall be payable by check mailed on the date due to the registered owner thereof on the Record Date at the address of such registered owner as it appears on the registration books maintained by the
Trustee. 
 (ii) Interest payable on any ARS Interest Payment Date to a registered owner of ARS in the aggregate principal
amount of $1,000,000 or more may, upon written request by such registered owner received by the Trustee prior to the Record Date preceding such ARS Interest Payment Date, be paid by wire transfer on the date due to a designated account in the United
States. Such written request shall remain in effect until rescinded in writing by such registered owner. The principal of each ARS at maturity will be paid upon presentation and surrender thereof at the Principal Office of the Trustee. 

(iii) Unless otherwise requested by the Securities Depository, payments of the principal of ARS, at maturity or upon redemption, and
payments of interest on ARS made by wire transfer, shall be made by the Trustee in immediately available funds, provided, however, that such method of payment may be modified by written agreement among the Trustee, the Securities Depository and the
Auction Agent. 
 (e) Computation of Interest Distributable on ARS. The amount of interest distributable to ARS Beneficial Owners, in
respect of each $25,000 in principal amount thereof for any ARS Interest Period or part thereof, shall be calculated by the Trustee by applying the Applicable ARS Rate with respect to the ARS, for such ARS Interest Period or part thereof, to the
principal amount of $25,000, multiplying such product by the actual number of days in such ARS Interest Period or part thereof if the number of days in the Auction Period is less than 183 and multiplying the product by the number of days in such ARS
Interest Period assuming twelve 30-day months if the number of days in the Auction Period is 183 days or more in each case 

  

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divided by 360 and rounding the resultant figure to the nearest cent (half a cent being rounded upward). 
 (f) ARS Defaulted Interest. 
 (i) The Trustee shall determine not later than 2:00 p.m., New York City time, on each ARS Interest Payment Date, whether an ARS Payment Default has occurred. If an ARS Payment Default has occurred, the Trustee shall, not later than 2:30
p.m. New York City time on such Business Day, send a Notice of ARS Payment Default to the Auction Agent and each Broker-Dealer by telecopy or similar means and, if such ARS Payment Default is cured, the Trustee shall immediately send a Notice of
Cure of ARS Payment Default to the Auction Agent and each Broker-Dealer by telecopy or similar means. 
 (ii) ARS Defaulted
Interest shall forthwith cease to be payable to the ARS Beneficial Owner on the relevant Record Date by virtue of having been such ARS Beneficial Owner and such ARS Defaulted Interest shall be payable to the Person in whose name the ARS are
registered at the close of business on a Special Record Date fixed therefor by the Trustee, which shall not be more than 15 days and not less than ten days prior to the date of the proposed payment of ARS Defaulted Interest. The Trustee shall
promptly notify the Issuer and the Borrower of the Special Record Date and, at the Borrower’s expense, mail to each ARS Beneficial Owner of which it has knowledge pursuant to Section 11.01, not less than ten days before the Special Record
Date, notice of the Special Record Date and the date of the proposed payment of such ARS Defaulted Interest. 
 Section 3A.03
Calculation of All-Hold Rate. The Auction Agent shall calculate the All-Hold Rate on each Auction Date. If the ownership of the ARS is no longer maintained in book-entry form by the Securities Depository, the Auction Agent shall announce the
ARS Maximum Rate on the Business Day immediately preceding each ARS Interest Payment Date after the delivery of certificates representing the ARS. If an ARS Payment Default shall have occurred, the Trustee shall announce the Non-Payment Rate on the
first day of (i) each Auction Period commencing on or after the date of the occurrence and during the continuance of such ARS Payment Default, and (ii) any Auction Period commencing less than two Business Days after the cure of any ARS
Payment Default. The determination by the Auction Agent of the All-Hold Rate shall (in the absence of manifest error) be final and binding upon all ARS Beneficial Owners and all other parties. The Auction Agent shall promptly advise the Trustee of
the All-Hold Rate. 
 Section 3A.04 Notification of Rates, Amounts and Payment Dates. 
 (a) So long as the ownership of the ARS is maintained in book-entry form by the Securities Depository, the Trustee shall advise the Securities Depository
(i) of each Record Date for the ARS at least two Business Days prior thereto and (ii) of each succeeding Interest Payment Date on each Interest Payment Date. 
  

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 (b) On the Issue Date, or as soon as practicable thereafter, and on the Business Day preceding each ARS
Interest Payment Date with respect to the ARS, the Trustee shall advise the Securities Depository, so long as the ownership of the ARS is maintained in book-entry form by the Securities Depository, of the amount of interest distributable in respect
of each $25,000 in principal amount of ARS for any ARS Interest Period or part thereof, calculated in accordance with Section 3A.02(e) of this Indenture. 
 If any day scheduled to be an ARS Interest Payment Date shall be changed after the Trustee shall have given notice, the Trustee shall, not later than 9:15 a.m., New York City time, on the Business Day next preceding
the earlier of the new ARS Interest Payment Date or the old ARS Interest Payment Date, by such means as the Trustee deems practicable, give notice of such change to the Auction Agent, so long as no ARS Payment Default has occurred and is continuing
and the ownership of the ARS is maintained in book-entry form by the Securities Depository. 
 Section 3A.05 Adjustments with Respect
to ARS Provisions. Notwithstanding any other provision of this Indenture relating to ARS, including without limitation the mandatory tender provisions and the definitions of terms used in this Article IIIA (including without limitation the
definitions of Applicable ARS Rate, All-Hold Rate, ARS Maximum Rate and Non-Payment Rate), the ARS provisions may be amended by the Issuer at the written request of the Borrower, (i) upon obtaining an opinion of Counsel that the same does not
materially adversely affect the rights of the ARS Beneficial Owners or (ii) by obtaining the consent of a majority of the ARS Beneficial Owners and, in each case, delivering a Favorable Opinion of Bond Counsel. In the case of clause
(ii) above, the Trustee shall mail notice of such amendment to the ARS Beneficial Owners of which it has knowledge pursuant to Section 11.01, and if, on the first Auction Date occurring at least 20 days after the date on which the Trustee
mailed such notice, Sufficient Clearing Bids have been received or all of the ARS are subject to Submitted Hold Orders, the proposed amendment shall be deemed to have been consented to by the ARS Beneficial Owners. Written notice of each such
amendment shall be delivered by the Issuer to the Trustee, the Borrower, the Auction Agent, and each Broker-Dealer. 
 Section 3A.06
Maximum Bond Interest Rate, Non-Payment Rate. If the Auction Rate on the Bonds shall be the Maximum Bond Interest Rate, the ARS Maximum Rate, or Non-Payment Rate for a period (A) in excess of thirty (30) days, the Borrower agrees to
take all steps necessary to ensure that the Auction Rate does not exceed the interest rate payable on similar securities (taking into account the interest period and enhanced/insured rating of the Bonds), or (B) in excess of sixty
(60) days, the Borrower agrees to convert, or cause to be converted, all Bonds to a Long-Term Interest Rate Period extending through the maturity of the Bonds or, with the approval of the Bond Insurer, to a variable interest rate mode, in each
case at the lowest interest rate that will permit the Remarketing Agent to sell all the Bonds on the conversion date at a price equal to 100% of the principal amount thereof plus accrued interest thereon. If an Event of Default shall have occurred
and be continuing under the Indenture or the Borrower fails to cause a conversion of the Bonds to another interest rate mode as required by the foregoing sentence, the Bond Insurer may, in its discretion, direct the conversion of the Bonds to a
fixed rate or any other interest rate mode. 
  

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 Section 3A.07 Auction Agent. 
 (c) The Trustee is hereby directed to enter into an Auction Agent Agreement with an Auction Agent
as directed by the Borrower. Any Substitute Auction Agent shall be (i) subject to the written approval of each Broker-Dealer, (ii) a bank or trust company duly organized under the laws of the United States of America or any state or
territory thereof and having a combined capital stock, surplus and undivided profits of at least $15,000,000, or (iii) a member of the National Association of Securities Dealers, Inc., having a capitalization of at least $15,000,000, and, in
either case, authorized by law to perform all the duties imposed upon it hereunder and under the Auction Agent Agreement and a member of or a participant in, the Securities Depository. The Auction Agent may at any time resign and be discharged of
the duties and obligations created by this Indenture by giving at least 45 days’ notice to the Trustee, the Broker-Dealer, the Issuer, the Borrower, and the Bond Insurer. The Auction Agent may be removed at any time by the Trustee, upon the
written direction of (i) the Borrower, with the consent of the Bond Insurer, (ii) the Bond Insurer, or (iii) the ARS Beneficial Owners of 66 2/3% of the aggregate principal amount of the ARS then Outstanding, with the consent of the Bond Insurer, by an instrument signed by the Trustee and filed with the Auction Agent, the Bond Insurer, the Issuer and the
Borrower upon at least 30 days’ notice. Neither the resignation nor the removal of the Auction Agent pursuant to the preceding two sentences shall be effective until and unless a Substitute Auction Agent has been appointed and has accepted such
appointment; provided, however, that if a Substitute Auction Agent has not been so appointed within 45 days of the notice of resignation of the Auction Agent, the Auction Agent may petition a court of competent jurisdiction to appoint a Substitute
Auction Agent. Notwithstanding the foregoing, the Auction Agent may terminate the Auction Agent Agreement if, within 30 days after notifying the Trustee, the Issuer, the Borrower, and the Bond Insurer in writing that it has not received payment of
any Auction Agent Fee due it in accordance with the terms of the Auction Agent Agreement, the Auction Agent does not receive such payment. 
 (d) If the Auction Agent shall resign or be removed or be dissolved, or if the property or affairs of the Auction Agent shall be taken under the control of any state or federal court or administrative body because of bankruptcy or
insolvency, or for any other reason, the Trustee, at the direction of the Borrower, shall use its best efforts to appoint a Substitute Auction Agent. 
 (e) In the absence of willful misconduct, grossly negligent failure to act or gross negligence on its part, the Auction Agent shall not be liable for any action taken, suffered or omitted or any error of judgment made
by it in the performance of its duties under the Auction Agent Agreement and shall not be liable for any error of judgment made in good faith unless the Auction Agent shall have been grossly negligent in ascertaining (or failing to ascertain) the
pertinent facts necessary to make such judgment. The Trustee shall not be liable for any action, omission or error in judgment by the Auction Agent. In no event shall the Auction Agent be responsible or liable for special, indirect or consequential
loss or damage of any kind whatsoever (including, but not limited to, loss of profit), even if the Auction Agent has been advised of the likelihood of such loss or damage and regardless of the form of action. 
 (f) The Auction Agent shall not be responsible or liable for any failure or delay in the performance of its obligations under this Indenture arising out
of or caused, directly 

  

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or indirectly, by circumstances beyond its reasonable control, including without limitation, acts of God; earthquakes; fires; floods; wars; civil or military
disturbances; sabotage; acts of terrorism; epidemics; riots; interruptions, loss or malfunctions of utilities; computer (software or hardware) or communications services; accidents; labor disputes; acts of civil or military authority or governmental
actions; it being understood that the Auction Agent shall use reasonable efforts which are consistent with accepted practices in the banking industry to resume performance as soon as practicable under the circumstances. 
 Section 3A.08 Broker-Dealers. 
 (g) The Auction Agent shall enter into a Broker-Dealer Agreement with J.P. Morgan Securities Inc., as the initial Broker-Dealer. The Borrower may, from time to time, approve one or more additional Persons to serve as Broker-Dealers under
Broker-Dealer Agreements and shall be responsible for providing such Broker-Dealer Agreements to the Trustee and the Auction Agent. No such party shall constitute a Broker-Dealer until a fully executed Broker-Dealer Agreement is delivered to the
Trustee and the Auction Agent. 
 (h) Any Broker-Dealer may be removed at any time, at the written request of the Borrower, with the written
consent of the Issuer. 
 Section 3A.09 Provisions Relating to Auctions. None of the Borrower, the Issuer, the Trustee or the
Auction Agent shall be responsible for any failure of a Broker-Dealer to submit an Order to the Auction Agent on behalf of any Existing Owner or Potential Owner, nor shall any of the Borrower, the Issuer, the Trustee or the Auction Agent be
responsible for failure by any Securities Depository to effect any transfer or to provide the Auction Agent with current information regarding registration of transfers. None of the Borrower, the Issuer, the Trustee, the Broker-Dealers or the
Auction Agent shall have any liability in the event that there are not Sufficient Clearing Bids from time to time pursuant to the Auction Procedures. 
 Section 3A.10 Agreement of Holders. By purchasing ARS, whether in an Auction or otherwise, each prospective purchaser of ARS and its Broker-Dealer will be deemed to have agreed to the provisions for the
replacement of the Auction Agent and each Broker-Dealer as provided in this Indenture, and relevant agreements among the Issuer, the Borrower, the Trustee, the Auction Agent, and the Broker-Dealer, as appropriate. 
 Section 3A.11 Changes in Auction Period or Auction Date. 
 (i) Changes in Auction Period. 
 (i) The Auction Period for the ARS Interest Rate
Period commencing on the issue Date initially shall be a seven-day period commencing generally on a Tuesday. The Auction Period for the Bonds with respect to each subsequent ARS Interest Rate Period, if any, initially shall be either a seven-day
period, a 28-day period, a 35-day period or a Special Auction Period, commencing generally on a Monday, generally on a Tuesday, generally on a Wednesday, generally on a Thursday or generally on a Friday, in each case as announced by the Borrower in
its notice of the proposed Conversion to such subsequent ARS Interest Rate Period as provided in Section 3A.12. 
  

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 (ii) During any Auction Period, the Borrower may from time to time and on any ARS
Interest Payment Date immediately following an Auction Period, change the length of the Auction Period between seven-days, 28-days, 35-days and a Special Auction Period in order to accommodate economic and financial factors that may affect or be
relevant to the length of the Auction Period and the interest rate borne by the Bonds. The Borrower shall initiate the change in the length of the Auction Period by giving written notice to the Trustee, the Issuer, the Auction Agent, the
Broker-Dealer and the Securities Depository that the Auction Period shall change if the conditions described herein are satisfied and the proposed effective date of the change, at least three Business Days prior to the Auction Date for such Auction
Period. 
 (iii) Any such changed Auction Period shall be for a period of seven days, 28 days, 35 days or for a Special
Auction Period and shall apply for all of the Bonds. 
 (iv) The change in length of the Auction Period for the Bonds shall
take effect only if Sufficient Clearing Bids exist at the Auction on the Auction Date for the first such Auction Period. For purposes of the Auction for such first Auction Period only, each Existing Owner shall be deemed to have submitted Sell
Orders with respect to all of its ARS except to the extent such Existing Owner submits an Order with respect to such ARS. If the condition referred to in the first sentence of this clause (iv) is not met, the Auction Rate for the next Auction
Period shall be the ARS Maximum Rate, and the Auction Period shall be a seven-day Auction Period. 
 (j) Changes in Auction Date.
During any Auction Period, the Auction Agent, with the written consent of the Borrower may specify an earlier Auction Date (but in no event more than five Business Days earlier) than the Auction Date that would otherwise be determined in accordance
with the definition of “Auction Date” in order to conform with then current market practice with respect to similar securities or to accommodate economic and financial factors that may affect or be relevant to the day of the week
constituting an Auction Date and the interest rate borne on the ARS. The Auction- Agent shall provide notice of its determination to specify an earlier Auction Date for an Auction Period by means of a written notice delivered at least 45 days prior
to the proposed changed Auction Date to the Trustee, the Paying Agent, the Borrower, the Issuer, the Broker-Dealers and the Securities Depository, which will, in turn, notify the holders. In the event the Auction Agent specifies an earlier Auction
Date, the days of the week on which a Special Auction Period begins and ends and the Interest Payment Date relating to a Special Auction Period shall be adjusted accordingly. 
 (k) Conditions Precedent. No change in the length or the day of commencement of the Auction Period for the Bonds (as provided in subsection
(a) or (b), as applicable) shall be allowed unless Sufficient Clearing Bids exist at the Auction immediately preceding the proposed change and, in the sole discretion of the Broker-Dealer, at the Auction before the date on which the notice of
the proposed change was given. 
  

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 Section 3A.12 Conversion of Bonds to Applicable ARS Rate. 
 (l) Conversion to Applicable ARS Rate. Subject to Section 2.01 hereof, the Borrower on
behalf of the Issuer may, from time to time, by written direction to the Issuer, the Trustee, the Tender Agent (if any), the Bank (if any), the Remarketing Agent (if any), the Auction Agent (if any) and each Broker-Dealer (if any), elect that the
Bonds shall bear interest at the Applicable ARS Rate. The direction of the Borrower shall specify (A) the proposed effective date of the Conversion to the Applicable ARS Rate, which shall be (1) in each case, a Business Day not earlier
than the 30th day following the second Business Day after receipt by the Trustee of such direction, (2) in the case of a Conversion from a
Long-Term Interest Rate Period, the day immediately following the last day of the then-current Long-Term Interest Rate Period or a day on which the Bonds would otherwise be subject to optional redemption pursuant to Section 4.01(a) hereof if
such Conversion did not occur, and (3) in the case of a Conversion from a Short-Term Interest Rate Period, the day immediately following the last day of the Short-Term Interest Rate Period, (B) the Tender Date for the Bonds to be
purchased, which shall be the proposed effective date of the adjustment to the Applicable ARS Rate and (C) the initial Auction Period. In addition, the direction of the Borrower shall be accompanied by a form of notice to be mailed to the
holders of the Bonds by the Trustee as provided in Section 3A.12(b) hereof. During each ARS Interest Rate Period for the Bonds commencing on the Conversion Date and ending on the day immediately preceding the Conversion Date to the next
succeeding Interest Rate Period, the interest rate borne by the Bonds shall be the Applicable ARS Rate. 
 (m) Notice of Conversion to
Applicable ARS Rate. The Trustee shall give notice by first-class mail of an adjustment to an ARS Interest Rate Period to the holders of the Bonds not less than 30 days prior to the proposed effective date of such ARS Interest Rate Period. Such
notice shall state (A) that the interest rate shall be adjusted to the Applicable ARS Rate unless the Borrower rescinds its election to adjust the interest rate to the Applicable ARS Rate as provided in Section 2.01(c)(viii); (B) the
proposed effective date of the ARS Interest Rate Period; (C) that the Bonds are subject to mandatory tender for purchase on the proposed effective date and setting forth the Tender Price and the place of delivery for purchase of the Bonds; and
(D) the information set forth in Section 4.08(b). 
 Section 3A.13 Conversion to from ARS to Other Interest Rate Modes.

 The Borrower may elect to convert the Bonds to other interest rate modes effective as of an ARS Interest Payment Date. Upon such
conversion, the Bonds may accrue interest based on a Daily Interest Rate Period, Weekly Interest Rate Period, Short-Term Interest Rate Period or Long-Term Interest Rate Period. In order to effect such conversion, the Borrower shall provide a written
direction to the Issuer, the Trustee, the Auction Agent and the Broker-Dealer of its election to convert the Bonds to another interest rate mode. The Trustee shall provide notice of such conversion to the holders of the Bonds not less than 30 days
prior to the proposed effective date of such conversion. Pursuant to Section 4.08(a)(iii) hereof, the Bonds will be subject to mandatory tender for purchase on the first day of each Interest Rate Period, subject to the terms of the Indenture.
The tender price shall be equal to the principal amount thereof tendered for purchase, without premium, plus accrued interest from the immediately preceding Interest Accrual Date to the date of such tender. 
  

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 ARTICLE IV 
 REDEMPTION AND PURCHASE OF BONDS 
 Section 4.01 Redemption of Bonds The Bonds shall be
subject to redemption if and to the extent the Borrower is entitled or required to make and makes a prepayment pursuant to Article IX of the Agreement. The Trustee shall not give notice of any optional redemption under Section 4.01(a) hereof
unless the Borrower has so directed in accordance with Section 9.02 of the Agreement. In the event of a failure by the Borrower to give a notice of mandatory prepayment under Section 9.03 of the Agreement, such notice may be given by the
Issuer, the Trustee or any holder or holders of ten percent (10%) or more in aggregate principal amount of the Outstanding Bonds. 
 The
Bonds shall be redeemed upon the following terms: 
 (a) Redemption Upon Optional Prepayment. 
 (i) Extraordinary Events. During any Long-Term Interest Rate Period, the Bonds shall be redeemed prior to the Maturity Date in
whole or in part, and if in part by lot, at any time at a redemption price equal to the principal amount thereof plus accrued interest to the redemption date, upon receipt by the Trustee of a written notice of the Borrower and signed by an
Authorized Borrower Representative stating that any of the following events has occurred (which determination shall be in the sole discretion of the Borrower) and that the Borrower therefore intends to exercise its option to prepay all payments due
under the Agreement, including Repayment Installments, in whole or in part pursuant to Section 9.01 of the Agreement and thereby effect the redemption of Bonds in whole or in part to the extent of such prepayments: 
 (A) All or part of the Project or the Plant shall have been damaged or destroyed to such an extent that, in the opinion of the Borrower,
(i) the Project or the Plant or such affected portion could not reasonably be restored within a period of four (4) months to the condition thereof immediately preceding such damage or destruction, and the Borrower or the operator of the
Project or the Plant will be prevented, or is likely to be prevented for a period of four (4) consecutive months or more, from carrying on all or substantially all of its normal operation of the Project or the Plant, or (ii) the cost of
restoration of the Project or the Plant or such affected portion will be substantially in excess of the net proceeds of insurance thereon. 
 (B) Title to, or the temporary use of, all or a part of the Project or the Plant shall have been taken under the exercise of the power of eminent domain. 
 (C) Changes in economic availability of raw materials, operating supplies or facilities necessary to operate all or a part of the Project
or the Plant, or technological or other changes which make the continued operation of the Project or the Plant or such affected portion uneconomical, in the opinion- 

  

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of the Borrower, shall have occurred and shall have resulted in a cessation of all or substantially all of the Borrower’s normal operations of either
the Project or the Plant. 
 (D) Unreasonable burdens or excessive liabilities shall have been imposed upon the Issuer or the
Borrower in respect of all or a part of the Project or the Plant including, without limitation, federal, state or other ad valorem, property, income or other taxes not being imposed on the date of the Agreement, as well as any statute or regulation
enacted or promulgated after the date of the Agreement that prevents the Borrower from deducting interest in respect of the Agreement for federal income tax purposes. 
 (ii) Borrower Option. Subject to Section 4.12 hereof, the Bonds shall be subject to redemption prior to the Maturity Date by
the exercise by the Borrower of any of its options to prepay all or part of the unpaid balance of the Repayment Installments and cause the Bonds to be redeemed, in whole, or in part by lot, prior to the Maturity Date, as follows: 
 (A) During any Short-Term Interest Rate Period, each Bond shall be subject to such redemption on the day next succeeding the last day of
each Bond Interest Term for such Bond at a redemption price equal to 100% of the principal amount thereof. 
 (B) During any
Daily Interest Rate Period or Weekly Interest Rate Period, the Bonds shall be subject to such redemption on any Interest Payment Date at a redemption price equal to 100% of the principal amount thereof. 
 (C) During any Long-Term Interest Rate Period in excess of three (3) years that is in effect after the Initial Long-Term Interest
Rate Period, the Bonds shall be subject to redemption after year three, in whole or in part, on any Business Day at 100% of the principal amount thereof unless different redemption terms shall be specified by the Borrower pursuant to
Section 2.01(c)(iv)(B). The Bonds shall be subject to optional redemption, in whole or in part on any Business Day on or after February 1, 2019 at a redemption price equal to the principal amount being redeemed together with the accrued
interest on such principal amount to the date fixed for redemption. 
 (iii) Change of Use. During any Long-Term
Interest Rate Period, the Bonds shall be subject to redemption prior to the Maturity Date upon prepayment of the Repayment Installments attributable to the Bonds at the option of the Borrower in whole or in part by lot on any Interest Payment Date,
at a redemption price equal to 100% of the principal amount thereof, if the Borrower delivers to the Trustee a written or Electronic notice to the effect that either: 
 (A) the Borrower has determined that some or all of the interest payable under the Agreement for any sixty (60) days (which need not
be 

  

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consecutive) within any consecutive twenty-four (24) month period is not or will not be deductible, in whole or in part, for federal income tax purposes
by reason of Section 150(b) of the Code (or would not be deductible unless some or all of the Bonds are redeemed) due to a change in use of the Project or any portion thereof, and the Borrower will not claim deductions for such interest on its
federal income tax returns; or 
 (B) the Borrower after reasonable effort has been unable to obtain an opinion of Bond
Counsel that it is more likely than not that Section 150 of the Code will not prevent interest payable under the Agreement for any sixty (60) days (which need not be consecutive) within any consecutive twenty-four (24) month period
from being deductible, in whole or in part, for federal income tax purposes. 
 In either such case, the Borrower shall only
cause the Trustee to redeem Bonds pursuant to this Section 4.01(a)(iv) on or after the Interest Payment Date immediately preceding the date on which, due to a change in use in the Project or any portion thereof, the period of potential interest
expense disallowance described above commences, and the Borrower may only cause the Trustee to redeem such principal amount of Bonds as the Borrower determines is necessary to assure that the Borrower retains its right to all such deductions
otherwise allowable or, if a partial redemption will not enable the Borrower to retain the right to deduct such interest, the Borrower may cause the Trustee to redeem all the Outstanding Bonds. 
 (iv) ARS Interest Rate Period. The ARS shall be subject to redemption prior to the Maturity Date by the Issuer, at the written
direction of the Borrower, on the ARS Interest Payment Date immediately following an Auction Period, in whole or in part in an Authorized Denomination, at a redemption price equal to the principal amount thereof to be redeemed, plus accrued but
unpaid interest to the redemption date, without premium. 
 Notwithstanding any term or provision of Section 4.01(a) of this Indenture
to the contrary, the Bonds shall not be subject to optional redemption unless (i) the Bank, if any, shall consent thereto in writing and deliver such consent to the Borrower and the Trustee, (ii) in connection with such redemption, the
proceeds of a refunding shall be sufficient to pay, and shall be used to pay, the redemption price of the Bonds so redeemed, or (iii) sufficient Available Moneys (other than proceeds of any drawing under the Letter of Credit) shall have been
deposited by the Borrower with the Trustee for the payment of all amounts due in respect of all Bonds called for redemption pursuant to Section 4.01(a) of this Indenture. This paragraph shall be inapplicable if at the time of such optional
redemption there is no Letter of Credit or other Credit Facility with respect to the Bonds. 
 (b) Redemption Upon Mandatory
Prepayment. The Bonds shall be subject to redemption prior to the Maturity Date from amounts which are required to be prepaid by the Borrower under Section 9.03 of the Agreement, as set forth below. 
  

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 (i) The Bonds shall be redeemed in whole on any date at a redemption price equal to the
principal amount thereof plus interest accrued, if any, to the redemption date, within 180 days after the occurrence of a Determination of Taxability; provided, however, that if, in the opinion of Bond Counsel delivered to the Trustee, the
redemption of a specified portion of such Bonds Outstanding would have the result that interest payable on such Bonds remaining Outstanding after such redemption would remain Tax-Exempt, then such specified portion of the Bonds shall be redeemed in
part by lot (in Authorized Denominations), in such amount as Bond Counsel in such opinion shall have determined is necessary to accomplish that result. 
 (ii) The Bonds shall be redeemed in whole at a redemption price equal to the principal amount thereof plus accrued interest to the redemption date in the event that as a result of any changes in the Constitution of
the United States of America or the Constitution of the State of Arizona or as a result of any legislative, judicial or administrative action, the Agreement shall have become void or unenforceable or impossible to perform in accordance with the
intention and purposes of the parties thereto, or shall have been declared unlawful. 
 (c) Extraordinary Mandatory Redemption. The
Bonds shall be subject to extraordinary mandatory redemption prior to the stated maturity, in whole but not in part, on any date at a redemption price equal to the principal amount thereof plus interest accrued to the redemption date prior to any
merger, consolidation, reorganization or conversion of the Borrower, or any sale or other disposition of all or substantially all of the Borrower’s assets if the successor to such merger, consolidation or disposition 1) is not a public utility
(including a holding company) regulated by the applicable state regulatory body or the Federal Energy Regulatory Commission, and 2) does not agree to assume the obligations of the Borrower under the Agreement. 
 Section 4.02 Selection of Bonds to be Redeemed. If less than all the Bonds shall be called for redemption, the Trustee shall select the Bonds
or any given portion thereof to be redeemed, from Outstanding Bonds or any given portion thereof not previously called for redemption, by lot. For the purpose of any such selection the Trustee shall assign a separate number for each minimum
Authorized Denomination of each Bond of a denomination of more than such minimum; provided that following any such selection, both the portion of such Bond to be redeemed and the portion remaining shall be in Authorized Denominations. The Trustee
shall promptly notify the Issuer and the Borrower in writing of the numbers of the Bonds or portions thereof so selected for redemption. Notwithstanding the foregoing, if less than all of the Bonds are to be redeemed at any time while the Bonds are
Book-Entry Bonds, selection of the Bonds to be redeemed shall be made in accordance with customary practices of DTC or the applicable successor depository, as the case may be. 
 Section 4.03 Notice for Redemption. The Trustee shall give notice, Electronically or by first class mail, in the name of the Issuer, of the
redemption of the Bonds, not less than thirty (30) nor more than sixty (60) days prior to the redemption date for Bonds bearing interest fixed to the Maturity Date or at Daily, Weekly or Long-Term Interest Rates, and at any time not more
than sixty (60) days prior to the redemption date for Bonds bearing interest at Bond Interest Term Rates. Each notice of redemption shall (i) specify the Bonds to be redeemed, the 

  

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redemption date, the redemption price, the place where amounts due upon such redemption will be payable (which shall be the Principal Office of the Paying
Agent) and the source of the funds to be used for such redemption, the principal amount, the CUSIP numbers (if any) of the Bonds to be redeemed and, if less than all, the distinctive certificate numbers of the Bonds to be redeemed and, in the case
of Bonds to be redeemed in part only, the respective portions of the principal amount thereof to be redeemed. Each such notice shall also state that the interest on the Bonds designated for redemption shall cease to accrue from and after such
redemption date and that on said date there will become due and payable on each of said Bonds the principal amount thereof to be redeemed, interest accrued thereon, if any, to the redemption date and the premium, if any, thereon (such premium to be
specified) and shall require that such Bonds be then surrendered at the address or addresses of the Paying Agent specified in the redemption notice; provided however, the failure to duly give such notice, or any defect therein, shall not affect the
validity of any proceedings for the redemption of Bonds with respect to which no such failure or defect occurred. In the event that any Bond selected for redemption shall be tendered for purchase pursuant to Section 4.08 hereof, the Tender
Agent shall note on each Bond delivered to an Owner pursuant to Section 14.04 hereof upon the purchase of such tendered Bond that such Bond has been called for redemption and the date of such redemption. Upon presentation and surrender of Bonds
so called for redemption at the place or places of payment, such Bonds shall be redeemed and cancelled. Notice of any redemption hereunder shall also be given to the Tender Agent and the Bank. The cost of the mailing of any such notice of redemption
shall be paid by the Borrower. 
 With respect to any notice of optional redemption of Bonds pursuant to Section 4.01(a), unless upon
the giving of such notice such Bonds shall be deemed to have been paid within the meaning of Article IX hereof, such notice shall state that such redemption shall be conditional upon the receipt by the Trustee on or prior to the date fixed for such
redemption of Available Moneys sufficient to pay the principal of, premium, if any, and interest on, such Bonds to be redeemed, and that if such Available Moneys shall not have been so received said notice shall be of no force and effect and the
Issuer shall not be required to redeem such Bonds. In the event that such notice of redemption contains such a condition and such Available Moneys are not so received, the redemption shall not be made and the Trustee shall within a reasonable time
thereafter give notice, to the persons and in the manner in which the notice of redemption was given, that such Available Moneys were not so received. 
 Any notice for the redemption of any Bond mailed as provided herein shall be conclusively deemed to have been duly given whether or not such notice is received. Failure to mail the notices required by this paragraph
to any holder of a Bond, or any defect in any notice so mailed, shall not affect the validity of the proceedings for redemption of any Bonds nor impose any liability on the Trustee. 
 Section 4.04 Partial Redemption of Bonds. Upon surrender of any Bond redeemed in part only, the Registrar shall exchange the Bond redeemed
for a new Bond of like tenor and in an Authorized Denomination without charge to the holder in the principal amount of the portion of the Bond not redeemed. In the event of any partial redemption of a Bond which is registered in the name of the
Nominee, DTC may elect to make a notation on the Bond certificate which reflects the date and amount of the reduction in principal amount of said Bond in lieu of surrendering the Bond certificate to the Registrar for exchange. The Issuer, the
Trustee and the 

  

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Registrar shall be fully released and discharged from all liability upon, and to the extent of, payment of the redemption price for any partial redemption
and upon the taking of all other actions required hereunder in connection with such redemption. 
 If any Auction Bonds are to be redeemed
and those Bonds are held by a Securities Depository, the Borrower shall include in the notice of the call for redemption delivered to the Securities Depository (i) a date placed under an item entitled “Publication Date for Securities
Depository Purposes” and such date shall be three Business Days after the Auction Date immediately preceding such redemption date, and (ii) an instruction to Securities Depository to (x) determine on such Publication Date after the
Auction held on the immediately preceding Auction Date has settled, the Participants whose Securities Depository positions will be redeemed and the principal amount of such Auction Bonds to be redeemed from each such position (the “Securities
Depository Redemption Information”), and (y) notify the Auction Agent immediately after such determination of the positions of the Participants in such Auction Bonds immediately prior to such Auction settlement, the position of the
Participants in such Auction Bonds immediately following such auction settlement, and the Securities Depository’ Redemption Information. 
 Section 4.05 Effect of Redemption. Notice of redemption having been duly given as aforesaid, and moneys for payment of the redemption price being held by the Trustee, the Bonds so called for redemption shall, on the redemption
date designated in such notice, become due and payable at the redemption price specified in such notice, interest on the Bonds so called for redemption shall cease to accrue, said Bonds shall cease to be entitled to any lien, benefit or security
under this Indenture, and the holders of said Bonds shall have no rights in respect thereof except to receive payment of the redemption price thereof (including interest, if any, accrued to the redemption date), without interest accrued on any funds
held after the redemption date to pay such redemption price. 
 All Bonds fully redeemed pursuant to the provisions of this Article IV shall
upon surrender thereof be cancelled by the Trustee, who shall deliver a certificate evidencing such cancellation to the Issuer and the Borrower. The Trustee shall treat such cancelled Bonds in accordance with its document retention policies,
provided that the Trustee shall not be required to destroy such Bonds. 
 Section 4.06 Payment of Redemption Price. 

(i) For the redemption of any of the Bonds, the Issuer shall cause to be deposited in the Bond Fund, on or prior to the date fixed for
redemption, solely out of the Receipts and Revenues, an amount sufficient to pay the principal of and interest and any premium to become due on the date fixed for such redemption on the Bonds; provided that so long as a Credit Facility is in effect
with respect to the Bonds and such Credit Facility does not cover some or all of the optional or mandatory redemption price, any amount payable as the optional or mandatory redemption price upon redemption of Bonds and not covered by such Credit
Facility shall be on deposit in the Bond Fund and constitute Available Moneys prior to the Trustee giving any notice of redemption hereunder. The Bond Insurance Policy shall not cover payments for the redemption of any of the Bonds, other than
payments of the redemption price and accrued interest due 

  

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on the redemption date upon the mandatory redemption resulting from the occurrence of the Determination of Taxability pursuant to Section 4.01(b) hereof
and payments of the redemption price and accrued interest due on the redemption date upon the extraordinary mandatory redemption pursuant to Section 4.01(c) hereof. 
 (ii) Moneys for payment of the principal of and interest and any premium to the date fixed for redemption on Bonds called for redemption
and not presented for payment on the date fixed for redemption shall be set aside by the Trustee in trust for the Owners of such Bonds and shall be held uninvested. Interest on such Bonds shall cease to accrue on the date fixed for redemption.

 Section 4.07 Bank Purchase Option. 
 (i) Notwithstanding any term or provision of this Indenture to the contrary, if a Credit Facility is in effect and (i) if an Event of
Default shall occur and the Bonds are accelerated or (ii) if any Bonds shall be subject to redemption pursuant to Section 4.01 of this Indenture, or (iii) if the Remarketing Agent shall be unable to remarket Bonds as provided in
Article XIV of this Indenture, then in any of such cases the Bank may from time to time in its discretion (in the manner provided in this Section 4.07) purchase all of the Bonds or the portion thereof that is subject to redemption, acceleration
or which the Remarketing Agent has been unable to remarket, on the terms provided herein. 
 (ii) The Bank shall notify the
Trustee in writing of its exercise of its purchase option pursuant hereto at or before the time by which payment of any drawing of a Credit Facility is required in respect of the relevant acceleration, redemption or failure to remarket Bonds which
gives rise to such purchase option. Such notice may be given after presentation by the Trustee of any document or draft under such Credit Facility with respect to such acceleration, redemption or failure to remarket, in which case purchase of the
relevant Bonds by the Bank shall take precedence over such drawing; provided, that if the Bank has not exercised its purchase option and paid the purchase price of the Bonds being purchased by the time by which payment is due under such Credit
Facility in respect of such drawing, the Bank shall pay such drawing pursuant to such Credit Facility. If the Trustee shall have presented drafts or documents under such Credit Facility, the Bank’s notice of exercise of its purchase option may
accompany payment of the purchase price of Bonds being acquired. The purchase price of Bonds purchased by the Bank pursuant hereto shall be paid to the Trustee at such account as it shall specify and shall be distributed by the Trustee to the former
owners from which such Bonds shall have been purchased; provided, that in the case of any Bonds purchased upon a failed remarketing pursuant to paragraph (vi) of this Section 4.07, the purchase price shall be paid to the Remarketing Agent
for distribution to the former Owners of such Bonds which tendered them to the Tender Agent. 
 (iii) No purchase of any Bonds
by the Bank in accordance herewith shall cause such Bonds to be extinguished or deemed paid, and upon payment of the purchase price of Bonds by the Bank, the Trustee shall authenticate and deliver to the Bank (or its nominee) as Owner a Bond or
Bonds in an aggregate principal amount equal 

  

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to the aggregate principal amount of Bonds so purchased (which shall be deemed to be in an “Authorized Denomination” for all purposes of this
Indenture), and such Bonds so delivered shall be Outstanding Bonds that are entitled to the benefits of this Indenture equally and proportionately with all other Bonds; provided that the Trustee shall not make any drawing on a Credit Facility in
respect of Bonds known by the Trustee to be held by the Bank (or its nominee) except as provided in paragraph (viii) of this Section 4.07. Bonds purchased by the Bank which are not delivered to the Trustee by the date upon which such Bonds
were to have been purchased nonetheless will be deemed to have been purchased by the Bank, and the former Owner or Owners of such Bonds shall have no claim thereon, under this Indenture or otherwise, for any amount other than the purchase price
thereof. Interest accruing after the purchase date of such Bonds shall no longer be payable to the former Owners thereof. If the Bonds are then Book-Entry Bonds, the Trustee shall act in accordance with the procedures and requirements of DTC then in
effect and, if provided by such procedures and requirements, promptly obtain a CUSIP number for the Bonds purchased by the Bank so that such Bonds can be separately identified by such CUSIP number from all other Bonds. 
 (iv) Bonds called for and subject to redemption pursuant to Section 4.01 of this Indenture may, at the option of the Bank, be
purchased by the Bank pursuant to this Section 4.07, on the date upon which such Bonds were to have been redeemed at a purchase price equal to the amount that would have been payable on such Bonds if such Bonds had been so redeemed, except as
provided in paragraph (vii) of this Section 4.07; provided, that no Bond called for redemption shall be subject to purchase by the Bank pursuant to this Section 4.07 if (i) in connection with such redemption, the proceeds of a
refunding shall be sufficient to pay, and shall be used to pay, the redemption price of the Bonds so redeemed, or (ii) sufficient Available Moneys (other than proceeds of any drawing under a Credit Facility) shall have been deposited by the
Borrower with the Trustee for the payment of all amounts due in respect of all Bonds called for redemption pursuant to Section 4.01 of this Indenture. The Bank shall pay the purchase price for Bonds purchased by the Bank on such redemption
date. 
 (v) If an Event of Default occurs and the Bonds are accelerated, the Bank may purchase all Bonds, pursuant to this
Section 4.07, for a purchase price equal to the principal amount of such Bonds plus interest accrued thereon to the date of purchase, except as otherwise provided in paragraph (vii) of this Section 4.07. 
 (vi) In the event that the Remarketing Agent shall be unable to remarket any Bonds as provided in Article XIV hereof, the Bank may, at its
option, purchase all such unremarketed Bonds pursuant to this Section 4.07, at a purchase price equal to 100% of the principal amount thereof plus accrued interest, if any, on the date on which such Bonds would otherwise be purchased by the
Remarketing Agent pursuant to Section 6.02(b), except as otherwise provided in paragraph (vii) of this Section 4.07. 
 (vii) Upon a purchase of Bonds by the Bank pursuant to this Section 4.07, the Bank may, in its discretion, purchase all Bonds, if any, then held by the Trustee which have been purchased by or on behalf of the Borrower with moneys drawn
under a Credit Facility as to which drawing the Borrower has not reimbursed the Bank in 

  

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accordance with the Reimbursement Agreement without the payment of any cash purchase price therefor, but the Borrower’s reimbursement obligations under
the Reimbursement Agreement shall be reduced by an amount equal to the principal amount of such Bonds so deemed purchased. The Bank may exercise its option pursuant to the preceding sentence by a notice to the Trustee given with or included in the
relevant notice to the Trustee under paragraph (ii) of this Section 4.07, together with a notice which shall confirm that a Credit Facility has been reinstated in an equal amount. 
 (viii) Notwithstanding any term or provision of this Indenture to the contrary, the Trustee shall not without the prior written consent of
the Bank make any drawing under a Credit Facility with respect to the principal amount of any Bonds known by the Trustee to be held by the Bank or its nominee; provided, that the Trustee shall make drawings of interest under a Credit Facility with
respect to the Bonds held by the Bank or its nominee, as provided in this Indenture. 
 (ix) The purchase price of any Bonds
to be purchased by the Bank in accordance with this Section 4.07 shall be paid by the Bank with its general funds and not directly or indirectly from funds or collateral on deposit with or pledged to the Bank for the account of the Issuer or
the Borrower or any affiliate thereof, and such payment by the Bank shall not be deemed to be a draw under a Credit Facility. 
 (x) Notwithstanding any term or provision of this Indenture or the Bonds to the contrary, if at any time all of the Outstanding Bonds are in aggregate held by the Bank or its nominee (whether pursuant to the provisions hereof or otherwise),
the Bank shall not be entitled to exercise its rights under Section 4.08 of this Indenture or under the Bonds to require that the Bonds be purchased unless either (i) the Bank shall have given the Borrower, the Trustee and the Remarketing
Agent at least 30 days prior written notice of its intention to exercise such rights, or (ii) the Remarketing Agent shall have received from the Borrower offering materials relating to the Bonds which are, in the opinion of the counsel to the
Borrower and the counsel to the Issuer, correct and complete in all material respects. 
 Section 4.08 Purchase of Bonds.

 (a) Holder’s Option to Tender for Purchase. 
 (i) During any Daily Interest Rate Period, any Bond or portion thereof in an Authorized Denomination shall be purchased on any Business
Day at a purchase price equal to 100% of the principal amount thereof plus accrued interest from the Interest Accrual Date immediately prior to the date of purchase to the date of purchase (unless the date of purchase shall be an Interest Accrual
Date, in which case at a purchase price equal to the principal amount thereof), payable in immediately available funds, upon (A) delivery to the Tender Agent at its Principal Office, by no later than 11:00 a.m. (New York City time) on such
Business Day, of an irrevocable written, telephonic or Electronic notice which states the principal amount of such Bond to be tendered for purchase and the date of purchase, and (B) delivery of such Bond tendered for purchase to the Tender
Agent at its Principal Office on the date of purchase in accordance with 

  

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Section 4.09 hereof. The Tender Agent shall keep a written record of the notice described in Clause (A). 
 (ii) During any Weekly Interest Rate Period, any Bond or portion thereof in an Authorized Denomination shall be purchased on any Business
Day at a purchase price equal to 100% of the principal amount thereof plus accrued interest, if any, from the Interest Accrual Date immediately prior to the date of purchase to the date of purchase (unless the date of purchase shall be an Interest
Accrual Date, in which case at a purchase price equal to the principal amount thereof), payable in immediately available funds, upon (A) delivery to the Tender Agent at its Principal Office by no later than 5:00 p.m. (New York City time), on
such Business Day at least seven (7) days prior to the date of purchase of an irrevocable written, telephonic or Electronic notice, which states the principal amount of such Bond to be tendered for purchase and the date of purchase, and
(B) delivery of such Bond tendered for purchase to the Tender Agent at its Principal Office on the date of purchase in accordance with Section 4.09 hereof. The Tender Agent shall keep a written record of the notice described in Clause (A).

 (iii) If any Bond is to be purchased in part pursuant to (i) or (ii) above, the amount so purchased and the
amount not so purchased must each be an Authorized Denomination. 
 (iv) Any instrument delivered to the Tender Agent in
accordance with this Section 4.08 shall be irrevocable with respect to the purchase for which such instrument was delivered and shall be binding upon any subsequent Owner of the Bond to which it relates, including any Bond issued in exchange
therefor or upon the registration of transfer thereof, and as of the date of such instrument, the Owner of the Bonds specified therein shall not have any right to optionally tender for purchase such Bonds prior to the date of purchase specified in
such notice. The Tender Agent and the Trustee may conclusively assume that any person (other than a holder) providing notice of optional tender pursuant to (i) or (ii) above is the Owner of the Bond to which such notice relates, and
neither the Tender Agent nor the Trustee shall assume any liability in accepting such notice from any person whom it reasonably believes to be an Owner of Bonds. 
 (b) Mandatory Tender for Purchase. 
 (i) The Bonds shall be subject to mandatory
tender for purchase at a purchase price, except as provided in paragraph (ii) below, equal to 100% of the principal amount thereof, plus accrued interest to the date of purchase described below, upon the occurrence of any of the events stated
below: 
 (A) as to any Bond, on the effective date of any change in an Interest Rate Period for such Bond, subject to
Sections 2.01(b) and 2.01(c)(iv)(B), other than the effective date of any change from a Daily Interest Rate Period to a Weekly Interest Rate Period or from a Weekly Interest Rate Period to a Daily Interest Rate Period; or 
  

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 (B) as to each Bond in a Short-Term Interest Rate Period, on the day next succeeding the
last day of each Bond Interest Term with respect to such Bond; or 
 (C) as to all Bonds, on the effective date of any Credit
Facility which may be provided with respect to the Bonds pursuant to Section 6.08 of the Agreement or of any substitute Credit Facility provided with respect to the Bonds pursuant to Section 6.08 of the Agreement, subject to
Section 4.08(c) hereof. 
 (ii) In the event that on a date the Bonds are subject to optional redemption pursuant to
Section 4.01(a)(ii), the Borrower elects to change the Interest Rate Period with respect to the Bonds during a Long-Term Interest Rate Period to a different Interest Rate Period or to provide, substitute or terminate a Credit Facility, if any,
during a Long-Term Interest Rate Period and thereby causes a mandatory tender of such Bonds as provided in Section 4.08(b)(i)(A) or (C), as the case may be, the Bonds shall be purchased on the applicable mandatory tender date at a purchase
price equal to the principal amount thereof plus an amount equal to any premium which would have been payable on such day had the Borrower directed redemption of the Bonds pursuant to Section 4.01(a)(ii) hereof. 
 (iii) The Trustee shall give notice Electronically or by first class mail of the provision of any Credit Facility with respect to the
Bonds or the provision of any substitute Credit Facility with respect to the Bonds to the holders of the Bonds at their addresses shown on the registration books kept by the Registrar, not later than the fifteenth day (thirtieth day if the then
current Interest Rate Period is a Long-Term Interest Rate Period) prior to the date on which the Bonds are subject to mandatory tender pursuant to Section 4.08(b)(i)(C), which notice shall (i) state the date of such provision or
substitution; and (ii) state that such Bonds shall be subject to mandatory tender for purchase on the effective date of such provision or substitution in accordance with Section 4.08(b)(i)(C) hereof. 
 (c) Mandatory Tender for Purchase on Termination or Expiration of Credit Facility. In the event that any Credit Facility either is to terminate or
is to expire in accordance with its terms (other than because a final drawing thereunder shall have been made in accordance with its terms), unless the term of the Credit Facility shall be extended or unless the Borrower shall provide the Trustee,
no later than the 35th day preceding the mandatory purchase date set forth herein with a substitute Credit Facility and with written evidence from Moody’s, if the Bonds shall be rated at the time by Moody’s, and from S&P, if the Bonds
shall be rated at the time by S&P, to the effect that such substitute Credit Facility will not, by itself, result in a reduction or withdrawal of the rating on the Bonds by Moody’s or S&P, as the case may be (and the Trustee shall have
received written notice of such extension or such substitution and evidence thereof prior to giving the notice required in paragraph (b) above), the Bonds shall be subject to mandatory tender for purchase at a purchase price, payable in
immediately available funds, of 100% of their principal amount, plus accrued interest, if any, to the mandatory purchase date, on the second Business Day prior to the date of such termination or expiration. 
  

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 Section 4.09 Delivery of Tendered Bonds. With respect to any Book-Entry Bond, delivery of
such Bond to the Tender Agent in connection with any optional or mandatory tender pursuant to Section 4.08 hereof shall be effected by the making of, or the irrevocable authorization to make, appropriate entries on the books of DTC or any DTC
Participant to reflect the transfer of the beneficial ownership interest in such Bond to the account of the Tender Agent, or to the account of a DTC Participant acting on behalf of the Tender Agent. With respect to any Bond which is not a Book-Entry
Bond, delivery of such Bond to the Tender Agent in connection with any optional or mandatory tender pursuant to Section 4.08 hereof shall be effected by physical delivery of such Bond to the Tender Agent at its Principal Office, by 1:00 p.m.
(New York City time) on the purchase date, accompanied by a proper instrument of transfer thereof, in a form satisfactory to the Tender Agent, executed in blank by the holder thereof with the signature of such holder guaranteed in accordance with
the guidelines set forth by one of the nationally recognized medallion signature programs. 
 Section 4.10 Bonds Deemed
Purchased. 
 (a) If moneys sufficient to pay the purchase price of Bonds to be purchased pursuant to Section 4.08 shall be held by
the Tender Agent on the date such Bonds are to be purchased, such Bonds shall be deemed to have been purchased for all purposes of this Indenture, irrespective of whether or not such Bonds shall have been delivered to the Tender Agent, and neither
the former holder of such Bonds nor any other person shall have any claim thereon, under this Indenture or otherwise, for any amount other than the purchase price thereof. 
 (b) In the event of non-delivery of any Bond to be purchased pursuant to Section 4.08 hereof, the Tender Agent shall segregate and hold uninvested
the moneys for the purchase price of such Bonds in trust, without liability for interest thereon, for the benefit of the former holders of such Bonds, who shall, except as provided in the following sentence, thereafter be restricted exclusively to
such moneys for the satisfaction of any claim for the purchase price of such Bonds. Any moneys which the Tender Agent shall segregate and hold in trust for the payment of the purchase price of any Bond and remaining unclaimed for two (2) years
after the date of purchase shall be paid, upon the Borrower’s written request, to the Borrower. After the payment of such unclaimed moneys to the Borrower, the former holder of such Bond shall look only to the Borrower for the payment thereof.

 Section 4.11 Payment Procedure Pursuant to Bond Insurance Policy. As long as the Bond Insurance Policy shall be in full force
and effect, the Issuer and the Trustee shall comply with the following provisions: 
 (a) If, on the third day next preceding any Interest
Payment Date for the Bonds there is not on deposit with the Trustee sufficient moneys available to pay all principal of and interest on the Bonds due on such date, the Trustee shall immediately notify the Bond Insurer and U.S. Bank Trust National
Association, New York, New York, or its successor as its Fiscal Agent (the “Fiscal Agent”), if any such Fiscal Agent shall have been appointed, of the amount of such deficiency. If, by said Interest Payment Date, the Issuer has not
provided the amount of such deficiency, the Trustee shall simultaneously make available to the Bond Insurer and to the Fiscal Agent the Bond Register for the Bonds maintained by the Trustee. In addition: 
  

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 (i) The Trustee shall provide the Bond Insurer with a list of the Owners entitled to
receive principal or interest payments from the Bond Insurer under the terms of the Bond Insurance Policy and shall make arrangements for the Bond Insurer and its Fiscal Agent (1) to mail checks or drafts to Owners entitled to receive full or
partial interest payments from the Bond Insurer, and (2) to pay principal of the Bonds surrendered to the Fiscal Agent by the Owners entitled to receive full or partial principal payments from the Bond Insurer; and 
 (ii) The Trustee shall, at the time it makes the Bond Register available to the Bond Insurer pursuant to subsection (a) above, notify
Owners entitled to receive the payment of principal of or interest on the Bonds from the Bond Insurer (1) as to the fact of such entitlement, (2) that the Bond Insurer will remit to them all or part of the interest payments coming due
subject to the terms of the Bond Insurance Policy, (3) that, except as provided in subsection (b) below, in the event that any Owner is entitled to receive full payment of principal from the Bond Insurer, such Owner must tender its Bond
with the instrument of transfer in the form provided on the Bond executed in the name of the Bond Insurer, and (4) that, except as provided in subsection (b) below, in the event that such Owner is entitled to receive partial payment of
principal from the Bond Insurer, such Owner must tender its Bond for payment first to the Trustee, which shall note on such Bond the portion of principal paid by the Trustee, and then, with an acceptable form of assignment executed in the name of
the Bond Insurer, to the Fiscal Agent, which will then pay the unpaid portion of principal to the Owner subject to the terms of the Bond Insurance Policy. 
 (b) In the event that the Trustee has notice that any payment of principal of or interest on a Bond has been recovered from an Owner pursuant to the United States Bankruptcy Code by a trustee in bankruptcy in
accordance with the final, nonappealable order of a court having competent jurisdiction, the Trustee shall, at the time it provides notice to the Bond Insurer, notify all Owners that in the event that any Owner’s payment is so recovered, such
Owner shall be entitled to payment from the Bond Insurer to the extent of such recovery, and the Trustee shall furnish to the Bond Insurer its records evidencing the payments of principal of and interest on the Bonds which have been made by the
Trustee and subsequently recovered from Owners, and the dates on which such payments were made. 
 (c) The Bond Insurer shall, to the extent
it makes payment of principal of or interest on the Bonds, become subrogated to the rights of the recipients of such payments in accordance with the terms of the Bond Insurance Policy and, to evidence such subrogation, (1) in the case of
subrogation as to claims for past due interest, the Trustee shall note the Bond Insurer’s rights as subrogee on the Bond Register upon receipt from the Bond Insurer of proof of the payment of interest thereon to the Owners of such Bonds, and
(2) in the case of subrogation as to claims for past due principal, the Trustee shall note the Bond Insurer’s rights as subrogee on the Bond Register for the Bonds upon receipt of proof of the payment of principal thereof to the Owners of
such Bonds. Notwithstanding anything in this Indenture or the Bonds to the contrary, the Trustee shall make payment of such past due interest and past due principal upon receipt thereof directly to the Bond Insurer to the extent that the Bond
Insurer is a subrogee with respect thereto. 
  

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 Section 4.12 Purchase in Lieu of Redemption. Notwithstanding any other provision in this
Indenture, at any time that the Bonds are called for redemption under this Article IV, the Trustee, on behalf of the Borrower, may purchase such Bonds in lieu of redemption at a price equal to the amount payable upon the redemption of such Bonds.
During the Initial Long-Term Interest Rate Period, any adjustment or proposed adjustment to a new Interest Rate Period on a day on which the Bonds would be permitted to be redeemed at the option of the Borrower pursuant to
Section 4.01(a)(ii)(C) hereof shall be deemed to be accomplished pursuant to a purchase of such Bonds in lieu of a redemption pursuant to this Section. 
 ARTICLE V 
 THE BOND FUND 
 Section 5.01 Creation of Bond Fund. There is hereby created by the Issuer and ordered established with the Trustee a trust fund in the name
of the Issuer to be designated “Maricopa County, Arizona Pollution Control Corporation Pollution Control Refunding Revenue Bonds, 2009 Series A (El Paso Electric Company Palo Verde Project) Bond Fund” (the “Bond Fund”). The
Trustee shall establish one or more accounts within the Bond Fund for the purpose of segregating moneys drawn under a Credit Facility, if any, and Available Moneys therein, and may establish one or more accounts within the Bond Fund for other
purposes. 
 Section 5.02 Deposits into Bond Fund. 
 There shall be deposited in the Bond Fund: 
 (i) The accrued interest and purchase premium,
if any, paid by the initial purchasers of the Bonds; 
 (ii) All Repayment Installments and moneys drawn by the Trustee under
a Credit Facility for the payment of principal of and interest and any premium on the Bonds, other than moneys paid by the Bank pursuant to Section 4.07 hereof or drawn under a Credit Facility pursuant to subsection (b) of
Section 6.02 hereof or Section 4.07 hereof, 
 (iii) All other moneys received by the Trustee under and pursuant to
any provision of the Agreement, other than Sections 5.04, 5.07 and 8.05 thereof, or from any other source when accompanied by directions by the Borrower that such moneys are to be paid into the Bond Fund; and 
 (iv) All moneys required to be deposited therein under any other provision of this Indenture. 
 Section 5.03 Use of Moneys in Bond Fund. Except as otherwise provided in Sections 5.05, 5.06, 5.07, 9.01, 10.10 and 11.04 hereof, moneys in
the Bond Fund shall be used solely for the payment of the principal of and interest and any premium on the Bonds as the same shall become due and payable on an Interest Payment Date or at the Maturity Date, upon redemption or acceleration or
otherwise. Funds for such payments of the principal of and interest and any 

  

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premium on the Bonds shall be derived from the following sources in the order of priority indicated: 
 (i) moneys paid into the Bond Fund pursuant to Section 5.02(i) hereof, which shall be applied to the payment of interest on the
Bonds; 
 (ii) proceeds of the sale of refunding obligations and proceeds from the investment thereof, deposited into the Bond
Fund which constitute Available Moneys; 
 (iii) moneys furnished by the Borrower to the Trustee pursuant to the Agreement
which have been deposited into the Bond Fund and constitute Available Moneys (other than funds under a Credit Facility) and proceeds from the investment thereof, 
 (iv) moneys drawn by the Trustee under a Credit Facility for the payment of the principal of or interest or any premium on the Bonds and
deposited into the Bond Fund; 
 (v) moneys furnished by the Borrower to the Trustee pursuant to the Agreement and any other
moneys available therefor and proceeds from the investment thereof-, 
 (vi) In addition to amounts required to be paid into
the Bond Fund, the Trustee shall (i) in the case of Bonds to be purchased by the Tender Agent on behalf of the Borrower pursuant to Article IV hereof, draw moneys under a Credit Facility in accordance with the terms thereof to the extent
necessary to make timely payments of the purchase price of the Bonds pursuant to such Article IV, but only to the extent moneys are not available from the sources set forth in clauses (i) and (ii) of Section 6.02(b) hereof, and
furnish said moneys to the Tender Agent and (ii) in connection with the purchase of Bonds by the Trustee on behalf of or for the account of the Bank pursuant to Section 4.07, draw moneys under such Credit Facility in accordance with the
terms hereof and of such Credit Facility in amounts sufficient to pay the purchase price of the Bonds so purchased to the extent sufficient funds are not otherwise timely furnished by the Bank to the Trustee; provided, however, that the principal
of, premium, if any, and interest on Bonds held by the Borrower, the Tender Agent or the Trustee on behalf of the Borrower (or any affiliate thereof), shall not be paid from moneys drawn under such Credit Facility. 
 Section 5.04 Credit Facility. 
 (a) No Credit Facility relating to the Bonds will be delivered as of-the date of issuance and delivery of the Bonds. During the Initial Long-Term Interest Rate Period, no Credit Facility relating to the Bonds shall be permitted to be
delivered until such time as the Bonds are permitted to be optionally redeemed hereunder pursuant to Section 4.01(a)(ii)(C). A Credit Facility shall be required if the Bonds are converted to any Interest Rate Period other than a Long-Term
Interest Rate Period and in such event, the Borrower shall be required to obtain prior written approval from the Bond Insurer for such Credit Facility and for a Bank providing such 

  

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Credit Facility stating that the terms of such Credit Facility shall be satisfactory to the Bond Insurer, which approval shall not be unreasonably withheld.

 (b) A Credit Facility shall be the obligation of a Bank to pay to the Trustee, in accordance with the terms thereof, such amounts as shall
be specified therein and available to be drawn thereunder for the timely payment of the principal of and interest and, if permitted by a Credit Facility, any premium on the Bonds (whether at the Maturity Date, or upon acceleration or redemption or
otherwise), and portions of the purchase price of Bonds corresponding to principal and interest thereon, and, if permitted by a Credit Facility, portions of the purchase price corresponding to premium on the Bonds, required to be made pursuant to,
and in accordance with the provisions of this Indenture. Such Credit Facility shall be reduced to the extent of any drawings thereunder and reinstated in accordance with the terms thereof. 
 (c) The Trustee shall draw moneys under a Credit Facility in accordance with the terms hereof and the terms of the Tender Agreement to the extent
necessary to make timely payments of principal of and interest and any premium, if drawings thereunder shall be available to pay premium, on the Bonds required to be made from the Bond Fund or to enable the Tender Agent to pay the purchase price of
Bonds purchased pursuant to Section 6.02(b) hereof, provided, however, that, anything herein to the contrary notwithstanding, in no event shall the Trustee draw moneys under such Credit Facility in order to make payments of principal of or
interest or any premium on, or to enable the Tender Agent to pay the purchase price of, Bonds held of record by the Borrower (or any affiliate thereof) or held by the Tender Agent or the Trustee for the account of the Borrower or delivered to and
held of record by, or held for the account of, the Bank pursuant to Section 14.04(c) hereof if such Credit Facility prohibits by its terms a drawing thereunder for such purpose; provided, further, however, that the Trustee may draw moneys under
such Credit Facility in order to make payment of interest on Bonds held of record by the Borrower (or any affiliate thereof), the Bank or by the Tender Agent or the Trustee for the account of the Borrower or the Bank pursuant to
Section 14.04(c) hereof if such Bond was not so held by or for the account of the Borrower or the Bank on the immediately preceding Record Date. Upon any reduction in the aggregate principal amount of Bonds Outstanding, the Trustee shall
request the Bank to permanently reduce the amounts that may be drawn under the applicable Credit Facility to those amounts which are then required pursuant to Section 6.08 of the Agreement. For extensions of the term of a Credit Facility, the
Trustee shall surrender the applicable Credit Facility to the Bank (if so directed by the Bank) in exchange for a Credit Facility of the Bank conforming in all material respects to the applicable Credit Facility except that the expiration date shall
be extended. If at any time there shall cease to be any Bonds Outstanding hereunder, the Trustee shall promptly surrender the applicable Credit Facility to the Bank, in accordance with the terms of the applicable Credit Facility, for cancellation.

 (d) If at any time there shall have been delivered to the Trustee, all as described in and in accordance with Section 6.08 the
Agreement, (i) a notice of the Borrower, (ii) the required opinion of Bond Counsel, and (iii) a Credit Facility, if any, described in such notice, then the Trustee shall accept such Credit Facility, if any, and comply with the
direction of the Borrower, if any, contained in such notice. If the delivery of such Credit Facility does not result in a mandatory tender for purchase of all Bonds pursuant to Section 4.08(b) hereof, the Trustee shall give notice by
first-class mail of the delivery of such Credit Facility to the Owners of the Bonds not less than 20 days prior to the date of the expiration or termination of a Credit 

  

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Facility then in effect. Such notice shall state that the Borrower has caused to be provided the new Credit Facility, shall describe the new Credit Facility
(including its effective date and scheduled expiration date) and shall state that the Borrower has delivered written evidence from Moody’s, if the Bonds are then rated by Moody’s and from S&P, if the Bonds are then rated by S&P,
that none of Moody’s nor S&P will reduce or withdraw its rating then in effect with respect to the Bonds as a result of the proposed delivery of the new Credit Facility. 
 Section 5.05 Custody of Bond Fund; Withdrawal of Moneys. The Bond Fund shall be in the custody of the Trustee but in the name of the Issuer
and the Issuer hereby irrevocably authorizes and directs the Trustee to withdraw from the Bond Fund and furnish to the Paying Agent funds sufficient to pay the principal of and interest and any premium on the Bonds as the same shall become due and
payable, and to withdraw from the Bond Fund funds sufficient to pay any other amounts payable therefrom as the same shall become due and payable. If and to the extent that moneys remain in the Bond Fund after payment of such principal, interest and
premium, if any, and are not required to be held therein pursuant to Section 5.06 hereof, such moneys shall be paid to the Bank, to the extent that there shall then be amounts due and payable to the Bank pursuant to the Reimbursement Agreement
and the Bank has notified the Trustee thereof, and the Bond Insurer, to the extent that there shall then be amounts due and payable to the Bond Insurer pursuant to the Insurance Agreement and the Bond Insurer has notified the Trustee thereof;
provided, however, that if no Bank or Bond Insurer exists, such moneys shall be paid to the Borrower. 
 Section 5.06 Bonds Not
Presented for Payment. In the event any Bond shall not be presented for payment when the principal thereof (or any portion of such principal) becomes due, either at the Maturity Date or at the date fixed for redemption thereof or otherwise or in
the event that any interest payment remains unclaimed, if moneys sufficient to pay such Bonds or portions thereof or such interest are held by the Paying Agent for the benefit of the Owners thereof, the Paying Agent shall segregate and hold such
moneys uninvested without liability for interest thereon, for the benefit of Owners of such Bonds, who shall, except as provided in the following paragraph, thereafter be restricted exclusively to such fund or funds for the satisfaction of any claim
of whatever nature on their part under this Indenture or relating to said Bonds. 
 Any moneys which the Paying Agent shall segregate and
hold for the payment of the principal of or interest or any premium on any Bond and remaining unclaimed for two years after such principal, interest or any premium shall have become due and payable shall be paid to the extent legally permissible
(i) if, at the time, there shall be amounts due and payable to the Bond Insurer or the Bank pursuant to the Reimbursement Agreement, or (ii) if no such amounts shall be due and payable, to the Borrower, with notice to the Trustee of such
action. For purposes of this Indenture, the Paying Agent may conclusively assume that no such indebtedness, liability or obligation is owing to the Bond Insurer or the Bank unless the Bond Insurer or the Bank shall otherwise give written notice to
the Paying Agent. After the payment of such unclaimed moneys to the Bond Insurer, the Bank or the Borrower, the Owner of such Bond shall look only to the Borrower for the payment thereof. 
 Section 5.07 Moneys Held in Trust. All moneys required to be deposited with or paid to the Trustee for deposit into the Bond Fund under any
provision hereof and all moneys withdrawn from the Bond Fund and held by the Trustee or the Paying Agent shall be held by the 

  

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Trustee or the Paying Agent, as the case may be, in trust, and such moneys (other than moneys held pursuant to Section 5.06 hereof) shall, while so
held, constitute part of the Trust Estate and be subject to the lien hereof for the benefit of the Owners. 
 Section 5.08 Payment to
the Bank and to the Borrower. Any moneys remaining in the Bond Fund after the right, title and interest of the Trustee in and to the Trust Estate and all covenants, agreements and other obligations of the Issuer under this Indenture shall have
ceased, terminated and become void and shall have been satisfied and discharged in accordance with Article IX hereof, shall be paid (a) if, at that time, there shall be amounts due and payable to the Bank pursuant to the Reimbursement
Agreement, if any, and the Bank has notified the Trustee thereof, to the Bank, or (b) if, at that time, there shall be amounts due and payable to the Bond Insurer pursuant to the Insurance Agreement, to the Bond Insurer, or (c) no such
amounts shall be so due and payable, to the Borrower. 
 ARTICLE VI 
 PURCHASE FUND 
 Section 6.01 Tender Agent. By acceptance of its
appointment under Section 14.01(b) hereof, the Tender Agent agrees: 
 (a) to hold all Bonds delivered to it pursuant to
Section 4.09 hereof, as agent and bailee of, and in escrow for the benefit of, the respective Owners which shall have so delivered such Bonds until moneys representing the purchase price of such Bonds shall have been delivered to or for the
account of or to the order of such Owners; 
 (b) to establish and maintain, and there is hereby established with the Tender Agent, a
separate segregated trust fund designated as the “Maricopa County, Arizona Pollution Control Corporation Pollution Control Refunding Revenue Bonds, 2009 Series A (El Paso Electric Company Palo Verde Project) Purchase Fund” (the
“Purchase Fund”) until such time as it has been discharged from its duties as Tender Agent hereunder; 
 (c) to hold all moneys
(without investment thereof) delivered to it hereunder in the Purchase Fund for the purchase of Bonds pursuant to Section 4.08 hereof, other than moneys delivered to it by the Borrower during the term of a Credit Facility, as agent and bailee
of, and in escrow for the benefit of, the person or entity which shall have so delivered such moneys until the Bonds purchased with such moneys shall have been delivered to or for the account of such person or entity; 
 (d) to hold all moneys delivered to it by the Borrower for the purchase of Bonds pursuant to Section 4.08 hereof, as agent and bailee of, and in
escrow for the benefit of, the Owners or former Owners who shall deliver Bonds to it for purchase until the Bonds purchased with such moneys shall have been delivered to or for the account of the Borrower; provided, however, that if the Bonds shall
at any time become due and payable, the Tender Agent shall cause such moneys (other than moneys held pursuant to Section 6.03(d) hereof) to be deposited into the Bond Fund; 
  

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 (e) to hold all Bonds registered in the name of the new Owners thereof which have been delivered to it by
the Trustee for delivery to the Remarketing Agent in accordance with the Tender Agreement; 
 (f) to hold Bonds for the account of the
Borrower as contemplated by Section 14.04(c) hereof, such Bonds to be released to or upon the order of the Borrower upon receipt by the Tender Agent from the Bank of a notice to the effect that the Trustee is entitled to draw under a Credit
Facility to pay principal of the Bonds and to pay the purchase price of Bonds tendered under Section 4.08 hereof and not remarketed in an amount equal to the amount that could be drawn under a Credit Facility if the drawing made to purchase
such Bonds were disregarded; 
 (g) to hold Bonds for the account of the Bank (or its nominee), or to deliver Bonds to the Bank, as
contemplated by Section 14.04(c) hereof, and 
 (h) to keep such books and records with respect to the Bonds as shall be consistent with
prudent industry practice and to make such books and records available for inspection by the Issuer, the Trustee, the Borrower and the Remarketing Agent at all reasonable times. 
 The Issuer shall cooperate with the Borrower and the Trustee to cause the necessary arrangements to be made and to be thereafter continued to enable the
Tender Agent to perform its duties and obligations described above. 
 Section 6.02 Notice of Bonds Delivered for Purchase; Purchase
of Bonds. 
 (a) The Tender Agent shall determine timely and proper delivery of Bonds pursuant to this Indenture and the proper
endorsement of such Bonds. Such determination shall be binding on the Owners of such Bonds, the Issuer, the Borrower, the Remarketing Agent, the Trustee and the Bank absent manifest error. As promptly as practicable, the Tender Agent shall give
telephonic or Electronic notice, promptly confirmed by a written notice, to the Bank, if any, the Bond Insurer, the Trustee, the Remarketing Agent, the Registrar and the Borrower specifying the principal amount of Bonds, if any, for which it has
received notice of tender for purchase in accordance with Section 4.08(a)(i) or 4.08(a)(ii) hereof. 
 (b) Bonds required to be
purchased in accordance with Section 4.08 hereof shall be purchased from the Owners thereof by the Tender Agent, on the date and at the purchase price at which such Bonds are required to be purchased if the Bank shall not have exercised its
option to purchase such Bonds pursuant to Section 4.07 hereof. Funds for the payment of such purchase price by the Tender Agent from the Owners of Bonds shall be derived from the following sources in the order of priority indicated: 

(i) moneys furnished to the Tender Agent for deposit into the Purchase Fund representing moneys provided by the Borrower pursuant to
Section 10.02 of the Agreement, which constitute Available Moneys; 
 (ii) proceeds of the sale of such Bonds remarketed
to any person, other than the Issuer, the Borrower or an affiliate thereof, pursuant to Section 14.03 hereof and 

  

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furnished to the Tender Agent by the Remarketing Agent for deposit into the Purchase Fund; 
 (iii) moneys furnished to the Tender Agent by the Trustee for deposit into the Purchase Fund representing the proceeds of a drawing under
a Credit Facility; and 
 (iv) moneys furnished to the Tender Agent representing moneys provided by the Borrower (or any
affiliate thereof) pursuant to Section 10.01 or 10.02 of the Agreement or otherwise available for such purpose. 
 Moneys described in
clause (iii) may not be used to purchase Bonds held of record by the Borrower (or any affiliate thereof) or by the Tender Agent for the account of the Borrower. 
 The Tender Agent shall establish separate accounts or subaccounts within the Purchase Fund for each deposit made into the Purchase Fund so that (1) the Tender Agent may at all times ascertain the date of deposit
of the funds in each account or subaccount, and (2) the amounts derived from the source described in clause (iii) may be segregated from other sources and such amounts shall not be commingled with any funds from the sources described in
clause (iv). 
 (c) The Trustee shall authenticate a new Bond or Bonds in an aggregate principal amount equal to the principal amount of
Bonds purchased in accordance with Section 6.02(b) hereof, whether or not the Bonds so purchased are presented by the Owners thereof, bearing a number or numbers not contemporaneously outstanding. Every Bond authenticated and delivered as
provided in this Section 6.02(c) shall be entitled to all the benefits of this Indenture equally and proportionately with any and all other Bonds duly issued hereunder, except as provided in Section 5.04(c) hereof. The Tender Agent shall
maintain a record of the Bonds purchased as provided in this Section 6.02, together with the names and addresses of the former Owners thereof. 
 (d) In the event any Bonds purchased as provided in this Section 6.02 shall not be presented to the Tender Agent, the Tender Agent shall segregate and hold the moneys for the purchase price of such Bonds in trust for the benefit of the
former Owners of such Bonds, who shall, except as provided in the following sentence, thereafter be restricted exclusively to such moneys for the satisfaction of any claim for the purchase price of such Bonds. Any moneys which the Tender Agent shall
segregate and hold in trust for the payment of the purchase price of any Bond and remaining unclaimed for two years after the date of purchase shall, to the extent legally permissible, upon the Borrower’s written request to the Tender Agent, be
paid to the Bank, if the Borrower then owes funds under the Reimbursement Agreement, to the Bond Insurer, if the Borrower owes funds under the Insurance Agreement or otherwise to the Borrower. After the payment of such unclaimed moneys to the
Borrower, the former Owner of such Bond shall look only to the Borrower for the payment thereof. 
  

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 ARTICLE VII 
 INVESTMENTS 
 Section 7.01 Investments. The moneys in the Bond Fund (other than the
moneys described in Sections 4.06(ii), 5.04(c) and 5.06 hereof, which may not be invested) shall, but only at the direction of the Borrower, be invested and reinvested in Investment Securities to the extent not prohibited by applicable law as
determined by the Borrower. The income from, and any gain or loss from, any investment shall be credited or charged to the Bond Fund from which such investment was made. Investment Securities will be registered in the name of the Trustee or its
nominee and held by or under the control of the Trustee. Subject to the further provisions of this Section 7.01, such investment shall be made, and such agreements entered into, by the Trustee as directed and designated by the Borrower in a
certificate of an Authorized Borrower Representative. In the absence of any such direction, the Trustee shall invest all funds in the Investment Securities defined by clause (viii) of the definition thereof. As and when any amounts thus
invested (including investments of Available Moneys) may be needed for disbursements from the Bond Fund, the Trustee shall cause a sufficient amount of such investments to be sold or otherwise converted into cash to the credit of such Bond Fund. As
long as no Event of Default (as defined in Section 10.01 hereof) shall have occurred and be continuing, the Borrower shall have the right to designate the investments to be sold and to otherwise direct the Trustee in the sale or conversion to
cash of the investments made with the moneys in the Bond Fund; provided that, the Trustee shall be entitled to conclusively assume the absence of any such Event of Default unless it has notice thereof within the meaning of Section 11.05 hereof.
The Trustee shall have no responsibility under this Indenture with respect to the compliance by the Borrower or the Issuer with any covenant herein or in the Agreement regarding the yield on, or tax-exempt nature of investments made in accordance
with this Section 7.01, other than to use its best efforts to comply with instructions from the Borrower or the Issuer regarding such investments and the Trustee shall bear no responsibility for losses incurred from such investments or the sale
thereof. Moneys held by the Tender Agent in the Purchase Fund shall not be invested. The Trustee may acquire or sell any Investment Security through itself or an affiliate, as principal or agent. 
 ARTICLE VIII 
 GENERAL COVENANTS

 Section 8.01 Limited Obligation; Payment of Principal and Interest. Each and every covenant herein made, including all
covenants made in the various Sections of this Article VIII, is predicated upon the condition that any obligation for the payment of money incurred by the Issuer shall not be the general obligation of the Issuer within the meaning of the
Constitution of Arizona, and shall never constitute an indebtedness of the Issuer within the meaning of any State of Arizona constitutional provision or statutory limitation, and shall never constitute or give rise to any pecuniary liability of the
Issuer or a charge against its general credit or taxing powers, but shall be payable by the Issuer solely from the Receipts and Revenues from the Agreement, which are required to be set apart and transferred to the Bond Fund, and which, along with
the balance of the Trust Estate, are hereby specifically pledged to the payment thereof in the manner and to 

  

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the extent specified in this Indenture, and nothing in the Bonds or in this Indenture shall be considered as pledging or obligating any other funds or assets
of the Issuer. 
 The Issuer will in the manner provided herein and in the Bonds, according to the true intent and meaning thereof, promptly
cause to be paid, solely from the sources stated herein, at the place and on the dates provided herein, the principal of and premium, if any, and interest on every Bond issued under this Indenture. 
 Section 8.02 Performance of Agreements; Authority. The Issuer will faithfully perform at all times any and all covenants, undertakings,
stipulations and provisions contained in this Indenture, in any and every Bond executed, authenticated and delivered hereunder, and in all proceedings pertaining thereto. The Issuer represents that it has the authority under the Constitution and
laws of the State of Arizona to issue the Bonds authorized hereby, to enter into the Agreement, and to pledge to the Trustee the Receipts and Revenues from the Agreement and to pledge and assign to the Trustee all or any part of the Issuer’s
right, title and interest under the Agreement pledged and assigned hereunder, and that the Bonds in the hands of the Owners thereof are and will be valid and enforceable obligations of the Issuer according to the import thereof. 
 Section 8.03 Maintenance of Corporate Existence; Compliance with Laws. The Issuer will at all times maintain its corporate existence or
assure the assumption of its obligations under this Indenture by any public body succeeding to its powers under the Act, and it will use its best efforts to maintain, preserve and renew all the rights and powers provided to it by the Act; and it
will comply with all valid acts, rules, regulations, orders and directions of any legislative, executive, administrative or judicial body applicable to the Agreement. 
 Section 8.04 Enforcement of Borrower’s Obligations under the Agreement. So long as any of the Bonds are Outstanding, upon receipt of written notification from the Trustee, the Issuer will, in the
manner provided herein and giving due recognition to the role of the Trustee hereunder, enforce the obligation of the Borrower to pay, or cause to be paid, all the payments and other costs and charges payable by the Borrower under the Agreement,
provided, however, that the Issuer shall not be required to spend any of its own funds in any such enforcement. The Issuer will not enter into any agreement with the Borrower amending the Agreement without the prior written consent of the Trustee
and compliance with Sections 13.06 and 13.07 hereof. 
 Section 8.05 Further Assurances. The Issuer will, upon the reasonable
request of the Trustee, from time to time execute and deliver such further instruments and take such further action as may be reasonable and as may be required to carry out the purpose of this Indenture; provided, however, that no such instruments
or actions shall give rise to any pecuniary liability of the Issuer or pledge the credit or taxing power of the State of Arizona, the Issuer or any other political subdivision of said State. 
 Section 8.06 No Disposition or Encumbrance of Issuer’s Interests. Except as permitted by this Indenture, the Issuer will not sell,
lease, pledge, assign or otherwise dispose of or encumber its interest in the Receipts and Revenues from the Agreement or its rights and interest under the Agreement pledged and assigned hereunder and will promptly pay or cause to be 

  

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discharged or make adequate provision to satisfy and discharge any lien or charge on any part thereof not permitted by this Indenture. 
 Section 8.07 Trustee’s Access to Books Relating to Facilities. All books and documents in the possession of the Issuer relating to the
Facilities and the moneys, revenues and receipts derived from the Facilities shall at all reasonable times be open to inspection by such accountants or other agencies as the Trustee may from time to time designate. The Trustee shall permit the
Borrower or its designee reasonable access to records relating to the investment of the proceeds of the Bonds or any other records relating to the Bonds necessary to assure compliance with Section 148 of the Code. 
 Section 8.08 Filing of Financing Statements. Appropriate financing statements, naming the Trustee as secured party with respect to the
Receipts and Revenues from the Agreement and the other moneys pledged by the Issuer under this Indenture for the payment of the principal of and premium, if any, and interest on the Bonds, and as pledgee and assignee of certain of the Issuer’s
rights and interest under the Agreement, shall be duly filed and recorded in the appropriate state and county offices as required by the provisions of the Uniform Commercial Code or other similar law as adopted in the State of Arizona, the state in
which lies the Principal Office of the Trustee and any other applicable jurisdiction, as from time to time amended. The Trustee will file and record, with such assistance as necessary from the Issuer and the Borrower, such necessary continuation
statements from time to time as may be required pursuant to the provisions of said Uniform Commercial Code or other similar law to protect the interest of the Trustee. 
 Section 8.09 Tax Covenant. The Issuer covenants for the benefit of the purchasers of the Bonds that it will not take any action or fail to take any action reasonably within its control which would, under
the Code, Regulations of the Department of the Treasury of the United States of America (including Temporary Regulations and Proposed Regulations) under the Code applicable to the Bonds, rulings and court decisions, cause the interest payable on the
Bonds to be includable in the gross income of the holders thereof for Federal income tax purposes (other than a “substantial user” of the Facilities or a “related person” as those terms are used in Section 147(a) of the
Code). Pursuant to such covenant, the Issuer obligates itself to comply throughout the term of the issue of the Bonds with the requirements of Section 148 of the Code and any regulations promulgated thereunder. 
 The Borrower by its execution of the Agreement has covenanted to restrict the investment of money in the funds created under this Indenture in such
manner and to such extent, if any, as may be necessary, so that the Bonds will not constitute “arbitrage bonds” under Section 148 of the Code. 
 Section 8.10 Notices by Trustee. The Trustee shall give the same notices to the Issuer that it is required to give to the Borrower, and to the Borrower that it is required to give to the Issuer, pursuant
to the terms of this Indenture and, additionally, shall give written or Electronic notice to the Issuer, the Borrower and the Remarketing Agent of any prior redemption pursuant to Section 4.01 hereof. 
  

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 Section 8.11 No Transfer of Credit Facility. Except as provided in Section 5.04 hereof,
the Trustee shall not sell, assign or transfer a Credit Facility except to a successor trustee under this Indenture and as contemplated by Section 11.16 hereof. 
 ARTICLE IX 
 DEFEASANCE 
 Section 9.01 Defeasance. If the Issuer shall pay or cause to be paid with Available Moneys to the Owner of any Outstanding Bond secured hereby the principal of and interest and any premium due and payable,
and thereafter to become due and payable, on such Bond, or any portion of such Bond in an Authorized Denomination, such Bond or portion thereof shall cease to be entitled to any lien, benefit or security under this Indenture (except as set forth in
Section 9.02 hereof). If the Issuer shall pay or cause to be paid with Available Moneys to the owners of all the Bonds the principal thereof and interest and any premium due and payable and thereafter to become due and payable thereon, and
shall pay or cause to be paid all other sums payable hereunder by the Issuer, or payable under the Agreement by the Borrower, then the right, title and interest of the Trustee in and to the Trust Estate shall thereupon cease, terminate and become
void. In such event, the Trustee shall assign, transfer and turn over the Trust Estate, including, without limitation, any surplus in the Bond Fund and any balance remaining in any other fund created under this Indenture, (i) if, at that time,
there shall be amounts due and payable to the Bank pursuant to the Reimbursement Agreement and the Bank has notified the Trustee thereof, to the Bank, or (ii) if no such amounts shall be so due and payable, to the Borrower. 
 All Outstanding Bonds shall, prior to the Maturity Date or redemption date thereof, be deemed to have been paid within the meaning and with the effect
expressed in this Article IX (except as set forth in Section 9.02 hereof) when 
 (a) in the event the Bonds are to be redeemed, the
Trustee shall have given, or the Borrower shall have given to the Trustee in form satisfactory to the Trustee irrevocable instruction to give, on a date in accordance with the provisions of Article IV hereof, notice of redemption of the Bonds,

 (b) there shall have been deposited with the Trustee either moneys in an amount which shall be sufficient, or fixed rate Government
Obligations (i) which shall not contain provisions permitting the redemption or prepayment thereof at the option of the issuer thereof, (ii) which mature no later than the earlier of (A) the date fixed for the redemption of the Bonds
and (B) the Maturity Date, and (iii) the principal of and the interest on which, when due, and without any regard to reinvestment thereof, will provide moneys which, together with the moneys, if any, deposited with or held by the Trustee,
shall be sufficient, based on the written opinion of a firm of certified public accountants acceptable to the Trustee, delivered to the Trustee, to pay when due the principal of and interest and any premium due and to become due on the Bonds on and
prior to the redemption date or Maturity Date, as the case may be; provided, however, that such moneys shall constitute Available Moneys and that such Government Obligations shall have been purchased with Available Moneys, and provided further, that
if a forward supply contract is employed in connection with the redemption, such certified public accountant’s opinion shall expressly state that the adequacy of the Available Moneys and 

  

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Government Obligations to accomplish the redemption relies solely on the initial deposited investments and the maturing principal thereof and interest income
thereon and does not assume performance under or compliance with the forward supply contract, and 
 (c) in the event the Bonds do not mature
and are not to be redeemed within the next succeeding 60 days, the Borrower shall have given the Trustee, in form satisfactory to it, irrevocable instructions to give, as soon as practicable in the same manner as a notice of redemption is given
pursuant to Section 4.03 hereof, a notice to the Owners that the deposit required by clause (b) above has been made with the Trustee and that the Bonds are deemed to have been paid in accordance with this Article IX and stating the
Maturity Date or redemption date upon which moneys are to be available for the payment of the principal of and interest and any premium on the Bonds. 
 Neither the Government Obligations nor moneys deposited with the Trustee pursuant to this Article IX nor principal or interest payments on any such Government Obligations shall be withdrawn or used for any purpose
other than, and shall be held in trust for, the payment of the principal of and interest and any premium on the Bonds; provided that any cash received from such principal or interest payments on such Government Obligations deposited with the
Trustee, if not then needed for such purpose, shall be invested, to the extent practicable, at the direction of the Borrower, in Government Obligations of the type and tenor described in clause (b) of the immediately preceding paragraph, and
interest earned from such reinvestment shall be paid as received by the Trustee (i) if, at that time, there shall be amounts due and payable to the Bank pursuant to the Reimbursement Agreement and the Bank has notified the Trustee thereof, to
the Bank, (ii) if, at that time, there shall be amounts due and payable to the Bond Insurer pursuant to the Insurance Agreement, to the Bond Insurer, or (iii) if no such amounts shall be so due and payable, to the Borrower. 
 Section 9.02 Survival of Certain Provisions. Notwithstanding the foregoing, any provisions of this Indenture which relate to the payment of
the principal of or any premium on Bonds at the Maturity Date or pursuant to redemption, as the case may be, interest payments and dates thereof, exchange, transfer and registration of Bonds, replacement of mutilated, destroyed, lost or stolen
Bonds, the safekeeping and cancellation of Bonds, non-presentment of Bonds, the holding of moneys in trust and repayments to the Bank, the Bond Insurer or the Borrower from the Bond Fund or the Purchase Fund and the duties of the Trustee, the
Registrar, the Remarketing Agent and the Paying Agent in connection with all of the foregoing, shall remain in effect and be binding upon the Issuer, the Trustee, the Remarketing Agent, the Tender Agent, the Registrar, the Paying Agent and Owners
notwithstanding the release and discharge of this Indenture. The provisions of this Section shall survive the release, discharge and satisfaction of this Indenture; provided, however, that the provisions of Section 2.01 hereof, permitting
adjustments in the Interest Rate Period with respect to the Bonds, shall not be in effect after the release and discharge of this Indenture. 
 ARTICLE X 
 DEFAULTS AND REMEDIES 
 Section 10.01 Events of Default. 
  

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 (a) Each of the following events shall constitute and is referred to in this Indenture as an “Event
of Default” (except that in making such determination no effect shall be given to payments made under the Bond Insurance Policy): 
 (i) a failure to pay the principal of or any premium on any of the Bonds when the same shall become due and payable at the Maturity Date or upon redemption; 
 (ii) a failure to pay an installment of interest on any of the Bonds after such interest has become due and payable; 
 (iii) a failure to pay an amount due pursuant to Section 4.08 hereof after such payment has become due and payable; 
 (iv) an “Event of Default” as such term is defined in Section 8.01 of the Agreement; 
 (v) prior to termination or expiration of a Credit Facility, receipt by the Trustee, prior to the date set forth in a Credit Facility for
automatic reinstatement of interest following a drawing under a Credit Facility to pay accrued interest on the Bonds, of notice from the Bank in accordance with a Credit Facility that a Credit Facility will not be reinstated in respect of such
interest; 
 (vi) prior to termination or expiration of a Credit Facility and payment in full of all amounts due under the
Reimbursement Agreement, receipt by the Trustee of written notice from the Bank that an “Event of Default” under the Reimbursement Agreement has occurred and is continuing; or 
 (vii) a failure by the Issuer to observe and perform any covenant, condition, agreement or provision (other than as specified in clauses
(i), (ii) and (iii) of paragraph (a) of this Section 10.01) contained in the Bonds or in this Indenture on the part of the Issuer to be observed or performed, which failure shall continue for a period of 60 days after written
notice, specifying such failure and requesting that it be remedied, shall have been given to the Issuer and the Borrower by the Trustee, which may give such notice in its discretion and shall give such notice at the written request of the Owners of
a majority in principal amount of the Bonds then Outstanding, unless the Trustee or the Owners of Bonds then Outstanding in principal amount not less than the principal amount of Bonds the Owners of which requested such notice, as the case may be,
shall agree in writing to an extension of such period prior to its expiration; provided, however, that the Trustee, or the Trustee and the Owners of such principal amount of Bonds, as the case may be, shall be deemed to have agreed to an extension
of such period if corrective action is initiated by the Issuer, or the Borrower on behalf of the Issuer, within such period and is being diligently pursued. 
 (b) If 
 (i)(A) a Credit Facility is then in effect and (B) an Event of Default
described in clause (i), (ii) or (iii) of paragraph (a) of this Section 10.01 shall occur and 

  

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be continuing, the Trustee may, and at the written request of the owners of a majority in principal amount of Bonds then Outstanding, the Trustee shall, or

 (ii)(A) a Credit Facility is then in effect and (B) an Event of Default described in clause (iv) of paragraph
(a) of this Section 10.01 shall occur and be continuing, at the written request of the Bank, the Trustee shall, or 
 (iii)(A) a Credit Facility is then in effect and (B) an Event of Default described in clause (v) or (vi) of paragraph (a) of this Section 10.01 shall occur and be continuing, the Trustee shall, or 
 (iv)(A) a Credit Facility is not then in effect or if the Bank shall have wrongfully failed to honor a drawing under such Credit Facility
then in effect and (B) an Event of Default described in clause (i), (ii), (iii), (iv), (v), or (vi) of paragraph (a) of this Section 10.01 shall occur and be continuing, the Trustee may, and at the written request of the Owners
of a majority in principal amount of Bonds then Outstanding, the Trustee shall, subject to the Bank’s right to purchase the Bonds pursuant to Section 4.07 in the circumstances set forth therein, by written notice to the Issuer, the Bank,
and the Borrower, declare the Bonds to be immediately due and payable, whereupon they shall, without further action, become and be immediately due and payable, anything in this Indenture or in the Bonds to the contrary notwithstanding, and the
Trustee shall give notice thereof to the Tender Agent, the Remarketing Agent, the Bond Insurer and the Owners and shall immediately (and in no event later than five (5) days thereafter) draw under a Credit Facility to the extent provided in
Section 5.04 hereof. If the principal of all of the Bonds shall have been declared due and payable while a Credit Facility shall be in effect, interest on such Bonds shall cease to accrue on the date of the drawing on a Credit Facility with
respect to such declaration unless such drawing is pursuant to the Bank’s purchase of the Bonds in accordance with Section 4.07 hereof. The Trustee shall not be entitled to accelerate the principal of the Bonds upon the occurrence of an
Event of Default described in clause (vii) of paragraph (a) of this Section 10.01. 
 (c) The provisions of paragraph (b)(iv),
however, are subject, when no Credit Facility shall be in effect, to the condition that if, after the principal of the Bonds shall have been so declared to be due and payable, and before any judgment or decree for the payment of the moneys due shall
have been obtained or entered as hereinafter provided, the Issuer shall cause to be deposited with the Trustee a sum sufficient to pay all matured installments of interest upon all Bonds, premium, if any, and the principal of any and all Bonds which
shall have become due otherwise than by reason of such declaration (with interest upon such principal and, to the extent permissible by law, on overdue installments of interest, at the rate per annum borne by the Bonds on the date of such
declaration) and such amounts as shall be sufficient to cover reasonable compensation and reimbursement of expenses payable to the Trustee, and all Events of Default hereunder other than nonpayment of the principal of Bonds which shall have become
due by said declaration shall have been remedied or waived, then, in every such case, such Event of Default shall be deemed waived and such declaration and its consequences rescinded and annulled, and the Trustee shall promptly give written or
Electronic notice of such waiver, rescission and annulment to the Issuer, the Borrower, the Remarketing Agent, and, if notice of the acceleration of the Bonds shall have been given to the Owners, shall give notice thereof to the Owners; but no

  

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such waiver, rescission and annulment shall extend to or affect any subsequent Event of Default or impair any right or remedy consequent thereon. 

(d) The provisions of paragraph (b) are, further, subject to the condition that (i) if an Event of Default described in clauses (v) or
(vi) of paragraph (a) shall have occurred and the Trustee shall thereafter have received written notice from the Bank that the notice of the Bank which caused the occurrence of such Event of Default shall have been withdrawn and
(ii) if any drawing under a Credit Facility shall have been made and a Credit Facility shall have been reinstated as to principal to an amount equal to the outstanding principal amount of the Bonds and as to interest to an amount which at least
equals, depending on the type of Interest Rate Period then in effect, the coverage required by Section 2.01(c)(vi) hereof to permit such Interest Rate Period to go into effect, and the Trustee shall have received written notice from the Bank of
such reinstatement, then such Event of Default shall be waived, and the consequences of such Event of Default rescinded and annulled and the Trustee shall promptly give written notice of such waiver, rescission and annulment to the Issuer, the
Borrower, the Bank, the Tender Agent, the Bond Insurer, the Remarketing Agent, and, if notice of the acceleration of the Bonds shall have been given to the Owners, shall give notice thereof to the Owners; but no such waiver, rescission and annulment
shall extend to or affect any subsequent Event of Default or impair any right or remedy consequent thereon. Notwithstanding anything to the contrary set forth herein, any acceleration of the Bonds or annulment thereof shall be subject to the prior
written consent of the Bond Insurer (so long as it has not failed to comply with its payment obligations under the Bond Insurance Policy). 
 Section 10.02 Remedies. In addition to the rights conferred, or obligation imposed, upon the Trustee under Section 10.01 hereof to accelerate the principal of the Bonds upon the occurrence and continuance of any Event of
Default, then and in every such case the Trustee in its discretion may, and upon the written request of the Bank, the Bond Insurer or the Owners of a majority in principal amount of the Bonds then Outstanding and receipt of indemnity to its
satisfaction shall, in its own name and as the Trustee of an express trust: 
 (i) by mandamus, or other suit, action or
proceeding at law or in equity, enforce all rights of the Owners of the Bonds, and require the Issuer, the Bank, the Bond Insurer and the Borrower to carry out any agreements with or for the benefit of the Owners and to perform their duties under
the Act, the Agreement, a Credit Facility, the Bond Insurance Policy and this Indenture; 
 (ii) bring suit upon the Bonds or
a Credit Facility or the Bond Insurance Policy; or 
 (iii) by action or suit in equity enjoin any acts or things which may be
unlawful or in violation of the rights of the Owners of the Bonds. 
 Section 10.03 Restoration to Former Position. In the event
that any proceeding taken by the Trustee to enforce any right under this Indenture shall have been discontinued or abandoned for any reason, or shall have been determined adversely to the Trustee, then and in every case the Issuer, the Trustee and
the Owners of the Bonds shall be restored to their former positions and 

  

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rights hereunder, respectively, and all rights, remedies and powers of the Trustee shall continue as though no such proceeding had been taken. 
 Section 10.04 Bond Insurer’s Right to Direct Proceedings. Subject to the provisions of Section 4.07 hereof relating to the rights
of the Bank and subject in the circumstances set forth as described therein, anything in this Indenture to the contrary notwithstanding, so long as it is not in default on its payment obligations under the Bond Insurance Policy, the Bond Insurer
shall be treated as the “Owner” of the Bonds and shall have the right, by an instrument in writing executed and delivered to the Trustee, to direct the time, method and place of conducting all remedial proceedings available to the Trustee
under this Indenture or exercising any trust or power conferred on the Trustee by this Indenture. 
 Section 10.05 Limitation on
Owners’ Right to Institute Proceedings. No owner shall have any right to institute any suit, action or proceedings in equity or at law for the execution of any trust or power hereunder, or any other remedy hereunder or on said Bonds, unless
(i) such Owner previously shall have given to the Trustee written notice of an Event of Default as hereinabove provided, (ii) the owners of a majority in principal amount of the Bonds then Outstanding shall have made written request of the
Trustee so to do, after the right to institute said suit, action or proceeding shall have accrued, and shall have afforded the Trustee a reasonable opportunity to proceed to institute the same in either its or their name, (iii) there also shall
have been offered to the Trustee security and indemnity satisfactory to it against the costs, expenses and liabilities to be incurred therein or thereby, and (iv) the Trustee shall not have complied with such request within a reasonable time
after such notice, request and offer of indemnity; and such notification, request and offer of indemnity are hereby declared in every such case, at the option of the Trustee, to be conditions precedent to the institution of said suit, action or
proceeding; it being understood and intended that no one or more of the Owners shall have any right in any manner whatever by his or their action to affect, disturb or prejudice the security of this Indenture, or to enforce any right hereunder or
under the Bonds, except in the manner herein provided, and that all suits, actions and proceedings at law or in equity shall be instituted, had and maintained in the manner herein provided and for the equal benefit of all Owners. 
 Section 10.06 No Impairment of Right to Enforce Payment. Notwithstanding any other provision in this Indenture, the right of any Owner to
receive payment of the principal of and interest and any premium on such Bond, on or after the respective due dates expressed therein or applicable redemption dates, or to institute suit for the enforcement of any such payment on or after such
respective date, shall not be impaired or affected without the consent of such Owner. 
 Section 10.07 Proceeding by Trustee Without
Possession of Bonds. All rights of action under this Indenture or under any of the Bonds secured hereby which are enforceable by the Trustee may be enforced by it without the possession of any of the Bonds or the production thereof at the trial
or other proceedings relative thereto. Any such suit, action or proceeding instituted by the Trustee shall be brought in its name for the equal and ratable benefit of the Owners subject to the provisions of this Indenture. 
 Section 10.08 No Remedy Exclusive. No remedy herein conferred upon or reserved to the Trustee, the Bank, the Bond Insurer or to the Owners of
the Bonds is intended to be exclusive 

  

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of any other remedy or remedies, and each and every such remedy shall be cumulative, and shall be in addition to every other remedy given hereunder or under
the Agreement, or now or hereafter existing at law or in equity or by statute. 
 Section 10.09 No Waiver of Remedies. No delay
or omission of the Trustee, the Bank, the Bond Insurer or of any Owner of a Bond to exercise any right or power accruing upon any default shall impair any such right or power accruing upon any default or shall be construed to be a waiver of any such
default, or an acquiescence therein. Every power and remedy given by this Article X to the Trustee, the Bank, the Bond Insurer and to the Owners of the Bonds, respectively, may be exercised from time to time as often as may be deemed expedient.

 Section 10.10 Application of Moneys. Any moneys received by the Trustee, by any receiver or by any Owner of a Bond pursuant to
any right given or action taken under the provisions of this Article X (other than moneys received by the Trustee in consequence of the exercise by the Bank of its right to purchase the Bonds pursuant to Section 4.07) or under the provisions of
the Agreement after payment of the costs and expenses of the proceedings resulting in the collection of such moneys, including any amounts due to the Trustee pursuant to Section 11.04 hereof and under the Agreement (except that proceeds of a
drawing under a Credit Facility and any moneys held pursuant to Section 5.06 hereof may not be so used), shall be deposited in the Bond Fund and all moneys so deposited in the Bond Fund during the continuance of an Event of Default (other than
moneys for the payment of Bonds which had matured or otherwise become payable prior to such Event of Default or for the payment of interest due prior to such Event of Default) shall be applied as follows: 
 (a) Unless the principal of all the Bonds shall have been declared due and payable, all such moneys shall be applied (i) first, to the payment to
the persons entitled thereto of all installments of interest then due on the Bonds, with interest on overdue installments, if lawful, at the rate per annum borne by the Bonds on the date of occurrence of such Event of Default, in the order of
maturity of the installments of such interest and, if the amount available shall not be sufficient to pay in full any particular installment of interest, then to the payment ratably, according to the amounts due on such installment, and
(ii) second, to the payment to the persons entitled thereto of the unpaid principal of and any premium on any of the Bonds which shall have become due (other than Bonds called for redemption for the payment of which money is held pursuant to
the provisions of this Indenture) with interest on such Bonds at their rate on the date of occurrence of such Event of Default from the respective dates upon which they became due and, if the amount available shall not be sufficient to pay in full
Bonds due on any particular date, together with such interest, then to the payment ratably, according to the amount of principal and interest and any premium due on such date, in each case to the persons entitled thereto, without any discrimination
or privilege; provided, however, that moneys derived from the exercise of rights by the Trustee under a Credit Facility shall not be applied to the payment of the principal of or premium or interest on Bonds held of record by the Borrower or any
affiliate thereof or by the Tender Agent for the account of the Borrower. 
 (b) If the principal of all the Bonds shall have been declared
due and payable and the Bank has not exercised its option to direct the Trustee to purchase all Bonds on behalf of the Bank pursuant to Section 4.07 hereof, all such moneys shall be applied to the payment of the principal and interest then due
and unpaid upon the Bonds, with interest on overdue interest and 

  

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principal, as aforesaid, without preference or priority of principal over interest or of interest over principal, or of any installment of interest over any
other installment of interest, or of any Bond over any other Bond, ratably, according to the amounts due respectively for principal and interest, to the persons entitled thereto without any discrimination or privilege; provided however, that moneys
derived from the exercise of rights by the Trustee under a Credit Facility shall not be applied to the payment of the principal of or premium or interest on Bonds held of record by the Borrower or any affiliate thereof or by the Tender Agent for the
account of the Borrower. 
 (c) If the principal of all the Bonds shall have been declared due and payable, and if such declaration shall
thereafter have been rescinded and annulled under the provisions of this Article X, subject to the provisions of clause (b) of this Section 10.10 which shall be applicable in the event that the principal of all the Bonds shall later become
due and payable, the moneys shall be applied in accordance with the provisions of clause (a) of this Section 10.10. 
 Whenever
moneys are to be applied pursuant to the provisions of this Section 10.10, such moneys shall be applied at such times, and from time to time, as the Trustee shall determine, having due regard to the amount of such moneys available for
application and the likelihood of additional moneys becoming available for such application in the future. Whenever the Trustee shall apply such funds, it shall fix the date (which, while a Credit Facility shall be in effect, shall be within five
days of any declaration of acceleration and, if possible, an Interest Payment Date unless it shall deem another date more suitable) upon which such application is to be made and, upon such application, interest on the amounts of principal, premium
and interest to be paid on such dates shall cease to accrue, except that if the principal of all of the Bonds shall have been declared due and payable when a Credit Facility shall be in effect, interest on such amounts shall cease to accrue on the
date of the drawing on a Credit Facility with respect to such declaration unless such drawing is pursuant to the Bank’s purchase of the Bonds in accordance with Section 4.07 hereof. The Trustee shall give notice of the deposit with it of
any such moneys and of the fixing of any such date to all Owners of Outstanding Bonds, consistent with the requirements of Section 2.01 hereof for the establishment of, and giving of notice with respect to, a Special Record Date for the payment
of overdue interest. The Trustee shall not be required to make payment to any Owner of a Bond until such Bond shall be presented to the Trustee for appropriate endorsement or for cancellation if fully paid. 
 Notwithstanding anything in this Section 10.10 to the contrary, moneys received by the Trustee pursuant to draws on a Credit Facility, and moneys
held by the Trustee pursuant to Section 4.10 for the payment of Bonds not presented for payment, shall be applied only to the payment of principal, redemption premium (if any) and interest due on the Bonds. 
 Section 10.11 Severability of Remedies. It is the purpose and intention of this Article X to provide rights and remedies to the Trustee, the
Bank, the Bond Insurer and the Owners which may be lawfully granted under the provisions of the Act, but should any right or remedy granted herein be held to be unlawful, the Trustee, the Bank, the Bond Insurer and the Owners shall be entitled, as
above set forth, to every other right and remedy provided in this Indenture and by law. 
  

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 Section 10.12 Waivers of Events of Default. The Trustee in its discretion may waive any Event
of Default hereunder (other than an Event of Default described in clauses (v) and (vi) of paragraph (a) of Section 10.01 and not waived in accordance with paragraph (d) of Section 10.01) and its consequences and shall
in any event do so upon the written request of the Owners of a majority in principal amount of all Bonds then outstanding; provided, however, that there shall not be waived 
 (i) any Event of Default pertaining to the payment of the principal of any Bond at the Maturity Date or redemption date prior to the
Maturity Date, or 
 (ii) any Event of Default pertaining to the payment when due of the interest on any Bond, 
 unless, prior to such waiver (A) all arrears of principal (due otherwise than by declaration) and interest, with interest (to the extent permitted by law) at the
rate per annum borne by the Bonds in respect of which such Event of Default shall have occurred on overdue installments of principal (due otherwise than by declaration) and interest, shall have been paid or provided for, (B) all expenses of the
Trustee in connection with such Event of Default shall have been paid or provided for to the satisfaction of the Trustee, and (C) if a Credit Facility is in effect with respect to the Bonds, the coverage under a Credit Facility shall have been
reinstated as to principal to an amount equal to the outstanding principal amount of the Bonds and as to interest to an amount which at least equals, depending on the type of Interest Rate Period then in effect, the coverage required by
Section 2.01(c)(vi) hereof to permit such Interest Rate Period to go into effect, and provided further that, in case of any such waiver, or in case any proceeding taken by the Trustee on account of any such Event of Default shall be
discontinued or abandoned or determined adversely, then and in every such case the Issuer, the Borrower, the Trustee, the Bank, the Bond Insurer and the Owners of the Bonds shall be restored to their former positions and rights hereunder,
respectively, but no such waiver shall extend to any subsequent or other Event of Default, or impair any right consequent thereon. The Trustee shall not have any discretion to waive any Event of Default hereunder and its consequences except in the
manner and subject to the terms expressed above. 
 Section 10.13 No Obligation of Issuer to Act. Subject to Sections 8.04 and
8.05, the Issuer shall have no obligation to take any action or pursue any right or remedy of the Trustee or any Owner under this Indenture or otherwise, including, but not limited to, taking any action in a bankruptcy proceeding. 
 ARTICLE XI 
 TRUSTEE, PAYING AGENT,
REGISTRAR 
 Section 11.01 Acceptance of Trusts. By executing the certificate of authentication endorsed upon the Bonds, the
Trustee shall signify its acceptance and agree to execute the trusts hereby created but only upon the additional terms set forth in this Article XI, to all of which the Issuer agrees and the respective owners agree by their acceptance of delivery of
any of the Bonds. 
  

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 To the extent that it is necessary for the Trustee to determine whether any Person is a Beneficial Owner
or an ARS Beneficial Owner, the Trustee shall make such determination based on a certification of such Person (on which the Trustee may conclusively rely) setting forth in satisfactory detail the principal balance and bond certificate owned and any
intermediaries through which such bond certificate is held. The Trustee shall be entitled to rely conclusively on information it receives from DTC or other applicable Securities Depository, its direct participants and the indirect participating
brokerage firms for such participants with respect to the identity of a Beneficial Owner or ARS Beneficial Owner. The Trustee shall not be deemed to have actual or constructive knowledge of the books and records of DTC or its participants.

 Section 11.02 Trustee Not Responsible for Recitals, Maintenance, Insurance, etc. The recitals, findings and representations in
this Indenture or in the Bonds contained, save only the Trustee’s authentication upon the Bonds, shall be taken and construed as made by and on the part of the Issuer, and not by the Trustee, and the Trustee does not assume, and shall not have,
any responsibility or obligation for the correctness of any thereof. In addition, the Trustee shall not have any responsibility for monitoring the Borrower’s obligations under Sections 5.05 and 5.06 of the Agreement to maintain the Facilities
or to maintain or cause to be maintained the insurance required thereunder. 
 Section 11.03 Limitations on Liability.

 (a) The Trustee may execute any of the trusts or powers hereof and perform the duties required of it hereunder by or through attorneys,
agents, receivers or employees, and shall be entitled to advice of counsel concerning all matters of trust and its duty hereunder and shall not be liable for any action taken or omitted to be taken in good faith on the basis of such advice, and the
Trustee shall not be answerable for the default or misconduct of any such attorney, agent or employee selected by it with reasonable care. The Trustee shall not be answerable for the exercise of any discretion or power under this Indenture or for
anything whatsoever in connection with the trust created hereby, except only for its own gross negligence or willful misconduct. 
 (b) The
permissive rights of the Trustee to do things enumerated in this Indenture shall not be construed as a duty, and the Trustee shall not be liable for any action reasonably taken or omitted to be taken by it in good faith and reasonably believed by it
to be within its discretion or power conferred upon it hereby. 
 (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 or under the Agreement, the Trustee may, in the absence of bad faith on its part, rely upon a Certificate of the Borrower. 
 (d) Prior to taking any action under the Agreement or this Indenture, the Trustee shall be entitled to a certificate of an Authorized Borrower
Representative and/or an opinion of counsel with respect to the proposed action, which certificate and/or opinion shall confirm that all conditions precedent, if any, have been satisfied. 
  

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 (e) The Trustee shall not be required to give any bond or surety with respect to the performance of its
duties or the exercise of its powers under this Indenture. No provision of the Indenture shall require the Trustee to expend or risk its own funds or otherwise incur financial liability in the performance of any of its duties hereunder or in the
exercise of any of its rights or powers. 
 (f) The Trustee shall not be bound to ascertain or inquire as to performance or observance of any
covenants, conditions or other agreements on the part of the Borrower or the Issuer under the Agreement or this Indenture, as the case may be, except as specifically provided for herein. The Trustee shall have no obligation to perform any of the
duties of the Issuer or the Borrower under the Agreement or this Indenture. 
 Section 11.04 Compensation, Expenses and Advances.
The Trustee, the Paying Agent, the Registrar and the Tender Agent under this Indenture shall be entitled to reasonable compensation for their services rendered hereunder including extraordinary services such as default administration (not limited by
any provision of law in regard to the compensation of the trustee of an express trust) and to reimbursement for their actual out-of-pocket expenses (including counsel fees and expenses) reasonably incurred in connection therewith except as a result
of their gross negligence or willful misconduct. If the Issuer shall fail to perform any of the covenants or agreements contained in this Indenture, other than the covenants or agreements in respect of the payment of the principal of, premium, if
any, and interest on the Bonds, the Trustee may, in its uncontrolled discretion and without notice to the Owners of the Bonds, at any time and from time to time, make advances to effect performance of the same on behalf of the Issuer, but the
Trustee shall be under no obligation to do so; but no such advance shall operate to relieve the Issuer from any default hereunder. In Section 5.04 of the Agreement, the Borrower has agreed that it will pay to the Trustee, the Paying Agent, the
Registrar, the Remarketing Agent and the Tender Agent such compensation and reimbursement of expenses and advances, but the Borrower may, without creating a default hereunder, contest in good faith the reasonableness of any such services, expenses
and advances. In Section 5.07 of the Agreement, the Borrower has agreed to indemnify the Trustee and the Registrar to the extent stated therein. If the Borrower shall have failed to make any payment to the Trustee under Sections 5.04 or 5.07 of
the Agreement and such failure shall have resulted in an Event of Default under the Agreement, the Trustee shall have, in addition to any other rights hereunder, a claim, prior to the claim of the Owners of the Bonds, for the payment of its
compensation and the reimbursement of its expenses and any advances made by it, as provided in this Section 11.04, upon the moneys and obligations in the Bond Fund, except for proceeds of drawings under a Credit Facility and except for moneys
or obligations deposited with or paid to the Trustee for the purchase of Bonds by the Bank in accordance with Section 4.07 hereof or which are deemed to have been paid in accordance with Article IX hereof and funds held pursuant to
Section 5.06 hereof. 
 Section 11.05 Notice of Events of Default. The Trustee shall not be required to take notice, or be
deemed to have notice, of any default or Event of Default under this Indenture or the Agreement other than an Event of Default under clauses (i), (ii), (iii) (but only if the Trustee and the Tender Agent are the same entity), (v) or
(vi) of paragraph (a) of Section 10.01 hereof, unless specifically notified in writing of such default or Event of Default by Owners of at least a majority in principal amount of the Bonds then Outstanding or by the Bank or the Bond
Insurer. The Trustee may, however, at any time, in its discretion, require of the Issuer full information 

  

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and advice as to the performance of any of the covenants, conditions and agreements contained herein. 
 Section 11.06 Action by Trustee. The Trustee shall be under no obligation to take any action in respect of any default or Event of Default
hereunder other than pursuant to Section 10.01(b) hereof, or toward the execution or enforcement of any of the trusts hereby created, or to institute, appear in or defend any suit or other proceeding in connection therewith, unless requested in
writing to do so by Owners of at least a majority in principal amount of the Bonds then Outstanding or the Bank, and, if in its opinion such action may tend to involve it in expense or liability, unless furnished, from time to time as often as it
may require, with security and indemnity satisfactory to it. The foregoing provisions are intended only for the protection of the Trustee, and shall not affect any discretion or power given by any provisions of this Indenture to the Trustee to take
action in respect of any default or Event of Default without such notice or request from Owners or the Bank, or without such security or indemnity. Notwithstanding the foregoing, the Trustee shall submit draw requests under a Credit Facility as
provided therein, make payments on the Bonds in accordance with this Indenture and give notice of acceleration in accordance with Section 10.01(b) hereof, without as a precondition to such action, demanding security and indemnity as
hereinbefore provided. 
 Section 11.07 Good Faith Reliance. The Trustee shall be protected and shall incur no liability in
acting or proceeding in good faith upon any resolution, notice, telegram, request, consent, waiver, certificate, statement, affidavit, voucher, bond, requisition or other paper or document, or upon telephonic instructions to the extent the giving of
telephonic instructions is specifically authorized by this Indenture or the Agreement, in any case which the Trustee shall in good faith believe to be genuine and to have been passed, signed or given by the proper board, body or person or to have
been prepared and furnished pursuant to any of the provisions of this Indenture or the Agreement, or upon the written opinion of any attorney, engineer, accountant or other expert believed by the Trustee to be qualified in relation to the subject
matter, and the Trustee shall be under no duty to make any investigation or inquiry as to any statements contained or matters referred to in any such instrument, but may accept and rely upon the same as conclusive evidence of the truth and accuracy
of such statements. Neither the Trustee, the Paying Agent, the Registrar nor the Tender Agent shall be bound to recognize any person as an Owner or to take any action at his request unless his Bond shall be deposited with such entity or satisfactory
evidence of the ownership of such Bond shall be furnished to such entity. 
 Section 11.08 Dealings in Bonds and with the Issuer and
the Borrower. The Trustee, the Paying Agent, the Registrar, the Bank, the Bond Insurer, the Tender Agent or the Remarketing Agent and each of their officers and directors, may in good faith buy, sell, own, hold and deal in any of the Bonds, and
may join in any action which any Owner may be entitled to take with like effect as if it did not act in any capacity hereunder. The Trustee, the Paying Agent, the Registrar, the Bank, the Bond Insurer, the Tender Agent or the Remarketing Agent, in
its individual capacity, either as principal or agent, may also engage in or be interested in any financial or other transaction with the Issuer or the Borrower, and may act as depositary, trustee or agent for any committee or body of Owners or
other obligations of the Issuer as freely as if it did not act in any capacity hereunder. 
  

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 Section 11.09 Several Capacities. Anything in this Indenture to the contrary notwithstanding,
the same entity may serve hereunder as the Trustee, the Paying Agent, the Registrar, the Tender Agent and the Remarketing Agent and in any other combination of such capacities, to the extent permitted by law. 
 Section 11.10 Construction of Indenture. The Trustee may construe any of the provisions of this Indenture or the Agreement insofar as the
same may appear to be ambiguous or inconsistent with any other provision hereof or thereof, and any construction of any such provisions hereof by the Trustee in good faith shall be binding upon the Owners, the Issuer and the Borrower. 
 Section 11.11 Resignation of Trustee. The Trustee may resign and be discharged of the trusts created by this Indenture by executing an
instrument in writing resigning such trust and specifying the date when such resignation shall take effect, and the Trustee shall provide such notice to the Issuer, the Borrower, the Bank, if any, and the Bond Insurer and the Trustee shall give such
notice of such resignation to all Owners. Such notice shall specify the date when such resignation shall take effect. Such resignation shall only take effect on the day a successor Trustee shall have been appointed as hereinafter provided and shall
have accepted such appointment and agreed to assume all of the obligations as Trustee hereunder. 
 Section 11.12 Removal of
Trustee. The Trustee may be removed by the Issuer at any time, at the written request of the Borrower (other than during the continuation of an Event of Default) or the Owners of not less than a majority in principal amount of the Bonds then
Outstanding, by filing with the Trustee so removed, the Issuer, the Borrower, the Tender Agent, the Remarketing Agent, the Bank and the Bond Insurer an instrument or instruments in writing appointing a successor in accordance with Section 11.13
hereof. Promptly upon delivery of such instrument or instruments to the Trustee, the successor Trustee upon its acceptance of the trusts created hereby shall give notice thereof to all Owners. 
 Section 11.13 Appointment of Successor Trustee. If at any time the Trustee shall be removed, be dissolved or its property or affairs shall be
taken under the control of any state or federal court or administrative body because of insolvency, bankruptcy or any other reason, a vacancy shall ipso facto be deemed to exist in the office of Trustee and a successor may be appointed, and in case
at any time the Trustee shall resign, then a successor may be appointed, by giving written notice to the Issuer, the Borrower, the Tender Agent, the Remarketing Agent, the Bank and the Bond Insurer an instrument of appointment in writing, executed
by Owners of not less than a majority in principal amount of Bonds then Outstanding with the consent of the Bank unless the Bank has wrongfully dishonored a draw on a Credit Facility and with the consent of the Bond Insurer so long as the Bond
Insurer is not in default in its payment obligations under the Bond Insurance Policy. Copies of such instrument shall be promptly delivered by the Issuer to the predecessor Trustee and to the Trustee so appointed. 
 Until a successor Trustee shall be appointed by the Owners of the Bonds as herein authorized with the consent of the Bank unless the Bank has wrongfully
dishonored a draw on a Credit Facility and with the consent of the Bond Insurer so long as the Bond Insurer is not in default in its payment obligations under the Bond Insurance Policy, the Issuer, by an instrument authorized by resolution of the
Issuer, may, but shall have no obligation to, appoint a successor 

  

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Trustee acceptable to the Borrower, the Bank and the Bond Insurer. After any appointment by the Issuer, it shall cause notice of such appointment to be given
to the Remarketing Agent and to all Owners of the Bonds. Any new Trustee so appointed by the Issuer shall immediately and without further act be superseded by a Trustee appointed by the Owners of the Bonds in the manner above provided.
Notwithstanding anything herein to the contrary, no resignation or removal of the Trustee shall be effective until (i) a successor Trustee shall be appointed in accordance with the terms hereof and has accepted such appointment, and
(ii) each then existing Letter of Credit or other Credit Facility shall have been transferred to such successor in accordance with the terms thereof. 
 Section 11.14 Qualifications of Successor Trustee. Every successor Trustee (a) shall be a bank or trust company (other than the Bank) duly organized under the laws of the United States or any state or
territory thereof and authorized by law to perform all the duties imposed upon it by this Indenture, (b) shall have a combined capital stock, surplus and undivided profits of at least $50,000,000 if there can be located, with reasonable effort,
such an institution willing and able to accept the trust on reasonable and customary terms and (c) shall have its obligations rated or be a wholly-owned subsidiary of an entity whose obligations are rated, so long as the Bonds shall be rated by
Moody’s, at least Baa3/P-3 by Moody’s or otherwise qualified by Moody’s. 
 Section 11.15 Judicial Appointment of
Successor Trustee. If at any time the Trustee shall resign and no appointment of a successor Trustee shall be made pursuant to the foregoing provisions of this Article XI prior to the date specified in the notice of resignation as the date when
such resignation is to take effect, the retiring Trustee may forthwith apply to a court of competent jurisdiction for the appointment of a successor Trustee. If no appointment of a successor Trustee shall be made pursuant to the foregoing provisions
of this Article XI within six months after a vacancy shall have occurred in the office of Trustee, any Owner of a Bond or the Bank or the Bond Insurer may apply to any court of competent jurisdiction to appoint a successor Trustee. Such court may
thereupon, after such notice, if any, as it may deem proper and prescribe, appoint a successor Trustee. 
 Section 11.16 Acceptance
of Trusts by Successor Trustee. Any successor Trustee appointed hereunder shall execute, acknowledge and deliver to the Issuer, the Borrower, the Bank, if any, the Bond Insurer and to its predecessor Trustee an instrument accepting such
appointment hereunder, and thereupon such successor Trustee, without any further act, deed or conveyance, shall become duly vested with all the estates, property, rights, powers, trusts, duties and obligations of its predecessor in the trust
hereunder, with like effect as if originally named Trustee herein. Upon request of such successor Trustee, such predecessor Trustee and the Issuer shall execute and deliver an instrument transferring to such successor Trustee all the estates,
property, rights, powers and trusts hereunder of such predecessor Trustee and, subject to the provisions of Section 11.04 hereof and upon payment of its charges, such predecessor Trustee shall (i) pay over to the successor Trustee all
moneys and other assets at the time held by it hereunder and (ii) transfer over to the successor Trustee its interest in any Credit Facility. 
 Section 11.17 Successor by Merger or Consolidation. Any corporation into which any Trustee hereunder may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger or consolidation
to which any Trustee hereunder shall be a party or any corporation to which all or substantially all of the corporate trust business of the 

  

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Trustee shall be sold or transferred, shall be the successor Trustee under this Indenture, without the execution or filing of any paper or any further act on
the part of the parties hereto, anything in this Indenture to the contrary notwithstanding. 
 Section 11.18 Standard of Care.
Notwithstanding any other provisions of this Article XI, the Trustee shall, during the existence of an Event of Default of which the Trustee is required to take notice or is deemed to have notice under Section 11.05 hereof, exercise such of the
rights and powers vested in it by this Indenture and use the same degree of skill and care in their exercise as a prudent indenture trustee would use and exercise under the circumstances. Prior to the existence and after the curing or waiving of any
such Event of Default, the duties of the Trustee hereunder shall be only such duties as are specifically set forth herein and no implied covenants shall be read into this Indenture or the Agreement against the Trustee. 
 Section 11.19 Notice of Event of Default. If an Event of Default occurs of which the Trustee is required by Section 11.05 hereof to take
notice or has notice, or any other Event of Default occurs of which the Trustee has been specifically notified in accordance with Section 11.05 hereof, then (a) immediately upon the Trustee taking or having notice of any Event of Default
under Section 10.1(a)(i),(ii) or (iii) or Section 10.01(b) upon any other Event of Default continuing for at least five Business Days after the Trustee is required to take, or has received, notice thereof, the Trustee shall give
notice thereof to the Issuer, the Remarketing Agent, the Tender Agent, the Bank, the Bond Insurer and the Owners of the Bonds. 
 Section 11.20 Intervention in Litigation. In any judicial proceeding to which the Issuer is a party and which in the opinion of the Trustee and its counsel has a substantial bearing on the interests of the Owners of the Bonds,
the Trustee may intervene on behalf of the Owners of the Bonds and shall, upon receipt of indemnity satisfactory to it, do so if requested in writing by Owners of at least a majority in principal amount of the Bonds then Outstanding if permitted by
the court having jurisdiction in the premises. 
 Section 11.21 Paying Agent. The Issuer may at any time or from time to time by
resolution, with the approval of the Trustee and the Borrower, appoint the Paying Agent for the Bonds, subject to the conditions set forth in Section 11.22 hereof. The Trustee is hereby appointed as the initial Paying Agent. Each Paying Agent
(if not also the Trustee) shall designate to the Trustee, the Bank and the Bond Insurer its Principal Office and signify its acceptance of the duties and obligations imposed upon it hereunder by a written instrument of acceptance delivered to the
Issuer, the Borrower and the Trustee under which such Paying Agent will agree, particularly: 
 (i) to hold all sums held by
it for the payment of the principal of and interest and any premium on Bonds in trust for the benefit of the Owners until such sums shall be paid to the Owners or otherwise disposed of as herein provided; and 
 (ii) to keep such books and records as shall be consistent with prudent industry practice and to make such books and records available for
inspection by the Issuer, the Trustee and the Borrower at all reasonable times. 
  

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 The Issuer shall cooperate with the Trustee and the Borrower to cause the necessary arrangements to be
made and to be thereafter continued whereby funds will be made available for the payment when due of the Bonds as presented at the Principal Office of the Paying Agent. 
 Section 11.22 Qualifications of Paying Agent; Resignation; Removal. The Paying Agent shall (i) be a bank, a trust company, national banking association or another corporation duly organized under the
laws of the United States of America or any state or territory thereof, (ii) have its obligations rated or be a wholly-owned subsidiary of an entity whose obligations are rated, so long as the Bonds are rated by Moody’s, at least Baa3/P-3
by Moody’s or otherwise qualified by Moody’s, and (iii) be authorized by law to perform all the duties imposed upon it by this Indenture. The Paying Agent may at any time resign and be discharged of the duties and obligations created
by this Indenture by giving at least 60 days’ notice to the Issuer, the Borrower and the Trustee (if no longer the Paying Agent). The Paying Agent shall be removed at any time, other than during the continuance of an Event of Default, at the
direction of the Borrower, by an instrument, signed by the Issuer, filed with the Paying Agent and with the Trustee. 
 In the event of the
resignation or removal of the Paying Agent, the Paying Agent shall pay over, assign and deliver any moneys held by it in such capacity to its successor or, if there be no successor, to the Trustee. 
 In the event that the Paying Agent shall resign, be removed or be dissolved, or if the property or affairs of the Paying Agent shall be taken under the
control of any state or federal court or administrative body because of bankruptcy, insolvency or any other reason, and the Issuer shall not have appointed its successor as Paying Agent, the Trustee shall de facto be deemed to be the Paying Agent
for all purposes of this Indenture until the appointment by the Issuer of the Paying Agent or successor Paying Agent, as the case may be. 
 Section 11.23 Registrar. The Trustee hereby is appointed as the initial Registrar. In the event of the resignation or removal of the Registrar, the Issuer shall, at the direction of the Borrower, appoint the Registrar for the
Bonds, subject to the conditions set forth in Section 11.24 hereof. Each Registrar (if not also the Trustee) shall designate to the Trustee its Principal Office and signify its acceptance of the duties imposed upon it hereunder by a written
instrument of acceptance delivered to the Issuer, the Borrower and the Trustee under which such Registrar will agree, particularly, to keep such books and records as shall be consistent with prudent industry practice and to make such books and
records available for inspection by the Issuer, the Trustee and the Borrower at all reasonable times. 
 The Issuer shall cooperate with the
efforts of the Trustee and the Borrower intended to cause the necessary arrangements to be made and to be thereafter continued whereby Bonds, executed by the Issuer and authenticated by the Trustee, shall be made available for exchange and
registration of transfer at the Principal Office of the Registrar. The Issuer shall cooperate with the efforts of the Trustee, the Registrar and the Borrower to cause the necessary arrangements to be made and thereafter continued whereby the Paying
Agent and the Remarketing Agent shall be furnished such records and other information, at such times, as shall be required to enable the Paying Agent and the Remarketing Agent to perform the duties and obligations imposed upon them hereunder.

  

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 Section 11.24 Qualifications of Registrar; Resignation; Removal. The Registrar shall be a
corporation duly organized under the laws of the United States of America or any state or territory thereof, authorized by law to perform all the duties imposed upon it by this Indenture. The Registrar may at any time resign and be discharged of the
duties and obligations created by this Indenture by giving at least 60 days’ notice to the Issuer, the Trustee and the Borrower. The Registrar may be removed at any time, at the direction of the Borrower (other than during the continuance of an
Event of Default), by an instrument, signed by the Issuer, filed with the Registrar and the Trustee. 
 In the event of the resignation or
removal of the Registrar, the Registrar shall deliver any Bonds held by it in such capacity to its successor or, if there be no successor, to the Trustee. 
 In the event that the Registrar shall resign, be removed or be dissolved, or if the property or affairs of the Registrar shall be taken under the control of any state or federal court or administrative body because of
bankruptcy, insolvency or any other reason, and the Issuer shall not have appointed its successor as Registrar, the Trustee shall de facto be deemed to be the Registrar for all purposes of this Indenture until the appointment by the Issuer of the
Registrar or successor Registrar, as the case may be. 
 Section 11.25 Appointment of Co-Trustee. It is the purpose of this
Indenture that there shall be no violation of any law of any jurisdiction (including particularly the law of the State of Arizona) denying or restricting the right of banking corporations or associations to transact business as trustee in such
jurisdiction. It is recognized that in case of litigation under this Indenture or the Agreement, and in particular in the case of the enforcement thereof on default, or in the case the Trustee deems that by reason of any present or future law of any
jurisdiction it may not exercise any of the powers, rights or remedies herein granted to the Trustee or hold title to the properties, in trust, as herein granted, or take any action which may be desirable or necessary in connection therewith, it may
be necessary that the Trustee appoint an additional individual or institution as a separate or co-trustee. 
 In the event that the Trustee
shall appoint an additional individual or institution as a separate or co-trustee, each and every remedy, power, right, claim, demand, cause of action, immunity, estate, title, interest and lien expressed or intended by this Indenture to be
exercised by or vested in or conveyed to the Trustee with respect thereto shall be exercisable by and vest in such separate or co-trustee, but only to the extent necessary to enable such separate or co-trustee to exercise such powers, rights and
remedies, and every covenant and obligation necessary to the exercise thereof by such separate or co-trustee shall run to and be enforceable by either of them. 
 Should any reasonable instrument in writing from the Issuer be required by the separate or co-trustee so appointed by the Trustee for more fully and certainly vesting in and confirming to him or it such estates,
property, rights, powers, trusts, duties and obligations, any and all such instruments in writing shall, on request, be executed, acknowledged and delivered by the Issuer. In case any separate or co-trustee or a successor to either shall die, become
incapable of acting, resign or be removed, all the estates, properties, rights, powers, trusts, duties and obligations of such separate or co-trustee, so far as permitted by law, shall vest in and be exercised by the Trustee until the appointment of
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co-trustee. No trustee hereunder shall be liable by reason of any act or omission of any other trustee hereunder. 
 Section 11.26 Notices to Rating Agencies. The Trustee shall provide Moody’s, if the Bonds are then rated by Moody’s, or S&P, if
the Bonds are then rated by S&P as appropriate, with prompt written notice at least 15 days prior to its execution and adoption of (i) the appointment of any successor Trustee, Paying Agent, Remarketing Agent or Tender Agent, (ii) any
amendments to this Indenture or the Agreement, (iii) the payment (or provision for payment) in whole of the Bonds, (iv) the adjustment of any Bonds to a Short-Term or Long-Term Interest Rate Period, (v) the acquisition, extension,
expiration or termination of a Credit Facility, or (vi) any amendment to the Reimbursement Agreement or a Credit Facility of which the Trustee has actual knowledge. 
 ARTICLE XII 
 EXECUTION OF INSTRUMENTS BY 
 OWNERS AND PROOF OF OWNERSHIP OF BONDS 
 Section 12.01 Execution of
Instruments Proof of Ownership. Any request, direction, consent or other instrument in writing, whether or not required or permitted by this Indenture to be signed or executed by Owners of the Bonds, may be in any number of concurrent
instruments of similar tenor and may be signed or executed by Owners of the Bonds in person or by agent appointed by an instrument in writing. Proof of the execution of any such instrument and of the ownership or former ownership of Bonds shall be
sufficient for any purpose of this Indenture and shall be conclusive in favor of the Trustee with regard to any action taken by it under such instrument if made in the following manner: 
 (i) The fact and date of the execution by any person of any such instrument may be proved by the certificate of any officer in any
jurisdiction who, by the laws thereof, has power to take acknowledgments within such jurisdiction, to the effect that the person signing such instrument acknowledged before him the execution thereof, or by an affidavit of a witness to such
execution, or in any other manner reasonably acceptable to the Trustee. 
 (ii) The ownership or former ownership of Bonds
shall be proved by the registration books kept under the provisions of Section 2.04 hereof and the records kept by the Trustee pursuant to Section 6.02(c) hereof. 
 (iii) While the Bonds are in book-entry only form, the beneficial ownership or former ownership of Bonds shall be proved by an instrument
in writing signed by such Beneficial Owner and acceptable to the Trustee. 
 Nothing contained in this Article XII shall be construed as
limiting the Trustee to such proof, it being intended that the Trustee may accept any other evidence of matters herein stated which it may deem to be sufficient. Any request or consent of any Owner of a Bond shall bind every future Owner of any Bond
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or in exchange thereof in respect of anything done by the Trustee or the Issuer in pursuance of such request or consent. 
 ARTICLE XIII 
 MODIFICATION OF INDENTURE
DOCUMENTS 
 Section 13.01 Limitations. This Indenture and the Agreement shall not be modified or amended in any respect
subsequent to the initial issuance of the Bonds, except as provided in and in accordance with and subject to the provisions of this Article XIII. 
 Section 13.02 Modification without Consent of Owners. The Issuer and the Trustee may, from time to time and at any time without the consent of or notice to the Owners of the Bonds but with the consent of the Bond Insurer subject
to Section 13.05 hereof, enter into Supplemental Indentures as follows: 
 (i) to cure any formal defect, omission,
inconsistency or ambiguity in this Indenture; 
 (ii) to grant to or confer upon the Trustee for the benefit of the Owners of
the Bonds any additional rights, remedies, powers, authority or security which may lawfully be granted or conferred and which are not contrary to or inconsistent with this Indenture as theretofore in effect; 
 (iii) to add to the covenants and agreements of, and limitations and restrictions upon, the Issuer in this Indenture other covenants,
agreements, limitations and restrictions to be observed by the Issuer which are not contrary to or inconsistent with this Indenture as theretofore in effect; 
 (iv) to confirm, as further assurance, any pledge or assignment under, and the subjection to any claim, lien, pledge or assignment created
or to be created by this Indenture, of the Receipts and Revenues or of any other moneys, securities or funds; 
 (v) to
authorize different Authorized Denominations of the Bonds and to make correlative amendments and modifications to this Indenture regarding exchangeability of Bonds of different Authorized Denominations, redemptions of portions of Bonds of particular
Authorized Denominations and similar amendments and modifications of a technical nature; 
 (vi) to modify, alter, supplement
or amend this Indenture in such manner as shall permit the qualification hereof under the Trust Indenture Act of 1939, as from time to time amended; 
 (vii) to increase or decrease the number of days specified in Section 2.01(c) hereof and to make corresponding changes to Section 4.03 hereof; provided that no decreases in any such number of days shall
become effective except during a Daily Interest Rate Period or a Weekly Interest Rate Period and until 30 days after the Trustee shall have given notice to the Owners; 
  

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 (viii) to provide for the procedures required to permit or implement an uncertificated
system of registration of the Bonds; 
 (ix) to modify, alter, amend or supplement this Indenture in any other respect which
is not materially adverse to the Owners and which does not involve a change described in the provisions of Section 13.03(i) hereof; 
 (x) to modify, alter, supplement or amend this Indenture to comply with changes in the Code affecting the status of interest on the Bonds as excluded from gross income for federal income tax purposes or the
obligations of the Issuer or the Borrower in respect of Section 148 of the Code; and 
 (xi) to modify, alter, amend or
supplement the provisions in the Indenture relating to the Bonds in Auction Rate Securities mode, at the time of conversion for the Bonds to Auction Rate Securities mode, in accordance with the then current market practice with respect to similar
securities and provisions. 
 Before the Issuer shall adopt any Supplemental Indenture pursuant to this Section 13.02, there shall have
been provided to the Issuer and the Trustee a Favorable Opinion of Bond Counsel. 
 Section 13.03 Modification with Consent of
Owners. 
 (i) Except for any Supplemental Indenture entered into pursuant to Section 13.02 hereof, subject to the
terms and provisions contained in this Section 13.03, the Owners of not less than a majority in aggregate principal amount of the Bonds shall have the right from time to time to consent to and approve with the consent of the Bond Insurer the
adoption by the Issuer of any Supplemental Indenture deemed necessary or desirable by the Issuer for the purposes of modifying, altering, amending, supplementing or rescinding, in any particular, any of the terms or provisions contained in this
Indenture; provided, however, that, unless approved in writing by the Owners of all the Bonds, nothing herein contained shall permit, or be construed as permitting, (i) a change in the times, amounts or currency of payment of the principal of
or interest or any premium on any Bond, a change in the terms of the purchase of Bonds pursuant to Section 4.08 hereof (other than as permitted by Section 13.02(vii) hereof), or a reduction in the principal amount or redemption price of
any Bond or a change in the method of determining the rate of interest thereon, or (ii) the creation of a claim or lien upon, or a pledge or assignment of, the Receipts and Revenues ranking prior to or on a parity with the claim, lien, pledge
or assignment created by this Indenture, or (iii) a preference or priority of any Bond or Bonds over any other Bond or Bonds, or (iv) a reduction in the aggregate principal amount of Bonds the consent of the Owners of which is required for
any such Supplemental Indenture or under Section 13.07 hereof, for any modification, alteration, amendment or supplement to the Agreement. 
 (ii) If at any time the Issuer shall determine to adopt any Supplemental Indenture for any of the purposes of this Section 13.03, the Trustee shall cause notice of the proposed Supplemental Indenture to be given
to all Owners of the Bonds. Such 

  

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notice shall briefly set forth the nature of the proposed Supplemental Indenture and shall state that a copy thereof is on file at the Principal Office of
the Trustee for inspection by all Owners of the Bonds. 
 (iii) Within two years after the date of the giving of such notice,
the Issuer may adopt (the date of adoption shall be the date of passage and not the effective date) such Supplemental Indenture in substantially the form described in such notice, but only if there shall have first been filed with the Trustee
(i) the required consents, in writing, of the Owners of the Bonds and (ii) a Favorable Opinion of Bond Counsel stating that such Supplemental Indenture is authorized or permitted by this Indenture and the Act, complies with their
respective terms, and, upon the adoption thereof, will be valid and binding upon the Issuer in accordance with its terms and will not adversely affect the exclusion from gross income for federal income tax purposes of interest on the Bonds.

 (iv) If Owners of not less than the percentage of Bonds required by this Section 13.03 shall have consented to and
approved the adoption thereof as herein provided, no Owner shall have any right to object to the adoption of such Supplemental Indenture, or to object to any of the terms and provisions contained therein or the operation thereof, or in any manner to
question the propriety of the execution and delivery thereof, or to enjoin or restrain the Issuer from enacting the same or from taking any action pursuant to the provisions thereof. 
 Section 13.04 Effect of Supplemental Indenture. Upon the adoption of any Supplemental Indenture pursuant to the provisions of this Article
XIII, this Indenture shall be, and be deemed to be, modified and amended in accordance therewith, and the respective rights, duties and obligations under this Indenture of the Issuer, the Trustee and all Owners of Bonds then Outstanding shall
thereafter be determined, exercised and enforced under this Indenture subject in all respects to such modifications and amendments. 
 Section 13.05 Consent of the Borrower, the Bank and the Bond Insurer. Anything herein to the contrary notwithstanding, the Trustee (i) shall not execute any Supplemental Indenture under this Article XIII which affects any
rights, powers and authority of the Borrower under the Agreement, the Tender Agreement or the applicable Credit Facility or the Bond Insurance Policy or requires a revision of the Agreement, the Tender Agreement or the applicable Credit Facility or
the Bond Insurance Policy unless and until the Borrower, the Bank, the Bond Insurer and the Tender Agent shall have consented to such Supplemental Indenture, and (ii) need not accept any Supplemental Indenture which affects its rights, duties
and responsibilities hereunder or under the Agreement. 
 Section 13.06 Amendment of Agreement without Consent of Owners. Without
the consent of or notice to the Owners of the Bonds but with the consent of the Borrower, the Bank and the Bond Insurer, the Issuer may modify, alter, amend or supplement the Agreement, and the Trustee may consent thereto, (a) as may be
required by the provisions of the Agreement and this Indenture, (b) for the purpose of curing any formal defect, omission, inconsistency or ambiguity herein, or (c) in connection with any other change therein which is not materially
adverse to the Owners. No extension, termination or provision of any substitute Credit Facility in accordance 
  

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with the provisions of the Agreement shall be deemed a modification, alteration, amendment or supplement to the Agreement, or to this Indenture, for any
purpose of this Indenture. 
 Before the Issuer shall enter into, and the Trustee shall consent to, any modification, alteration, amendment
or supplement to the Agreement, pursuant to this Section 13.06, there shall have been delivered to the Issuer and the Trustee, a Favorable Opinion of Bond Counsel. 
 Section 13.07 Amendment of Agreement with Consent of Owners. Except in the cases of modifications, alterations, amendments or supplements referred to in Sections 13.02 and 13.06 hereof, the Issuer shall
not enter into, and the Trustee shall not consent to, any modification, alteration, amendment or supplement of the Agreement, without the written approval or consent of the Owners of not less than a majority in aggregate principal amount of the
Bonds then Outstanding but with the consent of the Borrower, the Bank and the Bond Insurer, given and procured as provided in Sections 13.03 and 13.05 hereof; provided, however, that, unless approved in writing by the Owners of all Bonds then
Outstanding, nothing in this Section 13.07 shall permit, or be construed as permitting, a change in the obligations of the Borrower under Section 5.02 or 10.01 of the Agreement. If at any time the Issuer or the Borrower shall request the
consent of the Trustee to any such proposed modification, alteration, amendment or supplement, the Trustee shall cause notice thereof to be given in the same manner as provided by Section 13.03 hereof with respect to Supplemental Indentures.
Such notice shall briefly set forth the nature of such proposed modification, alteration, amendment or supplement and shall state that copies of the instrument embodying the same are on file at the Corporate Trust office of the Trustee for
inspection by all Owners of Bonds Outstanding. The Issuer may enter into, and the Trustee may consent to, any such proposed modification, alteration, amendment or supplement of the Agreement, subject to the same conditions and with the same effect
as provided in Section 13.03 hereof with respect to Supplemental Indentures. 
 Section 13.08 Issuance of Bonds Under Other
Indentures: Recognition of Prior Pledges. The Issuer hereby expressly reserves the right to issue, to the extent permitted by law, bonds in accordance with other ordinances and indentures for one or more purposes permitted by the Act. The Issuer
hereby recognizes and protects any prior pledge or mortgage made to secure any prior issue of bonds. 
  

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 ARTICLE XIV 
 REMARKETING AGENT; TENDER AGENT; 
 PURCHASE AND REMARKETING OF BONDS 
 Section 14.01 Remarketing Agent and Tender Agent. 
 (a) The Borrower shall appoint a Remarketing Agent for the Bonds, subject to the conditions set forth in Section 14.02(a) hereof. The Remarketing Agent shall designate its Principal Office and signify its
acceptance of the duties and obligations imposed upon it hereunder by a written instrument of acceptance delivered to the Issuer, the Trustee, the Tender Agent and the Borrower under which the Remarketing Agent will agree, particularly, to keep such
books and records with respect to the Bonds as shall be consistent with prudent industry practice and to make such books and records available for inspection by the Issuer, the Trustee, the Tender Agent and the Borrower at all reasonable times.

 (b) The Borrower shall appoint a Tender Agent for the Bonds; subject to the conditions set forth in Section 14.02(b) hereof. The
Tender Agent shall designate its Principal Office and signify its acceptance of the duties and obligations imposed upon it hereunder by a written instrument of acceptance delivered to the Issuer, the Trustee, the Borrower, the Bank, the Bond Insurer
and the Remarketing Agent. 
 Section 14.02 Qualifications of Remarketing Agent and Tender Agent; Resignation; Removal.

 (a) The Remarketing Agent shall be a member of the National Association of Securities Dealers, Inc., having a combined capital stock,
surplus and undivided profits of at least $15,000,000 and authorized by law to perform all the duties imposed upon it by this Indenture and the Remarketing Agreement. Any successor Remarketing Agent shall have its obligations rated or be a
wholly-owned subsidiary of an entity whose obligations are rated, so long as the Bonds shall be rated by Moody’s, at least Baa3/P-3 by Moody’s or otherwise qualified by Moody’s. The Remarketing Agent may at any time resign and be
discharged of the duties and obligations created by this Indenture by giving notice to the Issuer, the Trustee, the Bank, if any, the Tender Agent and the Borrower. Such resignation shall take effect on the earlier of (i) the day a successor
Remarketing Agent shall have been appointed by the Borrower and shall have accepted such appointment, or (ii) the 45th day after the receipt by the Issuer and the Borrower of the notice of resignation. The Remarketing Agent may be removed at
any time, pursuant to the Remarketing Agreement. 
 (b) The Tender Agent shall be a corporation duly organized under the laws of the United
States of America or any state or territory thereof, and, if not a bank or trust company, for so long as the Bonds shall be rated by Moody’s, shall have its obligations rated at least Baa3/P-3 by Moody’s or otherwise qualified by
Moody’s, and in any case having a combined capital stock, surplus and undivided profits of at least $25,000,000 and authorized by law to perform all the duties imposed upon it by this Indenture and the Tender Agreement. The Tender Agent may at
any time resign and be discharged of the duties and obligations created by this Indenture by giving at least 30 days’ notice to the Issuer, the Trustee, the Borrower, the Remarketing Agent, the Bank and the Bond Insurer. Such resignation shall
take effect on the 

  

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day a successor Tender Agent shall have been appointed by the Borrower and shall have accepted such appointment. The Tender Agent may be removed at any time
by an instrument signed by the Borrower, filed with the Tender Agent, the Issuer, the Trustee, the Remarketing Agent, the Bank and the Bond Insurer. In the event of the resignation or removal of the Tender Agent, the Tender Agent shall deliver any
Bonds and moneys held by it in such capacity to its successor, or if there is no successor, to the Trustee. 
 Section 14.03
Remarketing of Bonds; Notice of Interest Rates. 
 (a) Upon notice of the tender for purchase of Bonds in accordance with
Section 4.08 hereof, the Remarketing Agent shall offer for sale and use its best efforts to sell such Bonds (other than Bonds purchased with moneys derived from the source described in clause (i) of Section 6.02(b) hereof, if so
directed by the Borrower), any such sale to be made on the date of such purchase in accordance with Section 4.08 at the best price available in the marketplace; provided, however, that, if a Credit Facility shall be in effect, the Remarketing
Agent shall not sell any of such Bonds at a price below the principal amount thereof plus accrued interest thereon, if any. Any Bond which is tendered for purchase, pursuant to Section 4.08 hereof, and any Bond that has become subject to
mandatory tender for purchase pursuant to Section 4.08 hereof, shall be sold only to a purchaser who agrees to refrain from selling that Bond other than under the terms of this Indenture and hold that Bond only to the date of mandatory
purchase. 
 (b) The Remarketing Agent shall determine the rate of interest to be borne by the Bonds during each Interest Rate Period and by
each Bond during each Bond Interest Term for such Bond and the Bond Interest Terms for each Bond during each Short-Term Interest Rate Period as provided in Section 2.01 hereof and shall furnish to the Trustee, the Tender Agent, the Borrower and
the Bank on the Business Day of determination each rate of interest and Bond Interest Term so determined. 
 (c) The Remarketing Agent shall
give telephonic or telegraphic notice, promptly confirmed by a written notice, to the Trustee and the Tender Agent on each date on which Bonds shall have been purchased pursuant to Section 6.02(b) hereof, specifying the principal amount of
Bonds, if any, sold by it pursuant to Section 14.03(a) hereof. 
 Section 14.04 Delivery of Bonds. 
 (a) Bonds purchased with moneys described in clause (i) of Section 6.02(b) hereof shall be delivered to the Borrower and shall be registered in
accordance with instructions from the Borrower. 
 (b) Bonds purchased with moneys described in clause (ii) of Section 6.02(b)
hereof shall be delivered by the Trustee to the Tender Agent or the Remarketing Agent for delivery to the purchasers thereof against payment therefor in accordance with the Tender Agreement. 
 (c) Bonds purchased with moneys described in clause (iii) of Section 6.02(b) hereof shall be: 
  

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 (i) except as otherwise provided in Section 14.04(c)(ii) or (iii) hereof, held
by the Tender Agent for the account of the Borrower, if a Credit Facility provides for reinstatement in respect of the drawings for the purchase of Bonds tendered pursuant to Section 4.08 hereof and not remarketed by reimbursement to the Bank
of the amount of such drawing together with interest thereon; 
 (ii) delivered to the Bank, as applicable, if a Credit
Facility provides for immediate reinstatement in respect of drawings for the purchase of Bonds tendered pursuant to Section 4.08 hereof and not remarketed by the delivery to the Bank of such Bonds or otherwise requires that Bonds be delivered
to the Bank; 
 (iii) held by the Tender Agent for the account of the Bank, if a Credit Facility provides for immediate
reinstatement in respect of drawings for the purchase of Bonds tendered pursuant to Section 4.08 hereof and not remarketed by the holding for the account of the Bank of such Bonds or otherwise requires that Bonds be held for the account of the
Bank; or 
 (iv) delivered to the Trustee for cancellation, if a Credit Facility does not provide for reinstatement in respect
of drawings for the purchase of Bonds tendered pursuant to Section 4.08 hereof and not remarketed. 
 Upon delivery to the Bank, or to the Tender Agent
for the account of the Bank, of the Bonds in accordance with clause (ii) or (iii) above, the Trustee shall deliver any certificate evidencing such reimbursement or delivery of Bonds to or for the account of the Bank, as applicable,
required for reinstatement, in whole or in part, of any Credit Facility. Bonds held pursuant to clauses (i), (ii) and (iii) above shall be released for the purpose of remarketing or released to or upon the order of the Borrower only upon
receipt by the Tender Agent from the Bank of a written notice to the effect that the Trustee is entitled to draw under a Credit Facility to pay principal of and interest on the Bonds and to pay the purchase price of Bonds purchased pursuant to
Section 4.08 hereof and not remarketed in an amount equal to the amount that could be drawn under a Credit Facility if the drawing made to purchase such Bonds were disregarded. 
 (d) Bonds purchased with moneys described in clause (iv) of Section 6.02(b) hereof shall, at the direction of the Borrower, be (i) held by
the Tender Agent for the account of the Borrower, (ii) delivered to the Trustee for cancellation or (iii) delivered to the Borrower; provided, however, that any Bonds so purchased after the selection thereof by the Trustee for redemption
shall be delivered to the Trustee for cancellation. 
 (e) Bonds delivered as provided in this Section 14.04 shall be registered in the
manner directed by the recipient thereof. 
 (f) Bonds purchased by the Trustee on behalf of or for the account of the Bank (or its nominee)
pursuant to Section 4.07 shall be delivered promptly to the Bank (or its nominee, as the case may be), or as the Bank shall otherwise direct and thereafter, if requested by the Bank, remarketed in accordance with the provisions of
Section 14.03 hereof and the Remarketing Agreement. 
  

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 (g) So long as the Bonds are Book-Entry Bonds, the tender and put procedures of DTC, as in effect from
time to time, shall take precedence over the tender procedures described herein to the extent of any inconsistency and the Remarketing Agent and the Trustee shall not be required to take any actions hereunder other than those required by DTC and the
Remarketing Agent. The parties agree to cooperate to implement such procedures as needed. 
 Section 14.05 Drawings on Credit
Facility. In accordance with the provisions of the Tender Agreement, on each day on which Bonds are to be purchased pursuant to Section 4.08 hereof, except to the extent that (i) moneys described in Section 6.02(b)(i) hereof shall
be available for the purchase of such Bonds, or (ii) the Trustee shall have received telephonic or Electronic notification from the Remarketing Agent or the Tender Agent that such Bonds shall have been remarketed pursuant to Section 14.03
hereof and that the moneys described in Section 6.02(b)(ii) hereof will be sufficient to pay the purchase price of such Bonds or (iii) the Bank shall have purchased the Bonds pursuant to Section 4.07 hereof, the Trustee promptly shall
draw under a Credit Facility, in accordance with its terms, an amount sufficient to make timely payment of the purchase price of such Bonds and furnish the proceeds of such drawing to the Tender Agent. Following payment of all amounts payable in
respect of the purchase of Bonds pursuant to Section 4.08 hereof, the Trustee shall remit to the Bank any amount drawn under a Credit Facility in excess of the amount sufficient to make timely payment of the purchase price of such Bonds.

 Section 14.06 Delivery of Proceeds of Sale. The proceeds of the sale by the Remarketing Agent of any Bonds delivered to it by,
or held by it for the account of, the Borrower or the Bank, or delivered to it by the Bank or any other Owner, shall be turned over to the Borrower, the Bank or such other Owner, as the case may be. If the applicable Credit Facility provides for
reinstatement in respect of the drawings for the purchase of Bonds tendered pursuant to Section 4.08 hereof by reimbursement to the Bank of the amount of such drawing, the Remarketing Agent shall deliver the proceeds of such remarketing to the
Bank to the extent the Bank has not been reimbursed, and in connection therewith, the Trustee shall deliver any certificate required for reinstatement, in whole or in part, of any Credit Facility. 
 ARTICLE XV 
 MISCELLANEOUS 

Section 15.01 Indenture to Bind and Inure to Benefit of Successors to Issuer. In the event of the dissolution of the Issuer, all the
covenants, stipulations, promises and agreements in this Indenture contained by or on behalf of, or for the benefit of, the Issuer, shall bind or inure to the benefit of the successors of the Issuer from time to time and any entity, officer, board,
commission, agency or instrumentality to whom or to which any power or duty of the Issuer shall be transferred. 
 Section 15.02
Parties in Interest. Except as herein otherwise specifically provided, nothing in this Indenture expressed or implied is intended or shall be construed to confer upon any person, firm or corporation, other than the Issuer, the Borrower, the
Trustee, the Bank, the Bond Insurer and the Owners, any right, remedy or claim under or by reason of this Indenture, 
  

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this Indenture being intended to be for the sole and exclusive benefit of the Issuer, the Borrower, the Trustee, the Bank, the Bond Insurer and the Owners of
the Bonds. Nothing in this Indenture is intended to create in the Borrower any interest in the Bond Fund or the moneys or Investment Securities therein. 
 Section 15.03 Severability. In case any one or more of the provisions of this Indenture or of the Bonds issued hereunder shall, for any reason, be held to be illegal or invalid, such illegality or
invalidity shall not affect any other provisions of this Indenture, the Agreement, the Remarketing Agreement, the Tender Agreement or said Bonds, and this Indenture, the Agreement, the Remarketing Agreement, the Tender Agreement and the Bonds shall
be construed and enforced as if such illegal or invalid provisions had not been contained herein or therein. 
 Section 15.04 No
Personal Liability of Issuer Under Indenture. No covenant or agreement contained in the Bonds or in this Indenture shall be deemed to be the covenant or agreement of any official, officer, agent, or employee of the Issuer in his individual
capacity, and neither the members of the Issuer’s Board of Directors nor any official executing the Bonds shall be liable personally on the Bonds or be subject to any personal liability or accountability by reason of the issuance thereof.

 Section 15.05 Bonds Owned by the Issuer or the Borrower. In determining whether Owners of the requisite aggregate principal
amount of the Bonds have concurred in any direction, consent or waiver under this Indenture, Bonds which are owned by the Issuer or the Borrower or by any affiliate of the Borrower (unless the Issuer, the Borrower and such persons own all Bonds
which are then Outstanding, determined without regard to this Section 15.05) shall be disregarded and deemed not to be Outstanding for purpose of any such determination, except that, for the purpose of determining whether the Trustee shall be
protected in relying on any such direction, consent or waiver, only Bonds which the Trustee knows are so owned shall be so disregarded. Bonds 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 Bonds and that the pledgee is not the Issuer or the Borrower or any affiliate of the Borrower. Bonds delivered to the Bank, the Bond Insurer or held by the
Tender Agent for the account of the Bank pursuant to Section 14.04(c) hereof shall be regarded as Outstanding for purposes of this Section 15.05 and shall be owned by the Bank or the Bond Insurer for purposes of this Section 15.05.

 Section 15.06 Governing Law. This Indenture and the Bonds shall be construed in accordance with and governed by the
Constitution and laws of the State of Arizona, provided however, that the rights, protections and immunities of the Trustee shall be governed by the laws of the State of California. 
 Section 15.07 Notices. Except as otherwise provided in this Indenture, all notices, certificates, requests, requisitions or other
communications by the Issuer, the Borrower; the Trustee, the Bond Insurer, the Tender Agent, the Paying Agent, the Registrar, the Remarketing Agent, Moody’s, S&P, the Bond Insurer and the Bank pursuant to this Indenture shall be in writing
and shall be sufficiently given and shall be deemed given when mailed by first-class mail, postage prepaid, addressed as follows: 
  

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 If to the Trustee: 
 Union Bank, N.A. 
 120 South San Pedro, 4th Floor 
 Los Angeles, CA 90012 
 Attention: Corporate
Trust Department 
 If to the Remarketing Agent: 
 J.P. Morgan Securities Inc. 
 383 Madison Avenue, 23rd Floor 
 New York, NY 10179 
 Attention: Tax-Exempt
Capital Markets 
 If to the Tender Agent: 
 Union Bank, N.A. 
 120 South San Pedro, 4th Floor 
 Los Angeles, CA 90012 
 Attention: Bond
Redemption 
 If to Moody’s: 
 Moody’s Investors Service 
 99 Church Street 
 New York, New York 10007-2796 
 Attention: Structured Finance Group 
 If to S&P: 
 Standard &
Poor’s Rating Services 
 55 Water Street, 38th Floor 
 New York, New York 10041 
 Attention: Public Finance Department Structured Finance Group 
 If to the Registrar, the Paying Agent and the Bank, at the address designated herein or designated to the Issuer, the Borrower and the Trustee. Any of the foregoing may, by notice given hereunder to each of the
others, designate any further or different addresses to which subsequent notices, certificates, requests or other communications shall be sent hereunder. 
 Section 15.08 Non-Business Days. If the last day of any period of grace, or the date for making any payment or the last date for performance of any act or the exercising of any right, as provided in this
Indenture, is not a Business Day, the last day of such period of grace shall be deemed to be, any such payment may be made or act performed or right exercised, with the same force and effect as if done on the nominal date provided in this Indenture,
on the next succeeding Business Day, and no interest shall accrue for the period after such nominal date. 
  

 96 

 Section 15.09 Opinions. Each opinion with respect to the validity of documents or Bonds may
be qualified to the extent of the application of bankruptcy, insolvency, moratorium or reorganization laws or laws affecting the remedies for the enforcement of the rights and security provided therein and need not pass on the availability of the
remedy of specific enforcement, injunctive relief or any other equitable remedy. 
 Section 15.10 Headlines; Table of Contents.
The division of this Indenture into sections, the provision of a table of contents and the insertion of headings are for convenience of reference only and shall not affect the construction or interpretation hereof 
 Section 15.11 Execution in Several Counterparts. This Indenture may be executed in any number of counterparts and each of such counterparts
shall for all purposes be deemed to be an original; and all such counterparts, or as many of them as the Issuer and the Trustee shall preserve undestroyed, shall together constitute but one and the same instrument. 
 Section 15.12 Bond Insurer as Third-Party Beneficiary. To the extent that this Indenture confers upon or gives or grants to the Bond Insurer
any right, remedy, benefit, or claim under or by reason of this Indenture, the Bond Insurer is hereby explicitly recognized as being a third-party beneficiary hereunder and may enforce any such right, remedy, benefit, or claim conferred, given, or
granted hereunder. 
 Section 15.13 Additional Covenants of the Issuer to Bond Insurer. The Issuer covenants to provide the Bond
Insurer with the following information: 
 (a) Notice of the redemption, other than mandatory sinking fund redemption, of any of the Bonds,
or of any advance refunding of Bonds, including the principal amount, maturities, and CUSIP numbers thereof, 
 (b) Notice of any material
events pursuant to Rule 15c2-12 under the Securities Exchange Act of 1934, as amended; 
 (c) Notice of any rate covenant violation with
respect to the Bonds; 
 (d) Full transcripts of all proceedings related to the execution of any Supplemental Indenture or any modification,
alteration, amendment or supplement of the Agreement pursuant to Article XIII hereof; and 
 (e) Such additional information as the Bond
Insurer may reasonably request from time to time. 
 Section 15.14 Bank and Bond Insurer. All references to the Bank or to the
Bond Insurer shall be ignored and of no effect for so long as no Credit Facility or Bond Insurance Policy, as the case may be, is in effect. 
 Section 15.15 Statutory Notice. In accordance with the terms thereof, notice is hereby given of Title 38, Chapter 3, Section 38-51l, Arizona Revised Statutes, which provides, among other things, that the State of Arizona,
its political subdivisions or any department or agency of either may, within three years after its execution, cancel any contract, without penalty or further 
  

 97 

 
obligation, made by said State, its political subdivisions, or any of the departments or agencies of either if any person significantly involved in
initiating, negotiating, securing, drafting or creating the contract on behalf of said State, its political subdivisions or any of the departments or agencies of either is, at any time while the contract or any extension of the contract is in
effect, an employee or agent of any other party to the contract in any capacity or a consultant to any other party of the contract with respect to the subject matter of the contract. 
  

 98 

 IN WITNESS WHEREOF, the Issuer has caused this Indenture to be signed in its name by its duly authorized
officer, and the Trustee, in token of its acceptance of the trust created hereunder, has caused this Indenture to be signed in its name by its duly authorized signatory, all as of the day and year first above written. 
  

			
	MARICOPA COUNTY, ARIZONA POLLUTION CONTROL CORPORATION
		
	By:	 	 /s/    Charles P. Dickinson, Jr.

		 	Charles P. Dickinson, Jr.
		 	Vice President

  

			
	UNION BANK, N.A., as Trustee
		
	By:	 	 /s/    Lorraine McIntire

		 	 Authorized Officer

  

 99 

 EXHIBIT A 
 FORM OF BOND 
  

 A-1 

 (Form for Transfer) 
 COMPLETE AND SIGN THIS FORM FOR 
 REGISTRATION OF TRANSFER OR TRANSFER 
 For value received              hereby sells, assigns and transfers unto
                     this Bond and hereby irrevocably constitutes and appoints
                    , Attorney, to register such transfer on the books of registration in the office of the Registrar with full power of
substitution in the premises. 
 Dated:
                     
 Signatures Guaranteed
by:                             
 NOTE: The signatures on this assignment must correspond with the names as written on the face of this Bond in every particular, without alteration, enlargement or any change whatsoever. 
  

			
	  
	 	
	Signatures must be guaranteed in accordance with the terms of one of the nationally recognized medallion signature guarantee programs.	 	

  

 A-2 

 EXHIBIT B 
 AUCTION PROCEDURES 
 Section 1. 01. Orders by Existing Owners and Potential Owners.
(a) Prior to the Submission Deadline on each Auction Date: 
 (i) each Existing Owner of ARS may submit to a
Broker-Dealer by telephone or otherwise an Order, consisting of information as to: 
 (A) the principal amount of Outstanding
ARS, if any, held by such Existing Owner which such Existing Owner desires to continue to hold without regard to the Auction Rate for the next succeeding ARS Interest Period (a “Hold Order”); 
 (B) the principal amount of Outstanding ARS; if any, held by such Existing Owner which such Existing Owner offers to sell if the Auction
Rate for the next succeeding ARS Interest Period shall be less than the rate per annum specified by such Existing Owner (a “Bid”); and/or 
 (C) the principal amount of Outstanding ARS, if any, held by such Existing Owner which such Existing Owner irrevocably offers to sell without regard to the Auction Rate for the next succeeding ARS Interest Period (a
“Sell Order”); and 
 (ii) for the purpose of implementing the Auctions and thereby to achieve the lowest possible
Auction Rate, one or more Broker-Dealers may contact Potential Owners, including Persons that are Existing Owners, to determine the principal amount of the ARS, if any, which each such Potential Owner irrevocably offers to purchase if the Auction
Rate for the next succeeding ARS Interest Period is not less than the rate per annum then specified by such Potential Owner (also a “Bid”). 
 For the purposes hereof, each Hold Order, Bid and Sell Order is herein referred to as an “Order” and each Existing Owner and each Potential Owner placing an Order is herein referred to as
“Bidder”. 
 (b) (i) Subject to provisions of Section 1.02 hereof, a Bid by an Existing Owner shall constitute an
irrevocable offer to sell, in each case for settlement in same day funds on the next ARS Interest Payment Date therefor, at a price equal to 100% of the principal amount thereof 
 (A) the principal amount of Outstanding ARS specified in such Sell Order if Sufficient Clearing Bids exist; or 
 (B) such principal amount or a lesser principal amount of Outstanding ARS to be determined as described in subsection (a)(v) of
Section 1.04 hereof, if the Auction Rate shall be equal to the rate specified in such Bid; or 
  

 B-1 

 (C) such principal amount or a lesser principal amount of Outstanding ARS to be
determined as described in subsection (b)(iv) of Section 1.04 hereof, if such specified rate shall be higher than the ARS Maximum Rate and Sufficient Clearing Bids have not been made. 
 (ii) Subject to provisions of Section 1.02 hereof, a Sell Order by an Existing Owner shall constitute an irrevocable offer to sell,
in each case for settlement in same day funds on the next ARS Interest Payment Date therefor at a price equal to 100% of the principal amount thereof 
 (A) the principal amount of Outstanding ARS specified in such Sell Order if Sufficient Clearing Bids exist; or 
 (B) such principal amount or a lesser principal amount of Outstanding ARS as described in subsection (b)(iv) of Section 1.04 hereof, if Sufficient Clearing Bids have not been made. 
 (iii) Subject to provisions of Section 1.02 hereof, a Bid by a Potential Owner shall constitute an irrevocable offer to purchase, in
each case for settlement in same day funds on the next ARS Interest Payment Date therefor at a price equal to 100% of the principal amount thereof. 
 (A) the principal amount of Outstanding ARS specified in such Bid if the Auction Rate shall be higher than the rate specified in such Bid; or 
 (B) such principal amount or a lesser principal amount of Outstanding ARS as described in subsection (a)(vi) of Section 1.04 hereof,
if the Auction Rate shall be equal to the rate specified in such Bid. 
 (c) Anything herein to the contrary notwithstanding: 
 (i) for purposes of any Auction, any Order which specifies the ARS to be held, purchased or sold in a principal amount which is not
$25,000 or an integral multiple of $5,000 in excess thereof shall be rounded down to the nearest $25,000 or an integral multiple of $5,000 in excess thereof, and the Auction Agent shall conduct the Auction Procedures as if such Order had been
submitted in such lower amount; 
 (ii) for purposes of any Auction, any portion of an Order of an Existing Owner which
relates to an ARS which has been called for redemption on or prior to the Interest Payment Date next succeeding such Auction shall be invalid with respect to such portion and the Auction Agent shall conduct the Auction Procedures as if such portion
of such Order had not been submitted; 
 (iii) for purposes of any Auction, no portion of an ARS which has been called for
redemption on or prior to the Interest Payment Date next succeeding such Auction shall be included in the calculation of Available ARS for such Auction. 
  

 B-2 

 Section 1.02. Submission of Orders by Broker Dealers to Auction Agent. (a) Each
Broker-Dealer shall submit to the Auction Agent in writing or by such other method as shall be reasonably acceptable to the Auction Agent, including such electronic communication acceptable to the parties, prior to the Submission Deadline on each
Auction Date, all Orders obtained by such Broker-Dealer and, if requested, specifying with respect to each Order: 
 (i) the
name of the Bidder placing such Order; 
 (ii) the aggregate principal amount of the ARS, if any, that are the subject to such
Order; 
 (iii) to the extent that such Bidder is an Existing Owner, each Broker-Dealer shall specify: 
 (A) the principal amount of the ARS, if any, subject to any Hold Order placed by such Existing Owner; 
 (B) the principal amount of the ARS, if any, subject to any Bid placed by such Existing Owner and the rate specified in such Bid; and

 (C) the principal amount of the ARS, if any, subject to any Sell Order placed by such Existing Owner. 
 (iv) to the extent such Bidder is a Potential Owner, each Broker-Dealer shall specify the rate specified in such Potential Owner’s
Bid. 
 (b) If any rate specified in any Bid contains more than three figures to the right of the decimal point, the Auction Agent shall
round such rate up to the next higher one-thousandth of one percent (0.001%). 
 (c) If an Order or Orders covering all Outstanding ARS held
by an Existing Owner is not submitted to the Auction Agent prior to the Submission Deadline, the Auction Agent shall deem a Hold Order to have been submitted on behalf of such Existing Owner covering the principal amount of Outstanding ARS held by
such Existing Owner and not subject to Orders submitted to the Auction Agent; provided, however, that if there is a change from one Auction Period to another Auction Period and Orders have not been submitted to the Auction Agent prior
to the Submission Deadline covering the aggregate principal amount of Outstanding ARS held by such Existing Owner, the Auction Agent shall deem a Sell Order to have been submitted on behalf of such Existing Owner covering the principal amount of
Outstanding ARS held by such Existing Owner not subject to Orders submitted to the Auction Agent. 
 (d) If any Existing Owner submits
through a Broker-Dealer to the Auction Agent one or more Orders covering in the aggregate more than the principal amount of Outstanding ARS held by such Existing Owner a, such Orders shall be considered valid as follows and in the order of priority
described below: 
 (i) all Hold Orders shall be considered valid Hold Orders, but only up to and including in the aggregate
the principal amount of Outstanding ARS held by such 

  

 B-3 

 
Existing Owner, and if the aggregate principal amount of ARS subject to such Hold Orders exceeds the aggregate principal amount of ARS held by such Existing
Owner, the aggregate principal amount of ARS subject to each such Hold Order shall be reduced so that the aggregate principal amount of ARS subject to such Hold Orders equals the aggregate principal amount of Outstanding ARS held by such Existing
Owner; 
 (ii) (A) any Bid of an Existing Owner shall be considered valid Bid of an Existing Owner up to and including
the excess of the principal amount of Outstanding ARS held by such Existing Owner over the aggregate principal amount of the ARS subject to any Hold Orders referred to in paragraph (i) above; 
 (B) subject to clause (A) above, if more than one Bid with the same rate is submitted on behalf of such Existing Owner and the
aggregate principal amount of Outstanding ARS subject to such Bids is greater than such excess, such Bids shall be considered valid up to and including the amount of such excess; 
 (C) subject to clauses (A) and (B) above, if more than one Bid with different rates is submitted on behalf of such Existing
Owner, such Bids shall be considered valid Bids of an Existing Owner first in the ascending order of their respective rates until the highest rate is reached at which such excess exists and then at such rate up to and including the amount of such
excess; and 
 (D) in any such event, the principal amount, if any, of such Outstanding ARS subject to Bids not considered to
be valid Bids of an Existing Owner under the provisions described in this paragraph (ii) shall be treated as the subject of a Bid by a Potential Owner at the rate therein specified. 
 (iii) all Sell Orders shall be considered valid Sell Orders, but only up to and including the excess of the principal amount of
Outstanding ARS subject to Hold Orders and valid Bids referred to in paragraphs (i) and (ii) above. 
 (e) If more than one Bid for
ARS is submitted on behalf of any Potential Owner, each Bid submitted shall be a separate Bid with the rate and principal amount therein specified. Any Bid or Sell Order submitted by an Existing Owner covering an aggregate principal amount of ARS
not equal to an Authorized Denomination shall be rejected and shall be deemed a Hold Order. Any Bid submitted by a Potential Owner covering an aggregate principal amount of ARS not equal to an Authorized Denomination shall be rejected. Any Bid
specifying a rate higher than ARS Maximum Rate shall be treated as a Sell Order if submitted by an Existing Owner and will not be accepted if submitted by a Potential Owner. Any Bids submitted by Existing Owners or on behalf of Potential Owners
specifying a rate lower than the All-Hold Rate shall be considered as valid Bids and shall be selected in the ascending order of their respective rates contained in the Submitted Bids. 
 A Hold Order, a Bid or a Sell Order that has been determined valid pursuant to the procedures described in paragraphs (a) through (e) above is
referred to as a “Submitted Hold Order,” a “Submitted Bid” and a “Submitted Sell Order,” respectively (collectively, the “Submitted Orders”). 
  

 B-4 

 (f) Any Order submitted in an Auction by a Broker-Dealer to the Auction Agent prior to the Submission
Deadline on any Auction Date shall be irrevocable. 
 (g) Neither the Borrower, the Issuer, the Trustee nor the Auction Agent shall be
responsible for any failure of any Broker-Dealer to submit an Order to the Auction Agent on behalf of any Existing Owner or Potential Owner, nor shall any of the Borrower, the Issuer, the Trustee or the Auction Agent be responsible for failure by
any Securities Depository to effect any transfer or to provide the Auction Agent with current information regarding registration or transfers. 
 Section 1.03. Determination of Auction Rate. (a) Not later than 9:30 a.m., New York, New York time, on each Auction Date, the Auction Agent shall advise the Broker-Dealers and the Paying Agent by telephone or other
electronic communication acceptable to the parties of the All-Hold Rate and the Index. Prior to the Submission Deadline, the Broker-Dealers will assemble information received from each Bidder and any internally initiated Broker-Dealers’ Bids.

 (b) Not later than the Submission Processing Deadline on each Auction Date, the Auction Agent shall accept any Submitted Orders subject to
a Submission Processing Representation and shall assemble all Submitted Orders and shall determine: 
 (i) the excess, if any,
of the total principal amount of Outstanding ARS over the sum of the aggregate principal amount of Outstanding ARS subject to Submitted Hold Orders (such excess being hereinafter referred to as the “Available ARS”); and 
 (ii) from the Submitted Orders whether or not the aggregate principal amount of Outstanding ARS subject to Submitted Bids by Potential
Owners specifying one or more rates equal to or lower than the ARS Maximum Rate exceeds or is equal to the sum of 
 (A) the
aggregate principal amount of Outstanding ARS subject to Submitted Bids by Existing Owners specifying one or more rates higher than the ARS Maximum Rate; and 
 (B) the aggregate principal amount of Outstanding ARS subject to Submitted Sell Orders; 
 (it being understood that, in the event of such excess or such equality (other than because the sum of the principal amounts of Outstanding ARS in clauses
(A) and (B) above is zero because all of the ARS are subject to Submitted Hold Orders), there shall be deemed to exist, and such Submitted Bids by Potential Owners shall be hereinafter called, collectively, “Sufficient Clearing
Bids”); and 
 (iii) if Sufficient Clearing Bids exist, the lowest rate specified in the Submitted Bids (the
“Winning Bid Rate”) such that if: 
 (A)(I) each such Submitted Bid from Existing Owners specifying such
lowest rate, and (II) all other Submitted Bids from Existing Owners specifying 

  

 B-5 

 
lower rates were accepted, thus entitling such Existing Owners to continue to hold the ARS that are the subject of such Submitted Bids; and 
 (B)(I) each such Submitted Bid from Potential Owners specifying such lowest rate, and (II) all other Submitted Bids from Potential Owners
specifying such lower rates were accepted, thus entitling and requiring such Potential Owners to purchase the ARS that are the subject of such Submitted Bids; 
 the result would be that such Existing Owners described in clause (A) above would continuing to hold an aggregate principal amount of Outstanding ARS, which, when added to the aggregate principal amount of
Outstanding ARS to be purchased by such Potential Owners described in clause (B) above, would equal not less than the Available ARS. 
 (c) Promptly after the Auction Agent has made the determinations pursuant to subsection (b) above, the Auction Agent shall advise the Broker-Dealer and the Trustee by telephone (promptly confirmed in writing), telex or facsimile
transmission or other electronic communication acceptable to the parties of the All-Hold Rate and the components thereof on the Auction Date and, based on such determinations, the Auction Rate for the next succeeding ARS Interest Period as follows:

  

	 	(i)	if Sufficient Clearing Bids exist, that the Auction Rate for the next succeeding ARS Interest Period shall equal the Winning Bid Rate; 

  

	 	(ii)	if Sufficient Clearing Bids do not exist (other than because all of the Outstanding ARS are subject to Submitted Hold Orders), that the Auction Rate for the next succeeding ARS
Interest Period shall equal the ARS Maximum Rate; or 

  

	 	(iii)	if all Outstanding ARS are subject to Submitted Hold Orders, that the Auction Rate for the next succeeding ARS Interest Period shall equal the All-Hold Rate.

 (d) In the event the Auction Agent shall fail to calculate, or for any reason, shall fail to timely provide the Auction Rate
for any Auction Period (i) if the preceding Auction Period was a period of 35 days or less, the new Auction Period shall be the same as the preceding Auction Period and the Auction Rate for the new Auction Period shall be the same as the
Auction Rate for the preceding Auction Period, and (ii) if the preceding Auction Period was a period of greater than 35 days, the preceding Auction Period shall be extended to the seventh day following the day that would have been the last day
of such Auction Period had it not been extended (or if such seventh day is not followed by a Business Day then to the next succeeding day which is followed by a Business Day) and the Auction Rate in effect for the preceding Auction Period shall
continue in effect for the Auction Period as so extended. In the event an Auction Period is extended as set forth in clause (ii) of the preceding sentence, an Auction shall be held on the last Business Day of the Auction Period as so extended
to take effect for an Auction Period beginning on the Business Day immediately following the last day of the Auction 

  

 B-6 

 
Period as extended which Auction Period will end on the date it would otherwise have ended on had the prior Auction Period not been extended. Notwithstanding
the foregoing, no Auction Rate shall be extended for more than 35 days. If at the end of 35 days, the Auction Agent fails to calculate or provide the Auction Rate, the Auction Rate shall be the ARS Maximum Rate. 
 (e) In the event of a failed conversion to a Daily Interest Rate Period, a Weekly Interest Rate Period, a Short-Term Interest Rate Period or a Long-Term
Interest Rate Period or in the event of a failure to change the length of the current Auction Period due to the lack of Sufficient Clearing Bids at the Auction on the Auction Date for the first new Auction Period, the Auction Rate for the next
Auction Period shall be the ARS Maximum Rate and the Auction Period shall be a seven-day Auction Period. 
 (f) If the ARS are no longer
maintained in book-entry-only form by the Securities Depository, then the Applicable ARS Rate for any Auction Period commencing after the delivery of certificates representing the ARS shall be the ARS Maximum Rate. 
 Section 1.04. Allocation of the ARS. Existing Owners shall continue to hold the principal amount of ARS that are subject to Submitted Hold
Orders. Submitted Bids and Submitted Sell Orders shall be accepted or rejected and the Auction Agent shall take such other action as set forth below: 
 (a) If the Sufficient Clearing Bids have been made, subject to the further provisions of subsections (c) and (d) below, all Submitted Sell Orders shall be accepted -or rejected as follows in the following
order of priority and all other Submitted Bids shall be rejected: 
 (i) the Submitted Hold Order of each Existing Owner shall
be accepted, thus requiring each such Existing Owner to continue to hold the aggregate principal amount of ARS that are the subject of such Submitted Hold Order; 
 (ii) the Submitted Sell Order of each Existing Owner shall be accepted and the Submitted Bid of each Existing Owner specifying any rate
that is higher than the Winning Bid Rate shall be rejected, thus requiring each such Existing Owner to sell the aggregate principal amount of ARS that are the subject of such Submitted Sell Order or such Submitted Bid; 
 (iii) the Submitted Bid of each Existing Owner specifying any rate that is lower than the Winning Bid Rate shall be accepted, thus
requiring each such Existing Owner to continue to hold the aggregate principal amount of ARS that are the subject of such Submitted Bid; 
 (iv) the Submitted Bid of each Potential Owner specifying any rate that is lower than the Winning Bid Rate shall be accepted, thus requiring each such Potential Owner to purchase the principal amount of ARS that are
the subject of such Submitted Bid; 
 (v) the Submitted Bid of each Existing Owner specifying a rate that is equal to the
Winning Bid Rate shall be accepted, thus requiring each such Existing Owner to continue to hold the aggregate principal amount of the ARS that are the subject of such 

  

 B-7 

 
Submitted Bid; but only up to and including the principal amount of the ARS obtained by multiplying (A) the aggregate principal amount of the
Outstanding ARS which are not the subject of Submitted Hold Orders described in paragraph (i) above or of Submitted Bids described in paragraphs (iii) or (iv) above by (B) a fraction the numerator of which shall be the principal
amount of the Outstanding ARS held by such Existing Owner subject to such Submitted Bid and the denominator of which shall be the aggregate principal amount of the Outstanding ARS subject to such Submitted Bids made by all such Existing Owners that
specified a rate equal to the Winning Bid Rate, and the remainder, if any, of such Submitted Bid shall be rejected, thus requiring each such Existing Owner to sell any excess amount of the ARS; 
 (vi) the Submitted Bid of each Potential Owner specifying a rate that is equal to the Winning Bid Rate shall be accepted, thus requiring
each such Potential Owner to purchase the ARS that are the subject of such Submitted Bid, but only in an amount equal to the principal amount of the ARS obtained by multiplying (A) the aggregate principal amount of the Outstanding ARS which are
not the subject of Submitted Hold Orders described in paragraph (i) above or of Submitted Bids described in paragraphs (iii), (iv) or (v) above by (B) a fraction the numerator of which shall be the principal amount of the
Outstanding ARS subject to such Submitted Bid and the denominator of which shall be the sum of the aggregate principal amount of the Outstanding ARS subject to such Submitted Bids made by all such Potential Owners that specified a rate equal to the
Winning Bid Rate, and the remainder of such Submitted Bid shall be rejected; and 
 (vii) the Submitted Bid of each Potential
Owner specifying any rate that is higher than the Winning Bid Rate shall be rejected. 
 (b) If Sufficient Clearing Bids have not been made
(other than because all of the Outstanding ARS are subject to Submitted Hold Orders), subject to the further provisions of subsections (c) and (d) below, Submitted Orders shall be accepted or rejected as follows in the following order of
priority: 
 (i) the Submitted Hold Order of each Existing Owner shall be accepted, thus requiring each such Existing Owner to
continue to hold the aggregate principal amount of the ARS that are the subject of such Submitted Hold Order; 
 (ii) the
Submitted Bid of each Existing Owner specifying any rate that is not higher than the ARS Maximum Rate shall be accepted, thus requiring each such Existing Owner to continue to hold the aggregate principal amount of the ARS that are the subject of
such Submitted Bid; 
 (iii) the Submitted Bid of each Potential Owner specifying any rate that is not higher than the ARS
Maximum Rate shall be accepted, thus requiring each such Potential Owner to purchase the aggregate principal amount of the ARS that are the subject of such Submitted Bid; 
 (iv) the Submitted Sell Orders of each Existing Owner shall be accepted as Submitted Sell Orders and the Submitted Bids of each Existing
Owner specifying any 

  

 B-8 

 
rate that is higher than the ARS Maximum Rate shall be deemed to be and shall be accepted as Submitted Sell Orders, in both cases only up to and including
the principal amount of the ARS obtained by multiplying (A) the aggregate principal amount of the ARS subject to Submitted Bids described in paragraph (iii) of this subsection (b) by (B) a fraction the numerator of which shall be
the principal amount of the Outstanding ARS held by such Existing Owner subject to such Submitted Sell Order or such Submitted Bid deemed to be a Submitted Sell Order and the denominator of which shall be the principal amount of the Outstanding ARS
subject to all such Submitted Sell Orders and such Submitted Bids deemed to be Submitted Sell Orders, and the remainder of each such Submitted Sell Order or Submitted Bid shall be deemed to be and shall be accepted as a Hold Order and each such
Existing Owner shall be required to continue to hold such excess amount of the ARS; and 
 (v) the Submitted Bid of each
Potential Owner specifying any rate that is higher than the ARS Maximum Rate shall be rejected. 
 (c) If, as a result of the procedures
described in subsection (a) or (b) above, any Existing Owner would be entitled or required to purchase or sell, or any Potential Owner would be entitled or required to purchase, an aggregate principal amount of the ARS that is not equal to
an Authorized Denomination, the Auction Agent shall by lot, in such manner as it shall determine in its sole discretion, round up or down the principal amount of the ARS to be purchased or sold by any Existing Owner or Potential Owner on such
Auction Date so that the aggregate principal amount of the ARS purchased or sold by each Existing Owner or Potential Owner on such Auction Date shall be equal to an Authorized Denomination, even if such allocation results in one or more of such
Existing Owners or Potential Owners not purchasing or selling any ARS on such Auction Date. 
 (d) If, as a result of the procedures
described in subsection (a) above, any Potential Owner would be entitled or required to purchase less than an Authorized Denomination, the Auction Agent shall by lot, in such manner as it shall determine in its sole discretion, allocate the ARS
for purchase among Potential Owners so that only the principal amount of ARS in Authorized Denominations are purchased on such Auction Date by any Potential Owners, even if such allocation results in one or more of such Potential Owners not
purchasing any ARS on such Auction Date. 
 Section 1.05. Notice of Auction Rate. (a) Not later than 3:00 p.m., New York
City time, on each Auction Date, the Auction Agent shall notify by telephone or other telecommunication device or other electronic communication (or by other means acceptable to the parties) each Broker-Dealer that participated in the Auction held
on such Auction Date and submitted an Order on behalf of an Existing Owner or Potential Owner of the following with respect to the ARS for which an Auction was held on such Auction Date: 
 (i) the Auction Rate determined on such Auction Date for the next ARS Interest Period; 
 (ii) whether Sufficient Clearing Bids existed for the determination of the Winning Bid Rate; 
  

 B-9 

 (iii) if such Broker-Dealer (a “Seller’s Broker-Dealer”) submitted a Bid
or a Sell Order on behalf of an Existing Owner, whether such Bid or Sell Order was accepted or rejected, in whole or in part, and the principal amount of the ARS, if any, to be sold by such Existing Owner; 
 (iv) if such Broker-Dealer (a “Buyer’s Broker-Dealer”) submitted a Bid on behalf of a Potential Owner, whether such Bid was
accepted or rejected, in whole or in part, and the principal amount of the ARS, if any, to be purchased by such Potential Owner; 
 (v) if the aggregate principal amount of the ARS to be sold by all Existing Owners on whose behalf such Broker-Dealer submitted Bids or Sell Orders exceeds the aggregate principal amount of the ARS to be purchased by all Potential Owners on
whose behalf such Broker-Dealer submitted a Bid, the name or names of one or more Buyer’s Broker-Dealers (and the name of the Agent Member, if any, of each such Buyer’s Broker-Dealer) acting for one or more purchasers of such excess
principal amount of the ARS and the principal amount of the ARS to be purchased from one or more Existing Owners on whose behalf such Broker-Dealers acted by one or more Potential Owners on whose behalf each of such Buyer’s Broker-Dealers
acted; 
 (vi) if the principal amount of the ARS to be purchased by all Potential Owners on whose behalf such Broker-Dealer
submitted a Bid exceeds the aggregate principal amount of the ARS to be sold by all Existing Owners on whose behalf such Broker-Dealer submitted Bids or Sell Orders, the name or names of one or more Seller’s Broker-Dealers (and the name of the
Agent Member, if any, of each such Seller’s Broker-Dealer) acting for one or more sellers of such excess principal amount of the ARS and the principal amount of the ARS to be sold to one or more Potential Owners on whose behalf such
Broker-Dealer acted by one or more Existing Owners on whose behalf each of such Seller’s Broker-Dealers acted; and 
 (vi) the Auction Date for the next succeeding Auction. 
 (b) On each Auction Date, each Broker-Dealer that submitted an Order on
behalf of any Existing Owner or Potential Owner shall: 
 (i) advise each Existing Owner and Potential Owner on whose behalf
such Broker-Dealer submitted a Bid or Sell Order in the Auction on such Auction Date whether such Bid or Sell Order was accepted or rejected, in whole or in part; 
 (ii) in the case of a Buyer’s Broker-Dealer, advise each Potential Owner on whose behalf such Broker-Dealer submitted a Bid that was
accepted, in whole or in part, to instruct such Potential Owner’s Agent Member to pay to such Broker-Dealer (or its Agent Member) through the Securities Depository the amount necessary to purchase the principal amount of the ARS to be purchased
pursuant to such Bid against receipt of such ARS; 
 (iii) in the case of a Seller’s Broker-Dealer, instruct each
Existing Owner on whose behalf such Broker-Dealer submitted a Sell Order that was accepted, in whole or 

  

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in part, or a Bid that was accepted, in whole or in part, to instruct such Existing Owner’s Agent Member to deliver to such Broker-Dealer (or its Agent
Member) through the Securities Depository the principal amount of the ARS to be sold pursuant to such Bid or such Sell Order against payment therefor; 
 (iv) advise each Existing Owner on whose behalf such Broker-Dealer submitted an Order and each Potential Owner on whose behalf such Broker-Dealer submitted a Bid of the Auction Rate for the next ARS Interest Period;

 (v) advise each Existing Owner on whose behalf such Broker-Dealer submitted an Order of the next Auction Date; and

 (vi) advise each Potential Owner on whose behalf such Broker-Dealer submitted a Bid that was accepted, in whole or in part,
of the next Auction Date. 
 Section 1.06. Index. (a) The Index is LIBOR. 
 (b) If for any reason on any Auction Date the Index shall not be determined as hereinabove provided in this Section, the Index shall be the Index for the
Auction Period ending on such Auction Date. 
 (c) The determination of the Index as provided herein shall be conclusive and binding upon the
Issuer, the Borrower, the Trustee, the Paying Agent, the Broker-Dealers, the Auction Agent and the Owners and Beneficial Owners of the ARS. 
 Section 1.07. Miscellaneous Provisions Regarding Auctions. (a) In this Exhibit B, each reference to the purchase, sale or holding of “ARS” shall refer to beneficial interests in the ARS, unless the context
clearly requires otherwise. 
 (b) During an Auction Period, the provisions of the Indenture and this Exhibit B and the definitions
contained therein, including without limitation the definitions of All-Hold Rate, Index, Auction Rate, Interest Payment Date and ARS Maximum Rate, may be amended pursuant 
 to Section 13.03 of the Indenture by obtaining the consent of the owners of all affected Outstanding ARS bearing interest at the Auction Rate as follows: If on the first Auction Date occurring at least 20 days
after the date on which the Trustee mailed notice of such proposed amendment to the Owners of the affected Outstanding ARS as required by Section 13.03, (i) the Auction Rate which is determined on such date is the Winning Bid Rate, and
(ii) there is delivered to the Issuer, the Borrower and the Trustee a Favorable Opinion of Bond Counsel with respect to such amendment, the proposed amendment shall be deemed to have been consented to by the Owners of all affected Outstanding
ARS bearing interest at an Auction Rate. 
 (c) If the Securities Depository notifies the Issuer or the Borrower that it is unwilling or
unable to continue as owner of the ARS or if at any time the Securities Depository shall no longer be registered or in good standing under the Securities Exchange Act of 1934, as amended, or other applicable statute or regulation and a successor to
the Securities Depository is not appointed by the Issuer, at the direction of the Borrower, within 90 days after the Issuer receives notice or becomes aware of such condition, as the case may be, the Issuer shall execute and the 

  

 B-11 

 
Registrar shall authenticate and deliver certificates representing the ARS. Such ARS shall be registered in such names and Authorized Denominations as the
Securities Depository, pursuant to instructions from the Agent Members or otherwise, shall instruct the Issuer and the Registrar. 
 During
an Auction Period, so long as the ownership of the ARS is maintained in book-entry form by the Securities Depository, an Existing Owner or a Beneficial Owner may sell, transfer or otherwise dispose of an ARS only pursuant to a Bid or Sell Order in
accordance with the Auction Procedures or to or through a Broker-Dealer, provided that (i) in the case of all transfers other than pursuant to Auctions, such Existing. Owner or its Broker-Dealer or its Agent Member advises the Auction Agent of
such transfer, and (ii) a sale, transfer or other disposition of the ARS from a customer of a Broker-Dealer who is listed on the records of that Broker-Dealer as the holder of such ARS to that Broker-Dealer or another customer of that
Broker-Dealer shall not be deemed to be a sale, transfer or other disposition for purposes of this Section 1.07 if such Broker-Dealer remains the Existing Owner of the ARS so sold, transferred or disposed of immediately after such sale,
transfer or disposition. 
 Section 1,08. Changes in Auction Period or Auction Date. 
 (a) Changes in Auction Period. 
 (i) Subject to the provisions of the Indenture, during any Auction Period, the Borrower, with the consent of the Bond Insurer, may, from time to time and on any ARS Interest Payment Date, change the length of the Auction Period with respect
to the ARS among seven-days, 28-days, 35-days and a Special Auction Period in order to accommodate economic and financial factors that may affect or be relevant to the length of the Auction Period and the interest rate borne by such ARS; provided,
however, in the case of a change from a Special Auction Period, the date of such change shall be the Interest Payment Date immediately following the last day of such Special Auction Period. The Borrower shall initiate the change in the length of the
Auction Period by giving written notice to the Issuer, the Trustee, the Bond Insurer, the Auction Agent, the Broker-Dealer, the Bank, if any, and-the Securities Depository that the Auction Period shall change if the conditions described in the
Indenture are satisfied and the proposed effective date of the change, at least three (3) Business Days prior to the Auction Date for such Auction Period. 
 (ii) Any such changed Auction Period shall be for a period of seven-days, 28 days, 35 days or a Special Auction Period and shall be for
all of the ARS. 
 (iii) The change in the length of the Auction Period shall not be allowed unless Sufficient Clearing Bids
existed at both the Auction before the date on which the notice of the proposed change was given as provided in this subsection (a) and, in the sole discretion of the Broker-Dealer, at the Auction immediately preceding the proposed change. For
purposes of the Auction for such first Auction Period only, each Existing Owner shall be deemed to have submitted Sell Orders with respect to all of its ARS except to the extent such Existing Owner submits an Order with respect to such ARS.

  

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 (iv) The change in length of the Auction Period shall take effect only if Sufficient
Clearing Bids exist at the Auction on the Auction Date for such first Auction Period. If the condition referred to in the first sentence of this paragraph (iv) is not met, the Auction Rate for the next Auction Period shall be the ARS Maximum
Rate, and the Auction Period shall be a seven-day Auction Period. 
 (v) On the change date for the ARS selected for change
from one Auction Period to another, any ARS which are not the subject of a specific Hold Order or Bid shall be deemed to be subject to a Sell Order. 
 (vi) The change in the length of the Auction Period shall not be allowed unless the notice from the Borrower of the proposed change in length of the Auction Period described above in Section 1.08(a)(i) is
accompanied by a Favorable Opinion of Bond Counsel if the change is from an Auction Period having a duration in excess of one year to an Auction Period of one year or less in duration and vice versa. 
 (b) Changes in Auction Date. During any Auction Period, the Auction Agent, with the written consent of the Borrower, may specify an earlier
Auction Date (but in no event more than five Business Days earlier) than the Auction Date that would otherwise be determined in accordance with the definition of “Auction Date” in order to conform with then current market practice with
respect to similar securities or to accommodate economic and financial factors that may affect or be relevant to the day of the week constituting an Auction Date and the interest rate borne on the ARS. The Auction Agent shall provide notice of its
determination to specify an earlier Auction Date for an Auction Period by means of a written notice delivered at least 45 days prior to the proposed changed Auction Date to the Trustee, the Paying Agent, the Borrower, the Issuer, the Broker-Dealers
and the Securities Depository, which will, in turn, notify the holders. In the event the Auction Agent specifies an earlier Auction Date, the days of the week on which an Auction Period begins and ends, the days of the week on which a Special
Auction Period begins and ends and the Interest Payment Date relating to a Special Auction Period shall be adjusted accordingly. 
 Section 1.09. Auction Agent. (a) The Auction Agent shall be Deutsche Bank Trust Company Americas, New York, New York, or any successor appointed by the Borrower to perform the functions specified herein. The Auction Agent
shall designate its Principal Office and signify its acceptance of the duties and obligations imposed upon it hereunder by a written instrument, delivered to the Issuer, the Trustee, the Borrower and each Broker-Dealer which will set forth such
procedural and other matters relating to the implementation of the Auction Procedures as shall be satisfactory to the Borrower and the Trustee. 
 (b) Subject to any applicable governmental restrictions, the Auction Agent may be or become the owner of or trade in the ARS with the same rights as if such entity were not the Auction Agent. 
 Section 1.10. Qualifications of Auction Agent: Resignation; Removal. The Auction Agent shall be (a) subject to the written approval of
each Broker-Dealer, (b) a bank or trust company duly organized under the laws of the United States of America or any state or territory thereof having a combined capital stock, surplus and undivided profits of at least $30,000,000, or 

  

 B-13 

 
(c) a member of NASD having a capitalization of at least $30,000,000 and, in either case, authorized by law to perform all of the duties imposed upon it by
this Indenture and the Auction Agent Agreement and a member of or a participant in, the Securities Depository. The Auction Agent may at any time resign and be discharged of the duties and obligations created by this Indenture by giving at least 45
days’ notice to the Issuer, the Borrower, the Trustee, the Broker-Dealer and the Bond Insurer. The Auction Agent may be removed at any time by the Trustee, upon the written direction of (i) the Borrower, with the consent of the Bond
Insurer, (ii) the Bond Insurer, or (iii) the ARS Beneficial Owners of 66-2/3% of the aggregate principal amount of the ARS then Outstanding with the consent of the Bond Insurer, by an instrument signed by the Trustee and filed with the
Auction Agent, the Bond Insurer, the Issuer and the Borrower upon at least 30 days’ notice. Upon any such resignation or removal, the Borrower shall appoint a successor Auction Agent meeting the requirements of this Section. In the event of the
resignation or removal of the Auction Agent, the Auction Agent shall pay over, assign and deliver any moneys and the ARS held by it in such capacity to its successor. The Auction Agent shall continue to perform its duties hereunder until its
successor has been appointed by the Borrower. Notwithstanding the foregoing, the Auction Agent may terminate the Auction Agent Agreement if, within 30 days after notifying the Trustee, the Issuer, the Borrower, and the Bond Insurer in writing that
it has not received payment of any Auction Agent Fee due it in accordance with the terms of the Auction Agent Agreement, the Auction Agent does not receive such payment. 
  

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