Document:

<Page>

                          KEY PRODUCTION COMPANY, INC.

                                       AND

                           A. G. EDWARDS & SONS, INC.,
                                  Rights Agent

                                RIGHTS AGREEMENT

                          Dated as of February 25, 2002

<Page>

                                TABLE OF CONTENTS

<Table>
<S>                                                                                <C>
Section 1.  CERTAIN DEFINITIONS.....................................................   1
Section 2.  APPOINTMENT OF RIGHTS AGENT.............................................   4
Section 3.  ISSUE OF RIGHT CERTIFICATES.............................................   4
Section 4.  FORM OF RIGHT CERTIFICATES..............................................   6
Section 5.  COUNTERSIGNATURE AND REGISTRATION.......................................   6
Section 6.  TRANSFER, SPLIT UP, COMBINATION AND EXCHANGE OF RIGHT CERTIFICATES;
            MUTILATED, DESTROYED, LOST OR STOLEN RIGHT CERTIFICATES.................   7
Section 7.  EXERCISE OF RIGHTS; PURCHASE PRICE; EXPIRATION DATE OF RIGHTS...........   8
Section 8.  CANCELLATION AND DESTRUCTION OF RIGHT CERTIFICATES......................   9
Section 9.  AVAILABILITY OF COMMON SHARES...........................................   9
Section 10. COMMON SHARES RECORD DATE...............................................  10
Section 11. ADJUSTMENT OF PURCHASE PRICE, NUMBER OF SHARES OR NUMBER OF RIGHTS......  10
Section 12. CERTIFICATE OF ADJUSTED PURCHASE PRICE OR NUMBER OF SHARES..............  18
Section 13. CONSOLIDATION, MERGER OR SALE OR TRANSFER OF ASSETS OR EARNING POWER....  18
Section 14. FRACTIONAL RIGHTS AND FRACTIONAL SHARES.................................  20
Section 15. RIGHTS OF ACTION........................................................  21
Section 16. AGREEMENT OF RIGHT HOLDERS..............................................  21
Section 17. RIGHT CERTIFICATE HOLDER NOT DEEMED A SHAREHOLDER.......................  22
Section 18. CONCERNING THE RIGHTS AGENT.............................................  22
Section 19. MERGER OR CONSOLIDATION OR CHANGE OF NAME OF RIGHTS AGENT...............  22
Section 20. DUTIES OF RIGHTS AGENT..................................................  23
Section 21. CHANGE OF RIGHTS AGENT..................................................  25
Section 22. ISSUANCE OF NEW RIGHT CERTIFICATES......................................  25
Section 23. REDEMPTION..............................................................  26
Section 24. EXCHANGE................................................................  27
Section 25. NOTICE OF CERTAIN EVENTS................................................  28
Section 26. NOTICES.................................................................  29
Section 27. SUPPLEMENTS AND AMENDMENTS..............................................  29
Section 28. SUCCESSORS..............................................................  30
Section 29. BENEFITS OF THIS AGREEMENT..............................................  30
Section 30. SEVERABILITY............................................................  30
Section 31. DETERMINATIONS AND ACTIONS BY THE BOARD OF DIRECTORS....................  30
Section 32. GOVERNING LAW...........................................................  31
Section 33. COUNTERPARTS............................................................  31
Section 34. DESCRIPTIVE HEADINGS....................................................  31
EXHIBIT A   FORM OF RIGHT CERTIFICATE............................................... A-1
EXHIBIT B   SUMMARY OF RIGHTS TO PURCHASE COMMON SHARES............................. B-1
</Table>

<Page>

                                RIGHTS AGREEMENT

     This Rights Agreement, dated as of February 25, 2002 (this "Agreement"), is
between Key Production Company, Inc., a Delaware corporation (the "Company"),
and A.G. Edwards & Sons, Inc. (the "Rights Agent").

     The Board of Directors of the Company has authorized and declared a
dividend of one common share purchase right (a "Right") for each Common Share
of the Company outstanding at the close of business on March 7, 2002 (the
"Record Date"), each Right representing the right to purchase one Common
Share, upon the terms and subject to the conditions herein set forth, and has
further authorized and directed the issuance of one Right with respect to (i)
each Common Share of the Company that shall become outstanding between the
Record Date and the earliest of the Distribution Date, the Redemption Date
and the Final Expiration Date and (ii) in certain cases each Common Share
that shall become outstanding after the Distribution Date and prior to the
earlier of the Redemption Date and the Final Expiration Date.

     Accordingly, in consideration of the foregoing and the mutual agreements
herein set forth, the parties hereby agree as follows:

     Section 1. CERTAIN DEFINITIONS. For purposes of this Agreement, the
following terms (in addition to those defined above) have the meanings
indicated:

          (a)  "Acquiring Person" shall mean any Person who or which, together
     with all Affiliates and Associates of such Person, shall be the Beneficial
     Owner of 15% or more of the Common Shares then outstanding, but shall not
     include (i) the Company, (ii) any Subsidiary of the Company, (iii) any
     employee benefit plan of the Company or of any Subsidiary of the Company,
     (iv) any trustee or fiduciary with respect to such plan, acting in such
     capacity, or (v) Helmerich & Payne, Inc., a Delaware corporation ("H&P"),
     Helmerich & Payne Exploration and Production Co., a Delaware corporation
     ("Spinco"), or any Subsidiary of H&P or Spinco. Notwithstanding the
     foregoing, no Person shall become an "Acquiring Person" as the result of an
     acquisition of Common Shares by the Company that, by reducing the number of
     shares outstanding, increases the proportionate number of shares
     beneficially owned by such Person to 15% or more of the Common Shares then
     outstanding; PROVIDED, HOWEVER, that if a Person becomes the Beneficial
     Owner of 15% or more of the Common Shares then outstanding by reason of
     share acquisitions by the Company and shall, after such share acquisitions
     by the Company, become the Beneficial Owner of any additional Common Shares
     without the prior written consent of the Company, then such Person shall be
     deemed to be an "Acquiring Person." Notwithstanding the foregoing, if the
     Board of Directors of the Company determines in good faith that a Person
     that would otherwise be an "Acquiring Person," as defined pursuant to the
     foregoing provisions of this paragraph (a), has become such inadvertently,
     and such Person divests as promptly as practicable (as determined in good
     faith by the Board of Directors) but in any event by the close of business
     on the fifth Business Day after notice from the Company a sufficient number
     of Common Shares so that such Person would no longer be an "Acquiring
     Person,"
<Page>

     as defined pursuant to the foregoing provisions of this paragraph (a), then
     such Person shall not be deemed to be an "Acquiring Person" for any
     purposes of this Agreement.

          (b)  "Affiliate" and "Associate" shall have the respective meanings
     ascribed to such terms in Rule 12b-2 of the General Rules and Regulations
     under the Exchange Act, as in effect on the date of this Agreement.

          (c)  A Person shall be deemed the "Beneficial Owner" of and shall be
     deemed to "beneficially own" any securities:

               (i)  that such Person or any of such Person's Affiliates or
          Associates beneficially owns, directly or indirectly, including
          without limitation, securities with respect to which such Person or
          any of such Person's Affiliates or Associates has beneficial ownership
          pursuant to Rule 13d-3 of the General Rules and Regulations under the
          Exchange Act as in effect on the date of this Agreement;

               (ii) that such Person or any of such Person's Affiliates or
          Associates has the right to acquire (whether such right is exercisable
          immediately or only after the passage of time) pursuant to any
          agreement, arrangement or understanding (whether or not in writing,
          but excluding customary agreements with and between underwriters and
          selling group members with respect to a bona fide public offering of
          securities), or upon the exercise of conversion rights, exchange
          rights, rights (other than the Rights), warrants or options, or
          otherwise; PROVIDED, HOWEVER, that a Person shall not be deemed the
          Beneficial Owner of, or to beneficially own, securities tendered
          pursuant to a tender or exchange offer made by or on behalf of such
          Person or any of such Person's Affiliates or Associates until such
          tendered securities are accepted for purchase or exchange;

               (iii) that such Person or any of such Person's Affiliates or
          Associates has the right to vote pursuant to any agreement,
          arrangement or understanding (whether or not in writing); PROVIDED,
          HOWEVER, that a Person shall not be deemed the Beneficial Owner of, or
          to beneficially own, any security if the agreement, arrangement or
          understanding to vote such security (A) arises solely from a revocable
          proxy or consent given to such Person in response to a public proxy or
          consent solicitation (which, if the Company is an Exchange Act -
          reporting Person, shall mean a public proxy or consent solicitation
          made pursuant to, and in accordance with, the applicable rules and
          regulations promulgated under the Exchange Act) and (B) is not also
          then reportable on Schedule 13D under the Exchange Act (or any
          comparable or successor report) (or, if the Company is not an Exchange
          Act - reporting Person, such agreement, arrangement or understanding
          that would not also be then reportable on Schedule 13D under the
          Exchange Act (or any comparable or successor report) if the Company
          were an Exchange Act - reporting Person); or

               (iv) that are beneficially owned, directly or indirectly, by any
          other Person with which such Person or any of such Person's Affiliates
          or Associates has any

                                       2
<Page>

          agreement, arrangement or understanding (other than customary
          agreements with and between underwriters and selling group members
          with respect to a bona fide public offering of securities) for the
          purpose of acquiring, holding, voting (except to the extent
          contemplated by the proviso to Section 1(c) (iii)) or disposing of any
          securities of the Company;

     PROVIDED, HOWEVER, that notwithstanding anything to the contrary in this
     Agreement, none of H&P, Spinco, or any Subsidiary of H&P or Spinco shall be
     deemed the Beneficial Owner of, or to beneficially own, any securities of
     the Company by virtue of (A) the execution and delivery of an H&P Merger
     Agreement, or (B) the consummation of an H&P Merger or other transactions
     contemplated in an H&P Merger Agreement.

          (d)  "Business Day" shall mean any day other than a Saturday, a
     Sunday, or a day on which banking institutions in the State of New York are
     authorized or obligated by law or executive order to close.

          (e)  "close of business" on any given date shall mean 5:00 p.m., New
     York City time, on such date; PROVIDED, HOWEVER, that if such date is not a
     Business Day it shall mean 5:00 p.m., New York City time, on the next
     succeeding Business Day.

          (f)  "Common Shares" when used with reference to the Company
     (specifically or in context) shall mean the shares of common stock, par
     value $.25 per share, of the Company. "Common Shares" when used with
     reference to any Person other than the Company shall mean the capital stock
     (or equity interest) with the greatest voting power of such other Person
     or, if such other Person is a Subsidiary of another Person, the Person or
     Persons that ultimately control such first-mentioned Person.

          (g)  "Distribution Date" shall have the meaning set forth in Section
     3(a) hereof.

          (h)  "Exchange Act" shall mean the Securities Exchange Act of 1934, as
     amended.

          (i)  "Final Expiration Date" shall mean the earliest of (i) the close
     of business on February 25, 2012 and (ii) immediately prior to the
     effective time of an H&P Merger.

          (j)  "H&P Merger" shall mean a merger, share exchange, business
     combination or similar transaction involving the Company and H&P, Spinco,
     or any Subsidiary of H&P or Spinco.

          (k)  "H&P Merger Agreement" shall mean an agreement and plan of merger
     or other form of business combination agreement to which the Company and
     H&P, Spinco, or any Subsidiary of H&P or Spinco are parties, as such may be
     amended and supplemented from time to time.

                                       3
<Page>

          (l)  "Person" shall mean any individual, firm, corporation,
     incorporated or unincorporated association, joint venture, limited
     liability company, partnership, trust or other entity, and shall include
     any successor (by merger or otherwise) of such entity as well as any other
     syndicate or group deemed to be a person under Section 14(d)(2) of the
     Exchange Act.

          (m)  "Purchase Price" shall have the meaning set forth in Section 4
     hereof, as the same may be adjusted from time to time in accordance with
     the terms of this Agreement.

          (n)  "Redemption Date" shall have the meaning set forth in Section
     7(a) hereof.

          (o)  "Shares Acquisition Date" shall mean the first date of public
     announcement (which, for purposes of this definition, shall include,
     without limitation, a report filed pursuant to Section 13(d) of the
     Exchange Act) by the Company or an Acquiring Person that an Acquiring
     Person has become such, or such earlier date as a majority of the Board of
     Directors shall become aware of the existence of the Acquiring Person;
     PROVIDED THAT, if such Person is determined not to have become an Acquiring
     Person pursuant to the last sentence of Section 1(a), then no Shares
     Acquisition Date shall be deemed to have occurred.

          (p)  "Subsidiary" of any Person shall mean any corporation,
     incorporated or unincorporated association, limited liability company,
     partnership or other entity of which a majority of the voting power of the
     voting equity securities or equity interest is owned, directly or
     indirectly, by such Person.

     Section 2. APPOINTMENT OF RIGHTS AGENT. The Company hereby appoints the
Rights Agent to act as agent for the Company and the holders of the Rights (who,
in accordance with Section 3 hereof, shall prior to the Distribution Date also
be the holders of the Common Shares of the Company) in accordance with the terms
and conditions hereof, and the Rights Agent hereby accepts such appointment. The
Company may from time to time appoint such co-Rights Agents as it may deem
necessary or desirable.

     Section 3. ISSUE OF RIGHT CERTIFICATES.

          (a)  Until the earlier (the earlier of such dates being herein
     referred to as the "Distribution Date") of (i) the close of business on the
     tenth Business Day after the Shares Acquisition Date (or if the tenth
     Business Day after the Shares Acquisition Date occurs before the Record
     Date, the close of business on the Record Date) and (ii) the close of
     business on the tenth Business Day (or such later date as the Board of
     Directors of the Company shall determine) after the date of the
     commencement (determined in accordance with Rule 14d-2 under the Exchange
     Act) by any Person (other than the Company, any Subsidiary of the Company,
     any employee benefit plan of the Company or of any Subsidiary of the
     Company, or any trustee or fiduciary with respect to any such plan to the
     extent such Person is so acting with the approval or consent of the Company
     or as part of such Person's ordinary activities with respect to any such
     plan) of, or of the first public announcement of the intention of any
     Person (other than the Company, any Subsidiary of the Company, any employee
     benefit plan of the Company or of any Subsidiary of the Company, or any
     trustee

                                       4
<Page>

     or fiduciary with respect to any such plan to the extent such Person is so
     acting with the approval or consent of the Company or as part of such
     Person's ordinary activities with respect to any such plan) to commence, a
     tender or exchange offer the consummation of which would result in any
     Person becoming the Beneficial Owner of 15% or more of the Common Shares
     then outstanding, including any such date that is after the date of this
     Agreement and prior to the issuance of the Rights, (x) the Rights shall be
     evidenced (subject to the provisions of Section 3(b) hereof) by the
     certificates for Common Shares registered in the names of the holders
     thereof (which certificates shall also be deemed to be Right Certificates)
     and not by separate Right Certificates, and (y) the Rights (and the right
     to receive Right Certificates therefor) shall be transferable only in
     connection with the transfer of Common Shares of the Company.
     Notwithstanding anything to the contrary in this Section 3(a), a
     Distribution Date shall not occur as a result of (1) the execution and
     delivery of an H&P Merger Agreement or the public announcement of such
     execution and delivery, or (2) the consummation of an H&P Merger or other
     transactions contemplated in an H&P Merger Agreement. As soon as
     practicable after the Distribution Date, the Company shall prepare and
     execute, the Rights Agent shall countersign, and the Company shall send or
     cause to be sent (and the Rights Agent will, if requested, send), by
     first-class, insured, postage prepaid mail, to each record holder of Common
     Shares as of the close of business on the Distribution Date, at the address
     of such holder shown on the records of the Company, one or more Right
     Certificates, in substantially the form of Exhibit A hereto (a "Right
     Certificate"), evidencing one Right for each Common Share of the Company so
     held. As of the Distribution Date, the Rights shall be evidenced solely by
     such Right Certificates.

          (b)  As promptly as practicable following the Record Date, the Company
     will make available a copy of a Summary of Rights to Purchase Common
     Shares, in substantially the form of Exhibit B hereto (the "Summary of
     Rights"), to any record holder of Rights who may so request from time to
     time prior to the Final Expiration Date. With respect to certificates for
     Common Shares of the Company outstanding as of the Record Date, until the
     Distribution Date, the Rights associated with the Common Shares represented
     by such certificates shall be evidenced by such certificates and the record
     holders of the Common Shares shall also be the record holders of the
     associated Rights. Until the Distribution Date (or the earlier of the
     Redemption Date and the Final Expiration Date), the surrender for transfer
     of any certificate for Common Shares outstanding on the Record Date shall
     also constitute the transfer of the Rights associated with the Common
     Shares represented thereby.

          (c)  Certificates for Common Shares that become outstanding
     (including, without limitation, reacquired Common Shares referred to in the
     last sentence of this paragraph (c)) after the Record Date but prior to the
     earliest of the Distribution Date, the Redemption Date or the Final
     Expiration Date shall have impressed on, printed on, written on or
     otherwise affixed to them the following legend:

          This certificate also evidences and entitles the holder hereof to
          certain rights as set forth in a Rights Agreement between Key
          Production Company, Inc. and A.G. Edwards & Sons, Inc. dated as of
          February 25, 2002 (the "Rights Agreement"), the terms of which are
          hereby incorporated herein by reference and a copy of which is on file
          at the

                                       5
<Page>

          principal executive offices of Key Production Company, Inc. Under
          certain circumstances, as set forth in the Rights Agreement, the
          Rights described therein will be evidenced by separate certificates
          and will no longer be evidenced by this certificate. Key Production
          Company, Inc. will mail to the holder of this certificate a copy of
          the Rights Agreement without charge after receipt of a written request
          therefor. Under certain circumstances as described in the Rights
          Agreement, Rights beneficially owned by any Person who becomes an
          Acquiring Person, or an Associate or Affiliate thereof (as those terms
          are defined in the Rights Agreement) or any subsequent holder of such
          Rights, may become null and void. The Rights shall not be exercisable
          by a holder in any jurisdiction where the requisite qualification to
          the issuance to such holder of the Rights, or the exercise by such
          holder of the Rights in such jurisdiction, shall not have been
          obtained or obtainable.

     With respect to such certificates containing the foregoing legend, until
     the Distribution Date, the Rights associated with the Common Shares
     represented by such certificates shall be evidenced by such certificates
     alone, and the surrender for transfer of any such certificate shall also
     constitute the transfer of the Rights associated with the Common Shares
     represented thereby. In the event that the Company purchases or acquires
     any Common Shares after the Record Date but prior to the Distribution Date,
     any Rights associated with such Common Shares shall be deemed canceled and
     retired so that the Company shall not be entitled to exercise any Rights
     associated with the Common Shares that are no longer outstanding.
     Notwithstanding this Section 3(c), the omission of a legend shall not
     affect the enforceability of any part of this Agreement or the rights of
     any holder of the Rights.

     Section 4. FORM OF RIGHT CERTIFICATES. The Right Certificates (and the
forms of election to purchase Common Shares and of assignment to be printed on
the reverse thereof) shall be in substantially the form of Exhibit A hereto and
may have such marks of identification or designation and such legends, summaries
or endorsements printed thereon as the Company may deem appropriate and as are
not inconsistent with the provisions of this Agreement, or as may be required to
comply with any applicable law or with any rule or regulation made pursuant
thereto or with any rule or regulation of any stock exchange on which the Rights
may from time to time be listed, or to conform to usage. Subject to the
provisions of Section 22 hereof, the Right Certificates shall entitle the
holders thereof to purchase such number of Common Shares as shall be set forth
therein at the price per Common Share set forth therein (the "Purchase Price"),
but the number of such Common Shares and the Purchase Price shall be subject to
adjustment as provided herein.

     Section 5. COUNTERSIGNATURE AND REGISTRATION. The Right Certificates shall
be executed on behalf of the Company by its Chairman of the Board of Directors,
its Chief Executive Officer, President or any Vice President, either manually or
by facsimile signature, shall have affixed thereto the Company's seal or a
facsimile thereof, and shall be attested by the Secretary or an Assistant
Secretary of the Company, either manually or by facsimile signature. The Right
Certificates shall be manually countersigned by the Rights Agent and shall not
be valid for any purpose unless countersigned. In case any officer of the
Company who shall have signed any of the

                                       6
<Page>

Right Certificates shall cease to be such officer of the Company before
countersignature by the Rights Agent and issuance and delivery by the Company,
such Right Certificates, nevertheless, may be countersigned by the Rights Agent
and issued and delivered by the Company with the same force and effect as though
the person who signed such Right Certificates had not ceased to be such officer
of the Company; and any Right Certificate may be signed on behalf of the Company
by any person who, at the actual date of the execution of such Right
Certificate, shall be a proper officer of the Company to sign such Right
Certificate, although at the date of the execution of this Agreement any such
person was not such an officer.

     Following the Distribution Date, the Rights Agent shall keep or cause to be
kept, at its principal office or offices, books for registration and transfer of
the Right Certificates issued hereunder. Such books shall show the names and
addresses of the respective holders of the Right Certificates, the number of
Rights evidenced on its face by each of the Right Certificates and the date of
each of the Right Certificates.

     Section 6. TRANSFER, SPLIT UP, COMBINATION AND EXCHANGE OF RIGHT
CERTIFICATES; MUTILATED, DESTROYED, LOST OR STOLEN RIGHT CERTIFICATES. Subject
to the provisions of Section 14 hereof, at any time after the close of business
on the Distribution Date, and at or prior to the close of business on the
earlier of the Redemption Date and the Final Expiration Date, any Right
Certificate or Right Certificates (other than Right Certificates representing
Rights that have become void pursuant to Section 11(a)(ii) hereof or that have
been exchanged pursuant to Section 24 hereof) may be transferred, split up,
combined or exchanged for another Right Certificate or Right Certificates,
entitling the registered holder to purchase a like number of Common Shares as
the Right Certificate or Right Certificates surrendered then entitled such
holder to purchase. Any registered holder desiring to transfer, split up,
combine or exchange any Right Certificate or Right Certificates shall make such
request in writing delivered to the Rights Agent and shall endorse and surrender
the Right Certificate or Right Certificates to be transferred, split up,
combined or exchanged at the principal office or offices of the Rights Agent
designated for such purpose. Neither the Rights Agent nor the Company shall be
obligated to take any action whatsoever with respect to the transfer of any such
surrendered Right Certificate until the registered holder shall have completed
and signed the certificate contained in the form of assignment on the reverse
side of such Right Certificate and shall have provided such additional evidence
of the identity of the Beneficial Owner (or former Beneficial Owner) or
Affiliates or Associates thereof as the Company shall reasonably request.
Thereupon the Rights Agent shall countersign and deliver to the person entitled
thereto a Right Certificate or Right Certificates, as the case may be, as so
requested. The Company may require payment of a sum sufficient to cover any tax
or governmental charge that may be imposed in connection with any transfer,
split up, combination or exchange of Right Certificates.

     Upon receipt by the Company and the Rights Agent of evidence reasonably
satisfactory to them of the loss, theft, destruction or mutilation of a Right
Certificate, and, in case of loss, theft or destruction, of indemnity or
security reasonably satisfactory to them, and, at the Company's request,
reimbursement to the Company and the Rights Agent of all reasonable expenses
incidental thereto, and upon surrender to the Rights Agent and cancellation of
the Right Certificate if mutilated, the Company shall make and deliver a new
Right Certificate of like tenor to the Rights Agent for

                                       7
<Page>

delivery to the registered holder in lieu of the Right Certificate so lost,
stolen, destroyed or mutilated.

     Section 7. EXERCISE OF RIGHTS; PURCHASE PRICE; EXPIRATION DATE OF RIGHTS.

          (a)  The registered holder of any Right Certificate may exercise the
     Rights evidenced thereby (except as otherwise provided herein) in whole or
     in part at any time, subject to the last sentence of Section 23(a) hereof,
     after the Distribution Date upon surrender of the Right Certificate, with
     the form of election to purchase on the reverse side thereof duly executed,
     to the Rights Agent at the principal office or offices of the Rights Agent
     designated for such purpose, together with payment of the Purchase Price
     for each Common Share as to which the Rights are exercised, at or prior to
     the earliest of (i) the Final Expiration Date, (ii) the time at which the
     Rights are redeemed as provided in Section 23 hereof (the "Redemption
     Date"), and (iii) the time at which such Rights are exchanged as provided
     in Section 24 hereof.

          (b)  The Purchase Price for each Common Share pursuant to the exercise
     of a Right shall initially be $70, subject to adjustment from time to time
     as provided in Sections 11 and 13 hereof, and shall be payable in lawful
     money of the United States of America in accordance with paragraph (c)
     below.

          (c)  Subject to the Company's rights under Section 11(a)(iii) hereof,
     upon receipt of a Right Certificate representing exercisable Rights, with
     the form of election to purchase duly executed, accompanied by payment of
     the Purchase Price for the shares to be purchased (plus an amount equal to
     any applicable transfer tax required to be paid by the holder of such Right
     Certificate in accordance with Section 9 hereof) by certified check,
     cashier's check, bank check, bank draft, wire transfer of immediately
     available funds or money order payable to the order of the Company, the
     Rights Agent shall thereupon promptly (i) requisition from any transfer
     agent of the Common Shares, certificates for the number of Common Shares to
     be purchased, and the Company hereby irrevocably authorizes its transfer
     agent to comply with all such requests, (ii) when appropriate, requisition
     from the Company the amount of cash to be paid in lieu of issuance of
     fractional shares in accordance with Section 14 hereof, or the amount of
     cash, property or other securities to be paid or issued in lieu of the
     issuance of Common Shares in accordance with Section 11(a)(iii) hereof,
     (iii) after receipt of such certificates, cause the same to be delivered to
     or upon the order of the registered holder of such Right Certificate,
     registered in such name or names as may be designated by such holder, and
     (iv) when appropriate, after receipt, deliver such cash, property or other
     securities to or upon the order of the registered holder of such Right
     Certificate.

          (d)  In case the registered holder of any Right Certificate shall
     exercise less than all the Rights evidenced thereby, a new Right
     Certificate evidencing Rights equivalent to the Rights remaining
     unexercised shall be issued by the Rights Agent to the registered holder of
     such Right Certificate or to such holder's duly authorized assigns, subject
     to the provisions of Section 14 hereof.

                                       8
<Page>

          (e)  Notwithstanding anything in this Agreement to the contrary,
     neither the Rights Agent nor the Company shall be obligated to undertake
     any action with respect to a registered holder of Rights upon the
     occurrence of any purported exercise as set forth in this Section 7 unless
     such registered holder shall have (i) completed and signed a certificate
     contained in the form of election to purchase set forth on the reverse side
     of the Right Certificate surrendered for such exercise and (ii) provided
     such additional evidence of the identity of the Beneficial Owner (or former
     Beneficial Owner) or Affiliates or Associates thereof as the Company shall
     reasonably request.

     Section 8. CANCELLATION AND DESTRUCTION OF RIGHT CERTIFICATES. All Right
Certificates surrendered for the purpose of exercise, transfer, split up,
combination or exchange shall, if surrendered to the Company or to any of its
agents, be delivered to the Rights Agent for cancellation or in canceled form,
or, if surrendered to the Rights Agent, shall be canceled by it, and no Right
Certificates shall be issued in lieu thereof except as expressly permitted by
any of the provisions of this Agreement. The Company shall deliver to the Rights
Agent for cancellation and retirement, and the Rights Agent shall so cancel and
retire, any Right Certificate representing Rights purchased or acquired by the
Company otherwise than upon the exercise thereof. The Rights Agent shall deliver
all canceled Right Certificates to the Company, or shall, at the written request
of the Company, destroy such canceled Right Certificates, and in such case shall
deliver a certificate of destruction thereof to the Company.

     Section 9. AVAILABILITY OF COMMON SHARES.

          (a)  The Company covenants and agrees that it will take all such
     action as may be necessary to ensure that all Common Shares delivered upon
     exercise of Rights shall, at the time of delivery of the certificates for
     such Common Shares (subject to payment of the Purchase Price), be duly and
     validly authorized and issued and fully paid and nonassessable shares.

          (b)  The Company further covenants and agrees that it will pay when
     due and payable any and all federal and state transfer taxes and charges
     which are payable in respect of the issuance or delivery of the Right
     Certificates or of any Common Shares (or other securities that may become
     or be issuable under the terms of this Agreement) upon the exercise of
     Rights. The Company shall not, however, be required to pay any transfer tax
     or charge that may be payable in respect of any transfer or delivery of
     Right Certificates to a Person other than, or the issuance or delivery of
     certificates for the Common Shares (or other securities which may become or
     be issuable under the terms of this Agreement) in a name other than that
     of, the registered holder of the Right Certificates evidencing Rights
     surrendered for transfer, delivery or exercise or to issue or to deliver
     any certificates for Common Shares (or other securities that may become or
     be issuable under the terms of this Agreement) upon the exercise of any
     Rights until any such tax or charge shall have been paid (any such tax or
     charge being payable by the holder of such Right Certificates no later than
     the time of surrender) or until it has been established to the Company's
     reasonable satisfaction that no such tax is due.

                                       9
<Page>

          (c)  The Company covenants and agrees that, for so long as the Common
     Shares issuable upon the exercise of Rights are listed on any national
     securities exchange or quotation system, the Company shall use its best
     efforts to cause, from and after such time as the Rights become
     exercisable, all Common Shares reserved for such issuance to be listed on
     such exchange or to be quoted on such system upon official notice of
     issuance upon such exercise.

          (d)  The Company covenants and agrees that it shall prepare and file,
     as soon as possible following the Distribution Date, a registration
     statement under the Securities Act of 1933, as amended (the "Act") with
     respect to the securities purchasable upon exercise of the Rights on an
     appropriate form and shall use its best efforts to cause such registration
     statement (i) to become effective as soon as possible after such filing,
     and (ii) to remain effective (with a prospectus at all times meeting the
     requirements of the Act) until no longer required to do so under the Act
     with respect to securities purchasable upon exercise of the Rights. The
     Company shall also take all such action as may be required or as is
     appropriate under the securities or blue sky laws of such jurisdictions as
     may be necessary or appropriate with respect to the securities purchasable
     upon the exercise of the Rights. The Company may temporarily suspend, for a
     period not to exceed 90 days following the Distribution Date, the
     exercisability of the Rights in order to prepare and file such registration
     statement and permit it to become effective. Upon any such suspension of
     exercisability of Rights referred to in this paragraph, the Company shall
     issue a public announcement stating that the exercisability of the Rights
     has been temporarily suspended, as well as a public announcement at such
     time as the suspension is no longer in effect.

     Notwithstanding any provision in this Agreement to the contrary, the Rights
     shall not be exercisable by a holder in any jurisdiction where the
     requisite qualification to the issuance to such holder, or the exercise by
     such holder of the Rights in such jurisdiction, shall not have been
     obtained or be obtainable, or the exercise thereof shall not be permitted
     under applicable law or a registration statement shall not have been
     declared effective.

     Section 10. COMMON SHARES RECORD DATE. Each Person in whose name any
certificate for Common Shares is issued upon the exercise of Rights shall for
all purposes be deemed to have become the holder of record of the Common Shares
represented thereby on, and such certificate shall be dated, the date upon which
the Right Certificate evidencing such Rights was duly surrendered with the form
of election duly executed and payment of the Purchase Price (and any applicable
transfer taxes) was made; PROVIDED, HOWEVER, that if the date of such surrender
and payment is a date upon which the Common Shares transfer books of the Company
are closed, such person shall be deemed to have become the record holder of such
shares on, and such certificate shall be dated, the next succeeding Business Day
on which the Common Shares transfer books of the Company are open.

     Section 11. ADJUSTMENT OF PURCHASE PRICE, NUMBER OF SHARES OR NUMBER OF
RIGHTS. The Purchase Price, the number of Common Shares that the holder of a
Right Certificate is entitled to purchase on the exercise of the Rights
evidenced thereby, and the number of Rights outstanding are subject to
adjustment from time to time as provided in this Section 11.

                                       10
<Page>

          (a)  (i) In the event the Company shall at any time after the date of
     this Agreement (A) declare a dividend on the Common Shares payable in
     Common Shares, (B) subdivide the outstanding Common Shares, (C) combine the
     outstanding Common Shares into a smaller number of Common Shares or (D)
     issue any shares of its capital stock in a reclassification of the Common
     Shares (including any such reclassification in connection with a
     consolidation or merger in which the Company is the continuing or surviving
     corporation), except as otherwise provided in this Section 11(a), the
     Purchase Price in effect at the time of the record date for such dividend
     or at the effective date of such subdivision, combination or
     reclassification, and the number and kind of shares of capital stock
     issuable on such date, shall be proportionately adjusted so that the holder
     of any Right exercised after such time shall be entitled to receive the
     aggregate number and kind of shares of capital stock that, if such Right
     had been exercised immediately prior to such date and at a time when the
     Common Shares transfer books of the Company were open, such holder would
     have owned upon such exercise and been entitled to receive by virtue of
     such dividend, subdivision, combination or reclassification; PROVIDED,
     HOWEVER, that in no event shall the consideration to be paid on exercise of
     one Right be less than the aggregate par value of the shares of capital
     stock of the Company issuable on exercise of one Right. If an event occurs
     which would require an adjustment under both this Section 11(a)(i) and
     Section 11(a)(ii) hereof, the adjustment provided for in this Section
     11(a)(i) shall be in addition to, and shall be made prior to, any
     adjustment required pursuant to Section 11(a)(ii) hereof. The adjustments
     provided for in this Section 11(a)(i) shall be made successively whenever
     any such event occurs.

          (ii) Subject to Section 23 and 24 of this Agreement, in the event any
     Person shall become an Acquiring Person, proper provision shall be made so
     that each holder of a Right (except as provided below) shall thereafter
     have a right to receive, upon exercise thereof in accordance with Section 7
     hereof at a price equal to the then current Purchase Price multiplied by
     the number of Common Shares for which a Right is then exercisable, in
     accordance with the terms of this Agreement, such number of Common Shares
     as shall equal the result obtained by (A) multiplying the then current
     Purchase Price by the number of Common Shares for which a Right is then
     exercisable and dividing that product by (B) 50% of the then current per
     share market price of the Company's Common Shares (determined pursuant to
     Section 11(d) hereof) on the date such Person became an Acquiring Person
     (such resulting number of shares, the "Adjustment Shares"). Notwithstanding
     the foregoing or anything in this Agreement to the contrary, from and after
     the time any Person becomes an Acquiring Person, any Rights beneficially
     owned by (i) such Acquiring Person or an Associate or Affiliate of such
     Acquiring Person, (ii) a transferee of such Acquiring Person (or of any
     such Associate or Affiliate) who becomes a transferee after the Acquiring
     Person became such, or (iii) a transferee of such Acquiring Person (or of
     any such Associate or Affiliate) who becomes a transferee prior to or
     concurrently with the Acquiring Person becoming such and receives such
     Rights pursuant to either (A) a transfer (whether or not for consideration)
     from the Acquiring Person (or any such Associate or Affiliate) to holders
     of equity interests in such Acquiring Person (or any such Associate or
     Affiliate) or to any person with whom the Acquiring Person (or any such
     Associate or Affiliate) has any continuing agreement, arrangement or
     understanding regarding the transferred Rights or

                                       11
<Page>

     (B) a transfer which the Board of Directors of the Company has determined
     is part of a plan, arrangement or understanding which has as a primary
     purpose or effect the avoidance of this Section 11(a)(ii), shall become
     null and void without any further action and no holder of such Rights shall
     thereafter have any rights whatsoever with respect to such Rights, whether
     under this Agreement (including the right to exercise such Rights under any
     provision of this Agreement) or otherwise. The Company shall use all
     reasonable efforts to insure that the provisions of this Section 11(a)(ii)
     hereof are complied with, but shall have no liability to any holder of
     Right Certificates or other Person as a result of its failure to make any
     determinations with respect to an Acquiring Person or its Affiliates,
     Associates or transferees hereunder. No Right Certificate shall be issued
     pursuant to Section 3 that represents Rights beneficially owned by an
     Acquiring Person (or any Associate or Affiliate of such Acquiring Person)
     or any transferee thereof whose Rights would be void pursuant to the
     preceding sentence; no Right Certificate shall be issued at any time upon
     the transfer of any Rights to an Acquiring Person whose Rights would be
     void pursuant to the preceding sentence or any Associate or Affiliate
     thereof or to any nominee of such Acquiring Person, Associate or Affiliate;
     and any Right Certificate delivered to the Rights Agent for transfer to an
     Acquiring Person or any Associate or Affiliate thereof whose Rights would
     be void pursuant to the preceding sentence shall be canceled.

          (iii) In lieu of issuing Common Shares in accordance with Section
     11(a)(ii) hereof, the Company may, if the Board of Directors of the Company
     determines that such action is necessary or appropriate: (A) determine the
     excess of (1) the value of the Adjustment Shares issuable upon the exercise
     of a Right (the "Current Value") over (2) the Purchase Price (such excess,
     the "Spread") and (B) with respect to each Right (subject to the provisions
     of Section 11(a)(ii) hereof), make adequate provision to substitute for the
     Adjustment Shares, upon exercise of a Right in payment of the applicable
     Purchase Price, cash, a reduction in the Purchase Price, other equity
     securities of the Company (including, without limitation, shares or units
     of shares of preferred stock which the Board of Directors has deemed to
     have the same value as the Common Shares (such shares of preferred stock
     herein called "Common Share Value Equivalents")), debt securities of the
     Company, other assets or any combination of the foregoing, having an
     aggregate value equal to the Current Value, where such aggregate value has
     been determined by the Board of Directors based upon the advice of a
     nationally recognized investment banking firm selected by the Board of
     Directors; PROVIDED, HOWEVER, if the Company shall not have made adequate
     provision to deliver value pursuant to clause (B) within 30 days following
     the later of (x) the date on which any Person shall have become an
     Acquiring Person and (y) the date on which the Company's right of
     redemption pursuant to Section 23(a) hereof expires (the later of (x) or
     (y) being referred to herein as the "Section 11(a)(iii) Trigger Date"),
     then the Company shall be obligated to deliver, upon surrender for exercise
     of a Right and without requiring payment of the Purchase Price, Common
     Shares (to the extent available, unless the Company has not obtained the
     necessary stockholder or regulatory approval) and then, if necessary, cash,
     which shares and cash would have an aggregate value equal to the Spread. If
     the Board of Directors of the Company shall determine in good faith that it
     is likely that sufficient additional Common Shares could be authorized for
     issuance upon exercise in full of the Rights or that any necessary
     regulatory approval for such issuance will be obtained, the thirty (30) day
     period set forth above may be extended to the extent necessary, but not

                                       12
<Page>

     more than ninety (90) days after the Section 11(a)(iii) Trigger Date, in
     order that the Company may seek shareholder approval for the authorization
     of such additional shares or take action to obtain such regulatory approval
     (such period, as it may be extended, the "Substitution Period"). To the
     extent that the Company determines that some action need be taken pursuant
     to the first or second sentences of this Section 11(a)(iii), the Company
     (x) shall provide, subject to Section 11(a)(ii) hereof and the last
     sentence of this Section 11(a)(iii), that such action shall apply uniformly
     to all outstanding Rights and (y) may suspend the exercisability of the
     Rights until the expiration of the Substitution Period in order to seek any
     authorization of additional shares, to take any action to obtain any
     required regulatory approval or to decide the appropriate form of
     distribution to be made pursuant to such first sentence and to determine
     the value thereof. In the event of any such suspension, the Company shall
     issue a public announcement stating that the exercisability of the Rights
     has been temporarily suspended, as well as a public announcement at such
     time as the suspension is no longer in effect. For purposes of this Section
     11(a)(iii), the value of the Common Shares shall be the current per share
     market price (as determined pursuant to Section 11(d) hereof) of the Common
     Shares on the Section 11(a)(iii) Trigger Date and the value of any "Common
     Share Value Equivalent" shall be deemed to have the same value as the
     Common Shares on such date. The Board of Directors of the Company may, but
     shall not be required to, establish procedures to allocate the right to
     receive Common Shares upon the exercise of the Rights among holders of
     Rights pursuant to this Section 11(a)(iii).

          (b)  In case the Company shall fix a record date for the issuance of
     rights, options or warrants to all holders of Common Shares entitling them
     (for a period expiring within 45 calendar days after such record date) to
     subscribe for or purchase Common Shares or shares having substantially the
     same rights, privileges and preferences as Common Shares ("Equivalent
     Common Shares") or securities convertible into or exercisable for Common
     Shares or Equivalent Common Shares at a price per Common Share or per
     Equivalent Common Share (or having a conversion or exercise price per
     share, if a security convertible into or exercisable for Common Shares or
     Equivalent Common Shares) less than the then current per share market price
     of the Common Shares (as defined in Section 11(d)) on such record date, the
     Purchase Price to be in effect after such record date shall be determined
     by multiplying the Purchase Price in effect immediately prior to such
     record date by a fraction, the numerator of which shall be the number of
     Common Shares outstanding on such record date plus the number of Common
     Shares which the aggregate offering price of the total number of Common
     Shares and/or Equivalent Common Shares so to be offered (and/or the
     aggregate initial conversion or exercise price of the convertible or
     exercisable securities so to be offered) would purchase at such current
     market price and the denominator of which shall be the number of Common
     Shares outstanding on such record date plus the number of additional Common
     Shares and/or Equivalent Common Shares to be offered for subscription or
     purchase (or into which the convertible or exercisable securities so to be
     offered are initially convertible or exercisable); PROVIDED, HOWEVER, that
     in no event shall the consideration to be paid on exercise of one Right be
     less than the aggregate par value of the shares of capital stock of the
     Company issuable on exercise of one Right. In case such subscription price
     may be paid in a consideration part or all of which shall be in a form
     other than cash, the value of such consideration shall be as determined in
     good faith by the Board of Directors of the Company, whose determination
     shall be described in a statement filed

                                       13
<Page>

     with the Rights Agent and shall be conclusive and binding on the Rights
     Agent and the holders of Rights. Common Shares owned by or held for the
     account of the Company shall not be deemed outstanding for the purpose of
     any such computation. Such adjustments shall be made successively whenever
     such a record date is fixed; and in the event that such rights, options or
     warrants are not so issued, the Purchase Price shall be adjusted to be the
     Purchase Price that would then be in effect if such record date had not
     been fixed.

          (c)  In case the Company shall fix a record date for the making of a
     distribution to all holders of the Common Shares (including any such
     distribution made in connection with a consolidation or merger in which the
     Company is the continuing or surviving corporation) of evidences of
     indebtedness or assets (other than a regular quarterly cash dividend paid
     out of earnings or retained earnings or a dividend payable in Common
     Shares) or subscription rights or warrants (excluding those referred to in
     Section 11(b) hereof), the Purchase Price to be in effect after such record
     date shall be determined by multiplying the Purchase Price in effect
     immediately prior to such record date by a fraction, the numerator of which
     shall be the then current per share market price of the Common Shares on
     such record date (determined pursuant to Section 11(d)), less the fair
     market value (as determined in good faith by the Board of Directors of the
     Company, whose determination shall be described in a statement filed with
     the Rights Agent and shall be conclusive and binding on the Rights Agent
     and the holders of the Rights) of the portion of the assets or evidences of
     indebtedness so to be distributed or of such subscription rights or
     warrants applicable to one Common Share and the denominator of which shall
     be such current per share market price of the Common Shares; PROVIDED,
     HOWEVER, that in no event shall the consideration to be paid on exercise of
     one Right be less than the aggregate par value of the shares of capital
     stock of the Company issuable on exercise of one Right. Such adjustments
     shall be made successively whenever such a record date is fixed; and in the
     event that such distribution is not so made, the Purchase Price shall again
     be adjusted to be the Purchase Price which would then be in effect if such
     record date had not been fixed.

          (d)  For the purpose of any computation hereunder, the "current per
     share market price" of the Common Shares on any date shall be deemed to be
     the average of the daily closing prices per share of such Common Shares for
     the 30 consecutive Trading Days immediately prior to, but not including,
     such date; PROVIDED, HOWEVER, that in the event that the current per share
     market price of the Common Shares is determined during a period following
     the announcement by the Company of (A) a dividend or distribution on such
     Common Shares payable in Common Shares or securities convertible into
     Common Shares, or (B) any subdivision, combination or reclassification of
     the Common Shares and prior to the expiration of 30 Trading Days after the
     ex-dividend date for such dividend or distribution, or the record date for
     such subdivision, combination or reclassification, then, and in each such
     case, the current per share market price shall be appropriately adjusted to
     reflect the current market price per share equivalent of Common Shares
     taking into account ex-dividend trading. The closing price for each day
     shall be the last sale price, regular way, or, in case no such sale takes
     place on such day, the average of the closing bid and asked prices, regular
     way, in either case as reported in the principal consolidated transaction
     reporting system with respect to securities listed or admitted to trading
     on the New York Stock Exchange or, if the Common Shares are not listed or
     admitted to trading on the New

                                       14
<Page>

     York Stock Exchange, as reported in the principal consolidated transaction
     reporting system with respect to securities listed on the principal
     national securities exchange on which the Common Shares are listed or
     admitted to trading or, if the Common Shares are not listed or admitted to
     trading on any national securities exchange, the last quoted price, or if
     not so quoted, the average of the high bid and low asked prices in the
     over-the-counter market, as reported by the National Association of
     Securities Dealers, Inc. Automated Quotations System ("NASDAQ") or such
     other system then in use or, if on any such date the Common Shares are not
     quoted by any such organization, the average of the closing bid and asked
     prices as furnished by a professional market maker making a market in the
     Common Shares selected by the Board of Directors of the Company. If the
     Common Shares are not publicly held or so listed or traded, and no market
     maker is making, or has made during the relevant period, a market in the
     Common Shares, "current per share market price" shall mean the fair value
     per share as determined in good faith by the Board of Directors of the
     Company, whose determination shall be described in a statement filed with
     the Rights Agent. The term "Trading Day" shall mean a day on which the
     NASDAQ National Market or the principal national securities exchange on
     which the Common Shares are listed or admitted to trading is open for the
     transaction of business or, if the Common Shares are not listed or admitted
     to trading on the NASDAQ National Market or any national securities
     exchange, a Business Day.

          (e)  No adjustment in the Purchase Price shall be required unless such
     adjustment would require an increase or decrease of at least 1% in the
     Purchase Price; PROVIDED, HOWEVER, that any adjustments that by reason of
     this Section 11(e) are not required to be made shall be carried forward and
     taken into account in any subsequent adjustment. All calculations under
     this Section 11 shall be made to the nearest cent or to the nearest one
     ten-thousandth interest in a Common Share. Notwithstanding the first
     sentence of this Section 11(e), any adjustment required by this Section 11
     shall be made no later than the earlier of (i) three years from the date of
     the transaction that requires such adjustment or (ii) the date of the
     expiration of the right to exercise any Rights.

          (f)  If as a result of an adjustment made pursuant to Section 11(a) or
     Section 13(a) hereof, the holder of any Right thereafter exercised shall
     become entitled to receive any shares of capital stock of the Company other
     than Common Shares, thereafter the number of such other shares so
     receivable upon exercise of any Right shall be subject to adjustment from
     time to time in a manner and on terms as nearly equivalent as practicable
     to the provisions of this Section 11 with respect to the Common Shares and
     the provisions of Sections 7, 9, 10, 12, 13 and 14 with respect to the
     Common Shares shall apply on like terms to any such other shares.

          (g)  All Rights originally issued by the Company subsequent to any
     adjustment made to the Purchase Price hereunder shall evidence the right to
     purchase, at the adjusted Purchase Price, the number of Common Shares
     purchasable from time to time hereunder upon exercise of the Rights, all
     subject to further adjustment as provided herein.

          (h)  Unless the Company shall have exercised its election as provided
     in Section 11(i), upon each adjustment of the Purchase Price as a result of
     the calculations made in

                                       15
<Page>

     Sections 11(b) and (c), each Right outstanding immediately prior to the
     making of such adjustment shall thereafter evidence the right to purchase,
     at the adjusted Purchase Price, that number of Common Shares (calculated to
     the nearest one one-thousandth of a Common Share) obtained by (i)
     multiplying (A) the number of Common Shares covered by a Right immediately
     prior to such adjustment by (B) the Purchase Price in effect immediately
     prior to such adjustment of the Purchase Price and (ii) dividing the
     product so obtained by the Purchase Price in effect immediately after such
     adjustment of the Purchase Price. The adjustments provided for in this
     Section 11(h) shall be made successively whenever any such event occurs.

          (i)  The Company may elect on or after the date of any adjustment of
     the Purchase Price to adjust the number of Rights, in substitution for any
     adjustment in the number of Common Shares purchasable upon the exercise of
     a Right. Each of the Rights outstanding after such adjustment of the number
     of Rights shall be exercisable for the number of Common Shares for which a
     Right was exercisable immediately prior to such adjustment. Each Right held
     of record prior to such adjustment of the number of Rights shall become
     that number of Rights (calculated to the nearest one one-thousandth)
     obtained by dividing the Purchase Price in effect immediately prior to
     adjustment of the Purchase Price by the Purchase Price in effect
     immediately after adjustment of the Purchase Price. The Company shall make
     a public announcement of its election, if any, to adjust the number of
     Rights, indicating the record date for the adjustment and, if known at the
     time, the amount of the adjustment to be made. Such record date may be the
     date on which the Purchase Price is adjusted or any date thereafter, but,
     if the Right Certificates have been issued, shall be at least 10 days later
     than the date of the public announcement. If Right Certificates have been
     issued, upon each adjustment of the number of Rights pursuant to this
     Section 11(i), the Company shall, as promptly as practicable, cause to be
     distributed to holders of record of Right Certificates on such record date
     Right Certificates evidencing, subject to Section 14 hereof, the additional
     Rights to which such holders shall be entitled as a result of such
     adjustment, or, at the option of the Company, shall cause to be distributed
     to such holders of record in substitution and replacement for the Right
     Certificates held by such holders prior to the date of adjustment, and upon
     surrender thereof, if required by the Company, new Right Certificates
     evidencing all the Rights to which such holders shall be entitled after
     such adjustment. Right Certificates so to be distributed shall be issued,
     executed and countersigned in the manner provided for herein and shall be
     registered in the names of the holders of record of Right Certificates on
     the record date specified in the public announcement.

          (j)  Irrespective of any adjustment or change in the Purchase Price or
     the number of Common Shares issuable upon the exercise of the Rights, the
     Right Certificates theretofore and thereafter issued may continue to
     express the Purchase Price and the number of Common Shares which were
     expressed in the initial Right Certificates issued hereunder.

          (k)  Before taking any action that would cause an adjustment reducing
     the Purchase Price below the then par value, if any, of the Common Shares
     issuable upon exercise of the Rights, the Company shall take any corporate
     action that may, in the opinion

                                       16
<Page>

     of its counsel, be necessary in order that the Company may validly and
     legally issue fully paid and nonassessable Common Shares at such adjusted
     Purchase Price.

          (l)  In any case in which this Section 11 shall require that an
     adjustment in the Purchase Price be made effective as of a record date for
     a specified event, the Company may elect to defer until the occurrence of
     such event the issuance to the holder of any Right exercised after such
     record date of the Common Shares and other capital stock or securities of
     the Company, if any, issuable upon such exercise over and above the Common
     Shares and other capital stock or securities of the Company, if any,
     issuable upon such exercise on the basis of the Purchase Price in effect
     prior to such adjustment; PROVIDED, HOWEVER, that the Company shall deliver
     to such holder a due bill or other appropriate instrument evidencing such
     holder's right to receive such additional shares upon the occurrence of the
     event requiring such adjustment.

          (m)  Anything in this Section 11 to the contrary notwithstanding, the
     Company shall be entitled to make such reductions in the Purchase Price, in
     addition to those adjustments expressly required by this Section 11, as and
     to the extent that the Company in its sole discretion shall determine to be
     advisable in order that any consolidation or subdivision of the Common
     Shares, issuance wholly for cash of any Common Shares at less than the
     current market price, issuance wholly for cash of Common Shares or
     securities that by their terms are convertible into or exchangeable for
     Common Shares, dividends on Common Shares payable in Common Shares or
     issuance of rights, options or warrants referred to in Section 11(b)
     hereafter made by the Company to holders of Common Shares shall not be
     taxable to such shareholders.

          (n)  The Company covenants and agrees that it shall not, at any time
     after the Distribution Date, (i) consolidate with any other Person (other
     than a Subsidiary of the Company in a transaction that complies with
     Section 11(o) hereof), (ii) merge with or into any other Person (other than
     a Subsidiary of the Company in a transaction that complies with Section
     11(o) hereof), (iii) effect a share exchange with any other Person or
     conversion of the Company into another entity (other than with a Subsidiary
     of the Company in a transaction that complies with Section 11(o) hereof),
     or (iv) sell or transfer (or permit any Subsidiary to sell or transfer), in
     one transaction or series of related transactions, assets or earning power
     aggregating more than 50% of the assets or earning power of the Company and
     its Subsidiaries (taken as a whole) to any other Person or Persons (other
     than the Company and/or any of its Subsidiaries in one or more
     transactions, each of which complies with Section 11(o) hereof), if, (x) at
     the time of or immediately after such consolidation, merger, exchange,
     conversion or sale, there are any rights, warrants or other instruments or
     securities outstanding or agreements in effect that would materially
     diminish or otherwise eliminate the benefits intended to be afforded by the
     Rights, or (y) prior to, simultaneously with or immediately after such
     consolidation, merger, exchange or sale, the shareholders of the Person who
     constitutes, or would constitute, the "Principal Party" for purposes of
     Section 13(a) hereof shall have received a distribution of Rights
     previously owned by such Person or any of its Affiliates and Associates;
     PROVIDED HOWEVER, that this Section 11(n) shall not affect the ability of
     any Subsidiary of the Company to consolidate with,

                                       17
<Page>

     merge with or into, or sell or transfer assets or earning power to, any
     Subsidiary of the Company.

          (o)  The Company covenants and agrees that, after the Distribution
     Date, it will not, except as permitted by Section 23, Section 24 or Section
     27 hereof, take (or permit any Subsidiary to take) any action if, at the
     time such action is taken, it is reasonably foreseeable that such action
     will diminish in any material manner or otherwise eliminate the benefits
     intended to be afforded by the Rights.

     Section 12. CERTIFICATE OF ADJUSTED PURCHASE PRICE OR NUMBER OF SHARES.
Whenever an adjustment is made as provided in Sections 11 or 13 hereof, the
Company shall promptly (a) prepare a certificate setting forth such adjustment
and a brief statement of the facts accounting for such adjustment, (b) file with
the Rights Agent and with each transfer agent for the Common Shares a copy of
such certificate and (c) if a Distribution Date has occurred, mail a brief
summary thereof to each holder of a Right Certificate in accordance with Section
26 hereof.

     Section 13. CONSOLIDATION, MERGER OR SALE OR TRANSFER OF ASSETS OR EARNING
POWER.

          (a)  If, on or following the Shares Acquisition Date, directly or
     indirectly, (i) the Company shall consolidate with, merge with and into, or
     effect a share exchange or conversion with or into any Person (other than a
     Subsidiary of the Company in a transaction that complies with Section 11(o)
     hereof), (ii) any Person (other than a Subsidiary of the Company in a
     transaction that complies with Section 11(o) hereof) shall consolidate
     with, or merge with or into, the Company or effect a share exchange or
     conversion with or into the Company, the Company shall be the continuing or
     surviving corporation in such transaction and, in connection with such
     transaction, all or part of the outstanding Common Shares shall be changed
     into or exchanged for stock or other securities of any Person (including
     the Company) or cash or any other property, or (iii) the Company shall sell
     or otherwise transfer (or one or more of its Subsidiaries shall sell or
     otherwise transfer), in one or more transactions, assets or earning power
     aggregating 50% or more of the assets or earning power of the Company and
     its Subsidiaries (taken as a whole) to any Person or Persons (other than
     the Company or one or more of its wholly owned Subsidiaries in a
     transaction that complies with Section 11(o) hereof), then, and in each
     such case, proper provision shall be made so that (i) each holder of a
     Right (except as otherwise provided herein) shall thereafter have the right
     to receive, upon the exercise thereof at a price equal to the then current
     Purchase Price multiplied by the number of Common Shares for which a Right
     is then exercisable, in accordance with the terms of this Agreement and in
     lieu of Common Shares, such number of validly authorized and issued, fully
     paid and non-assessable Common Shares of the Principal Party (as defined in
     Section 13(b) hereof, which shares shall not be subject to any liens,
     encumbrances, rights of first refusal, transfer restrictions or other
     adverse claims) as shall equal the result obtained by (A) multiplying the
     then current Purchase Price by the number of Common Shares for which a
     Right is then exercisable and dividing that product by (B) 50% of the then
     current per share market price of the Common Shares of the Principal Party
     (determined pursuant to Section 11(d) hereof) on the date of consummation
     of such transaction; (ii) the Principal Party shall thereafter be liable
     for, and

                                       18
<Page>

     shall assume, by virtue of such transaction, all the obligations and duties
     of the Company pursuant to this Agreement; (iii) the term "Company", as
     used in this Agreement, shall thereafter be deemed to mean the Principal
     Party; and (iv) such Principal Party shall take such steps (including, but
     not limited to, the reservation of a sufficient number of its Common Shares
     in accordance with this Agreement) in connection with such consummation as
     may be necessary to assure that the provisions hereof shall thereafter be
     applicable, as nearly as reasonably may be, in relation to the Common
     Shares of the Principal Party thereafter deliverable upon the exercise of
     the Rights. The Company shall not consummate any such transaction unless
     the Principal Party shall have a sufficient number of authorized Common
     Shares that have not been issued or reserved for issuance to permit the
     exercise in full of the Rights in accordance with this Section 13 and
     unless prior thereto the Company and the Principal Party shall have
     executed and delivered to the Rights Agent a supplemental agreement so
     providing and further providing that, immediately after the date of any
     such transaction mentioned in this paragraph (a) of this Section 13, the
     Principal Party at its own expense will (i) prepare and file a registration
     statement under the Act with respect to the Rights and the securities
     purchasable upon exercise of the Rights on an appropriate form and will use
     its best efforts to cause such registration statement (A) to become
     effective as soon as possible after such filing and (B) to remain effective
     (with a prospectus at all times meeting the requirements of the Act) until
     no longer required under the Act with respect to securities purchasable
     upon exercise of the Rights; and (ii) use its best efforts to qualify or
     register the Rights and the securities purchasable upon exercise of the
     Rights, and take all such other action as may be required or as is
     appropriate, under the securities or blue sky laws of such jurisdictions as
     may be necessary or appropriate. On or after the Shares Acquisition Date,
     the Company shall not enter into any transaction of the kind referred to in
     this Section 13 if at the time of such transaction there are any rights,
     warrants, instruments or securities outstanding or any agreements or
     arrangements that, as a result of the consummation of such transaction,
     would eliminate or substantially diminish the benefits intended to be
     afforded by the Rights (except as permitted by Section 23, Section 24 or
     Section 27 hereof). The provisions of this Section 13 shall similarly apply
     to successive mergers, consolidations, exchanges, conversions, sales or
     other transfers.

          (b)  "Principal Party" shall mean (i) in the case of any transaction
     described in clause (i) or (ii) of the first sentence of Section 13(a), the
     Person that is the issuer of any securities into which Common Shares are
     converted in such transaction or, if there is more than one such issuer,
     the issuer of Common Shares that has the highest aggregate current per
     share market price (determined pursuant to Section 11(d)), and if no
     securities are so issued, the Person that is the other party to the
     transaction; and (ii) in the case of any transaction described in clause
     (iii) of the first sentence in Section 13(a), the Person that is the party
     receiving the greatest portion of the assets or earning power transferred
     pursuant to such transaction or transactions, or, if each Person that is a
     party to such transaction or transactions receives the same portion of the
     assets or earning power transferred pursuant to such transaction or
     transactions or if the Person receiving the greatest portion of the assets
     or earning power cannot be determined, that Person the Common Shares of
     which has the highest aggregate current per share market price (determined
     pursuant to Section 11(d)); PROVIDED, HOWEVER, that in any such case, (1)
     if the securities of such Person are not at such time or have not been
     continuously over the preceding 12-month period registered

                                       19
<Page>

     under Section 12 of the Exchange Act, and such Person is a direct or
     indirect Subsidiary of another Person the securities of which are and have
     been so registered, "Principal Party" shall mean such other Person; (2) in
     case such Person is a Subsidiary, directly or indirectly, of more than one
     other Person, the securities of two or more of which are and have been so
     registered, "Principal Party" shall mean whichever of such other Persons is
     the issuer of the securities so registered having the greatest aggregate
     market value; and (3) in case such Person is owned, directly or indirectly,
     by a joint venture formed by two or more other Persons that are not owned,
     directly or indirectly, by the same Person, the rules set forth in (1) and
     (2) above shall apply to each of the chains of ownership having an interest
     in such joint venture as if such Person were a "Subsidiary" of both or all
     of such other Persons and the Principal Parties in each such chain shall
     bear the obligations set forth in this Section 13 in the same ratio as
     their direct and indirect interests in such Person bear to the total of
     such interests.

     Section 14. FRACTIONAL RIGHTS AND FRACTIONAL SHARES.

          (a)  The Company shall not be required to issue fractions of Rights or
     to distribute Right Certificates that evidence fractional Rights. In lieu
     of such fractional Rights, there shall be paid to the registered holders of
     the Right Certificates with regard to which such fractional Rights would
     otherwise be issuable, an amount in cash equal to the same fraction of the
     current market value of a whole Right. For purposes of this Section 14(a),
     the current market value of a whole Right shall be the closing price of the
     Rights for the Trading Day immediately prior to the date on which such
     fractional Rights would otherwise be issuable. The closing price for any
     day shall be the last sale price, regular way, or, in case no such sale
     takes place on such day, the average of the closing bid and asked prices,
     regular way, in either case as reported in the principal consolidated
     transaction reporting system with respect to securities listed or admitted
     to trading on the New York Stock Exchange or, if the Rights are not listed
     or admitted to trading on the New York Stock Exchange, as reported in the
     principal consolidated transaction reporting system with respect to
     securities listed on the principal national securities exchange on which
     the Rights are listed or admitted to trading or, if the Rights are not
     listed or admitted to trading on any national securities exchange, the last
     quoted price or, if not so quoted, the average of the high bid and low
     asked prices in the over-the-counter market, as reported by NASDAQ or such
     other system then in use or, if on any such date the Rights are not quoted
     by any such organization, the average of the closing bid and asked prices
     as furnished by a professional market maker making a market in the Rights
     selected by the Board of Directors of the Company. If on any such date no
     such market maker is making a market in the Rights, the fair value of the
     Rights on such date as determined in good faith by the Board of Directors
     of the Company shall be used to determine the current market value of a
     Right for purposes of this Section 14(a). Notwithstanding anything in this
     Section 14(a) to the contrary, prior to the Distribution Date, the current
     market value of the Rights for purposes of this Section 14(a) shall be
     deemed to be zero.

          (b)  The Company shall not be required to issue fractional interests
     in Common Shares upon exercise of the Rights or to distribute certificates
     which evidence fractional interests in Common Shares. In lieu of fractional
     interests in Common Shares, the Company

                                       20
<Page>

     shall pay to the registered holders of Right Certificates at the time such
     Rights are exercised as herein provided an amount in cash equal to the same
     fraction of the current market value of one Common Share. For purposes of
     this Section 14(b), the current market value of a Common Share shall be the
     closing price of a Common Share (as determined pursuant to the second and
     third sentences of Section 11(d) hereof) for the Trading Day immediately
     prior to the date of such exercise.

          (c)  The holder of a Right by the acceptance of the Right expressly
     waives his right to receive any fractional Rights or any fractional shares
     upon exercise of a Right (except as provided above).

     Section 15. RIGHTS OF ACTION. All rights of action in respect of this
Agreement, excepting the rights of action given to the Rights Agent under
Section 18 and Section 20 hereof, are vested in the respective registered
holders of the Right Certificates (and, prior to the Distribution Date, the
registered holders of the Common Shares of the Company); and any registered
holder of any Right Certificate (or, prior to the Distribution Date, of the
Common Shares of the Company), without the consent of the Rights Agent or of the
holder of any other Right Certificate (or, prior to the Distribution Date, of
the Common Shares of the Company), may, in his own behalf and for his own
benefit, enforce, and may institute and maintain any suit, action or proceeding
against the Company to enforce, or otherwise act in respect of, such holder's
right to exercise the Rights evidenced by such Right Certificate in the manner
provided in such Right Certificate and in this Agreement. Without limiting the
foregoing or any remedies available to the holders of Rights, it is specifically
acknowledged that the holders of Rights would not have an adequate remedy at law
for any breach of this Agreement and will be entitled to specific performance of
the obligations under, and injunctive relief against actual or threatened
violations of the obligations of any Person subject to, this Agreement.

     Section 16. AGREEMENT OF RIGHT HOLDERS. Every holder of a Right, by
accepting the same, consents and agrees with the Company and the Rights Agent
and with every other holder of a Right that:

          (a)  prior to the Distribution Date, the Rights will be transferable
     only in connection with the transfer of the Common Shares of the Company;

          (b)  after the Distribution Date, the Right Certificates are
     transferable only on the registry books of the Rights Agent if surrendered
     at the principal office or offices of the Rights Agent designated for such
     purpose, duly endorsed or accompanied by a proper instrument of transfer;
     and

          (c)  the Company and the Rights Agent may deem and treat the Person in
     whose name any Right Certificate (or, prior to the Distribution Date, the
     associated Common Shares certificate) is registered as the absolute owner
     thereof and of the Rights evidenced thereby (notwithstanding any notations
     of ownership or writing on the Right Certificates or the associated Common
     Shares certificate made by anyone other than the Company or the Rights
     Agent) for all purposes whatsoever, and neither the Company nor the Rights
     Agent shall be affected by any notice to the contrary.

                                       21
<Page>

          (d)  notwithstanding anything in this Agreement to the contrary,
     neither the Company nor the Rights Agent shall have any liability to any
     holder of a Right or a beneficial interest in a Right or other Person as a
     result of its inability to perform any of its obligations under this
     Agreement by reason of any preliminary or permanent injunction or other
     order, decree, judgment or ruling issued by a court of competent
     jurisdiction or by a governmental, regulatory or administrative agency or
     commission, or any statute, rule, regulation or executive order promulgated
     or enacted by any governmental authority, prohibiting or otherwise
     restraining performance of such obligation; PROVIDED, HOWEVER, that the
     Company must use its best efforts to have any such order, decree, judgment
     or ruling lifted or otherwise overturned as soon as possible.

     Section 17. RIGHT CERTIFICATE HOLDER NOT DEEMED A SHAREHOLDER. No holder,
as such, of any Right Certificate shall be entitled to vote, receive dividends
or be deemed for any purpose the holder of the Common Shares or interests
therein or any other securities of the Company that may at any time be issuable
on the exercise of the Rights represented thereby, nor shall anything contained
herein or in any Right Certificate be construed to confer upon the holder of any
Right Certificate, as such, any of the rights of a shareholder of the Company or
any right to vote for the election of directors or upon any matter submitted to
shareholders at any meeting thereof, or to give or withhold consent to any
corporate action, or to receive notice of meetings or other actions affecting
shareholders (except as provided in Section 25 hereof), or to receive dividends
or subscription rights, or otherwise, until the Right or Rights evidenced by
such Right Certificate shall have been exercised in accordance with the
provisions hereof.

     Section 18. CONCERNING THE RIGHTS AGENT. The Company agrees to pay to the
Rights Agent reasonable compensation for all services rendered by it hereunder
and, from time to time, on demand of the Rights Agent, its reasonable expenses
and counsel fees and other disbursements incurred in the administration and
execution of this Agreement and the exercise and performance of its duties
hereunder. The Company also agrees to indemnify the Rights Agent for, and to
hold it harmless against, any loss, liability, or expense, incurred without
negligence, bad faith or willful misconduct on the part of the Rights Agent, for
anything done or omitted by the Rights Agent in connection with the acceptance
and administration of this Agreement, including the costs and expenses of
defending against any claim of liability in the premises.

     The Rights Agent shall be protected and shall incur no liability for, or in
respect of any action taken, suffered or omitted by it in connection with, its
administration of this Agreement in reliance upon any Right Certificate or
certificate for the Common Shares or for other securities of the Company,
instrument of assignment or transfer, power of attorney, endorsement, affidavit,
letter, notice, direction, consent, certificate, statement, or other paper or
document believed by it to be genuine and to be signed, executed and, where
necessary, verified or acknowledged, by the proper Person or Persons, or
otherwise upon the advice of counsel as set forth in Section 20 hereof.

     Section 19. MERGER OR CONSOLIDATION OR CHANGE OF NAME OF RIGHTS AGENT. Any
corporation into which the Rights Agent or any successor Rights Agent may be
merged or with which it may be consolidated, or any corporation resulting from
any merger or consolidation to which the Rights Agent or any successor Rights
Agent shall be a party, or any

                                       22
<Page>

corporation succeeding to the stock transfer or corporate trust business of the
Rights Agent or any successor Rights Agent, shall be the successor to the Rights
Agent under this Agreement without the execution or filing of any paper or any
further act on the part of any of the parties hereto, provided that such
corporation would be eligible for appointment as a successor Rights Agent under
the provisions of Section 21 hereof. In case, at the time such successor Rights
Agent shall succeed to the agency created by this Agreement, any of the Right
Certificates shall have been countersigned but not delivered, any such successor
Rights Agent may adopt the countersignature of the predecessor Rights Agent and
deliver such Right Certificates so countersigned; and in case at that time any
of the Right Certificates shall not have been countersigned, any successor
Rights Agent may countersign such Right Certificates either in the name of the
predecessor Rights Agent or in the name of the successor Rights Agent; and in
all such cases such Right Certificates shall have the full force provided in the
Right Certificates and in this Agreement.

     In case at any time the name of the Rights Agent shall be changed and at
such time any of the Right Certificates shall have been countersigned but not
delivered, the Rights Agent may adopt the countersignature under its prior name
and deliver Right Certificates so countersigned, and in case at that time any of
the Right Certificates shall not have been countersigned, the Rights Agent may
countersign such Right Certificates either in its prior name or in its changed
name; and in all such cases such Right Certificates shall have the full force
provided in the Right Certificates and in this Agreement.

     Section 20. DUTIES OF RIGHTS AGENT. The Rights Agent undertakes the duties
and obligations imposed by this Agreement upon the following terms and
conditions, by all of which the Company and the holders of Right Certificates,
by their acceptance thereof, shall be bound:

          (a)  The Rights Agent may consult with legal counsel (who may be legal
     counsel for the Company), and the opinion of such counsel shall be full and
     complete authorization and protection to the Rights Agent as to any action
     taken or omitted by it in good faith and in accordance with such opinion.

          (b)  Whenever in the performance of its duties under this Agreement
     the Rights Agent shall deem it necessary or desirable that any fact or
     matter be proved or established by the Company prior to taking or suffering
     any action hereunder, such fact or matter (unless other evidence in respect
     thereof be herein specifically prescribed) may be deemed to be conclusively
     proved and established by a certificate signed by any one of the Chairman
     of the Board of Directors, President, any Vice President, the Secretary or
     the Treasurer of the Company and delivered to the Rights Agent; and such
     certificate shall be full authorization to the Rights Agent for any action
     taken or suffered in good faith by it under the provisions of this
     Agreement in reliance upon such certificate.

          (c)  The Rights Agent shall be liable hereunder to the Company and any
     other Person only for the Rights Agent's own negligence, bad faith or
     willful misconduct.

          (d)  The Rights Agent shall not be liable for or by reason of any of
     the statements of fact or recitals contained in this Agreement or in the
     Right Certificates (except its

                                       23
<Page>

     countersignature thereof) or be required to verify the same, but all such
     statements and recitals are and shall be deemed to have been made by the
     Company only.

          (e)  The Rights Agent shall not be under any responsibility in respect
     of the validity of this Agreement or the execution and delivery hereof
     (except the due execution hereof by the Rights Agent) or in respect of the
     validity or execution of any Right Certificate (except its countersignature
     thereof); nor shall it be responsible for any breach by the Company of any
     covenant or condition contained in this Agreement or in any Right
     Certificate; nor shall it be responsible for any change in the
     exercisability of the Rights (including any Rights that become void
     pursuant to Section 11(a)(ii) hereof) or any adjustment in the terms of the
     Rights (including the manner, method or amount thereof) provided for in
     Sections 3, 11, 13, 23 or 24 hereof, or the ascertaining of the existence
     of facts that would require any such change or adjustment (except with
     respect to the exercise of Rights evidenced by Right Certificates after
     actual notice that such change or adjustment is required); nor shall it by
     any act hereunder be deemed to make any representation or warranty as to
     the authorization or reservation of any Common Shares to be issued pursuant
     to this Agreement or any Right Certificate or as to whether any Common
     Shares will, when issued, be validly authorized and issued, fully paid and
     nonassessable.

          (f)  The Company agrees that it will perform, execute, acknowledge and
     deliver or cause to be performed, executed, acknowledged and delivered all
     such further and other acts, instruments and assurances as may reasonably
     be required by the Rights Agent for the carrying out or performing by the
     Rights Agent of the provisions of this Agreement.

          (g)  The Rights Agent is hereby authorized and directed to accept
     instructions with respect to the performance of its duties hereunder from
     any one of the Chairman of the Board of Directors, Chief Executive Officer,
     President, any Vice President, the Secretary or the Treasurer of the
     Company, and to apply to such officers for advice or instructions in
     connection with its duties, and it shall not be liable for any action taken
     or suffered by it in good faith in accordance with instructions of any such
     officer or for any delay in acting while waiting for those instructions.

          (h)  The Rights Agent and any shareholder, director, officer or
     employee of the Rights Agent may buy, sell or deal in any of the Rights or
     other securities of the Company or become pecuniarily interested in any
     transaction in which the Company may be interested, or contract with or
     lend money to the Company or otherwise act as fully and freely as though it
     were not Rights Agent under this Agreement. Nothing herein shall preclude
     the Rights Agent from acting in any other capacity for the Company
     (including, without limitation, acting as transfer agent for the Common
     Shares of the Company) or for any other legal entity.

          (i)  The Rights Agent may execute and exercise any of the rights or
     powers hereby vested in it or perform any duty hereunder either itself or
     by or through its attorneys or agents, and the Rights Agent shall not be
     answerable or accountable for any act, default, neglect or misconduct of
     any such attorneys or agents or for any loss to the Company

                                       24
<Page>

     resulting from any such act, default, neglect or misconduct, provided
     reasonable care was exercised in the selection and continued employment
     thereof.

          (j)  If, with respect to any Right Certificate surrendered to the
     Rights Agent for exercise or transfer, the certificate attached to the form
     of assignment or form of election to purchase, as the case may be, has not
     been executed, the Rights Agent shall not take any further action with
     respect to such requested exercise or transfer without first consulting
     with the Company.

     Section 21. CHANGE OF RIGHTS AGENT. The Rights Agent or any successor
Rights Agent may resign and be discharged from its duties under this Agreement
upon 30 days' notice in writing mailed to the Company and to each transfer agent
of the Common Shares by registered or certified mail, and, if such resignation
occurs after the Distribution Date, to the holders of the Right Certificates by
first-class mail. The Company may remove the Rights Agent or any successor
Rights Agent upon 30 days' notice in writing, mailed to the Rights Agent or
successor Rights Agent, as the case may be, and to each transfer agent of the
Common Shares by registered or certified mail, and, if such removal occurs after
the Distribution Date, to the holders of the Right Certificates by first-class
mail. If the Rights Agent shall resign or be removed or shall otherwise become
incapable of acting, the Company shall appoint a successor to the Rights Agent.
If the Company shall fail to make such appointment within a period of 30 days
after giving notice of such removal or after it has been notified in writing of
such resignation or incapacity by the resigning or incapacitated Rights Agent or
by the holder of a Right Certificate (who shall, with such notice, submit his
Right Certificate for inspection by the Company), then the registered holder of
any Right Certificate may apply to any court of competent jurisdiction for the
appointment of a new Rights Agent. Any successor Rights Agent, whether appointed
by the Company or by such a court, shall be either (a) a corporation, business
trust or limited liability company organized and doing business under the laws
of the United States or of any other state of the United States, in good
standing, which is authorized under such laws to exercise corporate trust or
stock transfer powers and is subject to supervision or examination by federal or
state authority and which has at the time of its appointment as Rights Agent a
combined capital and surplus of at least $50 million or (b) a direct or indirect
wholly owned subsidiary of such an entity. After appointment, the successor
Rights Agent shall be vested with the same powers, rights, duties and
responsibilities as if it had been originally named as Rights Agent without
further act or deed; but the predecessor Rights Agent shall deliver and transfer
to the successor Rights Agent any property at the time held by the predecessor
Rights Agent hereunder, and execute and deliver any further assurance,
conveyance, act or deed necessary for the purpose. Not later than the effective
date of any such appointment the Company shall file notice thereof in writing
with the predecessor Rights Agent and each transfer agent of the Common Shares,
and, if such appointment occurs after the Distribution Date, mail a notice
thereof in writing to the registered holders of the Right Certificates. Failure
to give any notice provided for in this Section 21, however, or any defect
therein, shall not affect the legality or validity of the resignation or removal
of the Rights Agent or the appointment of the successor Rights Agent, as the
case may be.

     Section 22. ISSUANCE OF NEW RIGHT CERTIFICATES. Notwithstanding any of the
provisions of this Agreement or of the Rights to the contrary, the Company may,
at its option, issue new Right Certificates evidencing Rights in such form as
may be approved by its Board of Directors to reflect any adjustment or change in
the Purchase Price and the number or kind or class

                                       25
<Page>

of shares or other securities or property purchasable under the Right
Certificates made in accordance with the provisions of this Agreement. In
addition, in connection with the issuance or sale of Common Shares following the
Distribution Date and prior to the earlier of the Redemption Date and the Final
Expiration Date, the Company (a) shall, with respect to Common Shares so issued
or sold pursuant to the exercise of stock options or under any employee plan or
arrangement in existence prior to the Distribution Date, or upon the exercise,
conversion or exchange of securities issued by the Company and in existence
prior to the Distribution Date, and (b) may, in any other case, if deemed
necessary or appropriate by the Board of Directors of the Company, issue Right
Certificates representing the appropriate number of Rights in connection with
such issuance or sale; PROVIDED, HOWEVER, that (i) the Company shall not be
obligated to issue any such Right Certificates, if, and to the extent that, the
Company shall be advised by counsel that such issuance would create a
significant risk of material adverse tax consequences to the Company or the
Person to whom such Right Certificate would be issued, and (ii) no Right
Certificate shall be issued if, and to the extent that, appropriate adjustment
shall otherwise have been made in lieu of the issuance thereof.

     Section 23. REDEMPTION.

          (a)  The Rights may be redeemed by action of the Board of Directors of
     the Company pursuant to paragraph (b) of this Section 23 and shall not be
     redeemed in any other manner. Notwithstanding anything contained or implied
     in this Agreement to the contrary, the Rights shall not be exercisable
     after the occurrence of an event described in Section 11(a)(ii) hereof
     until such time as the Company's rights of redemption hereunder have
     expired.

          (b)  The Board of Directors of the Company may, at its option, at any
     time prior to the close of business on the tenth Business Day after the
     Shares Acquisition Date (or, if the Shares Acquisition Date shall have
     occurred prior to the Record Date, the close of business on the tenth
     Business Day following the Record Date), redeem all, but not less than all,
     of the then outstanding Rights at a redemption price of $.01 per Right,
     appropriately adjusted to reflect any stock split, stock dividend or
     similar transaction occurring after the date hereof (such redemption price
     being hereinafter referred to as the "Redemption Price") and the Company
     may, at its option, by action of the Board of Directors, pay the Redemption
     Price in cash, Common Shares (based on the current per share market price
     (determined in accordance with Section 11(d)) of the Common Shares at the
     time of redemption) or any other form of consideration deemed appropriate
     by the Board of Directors. The redemption of Rights by the Board of
     Directors may be made effective at such time, on such basis and with such
     conditions as the Board of Directors, in its sole discretion, may
     establish.

          (c)  Immediately upon the action of the Board of Directors of the
     Company ordering the redemption of the Rights pursuant to paragraph (b) of
     this Section 23, and without any further action and without any notice, the
     right to exercise the Rights will terminate and the only right thereafter
     of the holders of Rights shall be to receive the Redemption Price. The
     Company shall promptly give public notice of any such redemption; PROVIDED,
     HOWEVER, that the failure to give, or any defect in, any such notice shall
     not

                                       26
<Page>

     affect the validity of such redemption. Within 10 days after such action of
     the Board of Directors ordering the redemption of the Rights pursuant to
     paragraph (b) of this Section 23, the Company shall mail a notice of
     redemption to all the holders of the then outstanding Rights at their
     addresses as they appear upon the registry books of the Rights Agent or,
     prior to the Distribution Date, on the registry books of the transfer agent
     for the Common Shares of the Company. Any notice which is mailed in the
     manner herein provided shall be deemed given, whether or not the holder
     receives the notice. Each such notice of redemption will state the method
     by which the payment of the Redemption Price will be made. Neither the
     Company nor any of its Affiliates or Associates may redeem, acquire or
     purchase for value any Rights at any time in any manner other than that
     specifically set forth in this Section 23 or in Section 24 hereof, and
     other than in connection with the purchase of Common Shares prior to the
     Distribution Date.

     Section 24. EXCHANGE.

          (a)  The Board of Directors of the Company may, at its option, at any
     time after any Person becomes an Acquiring Person, exchange all or any part
     of the then outstanding and exercisable Rights (which shall not include
     Rights that have become void pursuant to the provisions of Section
     11(a)(ii) hereof) for Common Shares at an exchange ratio of one Common
     Share of the Company per Right, appropriately adjusted to reflect any stock
     split, stock dividend or similar transaction occurring after the date
     hereof (such exchange ratio being hereinafter referred to as the "Exchange
     Ratio"). Notwithstanding the foregoing, the Board of Directors shall not be
     empowered to effect such exchange at any time after any Person (other than
     the Company, any Subsidiary of the Company, any employee benefit plan of
     the Company or any such Subsidiary or any trustee or fiduciary with respect
     to such plan acting in such capacity), together with all Affiliates and
     Associates of such Person, becomes the Beneficial Owner of 50% or more of
     the Common Shares then outstanding.

          (b)  Immediately upon the action of the Board of Directors of the
     Company ordering the exchange of any Rights pursuant to paragraph (a) of
     this Section 24, and without any further action and without any notice, the
     right to exercise such Rights shall terminate and the only right thereafter
     of a holder of such Rights shall be to receive that number of Common Shares
     equal to the number of such Rights held by such holder multiplied by the
     Exchange Ratio. The Company shall promptly give public notice of any such
     exchange; PROVIDED, HOWEVER, that the failure to give, or any defect in,
     such notice shall not affect the validity of such exchange. The Company
     shall promptly mail a notice of any such exchange to all of the holders of
     such Rights at their addresses as they appear upon the registry books of
     the Rights Agent. Any notice which is mailed in the manner herein provided
     shall be deemed given, whether or not the holder receives the notice. Each
     such notice of exchange will state the method by which the exchange of the
     Common Shares for Rights will be effected and, in the event of any partial
     exchange, the number of Rights which will be exchanged. Any partial
     exchange shall be effected pro rata based on the number of Rights (other
     than Rights which have become void pursuant to the provisions of Section
     11(a)(ii) hereof) held by each holder of Rights.

                                       27
<Page>

          (c)  In the event that there shall not be sufficient Common Shares
     issued but not outstanding or authorized but unissued to permit any
     exchange of Rights as contemplated in accordance with this Section 24, the
     Company shall take all such action as may be necessary to authorize
     additional Common Shares for issuance upon exchange of the Rights.

          (d)  The Company shall not be required to issue fractions of Common
     Shares or to distribute certificates which evidence fractional Common
     Shares. In lieu of such fractional Common Shares, the Company shall pay to
     the registered holders of the Right Certificates with regard to which such
     fractional Common Shares would otherwise be issuable an amount in cash
     equal to the same fraction of the current market value of a whole Common
     Share. For the purposes of this paragraph (d), the current market value of
     a whole Common Share of the Company shall be the closing price of a Common
     Share of the Company (as determined pursuant to the second and third
     sentences of Section 11(d) hereof) for the Trading Day immediately prior to
     the date of exchange pursuant to this Section 24.

     Section 25. NOTICE OF CERTAIN EVENTS.

          (a)  In case the Company shall propose, at any time after the
     Distribution Date, (i) to pay any dividend payable in stock of any class to
     the holders of Common Shares or to make any other distribution to the
     holders of Common Shares (other than a regular quarterly cash dividend),
     (ii) to offer to the holders of Common Shares rights or warrants to
     subscribe for or to purchase any additional Common Shares or shares of
     stock of any class or any other securities, rights or options, (iii) to
     effect any reclassification of Common Shares (other than a reclassification
     involving only the subdivision of outstanding Common Shares), (iv) to
     effect any consolidation or merger into or with, or to effect any sale or
     other transfer (or to permit one or more of its Subsidiaries to effect any
     sale or other transfer), in one or more transactions, of 50% or more of the
     assets or earning power of the Company and its Subsidiaries (taken as a
     whole) to, any other Person (other than a Subsidiary of the Company in a
     transaction which complies with Section 11(o) hereof), or (v) to effect the
     liquidation, dissolution or winding up of the Company, then, in each such
     case, the Company shall give to each holder of a Right Certificate, in
     accordance with Section 26 hereof, a notice of such proposed action, which
     shall specify the record date for purposes of such stock dividend, or
     distribution of rights or warrants, or the date on which such
     reclassification, consolidation, merger, sale, transfer, liquidation,
     dissolution, or winding up is to take place and the date of participation
     therein by the holders of the Common Shares, if any such date is to be
     fixed, and such notice shall be so given in the case of any action
     described by clause (i) or (ii) above at least 10 days prior to the record
     date for determining holders of the Common Shares for purposes of such
     action, and in the case of any such other action, at least 10 days prior to
     the date of the taking of such proposed action or the date of participation
     therein by the holders of the Common Shares, whichever shall be the
     earlier. The failure to give notice required by this Section 25 or any
     defect therein shall not affect the legality or validity of the action
     taken by the Company or the vote upon any such action.

          (b)  In case the event set forth in Section 11(a)(ii) hereof shall
     occur, then the Company shall as soon as practicable thereafter give to
     each holder of a Right Certificate, in accordance with Section 26 hereof, a
     notice of the occurrence of such event, which notice

                                       28
<Page>

     shall describe the event and the consequences of the event to holders of
     Rights under Section 11(a)(ii) hereof.

     Section 26. NOTICES. Unless otherwise provided in this Agreement, notices
or demands authorized by this Agreement to be given or made to or on the Company
or the Rights Agent shall be deemed to have been given when hand delivered, when
received if sent by telecopier or by same day or overnight recognized commercial
courier service, or three business days after being mailed in any general or
branch office of the United States Postal Service, enclosed in a registered or
certified envelope, addressed to the address of the parties stated below or to
such changed address as such party may have fixed by notice:

          To the Company:

          Key Production Company, Inc.
          707 Seventeenth Street, Suite 3300
          Denver, Colorado 80202
          Attention: Chief Executive Officer
          Telecopier: 303-295-3494

          To the Rights Agent

          A.G. Edwards & Sons, Inc.
          One North Jefferson
          St. Louis, MO 63103
          Attention: _____________________________
          Telecopier: ____________________________

Notices or demands authorized by this Agreement to be given or made by the
Company or the Rights Agent to the holder of any Right Certificate shall be
sufficiently given or made if sent by first-class mail, postage prepaid,
addressed to such holder at the address of such holder as shown on the registry
books of the Company.

     Section 27. SUPPLEMENTS AND AMENDMENTS. The Company may (and the Rights
Agent shall at the direction of the Company) from time to time supplement or
amend this Agreement without the approval of any holders of Right Certificates
in order (i) at any time, to cure any ambiguity, (ii) at any time, to correct or
supplement any provision contained herein that may be defective or inconsistent
with any other provisions herein, (iii) prior to the Distribution Date, to
change or supplement any of the provisions hereof in any manner which the
Company may deem necessary or desirable (including, but without any limitation,
changing the percentage of ownership of Common Shares at which a Person becomes
an Acquiring Person, the Distribution Date, the time for redemption of Rights or
the time for, or limits on, amendment of this Agreement) or (iv) after the
Distribution Date, to change or supplement the provisions hereof in any manner
that the Company may deem necessary or desirable and that shall not adversely
affect the interests of the holders of the Rights Certificates (other than an
Acquiring Person or an Affiliate or Associate of an

                                       29
<Page>

Acquiring Person), any such supplement or amendment to be evidenced by a writing
signed by the Company and the Rights Agent.

     Section 28. SUCCESSORS. All the covenants and provisions of this Agreement
by or for the benefit of the Company or the Rights Agent shall bind and inure to
the benefit of their respective successors and assigns hereunder.

     Section 29. BENEFITS OF THIS AGREEMENT. Nothing in this Agreement shall be
construed to give to any Person other than the Company, the Rights Agent and the
registered holders of the Right Certificates (and, prior to the Distribution
Date, the Common Shares of the Company) any legal or equitable right, remedy or
claim under this Agreement; and this Agreement shall be for the sole and
exclusive benefit of the Company, the Rights Agent and the registered holders of
the Right Certificates (and, prior to the Distribution Date, the Common Shares
of the Company).

     Section 30. SEVERABILITY. If any term, provision, covenant or restriction
of this Agreement is held by a court of competent jurisdiction or other
authority to be invalid, void or unenforceable, the remainder of the terms,
provisions, covenants and restrictions of this Agreement shall remain in full
force and effect and shall in no way be affected, impaired or invalidated;
provided, however, that notwithstanding the foregoing, if any such term,
provision, covenant or restriction is held by such court or authority to be
invalid, void or unenforceable and the Board of Directors of the Company,
determines in its good faith judgment that severing the invalid language from
this Agreement would materially and adversely affect the purpose and effect of
this Agreement, the right of redemption set forth in Section 23 hereof shall be
reinstated and shall not expire until the close of business on the 10th Business
Day following the date of such determination by the Board of Directors.

     Section 31. DETERMINATIONS AND ACTIONS BY THE BOARD OF DIRECTORS. For all
purposes of this Agreement, any calculation of the number of Common Shares
outstanding at a particular time, including for purposes of determining the
particular percentage of such outstanding Common Shares of which any Person is
the Beneficial Owner, shall be made in accordance with the last sentence of Rule
13d-3(d)(1)(i) of the General Rules and Regulations under the Exchange Act. The
Board of Directors of the Company shall have the exclusive power and authority
to administer this Agreement and to exercise all rights and powers specifically
granted to the Board of Directors of the Company or to the Company, or as may be
necessary or advisable in the administration of this Agreement, including,
without limitation, the right and power to (i) interpret the provisions of this
Agreement, and (ii) make all determinations deemed necessary or advisable for
the administration of this Agreement (including a determination to redeem or not
redeem the Rights or to amend the Agreement). All such actions, calculations,
interpretations and determinations (including, for purposes of clause (y) below,
all omissions with respect to the foregoing) which are done or made by the Board
of Directors of the Company in good faith, shall (x) be final, conclusive and
binding on the Company, the Rights Agent, the holders of the Rights and all
other Persons, and (y) not subject the Board of Directors of the Company to any
liability to the holders of the Rights.

                                       30
<Page>

     Section 32. GOVERNING LAW. This Agreement and each Right Certificate issued
hereunder shall be deemed to be a contract made under the laws of the State of
Delaware and for all purposes shall be governed by and construed in accordance
with the laws of such State applicable to contracts to be made and performed
entirely within such State.

     Section 33. COUNTERPARTS. This Agreement may be executed in any number of
counterparts, each of such counterparts shall for all purposes be deemed to be
an original, and all such counterparts shall together constitute but one and the
same instrument.

     Section 34. DESCRIPTIVE HEADINGS. Descriptive headings of the several
Sections of this Agreement are inserted for convenience only and shall not
control or affect the meaning or construction of any of the provisions hereof.

                       SIGNATURES BEGIN ON FOLLOWING PAGE

                                       31
<Page>

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed as of the day and year first above written.

                                        KEY PRODUCTION COMPANY, INC.

                                        By:
                                           ---------------------------------
                                        Name:
                                        Title:

                                        A.G. EDWARDS & SONS, INC.

                                        By:
                                           ---------------------------------
                                        Name:
                                        Title:

                                       32
<Page>

                                    EXHIBIT A

                            FORM OF RIGHT CERTIFICATE

Certificate No.  R-                                                ______ Rights

     NOT EXERCISABLE AFTER FEBRUARY 25, 2012, OR EARLIER IF AN H&P MERGER (AS
     SUCH TERM IS DEFINED IN THE RIGHTS AGREEMENT) IS CONSUMMATED OR REDEMPTION
     OR EXCHANGE OCCURS. THE RIGHTS ARE SUBJECT TO REDEMPTION AND TO EXCHANGE AT
     THE OPTION OF THE COMPANY AND ON THE TERMS SET FORTH IN THE RIGHTS
     AGREEMENT. UNDER CERTAIN CIRCUMSTANCES SPECIFIED IN THE RIGHTS AGREEMENT,
     RIGHTS BENEFICIALLY OWNED BY AN ACQUIRING PERSON, OR AN ASSOCIATE OR
     AFFILIATE THEREOF (AS SUCH TERMS ARE DEFINED IN THE RIGHTS AGREEMENT), AND
     ANY SUBSEQUENT HOLDER OF SUCH RIGHTS, MAY BECOME NULL AND VOID.

                                Right Certificate

                          Key Production Company, Inc.

     This certifies that _____________________, or registered assigns, is the
registered owner of the number of Rights set forth above, each of which entitles
the owner thereof, subject to the terms, provisions and conditions of the Rights
Agreement, dated as of February 25, 2002 (the "Rights Agreement"), between Key
Production Company, Inc., a Delaware corporation (the "Company"), and A.G.
Edwards & Sons, Inc. (the "Rights Agent" which term shall include any successor
Rights Agent under the Rights Agreement), to purchase from the Company at any
time after the Distribution Date (as such term is defined in the Rights
Agreement) and prior to the Final Expiration Date (as defined below) at the
principal office or offices of the Rights Agent designated for such purpose, or
at the offices of its successor as Rights Agent, one share of Common Stock, $.25
par value (the "Common Shares"), of the Company, at a purchase price of $70 per
Common Share (the "Purchase Price"), upon presentation and surrender of this
Right Certificate with the Form of Election to Purchase duly executed. The
number of Rights evidenced by this Right Certificate (and the number of Common
Shares which may be purchased upon exercise hereof) set forth above, and the
Purchase Price set forth above, are the number and Purchase Price as of February
25, 2002, based on the Common Shares as constituted at such date. As provided in
the Rights Agreement, the Purchase Price and the number of Common Shares which
may be purchased upon the exercise of the Rights evidenced by this Right
Certificate are subject to modification and adjustment upon the happening of
certain events. In certain circumstances described in the Rights Agreement, the
Rights evidenced hereby may entitle the registered holder thereof to purchase
capital stock of an entity other than the Company or to receive Common Shares,
cash or other assets, all as provided in the Rights Agreement.

     This Right Certificate is subject to all of the terms, provisions and
conditions of the Rights Agreement, which terms, provisions and conditions are
hereby incorporated herein by reference and made a part hereof and to which
Rights Agreement reference is hereby made for a full description

                                      A-1
<Page>

of the rights, limitations of rights, obligations, duties and immunities
hereunder of the Rights Agent, the Company and the holders of the Right
Certificates. Copies of the Rights Agreement are on file at the principal
executive offices of the Company and the above-mentioned offices of the Rights
Agent.

     This Right Certificate, with or without other Right Certificates, upon
surrender at the principal office or offices of the Rights Agent designated for
such purpose, may be exchanged for another Right Certificate or Right
Certificates of like tenor and date evidencing Rights entitling the holder to
purchase a like aggregate number of Common Shares as the Rights evidenced by the
Right Certificate or Right Certificates surrendered shall have entitled such
holder to purchase. If this Right Certificate shall be exercised in part, the
holder shall be entitled to receive upon surrender hereof another Right
Certificate or Right Certificates for the number of whole Rights not exercised.

     Subject to the provisions of the Rights Agreement, the Rights evidenced by
this Certificate (i) may be redeemed by the Company at its option at a
redemption price of $.01 per Right or (ii) may be exchanged by the Company in
whole or in part for Common Shares. The Rights will expire upon the earliest of
(a) the close of business on February 25, 2012 and (b) immediately prior to the
effective time of an H&P Merger (the earliest of such times being herein
referred to as the "Final Expiration Date"), unless the Final Expiration Date is
extended or unless the Rights are earlier redeemed or exchanged by the Company.

     No fractional interests in Common Shares will be issued upon the exercise
of any Right or Rights evidenced hereby, but in lieu thereof a cash payment will
be made, as provided in the Rights Agreement.

     No holder of this Right Certificate, as such, shall be entitled to vote or
receive dividends or be deemed for any purpose the holder of the Common Shares
or of any other securities of the Company which may at any time be issuable on
the exercise hereof, nor shall anything contained in the Rights Agreement or
herein be construed to confer upon the holder hereof, as such, any of the rights
of a stockholder of the Company or any right to vote for the election of
directors or upon any matter submitted to stockholders at any meeting thereof,
or to give or withhold consent to any corporate action, or to receive notice of
meetings or other actions affecting stockholders (except as provided in the
Rights Agreement), or to receive dividends or subscription rights, or otherwise,
until the Right or Rights evidenced by this Right Certificate shall have been
exercised as provided in the Rights Agreement.

     This Right Certificate shall not be valid or obligatory for any purpose
until it shall have been countersigned by the Rights Agent.

                                      A-2
<Page>

     WITNESS the facsimile signature of the proper officers of the Company and
its corporate seal.

     Dated as of _________, 2002.

Attest:                                 KEY PRODUCTION COMPANY, INC.

By:                                     By:
   -----------------------------           -----------------------------
Name:                                   Name:
Title:                                  Title:

Countersigned:                          A.G. EDWARDS & SONS, INC.

By:                                     By:
   -----------------------------           -----------------------------
Name:                                   Name:
Title:                                  Title:

                                      A-3
<Page>

                    FORM OF REVERSE SIDE OF RIGHT CERTIFICATE

                               FORM OF ASSIGNMENT

                (To be executed by the registered holder if such
               holder desires to transfer the Right Certificate.)

     FOR VALUE RECEIVED ______________ hereby sells, assigns and transfers unto
____________________________________________ (Please print name and address of
transferee) this Right Certificate, together with all right, title and interest
therein, and does hereby irrevocably constitute and appoint
___________________________________, as Attorney to transfer the within Right
Certificate on the books of the within-named Company, with full power of
substitution.

     Dated: _______________, _______.

                                        ------------------------------------
                                        Signature

Signature Guarantee:

     Signatures must be guaranteed by an "eligible guarantor institution" (such
as a bank, stockbroker, credit union or savings association) pursuant to Rule
17Ad-15 of the Rules and Regulations of the Securities Exchange Act of 1934, as
amended.

     The undersigned hereby certifies that the Rights evidenced by this Right
Certificate are not beneficially owned by an Acquiring Person or an Affiliate or
Associate thereof (as defined in the Rights Agreement) and that after due
inquiry and to the best of the knowledge of the undersigned, it did not acquire
the Rights evidenced by this Rights Certificate from any Person who is, was or
subsequently became an Acquiring Person or an Affiliate or Associate of such
Person.

     Dated: _________________, _____

                                        -------------------------------------
                                        Signature

                                      A-4
<Page>

             FORM OF REVERSE SIDE OF RIGHT CERTIFICATE -- CONTINUED

                          FORM OF ELECTION TO PURCHASE

     (To be executed if holder desires to exercise Rights represented by the
                              Right Certificate.)

To: Key Production Company, Inc.

     The undersigned hereby irrevocably elects to exercise ______ Rights
represented by this Right Certificate to purchase the Common Shares issuable
upon the exercise of such Rights and requests that certificates for such Common
Shares be issued in the name of:

Please insert social security or other identifying number

--------------------------------------------------------------------------------
                         (Please print name and address)

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

If such number of Rights shall not be all the Rights evidenced by this Right
Certificate, a new Right Certificate for the balance remaining of such Rights
shall be registered in the name of and delivered to:

Please insert social security or other identifying number

--------------------------------------------------------------------------------
                         (Please print name and address)

Dated: _____________, ____.

                                        ----------------------------------------
                                        Signature

Signature Guarantee:

     Signatures must be guaranteed by an "eligible guarantor institution" (such
as a bank, stockbroker, credit union or savings association) pursuant to Rule
17Ad-15 of the Rules and Regulations of the Securities Exchange Act of 1934, as
amended.

                                      A-5
<Page>

             FORM OF REVERSE SIDE OF RIGHT CERTIFICATE -- CONTINUED

     The undersigned hereby certifies that the Rights evidenced by this Right
Certificate are not beneficially owned by an Acquiring Person or an Affiliate or
Associate thereof (as defined in the Rights Agreement) and that after due
inquiry and to the best of the knowledge of the undersigned, it did not acquire
the Rights evidenced by this Rights Certificate from any Person who is, was or
subsequently became an Acquiring Person or an Affiliate or Associate of such
Person.

                                        -------------------------------------
                                        Signature

                                     NOTICE

     The signature in the foregoing Forms of Assignment and Election must
conform to the name as written upon the face of this Right Certificate in every
particular, without alteration or enlargement or any change whatsoever.

     In the event the certification set forth above in the Form of Assignment or
the Form of Election to Purchase, as the case may be, is not completed, the
Company and the Rights Agent will deem the beneficial owner of the Rights
evidenced by this Right Certificate to be an Acquiring Person or an Affiliate or
Associate thereof (as defined in the Rights Agreement) and such Assignment or
Election to Purchase will not be honored.

                                      A-6
<Page>

                                    EXHIBIT B

                   SUMMARY OF RIGHTS TO PURCHASE COMMON SHARES

     On February 23, 2002, the Board of Directors (the "Board") of Key
Production Company, Inc. (the "Company") declared a dividend of one common share
purchase right (a "Right") for each outstanding share of common stock, par value
$.25 per share (the "Common Shares"), of the Company. The dividend is payable on
March 7, 2002 (the "Record Date") to the shareholders of record on the close of
business on that date. The Board also authorized the issuance of one Right for
(i) each Common Share that shall become outstanding between the Record Date and
the earlier of the Distribution Date (as hereinafter defined) or the redemption
or Final Expiration Date (as hereinafter defined) of the Rights and (ii) in
certain cases, each Common Share that becomes outstanding after the Distribution
Date and prior to the redemption or Final Expiration Date of the Rights. Each
Right entitles the registered holder to purchase from the Company one Common
Share of the Company at a price of $70 per share (the "Purchase Price"), subject
to adjustment. The description and terms of the Rights are set forth in a Rights
Agreement (the "Rights Agreement") between the Company and A.G. Edwards & Sons,
Inc., as Rights Agent (the "Rights Agent").

     The Rights are not exercisable until the Distribution Date. The
"Distribution Date" will generally occur upon the earlier of (i) ten business
days following (a) a public announcement that a person or group of affiliated or
associated persons (an "Acquiring Person") has acquired beneficial ownership of
15% or more of the outstanding Common Shares (subject to certain exceptions) or
(b) an earlier date as a majority of the Board shall become aware of the
existence of the Acquiring Person and (ii) ten business days following the
commencement of, or announcement of an intention to commence, a tender offer or
exchange offer the consummation of which would result in the beneficial
ownership by a person or group of 15% or more of such outstanding Common Shares
(subject to certain exceptions). A Distribution Date shall not occur as a result
of (1) the execution and delivery of an agreement and plan of merger or other
business combination agreement to which the Company and Helmerich & Payne, Inc.,
a Delaware corporation ("H&P") or other related entities (as provided in the
Rights Agreement) are parties, or (2) the consummation of a merger or similar
transaction involving H&P or other related entities (an "H&P Merger").

     Until the Distribution Date, the Rights will be evidenced by Common Share
certificates and no separate Rights certificates will be distributed. All Common
Share certificates outstanding as of the Record Date will evidence the Rights
related thereto and new Common Share certificates issued after the Record Date,
upon transfer or new issuance of Common Shares, will contain a notation
incorporating the Rights Agreement by reference. Until the Distribution Date,
the Rights will be transferred with and only with the Common Shares, and the
surrender for transfer of any certificates for Common Shares, with or without a
notation referencing the Rights Agreement, will also constitute the transfer of
the Rights associated with the Common Shares represented by such certificate.

     The Rights will separate from the Common Shares on the Distribution Date.
As soon as practicable following the Distribution Date, separate certificates
evidencing the Rights ("Right

                                      B-1
<Page>

Certificates") will be mailed to holders of record of the Common Shares as of
the close of business on the Distribution Date (except as provided in the Rights
Agreement), and such separate Right Certificates alone will evidence the Rights.

     The Rights will expire upon the earliest of (a) the close of business on
February 25, 2012 and (b) immediately prior to the effective time of an H&P
Merger (the earliest of such times being herein referred to as the "Final
Expiration Date"), unless the Final Expiration Date is extended or unless the
Rights are earlier redeemed or exchanged by the Company, in each case, as
described below.

     The Purchase Price payable, and the number of Common Shares or other
securities or property issuable, upon exercise of the Rights are subject to
adjustment from time to time to prevent dilution (i) in the event of a stock
dividend on, or a subdivision, combination or reclassification of, the Common
Shares, (ii) upon the grant to holders of the Common Shares of certain rights,
options or warrants to subscribe for or purchase Common Shares at a price, or
securities convertible into or exercisable for Common Shares with a conversion
or exercise price, less than the then current market price of the Common Shares
or (iii) upon the distribution to holders of the Common Shares of evidences of
indebtedness or assets (excluding regular quarterly cash dividends paid out of
earnings or retained earnings or dividends payable in Common Shares) or of
subscription rights or warrants (other than those referred to above). With
certain exceptions, no adjustment in the Purchase Price will be required until
cumulative adjustments require an adjustment of at least 1% in such Purchase
Price.

     The Company is not required to issue fractional Rights or fractional
interests in Common Shares upon exercise of Rights. In lieu thereof, an
adjustment in cash will be made based on the then current market value
(determined in accordance with the Rights Agreement) of the Rights or Common
Shares, as applicable.

     In the event any person or group becomes an Acquiring Person, proper
provision shall be made so that each holder of a Right, other than Rights
beneficially owned by the Acquiring Person or any affiliate or associate thereof
(which will thereafter be null and void for all purposes of the Rights Agreement
and the holder thereof shall thereafter have no rights with respect to such
Rights, whether under the Rights Agreement or otherwise), shall thereafter have
the right to receive upon exercise that number of Common Shares having a market
value of two times the exercise price of the Right (unless the Rights are
earlier redeemed, exchanged or expired). Under some circumstances, in lieu of
Common Shares, other equity and debt securities, property, cash or combinations
thereof, including combinations with Common Shares, may be issued upon payment
of the exercise price if of equal value to the number of Common Shares for which
the Right is exercisable. Rights are not exercisable until such time as the
Rights are no longer redeemable by the Company as described below.

     In the event, following the first date of the earlier of a public
announcement by the Company or an Acquiring Person that an Acquiring Person has
become such or a majority of the Board of Directors becoming aware of the
existence of an Acquiring Person (a "Shares Acquisition Date"), (i) the Company
is, in effect, acquired in a merger or other business combination transaction in
which the Common Shares are changed or exchanged or in which the

                                      B-2
<Page>

Company is not the surviving corporation or (ii) 50% or more of the Company's
consolidated assets or earning power is sold, proper provision will be made so
that each holder of a Right, other than Rights beneficially owned by an
Acquiring Person or any affiliate or associate thereof (which will be null and
void as described above) shall thereafter generally have the right to receive,
upon the exercise thereof at the then current exercise price of the Right, that
number of shares of common stock of the acquiring company (or in certain cases,
an affiliate of the acquiring company) which at the time of such transaction
will have a market value of two times the exercise price of the Right (unless
the Rights are earlier redeemed, exchanged or expired).

     At any time prior to the close of business on the tenth business day after
the Shares Acquisition Date (or, if the Shares Acquisition Date shall have
occurred prior to the Record Date, the close of business on the tenth Business
Day following the Record Date), the Board may redeem the Rights in whole, but
not in part, at a price of $.01 per right (the "Redemption Price"), payable in
cash, Common Shares or other form of consideration deemed appropriate by the
Board. The redemption of the Rights may be made effective at such time, on such
basis and with such conditions as the Board, in its sole discretion, may
establish. Immediately upon the action of the Board ordering the redemption of
the Rights or at such other time as may be specified by the Board when it orders
redemption, the right to exercise the Rights will terminate and the only right
of the holders of Rights will be to receive the Redemption Price.

     At any time after a person or group has become an Acquiring Person and
prior to the acquisition by any person or group of 50% or more of the then
outstanding Common Shares, the Board may exchange the Rights (other than Rights
that have become null and void as described above), in whole or in part, at an
exchange ratio of one Common Share per Right (subject to adjustment).

     Until a Right is exercised, the holder thereof, as such, will have no
rights as a shareholder of the Company, including, without limitation, the right
to vote or to receive dividends.

     The terms of the Rights may be amended by the Board without the consent of
the holders of the Rights at any time to cure any ambiguity or to correct or
supplement any defective or inconsistent provisions and may, prior to the
Distribution Date, be amended to change or supplement any other provision in any
manner which the Company may deem necessary or desirable. After the Distribution
Date, the terms of the Rights may be amended (other than to cure ambiguities or
correct or supplement defective or inconsistent provisions) only so long as such
amendment shall not adversely affect the interests of the holders of the Rights
(which may not be an Acquiring Person in whose hands Rights are void).

     A copy of the Rights Agreement has been filed with the Securities and
Exchange Commission as an exhibit to the Company's Registration Statement on
Form 8-A for registration of the Rights under the Securities Exchange Act of
1934, as amended.

     A copy of the Rights Agreement is available free of charge from the
Company. This summary description of the Rights does not purport to be complete
and is qualified in its entirety by reference to the Rights Agreement, which is
hereby incorporated herein by reference.

                                      B-3<Page>

                                                                     Exhibit 4.1
AACR.8

                                                         FEDERAL IDENTIFICATION
                                                         NO. 04-2591416
                                                             ------------------
Examiner

                       THE COMMONWEALTH OF MASSACHUSETTS
                             WILLIAM FRANCIS GALVIN
                          Secretary of the Commonwealth
             One Ashburton Place, Boston, Massachusetts 02108-1512

                       RESTATED ARTICLES OF ORGANIZATION
                    (GENERAL LAWS, CHAPTER 156B, SECTION 74)

Name Approved

We, Michael D. Parry, *President, and Robert R. Spellman, *Clerk,

of The Yankee Candle Company, Inc.
   -----------------------------------------------------------------------------
                          (Exact name of corporation)

located at 102 Christian Lane, Whately, Massachusetts 01093
           ---------------------------------------------------------------------
                  (Street address of corporation Massachusetts)

do hereby certify that the following Restatement of the Articles of Organization
was duly adopted at a meeting held on May 20, 1999 by a vote of the
directors/or:

499.9758 shares of Common Stock, No Par Value of 499.9758 shares outstanding,
                  ____________________________
                 (type, class & series, if any)

________ shares of _________________________ of ________ shares outstanding, and
                 (type, class & series, if any)

________ shares of _________________________ of ________ shares outstanding, and
                 (type, class & series, if any)

**being at least two-thirds of each type, class or series outstanding and
entitled to vote thereon and of each type, class or series of stock whose rights
are adversely affected thereby:

C    |_|
P    |_|
M    |_|
R.A. |_|

                                   ARTICLE I
                        The name of the corporation is:

The Yankee Candle Company, Inc.

                                   ARTICLE II

      The purpose of the corporation is to engage in the following business
                                 activity(ies):

To engage in the business of designing, manufacturing, retailing and wholesaling
scented and unscented candles and other home fragrancing products and to engage
in any and all business activities in which a corporation organized under M.C.L.
CH 156B may engage.

*     Delete the inapplicable words.

**    Delete the inapplicable clause.

NOTE: IF THE SPACE PROVIDED UNDER ANY ARTICLE OR ITEM IN THIS FORM IS
INSUFFICIENT, ADDITIONS SHALL BE SET FORTH ON SEPARATE 8 1/2 X 11 SHEETS OF
PAPER WITH A LEFT MARGIN OF AT LEAST 1 INCH. ADDITIONS TO MORE THAN ONE ARTICLE
MAY BE MADE ON A SINGLE SHEET SO LONG AS EACH ARTICLE REQUIRING EACH ADDITION IS
CLEARLY INDICATED.

P.C.

<Page>

                                  ARTICLE III

State the total number of shares and par value, if any, of each class of stock
which the corporation is authorized to issue:

<Table>
<Caption>
--------------------------------------------------------------------------------------------------------
             WITHOUT PAR VALUE                                  WITH PAR VALUE
--------------------------------------------------------------------------------------------------------
TYPE              NUMBER OF SHARES            TYPE           NUMBER OF SHARES             PAR VALUE
--------------------------------------------------------------------------------------------------------
<S>                                         <C>            <C>                          <C>
Common:                                      Common:       300,000,000                  $.01
--------------------------------------------------------------------------------------------------------
Preferred:                                  Preferred:     100,000,000                  $.01
--------------------------------------------------------------------------------------------------------
</Table>

                                   ARTICLE IV

If more than one class of stock is authorized, state a distinguishing
designation for each class. Prior to the issuance of any shares of a class, if
shares of another class are outstanding, the corporation must provide a
description of the preferences, voting powers, qualifications, and special or
relative rights or privileges of that class and of each other class of which
shares are outstanding and of each series then established within any class.

(See Attachment 4)

                                   ARTICLE V

The restrictions, if any, imposed by the Articles of Organization upon the
transfer of shares of stock of any class are:

                                   ARTICLE VI

**Other lawful provisions, if any, for the conduct and regulation of the
business and affairs of the corporation, for its voluntary dissolution, or for
limiting, defining, or regulating the powers of the corporation, or of its
directors or stockholders, or of any class of stockholders:

(See Attachment 6)

**If there are no provisions state "None".

Note: The preceding six (6) articles are considered to be permanent and may ONLY
be changed by filing appropriate Articles of Amendment.

<Page>

                                  ATTACHMENT 4

      The total number of shares of all classes of stock which the corporation
shall have authority to issue is 400,000,000 shares, consisting of (i)
300,000,000 shares of Common Stock, $.01 par value per share ("Common Stock"),
and (ii) 100,000,000 shares of Preferred Stock, $.01 par value per share
("Preferred Stock").

      The following is a statement of the designations and the powers,
privileges and rights, and the qualifications, limitations or restrictions
thereof in respect of each class of capital stock of the corporation.

4A. COMMON STOCK.

      1. GENERAL. The voting, dividend and liquidation rights of the holders of
the Common Stock are subject to and qualified by the rights of the holders of
the Preferred Stock of any series as may be designated by the Board of Directors
upon any issuance of the Preferred Stock of any series.

      2. VOTING. The holders of the Common Stock are entitled to one vote for
each share held at all meetings of stockholders (and written actions in lieu of
meetings). There shall be no cumulative voting.

      3. DIVIDENDS. Dividends may be declared and paid on the Common Stock from
funds lawfully available therefor as and when determined by the Board of
Directors and subject to any preferential dividend rights of any then
outstanding Preferred Stock.

      4. LIQUIDATION. Upon the dissolution or liquidation of the corporation,
whether voluntary or involuntary, holders of Common Stock will be entitled to
receive all assets of the corporation available for distribution to its
stockholders, subject to any preferential rights of any then outstanding
Preferred Stock.

4B. PREFERRED STOCK.

      Up to 100,000,000 shares of Preferred Stock may be issued from time to
time in one or more series, each of such series to have such terms as stated or
expressed herein and in the resolution or resolutions providing for the issue of
such series adopted by the Board of Directors as hereinafter provided. Any
shares of Preferred Stock which may be redeemed, purchased or acquired by the
corporation may be reissued except as otherwise provided by law. Different
series of Preferred Stock shall not be construed to constitute different classes
of shares for the purposes of voting by classes unless expressly provided.

<Page>

      Authority is hereby expressly granted to the Board of Directors from time
to time to issue the Preferred Stock in one or more series, and in connection
with the creation of any such series, by resolution or resolutions providing
for the issue of the shares thereof, to determine and fix such voting powers,
full or limited, or no voting powers, and such designations, preferences and
relative participating, optional or other special rights, and qualifications,
limitations or restrictions thereof, including without limitation thereof,
dividend rights, conversion rights, redemption privileges and liquidation
preferences, as shall be stated and expressed in such resolutions, all to the
full extent now or hereafter permitted by Chapter 156B of the Massachusetts
General Laws. Without limiting the generality of the foregoing, the
resolutions providing for issuance of any series of Preferred Stock may
provide that such series shall be superior or rank equally or be junior to
the Preferred Stock of any other series to the extent permitted by law. No
vote of the holders of the Preferred Stock or Common Stock shall be a
prerequisite to the issuance of any shares of any series of the Preferred
Stock authorized by and complying with the conditions of the Articles of
Organization, the right to have such vote being expressly waived by all
present and future holders of the capital stock of the corporation.

                                      -2-
<Page>

                                  ATTACHMENT 6

Other lawful provisions, if any, for the conduct and regulation of the business
and affairs of the corporation, for its voluntary dissolution, or for
limiting, defining, or regulating the powers of the corporation, or of its
directors or stockholders, or of any class of stockholders:

6A. LIMITATION OF DIRECTOR LIABILITY.

      Except to the extent that Chapter 156B of the Massachusetts General Laws
prohibits the elimination or limitation of liability of directors for breaches
of fiduciary duty, no director of the corporation shall be personally liable to
the corporation or its stockholders for monetary damages for any breach of
fiduciary duty as a director, notwithstanding any provision of law imposing such
liability. No amendment to or repeal of this provision shall apply to or have
any effect on the liability or alleged liability of any director of the
corporation for or with respect to any acts or omissions of such director
occurring prior to such amendment.

6B. INDEMNIFICATION.

      1. The corporation shall, to the fullest extent permitted by the
applicable provisions of Chapter 156B of the Massachusetts General Laws, as
amended from time to time, indemnify each person who was or is a party or is
threatened to be made a party to any threatened, pending or completed action,
suit or proceeding, whether civil, criminal, administrative or investigative, by
reason of the fact that he is or was, or has agreed to become, a director or
officer of the corporation, or is or was serving, or has agreed to serve, at the
request of the corporation, as a director or officer of, or in a similar
capacity with, another organization or in any capacity with respect to any
employee benefit plan of the corporation (all such persons being referred to
hereafter as an "Indemnitee"), or by reason of any action alleged to have been
taken or omitted in such capacity, against all expenses (including attorneys'
fees), judgments, fines, penalties and amounts paid in settlement incurred by or
on behalf of an Indemnitee in connection with such action, suit or proceeding
and any appeal therefrom, unless such Indemnitee shall be finally adjudicated
in such action, suit or proceeding not to have acted in good faith in the
reasonable belief that his action was in the best interests of the corporation
or, to the extent such matter relates to service with respect to an employee
benefit plan, in the best interests of the participants or beneficiaries of such
employee benefit plan.

      2. Notwithstanding the provisions of Section 1 of this Article, in the
event that a pending or threatened action, suit or proceeding is compromised or
settled in a manner which imposes any liability or obligation upon an Indemnitee
in a matter for which such Indemnitee would otherwise be entitled to
indemnification hereunder, no indemnification shall be provided to such
Indemnitee with respect to such matter if it is determined that such Indemnitee
did not act in good faith in the reasonable belief that his action was in the
best interests of the corporation or, to the extent such

<Page>

matter relates to service with respect to an employee benefit plan, in the best
interests of the participants or beneficiaries of such employee benefit plan.

      3. As a condition precedent to his right to be indemnified, the Indemnitee
must notify the corporation in writing as soon as practicable of any action,
suit, proceeding or investigation involving him for which indemnity will or
could be sought. With respect to any action, suit, proceeding or investigation
of which the corporation is so notified, the corporation will be entitled to
participate therein at its own expense and/or to assume, with legal counsel
reasonably acceptable to the Indemnitee, the defense thereof at its own
expense.

      4. In the event that the corporation does not assume the defense of any
action, suit, proceeding or investigation of which the corporation receives
notice under this Article, the corporation shall pay in advance of the final
disposition of such matter any expenses (including attorneys' fees) incurred by
an Indemnitee in defending a civil or criminal action, suit, proceeding or
investigation or any appeal therefrom; PROVIDED, HOWEVER, that the payment of
such expenses incurred by an Indemnitee in advance of the final disposition of
such matter shall be made only upon receipt of an undertaking by or on behalf of
the Indemnitee to repay all amounts so advanced in the event that it shall
ultimately be determined that the Indemnitee is not entitled to be indemnified
by the corporation as authorized in this Article, which undertaking shall be
accepted without reference to the financial ability of the Indemnitee to make
such repayment; and FURTHER PROVIDED that no such advancement of expenses shall
be made if it is determined that the Indemnitee did not act in good faith in the
reasonable belief that his action was in the best interests of the corporation
or, to the extent such matter relates to service with respect to an employee
benefit plan, in the best interests of the participants or beneficiaries of such
employee benefit plan.

      5. All determinations hereunder as to the entitlement of an Indemnitee to
indemnification or advancement of expenses shall be made by: (a) a majority vote
of a quorum of the directors of the corporation, (b) a majority vote of a quorum
of the outstanding shares of stock of all classes entitled to vote for
directors, voting as a single class, which quorum shall consist of stockholders
who are not at that time parties to the action, suit or proceeding in question,
(c) independent legal counsel (who may, to the extent permitted by law, be
regular legal counsel to the corporation), or (d) a court of competent
jurisdiction.

      6. The corporation shall not indemnify an Indemnitee seeking
indemnification in connection with a proceeding (or part thereof) initiated by
such Indemnitee unless the initiation thereof was approved by the Board of
Directors of the corporation. In addition, the corporation shall not indemnify
any such Indemnitee to the extent such Indemnitee is reimbursed from the
proceeds of insurance, and, in the event the corporation makes any
indemnification payments to

                                      -2-
<Page>

any such Indemnitee and such Indemnitee is subsequently reimbursed from the
proceeds of insurance, such Indemnitee shall promptly refund such
indemnification payments to the corporation to the extent of such insurance
reimbursement.

      7. If Indemnitee is entitled to indemnification by the corporation for
some or a portion of the expenses, judgments, fines, penalties or amounts paid
in settlement actually and reasonably incurred by him or on his behalf, but not,
however, for the total amount thereof, the corporation shall nevertheless
indemnify Indemnitee for the portion of such expenses, judgments, fines,
penalties or amounts paid in settlement to which Indemnitee is entitled.

      8. The corporation may maintain directors' and officers' liability
insurance.

      9. The indemnification rights provided in this Article (i) shall not be
deemed exclusive of any other rights to which an Indemnitee may be entitled
under any law, agreement or vote of stockholders or directors or otherwise, and
(ii) shall inure to the benefit of the heirs, executors and administrators of
such Indemnitees. The corporation may, to the extent authorized from time to
time by its Board of Directors, grant indemnification rights to other employees
or agents of the corporation or other persons serving the corporation and such
rights may be equivalent to, or greater or less than, those set forth in this
Article.

6C. OTHER PROVISIONS.

      1. The directors may make, amend, or repeal the by-laws in whole or in
part, except with respect to any provision of such by-laws which by law or
these Articles or the by-laws requires action by the stockholders.

      2. Meetings of the stockholders of the corporation may be held anywhere in
the United States.

      3. The corporation shall have the power to be a partner in any business
enterprise which this corporation would have the power to conduct by itself.

      4. The corporation, by vote of a majority of the stock outstanding and
entitled to vote thereon (or if there are two or more classes of stock entitled
to vote as separate classes, then by vote of a majority of each such class of
stock outstanding), may (i) authorize any amendment to its Articles of
Organization pursuant to Section 71 of Chapter 156B of the Massachusetts General
Laws, as amended from time to time, (ii) authorize the sale, lease or exchange
of all or substantially all of its property and assets, including its goodwill,
pursuant to Section 75 of Chapter 156B of the Massachusetts General Laws, as
amended from time to time, and (iii) approve an agreement of merger or
consolidation pursuant to Section 78 of Chapter 156B of the Massachusetts
General Laws, as amended from time to time.

                                      -3-
<Page>

                                   ARTICLE VII

The effective date of the restated Articles of Organization of the corporation
shall be the date approved and filed by the Secretary of the Commonwealth. If a
LATER effective date is desired, specify such date which shall not be more than
THIRTY DAYS after the date of filing.

                                  ARTICLE VIII

The information contained in Article VIII is not a permanent part of the
Articles of Organization.

a. The street address (post office boxes are not acceptable) of the principal
office of the corporation IN MASSACHUSETTS is:

                102 Christian Lane, Whately, Massachusetts 01093

b. The name, residential address and post office address of each director and
officer of the corporation is as follows:

                        NAME       RESIDENTIAL ADDRESS       POST OFFICE ADDRESS

President:

Treasurer:

Clerk:                             (See Attachment 8)

Directors:

c. The fiscal year (i.e., tax year) of the corporation shall end on the last day
of the month of: December

d. The name and business address of the resident agent, if any, of the
corporation is:

*We further certify that the foregoing Restated Articles of Organization affect
no amendments to the Articles of Organization of the corporation as heretofore
amended, except amendments to the following articles. Briefly describe
amendments below:

                         Article III -Recapitalization
                         Article IV  -Recapitalization
                         Article VI  -other lawful provisions

SIGNED UNDER THE PENALTIES OF PERJURY, this 2nd day of July 1999.

/s/ Michael D. Parry, *President
--------------------
Michael D. Parry

/s/ Robert R. Spellman, *Clerk
----------------------
Robert R. Spellman

<Page>

                                  ATTACHMENT 8

<Table>
<S>                                   <C>                     <C>
President
and Chief Executive Officer:          Michael D. Parry        5 Pocumtuck Drive
                                                              South Deerfield, MA 01373
Senior Vice President of Finance,
Chief Financial Officer,
Clerk and Treasurer:                  Robert R. Spellman      89 Far Reach Road
                                                              Westwood, MA 02090

Directors:                            Theodore J. Forstmann   c/o Forstmann Little & Co.
                                                              767 Fifth Avenue
                                                              New York, NY 10153

                                      Nicholas C. Forstmann   c/o Forstmann Little & Co.
                                                              767 Fifth Avenue
                                                              New York, NY 10153

                                      Steven B. Klinsky       c/o Forstmann Little & Co.
                                                              767 Fifth Avenue
                                                              New York, NY 10153

                                      Sandra J. Horbach       c/o Forstmann Little & Co.
                                                              767 Fifth Avenue
                                                              New York, NY 10153

                                      Michael S. Ovitz        c/o Artists Management Group
                                                              9465 Wilshire Blvd., Suite 519
                                                              Beverly Hills, CA 90212

                                      Emily Woods             c/o J. Crew Group, Inc.
                                                              770 Broadway
                                                              New York, NY 10003

                                      Ronald L. Sargent       c/o Staples, Inc.
                                                              One Research Drive
                                                              Westborough, MA 01581

                                      Michael. D. Parry       5 Pocumtuck Drive
                                                              South Deerfield, MA 01373

                                      Michael J. Kittredge    203 South Beach Rd.
                                                              Hobe Sound, FL 33455
</Table>

<Page>

                       THE COMMONWEALTH OF MASSACHUSETTS

                       RESTATED ARTICLES OF ORGANIZATION
                    (GENERAL LAWS, CHAPTER 156B, SECTION 74)

================================================================================

I hereby approve the within Restated Articles of Organization and, the filing
fee in the amount of $400,398.90 having been paid, said articles are deemed to
have been filed with me this 6th day of July, 1999.

EFFECTIVE DATE:_________________________________________

                           /s/ WILLIAM FRANCIS GALVIN

                             WILLIAM FRANCIS GALVIN
                         SECRETARY OF THE COMMONWEALTH

                         -----------------------------
                           /s/ WILLIAM FRANCIS GALVIN

                             WILLIAM FRANCIS GALVIN
                         SECRETARY OF THE COMMONWEALTH

                               A TRUE COPY ATTEST

                           DATE 7/6/99 CLERK /s/ WJT
                         -----------------------------

                         TO BE FILLED IN BY CORPORATION
                      PHOTOCOPY OF DOCUMENT TO BE SENT TO:

                             Philip J. Gordon, Esq.
                             Hale and Dorr LLP
                             60 State Street
                             Boston, MA 02109

                             Telephone: (617) 526-6403

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00034-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00034-of-00352.parquet"}]]