Document:

Exhibit 4.2

 

EXECUTION COPY

 

 

AMENDED
AND RESTATED DECLARATION

 

OF
TRUST

 

AMG
CAPITAL TRUST I

 

DATED
AS OF APRIL 3, 2006

 

 

TABLE
OF CONTENTS

 

	
  ARTICLE I

  
	
  INTERPRETATION AND DEFINITIONS

  
	
   

  	
   

  	
   

  
	
  SECTION 1.1

  	
  Definitions

  	
  2

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  
	
  TRUST INDENTURE ACT

  
	
   

  	
   

  	
   

  
	
  SECTION 2.1

  	
  Trust Indenture Act; Application

  	
  9

  
	
  SECTION 2.2

  	
  Lists of Holders of Securities

  	
  10

  
	
  SECTION 2.3

  	
  Reports by the Property Trustee

  	
  10

  
	
  SECTION 2.4

  	
  Periodic Reports to Property Trustee

  	
  10

  
	
  SECTION 2.5

  	
  Evidence of Compliance with Conditions
  Precedent

  	
  11

  
	
  SECTION 2.6

  	
  Events of Default, Waiver

  	
  11

  
	
  SECTION 2.7

  	
  Event of Default, Notice

  	
  12

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  
	
  ORGANIZATION

  
	
   

  	
   

  	
   

  
	
  SECTION 3.1

  	
  Name

  	
  13

  
	
  SECTION 3.2

  	
  Office

  	
  13

  
	
  SECTION 3.3

  	
  Purpose

  	
  13

  
	
  SECTION 3.4

  	
  Authority

  	
  14

  
	
  SECTION 3.5

  	
  Title to Property of the Trust

  	
  14

  
	
  SECTION 3.6

  	
  Powers and Duties of the Administrative
  Trustees

  	
  14

  
	
  SECTION 3.7

  	
  Prohibition of Actions by the Trust and the
  Trustees

  	
  18

  
	
  SECTION 3.8

  	
  Powers and Duties of the Property Trustee

  	
  19

  
	
  SECTION 3.9

  	
  Certain Duties and Responsibilities of the
  Property Trustee

  	
  21

  
	
  SECTION 3.10

  	
  Certain Rights of Property Trustee

  	
  23

  
	
  SECTION 3.11

  	
  Delaware Trustee

  	
  26

  
	
  SECTION 3.12

  	
  Execution of Documents

  	
  26

  
	
  SECTION 3.13

  	
  Not Responsible for Recitals or Issuance of
  Securities

  	
  27

  
	
  SECTION 3.14

  	
  Duration of Trust

  	
  27

  
	
  SECTION 3.15

  	
  Mergers

  	
  27

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV

  
	
  INITIAL PURCHASER OF COMMON SECURITIES

  
	
   

  	
   

  	
   

  
	
  SECTION 4.1

  	
  Purchase of Common Securities by Initial
  Purchaser

  	
  29

  
	
  SECTION 4.2

  	
  Responsibilities of the Initial Purchaser
  of Common Securities

  	
  29

  
	
  SECTION 4.3

  	
  Right to Proceed

  	
  30

  
	
  SECTION 4.4

  	
  Right to Terminate Trust

  	
  30

  
	
  SECTION 4.5

  	
  Obligations of the Initial Purchaser

  	
  30

  

 

i

 

	
  ARTICLE V

  
	
  TRUSTEES

  
	
   

  	
   

  	
   

  
	
  SECTION 5.1

  	
  Number of Trustees: Appointment of
  Co-Trustee

  	
  30

  
	
  SECTION 5.2

  	
  Delaware Trustee

  	
  31

  
	
  SECTION 5.3

  	
  Property Trustee; Eligibility

  	
  31

  
	
  SECTION 5.4

  	
  Certain Qualifications of Administrative
  Trustees and Delaware Trustee Generally

  	
  32

  
	
  SECTION 5.5

  	
  Administrative Trustees

  	
  32

  
	
  SECTION 5.6

  	
  Delaware Trustee

  	
  33

  
	
  SECTION 5.7

  	
  Appointment, Removal and Resignation of
  Trustees

  	
  33

  
	
  SECTION 5.8

  	
  Vacancies Among Trustees

  	
  35

  
	
  SECTION 5.9

  	
  Effect of Vacancies

  	
  35

  
	
  SECTION 5.10

  	
  Meetings

  	
  36

  
	
  SECTION 5.11

  	
  Delegation of Power

  	
  36

  
	
  SECTION 5.12

  	
  Merger, Conversion, Consolidation or
  Succession to Business

  	
  36

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  
	
  DISTRIBUTIONS

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  
	
  ISSUANCE OF SECURITIES

  
	
   

  	
   

  	
   

  
	
  SECTION 7.1

  	
  General Provisions Regarding Securities

  	
  37

  
	
  SECTION 7.2

  	
  Execution and Authentication

  	
  39

  
	
  SECTION 7.3

  	
  Form and Dating

  	
  39

  
	
  SECTION 7.4

  	
  Registrar, Paying Agent, Conversion Agent
  and Exchange Agent

  	
  41

  
	
  SECTION 7.5

  	
  Paying Agent to Hold Money in Trust

  	
  42

  
	
  SECTION 7.6

  	
  Replacement Securities

  	
  42

  
	
  SECTION 7.7

  	
  Outstanding Preferred Securities

  	
  42

  
	
  SECTION 7.8

  	
  Preferred Securities in Treasury

  	
  43

  
	
  SECTION 7.9

  	
  Temporary Securities

  	
  43

  
	
  SECTION 7.10

  	
  Cancellation

  	
  43

  
	
  SECTION 7.11

  	
  CUSIP Numbers

  	
  43

  
	
  SECTION 7.12

  	
  Payment

  	
  44

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  
	
  TERMINATION OF TRUST

  
	
   

  	
   

  	
   

  
	
  SECTION 8.1

  	
  Termination of Trust

  	
  44

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  
	
  TRANSFER OF INTERESTS

  
	
   

  	
   

  	
   

  
	
  SECTION 9.1

  	
  Transfer of Securities

  	
  45

  
	
  SECTION 9.2

  	
  Transfer Procedures and Restrictions

  	
  46

  
	
  SECTION 9.3

  	
  Deemed Security Holders

  	
  52

  
	
  SECTION 9.4

  	
  Book-Entry Interests

  	
  52

  

 

ii

 

	
  SECTION 9.5

  	
  Notices to Clearing Agency

  	
  53

  
	
  SECTION 9.6

  	
  Appointment of Successor Clearing Agency

  	
  53

  
	
   

  	
   

  	
   

  
	
  ARTICLE X

  
	
  LIMITATION OF LIABILITY OF HOLDERS OF
  SECURITIES, TRUSTEES OR OTHERS

  
	
   

  	
   

  	
   

  
	
  SECTION 10.1

  	
  Liability

  	
  53

  
	
  SECTION 10.2

  	
  Exculpation

  	
  53

  
	
  SECTION 10.3

  	
  Fiduciary Duty

  	
  54

  
	
  SECTION 10.4

  	
  Indemnification

  	
  55

  
	
  SECTION 10.5

  	
  Outside Businesses

  	
  57

  
	
  SECTION 10.6

  	
  Compensation; Fees

  	
  58

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI

  
	
  ACCOUNTING

  
	
   

  	
   

  	
   

  
	
  SECTION 11.1

  	
  Fiscal Year

  	
  58

  
	
  SECTION 11.2

  	
  Certain Accounting Matters

  	
  59

  
	
  SECTION 11.3

  	
  Banking

  	
  59

  
	
  SECTION 11.4

  	
  Withholding

  	
  59

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII

  
	
  AMENDMENTS AND MEETINGS

  
	
   

  	
   

  	
   

  
	
  SECTION 12.1

  	
  Amendments

  	
  60

  
	
  SECTION 12.2

  	
  Meetings of the Holders; Action by Written
  Consent

  	
  61

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIII

  
	
  REPRESENTATIONS OF PROPERTY TRUSTEE,
  DELAWARE TRUSTEE AND

  INSTITUTIONAL ADMINISTRATIVE TRUSTEE

  
	
   

  	
   

  	
   

  
	
  SECTION 13.1

  	
  Representations and Warranties of Property
  Trustee

  	
  62

  
	
  SECTION 13.2

  	
  Representations and Warranties of Delaware
  Trustee

  	
  63

  
	
  SECTION 13.3

  	
  Representations and Warranties of
  Institutional Administrative Trustee

  	
  64

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIV

  
	
  REGISTRATION RIGHTS

  
	
   

  	
   

  	
   

  
	
  SECTION 14.1

  	
  Registration Rights

  	
  64

  
	
   

  	
   

  	
   

  
	
  ARTICLE XV

  
	
  MISCELLANEOUS

  
	
   

  	
   

  	
   

  
	
  SECTION 15.1

  	
  Notices

  	
  65

  
	
  SECTION 15.2

  	
  Governing Law

  	
  66

  
	
  SECTION 15.3

  	
  Intention of the Parties

  	
  66

  
	
  SECTION 15.4

  	
  Headings

  	
  66

  
	
  SECTION 15.5

  	
  Successors and Assigns

  	
  66

  

 

iii

 

	
  SECTION 15.6

  	
  Partial Enforceability

  	
  67

  
	
  SECTION 15.7

  	
  Counterparts

  	
  67

  

 

	
  ANNEX I

  	
  TERMS OF
  SECURITIES

  	
  A-I-1

  
	
  EXHIBIT A-1

  	
  FORM OF
  PREFERRED SECURITY CERTIFICATE

  	
  A-1-1

  
	
  EXHIBIT A-2

  	
  FORM OF
  COMMON SECURITY CERTIFICATE

  	
  A-2-1

  
	
  EXHIBIT A-3

  	
  PROJECTED
  PAYMENT SCHEDULE

  	
  A-3-1

  

 

iv

 

AMENDED
AND RESTATED

 

DECLARATION
OF TRUST

 

OF

 

AMG
CAPITAL TRUST I

 

April 3,
2006

 

AMENDED AND
RESTATED DECLARATION OF TRUST (“Declaration”) dated and effective as of April 3,
2006, by the Trustees (as defined herein), the Initial Purchaser of Common
Securities (as defined herein), the Debenture Issuer (as defined herein) and by
the holders, from time to time, of undivided beneficial interests in the Trust
to be issued pursuant to this Declaration;

 

WHEREAS, the
Initial Purchaser of Common Securities and the Delaware Trustee established AMG
Capital Trust I (the “Trust”), a statutory trust formed under the Delaware
Statutory Trust Act pursuant to a Declaration of Trust dated as of March 28,
2006 (the “Original Declaration”), and a Certificate of Trust filed with the
Secretary of State of the State of Delaware on March 28, 2006 (the “Certificate
of Trust”), for the sole purpose of issuing and selling certain securities
representing undivided beneficial interests in the assets of the Trust and
investing the proceeds thereof in certain Debentures of the Debenture Issuer
(each as hereinafter defined), and engaging in only those other activities
necessary, advisable or incidental thereto;

 

WHEREAS, as of
the date hereof, no interests in the Trust have been issued;

 

WHEREAS, all
of the Trustees and the Initial Purchaser of Common Securities, by this
Declaration, amend and restate each and every term and provision of the Original
Declaration in its entirety; and

 

WHEREAS, the
Initial Purchaser of Common Securities and the Debenture Issuer shall have
rights and obligations under this Declaration as set forth herein.

 

NOW,
THEREFORE, it being the intention of the parties hereto to continue the Trust
as a statutory trust under the Delaware Statutory Trust Act and that this
Declaration constitute the governing instrument of such statutory trust, the
Trustees declare that all assets contributed to the Trust will be held in trust
for the benefit of the holders, from time to time, of the securities
representing undivided beneficial interests in the assets of the Trust issued
hereunder, subject to the provisions of this Declaration, and the parties
hereto hereby amend and restate in its entirety the Original Declaration as
follows:

 

 

ARTICLE I

INTERPRETATION AND DEFINITIONS

 

SECTION 1.1  Definitions.

 

Unless the
context otherwise requires:

 

(a)                                  Capitalized terms
used in this Declaration but not defined in the preamble above have the
respective meanings assigned to them in this Section 1.1;

 

(b)                                 a term defined
anywhere in this Declaration has the same meaning throughout;

 

(c)                                  all references to “the
Declaration” or “this Declaration” are to this Declaration as modified,
supplemented or amended from time to time;

 

(d)                                 all references in this
Declaration to Articles and Sections and Annexes and Exhibits are to Articles
and Sections of and Annexes and Exhibits to this Declaration unless otherwise
specified;

 

(e)                                  a term defined in the
Trust Indenture Act has the same meaning when used in this Declaration unless
otherwise defined in this Declaration or unless the context otherwise requires;
and

 

(f)                                    a reference to the
singular includes the plural and vice versa.

 

“Additional
Sums” has the meaning set forth in the Indenture.

 

“Administrative
Trustee” has the meaning set forth in Section 5.1.

 

“Affiliate”
has the same meaning as given to that term in Rule 405 under the
Securities Act or any successor rule thereunder.

 

“Agent” means
any Paying Agent or Registrar.

 

“Associate”
has the same meaning as given to that term in Rule 405 under the
Securities Act or any successor rule thereunder.

 

“Authorized
Officer” of a Person means any other Person that is authorized to legally bind
such former Person.

 

“Book-Entry
Interest” means a beneficial interest in a global certificate registered in the
name of a Clearing Agency or its nominee, ownership and transfers of which
shall be maintained and made through book entries by a Clearing Agency as
described in Section 9.4.

 

“Business Day”
means any day other than a Saturday or a Sunday or a day on which banking
institutions in New York, New York are authorized or required by law,
regulation or executive order to remain closed.

 

2

 

“Certificated
Preferred Securities” shall have the meaning set forth in Section 7.3(c).

 

“Change in
Control” has the meaning set forth in the Indenture.

 

“Clearing
Agency” means an organization registered as a “clearing agency” pursuant to Section 17A
of the Exchange Act that is acting as depositary for the Preferred Securities
and in whose name or in the name of a nominee of that organization shall be
registered a Global Certificate and which shall undertake to effect book entry
transfers and pledges of the Preferred Securities.

 

“Clearing
Agency Participant” or “Participant” means a broker, dealer, bank, other
financial institution or other Person for whom from time to time the Clearing
Agency effects book entry transfers and pledges of securities deposited with
the Clearing Agency.

 

“Closing Price”
has the meaning set forth in the Indenture.

 

“Closing Time”
means the “Closing Time” under the Purchase Agreement.

 

“Code” means
the Internal Revenue Code of 1986, as amended from time to time, or any
successor legislation.

 

“Commission”
means the United States Securities and Exchange Commission as from time to time
constituted, or if at any time after the execution of this Declaration such
Commission is not existing and performing the duties now assigned to it under
applicable federal securities laws, then the body performing such duties at
such time.

 

“Common
Securities” has the meaning specified in Section 7.1(a).

 

“Common
Securities Certificate” means the certificate evidencing the Common Securities,
in the form of Exhibit A-2 hereof.

 

“Common Stock”
has the meaning set forth in Annex I.

 

“Company
Indemnified Person” means (a) any Administrative Trustee (to the extent
the Administrative Trustee is an Affiliate or an Associate of the Initial Purchaser
of Common Securities); (b) any Affiliate of any Administrative Trustee (to
the extent the Administrative Trustee is an Affiliate or an Associate of the
Initial Purchaser of Common Securities); (c) any officers, directors,
stockholders, members, partners, employees, representatives or agents of any
Administrative Trustee (to the extent the Administrative Trustee is an Affiliate
or an Associate of the Initial Purchaser of Common Securities); or (d) any
officer, employee or agent of the Trust or its Affiliates.

 

“Compounded
Interest” has the meaning set forth in the Indenture.

 

“Contingent
Distribution” means a distribution payable in accordance with the provisions of
Section 2(d) of Annex I.

 

3

 

“Contingent
Distribution Payment Date” shall have the meaning set forth in paragraph 2(d) of
Annex I.

 

“Contingent
Interest” has the meaning set forth in the Indenture.

 

“Conversion
Agent” has the meaning set forth in Section 7.4.

 

“Conversion
Date” has the meaning set forth in Annex I.

 

“Conversion Price”
has the meaning set forth in the Indenture.

 

“Conversion Rate”
has the meaning set forth in the Indenture.

 

“Conversion Preference
Period” has the meaning set forth in the Indenture.

 

“Conversion
Request” has the meaning set forth in Annex I.

 

“Conversion
Value” has the meaning set forth in the Indenture.

 

“Corporate
Trust Office” means the office of the Property Trustee at which the corporate
trust business of the Property Trustee shall, at any particular time, be
principally administered, which office at the date of execution of this
Agreement is located at 135 South LaSalle Street, Suite 1151, Chicago,
Illinois 60603, Attn: CDO Trust Services Group - AMG Capital Trust I.

 

“Coupon Rate”
has the meaning set forth in Annex I.

 

“Covered
Person” means: (a) any officer, director, stockholder, partner, member,
representative, employee or agent of (i) the Trust or (ii) the Trust’s
Affiliates; and (b) any Holder of Securities.

 

“CPDI
Regulations” has the meaning set forth in Section 4.5.

 

“Debenture
Issuer” means Affiliated Managers Group, Inc., a Delaware corporation, or
any successor entity resulting from any consolidation, amalgamation, merger or
other business combination, in its capacity as issuer of the Debentures under
the Indenture.

 

“Debenture
Trustee” means LaSalle Bank National Association, a national banking association,
as trustee under the Indenture until a successor is appointed thereunder, and
thereafter means such successor trustee.

 

“Debentures”
means, the 5.10% Junior Subordinated Convertible Debentures due April 15,
2036 of the Debenture Issuer issued pursuant to the Indenture.

 

“Default”
means an event, act or condition that with notice or lapse of time, or both,
would constitute an Event of Default.

 

“Delaware
Trustee” has the meaning set forth in Section 5.1.

 

“Direct Action”
has the meaning set forth in Annex I.

 

4

 

“Disclosure
Package” has the meaning set forth in the Purchase Agreement.

 

“Distribution”
means a distribution payable to Holders in accordance with Article VI.

 

“Distribution
Date” has the meaning set forth in Annex I.

 

“DTC” means
The Depository Trust Company, the initial Clearing Agency.

 

“ERISA” has
the meaning set forth in Section 7.1(e).

 

“Event of
Default” in respect of the Securities has the meaning set forth in Section 2.6(a).

 

“Exchange Act”
means the Securities Exchange Act of 1934, as amended from time to time, or any
successor legislation.

 

“Exchange
Agent” has the meaning set forth in Section 7.4.

 

“Extension
Period” has the meaning set forth in Annex I.

 

 “Fiduciary Indemnified Person” has the meaning
set forth in Section 10.4(b).

 

“Fiscal Year”
has the meaning set forth in Section 11.1.

 

“Global
Preferred Security” has the meaning set forth in Section 7.3(a).

 

“Holder” means
a Person in whose name a Security or Successor Security is registered on the
register maintained by or on behalf of the Registrar, such Person being a
beneficial owner of the Trust within the meaning of the Statutory Trust Act.

 

“Indemnified
Person” means a Company Indemnified Person or a Fiduciary Indemnified Person.

 

“Indenture”
means the Indenture dated as of April 3, 2006, between the Debenture
Issuer and the Debenture Trustee, as amended from time to time.

 

“Initial
Purchasers” has the meaning set forth in the Purchase Agreement.

 

“Initial
Purchaser of Common Securities” means Affiliated Managers Group, Inc., a
Delaware corporation, or any successor entity resulting from any merger,
consolidation, amalgamation or other business combination.

 

“Institutional
Administrative Trustee” means LaSalle Bank National Association, not in its
individual capacity but solely in its capacity as an Administrative Trustee under
this Declaration, and any Successor Administrative Trustee thereto that is not
a natural person.

 

“Interest” has
the meaning set forth in the Indenture.

 

“Investment
Company” means an investment company as defined in the Investment Company Act.

 

5

 

“Investment
Company Act” means the Investment Company Act of 1940, as amended from time to
time, or any successor legislation.

 

“Investment
Company Event” has the meaning set forth in Annex I.

 

“IRS” means
the United States Internal Revenue Service.

 

“Legal Action”
has the meaning set forth in Section 3.6(g).

 

“Like Amount”
has the meaning set forth in Annex I.

 

“Liquidated
Damages” has the meaning set forth in the Indenture.

 

“Liquidation
Amount” has the meaning set forth in Annex I.

 

“Liquidation
Distribution” has the meaning set forth in Annex I.

 

“List of
Holders” has the meaning set forth in Section 2.2(a).

 

“Majority in
liquidation amount” means, with respect to the Trust Securities, except as
provided in the terms of the Preferred Securities or by the Trust Indenture
Act, Holder(s) of outstanding Trust Securities voting together as a single class or,
as the context may require, Holders of outstanding Preferred Securities or
Holders of outstanding Common Securities voting separately as a class, who are
the record owners of more than 50% of the aggregate liquidation amount of all
outstanding Trust Securities of the relevant class.

 

“Offering
Memorandum” means, the offering memorandum, dated March 28, 2006, relating
to the offering and sale by the Trust of the Preferred Securities.

 

“Officers’
Certificate” means, with respect to any Person, a certificate signed by any two
of the following: the chairman, a vice chairman, the chief executive officer,
the president, an executive vice president, a senior vice president, a vice
president, the chief financial officer, the secretary or an assistant secretary,
the treasurer or an assistant treasurer of the Guarantor. Any Officers’
Certificate delivered by the Trust shall be signed by the Initial Purchaser of
Common Securities or by an Administrative Trustee on behalf of the Trust. Any
Officers’ Certificate delivered with respect to compliance with a condition or
covenant provided for in this Declaration shall include:

 

(a)                                  a statement that each
officer signing the Certificate has read the covenant or condition and the
definitions relating thereto;

 

(b)                                 a brief statement of
the nature and scope of the examination or investigation undertaken by each
officer in rendering the Certificate;

 

(c)                                  a statement that each
such officer has made such examination or investigation as, in such officer’s
opinion, is necessary to enable such officer to express an informed opinion as
to whether or not such covenant or condition has been complied with; and

 

6

 

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

 

“Opinion of
Counsel” means a written opinion of counsel, who may be an employee of the
Initial Purchaser of Common Securities, and who shall be reasonably acceptable
to the Property Trustee. Any Opinion of Counsel pertaining to federal income tax
matters may rely on published rulings of the Internal Revenue Service.

 

“Paying Agent”
has the meaning specified in Section 7.4.

 

“Payment
Amount” has the meaning specified in Section 6.1.

 

“Person” means
a legal person, including any individual, corporation, estate, partnership,
joint venture, association, joint stock company, limited liability company,
trust, unincorporated association, or government or any agency or political
subdivision thereof, or any other entity of whatever nature.

 

“Plan” has the
meaning set forth in Section 7.1(e).

 

“PORTAL” has
the meaning set forth in Section 3.6(b)(iii).

 

“Preferred
Securities” has the meaning specified in Section 7.1(a).

 

“Preferred
Securities Certificate” means a certificate evidencing the Preferred
Securities, in the form attached as Exhibit A-1 hereto.

 

“Property
Trustee” has the meaning set forth in Section 5.3(a).

 

“Property
Trustee Account” has the meaning set forth in Section 3.8(c)(i).

 

“Pro Rata” has
the meaning set forth in Annex I.

 

“Purchase
Agreement” has the meaning set forth in Section 7.3.

 

“QIBs” has the
meaning set forth in Section 3.6(b)(i).

 

“Quarterly
Period” shall have the meaning set forth in Section 15.1 hereof.

 

“Quorum” means,
at any time that there are more than two Administrative Trustees, a majority of
the Administrative Trustees and, in all other cases, all of the Administrative
Trustees.

 

“Redemption/Distribution
Notice” has the meaning set forth in Annex I.

 

“Redemption
Price” has the meaning set forth in Annex I.

 

“Registrar”
has the meaning set forth in Section 7.4.

 

“Registration
Rights Agreement” has the meaning set forth in the Purchase Agreement.

 

7

 

“Registration
Statement” has the meaning set forth in Section 3.6(b)(i).

 

“Related Party”
means, with respect to the Initial Purchaser of Common Securities, any direct
or indirect wholly owned subsidiary of the Initial Purchaser of Common
Securities or any other Person that owns, directly or indirectly, 100% of the
outstanding voting securities of the Initial Purchaser of Common Securities.

 

“Repurchase
Date” has the meaning set forth in the Indenture.

 

“Responsible
Officer” means any officer within the Corporate Trust Office of the Property
Trustee with direct responsibility for the administration of this Declaration
and also means, with respect to a particular corporate trust matter, any other
officer to whom such matter is referred because of that officer’s knowledge of
and familiarity with the particular subject.

 

“Restricted
Preferred Security” has the meaning specified in Section 9.2(a).

 

“Restricted
Securities Legend” means the legend specified in Section 9.2(c)(i).

 

“Rule 3a-5”
means Rule 3a-5 under the Investment Company Act, or any successor rule or
regulation.

 

“Securities”
or “Trust Securities” means the Common Securities and the Preferred Securities.

 

“Securities
Act” means the Securities Act of 1933, as amended from time to time, or any
successor legislation.

 

“Securities
Guarantee” means the Guarantee Agreement dated as of April 3, 2006 of the
Initial Purchaser of Common Securities in respect of the Trust Securities.

 

“Special Event”
has the meaning set forth in Section 4(d) of Annex I.

 

“Statutory
Trust Act” means Chapter 38 of Title 12 of the Delaware Code, 12 Del. C.ss.3801
et seq., as it may be amended from time to time, or any successor
legislation.

 

“Successor Administrative
Trustee” has the meaning set forth in Section 5.7(b)(iii).

 

“Successor
Delaware Trustee” has the meaning set forth in Section 5.7(b)(ii).

 

“Successor
Entity” has the meaning set forth in Section 3.15(b)(i).

 

“Successor
Property Trustee” has the meaning set forth in Section 3.8(f)(ii).

 

“Successor
Securities” has the meaning set forth in Section 3.15(b)(i)(B).

 

“Super
Majority” has the meaning set forth in Section 2.6(b)(ii).

 

“25% in
liquidation amount” means, with respect to the Trust Securities, except as
provided in the terms of the Preferred Securities or by the Trust Indenture
Act, Holder(s) of

 

8

 

outstanding Trust Securities voting together as a single class or,
as the context may require, Holders of outstanding Preferred Securities or
Holders of outstanding Common Securities voting separately as a class, who are
the record owners of 25% or more of the aggregate liquidation amount of all
outstanding Securities of the relevant class.

 

“Tax Event”
has the meaning set forth in Annex I.

 

“Tax Original
Issue Discount” means the amount of ordinary interest income on a Security that
must be accrued as original issue discount for United States federal income tax
purposes pursuant to Treasury Regulation section 1.1275-4.

 

“Trading Day”
has the meaning set forth in the Indenture.

 

“Treasury
Regulations” means the income tax regulations, including temporary and proposed
regulations, promulgated under the Code by the United States Treasury, as such
regulations may be amended from time to time (including corresponding
provisions of succeeding regulations).

 

“Trust
Indenture Act” means the Trust Indenture Act of 1939, as amended from time to
time, or any successor legislation.

 

“Trust
Securities” or “Securities” means the Common Securities together with the
Preferred Securities.

 

“Trustee” or “Trustees”
means each Person who has signed this Declaration as a trustee, so long as such
Person shall continue as a trustee in accordance with the terms hereof, and all
other Persons who may from time to time be duly appointed, qualified and
serving as trustees in accordance with the provisions hereof, and references
herein to a Trustee or the Trustees shall refer to such Person or Persons
solely in their capacity as trustees hereunder.

 

“Unrestricted
Global Preferred Security” has the meaning set forth in Section 9.2(b).

 

ARTICLE II

TRUST INDENTURE ACT

 

SECTION 2.1  Trust
Indenture Act; Application.

 

This
Declaration is subject to the provisions of the Trust Indenture Act that are
required to be part of this Declaration in order for this Declaration to
be qualified under the Trust Indenture Act and shall, to the extent applicable,
be governed by such provisions.

 

(a)                                  The Property Trustee
shall be the only Trustee which is a trustee for the purposes of the Trust
Indenture Act.

 

(b)                                 If and to the extent
that any provision of this Declaration limits, qualifies or conflicts with the
duties imposed by Sections 310 to 317, inclusive, of the Trust Indenture Act,
such imposed duties shall control.

 

9

 

(c)                                  The application of
the Trust Indenture Act to this Declaration shall not affect the nature of the
Securities as equity securities representing undivided beneficial interests in
the assets of the Trust.

 

SECTION 2.2  Lists of
Holders of Securities.

 

(a)                                  The Registrar on
behalf of the Trust shall provide the Property Trustee, unless the Property
Trustee is Registrar for the Securities, (i) within 14 days after each
record date for payment of Distributions a list, in such form as the
Property Trustee may reasonably require, of the names and addresses of the
Holders (“List of Holders”) as of such record date, provided that the Registrar
on behalf of the Trust shall not be obligated to provide such List of Holders
at any time that the List of Holders does not differ from the most recent List
of Holders given to the Property Trustee by the Registrar on behalf of the
Trust, and (ii) at any other time, within 30 days of receipt by the Trust
of a written request for a List of Holders as of a date no more than 14 days
before such List of Holders is given to the Property Trustee. The Property
Trustee shall preserve, in as current a form as is reasonably practicable,
all information contained in the List of Holders given to it or which it
receives in the capacity as Paying Agent (if acting in such capacity), provided
that the Property Trustee may destroy any List of Holders previously given
to it on receipt of a new List of Holders.

 

(b)                                 The Property Trustee
shall comply with its obligations under Sections 311(a), 311(b) and 312(b) of
the Trust Indenture Act.

 

SECTION 2.3  Reports by
the Property Trustee.

 

Within 60 days
after January 1 of each year, commencing January 1, 2007 the Property
Trustee shall provide to the Holders of the Preferred Securities such reports
as are required by Section 313 of the Trust Indenture Act, if any, in the form and
in the manner provided by Section 313 of the Trust Indenture Act. The
Property Trustee shall also comply with the requirements of Section 313(d) of
the Trust Indenture Act.

 

SECTION 2.4  Periodic
Reports to Property Trustee.

 

The Initial
Purchaser of Common Securities, and either the Initial Purchaser of Common
Securities or the Administrative Trustees on behalf of the Trust, shall provide
to the Property Trustee such documents, reports and information as are required
by Section 314 of the Trust Indenture Act (if any) and shall provide to
the Property Trustee the compliance certificate required by Section 314 of
the Trust Indenture Act in the form, in the manner and at the times required by
Section 314 of the Trust Indenture Act, such compliance certificate to be
delivered annually on or before 120 days after the end of each fiscal year of
the Initial Purchaser of Common Securities. Delivery of such documents, reports
and information to the Property Trustee is for informational purposes only and
the Property Trustee’s receipt of such shall not constitute constructive notice
of any information contained therein or determinable from information contained
therein, including compliance by the Initial Purchaser of Common Securities with
any of its covenants hereunder (as to which the Property Trustee is entitled to
rely exclusively on Officer’s Certificates).

 

10

 

SECTION 2.5  Evidence of
Compliance with Conditions Precedent.

 

The Initial
Purchaser of Common Securities, and either the Initial Purchaser of Common
Securities or the Administrative Trustees on behalf of the Trust, shall provide
to the Property Trustee such evidence of compliance with any conditions
precedent provided for in this Declaration that relate to any of the matters
set forth in Section 314(c) of the Trust Indenture Act. Any
certificate or opinion required to be given by an officer pursuant to Section 314(c)(1) of
the Trust Indenture Act may be given in the form of an Officers’
Certificate.

 

SECTION 2.6  Events of
Default, Waiver.

 

(a)                                  An Event of Default
in respect of the Trust Securities means an Event of Default (as defined in the
Indenture) that has occurred and is continuing in respect of the Debentures.

 

(b)                                 The Holders of a
Majority in liquidation amount of Preferred Securities may, by vote, on behalf
of the Holders of all of the Preferred Securities, waive any past Event of
Default in respect of the Preferred Securities and its consequences, provided
that, if the underlying event of default under the Indenture:

 

(i)  is not waivable under the
Indenture, the Event of Default under the Declaration shall also not be
waivable; or

 

(ii)  requires the consent or vote of
greater than a majority in aggregate principal amount of the holders of the
Debentures (a “Super Majority”) to be waived under the Indenture, the Event of
Default under the Declaration may only be waived by the vote of the
Holders of at least the proportion in aggregate liquidation amount of the
Preferred Securities that the relevant Super Majority represents of the
aggregate principal amount of the Debentures outstanding.

 

The foregoing
provisions of this Section 2.6(b) shall be in lieu of Section 316(a)(1)(B) of
the Trust Indenture Act and such Section 316(a)(1)(B) of the Trust
Indenture Act is hereby expressly excluded from this Declaration and the
Securities, as permitted by the Trust Indenture Act. Upon such waiver, any such
default shall cease to exist, and any Event of Default with respect to the
Preferred Securities arising therefrom shall be deemed to have been cured, for
every purpose of this Declaration, but no such waiver shall extend to any
subsequent or other default or an Event of Default with respect to the
Preferred Securities or impair any right consequent thereon. Any waiver by the
Holders of the Preferred Securities of an Event of Default with respect to the
Preferred Securities shall also be deemed to constitute a waiver by the Holders
of the Common Securities of any such Event of Default with respect to the
Common Securities for all purposes of this Declaration without any further act,
vote, or consent of the Holders of the Common Securities.

 

(c)                                  The Holders of a
Majority in liquidation amount of the Common Securities may, by vote, on behalf
of the Holders of all of the Common Securities, waive any past Event of Default
with respect to the Common Securities and its consequences, provided that, if
the underlying Event of Default under the Indenture:

 

11

 

(i)  is not waivable under the
Indenture, except where the Holders of the Common Securities are deemed to have
waived such Event of Default under the Declaration as provided below in this Section 2.6(c),
the Event of Default under the Declaration shall also not be waivable; or

 

(ii)  requires the consent or vote of a
Super Majority to be waived, except where the Holders of the Common Securities
are deemed to have waived such Event of Default under the Declaration as
provided below in this Section 2.6(c), the Event of Default under the
Declaration may only be waived by the vote of the Holders of at least the
proportion in aggregate liquidation amount of the Common Securities that the
relevant Super Majority represents of the aggregate principal amount of the
Debentures outstanding;

 

provided
further, the Holders of Common Securities will be deemed to have waived any
such Event of Default and all Events of Default with respect to the Common
Securities and their consequences if all Events of Default with respect to the
Preferred Securities have been cured, waived or otherwise eliminated, and until
such Events of Default have been so cured, waived or otherwise eliminated, the
Property Trustee will be deemed to be acting solely on behalf of the Holders of
the Preferred Securities and only the Holders of the Preferred Securities will
have the right to direct the Property Trustee in accordance with the terms of
the Securities. The foregoing provisions of this Section 2.6(c) shall
be in lieu of Sections 316(a)(1)(A) and 316(a)(1)(B) of the Trust
Indenture Act and such Sections 316(a)(1)(A) and 316(a)(1)(B) of the
Trust Indenture Act are hereby expressly excluded from this Declaration and the
Securities, as permitted by the Trust Indenture Act. Subject to the foregoing
provisions of this Section 2.6(c), upon such waiver, any such default
shall cease to exist and any Event of Default with respect to the Common
Securities arising therefrom shall be deemed to have been cured for every
purpose of this Declaration, but no such waiver shall extend to any subsequent
or other default or Event of Default with respect to the Common Securities or
impair any right consequent thereon.

 

(d)                                 A waiver of an Event
of Default under the Indenture by the Property Trustee, at the direction of the
Holders of the Preferred Securities, constitutes a waiver of the corresponding
Event of Default under this Declaration. The foregoing provisions of this Section 2.6(d) shall
be in lieu of Section 316(a)(1)(B) of the Trust Indenture Act and
such Section 316(a)(1)(B) of the Trust Indenture Act is hereby
expressly excluded from this Declaration and the Securities, as permitted by
the Trust Indenture Act.

 

SECTION 2.7  Event of
Default, Notice.

 

(a)                                  The Property Trustee
shall, within ten Business Days after the Property Trustee has actual knowledge
that an Event of Default has occurred, (i) transmit by mail, first-class postage
prepaid, to the Holders of the Securities and (ii) transmit by any means
provided in this Declaration to the Administrative Trustees and the Initial
Purchaser of Common Securities, notices of all defaults with respect to the
Securities actually known to a Responsible Officer of the Property Trustee,
unless such defaults have been cured or waived before the giving of such notice
(the term “defaults” for the purposes of this Section 2.7(a) being
hereby defined to be an Event of Default as defined in the Indenture, not
including any periods of grace provided for therein and irrespective of the
giving of

 

12

 

any notice provided therein); provided that, except for a default in
the payment of principal of or Interest (as defined in the Indenture), the
Property Trustee shall be protected in withholding such notice if and so long
as a Responsible Officer of the Property Trustee in good faith determines that
the withholding of such notice is in the interests of the Holders.

 

(b)                                 The Property Trustee
shall not be deemed to have knowledge of any default except:

 

(i)  a default under Sections 5.01(a) (other
than the payment or non-payment of Compounded Interest, Liquidated Damages,
Additional Sums and Contingent Interest) and 5.01(b) of the Indenture; or

 

(ii)  any default as to which the
Property Trustee shall have received written notice or of which a Responsible
Officer charged with the administration of the Declaration shall have actual
knowledge.

 

(c)                                  The Debenture Issuer,
and either the Debenture Issuer or the Administrative Trustees on behalf of the
Trust, shall file annually with the Property Trustee a certification as to
whether or not they are in compliance with all the conditions and covenants
applicable to them under this Declaration.

 

ARTICLE III

ORGANIZATION

 

SECTION 3.1  Name.

 

The Trust is
named “AMG Capital Trust I” as such name may be modified from time to time
by the Administrative Trustees following written notice to the Delaware
Trustee, the Property Trustee and the Holders. The Trust’s activities may be
conducted under the name of the Trust or any other name deemed advisable by the
Administrative Trustees.

 

SECTION 3.2  Office.

 

The address of
the principal office of the Trust is c/o LaSalle Bank National Association, 135
South LaSalle Street, Suite 1151, Chicago, Illinois 60603, Attn: CDO Trust
Services Group – AMG Capital Trust I. On ten Business Days’ written notice to
the Delaware Trustee, the Property Trustee and the Holders of Securities, the
Administrative Trustees may designate another principal office.

 

SECTION 3.3  Purpose.

 

The exclusive
purposes and functions of the Trust are (a) to issue and sell the
Preferred Securities; (b) to issue and sell the Common Securities to the Initial
Purchaser of Common Securities in a total liquidation amount equal to at least
3 percent of the Trust’s total capital; (c) to use the proceeds from the
sale of the Securities to acquire the Debentures, and (d) except as
otherwise limited herein, to engage in only those other activities necessary,
advisable or incidental thereto, including, without limitation, those
activities specified in Sections 3.6, 3.8,

 

13

 

3.9, 3.10, 3.11 and/or 3.12. The Trust shall not acquire any
investments, sell or assign Trust property, borrow money, issue debt or
reinvest proceeds derived from investments, mortgage or pledge any of its
assets, take or consent to any action that would result in the placement of a
lien on any of the Trust property, issue any securities other than the
Preferred Securities or Common Securities or otherwise undertake (or permit to
be undertaken) any activity that would cause the Trust not to be classified for
United States federal income tax purposes as a grantor trust.

 

SECTION 3.4  Authority.

 

The Trust
shall have the power and authority and is hereby authorized to undertake the
actions set forth above and to own property and conduct its business as
described in the Offering Memorandum. Subject to the limitations provided in
this Declaration and to the specific duties of the Property Trustee, the
Administrative Trustees shall have exclusive and complete authority to carry
out the purposes of the Trust. An action taken by the Administrative Trustees
in accordance with their powers shall constitute the act of and serve to bind
the Trust and an action taken by the Property Trustee on behalf of the Trust in
accordance with its powers shall constitute the act of and serve to bind the
Trust. In dealing with the Trustees acting on behalf of the Trust, no Person
shall be required to inquire into the authority of the Trustees to bind the
Trust. Persons dealing with the Trust are entitled to rely conclusively on the
power and authority of the Trustees as set forth in this Declaration.

 

SECTION 3.5  Title to
Property of the Trust.

 

Except as
provided in Section 3.8 with respect to the Debentures and the Property
Trustee Account or as otherwise provided in this Declaration, legal title to
all assets of the Trust shall be vested in the Trust. The Holders shall not
have legal title to any part of the assets of the Trust, but shall have an
undivided beneficial interest in the assets of the Trust.

 

SECTION 3.6  Powers and
Duties of the Administrative Trustees.

 

The
Administrative Trustees, acting individually or together, shall have the
exclusive power, duty and authority, and are hereby authorized and directed, to
cause the Trust to engage in the following activities:

 

(a)                                  to issue and sell the
Securities in accordance with this Declaration; provided, however, (i) the
Trust may issue no more than one series of Preferred Securities and
no more than one series of Common Securities, (ii) there shall be no
interests in the Trust other than the Securities, and (iii) the issuance
of Securities shall be limited to a simultaneous issuance of both Preferred
Securities and Common Securities at the Closing Time;

 

(b)                                 in connection with the
issue and sale of the Preferred Securities at the direction of the Initial
Purchaser of Common Securities, to:

 

(i)  assist in the preparation of the
Offering Memorandum and the Disclosure Package, in each case prepared by the
Initial Purchaser of Common Securities, in relation to the offering and sale of
the Preferred Securities to “qualified institutional buyers” (as defined in Section 144A
of the Securities Act)

 

14

 

(“QIBs”) in reliance on Rule 144A under the Securities Act and to
execute and file with the Commission, at such time as determined by the Initial
Purchaser of Common Securities, a registration statement (the “Registration
Statement”) prepared by the Initial Purchaser of Common Securities, including
any amendments thereto, covering (a) resales by the holders of all
Preferred Securities (including the Guarantee Agreement), (b) resales by
the holders of all Debentures, and (c) resales by holders of the Common
Stock issuable upon conversion of Preferred Securities by the holder thereof,
and take all other actions as directed by the Initial Purchaser of Common
Securities in connection with the Registration Rights Agreement;

 

(ii)  execute and file any documents
prepared by the Initial Purchaser of Common Securities, or take any acts as
determined by the Initial Purchaser of Common Securities to be necessary in
order to qualify or register all or part of the Preferred Securities in
any state or foreign jurisdiction in which the Initial Purchaser of Common
Securities has determined to qualify or register such Preferred Securities for
sale;

 

(iii)  execute and file an application,
prepared by the Initial Purchaser of Common Securities, to the Private
Offerings, Resale and Trading through Automated Linkages (“PORTAL”) Market and,
at such time, if any, as determined by the Initial Purchaser of Common
Securities to the New York Stock Exchange, Inc. or any other national
stock exchange or the NASDAQ National Market for listing or quotation upon
notice of issuance of any Preferred Securities, but if and only if the Initial
Purchaser of Common Securities has authorized the Administrative Trustees to
make such filing;

 

(iv)  execute and deliver letters,
documents, or instruments with DTC and other Clearing Agencies relating to the
Preferred Securities;

 

(v)  execute and file with the
Commission a registration statement on Form 8-A, including any amendments
thereto, prepared by the Initial Purchaser of Common Securities relating to the
registration of the Preferred Securities under Section 12 of the Exchange
Act, but if and only if the Initial Purchaser of Common Securities has
authorized the Administrative Trustees to make such filing;

 

(vi)  execute and enter into the
Purchase Agreement providing for the sale of the Preferred Securities;

 

(vii)  execute and enter into the
Registration Rights Agreement and pursuant thereto execute and file with the
Commission a registration statement on Form S-1 or Form S-3,
including any amendments thereto, prepared by the Initial Purchaser of Common
Securities relating to the registration of the Preferred Securities under the Securities
Act; and

 

15

 

(viii)  execute and file any agreement,
certificate or other document which such Administrative Trustee deems necessary
or appropriate in connection with the issuance and sale of the Preferred
Securities;

 

(c)                                  to acquire the
Debentures with the proceeds of the sale of the Preferred Securities and the
Common Securities; provided, however, that the Administrative Trustees shall
cause legal title to the Debentures to be held of record in the name of the
Property Trustee for the benefit of the Holders of Preferred Securities and Holders
of Common Securities;

 

(d)                                 to give the Initial
Purchaser of Common Securities and the Property Trustee prompt written notice
of the occurrence of a Special Event;

 

(e)                                  to establish a record
date with respect to all actions to be taken hereunder that require a record
date be established, including and with respect to, for the purposes of Section 316(c) of
the Trust Indenture Act, Distributions (subject to Section 2(d) of
Annex I and Section 15.2 hereof), voting rights, redemptions and
exchanges, and to issue relevant notices to the Holders of Preferred Securities
and Holders of Common Securities as to such actions and applicable record
dates, except as such duty has expressly been accorded to the Property Trustee
under the terms hereof (including Annex I);

 

(f)                                    to take all actions
and perform such duties as may be required of the Administrative
Trustees pursuant to the terms of the Securities;

 

(g)                                 to bring or defend,
pay, collect, compromise, arbitrate, resort to legal action, or otherwise
adjust claims or demands of or against the Trust (“Legal Action”), unless
pursuant to Section 3.8(e), the Property Trustee has the exclusive power
to bring such Legal Action;

 

(h)                                 to defend all claims
and demands of all Persons at any time claiming any liens on any of the Trust property
adverse to the interest of the Trust or the Holders in their capacity as
Holders;

 

(i)                                     to employ or
otherwise engage employees and agents (who may be designated as officers
with titles) and managers, contractors, advisors, and consultants and pay
reasonable compensation for such services;

 

(j)                                     to cause the Trust
to comply with the Trust’s obligations under the Trust Indenture Act;

 

(k)                                  to give the
certificate required by Section 314(a)(4) of the Trust Indenture Act
to the Property Trustee, which certificate may be executed by any
Administrative Trustee;

 

(l)                                     to incur expenses
that are necessary or incidental to carry out any of the purposes of the Trust;

 

16

 

(m)                               to act as, or appoint
another Person to act as, Registrar, Conversion Agent or Exchange Agent for the
Securities or to appoint a Paying Agent for the Securities as provided in Section 7.4,
except for such time as such power to appoint a Paying Agent is vested in the
Property Trustee;

 

(n)                                 to take all action
that may be necessary or appropriate for the preservation and the
continuation of the Trust’s valid existence, rights, franchises and privileges
as a statutory trust under the laws of the State of Delaware and of each other
jurisdiction in which such existence is necessary to protect the limited
liability of the Holders or to enable the Trust to effect the purposes for
which the Trust was created;

 

(o)                                 to take any action,
not inconsistent with this Declaration, the Certificate of Trust or with
applicable law, that the Administrative Trustees determine in their discretion
to be necessary or desirable in carrying out the activities of the Trust as set
out in this Section 3.6, including, but not limited to:

 

(i)  causing the Trust not to be deemed
to be an Investment Company under the Investment Company Act;

 

(ii)  causing the Trust to be classified
for United States federal income tax purposes as a grantor trust and not as an
association taxable as a corporation or partnership; and

 

(iii)  cooperating with the Debenture
Issuer to ensure that the Debentures will be treated as indebtedness of the
Debenture Issuer for United States federal income tax purposes;

 

provided that any such action does not
materially adversely affect the interests of the Holders of the Preferred
Securities or cause the trust to be treated as other than a grantor trust for
United States federal income tax purposes;

 

(p)                                 to take all action
necessary to cause all applicable tax returns and tax information reports that
are required to be filed with respect to the Trust to be duly prepared and
filed by the Administrative Trustees, on behalf of the Trust; and

 

(q)                                 to execute all
documents or instruments, perform all duties and powers, and do all things
for and on behalf of the Trust in all matters necessary or incidental to the
foregoing.

 

The
Administrative Trustees must exercise the powers set forth in this Section 3.6
in a manner that is consistent with the purposes and functions of the Trust set
out in Section 3.3, and the Administrative Trustees shall not take any
action that is inconsistent with the purposes and functions of the Trust set
forth in Section 3.3.

 

Subject to
this Section 3.6, the Administrative Trustees shall have none of the
powers or the authority of the Property Trustee set forth in Section 3.8.

 

17

 

Any expenses
incurred by the Administrative Trustees pursuant to this Section 3.6 shall
be reimbursed by the Debenture Issuer.

 

Notwithstanding
any provision to the contrary in this Declaration, Annex I, any Exhibit hereto,
any Securities, the Indenture, the Securities Guarantee, or any other agreement
or document contemplated by any of the foregoing, and to the fullest extent
permitted by law, the Institutional Administrative Trustee (i) shall have
no duty (including, without limitation, fiduciary duty) whatsoever to act
hereunder, whether separately as Administrative Trustee or on behalf of the
Trust, until it receives written direction reasonably satisfactory to it from
the Initial Purchaser of Common Securities, and until it receives payment or
assurances of payment reasonably satisfactory to it of expenses from the
Debenture Issuer; (ii) shall have no liability to any Person (including,
without limitation, to the Trust, any Holder or any other Trustee) for any acts
or omissions taken or omitted to be taken by it pursuant to and in accordance
with such written direction from the Initial Purchaser of Common Securities,
and such acts and omissions by the Institutional Administrative Trustee shall
be deemed not to constitute negligence, gross negligence, bad faith or willful
misconduct (it being understood that any such liability shall be that of the
Debenture Issuer insofar as having directed such action); (iii) shall be
entitled, in addition to the protections, benefits, indemnities and immunities
granted to it hereunder, to all of the protections, benefits, indemnities and
immunities granted to the Property Trustee hereunder; and (iv) shall have
the right to resign as Administrative Trustee by delivery to the Initial
Purchaser of the Common Securities of a written notice of resignation not less
than 20 Business Days prior to the time the resignation is to take effect, and
such resignation shall be effective as provided in the notice of resignation
whether or not a Successor Administrative Trustee shall have been appointed.

 

SECTION 3.7  Prohibition
of Actions by the Trust and the Trustees.

 

(a)                                  The Trust shall not,
and the Trustees (including the Property Trustee and the Delaware Trustee)
shall not, engage in any business, activities or transactions except as
expressly provided herein or contemplated hereby. In particular, the Trust
shall not and the Administrative Trustees shall cause the Trust not to:

 

(i)  invest any proceeds received by the
Trust from holding the Debentures, but shall distribute all such proceeds to
Holders pursuant to the terms of this Declaration and of the Securities;

 

(ii)  acquire any investments or assets
other than as expressly provided herein, or engage in any activities not
authorized by this Declaration;

 

(iii)  sell, assign, transfer, exchange,
pledge, set-off or otherwise dispose of any of the Trust property or interests
therein, including to the Holders, except as expressly provided herein;

 

(iv)  take any action or fail to take
any action that would cause the Trust to fail or cease to qualify as a grantor
trust for United States federal income tax purposes;

 

(v)  possess Trust property for other
than a Trust purpose;

 

18

 

(vi)  make any loans or incur any
indebtedness;

 

(vii)  have any power to, or consent to
any action that would vary the investment (within the meaning of Treasury
Regulation Section 301.7701-4(c)) of the Trust or of the Holders;

 

(viii)  issue any securities or other
evidences of beneficial ownership of, or beneficial interest in, the Trust
other than the Securities;

 

(ix)  execute mortgages, pledge,
otherwise encumber any of the Trust’s assets or take or consent to any action
that would result in the placement of a lien on any of the Trust property; or

 

(x)  revoke
any action previously authorized or approved by a vote of the Holders of the
Preferred Securities, except by subsequent vote of such Holders.

 

(b)                                 So long as the
Property Trustee holds any Debentures, the Trustees may not, without
obtaining the prior consent of the Holders of a Majority in liquidation amount
of all outstanding Preferred Securities: (i) direct the time, method and
place of conducting any proceeding for any remedy available to the Debenture
Trustee, or execute any trust or power conferred on the Debenture Trustee with
respect to the Debentures; (ii) revoke any action previously authorized or
approved by a vote of the Holders of the Preferred Securities except by
subsequent vote of such Holders; (iii) waive any past default that is
waivable under Section 5.07 of the Indenture; (iv) exercise any right
to rescind or annul a declaration accelerating the maturity of the principal of
the Debentures; or (v) consent to any amendment, modification or
termination of the Indenture or the Debentures, where such consent shall be
required; provided further, where a consent under the Indenture would require
the consent of Holders of a Super Majority of the aggregate principal amount of
Debentures affected thereby, only the Holders of the percentage of that
aggregate stated liquidation amount of the Preferred Securities which is at
least equal to the percentage required under the Indenture may direct the
Property Trustee to give such consent. In addition to obtaining the approval of
the Holders of the Preferred Securities, the Property Trustee shall be under no
obligation to take any of the actions described in clause (iii), (iv) or (v) unless
the Property Trustee has obtained an Opinion of Counsel experienced in such
matters to the effect that the Trust will not fail to be classified as a
grantor trust for federal income tax purposes after taking the action into
account and each Holder will be treated as owning an undivided beneficial
interest in the Debentures. The foregoing provisions of this Section 3.7(b) are
subject to Section 7.8 hereof.

 

SECTION 3.8  Powers and
Duties of the Property Trustee.

 

(a)                                  The legal title to
the Debentures shall be owned by and held of record in the name of the Property
Trustee in trust for the benefit of the Holders. The right, title and interest
of the Property Trustee to the Debentures shall vest automatically in each
Person who may hereafter be appointed as Property Trustee in accordance
with Section

 

19

 

5.7. Such vesting and cessation of title shall be effective whether or
not conveyancing documents with regard to the Debentures have been executed and
delivered.

 

(b)                                 The Property Trustee
shall not transfer its right, title and interest in the Debentures to the
Administrative Trustees (in its capacity as such to the extent that the Person
serving as Property Trustee is also an Administrative Trustee) or to the
Delaware Trustee (if the Property Trustee does not also act as Delaware
Trustee).

 

(c)                                  The Property Trustee
shall:

 

(i)  establish and maintain a segregated
non-interest bearing trust account (the “Property Trustee Account”) in the name
of and under the exclusive control of the Property Trustee on behalf of the
Holders and, upon the receipt of payments of funds made in respect of the
Debentures held by the Property Trustee, deposit such funds into the Property
Trustee Account and make payments or cause the Paying Agent to make payments to
the Holders from the Property Trustee Account in accordance with Section 6.1.
Funds in the Property Trustee Account shall be held uninvested until disbursed
in accordance with this Declaration. The Property Trustee Account shall be an
account that is maintained with a banking institution the rating on whose
long-term unsecured indebtedness by a “nationally recognized statistical rating
organization,” as that term is defined for purposes of Rule 436(g)(2) under
the Securities Act, is at least investment grade;

 

(ii)  engage in such ministerial
activities as shall be necessary or appropriate to effect the redemption of the
Trust Securities to the extent the Debentures are redeemed or mature; and

 

(iii)  upon written notice of
distribution issued by the Administrative Trustees in accordance with the terms
of the Securities, engage in such ministerial activities as shall be necessary
or appropriate to effect the distribution of the Debentures to Holders upon the
occurrence of certain events.

 

(d)                                 The Property Trustee
shall take all actions and perform such duties as may be specifically
required of the Property Trustee pursuant to the terms of this Declaration and
the Securities.

 

(e)                                  Subject to Section 3.9(a),
the Property Trustee shall take any Legal Action which arises out of or in
connection with an Event of Default (of which a Responsible Officer has actual
knowledge), including in respect of enforcing rights under the Indenture and
the Debentures in respect of an event of default thereunder, or the Property
Trustee’s duties and obligations under this Declaration or the Trust Indenture
Act.

 

(f)                                    The Property
Trustee shall not resign as a Trustee unless either:

 

(i)  the Trust has been completely
liquidated and the proceeds of the liquidation distributed to the Holders
pursuant to the terms of the Securities; or

 

20

 

(ii)  a successor Property Trustee has
been appointed and has accepted that appointment in accordance with Section 5.7
(a “Successor Property Trustee”).

 

(g)                                 The Property Trustee
shall have the legal power to exercise all of the rights, powers and privileges
of a holder of Debentures under the Indenture and, if an Event of Default
actually known to a Responsible Officer occurs and is continuing, the Property
Trustee shall, for the benefit of Holders, enforce its rights as holder of the
Debentures subject to the rights of the Holders pursuant to the terms of this
Declaration and the Securities.

 

(h)                                 The Property Trustee
shall be authorized to undertake any actions set forth in Section 317(a) of
the Trust Indenture Act.

 

(i)                                     For such time as
the Property Trustee is the Paying Agent, the Property Trustee may authorize
one or more Persons, acceptable to the Administrative Trustees and the Holder
of Common Securities, to act as additional Paying Agents and to pay
Distributions, redemption payments or liquidation payments on behalf of the
Trust with respect to all Securities and any such Paying Agent shall comply
with Section 317(b) of the Trust Indenture Act. Any such additional
Paying Agent may be removed by the Property Trustee at any time the
Property Trustee remains as Paying Agent and a successor Paying Agent or
additional Paying Agents may be (but are not required to be) appointed at
any time by the Property Trustee while the Property Trustee is so acting as
Paying Agent.

 

(j)                                     The Property
Trustee shall give prompt written notice to Holders of any notice received from
the Debenture Issuer of its election to defer payments of interest on the
Debentures by extending the interest payment period under the Indenture.

 

(k)                                  Subject to this Section 3.8,
the Property Trustee shall have none of the duties, liabilities, powers or the
authority of the Administrative Trustees set forth in Section 3.6.

 

Notwithstanding
anything expressed or implied to the contrary in this Declaration or any Annex
or Exhibit hereto, (i) the Property Trustee must exercise the powers
set forth in this Section 3.8 in a manner that is consistent with the
purposes and functions of the Trust set out in Section 3.3, and (ii) the
Property Trustee shall not take any action that is inconsistent with the
purposes and functions of the Trust set out in Section 3.3.

 

SECTION 3.9  Certain
Duties and Responsibilities of the Property Trustee.

 

(a)                                  The Property Trustee,
before the occurrence of any Event of Default and after the curing or waiving
of all Events of Default that may have occurred, shall undertake to perform only
such duties as are specifically set forth in this Declaration and in the
Securities and no implied covenants or obligations shall be read into this
Declaration against the Property Trustee. In case an Event of Default has
occurred (that has not been cured or waived pursuant to Section 2.6) of
which a Responsible Officer has actual knowledge, the Property Trustee shall
exercise such of the rights and powers vested in it by this Declaration, and
use the same degree of care and skill in their

 

21

 

exercise, as a prudent person would exercise or use under the
circumstances in the conduct of his or her own affairs. If no such Event of
Default exists and the Property Trustee is required to decide between
alternative courses of action or to construe ambiguous provisions in this
Declaration or is unsure of the application of any provision of this
Declaration, and the matter is not one on which Holders of the Preferred
Securities or the Common Securities are entitled under this Declaration to
vote, then the Property Trustee shall take such action as directed by the
Holder of Common Securities and, if not directed, shall take such action as it
deems advisable and in the best interests of the Holders of Preferred
Securities and will have no liability, except for its own bad faith, negligence
or willful misconduct.

 

(b)                                 No provision of this
Declaration shall be construed to relieve the Property Trustee from liability
for its own negligent action, its own negligent failure to act, or its own
willful misconduct, except that:

 

(i)  prior to the occurrence of an Event
of Default and after the curing or waiving of all such Events of Default that may have
occurred:

 

(A)  the duties and obligations of the
Property Trustee shall be determined solely by the express provisions of this
Declaration and in the Securities and the Property Trustee shall not be liable
except for the performance of such duties and obligations as are specifically
set forth in this Declaration and in the Securities, and no implied covenants
or obligations shall be read into this Declaration against the Property
Trustee; and

 

(B)  in the absence of bad faith on the part of
the Property Trustee, the Property Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed
therein, upon any certificates or opinions furnished to the Property Trustee
and conforming to the requirements of this Declaration; provided, however, that
in the case of any such certificates or opinions that by any provision hereof
are specifically required to be furnished to the Property Trustee, the Property
Trustee shall be under a duty to examine the same to determine whether or not
on their face they conform to the requirements of this Declaration (but
need not confirm or investigate the accuracy of mathematical calculations or
other facts stated therein);

 

(ii)  the Property Trustee shall not be
liable for any error of judgment made in good faith by a Responsible Officer,
unless it shall be proved that the Property Trustee was negligent in
ascertaining the pertinent facts;

 

(iii)  the Property Trustee shall not be
liable with respect to any action taken or omitted to be taken by it in good
faith in accordance with the direction of the Holders of not less than a
majority in liquidation amount of the Securities relating to the time, method
and place of conducting any proceeding for any

 

22

 

remedy available to the Property Trustee, or exercising any trust or
power conferred upon the Property Trustee under this Declaration;

 

(iv)  no provision of this Declaration
shall require the Property Trustee to expend or risk its own funds or otherwise
incur personal financial liability in the performance of any of its duties or
in the exercise of any of its rights or powers, if it shall have reasonable
grounds for believing that the repayment of such funds or liability is not
reasonably assured to it under the terms of this Declaration or indemnity
reasonably satisfactory to the Property Trustee against such risk or liability
is not reasonably assured to it;

 

(v)  the Property Trustee’s sole duty
with respect to the custody, safe keeping and physical preservation of the
Debentures and the Property Trustee Account shall be to deal with such property
in a similar manner as the Property Trustee deals with similar property for its
own account, subject to the protections and limitations on liability afforded
to the Property Trustee under this Declaration and the Trust Indenture Act;

 

(vi)  the Property Trustee shall have no
duty or liability for or with respect to the value, genuineness, existence or
sufficiency of the Debentures or the payment of any taxes or assessments levied
thereon or in connection therewith;

 

(vii)  the Property Trustee shall not be
liable for any interest on any money received by it. Money held by the Property
Trustee need not be segregated from other funds held by it except in relation
to the Property Trustee Account maintained by the Property Trustee pursuant to Section 3.8(c)(i) and
except to the extent otherwise required by law;

 

(viii)  the Property Trustee shall not
be responsible for monitoring the compliance by the Administrative Trustees or
the Initial Purchaser of Common Securities with their respective duties under
this Declaration, nor shall the Property Trustee be liable for any default or
misconduct of the Administrative Trustees (other than to the extent that the
Property Trustee also serves as an Administrative Trustee) or the Initial
Purchaser of Common Securities; and

 

(ix)  the Property Trustee shall not be
deemed to have notice of any Event of Default unless a Responsible Officer of
the Property Trustee has actual knowledge thereof or unless written notice of
any event which is in fact such a default is received by the Property Trustee
at the Corporate Trust Office of the Property Trustee, and such notice
references the Securities and this Indenture, except as set forth in Section 2.7(b).

 

SECTION 3.10  Certain
Rights of Property Trustee.

 

(a)                                  Subject to the
provisions of Section 3.9:

 

(i)  the Property Trustee may conclusively
rely and shall be fully protected in acting or refraining from acting upon any
resolution, certificate, statement,

 

23

 

instrument, opinion, report, notice, request, direction, consent,
order, bond, debenture, note, other evidence of indebtedness or other paper or
document believed by it to be genuine and to have been signed, sent or
presented by the proper party or parties;

 

(ii)  any direction or act of the
Initial Purchaser of Common Securities or the Administrative Trustees
contemplated by this Declaration may be sufficiently evidenced by an Officers’
Certificate;

 

(iii)  whenever in the administration of
this Declaration, the Property Trustee shall deem it desirable that a matter be
proved or established before taking, suffering or omitting any action
hereunder, the Property Trustee (unless other evidence is herein specifically
prescribed) may, in the absence of bad faith on its part, request and
conclusively rely upon an Officers’ Certificate which, upon receipt of such
request, shall be promptly delivered by the Initial Purchaser of Common Securities
or the Administrative Trustees;

 

(iv)  the Property Trustee shall have no
duty to see to any recording, filing or registration of any instrument
(including any financing or continuation statement or any filing under tax or
securities laws) or any rerecording, refiling or re-registration thereof;

 

(v)  the Property Trustee may consult
with counsel or other experts of its selection and the advice or opinion of
such counsel and experts with respect to legal matters or advice within the
scope of such experts’ area of expertise shall be full and complete
authorization and protection in respect of any action taken, suffered or
omitted by it hereunder in good faith and in accordance with such advice or
opinion, such counsel may be counsel to the Initial Purchaser of Common
Securities or any of its Affiliates, and may include any of its employees.
The Property Trustee shall have the right at any time to seek instructions
concerning the administration of this Declaration from any court of competent
jurisdiction;

 

(vi)  the Property Trustee shall be
under no obligation to exercise any of the rights or powers vested in it by
this Declaration at the request or direction of any Holder, unless such Holder
shall have provided to the Property Trustee security and indemnity, reasonably
satisfactory to the Property Trustee, against the costs, expenses (including
reasonable attorneys’ fees and expenses and the expenses of the Property
Trustee’s agents, nominees or custodians) and liabilities that might be
incurred by it in complying with such request or direction, including such
reasonable advances as may be requested by the Property Trustee provided,
that, nothing contained in this Section 3.10(a)(vi) shall be taken to
relieve the Property Trustee, upon the occurrence of an Event of Default, of
its obligation to exercise the rights and powers vested in it by this
Declaration;

 

(vii)  the Property Trustee shall not be
bound to make any investigation into the facts or matters stated in any
resolution, certificate, statement, instrument,

 

24

 

opinion, report, notice, request, direction, consent, order, bond,
debenture, note, other evidence of indebtedness or other paper or document, but
the Property Trustee, in its discretion, may make such further inquiry or
investigation into such facts or matters as it may see fit;

 

(viii)  the Property Trustee may execute
any of the trusts or powers hereunder or perform any duties hereunder
either directly or by or through agents, custodians, nominees or attorneys and
the Property Trustee shall not be responsible for any misconduct or negligence
on the part of any such agent, custodian, nominee or attorney appointed
with due care by it hereunder;

 

(ix)  any action taken by the Property
Trustee or its agents hereunder shall bind the Trust and the Holders, and the
signature of the Property Trustee or its agents alone shall be sufficient and
effective to perform any such action and no third party shall be required
to inquire as to the authority of the Property Trustee to so act or as to its
compliance with any of the terms and provisions of this Declaration, both of
which shall be conclusively evidenced by the Property Trustee’s or its agent’s
taking such action;

 

(x) 
whenever in the administration of this Declaration the Property Trustee
shall deem it desirable to receive instructions with respect to enforcing any
remedy or right or taking any other action hereunder, the Property Trustee (i) may request
instructions from the Holders which instructions may only be given by the
Holders of the same proportion in liquidation amount of the Securities as would
be entitled to direct the Property Trustee under the terms of the Securities in
respect of such remedy, right or action, (ii) may refrain from enforcing
such remedy or right or taking such other action until such instructions are
received, and (iii) shall be protected in conclusively relying on or
acting in accordance with such instructions;

 

(xi) 
except as otherwise expressly provided by this Declaration, the Property
Trustee shall not be under any obligation to take any action that is
discretionary under the provisions of this Declaration;

 

(xii) 
the Property Trustee shall not be liable for any action taken, suffered,
or omitted to be taken by it in good faith, without negligence, and reasonably
believed by it to be authorized or within the discretion or rights or powers
conferred upon it by this Declaration;

 

(xiii) 
the rights, privileges, protections, immunities and benefits given to
the Property Trustee, including, without limitation, its right to be
indemnified, are extended to, and shall be enforceable by, the Property Trustee
in each of its capacities hereunder, and to each agent, custodian and other
Person employed to act hereunder;

 

(xiv) 
the Property Trustee may request that the Initial Purchaser of
Common Securities deliver an Officers’ Certificate setting forth the names of

 

25

 

individuals and/or titles of officers authorized at such time to take
specified actions pursuant to this Declaration, which Officers’ Certificate may be
signed by any person authorized to sign an Officers’ Certificate, including any
person specified as so authorized in any such certificate previously delivered
and not superseded; and

 

(xv) 
The permissive rights of the Property Trustee to do things enumerated in
this Declaration shall not be construed as duties.

 

(b)                                 No provision of this
Declaration shall be deemed to impose any duty or obligation on the Property
Trustee to perform any act or acts or exercise any right, power, duty or
obligation conferred or imposed on it, in any jurisdiction in which it shall be
illegal, or in which the Property Trustee shall be unqualified or incompetent
in accordance with applicable law, to perform any such act or acts, or to
exercise any such right, power, duty or obligation. No permissive power or
authority available to the Property Trustee shall be construed to be a duty. In
the exercise of its discretion, the Property Trustee shall take no action or
fail to take any action that, to the actual knowledge of a Responsible Officer
of the Property Trustee, would cause the Trust to be treated as other than a
grantor trust for U.S. federal income tax purposes, provided, however, that the
Property Trustee, at the expense of the Initial Purchaser of Common Securities,
shall consult with legal tax counsel experienced in such matters in the event
of an Event of Default.

 

SECTION 3.11  Delaware
Trustee.

 

Notwithstanding
any other provision of this Declaration other than Section 5.2, the
Delaware Trustee shall not be entitled to exercise any powers, nor shall the
Delaware Trustee have any of the duties and responsibilities of the
Administrative Trustees or the Property Trustee described in this Declaration.
Except as set forth in Section 5.2, the Delaware Trustee shall be a
Trustee for the sole and limited purpose of fulfilling the requirements of Section 3807
of the Statutory Trust Act. In the event the Delaware Trustee shall at any time
be required to take any action or perform any duty hereunder, the Delaware
Trustee shall be entitled to the benefits of Section 3.9(b)(ii) to
(viii), inclusive, and Section 3.10. No implied covenants or obligations
shall be read into this Declaration against the Delaware Trustee.

 

SECTION 3.12  Execution
of Documents.

 

Unless
otherwise determined by the Administrative Trustees, and except as otherwise
required by the Statutory Trust Act, a majority of the Administrative Trustees
or, if there are only two, any Administrative Trustee or, if there is only one,
such Administrative Trustee is authorized to execute and deliver on behalf of
the Trust any documents that the Administrative Trustees have the power and
authority to execute pursuant to Section 3.6; provided that the
Registration Statement referred to in Section 3.6(b)(i), including any
amendments thereto, shall, to the extent required by applicable law,  be signed by (or on behalf of) all of the
Administrative Trustees.

 

26

 

SECTION 3.13  Not
Responsible for Recitals or Issuance of Securities.

 

The recitals
contained in this Declaration and the Securities shall be taken as the
statements of the Initial Purchaser of Common Securities, and the Trustees do
not assume any responsibility for their correctness. The Trustees make no
representations as to the value or condition of the property of the Trust or
any part thereof. The Trustees make no representations as to the validity
or sufficiency of this Declaration or the Securities.

 

SECTION 3.14  Duration of
Trust.

 

The Trust,
unless terminated pursuant to the provisions of Article VIII hereof, shall
have existence up to April 3, 2041.

 

SECTION 3.15  Mergers.

 

(a)                                  The Trust may not
merge with or into, consolidate, amalgamate, or be replaced by, or convey,
transfer or lease all or substantially all of its properties and assets to any
Person, except as described in Section 3.15(b) and (c) and
except with respect to the distribution of Debentures to Holders pursuant to Section 8.1(a)(iii) of
this Declaration or Section 3 of Annex I.

 

(b)                                 The Trust may, at the
request of the Holder of Common Securities, with the consent of the
Administrative Trustees or, if there are more than two, a majority of the
Administrative Trustees and without the consent of the Holders, the Delaware
Trustee or the Property Trustee, merge with or into, consolidate, amalgamate,
or be replaced by, or convey, transfer or lease all or substantially all of its
properties and assets to, a trust organized as such under the laws of any
State; provided that:

 

(i)  such successor entity (if not the
original Trust) (the “Successor Entity”) either:

 

(A)  expressly assumes all of the
obligations of the Trust under the Securities; or

 

(B)  substitutes for the Securities other
securities having substantially the same terms as the Securities (the “Successor
Securities”) so long as the Successor Securities rank the same as the
Securities rank with respect to Distributions and payments upon liquidation,
redemption and otherwise, provided, however that the Administrative Trustee
first obtains the opinion of counsel of the Trust experienced in such matters,
to the effect that such substitution would not vary the investment (within the
meaning of Treasury Regulation Section 301.7701-4(c)) of the Trust or of
the Holders;

 

(ii)  the Holder of Common Securities
expressly appoints a trustee of any Successor Entity that possesses the same
powers and duties as the Property Trustee as the holder of the Debentures;

 

27

 

(iii)  any such preferred Successor
Securities are listed, or any such preferred Successor Securities will be
listed upon notification of issuance, on any national securities exchange or
with another organization on which the Preferred Securities are then listed or
quoted, if any;

 

(iv)  if the Preferred Securities
(including any Successor Securities) or the Debentures are rated by any
nationally recognized statistical rating organization prior to such
transaction, such merger, consolidation, amalgamation, replacement, conveyance,
transfer or lease does not cause either the Preferred Securities (including any
Successor Securities), or the Debentures to have a lower rating by any
nationally recognized statistical rating organization;

 

(v)  such merger, consolidation,
amalgamation, replacement, conveyance, transfer or lease does not adversely
affect the rights, preferences and privileges of the Holders (including the
holders of any Successor Securities) in any material respect or cause the Trust
or the successor entity to be treated as other than a grantor trust for United
States federal income tax purposes;

 

(vi)  any Successor Entity has a purpose
substantially identical to that of the Trust;

 

(vii)  prior to such merger, consolidation,
amalgamation, replacement, conveyance, transfer or lease, each of the Holder of
Common Securities and the Property Trustee has received an opinion of counsel
to the Trust experienced in such matters to the effect that:

 

(A)  such merger, consolidation,
amalgamation, replacement, conveyance, transfer or lease does not adversely
affect the rights, preferences and privileges of the Holders (including the
holders of any Successor Securities) in any material respect;

 

(B)  following such merger, consolidation,
amalgamation, replacement, conveyance, transfer or lease, neither the Trust nor
the Successor Entity will be an Investment Company; and

 

(C)  following such merger,
consolidation, amalgamation, replacement, conveyance, transfer or lease, the
Trust continues to be, and the Successor Entity will be, classified as a
grantor trust for United States federal income tax purposes;

 

(viii)  the Holder of Common Securities
or any permitted successor or assignee owns all of the common securities of any
Successor Entity and guarantees the obligations of such Successor Entity under
any Successor Securities at least to the extent provided by the Guarantee
Agreement; and

 

(ix)  there shall have been furnished to
the Property Trustee an Officer’s Certificate and an Opinion of Counsel, each
to the effect that all conditions precedent in this Declaration to such
transaction have been satisfied.

 

28

 

(c)                                  Notwithstanding Section 3.15(b),
the Trust shall not, except with the consent of Holders of 100% in liquidation
amount of the Securities, consolidate, amalgamate, merge with or into, or be
replaced by, or convey, transfer or lease all or substantially all of its
properties and assets to any other Person or permit any other Person to
consolidate, amalgamate, merge with or into, or replace it if such
consolidation, amalgamation, merger, replacement, conveyance, transfer or lease
would cause the Trust or the Successor Entity not to be classified as a grantor
trust for United States federal income tax purposes or would cause any holder
of the Preferred Securities or the Successor Securities not to be treated as
owning an undivided beneficial interest in the Debentures.

 

ARTICLE IV

INITIAL PURCHASER OF COMMON SECURITIES

 

SECTION 4.1  Purchase of
Common Securities by Initial Purchaser.

 

At the Closing
Time, the Initial Purchaser of Common Securities will purchase all of the
Common Securities then issued by the Trust, the aggregate liquidation amount of
which shall at such date equal at least 3% of the total capital of the Trust.

 

SECTION 4.2  Responsibilities
of the Initial Purchaser of Common Securities.

 

In connection
with the issue and sale of the Preferred Securities, the Initial Purchaser of
Common Securities shall have the exclusive right and responsibility to engage
in the following activities:

 

(a)                                  to prepare the
Disclosure Package and the Offering Memorandum and to prepare for filing by the
Trust with the Commission the Registration Statement, including any amendments
thereto;

 

(b)                                 to determine the
states and foreign jurisdictions in which to take appropriate action to qualify
or register for sale all or part of the Preferred Securities and to do any
and all such acts other than actions which must be taken by the Trust, and advise
the Trust of actions it must take, and prepare for execution and filing any
documents to be executed and filed by the Trust, as the Initial Purchaser of
Common Securities deems necessary or advisable in order to comply with the
applicable laws of any such states and foreign jurisdictions;

 

(c)                                  if so determined by
the Initial Purchaser of Common Securities, to prepare for filing by the Trust
an application to PORTAL;

 

(d)                                 to prepare for filing
by the Trust with the Commission a registration statement on Form 8-A
relating to the registration of the Preferred Securities under Section 12
of the Exchange Act, including any amendments thereto, if the Initial Purchaser
of Common Securities in its sole discretion determines such a filing is
necessary or appropriate;

 

29

 

(e)                                  to negotiate the
terms of the Purchase Agreement, the Registration Rights Agreement and other
related agreements providing for the sale of the Preferred Securities; and

 

(f)                                    to execute all
documents or instruments, perform all duties and powers, and do all things
for and on behalf of the Trust in all matters necessary or incidental to the
foregoing.

 

SECTION 4.3  Right to
Proceed.

 

The Initial
Purchaser of Common Securities acknowledges the rights of the Holders of
Preferred Securities, in the event that a failure of the Trust to pay
Distributions on the Preferred Securities is attributable to the failure of the
Debenture Issuer to pay Interest or principal on the Debentures and the rights
of the Holders to institute a proceeding directly against the Debenture Issuer
for enforcement of its payment obligations on the Debentures.

 

SECTION 4.4  Right to
Terminate Trust.

 

The Holder of
Common Securities will have the right at any time to terminate the Trust and,
after satisfaction of liabilities to creditors of the Trust as required by
applicable law, to cause the Debentures to be distributed to the Holders of the
Trust Securities in liquidation of the Trust.

 

SECTION 4.5  Obligations
of the Initial Purchaser.

 

The Initial
Purchaser of Common Securities agrees to take the position, for United States
federal and state income tax purposes, that (i) the Trust is a grantor
trust and not a partnership or any association taxable as a corporation, and (ii) the
Debentures constitute indebtedness of the Company that is subject to the
Treasury Regulations governing contingent payment debt instruments (“CPDI
Regulations”).

 

ARTICLE V

TRUSTEES

 

SECTION 5.1  Number of
Trustees: Appointment of Co-Trustee.

 

The number of
Trustees initially shall be three, consisting of one Administrative Trustee,
the Delaware Trustee and the Property Trustee, and:

 

(a)                                  at any time before
the issuance of any Securities, the Initial Purchaser of Common Securities may,
by written instrument, increase or decrease the number of Trustees; and

 

(b)                                 after the issuance of
any Securities, the number of Trustees may be increased or decreased by
vote of the Holders of a Majority in liquidation amount of the Common
Securities voting as a class at a meeting of the Holders of the Common
Securities;

 

30

 

provided,
however, that, the number of Trustees shall in no event be less than three (3);
provided further that (1) one Trustee, in the case of a natural person,
shall be a person who is a resident of the State of Delaware or that, if not a
natural person, is an entity which has its principal place of business in the
State of Delaware (the “Delaware Trustee”); (2) there shall be at least
one Trustee to perform ministerial functions who may be an employee
or officer of, or is affiliated with, the Initial Purchaser of Common
Securities (an “Administrative Trustee”); and (3) one Trustee shall be the
Property Trustee for so long as this Declaration is required to qualify as an
indenture under the Trust Indenture Act, and such Trustee may also serve
as Delaware Trustee if it meets the applicable requirements. The term “Administrative
Trustees” as used herein shall include all Trustees who are Administrative
Trustees of the Trust, or if there shall be only one Administrative Trustee,
then such term shall be deemed to refer to such Administrative Trustee.
Notwithstanding the above, unless an Event of Default shall have occurred and
be continuing, at any time or times, for the purpose of meeting the legal
requirements of the Trust Indenture Act or of any jurisdiction in which any part of
the Trust’s property may at the time be located, the Holders of a Majority
in liquidation amount of the Common Securities acting as a class at a
meeting of the Holders of the Common Securities, and the Administrative
Trustees shall have power to appoint one or more Persons either to act as a
co-trustee, jointly with the Property Trustee, of all or any part of the
Trust’s property, or to act as separate trustee of any such property, in either
case with such powers as may be provided in the instrument of appointment,
and to vest in such Person or Persons in such capacity any property, title,
right or power deemed necessary or desirable, subject to the provisions of this
Declaration. In case an Event of Default has occurred and is continuing, the
Property Trustee alone shall have power to make any such appointment of a
co-trustee.

 

SECTION 5.2  Delaware
Trustee.

 

If required by
the Statutory Trust Act, the Delaware Trustee shall be:

 

(a)                                  a natural person who
is a resident of the State of Delaware; or

 

(b)                                 if not a natural
person, an entity which has its principal place of business in the State of
Delaware, and otherwise meets the requirements of applicable law,

 

provided that,
if the Property Trustee has its principal place of business in the State of
Delaware and otherwise meets the requirements of applicable law, then the
Property Trustee shall also be the Delaware Trustee and Section 3.11 shall
have no application.

 

SECTION 5.3  Property
Trustee; Eligibility.

 

(a)                                  There shall at all
times be one Trustee (the “Property Trustee”) which shall act as Property
Trustee which shall:

 

(i)  not be an Affiliate of the Initial
Purchaser of Common Securities; and

 

(ii)  be a corporation or national
banking association organized and doing business under the laws of the United
States of America or any State or Territory thereof or of the District of
Columbia, or a corporation or Person permitted by the Commission to act as an
institutional trustee under the Trust Indenture Act,

 

31

 

authorized under such laws to exercise corporate trust powers, having a
combined capital and surplus of at least 50 million U.S. dollars ($50,000,000),
and subject to supervision or examination by federal, state, territorial or
District of Columbia authority. If such corporation or national banking
association publishes reports of condition at least annually, pursuant to law
or to the requirements of the supervising or examining authority referred to
above, then for the purposes of this Section 5.3(a)(ii), the combined
capital and surplus of such Person shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published.

 

(b)                                 If at any time the
Property Trustee shall cease to be eligible to so act under Section 5.3(a),
the Property Trustee shall immediately resign in the manner and with the effect
set forth in Section 5.7(c).

 

(c)                                  If the Property
Trustee has or shall acquire any “conflicting interest” within the meaning of Section 310(b) of
the Trust Indenture Act, the Property Trustee and the Holder of the Common
Securities (as if it were the obligor referred to in Section 310(b) of
the Trust Indenture Act) shall in all respects comply with the provisions of Section 310(b) of
the Trust Indenture Act.

 

(d)                                 The Guarantee
Agreement shall be deemed to be specifically described in this Declaration for
purposes of clause (i) of the first provision contained in Section 310(b) of
the Trust Indenture Act.

 

(e)                                  The initial Property
Trustee shall be:

 

LaSalle Bank
National Association

135 South LaSalle Street, Suite 1151

Chicago, Illinois 60603

Fax: (312) 904-0524

Telephone: (312) 904-0283

Attention: CDO Trust Services Group –AMG Capital Trust I

 

SECTION 5.4  Certain
Qualifications of Administrative Trustees and Delaware Trustee Generally.

 

Each
Administrative Trustee and the Delaware Trustee (unless the Property Trustee
also acts as Delaware Trustee) shall be either a natural person who is at least
21 years of age or a legal entity that shall act through one or more Authorized
Officers.

 

SECTION 5.5  Administrative
Trustees.

 

The initial
Administrative Trustee shall be:

 

The
Institutional Administrative Trustee

LaSalle Bank National Association

135 South LaSalle Street, Suite 1151

Chicago, Illinois 60603

 

32

 

Fax: (312)
904-0524

Telephone: (312) 904-0283

Attention: CDO Trust Services Group –AMG Capital Trust I

 

(a)                                  To the extent that,
at any time or from time to time, there is more than one Administrative
Trustee,

 

(i)  except as expressly set forth in
this Declaration and except if a meeting of the Administrative Trustees is
called with respect to any matter over which the Administrative Trustees have
power to act, any power of the Administrative Trustees may be exercised
by, or with the consent of, any one such Administrative Trustee; and

 

(ii)  unless otherwise determined by the
Administrative Trustees, and except as otherwise required by the Statutory
Trust Act or applicable law, any Administrative Trustee is authorized to
execute on behalf of the Trust any documents which the Administrative Trustees
have the power and authority to cause the Trust to execute pursuant to Section 3.6,
provided, that, any Registration Statement referred to in Section 3.6,
including any amendments thereto, shall, to the extent required by applicable
law, be signed by all of the Administrative Trustees.

 

SECTION 5.6  Delaware
Trustee.

 

The initial
Delaware Trustee shall be:

 

Christiana
Bank & Trust Company

1314 King Street

Wilmington, Delaware 19801

Attn:  Corporate Trust Administration

Telecopy:  (302) 421-9015

Telephone:  (302) 888-7437

 

SECTION 5.7  Appointment,
Removal and Resignation of Trustees.

 

(a)                                  Except as provided
otherwise in this Section 5.7 and in Annex I hereto Trustees may be
appointed or removed without cause at any time:

 

(i)  until the issuance of any
Securities, by written instrument executed by the Initial Purchaser of Common
Securities;

 

(ii)  after the issuance of any
Securities:

 

(A)  unless an Event of Default shall
have occurred and be continuing, by vote of the Holders of a Majority in
liquidation amount of the Common Securities voting as a class at a meeting
of the Holders of the Common Securities, or without a meeting by the written
consent of the

 

33

 

Holders of a Majority in liquidation amount of the Common Securities;
and

 

(B)  if an Event of Default shall have
occurred and be continuing, in which event the Property Trustee or the Delaware
Trustee may be removed only by the vote of Holders of a Majority in
liquidation amount of the Preferred Securities voting as a class at a
meeting of Holders of the Preferred Securities, or without a meeting by the
written consent of the Holders of a Majority in liquidation amount of the
Preferred Securities.

 

(b)                                 (i)  The Trustee
that acts as Property Trustee shall not be removed in accordance with Section 5.7(a) until
a Successor Property Trustee has been appointed and has accepted such
appointment by written instrument executed by such Successor Property Trustee
and delivered to the removed Property Trustee, the remaining Trustees and the
Initial Purchaser of Common Securities; and

 

(ii)  The Trustee that acts as Delaware
Trustee shall not be removed in accordance with Section 5.7(a) until
a successor Trustee possessing the qualifications to act as Delaware Trustee
under Sections 5.2 and 5.4 (a “Successor Delaware Trustee”) has been appointed
and has accepted such appointment by written instrument executed by such
Successor Delaware Trustee and delivered to the removed Property Trustee, the
remaining Trustees and the Initial Purchaser of Common Securities.

 

(iii)  The Institutional Administrative
Trustee shall not be removed in accordance with Section 5.7(a) unless
and until at least one other Trustee shall have been appointed and shall have
accepted such appointment to act as an Administrative Trustee hereunder (a “Successor
Administrative Trustee”) by written instrument executed by such Successor
Administrative Trustee and delivered to the Initial Purchaser of Common
Securities.

 

(c)                                  A Trustee appointed
to office shall hold office until his successor shall have been appointed or
until his death, removal or resignation. Any Trustee may resign from
office (without need for prior or subsequent accounting) by an instrument in
writing signed by the Trustee and delivered to the other Trustees, the Initial
Purchaser of Common Securities and the Trust, which resignation shall take
effect upon such delivery or upon such later date as is specified therein;
provided, however, that:

 

(i)  No such resignation of the Trustee
that acts as the Property Trustee or the Institutional Administrative Trustee
shall be effective:

 

(A)  except as otherwise provided in Section 3.6,
until a Successor Property Trustee or Successor Administrative Trustee, as the
case may be, has been appointed and has accepted such appointment by
instrument executed by such Successor Property Trustee or Successor
Administrative Trustee, as the case may be, and delivered to the Trust,
the Delaware Trustee, the Initial Purchaser of Common Securities, the resigning

 

34

 

Property Trustee and/or the resigning Administrative Trustee, as
applicable; or

 

(B)  until the assets of the Trust have
been completely liquidated and the proceeds thereof distributed to the Holders;
and

 

(ii)  No such resignation of the Trustee
that acts as the Delaware Trustee shall be effective until a Successor Delaware
Trustee has been appointed and has accepted such appointment by instrument
executed by such Successor Delaware Trustee and delivered to the Trust, the
Property Trustee, the Initial Purchaser of Common Securities and the resigning
Delaware Trustee.

 

(d)                                 The Holders of the
Common Securities shall use their best efforts to promptly appoint a Successor
Delaware Trustee or Successor Property Trustee, as the case may be, if the
Property Trustee or the Delaware Trustee delivers an instrument of resignation
in accordance with this Section 5.7.

 

(e)                                  If no Successor
Property Trustee or Successor Delaware Trustee shall have been appointed and
accepted appointment as provided in this Section 5.7 within 60 days after
delivery of an instrument of resignation or removal, the Property Trustee or
Delaware Trustee resigning or being removed, as applicable, at the expense of
the Initial Purchaser of Common Securities, may petition any court of
competent jurisdiction for appointment of a Successor Property Trustee or
Successor Delaware Trustee. Such court may thereupon, after prescribing
such notice, if any, as it may deem proper and prescribe, appoint a
Successor Property Trustee or Successor Delaware Trustee, as the case may be.

 

(f)                                    No Property
Trustee, Delaware Trustee or the Institutional Administrative Trustee shall be
liable for the acts or omissions to act of any Successor Property Trustee,
Successor Delaware Trustee or Successor Administrative Trustee, as the case may be.

 

(g)                                 At the time of
resignation or removal of the Property Trustee, the Delaware Trustee or the
Institutional Administrative Trustee, the Debenture Issuer shall pay to such
Trustee any amounts that may be owed to such Trustee pursuant to Section 10.4.

 

SECTION 5.8  Vacancies
Among Trustees.

 

If a Trustee
ceases to hold office for any reason and the number of Trustees is not reduced
pursuant to Section 5.1, or if the number of Trustees is increased
pursuant to Section 5.1, a vacancy shall occur. A resolution certifying
the existence of such vacancy by the Administrative Trustees or, if there are
more than two, a majority of the Administrative Trustees shall be conclusive
evidence of the existence of such vacancy. The vacancy shall be filled with a
Trustee appointed in accordance with Section 5.7.

 

SECTION 5.9  Effect of
Vacancies.

 

The death,
resignation, retirement, removal, bankruptcy, dissolution, liquidation,
incompetence or incapacity to perform the duties of a Trustee shall not
operate to dissolve,

 

35

 

terminate or annul the Trust. Whenever a vacancy in the number of
Administrative Trustees shall occur, until such vacancy is filled by the
appointment of an Administrative Trustee in accordance with Section 5.7,
the Administrative Trustees in office, regardless of their number, shall have
all the powers granted to the Administrative Trustees and shall discharge all
the duties imposed upon the Administrative Trustees by this Declaration.

 

SECTION 5.10  Meetings.

 

If there is
more than one Administrative Trustee, meetings of the Administrative Trustees
shall be held from time to time upon the call of any Administrative Trustee.
Regular meetings of the Administrative Trustees may be held at a time and
place fixed by resolution of the Administrative Trustees. Notice of any
in-person meetings of the Administrative Trustees shall be hand delivered or
otherwise delivered in writing (including by facsimile, with a hard copy by
overnight courier) not less than 24 hours before such meeting. Notice of any
telephonic meetings of the Administrative Trustees or any committee thereof
shall be hand delivered or otherwise delivered in writing (including by
facsimile, with a hard copy by overnight courier) not less than 24 hours before
a meeting. Notices shall contain a brief statement of the time, place and
anticipated purposes of the meeting. The presence (whether in person or by
telephone) of an Administrative Trustee at a meeting shall constitute a waiver
of notice of such meeting except where an Administrative Trustee attends a
meeting for the express purpose of objecting to the transaction of any activity
on the ground that the meeting has not been lawfully called or convened. Unless
provided otherwise in this Declaration, any action of the Administrative
Trustees may be taken at a meeting by vote of a majority of the
Administrative Trustees present (whether in person or by telephone), provided
that a Quorum is present, or without a meeting by the unanimous written consent
of the Administrative Trustees. In the event there is only one Administrative
Trustee, any and all action of such Administrative Trustee shall be evidenced
by a written consent of such Administrative Trustee.

 

SECTION 5.11  Delegation
of Power.

 

(a)                                  Any Administrative
Trustee may, by power of attorney consistent with applicable law, delegate to
any other Person his, her or its power for the purpose of executing any
documents contemplated in Section 3.6, including any registration
statement or amendment thereto filed with the Commission, or making any other
governmental filing; and

 

(b)                                 The Administrative
Trustees shall have power to delegate from time to time to such of their number
or to officers of the Trust the doing of such things and the execution of such
instruments either in the name of the Trust or the names of the Administrative
Trustees or otherwise as the Administrative Trustees may deem expedient,
to the extent such delegation is not prohibited by applicable law or contrary
to the provisions of this Declaration.

 

SECTION 5.12  Merger,
Conversion, Consolidation or Succession to Business.

 

If the
Property Trustee, the Delaware Trustee or any Administrative Trustee that is
not a natural person, as the case may be, is merged, converted or
consolidated into another Person, or

 

36

 

any such Trustee is a party to a merger, conversion or consolidation
that results in a new entity, or any Person succeeds to all or substantially
all the corporate trust business of the Property Trustee, the Delaware Trustee
or any Administrative Trustee that is not a natural person, as the case may be,
the new entity shall be the successor of the Property Trustee, the Delaware
Trustee or the Administrative Trustee, as the case may be, hereunder,
without the execution or filing of any paper or any further act on the part of
any of the parties hereto, provided such Person shall be otherwise qualified
and eligible.

 

ARTICLE VI

DISTRIBUTIONS

 

Holders shall
receive Distributions in accordance with the applicable terms of the relevant
Holder’s Securities. If and to the extent that the Debenture Issuer makes a
payment of Interest (including Compounded Interest, Liquidated Damages,
Additional Sums and Contingent Interest) or principal on the Debentures held by
the Property Trustee, or other amounts payable thereunder with respect to
overdue installments of principal or Interest, or any other payments with
respect to the Debentures held by the Property Trustee (the amount of any such
payment being a “Payment Amount”), the Property Trustee shall and is directed,
to the extent funds are available for that purpose, to make a distribution (a “Distribution”)
of the Payment Amount to Holders.

 

ARTICLE VII

ISSUANCE OF SECURITIES

 

SECTION 7.1  General
Provisions Regarding Securities.

 

(a)                                  The Trust shall issue
one class of convertible trust preferred securities representing undivided
beneficial interests in the assets of the Trust having such terms as are set
forth in Annex I (the “Preferred Securities”) and one class of common
securities representing undivided beneficial interests in the assets of the
Trust having such terms as are set forth in Annex I (the “Common Securities”).
The Trust shall issue no securities or other interests in the assets of the
Trust other than the Preferred Securities and the Common Securities.

 

(b)                                 The consideration
received by the Trust for the issuance of the Securities shall constitute a
contribution to the capital of the Trust and shall not constitute a loan to the
Trust.

 

(c)                                  Upon issuance of the
Securities as provided in this Declaration, the Securities so issued shall be
deemed to be validly issued, fully paid and non-assessable.

 

(d)                                 Each Holder or
beneficial owner of any Preferred Security agrees, for U.S. federal income tax
purposes:

 

(i)  to treat the Trust as a grantor
trust and not as a partnership or an association taxable as a corporation;

 

37

 

(ii)  to the treatment of such Holder or
beneficial owner as a grantor owner of an undivided interest in the Debentures;

 

(iii)  to treat the Debentures as
indebtedness of the Initial Purchaser of Common Securities subject to the CPDI
Regulations;

 

(iv)  to accrue in gross income such
Holder’s or beneficial owner’s pro rata share of the interest income accruing
on the Debentures (in accordance with the “noncontingent bond method,” set
forth in section 1.1275-4(b) of the CPDI Regulations) on a constant
yield to maturity basis at a “comparable yield” (within the meaning of the CPDI
Regulations and treating the fair market value of the Common Stock to be
received by such Holder or beneficial owner upon conversion, if any, as a
contingent payment) of 7.50%, compounded quarterly, in accordance with the “projected
payment schedule” (within the meaning of section 1.1275-4(b) of the
CPDI Regulations) attached as Exhibit A-3 hereto, determined by the
Initial Purchaser of Common Securities; and

 

(v)  to treat such comparable yield and
projected payment schedule determined by the Initial Purchaser of Common
Securities as “reasonable” for the purposes of the CPDI Regulations.

 

(e)                                  On each day from the
date on which the Holder acquires the Preferred Securities through and
including the date on which the Holder disposes of its interests in such
Securities either that:  (a) such
Holder is not an employee benefit plan or other similar retirement plan or
arrangement, whether or not subject to the Employee Retirement Income Security
Act of 1974, as amended (“ERISA”) or Section 4975 of the Code (or any
similar laws or regulations), or an entity whose underlying assets are
considered to include the assets of any such plans and arrangements (each, a “Plan”)
and no part of the assets to be used by such Holder to acquire and/or hold
the Preferred Securities or any interest therein constitutes plan assets of any
Plan or (b) the acquisition, holding, and, if applicable, conversion of
the Preferred Securities by such Holder will not constitute a non-exempt
prohibited transaction under the Title I of ERISA or Section 4975 of the
Code or a violation under any other applicable laws and regulations that are
similar to the provisions of Title I of ERISA or Section 4975 of the Code;
and

 

(f)                                    Each Preferred
Security Certificate will bear the following legend:

 

BY ITS
ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT
AN EMPLOYEE BENEFIT PLAN OR OTHER SIMILAR RETIREMENT PLAN OR ARRANGEMENT,
WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
AS AMENDED (“ERISA”) OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986,
AS AMENDED (THE “CODE”) (OR ANY SIMILAR LAWS OR REGULATIONS) OR AN ENTITY WHOSE
UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH PLANS AND
ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE USED BY THE
HOLDER TO ACQUIRE AND/OR HOLD THIS CERTIFICATE OR

 

38

 

ANY INTEREST THEREIN CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE
ACQUISITION, HOLDING, AND, IF APPLICABLE, CONVERSION OF THIS CERTIFICATE WILL
NOT CONSTITUTE A NON-EXEMPT PROHIBITED TRANSACTION UNDER THE TITLE I OF ERISA
OR SECTION 4975 OF THE CODE OR A VIOLATION UNDER ANY OTHER APPLICABLE LAWS
AND REGULATIONS THAT ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975
OF THE CODE.

 

(g)                                 Every Person, by
virtue of having become a Holder or a beneficial owner in any Global Preferred
Security in accordance with the terms of this Declaration, shall be deemed to
have expressly assented and agreed to the terms of, and shall be bound by, this
Declaration.

 

SECTION 7.2  Execution
and Authentication.

 

(a)                                  The Securities shall
be signed on behalf of the Trust by an Administrative Trustee. In case any
Administrative Trustee of the Trust who shall have signed any of the Securities
shall cease to be such Administrative Trustee before the Securities so signed
shall be delivered by the Trust, such Securities nevertheless may be
delivered as though the person who signed such Securities had not ceased to be
such Administrative Trustee; and any Securities may be signed on behalf of
the Trust by such persons who, at the actual date of execution of such
Security, shall be the Administrative Trustees of the Trust, although at the
date of the execution and delivery of the Declaration any such person was not
an Administrative Trustee.

 

(b)                                 One Administrative
Trustee shall sign the Securities for the Trust by manual or facsimile
signature.

 

A Preferred
Security shall not be valid until authenticated by the manual signature of an
authorized signatory of the Property Trustee. The signature shall be conclusive
evidence that the Preferred Security has been authenticated under this
Declaration.

 

Upon a written
order of the Trust signed by the Initial Holder of Common Securities, the Property
Trustee shall authenticate the Preferred Securities for original issue. The
aggregate number of Preferred Securities outstanding at any time shall not
exceed the number set forth in the Terms in Annex I hereto except as provided
in Section 7.6.

 

The Property
Trustee may appoint an authenticating agent acceptable to the Trust to
authenticate Preferred Securities. An authenticating agent may authenticate
Preferred Securities whenever the Property Trustee may do so. Each
reference in this Declaration to authentication by the Property Trustee
includes authentication by such agent. An authenticating agent has the same
rights as the Property Trustee to deal with the Initial Purchaser of Common
Securities or an Affiliate.

 

SECTION 7.3  Form and
Dating.

 

The Preferred
Securities shall be evidenced by one or more certificates substantially in the form of
Exhibit A-1 and the Common Securities shall be evidenced by one or more

 

39

 

certificates substantially in the form of Exhibit A-2, each
of which is hereby incorporated in and expressly made a part of this
Declaration. The Property Trustee’s certificate of authentication shall be
substantially in the form set forth in Exhibit A-1. Certificates
representing the Securities may be printed, lithographed or engraved or may be
produced in any other manner as is reasonably acceptable to the Administrative
Trustees, as evidenced by their execution thereof. The Securities may have
letters, CUSIP or other numbers, notations or other marks of identification or
designation and such legends or endorsements required by law, stock exchange
rule, agreements to which the Trust is subject, if any, or usage (provided that
any such notation, legend or endorsement is in a form acceptable to the
Trust). The Trust at the direction of the Initial Purchaser of Common
Securities shall furnish any such legend not contained in Exhibit A-1 to
the Property Trustee in writing. Each Security shall be dated the date of its
authentication. The terms and provisions of the Securities set forth in Annex I
and the forms of Securities set forth in Exhibits A-1 and A-2 are part of
the terms of this Declaration and to the extent applicable, the Property
Trustee and the Initial Purchaser of Common Securities, by their execution and
delivery of this Declaration, expressly agree to such terms and provisions and
to be bound thereby.

 

The Preferred
Securities are being offered and sold by the Trust pursuant to a Purchase
Agreement relating to the Preferred Securities, dated March 28, 2006,
among the Trust, the Initial Purchaser of Common Securities and the Initial
Purchasers named therein (the “Purchase Agreement”).

 

(a)                                  Global Securities.
Preferred Securities offered and sold to QIBs as provided in the Purchase Agreement
shall initially be issued in the form of one or more permanent Global
Certificates in definitive, fully registered form without distribution
coupons as set forth in Exhibit A-1 hereto (a “Global Preferred Security”),
which shall be deposited on behalf of the purchasers of the Global Preferred
Securities represented thereby with the Property Trustee, at its Corporate
Trust Office, as custodian for the Clearing Agency, and registered in the name
of the Clearing Agency or a nominee of the Clearing Agency, duly executed by
the Trust and authenticated by the Property Trustee as hereinafter provided.
The number of Preferred Securities represented by a Global Preferred Security may from
time to time be increased or decreased by adjustments made on the records of
the Property Trustee and the Clearing Agency or its nominee as hereinafter
provided. Except as provided in Section 9.2(g), owners of beneficial
interests in a Global Preferred Security will not be entitled to receive
Certificated Preferred Securities.

 

(b)                                 Book-Entry
Provisions. This Section 7.3(b) shall apply only to the Global
Preferred Securities and such other Preferred Securities in global form as
may be authorized by the Trust to be deposited with or on behalf of the
Clearing Agency.

 

An Administrative
Trustee shall execute and the Property Trustee shall, in accordance with this Section 7.3,
authenticate and make available for delivery initially one or more Global
Preferred Securities that (i) shall be registered in the name of Cede &
Co. or other nominee of a Clearing Agency and (ii) shall be delivered by
the Property Trustee to such Clearing Agency or pursuant to such Clearing
Agency’s written

 

40

 

instructions or, if no such written instructions are received by the
Property Trustee, held by the Property Trustee as custodian for the Clearing
Agency.

 

Clearing
Agency Participants shall have no rights under this Declaration with respect to
any Global Preferred Security held on their behalf by the Clearing Agency or by
the Property Trustee as the custodian of the Clearing Agency or under such
Global Preferred Security, and the Clearing Agency may be treated by the
Trust, the Property Trustee and any agent of the Trust or the Property Trustee
as the absolute owner of such Global Preferred Security for all purposes
whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the
Trust, the Property Trustee or any agent of the Trust or the Property Trustee
from giving effect to any written certification, proxy or other authorization
furnished by the Clearing Agency or impair, as between the Clearing Agency and
its Participants, the operation of customary practices of such Clearing Agency
governing the exercise of the rights of a holder of a beneficial interest in
any Global Preferred Security.

 

(c)                                  Certificated
Preferred Securities. Except as provided in Section 9.2(e), owners of
definitive, fully registered certificated Preferred Securities (“Certificated
Preferred Securities”) will not be entitled to receive beneficial interests in
a Global Preferred Security.

 

(d)                                 Authorized
Denominations. The Preferred Securities are issuable only in denominations
of $50.00 and any integral multiple thereof.

 

SECTION 7.4  Registrar,
Paying Agent, Conversion Agent and Exchange Agent.

 

The Trust
shall maintain (i) an office or agency where Preferred Securities may be
presented for registration of transfer (“Registrar”), (ii) an office or
agency where Preferred Securities may be presented for payment (“Paying
Agent”), (iii) an office or agency where Preferred Securities may be
presented for conversion (“Conversion Agent”) and (iv) an office or agency
where Preferred Securities may be presented for repurchase upon the
occurrence of a Change In Control (“Exchange Agent”). The Registrar shall keep
a register of the Preferred Securities and of their transfer. The
Administrative Trustees may appoint the Registrar, the Paying Agent, the
Conversion Agent and the Exchange Agent and may appoint one or more
co-Registrars, one or more additional paying agents, one or more additional
conversion agents and one or more additional exchange agents in such other
locations as it shall determine. The term “Registrar” includes any additional
registrar, “Paying Agent” includes any additional paying agent, “Conversion
Agent” includes any additional conversion agent and “Exchange Agent” includes
any additional exchange agent. The Administrative Trustees may change any
Registrar, Paying Agent, Conversion Agent or Exchange Agent without prior notice
to any Holder. Any Paying Agent, Conversion Agent or Exchange Agent may be
removed by the Administrative Trustees at any time and a successor Paying Agent
or Conversion Agent or Exchange Agent or additional Paying Agent, Conversion
Agent or Exchange Agent may be appointed at any time by the Administrative
Trustees. The Paying Agent, the Conversion Agent and the Exchange Agent may resign
upon 30 days written notice to the Administrative Trustees. The Administrative
Trustees shall notify the Property Trustee of the name and address of any Agent
not a party to this Declaration. If the Administrative Trustees fail to appoint
or maintain

 

41

 

another entity as Registrar, Paying Agent, Conversion Agent or Exchange
Agent, the Property Trustee shall act as such. The Trust shall act as Paying
Agent and Registrar for the Common Securities.

 

The Trust
initially appoints the Property Trustee, at its Corporate Trust Office, as
Registrar, Paying Agent, Conversion Agent and Exchange Agent for the Preferred
Securities.

 

SECTION 7.5  Paying Agent
to Hold Money in Trust.

 

The Trust
shall require each Paying Agent other than the Property Trustee to agree in
writing that the Paying Agent will hold in trust for the benefit of Holders or
the Property Trustee all money held by the Paying Agent for the payment of
liquidation amounts or Distributions, and will notify the Property Trustee if
there are insufficient funds for such purpose. While any such insufficiency
continues, the Property Trustee may require a Paying Agent to pay all
money held by it to the Property Trustee. The Trust at any time may require
a Paying Agent to pay all money held by it to the Property Trustee and to
account for any money disbursed by it. Upon payment over to the Property
Trustee, the Paying Agent (if other than the Trust or an Affiliate of the
Trust) shall have no further liability for the money. If the Trust or the
Initial Purchaser of Common Securities or an Affiliate of the Trust or the
Initial Purchaser of Common Securities acts as Paying Agent, it shall segregate
and hold in a separate trust fund for the benefit of the Holders all money held
by it as Paying Agent.

 

SECTION 7.6  Replacement
Securities.

 

If a Holder
claims that a Security owned by it has been lost, destroyed or wrongfully taken
or if such Security is mutilated and is surrendered to the Trust or in the case
of the Preferred Securities to the Property Trustee, the Trust shall issue and
the Property Trustee shall, upon written order of the Trust, authenticate a
replacement Security if the Property Trustee’s and the Trust’s requirements, as
the case may be, are met. An indemnity bond must be provided by the Holder
which, in the judgment of the Property Trustee and the Initial Purchaser of Common
Securities, is sufficient to protect the Trustees, the Initial Purchaser of
Common Securities, the Trust or any authenticating agent from any loss which
any of them may suffer if a Security is replaced. The Trust may charge
such Holder for its expenses in replacing a Security.

 

SECTION 7.7  Outstanding
Preferred Securities.

 

The Preferred
Securities outstanding at any time are all the Preferred Securities
authenticated by the Property Trustee except for those cancelled by it, those
delivered to it for cancellation, and those described in this Section as
not outstanding.

 

If a Preferred
Security is replaced pursuant to Section 7.6 hereof, it ceases to be
outstanding unless the Property Trustee receives proof satisfactory to it that
the replaced Preferred Security is held by a bona fide purchaser.

 

If Preferred
Securities are considered paid in accordance with the terms of this
Declaration, including upon conversion thereof into Common Stock, they cease to
be outstanding and Distributions on them shall cease to accumulate, subject, in
the case of Preferred Securities

 

42

 

which have been converted, to the rights of Holders as of a record date
with respect to the Distribution to be paid on the applicable Distribution
Payment Date.

 

A Preferred
Security does not cease to be outstanding because one of the Trust, the Initial
Purchaser of Common Securities or an Affiliate of the Initial Purchaser of
Common Securities holds the Security.

 

SECTION 7.8  Preferred
Securities in Treasury.

 

In determining
whether the Holders of the required amount of Securities have concurred in any
direction, waiver or consent, Preferred Securities owned by the Trust, a
Trustee, the Initial Purchaser of Common Securities or an Affiliate of the
Initial Purchaser of Common Securities, as the case may be, shall be
disregarded and deemed not to be outstanding, except that for the purposes of
determining whether the Property Trustee shall be fully protected in relying on
any such direction, waiver or consent, only Securities which a Responsible
Officer of the Property Trustee actually knows are so owned shall be so
disregarded.

 

SECTION 7.9  Temporary
Securities.

 

Until
definitive Securities are ready for delivery, the Trust may prepare and, in
the case of the Preferred Securities, the Property Trustee shall, upon receipt
of a written order of the Trust, authenticate temporary Securities. Temporary
Securities shall be substantially in the form of definitive Securities but
may have variations that the Trust considers appropriate for temporary
Securities. Without unreasonable delay, the Trust shall prepare and, in the
case of the Preferred Securities, the Property Trustee shall, upon receipt of a
written order of the Trust, authenticate, definitive Securities in exchange for
temporary Securities. Until so exchanged, the temporary Securities shall in all
respects be entitled to the same benefits under this Declaration as definitive
Securities.

 

SECTION 7.10  Cancellation.

 

The Trust at
any time may deliver Preferred Securities to the Property Trustee for
cancellation. The Registrar, Paying Agent, Conversion Agent and Exchange Agent
shall forward to the Property Trustee any Preferred Securities surrendered to
them for registration of transfer, redemption, conversion, exchange or payment
(including payment following a Change in Control). The Property Trustee shall
promptly cancel all Preferred Securities, surrendered for registration of
transfer, redemption, conversion, exchange, payment, replacement or
cancellation and shall dispose of cancelled Preferred Securities in accordance
with its customary procedures unless the Trust otherwise directs. The Trust may not
issue new Preferred Securities to replace Preferred Securities that it has paid
or that have been delivered to the Property Trustee for cancellation or that
any Holder has converted or presented for repayment following a Change in
Control.

 

SECTION 7.11  CUSIP
Numbers.

 

The Trust in
issuing the Preferred Securities may use “CUSIP” numbers (if then
generally in use), and, if so, the Property Trustee shall use “CUSIP” numbers
in notices of redemption as a convenience to Holders of Preferred Securities;
provided that any such notice

 

43

 

may state that no representation is made as to the correctness of
such numbers either as printed on the Preferred Securities or as contained in
any notice of a redemption and that reliance may be placed only on the
other identification numbers printed on the Preferred Securities, and any such
redemption shall not be affected by any defect in or omission of such numbers.
The Initial Purchaser of Common Securities will promptly notify the Property
Trustee of any change in the CUSIP numbers.

 

SECTION 7.12  Payment.

 

Payments in
respect of the Global Preferred Securities shall be made to the Clearing Agency
or its nominee, and the Clearing Agency shall credit the relevant accounts at
the Clearing Agency. Payments on the Securities issued in certificated form may be
made at the option of the Trust (i) by check mailed to the Holder at such
address set forth on the books and records of the Trust or the Registrar or (ii) by
transfer to an account maintained by the Holder entitled thereto, provided that
proper transfer instructions have been received in writing by the relevant
record date.

 

ARTICLE VIII

TERMINATION OF TRUST

 

SECTION 8.1  Termination
of Trust.

 

(a)                                  The Trust shall
automatically terminate:

 

(i)  upon the bankruptcy of the
Debenture Issuer;

 

(ii)  upon the filing of a certificate
of dissolution or liquidation or its equivalent with respect to the Debenture
Issuer;

 

(iii)  following the distribution of a
Like Amount of the Debentures to the Holders, provided that, the Property
Trustee has received written notice from the Holder of Common Securities
directing the Property Trustee to terminate the Trust (which direction is
optional, and except as otherwise expressly provided below, within the
discretion of the Holder of Common Securities);

 

(iv)  upon the entry of a decree of
judicial dissolution of the Trust by a court of competent jurisdiction;

 

(v)  when all of the Securities shall
have been called for redemption and the amounts necessary for redemption
thereof shall have been paid to the Holders in accordance with the terms of the
Securities;

 

(vi)  upon the redemption or repayment
of the Debentures at Maturity;

 

(vii)  the expiration of the term of the
Trust provided in Section 3.14;

 

(viii)  when all of the Preferred
Securities shall have been converted into shares of Common Stock of the Initial
Purchaser of Common Securities; or

 

44

 

(ix)  when all Preferred Securities
shall have been presented for repurchase following a Change in Control and a
Like Amount of Debentures shall have been repurchased upon such Change in
Control by the Debenture Issuer.

 

(b)                                 As soon as is
practicable upon completion of winding up of the Trust following the occurrence
of an event referred to in Section 8.1(a), the Administrative Trustees
shall file a certificate of cancellation with the Secretary of State of the
State of Delaware in accordance with the Statutory Trust Act.

 

(c)                                  The provisions of Section 3.9
and Article X shall survive the termination of the Trust.

 

ARTICLE IX

TRANSFER OF INTERESTS

 

SECTION 9.1  Transfer of
Securities.

 

(a)                                  Securities may only
be transferred, in whole or in part, in accordance with the terms and
conditions set forth in this Declaration and in the terms of the Securities.
Any transfer or purported transfer of any Security not made in accordance with
this Declaration shall be null and void.

 

(b)                                 For so long as the
Trust Securities remain outstanding, the Initial Purchaser of Common Securities
will covenant (i) to maintain, directly or indirectly, 100% ownership of
the Common Securities, provided that any successor of the Initial Purchaser of
Common Securities permitted hereunder or under the Indenture may succeed
to the Initial Purchaser’s of Common Securities ownership of such Common
Securities, (ii) not to cause, as Initial Purchaser of Common Securities
of the Trust, or to permit, as Holder of the Common Securities, the
dissolution, winding-up, liquidation or termination of the Trust, except in
connection with a distribution of the Debentures as provided in the Declaration,
the redemption or repurchase of all of the Trust Securities and in connection
with certain mergers, consolidations or amalgamations in each case, as
permitted by this Declaration, (iii) to use commercially reasonable
efforts to cause the Trust to remain a statutory trust, (iv) to use its
reasonable efforts, consistent with the terms and provisions of this
Declaration, to cause the Trust to remain classified as a grantor trust and not
as an association taxable as a corporation for United States federal income tax
purposes, (v) to treat the Debentures as indebtedness of the Initial
Purchaser of Common Securities subject to the CPDI Regulations; (vi) to
treat the comparable yield and projected payment schedule (attached as Exhibit A-3
hereto) as “reasonable” for purposes of the CPDI Regulations; and (vii) to
use its reasonable efforts to ensure that the Trust will not be an “investment
company” for purposes of the Investment Company Act of 1940.

 

(c)                                  The Administrative
Trustees shall provide for the registration of Securities and of the transfer
of Securities, which will be effected without charge but only upon payment
(with such indemnity as the Administrative Trustees may require) in
respect of any tax or other governmental charges that may be imposed in
connection with any

 

45

 

transfer or exchange. Upon surrender for registration of transfer of
any Securities, the Administrative Trustees shall cause one or more new
Securities to be issued in the name of the designated transferee or
transferees. Every Security surrendered for registration of transfer shall be
accompanied by a written instrument of transfer in form satisfactory to
the Administrative Trustees duly executed by the Holder or such Holder’s
attorney duly authorized in writing. Each Security surrendered for registration
of transfer shall be canceled by the Property Trustee (in the case of Preferred
Securities) or the Trust (in the case of Common Securities). A transferee of a
Security shall be entitled to the rights and subject to the obligations of a
Holder hereunder upon the receipt by such transferee of a Security. By
acceptance of a Security, each transferee shall be deemed to have agreed to be
bound by this Declaration.

 

SECTION 9.2  Transfer
Procedures and Restrictions.

 

(a)                                  General. Each
Preferred Security that bears or is required to bear the Restricted Securities
Legend set forth in Section 9.2(c) is referred to herein as a “Restricted
Preferred Security” and shall be subject to the restrictions on transfer set
forth in Section 9.2(c). Subject to Sections 9.2(b) and 9.2(c)(ii),
if Preferred Securities are issued upon the transfer, exchange or replacement
of Preferred Securities bearing the Restricted Securities Legend, or if a
request is made to remove such Restricted Securities Legend on Preferred
Securities, the Preferred Securities so issued shall bear the Restricted
Securities Legend, or the Restricted Securities Legend shall not be removed, as
the case may be, unless there is delivered to the Trust and the Property
Trustee such satisfactory evidence, which may include an Opinion of
Counsel, as may be reasonably required by the Initial Purchaser of Common
Securities, that (i) neither the legend nor the restrictions on transfer
set forth therein are required to ensure that transfers thereof comply with the
provisions of Rule 144A under the Securities Act or any other available
exemption from the registration requirements of the Securities Act or (ii) that
such Securities may be sold pursuant to the provisions of Rule 144(k)
under the Securities Act. Upon provision of such satisfactory evidence, the
Property Trustee, at the written direction of an Administrative Trustee on
behalf of the Trust, shall authenticate and deliver Preferred Securities that
do not bear the Restricted Securities Legend.

 

(b)                                 Transfers After Effectiveness
of Registration Statement. After a transfer of Preferred Securities
pursuant to an effective Registration Statement, all requirements pertaining to
Restricted Securities Legends on any Preferred Security included within such
Registration Statement will cease to apply, and beneficial interests in a
Preferred Security in global form without Restricted Securities Legends
will be available to transferees of such Preferred Securities. After the
effectiveness of the Registration Statement, the Administrative Trustees shall
execute and deliver and the Property Trustee shall, upon receipt of a written
order of the Trust, authenticate a Preferred Security in global form without
the Restricted Securities Legend (the “Unrestricted Global Preferred Security”)
to deposit with the Clearing Agency to evidence transfers of beneficial
interests from the Global Preferred Security.

 

(c)                                  Restricted
Securities Legend. Except as permitted by the last paragraph of this Section 9.2(c),
each Preferred Security certificate evidencing the Global Preferred

 

46

 

Securities and any Certificated Preferred Securities (and all Preferred
Securities issued in exchange therefor or substitution thereof) shall bear a
legend in substantially the following form (the “Restricted Securities
Legend”):

 

THIS SECURITY
AND THE SHARES OF AFFILIATED MANAGERS GROUP, INC. COMMON STOCK ISSUABLE
UPON CONVERSION HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS
SECURITY, THE SHARES OF AFFILIATED MANAGERS GROUP, INC. COMMON STOCK
ISSUABLE UPON CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION
HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED,
ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR
UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION.

 

THE HOLDER OF
THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE
TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION
DATE”) WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND
THE LAST DATE ON WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY AFFILIATE OF
AFFILIATED MANAGERS GROUP, INC. WAS THE OWNER OF THIS SECURITY (OR ANY
PREDECESSOR OF SUCH SECURITY) ONLY (A) TO AFFILIATED MANAGERS GROUP, INC.
OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE
FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED
INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
(C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE
UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO AFFILIATED
MANAGERS GROUP, INC.’S, AND THE PROPERTY TRUSTEE’S RIGHT PRIOR TO ANY SUCH
OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF
AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO
EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN
THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND
DELIVERED BY THE TRANSFEROR TO THE PROPERTY TRUSTEE. THIS LEGEND WILL BE
REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE
SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE
RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE
HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY
EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE)
A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND.

 

47

 

FOR PURPOSES
OF SECTIONS 1273 AND 1275 OF THE INTERNAL REVENUE CODE, THE ISSUE PRICE OF EACH
SECURITY IS $49.50 PER $50.00 OF LIQUIDATION AMOUNT, THE ISSUE DATE IS APRIL 3,
2006 AND THE COMPARABLE YIELD IS 7.50% PER ANNUM.

 

U.S. HOLDERS
OF THIS SECURITY MAY OBTAIN THE PROJECTED PAYMENT SCHEDULE FOR THIS
SECURITY BY SUBMITTING A WRITTEN REQUEST FOR SUCH INFORMATION TO AFFILIATED
MANAGERS GROUP, INC., 600 HALE STREET, PRIDES CROSSING, MASSACHUSETTS
01965, ATTN.: CHIEF FINANCIAL OFFICER

 

Upon any sale
or transfer of a Restricted Preferred Security (including any Restricted
Preferred Security represented by a Global Preferred Security) pursuant to an
available exemption from the registration requirements of the Securities Act
and compliance with the last two sentences of Section 9.2(a) or an
effective registration statement under the Securities Act the Registrar shall
permit the Holder thereof to exchange such Restricted Preferred Security for an
interest in the Unrestricted Global Preferred Security.

 

(d)                                 Transfer and
Exchange of Certificated Preferred Securities. When Certificated Preferred
Securities are presented to the Registrar or co-Registrar

 

(x)                                   to
register the transfer of such Certificated Preferred Securities; or

 

(y)                                 to
exchange such Certificated Preferred Securities which became mutilated,
destroyed, defaced, stolen or lost, for an equal number of Certificated
Preferred Securities,

 

the Registrar
or co-Registrar shall register the transfer or make the exchange as requested
if its reasonable requirements for such transaction are met; provided, however,
that the Certificated Preferred Securities surrendered for transfer or exchange

 

(i)  shall be duly endorsed or
accompanied by a written instrument of transfer in form reasonably
satisfactory to the Trust and the Registrar or co-Registrar, duly executed by
the Holder thereof or his attorney duly authorized in writing; and

 

(ii)  in the case of Certificated
Preferred Securities that are Restricted Preferred Securities, and are being
transferred or exchanged, such transfer or exchange shall be (x) pursuant to an
effective registration statement under the Securities Act or (y) pursuant to,
and in compliance with, clause (A), (B) or (C) below:

 

(A)  if such Restricted Preferred
Securities are being delivered to the Registrar by a Holder for registration in
the name of such Holder, without transfer, such Holder shall deliver a
certification to that effect (in the form set forth on the reverse of the
Preferred Security);

 

48

 

(B)  such Restricted Preferred
Securities are being transferred to the Initial Purchaser of Common Securities
or a subsidiary thereof; or

 

(C)  if such Restricted Preferred
Securities are being transferred pursuant to an exemption from registration in
accordance with Rule 144A under the Securities Act or an available
exemption from the registration requirements of the Securities Act, such Holder
shall deliver: (i) a certification to that effect (in the form set
forth on the reverse of the Preferred Security) and (ii) if the Trust or
Registrar so requests, evidence reasonably satisfactory to them as to the
compliance with the restrictions set forth in the Restricted Securities Legend.

 

(e)                                  [Reserved].

 

(f)                                    Transfer and
Exchange of Global Preferred Securities. The transfer and exchange of
Global Preferred Securities or beneficial interests therein shall be effected
through the Clearing Agency, in accordance with this Declaration (including
applicable restrictions on transfer set forth herein, if any) and the
procedures of the Clearing Agency therefor.

 

Notwithstanding
any other provisions of this Declaration (other than subsection (g) of
this Section 9.2), a Global Preferred Security may not be transferred
as a whole except by the Clearing Agency to a nominee of the Clearing Agency or
another nominee of the Clearing Agency or by the Clearing Agency or any such
nominee to a successor Clearing Agency or a nominee of such successor Clearing
Agency.

 

(g)                                 Restrictions on
Transfer of a Beneficial Interest in a Global Preferred Security for a
Certificated Preferred Security. Except as provided below, holders of beneficial
interests in a Global Preferred Security shall not be entitled to have
certificates registered in their names and will not receive physical delivery
of certificates in definitive form.

 

(i)  A Global Preferred Security
deposited with the Clearing Agency or with the Property Trustee as custodian
for the Clearing Agency pursuant to Section 7.3 shall be transferred to
the beneficial owners thereof in the form of Certificated Preferred
Securities only if (a) the Clearing Agency notifies the Initial Purchaser
of Common Securities that it is unwilling or unable to continue as Clearing
Agency for such Global Preferred Security or if at any time such Clearing
Agency ceases to be a “clearing agency” registered under the Exchange Act and a
clearing agency is not appointed by the Initial Purchaser of Common Securities
within 90 days of such notice, (b) a Default or an Event of Default has
occurred and is continuing or (c) the Trust at its sole discretion elects
to cause the issuance of Certificated Preferred Securities.

 

(ii)  Any Global Preferred Security that
is transferable to the beneficial owners thereof in the form of
Certificated Preferred Securities pursuant to this Section 9.2 shall be
surrendered by the Clearing Agency to the Property Trustee, to

 

49

 

be so transferred, in whole or from time to time in part, without
charge, and the Property Trustee shall authenticate and make available for
delivery, upon such transfer of each portion of such Global Preferred Security,
an equal aggregate liquidation amount of Preferred Securities of authorized
denominations in the form of Certificated Preferred Securities. Any
portion of a Global Preferred Security transferred pursuant to this Section shall
be registered in such names and in such authorized denominations as the
Clearing Agency, pursuant to instructions from its Clearing Agency Participants
or otherwise, shall instruct the Property Trustee in writing. The Property
Trustee shall deliver such Preferred Securities to the Persons in whose names
such Preferred Securities are so registered in accordance with such
instructions of the Clearing Agency. Any Preferred Security in the form of
Certificated Preferred Securities delivered in exchange for an interest in the
Restricted Global Preferred Security shall, except as otherwise provided in
this Section 9.2, bear the Restricted Securities Legend.

 

(iii)  In the event of the occurrence of
any event specified in Section 9.2(g)(i), the Trust will promptly make
available to the Property Trustee a reasonable supply of Certificated Preferred
Securities in fully registered form without distribution coupons.

 

(h)                                 Cancellation or
Adjustment of Global Preferred Security. At such time as all beneficial
interests in a Global Preferred Security have either been exchanged for
Certificated Preferred Securities to the extent permitted by this Declaration
or redeemed, repurchased or canceled in accordance with the terms of this
Declaration, such Global Preferred Security shall be returned to the Clearing
Agency for cancellation or retained and canceled by the Property Trustee. At
any time prior to such cancellation, if any beneficial interest in a Global
Preferred Security is exchanged for Certificated Preferred Securities,
Preferred Securities represented by such Global Preferred Security shall be
reduced and an adjustment shall be made on the books and records of the
Clearing Agency and the Registrar, to reflect such reduction.

 

(i)                                     Legend on
Global Securities. Any Preferred Security in global form may be
endorsed with or have incorporated in the text thereof such legends or recitals
or changes not inconsistent with the provisions of this Declaration as may be
required by the Clearing Agency or by the National Association of Securities Dealers, Inc.
in order for the Preferred Securities to be tradable on The PORTAL Market or as
may be required for the Preferred Securities to be tradable on any other
market developed for trading of securities pursuant to Rule 144A or
required to comply with any applicable law or any regulation thereunder or with
the rules and regulations of any securities exchange or automated
quotation system upon which the Preferred Securities may be listed or
traded or to conform with any usage with respect thereto, or to indicate
any special limitations or restrictions to which any particular Securities are
subject.

 

(j)                                     Obligations
with Respect to Transfers of Preferred Securities. (i)  To permit
registrations of transfer, the Trust shall execute and the Property Trustee
shall authenticate Global Preferred Securities at the Registrar’s or
co-Registrar’s request in accordance with the terms of this Declaration.

 

50

 

(ii)  Registrations of transfer will be
effected without charge, but only upon payment (with such indemnity as the
Trust or the Initial Purchaser of Common Securities may require) in
respect of any tax or other governmental charge that may be imposed in
relation to it.

 

(iii)  The Registrar or co-Registrar
shall not be required to: (a) issue, register the transfer of or exchange
Preferred Securities during a period beginning at the opening of business 15
days before the day of mailing of a notice of redemption or any notice of
selection of Preferred Securities for redemption and ending at the close of
business on the day of such mailing; or (b) register the transfer or
exchange of any Preferred Security selected for redemption, in whole or in part except,
in the case of any Preferred Security being redeemed in part, any portion
thereof not to be redeemed.

 

(iv)  Prior to the due presentation for
registration of transfer of any Preferred Security, the Trust, the Property
Trustee, the Paying Agent, the Registrar or any co-Registrar may deem and
treat the Person in whose name a Preferred Security is registered as the
absolute owner of such Preferred Security for the purpose of receiving
Distributions on such Preferred Security and for all other purposes whatsoever,
and none of the Trust, the Property Trustee, the Paying Agent, the Registrar or
any co- Registrar shall be affected by notice to the contrary.

 

(v)  All Preferred Securities issued
upon any transfer or exchange pursuant to the terms of this Declaration shall
evidence the same security and shall be entitled to the same benefits under
this Declaration as the Preferred Securities surrendered upon such transfer or
exchange.

 

(k)                                  No Obligation of
the Property Trustee. (i)   The
Property Trustee shall have no responsibility or obligation to any beneficial
owner of a Global Preferred Security, a Clearing Agency Participant in the
Clearing Agency or other Person with respect to the accuracy of the records of
the Clearing Agency or its nominee or of any Clearing Agency Participant
thereof, with respect to any ownership interest in the Preferred Securities or
with respect to the delivery to any Clearing Agency Participant, beneficial
owner or other Person (other than the Clearing Agency) of any notice (including
any notice of redemption) or the payment of any amount, under or with respect
to such Preferred Securities. All notices and communications to be given to the
Holders and all payments to be made to Holders under the Preferred Securities
shall be given or made only to or upon the order of the registered Holders
(which shall be the Clearing Agency or its nominee in the case of a Global
Preferred Security). The rights of beneficial owners in any Global Preferred
Security shall be exercised only through the Clearing Agency subject to the
applicable rules and procedures of the Clearing Agency. The Property
Trustee may conclusively rely and shall be fully protected in relying upon
information furnished by the Clearing Agency or any agent thereof with respect
to its Clearing Agency Participants and any beneficial owners.

 

51

 

(ii)  The Property Trustee and the
Registrar shall have no obligation or duty to monitor, determine or inquire as
to compliance with any restrictions on transfer imposed under this Declaration
or under applicable law with respect to any transfer of any interest in any
Preferred Security (including any transfers between or among Clearing Agency
Participants or beneficial owners in any Global Preferred Security) other than
to require delivery of such certificates and other documentation or evidence as
are expressly required by, and to do so if and when expressly required by, the
terms of this Declaration, and to examine the same to determine substantial
compliance as to form with the express requirements hereof.

 

SECTION 9.3  Deemed
Security Holders.

 

The Trustees may treat
the Person in whose name any Security shall be registered on the books and
records of the Trust as the sole owner of such Security for purposes of
receiving Distributions and for all other purposes whatsoever and, accordingly,
shall not be bound to recognize any equitable or other claim to or interest in
such Security on the part of any Person, whether or not the Trust shall
have actual or other notice thereof.

 

SECTION 9.4  Book-Entry
Interests.

 

Global
Preferred Securities shall initially be registered on the books and records of
the Trust in the name of Cede & Co., the nominee of the Clearing
Agency and shall be in the form of a global certificate (the “Global
Certificate”), and no beneficial owner in any Global Preferred Security will
receive a Certificated Preferred Security representing such beneficial owner’s
interests in such Global Preferred Securities, except as provided in Section 9.2.
Unless and until definitive, fully registered Certificated Preferred Securities
have been issued to the beneficial owners in any Global Preferred Security
pursuant to Section 9.2:

 

(a)                                  the provisions of
this Section 9.4 shall be in full force and effect;

 

(b)                                 the Trust and the
Trustees shall be entitled to deal with the Clearing Agency for all purposes of
this Declaration in respect of Global Preferred Securities (including the
payment of Distributions on the Global Preferred Securities and receiving
approvals, votes or consents hereunder) as the Holder of the Preferred
Securities and the sole holder of the Global Certificate and shall have no
obligation to the beneficial owners in any Global Preferred Security;

 

(c)                                  to the extent that
the provisions of this Section 9.4 conflict with any other provisions of this
Declaration, the provisions of this Section 9.4 shall control; and

 

(d)                                 the rights of the
beneficial owners in any Global Preferred Security shall be exercised only
through the Clearing Agency and shall be limited to those established by law
and agreements between such beneficial owners in any Global Preferred Security
and the Clearing Agency and/or the Clearing Agency Participants and receive and
transmit payments of Distributions on the Global Certificate to such Clearing
Agency Participants. DTC will make book-entry transfers among the Clearing
Agency Participants.

 

52

 

SECTION 9.5  Notices to
Clearing Agency.

 

Whenever a
notice or other communication to the Preferred Security Holders is required to
be given by a Trustee under this Declaration, such Trustee shall give all such
notices and communications specified herein to be given to the Holders of
Global Preferred Securities to the Clearing Agency, and shall have no notice
obligations to the beneficial owners in any Global Preferred Security.

 

SECTION 9.6  Appointment
of Successor Clearing Agency.

 

If any
Clearing Agency elects to discontinue its services as securities depositary
with respect to the Preferred Securities, the Administrative Trustees may, in
their sole discretion, appoint a successor Clearing Agency with respect to such
Preferred Securities.

 

ARTICLE X

LIMITATION OF LIABILITY OF HOLDERS OF SECURITIES, TRUSTEES OR OTHERS

 

SECTION 10.1  Liability.

 

(a)                                  Except as expressly
set forth in this Declaration, the Securities Guarantee and the terms of the
Securities, the Initial Purchaser of Common Securities shall not be:

 

(i)  personally liable for the return of
any portion of the capital contributions (or any return thereon) of the Holders
which shall be made solely from assets of the Trust; or

 

(ii)  required to pay to the Trust or to
any Holder any deficit upon dissolution of the Trust or otherwise.

 

(b)                                 The Debenture Issuer,
in its capacity as such, shall be liable for all of the debts and obligations
of the Trust (other than in respect of the Securities) as provided in the
Indenture.

 

(c)                                  Pursuant to Section 3803(a) of
the Statutory Trust Act, the Holders shall be entitled to the same limitation
of personal liability extended to stockholders of private corporations for
profit organized under the General Corporation Law of the State of Delaware.

 

SECTION 10.2  Exculpation.

 

(a)                                  No Indemnified Person
shall be liable, responsible or accountable in damages or otherwise to the
Trust or any Covered Person for any loss, damage or claim incurred by reason of
any act or omission performed or omitted by such Indemnified Person in good
faith on behalf of the Trust and in a manner such Indemnified Person reasonably
believed to be within the scope of the authority conferred on such Indemnified
Person by this Declaration or by law, except that an Indemnified Person shall
be liable for

 

53

 

any such loss, damage or claim incurred by reason of such Indemnified
Person’s negligence or willful misconduct with respect to such acts or
omissions.

 

(b)                                 An Indemnified Person
shall be fully protected in relying in good faith upon the records of the Trust
and upon such information, opinions, reports or statements presented to the
Trust by any Person as to matters the Indemnified Person reasonably believes
are within such other Person’s professional or expert competence and who has
been selected with reasonable care by or on behalf of the Trust, including
information, opinions, reports or statements as to the value and amount of the
assets, liabilities, profits, losses, or any other facts pertinent to the
existence and amount of assets from which Distributions to Holders might
properly be paid.

 

SECTION 10.3  Fiduciary
Duty.

 

(a)                                  To the extent that,
at law or in equity, an Indemnified Person has duties (including fiduciary
duties) and liabilities relating thereto to the Trust or to any other Covered
Person, an Indemnified Person acting under this Declaration shall not be liable
to the Trust or to any other Covered Person for its good faith reliance on the
provisions of this Declaration. The provisions of this Declaration, to the
extent that they restrict the duties and liabilities of an Indemnified Person
otherwise existing at law or in equity (other than the duties imposed on the
Property Trustee under the Trust Indenture Act), are agreed by the parties
hereto to replace such other duties and liabilities of such Indemnified Person.

 

(b)                                 Unless otherwise
expressly provided herein:

 

(i)  whenever a conflict of interest
exists or arises between any Covered Persons; or

 

(ii)  whenever this Declaration or any
other agreement contemplated herein or therein provides that an Indemnified
Person shall act in a manner that is, or provides terms that are, fair and
reasonable to the Trust or any Holder of Securities, the Indemnified Person
shall resolve such conflict of interest, take such action or provide such
terms, considering in each case the relative interest of each party (including
its own interest) to such conflict, agreement, transaction or situation and the
benefits and burdens relating to such interests, any customary or accepted
industry practices, and any applicable generally accepted accounting practices
or principles. In the absence of bad faith by the Indemnified Person, the
resolution, action or term so made, taken or provided by the Indemnified Person
shall not constitute a breach of this Declaration or any other agreement
contemplated herein or of any duty or obligation of the Indemnified Person at
law or in equity or otherwise.

 

(c)                                  Whenever in this
Declaration an Indemnified Person is permitted or required to make a decision:

 

(i)  in its “discretion” or under a
grant of similar authority, the Indemnified Person shall be entitled to
consider such interests and factors as it desires,

 

54

 

including its own interests, and shall have no duty or obligation to
give any consideration to any interest of or factors affecting the Trust or any
other Person; or

 

(ii)  in its “good faith” or under
another express standard, the Indemnified Person shall act under such express
standard and shall not be subject to any other or different standard imposed by
this Declaration.

 

SECTION 10.4  Indemnification.

 

(a)                                  (i)   The Debenture Issuer shall indemnify, to the
full extent permitted by law, any Company Indemnified 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 (other than an action by or in the right of the Trust) by
reason of the fact that he is or was a Company Indemnified Person, against
expenses (including attorneys’ fees and expenses), judgments, fines and amounts
paid in settlement actually and reasonably incurred by him in connection with
such action, suit or proceeding if he acted in good faith and in a manner he
reasonably believed to be in or not opposed to the best interests of the Trust,
and, with respect to any criminal action or proceeding, had no reasonable cause
to believe his conduct was unlawful. The termination of any action, suit or
proceeding by judgment, order, settlement, conviction, or upon a plea of nolo
contendere or its equivalent, shall not, of itself, create a presumption that
the Company Indemnified Person did not act in good faith and in a manner which
he reasonably believed to be in or not opposed to the best interests of the
Trust, and, with respect to any criminal action or proceeding, had reasonable
cause to believe that his conduct was unlawful.

 

(ii)  The Debenture Issuer shall
indemnify, to the full extent permitted by law, any Company Indemnified Person
who was or is a party or is threatened to be made a party to any threatened,
pending or completed action or suit by or in the right of the Trust to procure
a judgment in its favor by reason of the fact that he is or was a Company
Indemnified Person against expenses (including attorneys’ fees and expenses)
actually and reasonably incurred by him in connection with the defense or
settlement of such action or suit if he acted in good faith and in a manner he
reasonably believed to be in or not opposed to the best interests of the Trust
and except that no such indemnification shall be made in respect of any claim,
issue or matter as to which such Company Indemnified Person shall have been
adjudged to be liable to the Trust unless and only to the extent that the Court
of Chancery of Delaware or the court in which such action or suit was brought
shall determine upon application that, despite the adjudication of liability
but in view of all the circumstances of the case, such Person is fairly and
reasonably entitled to indemnity for such expenses which such Court of Chancery
or such other court shall deem proper.

 

(iii)  To the extent that a Company
Indemnified Person shall be successful on the merits or otherwise (including
dismissal of an action without prejudice or the settlement of an action without
admission of liability) in defense of any action,

 

55

 

suit or proceeding referred to in paragraphs (i) and (ii) of
this Section 10.4(a), or in defense of any claim, issue or matter therein,
he shall be indemnified, to the full extent permitted by law, against expenses
(including attorneys’ fees) actually and reasonably incurred by him in
connection therewith.

 

(iv)  Any indemnification under
paragraphs (i) and (ii) of this Section 10.4(a) (unless
ordered by a court) shall be made by the Debenture Issuer only as authorized in
the specific case upon a determination that indemnification of the Company
Indemnified Person is proper in the circumstances because he has met the
applicable standard of conduct set forth in paragraphs (i) and (ii). Such
determination shall be made by the Common Security Holder of the Trust.

 

(v)  Expenses (including attorneys’ fees
and expenses) incurred by a Company Indemnified Person in defending a civil,
criminal, administrative or investigative action, suit or proceeding referred
to in paragraphs (i) and (ii) of this Section 10.4(a) shall
be paid by the Debenture Issuer in advance of the final disposition of such
action, suit or proceeding upon receipt of an undertaking by or on behalf of
such Company Indemnified Person to repay such amount if it shall ultimately be
determined that he is not entitled to be indemnified by the Debenture Issuer as
authorized in this Section 10.4(a). Notwithstanding the foregoing, no
advance shall be made by the Debenture Issuer if a determination is reasonably
and promptly made by the Common Security Holder of the Trust, that, based upon
the facts known to the Common Security Holder at the time such determination is
made, such Company Indemnified Person acted in bad faith or in a manner that such
person did not believe to be in or not opposed to the best interests of the
Trust, or, with respect to any criminal proceeding, that such Company
Indemnified Person believed or had reasonable cause to believe his conduct was
unlawful. In no event shall any advance be made in instances where the Common
Security Holder reasonably determine that such person deliberately breached his
duty to the Trust or its Common or Preferred Security Holders.

 

(vi)  The indemnification and
advancement of expenses provided by, or granted pursuant to, the other
paragraphs of this Section 10.4(a) shall not be deemed exclusive of
any other rights to which those seeking indemnification and advancement of
expenses may be entitled under any agreement, vote of stockholders or disinterested
directors of the Debenture Issuer or Preferred Security Holders of the Trust or
otherwise, both as to action in his official capacity and as to action in
another capacity while holding such office. All rights to indemnification under
this Section 10.4(a) shall be deemed to be provided by a contract
between the Debenture Issuer and each Company Indemnified Person who serves in
such capacity at any time while this Section 10.4(a) is in effect.
Any repeal or modification of this Section 10.4(a) shall not affect
any rights or obligations then existing.

 

(vii)  The Debenture Issuer or the Trust
may purchase and maintain insurance on behalf of any person who is or was
a Company Indemnified Person against any liability asserted against him and
incurred by him in any such capacity,

 

56

 

or arising out of his status as such, whether or not the Debenture
Issuer would have the power to indemnify him against such liability under the
provisions of this Section 10.4(a).

 

(viii)  For purposes of this Section 10.4(a),
references to the “Trust” shall include, in addition to the resulting or
surviving entity, any constituent entity (including any constituent of a
constituent) absorbed in a consolidation or merger, so that any person who is
or was a director, trustee, officer or employee of such constituent entity, or
is or was serving at the request of such constituent entity as a director,
trustee, officer, employee or agent of another entity, shall stand in the same
position under the provisions of this Section 10.4(a) with respect to
the resulting or surviving entity as he would have with respect to such
constituent entity if its separate existence had continued.

 

(ix)  The indemnification and
advancement of expenses provided by, or granted pursuant to, this Section 10.4(a) shall,
unless otherwise provided when authorized or ratified, continue as to a person
who has ceased to be a Company Indemnified Person and shall inure to the
benefit of the heirs, executors and administrators of such a person.

 

(b)                                 The Debenture Issuer
agrees to indemnify (i) the Property Trustee, (ii) the Delaware
Trustee, (iii) the Institutional Administrative Trustee, (iv) any
Affiliate of the Property Trustee, the Delaware Trustee or the Institutional
Administrative Trustee, and (v) any officers, directors, stockholders,
members, partners, employees, representatives, custodians, nominees or agents
of the Property Trustee, the Delaware Trustee or the Institutional
Administrative Trustee (each of the Persons in (i) through (v), including
the Institutional Administrative Trustee, the Property Trustee and the Delaware
Trustee in their respective individual capacities, being referred to as a “Fiduciary
Indemnified Person”) for, and to hold each Fiduciary Indemnified Person
harmless against, any and all loss, liability, damage, claim or expense
including taxes (other than taxes based on the income of such Fiduciary
Indemnified Person) incurred without negligence or bad faith on the part of
such Fiduciary Indemnified Person, arising out of or in connection with the
acceptance or administration of the trust or trusts hereunder, including the
advancement of funds to cover the costs and expenses (including reasonable
legal fees and expenses) of defending against or investigating any claim or
liability in connection with the exercise or performance of any of the powers
or duties of such Fiduciary Indemnified Person hereunder. The obligation to
indemnify and advance as set forth in this Section 10.4(b) shall
survive the resignation or removal of the Property Trustee, the Delaware
Trustee or the Institutional Administrative Trustee and the satisfaction and
discharge of this Declaration.

 

SECTION 10.5  Outside
Businesses.

 

Any Covered
Person, the Initial Purchaser of Common Securities, the Delaware Trustee, the
Property Trustee and the Institutional Administrative Trustee may engage
in or possess an interest in other business ventures of any nature or
description, independently or with others, similar or dissimilar to the
business of the Trust, and the Trust and the Holders shall have no

 

57

 

rights by virtue of this Declaration in and to such independent
ventures or the income or profits derived therefrom, and the pursuit of any
such venture, even if competitive with the business of the Trust, shall not be
deemed wrongful or improper. No Covered Person, the Initial Purchaser of Common
Securities, the Delaware Trustee, the Property Trustee or the Institutional
Administrative Trustee shall be obligated to present any particular investment
or other opportunity to the Trust even if such opportunity is of a character
that, if presented to the Trust, could be taken by the Trust, and any Covered
Person, the Initial Purchaser of Common Securities, the Delaware Trustee, the
Property Trustee and the Institutional Administrative Trustee shall have the
right to take for its own account (individually or as a partner or fiduciary)
or to recommend to others any such particular investment or other opportunity.
Any Covered Person, the Delaware Trustee, the Property Trustee and the
Institutional Administrative Trustee may engage or be interested in any
financial or other transaction with the Initial Purchaser of Common Securities
or any Affiliate of the Initial Purchaser of Common Securities, or may act
as depositary for, trustee or agent for, or act on any committee or body of
holders of, securities or other obligations of the Initial Purchaser of Common
Securities or its Affiliates.

 

SECTION 10.6  Compensation;
Fees.

 

The Debenture
Issuer agrees:

 

(a)                                  to pay to the
Trustees from time to time such compensation for all services rendered by them
hereunder as the parties shall agree in writing from time to time (which
compensation shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust); and

 

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

 

The provisions
of this Section 10.6 shall survive the dissolution of the Trust and the
termination of this Declaration and the removal or resignation of any Trustee.

 

No Trustee may claim
any lien or charge on any property of the Trust as a result of any amount due
pursuant to this Section 10.6.

 

ARTICLE XI

ACCOUNTING

 

SECTION 11.1  Fiscal Year.

 

The fiscal
year (“Fiscal Year”) of the Trust shall be the calendar year, or such other
year as is required by the Code.

 

58

 

SECTION 11.2  Certain
Accounting Matters.

 

(a)                                  At all times during
the existence of the Trust, the Administrative Trustees shall keep, or cause to
be kept, full books of account, records and supporting documents, which shall
reflect in reasonable detail each transaction of the Trust. The books of
account shall be maintained on the accrual method of accounting, in accordance
with generally accepted accounting principles, consistently applied. The Trust
shall use the accrual method of accounting for United States federal income tax
purposes. The books of account and the records of the Trust shall be examined
by and reported upon as of the end of each Fiscal Year of the Trust by a firm
of independent certified public accountants selected by the Administrative
Trustees.

 

(b)                                 The Administrative
Trustees shall cause to be duly prepared and delivered to each of the Holders,
any annual United States federal income tax information statement, required by
the Code, containing such information with regard to the Securities held by
each Holder as is required by the Code and the Treasury Regulations.
Notwithstanding any right under the Code to deliver any such statement at a
later date, the Administrative Trustees shall endeavor to deliver all such
information statements within 30 days after the end of each Fiscal Year of the
Trust.

 

(c)                                  The Administrative
Trustees shall cause to be duly prepared and filed with the appropriate taxing
authority, an annual United States federal income tax return, on an IRS Form 1041
or such other form required by United States federal income tax law, and
any other annual income tax returns required to be filed by the Administrative
Trustees on behalf of the Trust with any state or local taxing authority.

 

SECTION 11.3  Banking.

 

The Trust may maintain
one or more bank accounts in the name and for the sole benefit of the Trust;
provided, however, that all payments of funds in respect of the Debentures held
by the Property Trustee shall be made directly to the Property Trustee Account
and no other funds of the Trust shall be deposited in the Property Trustee
Account. The sole signatories for such accounts shall be designated by the
Administrative Trustees; provided, however, that the Property Trustee shall
designate the signatories for the Property Trustee Account.

 

SECTION 11.4  Withholding.

 

The Trust and
the Paying Agent shall comply with all withholding requirements under United
States federal, state and local law. The Trust shall request, and the Holders
shall provide to the Trust, such forms or certificates as are necessary to
establish an exemption from withholding with respect to each Holder, and any
representations and forms as shall reasonably be requested by the Trust to
assist it in determining the extent of, and in fulfilling, its withholding
obligations. The Administrative Trustees shall cause to be filed required forms
with applicable jurisdictions and, unless an exemption from withholding is
properly established by a Holder, shall remit amounts withheld with respect to
the Holder to applicable jurisdictions. To the extent that the Trust is
required to withhold and pay over any amounts to any authority with respect to
Distributions or allocations to any Holder, the amount withheld shall be deemed
to be

 

59

 

a Distribution in the amount of the withholding to the Holder. In the
event of any claim of excess withholding, Holders shall be limited to an action
against the applicable jurisdiction. If the amount required to be withheld was
not withheld from actual Distributions made, the Trust may reduce
subsequent Distributions by the amount of such withholding.

 

ARTICLE XII

AMENDMENTS AND MEETINGS

 

SECTION 12.1  Amendments.

 

(a)                                  Except as otherwise provided
in this Declaration or by any applicable terms of the Securities, this
Declaration may be amended from time to time by the Initial Purchaser of
Common Securities, the Property Trustee and the Administrative Trustees,
without the consent of the Holders of the Securities (i) to provide for
the acceptance of appointment by a successor trustee as permitted hereby, (ii) to
cure any ambiguity, correct or supplement any provision in the Declaration that
may be defective or inconsistent with any other provision, or to make any
other provisions with respect to matters or questions arising under the
Declaration, which shall not be inconsistent with the other provisions of the
Declaration, (iii) to modify, eliminate or add to any provisions of the
Declaration to such extent as shall be necessary to ensure that at all times
any Preferred Securities are outstanding, the Trust will be classified as a
grantor trust for United States federal income tax purposes or to ensure that
the Trust will not be an “investment company” under the Investment Company Act,
or (iv) add to the covenants, restrictions or obligations of the Initial
Purchaser of Common Securities; provided, however, that such action shall not
adversely affect in any material respect the interests of any Holders of the
Securities and any such amendments of the Declaration shall become effective
when notice thereof is given to the Holders of the Securities.

 

(b)                                 Except as provided in (c) below,
and the terms of the Securities, this Declaration may be amended by the
Trustees and the Initial Purchaser of Common Securities with the consent of
Holders representing not less than a Majority in liquidation amount of the
outstanding Securities; provided that, if any amendment would adversely affect
only the holders of the Preferred Securities or the Common Securities, then
only the affected class shall be entitled to vote on such amendment and
such amendment shall not be effective except with the approval of not less than
a Majority in liquidation amount of such class of securities affected
thereby.

 

(c)                                  Without the consent
of each Holder of Securities, the Declaration may not be amended to (i) change
the amount or timing of any Distribution on the Securities or otherwise
adversely affect the amount of any Distribution required to be made in respect
of the securities as of a specified date, (ii) change the conversion rate
of the Preferred Securities except as provided in the Indenture or otherwise
change the right to convert the Preferred Securities in a manner that would be
adverse to the Holders, (iii) change any of the redemption provisions or (iv) restrict
the right of a Holder of Securities to institute suit for the enforcement of
any payment on or after the specified date.

 

60

 

(d)                                 Any amendment to the
Declaration in accordance with the provisions of this Section 12.1 shall
be conditioned upon the receipt by the Trustees of an Opinion of Counsel
experienced in such matters to the effect that such amendment or the exercise
of any power granted to the Trustees in accordance with such amendment will not
affect the Trust’s status as a grantor trust for United States federal income
tax purposes or the Trust’s exemption from status as an “investment company”
under the Investment Company Act.

 

SECTION 12.2  Meetings of
the Holders; Action by Written Consent.

 

(a)                                  Meetings of the
Holders of any class of Securities may be called at any time by the
Administrative Trustees (or as provided in the terms of the Securities) to
consider and act on any matter on which Holders of such class of
Securities are entitled to act under the terms of this Declaration, the terms
of the Securities or the rules of any stock exchange on which the
Preferred Securities are listed or admitted for trading. The Administrative
Trustees shall call a meeting of the Holders of such class if directed to
do so by the Holders of at least 25% in liquidation amount of such class of
Securities. Such direction shall be given by delivering to the Administrative
Trustees one or more notices in writing stating that the signing Holders wish
to call a meeting and indicating the general or specific purpose for which the
meeting is to be called. Any Holders calling a meeting shall specify in writing
the Security Certificates held by the Holders exercising the right to call a
meeting and only those Securities specified shall be counted for purposes of
determining whether the required percentage set forth in the second sentence of
this paragraph has been met.

 

(b)                                 Except to the extent
otherwise provided in the terms of the Securities, the following provisions
shall apply to meetings of Holders:

 

(i)  the Property Trustee will cause a
notice to be given of any such meeting to all the Holders having a right to
vote thereat at least seven days and not more than 60 days before the date of
such meeting. Whenever a vote, consent or approval of the Holders is permitted
or required under this Declaration or the rules of any stock exchange on
which the Preferred Securities are listed or admitted for trading, such vote,
consent or approval may be given at a meeting of the Holders. Any action
that may be taken at a meeting of the Holders may be taken without a
meeting if a consent in writing setting forth the action so taken is signed by
the Holders owning not less than the minimum amount of Securities in
liquidation an amount that would be necessary to authorize or take such action
at a meeting at which all Holders having a right to vote thereon were present
and voting. Prompt notice of the taking of action without a meeting shall be
given to the Holders entitled to vote who have not consented in writing. The
Trustees may specify that any written ballot submitted to the Security
Holder for the purpose of taking any action without a meeting shall be returned
to the Trust within the time specified by the Trustees;

 

(ii)  each Holder may authorize any
Person to act for it by proxy on all matters in which a Holder is entitled to
participate, including waiving notice of any

 

61

 

meeting, or voting or participating at a meeting. No proxy shall be
valid after the expiration of 11 months from the date thereof unless otherwise
provided in the proxy. Every proxy shall be revocable at the pleasure of the
Holder executing it. Except as otherwise provided herein, all matters relating
to the giving, voting or validity of proxies shall be governed by the General
Corporation Law of the State of Delaware relating to proxies, and judicial
interpretations thereunder, as if the Trust were a Delaware corporation and the
Holders were stockholders of a Delaware corporation. The Holder of a Global
Preferred Security may grant proxies and otherwise authorize any Person,
including Participants and Persons that may hold interests through
Participants, to take any action which such Holder is entitled to take under
this Declaration or the Securities;

 

(iii)  each meeting of the Holders shall
be conducted by the Administrative Trustees or by such other Person that the
Administrative Trustees may designate; and

 

(iv)  unless the Statutory Trust Act,
this Declaration, the terms of the Securities, the Trust Indenture Act or the
listing rules of any stock exchange on which the Preferred Securities are
then listed or traded, otherwise provides, the Administrative Trustees, in
their sole discretion, shall establish all other provisions relating to
meetings of Holders, including notice of the time, place or purpose of any
meeting at which any matter is to be voted on by any Holders, waiver of any
such notice, action by consent without a meeting, the establishment of a record
date, quorum requirements, voting in person or by proxy or any other matter
with respect to the exercise of any such right to vote.

 

ARTICLE XIII

REPRESENTATIONS OF PROPERTY TRUSTEE, DELAWARE TRUSTEE AND

INSTITUTIONAL ADMINISTRATIVE TRUSTEE

 

SECTION 13.1  Representations
and Warranties of Property Trustee.

 

The Trustee
that acts as initial Property Trustee represents and warrants to the Trust and
to the Initial Purchaser of Common Securities at the date of this Declaration
at the Closing Time and each Successor Property Trustee represents and warrants
to the Trust and the Initial Purchaser of Common Securities at the time of the
Successor Property Trustee’s acceptance of its appointment as Property Trustee
that:

 

(a)                                  The Property Trustee
is a national banking association, with corporate power and authority to
execute and deliver, and to carry out and perform its obligations under
the terms of, this Declaration;

 

(b)                                 The execution,
delivery and performance by the Property Trustee of this Declaration has been
duly authorized by all necessary corporate action on the part of the
Property Trustee. This Declaration has been duly executed and delivered by the
Property Trustee and constitutes a legal, valid and binding obligation of the
Property Trustee, enforceable against it in accordance with its terms, subject
to applicable bankruptcy,

 

62

 

reorganization, moratorium, insolvency, and other similar laws
affecting creditors’ rights generally and to general principles of equity and
the discretion of the court (regardless of whether the enforcement of such
remedies is considered in a proceeding in equity or at law);

 

(c)                                  The execution,
delivery and performance of this Declaration by the Property Trustee does not
conflict with or constitute a breach of the charter or by-laws of the Property
Trustee;

 

(d)                                 No consent, approval
or authorization of, or registration with or notice to, any state or federal
banking or other regulatory authority is required for the execution, delivery
or performance by the Property Trustee of this Declaration; and

 

(e)                                  The Property Trustee
satisfies the eligibility requirements set forth in Section 5.3(a).

 

SECTION 13.2  Representations
and Warranties of Delaware Trustee.

 

The Trustee
that acts as initial Delaware Trustee represents and warrants to the Trust and
to the Initial Purchaser of Common Securities at the date of this Declaration
and at the Closing Time and each Successor Delaware Trustee represents and
warrants to the Trust and the Initial Purchaser of Common Securities at the
time of the Successor Delaware Trustee’s acceptance of its appointment as
Delaware Trustee that:

 

(a)                                  The Delaware Trustee
is duly organized, validly existing and in good standing under the laws of the
United States or the State of Delaware, as the case may be, with corporate
power and authority to execute and deliver, and to carry out and perform its
obligations under the terms of, this Declaration;

 

(b)                                 The execution,
delivery and performance by the Delaware Trustee of this Declaration has been
duly authorized by all necessary corporate action on the part of the
Delaware Trustee. This Declaration has been duly executed and delivered by the
Delaware Trustee and constitutes a legal, valid and binding obligation of the
Delaware Trustee, enforceable against it in accordance with its terms, subject
to applicable bankruptcy, reorganization, moratorium, insolvency, and other
similar laws affecting creditors’ rights generally and to general principles of
equity and the discretion of the court (regardless of whether the enforcement
of such remedies is considered in a proceeding in equity or at law);

 

(c)                                  The execution,
delivery and performance of this Declaration by the Delaware Trustee does not
conflict with or constitute a breach of the certificate of incorporation or
by-laws of the Delaware Trustee;

 

(d)                                 No consent, approval
or authorization of, or registration with or notice to, any federal banking or
other regulatory authority is required for the execution, delivery or
performance by the Delaware Trustee of this Declaration; and

 

63

 

(e)                                  The Delaware Trustee
is a natural person who is a resident of the State of Delaware or, if not a
natural person, an entity which has its principal place of business in the
State of Delaware.

 

SECTION 13.3  Representations
and Warranties of Institutional Administrative Trustee.

 

The
Institutional Administrative Trustee represents and warrants to the Trust and
to the Initial Purchaser of Common Securities at the date of this Declaration
and at the Closing Time and each Successor Administrative Trustee that is not a
natural person (a “Successor Institutional Administrative Trustee”) represents
and warrants to the Trust and the Initial Purchaser of Common Securities at the
time of the Successor Institutional Administrative Trustee’s acceptance of its
appointment as Successor Institutional Administrative Trustee that:

 

(a)                                  The Institutional
Administrative Trustee is a national banking association, with corporate power
and authority to execute and deliver, and to carry out and perform its
obligations under the terms of, this Declaration;

 

(b)                                 The execution,
delivery and performance by the Institutional Administrative Trustee of this
Declaration has been duly authorized by all necessary corporate action on the part of
the Institutional Administrative Trustee. This Declaration has been duly
executed and delivered by the Institutional Administrative Trustee and
constitutes a legal, valid and binding obligation of the Institutional
Administrative Trustee, enforceable against it in accordance with its terms,
subject to applicable bankruptcy, reorganization, moratorium, insolvency, and
other similar laws affecting creditors’ rights generally and to general
principles of equity and the discretion of the court (regardless of whether the
enforcement of such remedies is considered in a proceeding in equity or at
law);

 

(c)                                  The execution,
delivery and performance of this Declaration by the Institutional
Administrative Trustee does not conflict with or constitute a breach of the
charter or by-laws of the Institutional Administrative Trustee; and

 

(d)                                 No consent, approval
or authorization of, or registration with or notice to, any state or federal
banking or other regulatory authority is required for the execution, delivery
or performance by the Institutional Administrative Trustee of this Declaration.

 

ARTICLE XIV

REGISTRATION RIGHTS

 

SECTION 14.1  Registration
Rights.

 

The Holders of
the Preferred Securities, the Debentures, the Guarantee Agreement and the
shares of common stock of the Initial Purchaser of Common Securities issuable
upon conversion of the Preferred Securities are entitled to the benefits of a
Registration Rights Agreement as set forth in the Purchase Agreement, the
Registration Rights Agreement and the Indenture.

 

64

 

ARTICLE XV

MISCELLANEOUS

 

SECTION 15.1  Notices.

 

All notices
provided for in this Declaration shall be in writing, duly signed by the party
giving such notice, and shall be delivered, telecopied or mailed by first-class mail,
overnight courier service or confirmed telecopy, as follows:

 

(a)                                  if given to the Trust,
in care of the Institutional Administrative Trustee at the mailing address set
forth below (or such other address as the Trust may give notice of to the
Property Trustee, the Delaware Trustee and the Holders):

 

LaSalle Bank
National Association

135 South LaSalle Street, Suite 1151

Chicago, Illinois 60603

Fax: (312) 904-0524

Telephone: (312) 904-0283

Attention: CDO Trust Services Group –AMG Capital Trust I

 

(b)                                 if given to the
Delaware Trustee, at the mailing address set forth below (or such other address
as Delaware Trustee may give notice of to the Holders):

 

Christiana
Bank & Trust Company

1314 King Street

Wilmington, Delaware 19801

Telecopy:  (302) 421-9015

Telephone:  (302) 888-7437

Attention: Corporate Trust Administration

 

(c)                                  if given to the Property
Trustee, at the Property Trustee’s mailing address set forth below (or such
other address as the Property Trustee may give notice of to the Holders):

 

LaSalle Bank
National Association

135 South LaSalle Street, Suite 1151

Chicago, Illinois 60603

Fax: (312) 904-0524

Telephone: (312) 904-0283

Attention: CDO Trust Services Group –AMG Capital Trust I

 

(d)                                 if given to the Holder
of the Common Securities, at the mailing address of the Initial Purchaser of
Common Securities set forth below (or such other address as the Holder of the
Common Securities may give notice to the Property Trustee and the Trust):

 

Affiliated
Managers Group, Inc.

600 Hale Street

Prides Crossing, Massachusetts 01965

 

65

 

Telecopy:
(617) 747-3380

Telephone: (617) 747-3311

Attention: John Kingston, III

 

(e)                                  if given to Initial
Purchaser of Common Securities, at the mailing address of the Initial Purchaser
of Common Securities set forth below (or such other address as the Initial
Purchaser of Common Securities may give notice to the Property Trustee and
the Trust):

 

Affiliated
Managers Group, Inc.

600 Hale Street

Prides Crossing, Massachusetts 01965

Telecopy: (617) 747-3380

Telephone: (617) 747-3311

Attention: John Kingston, III

 

(f)                                    if given to any
other Holder, at the address set forth on the books and records of the Trust or
the Registrar, as applicable.

 

All such
notices shall be deemed to have been given when received in person, faxed with
receipt confirmed, or mailed by first-class mail, postage prepaid except
that if a notice or other document is refused delivery or cannot be delivered
because of a changed address of which no notice was given, such notice or other
document shall be deemed to have been delivered on the date of such refusal or
inability to deliver.

 

SECTION 15.2  Governing
Law.

 

This
Declaration and the rights of the parties hereunder shall be governed by and
interpreted in accordance with the laws of the State of Delaware and all rights
and remedies shall be governed by such laws without regard to principles of
conflict of laws.

 

SECTION 15.3  Intention
of the Parties.

 

It is the
intention of the parties hereto that the Trust be classified for United States
federal income tax purposes as a grantor trust. The provisions of this
Declaration shall be interpreted to further this intention of the parties.

 

SECTION 15.4  Headings.

 

Headings
contained in this Declaration are inserted for convenience of reference only
and do not affect the interpretation of this Declaration or any provision
hereof.

 

SECTION 15.5  Successors
and Assigns.

 

Whenever in
this Declaration any of the parties hereto is named or referred to, the
successors and assigns of such party shall be deemed to be included, and all
covenants and agreements in this Declaration by the Initial Purchaser of Common
Securities and the Trustees

 

66

 

shall bind and inure to the benefit of their respective successors and
assigns, whether so expressed.

 

SECTION 15.6  Partial
Enforceability.

 

If any
provision of this Declaration, or the application of such provision to any
Person or circumstance, shall be held invalid, the remainder of this
Declaration, or the application of such provision to Persons or circumstances
other than those to which it is held invalid, shall not be affected thereby.

 

SECTION 15.7  Counterparts.

 

This
Declaration may contain more than one counterpart of the signature page and
this Declaration may be executed by the affixing of the signature of each
of the Trustees to one of such counterpart signature pages. All of such
counterpart signature pages shall be read as though one, and they
shall have the same force and effect as though all of the signers had signed a
single signature page.

 

[Remainder of Page Intentionally Left
Blank]

 

67

 

IN WITNESS
WHEREOF, the undersigned has caused these presents to be executed as of the day
and year first above written.

 

	
   

  	
  LaSalle Bank National Association,

  
	
   

  	
  not in its individual capacity but solely
  as 

  
	
   

  	
  Administrative Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ Michael Oliver

  
	
   

  	
   

  	
  Name: Michael Oliver

  
	
   

  	
   

  	
  Title: Assistant Vice President

  

 

68

 

	
   

  	
  Christiana Bank & Trust Company,

  
	
   

  	
  as Delaware Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ James M. Young

  
	
   

  	
   

  	
  Name: James M. Young

  
	
   

  	
   

  	
  Title: Assistant Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  LaSalle Bank National Association,

  
	
   

  	
  as Property Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ Michael Oliver

  
	
   

  	
   

  	
  Name: Michael Oliver

  
	
   

  	
   

  	
  Title: Assistant Vice President

  

 

69

 

	
   

  	
  Affiliated Managers Group, Inc.,

  
	
   

  	
  as Initial Purchaser of Common

  
	
   

  	
  Securities and Debenture Issuer

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ John Kingston, III

  
	
   

  	
   

  	
  Name: John Kingston, III

  
	
   

  	
   

  	
  Title: Senior Vice President, General

  
	
   

  	
   

  	
   Counsel and Secretary

  

 

70

 

ANNEX I

 

TERMS OF

5.10% CONVERTIBLE TRUST PREFERRED SECURITIES

(LIQUIDATION AMOUNT $50.00 PER SECURITY)

AND

5.10% COMMON SECURITIES

(LIQUIDATION AMOUNT $50.00 PER SECURITY)

 

Pursuant to Section 7.1
of the Amended and Restated Declaration of Trust, dated as of April 3,
2006 (as amended from time to time, the “Declaration”), the designation,
rights, privileges, restrictions, preferences and other terms and provisions of
the Securities are set out below (each capitalized term used but not defined
herein has the meaning set forth in the Declaration or, if not defined in such
Declaration, as defined in the Offering Memorandum):

 

1.                                       Designation
and Number.

 

(a)                                  Preferred
Securities. 5,820,000 5.10% Preferred Securities of the Trust with an aggregate
liquidation amount with respect to the assets of the Trust of Two Hundred
Ninety-One Million Dollars ($291,000,000), and with a liquidation amount with
respect to the assets of the Trust of $50.00 per security, are hereby
designated for the purposes of identification only as Preferred Securities. The
certificates evidencing the Preferred Securities shall be substantially in the form of
Exhibit A-1 to the Declaration, with such changes and additions thereto or
deletions therefrom as may be required by ordinary usage, custom or
practice or to conform to the rules of any exchange or quotation
system on or in which the Preferred Securities are listed, traded or quoted, if
any.

 

(b)                                 Common
Securities. Up to 180,000 5.10% Common Securities of the Trust with an
aggregate liquidation amount with respect to the assets of the Trust of Nine
Million Dollars ($9,000,000) and a liquidation amount with respect to the
assets of the Trust of $50.00 per security, are hereby designated for the
purposes of identification only as Common Securities. The certificates
evidencing the Common Securities shall be substantially in the form of Exhibit A-2
to the Declaration, with such changes and additions thereto or deletions
therefrom as may be required by ordinary usage, custom or practice.

 

2.                                       Distributions.

 

(a)                                  Distributions
payable on each Security will be fixed at a rate per annum of 5.10% (the “Coupon
Rate”) of the liquidation amount of $50.00 per Security (the “Liquidation
Amount”), such rate being the rate of interest payable on the Debentures to be
held by the Property Trustee. Distributions in arrears will bear additional
distributions thereon compounded quarterly at the Coupon Rate (to the extent
permitted by applicable law). A Distribution is payable only to the extent that
payments are made in respect of the Debentures held by the Property Trustee and
to the extent the Property Trustee has funds on hand legally available
therefor.

 

A-I-1

 

(b)                                 Distributions
on the Securities will be cumulative, will accumulate from the date of their
original issuance, and will be payable quarterly in arrears on January 15,
April 15, July 15 and October 15 of each year, commencing on July 15,
2006 (each, a “Distribution Date”), except as otherwise described below.
Distributions will be computed on the basis of a 360-day year consisting of
twelve 30-day months. As long as no default in the payment of interest on the
Debentures has occurred and is continuing under the Indenture, the Debenture
Issuer has the right under the Indenture to defer payments of interest (other
than Contingent Interest) by extending the interest payment period at any time
and from time to time on the Debentures for a period not exceeding 20
consecutive quarterly periods, including the first such quarterly period during
such period (each an “Extension Period”), during which Extension Period no
interest (other than Contingent Interest, if any) shall be due and payable on
the Debentures, provided that no Extension Period shall end on a date other
than an Interest Payment Date for the Debentures or extend beyond the stated
maturity date of the Debentures or any redemption dated therefor. As a
consequence of such deferral, Distributions (other than Contingent
Distributions, if any) will also be deferred. Despite such deferral,
Distributions (other than Contingent Distributions, if any) will continue to
accumulate with additional Distributions thereon (to the extent permitted by
applicable law but not at a rate greater than the rate at which interest is
then accruing on the Debentures) at the Coupon Rate compounded quarterly during
any such Extension Period. Prior to the termination of any such Extension
Period, the Debenture Issuer may further defer payments of interest (other
than Contingent Interest) by further extending such Extension Period; provided
that such Extension Period, together with all such previous and further
extensions within such Extension Period, may not exceed 20 consecutive
quarterly periods, including the first quarterly period during such Extension
Period, or extend beyond the stated maturity date of the Debentures or any
redemption dated therefor. Upon the termination of any Extension Period and the
payment of all amounts then due, the Debenture Issuer may commence a new
Extension Period, subject to the above requirements. If the Property Trustee
shall be the only holder of the Debentures, the Debenture Issuer shall give the
Administrative Trustees, the Property Trustee and the Debenture Trustee (as
defined in the Indenture) notice of its election to defer interest payments or
to extend an Extension Period at least five Business Days prior to the earlier
of:  (x) the next date on which
Distributions on the Preferred Securities are payable, or (y) the date the
Property Trustee is required to give notice of the record date or the payment
date of such related Distributions for the first quarter of such Extension
Period to any national stock exchange or other organization on which the
Preferred Securities are listed or quoted, if any, or to Holders of the
Preferred Securities as of the record date or the distribution date. The
Property Trustee will notify holders of the Preferred Securities of the
Debenture Issuer’s election to begin a new or extend an Extension Period.

 

(c)                                  Distributions
on the Securities (other than Distributions on a redemption date and Contingent
Distributions, if any) will be payable to the Holders thereof as they appear on
the books and records of the Trust as of 5:00 p.m., New York City time, on
the first day of the month, whether or not a Business Day, in the month in
which the relevant Distribution Date occurs, which Distribution Dates
correspond to the interest payment dates on the Debentures. The relevant record
dates for the Common Securities shall be

 

A-I-2

 

the same as the record dates for the
Preferred Securities. Distributions payable on any Securities that are not
punctually paid on any Distribution Date, as a result of the Debenture Issuer
having failed to make a payment under the Debentures, will cease to be payable
to the Holder on the relevant record date, and such defaulted Distribution will
instead be payable to the Person in whose name such Securities are registered
on the special record date or other specified date determined in accordance
with the Indenture. If any date on which Distributions are payable on the
Securities is not a Business Day, then payment of the Distribution payable on
such date will be made on the next succeeding day that is a Business Day (and
without any interest or other payment in respect of any such delay), except
that if such next succeeding Business Day is in the next succeeding calendar
year, such payment shall be made on the immediately preceding Business Day with
the same force and effect as if made on such date.

 

(d)                                 Holders
of Securities shall be entitled to receive Contingent Distributions to the
extent that Contingent Interest is payable on the Debentures in accordance with
the provisions of the Indenture. Contingent Interest, if any, will be payable
on the Debentures in respect of any quarterly period from January 16 to April 15,
April 16 to July 15, July 16 to October 15 and October 16
to January 15 (each, a “Quarterly Period”), commencing with the Quarterly
Period commencing April 16, 2011. Contingent Distributions, if payable,
shall be paid on the last day of each Quarterly Period (each such date, a “Contingent
Distribution Payment Date”) to Holders of Securities as of the fourteenth day
preceding the last day of the applicable Quarterly Period. Contingent
Distributions, if payable in respect of any applicable Quarterly Period, shall
equal the annual rate of 0.25% of the average of the Security Market Prices (as
such term is defined in the Indenture) for the ten Trading Days ending on the
third Trading Day immediately preceding the first day of the applicable
Quarterly Period. Contingent Distributions shall be calculated on the basis of
a 360-day year of twelve 30-day months.

 

(e)                                  As
used in this Annex I, the term “Distribution,” unless otherwise stated,
includes regular quarterly Distributions payable at the Coupon Rate as well as
Distributions payable in accordance with Article VI of the Declaration if
and to the extent that the Debenture Issuer makes a payment of Interest on the
Debentures in respect of Compounded Interest, Liquidated Damages, Additional
Sums and Contingent Interest.

 

(f)                                    In
the event that there is any money or other property held by or for the Trust
that is not accounted for hereunder, such property shall be distributed Pro
Rata (as defined herein) among the Holders.

 

3.                                       Liquidation
Distribution Upon Termination.

 

In the event
of any termination of the Trust other than upon the occurrence of events
specified in Sections 8.1(a)(v), (vi), (viii) or 8(a)(ix) of the
Declaration, or if the Initial Purchaser of Common Securities otherwise gives
notice of its election to liquidate the Trust pursuant to Section 8.1(a)(iii) of
the Declaration, the Trust shall be liquidated by the Administrative Trustees
as expeditiously as the Administrative Trustees determine to be possible by
distributing to the Holders, after satisfaction of liabilities to creditors of
the Trust as provided by applicable law, a Like Amount (as defined below) of
the Debentures, unless such distribution is determined by the

 

A-I-3

 

Property Trustee not to be practicable, in which event such Holders
will be entitled to receive Pro Rata out of the assets of the Trust legally
available for distribution to Holders an amount in cash or immediately
available funds equal to the aggregate of the liquidation amount of $50.00 per
Security plus accumulated and unpaid Distributions thereon to the date of
payment, after satisfaction of liabilities to creditors of the Trust as
provided by applicable law (such amount being the “Liquidation Distribution”).
If the Debentures are distributed to the holders of the Preferred Securities,
the Debenture Issuer will use its reasonable efforts to cause the Debentures to
be listed on the market or exchange on which the Preferred Securities are then
listed, if any.

 

“Like Amount”
means (i) with respect to a redemption of the Securities, Securities
having a Liquidation Amount equal to the principal amount of Debentures to be
paid in accordance with their terms and (ii) with respect to a
distribution of Debentures upon the liquidation of the Trust, Debentures having
a principal amount equal to the Liquidation Amount of the Securities of the
Holder to whom such Debentures are distributed.

 

If, upon any
such liquidation, the Liquidation Distribution can be paid only in part because
the Trust has insufficient assets on hand legally available to pay in full the
aggregate Liquidation Distribution, then the amounts payable directly by the
Trust on the Securities shall be paid on a Pro Rata basis except that if an
Event of Default shall exist under the Indenture, the Preferred Securities
shall have a priority over the Common Securities.

 

On and from
the date fixed by the Administrative Trustees for any distribution of
Debentures and liquidation of the Trust: (i) the Securities will no longer
be deemed to be outstanding, (ii) the Clearing Agency or its nominee (or
any successor Clearing Agency or its nominee), as the Holder of the Preferred
Securities, will receive a registered global certificate or certificates
representing the Debentures to be delivered upon such distribution, and (iii) any
certificates representing Securities not held by the Clearing Agency or its
nominee (or any successor Clearing Agency or its nominee) will be deemed to
represent beneficial interests in a Like Amount of Debentures bearing an
interest rate identical to the distribution rate of those Preferred Securities,
and bearing accrued and unpaid interest in an amount equal to the accumulated
and unpaid Distributions on those Preferred Securities until such certificates
are presented to the Debenture Issuer or its agent for transfer or reissue.

 

4.                                       Redemption
and Distribution.

 

(a)                                  Upon
the repayment of the Debentures in whole or in part, at maturity or otherwise
(either at the option of the Debenture Issuer in accordance with the provisions
of 4(c) below or pursuant to a Special Event, as described below), the
proceeds from such redemption shall be simultaneously applied by the Property
Trustee (subject to the Property Trustee having received written notice no
later than 45 days prior to such redemption) to redeem a Like Amount of the
Securities, at the Redemption Price (as defined below). If fewer than all of
the Debentures are redeemed on a redemption date, then the Property Trustee
shall allocate the proceeds of the redemption on a Pro Rata basis among the
Preferred Securities and the Common Securities unless an Event of Default shall
have occurred, in which case no proceeds shall be allocated to the Common
Securities until the Preferred Securities are paid in full.

 

A-I-4

 

(b)                                 (i) 
The “Redemption Price,” with respect to a redemption of Securities, shall mean
an amount equal to 100% of the Liquidation Amount of Securities to be redeemed,
plus accrued and unpaid Distributions on the Securities, if any, to the date of
such redemption.

 

(ii)  If fewer than all
the outstanding Securities are to be so redeemed, the Securities to be redeemed
will be determined as described in paragraph 5(a)(ii) below.

 

(c)                                  The
Debenture Issuer may redeem the Debentures, subject to conditions set
forth in the Indenture, prior to maturity, in whole or in part, on one or more
occasions at any time on or after April 15, 2011 if the Closing Price (as
defined in the Indenture) of Common Stock (as defined in the Indenture) for 20
Trading Days (as defined in the Indenture) in a period of 30 consecutive
Trading Days ending on the Trading Day prior to the mailing of the notice of
redemption exceeds 130% of the then prevailing Conversion Price (as defined in
the Indenture).

 

(d)                                 If
at any time an Investment Company Event or a Tax Event (each as defined below,
and each a “Special Event”) occurs, the Debenture Issuer shall have the right
(subject to the conditions set forth in the Indenture) at any time to redeem
the Debentures in whole, but not in part, following the occurrence of such
Special Event.

 

“Investment
Company Event” means the Initial Purchaser of Common Securities and the Trust
shall have received an opinion of independent securities counsel experienced in
such matters to the effect that, as a result of (i) any amendment to, or
change (including any announced prospective change) in, any laws or regulations
of the United States or any rules, guidelines or policies of any applicable
regulatory agency or authority; or (ii) any official administrative
pronouncement or judicial decision interpreting or applying such laws or
regulations, which amendment or change is effective or which pronouncement or
decision is announced on or after the date the Preferred Securities are first
issued, the Trust is, or within 90 days of the date of the opinion will be,
considered an investment company that is required to be registered under the
Investment Company Act.

 

A “Tax Event”
shall occur upon receipt by the Debenture Issuer and the Trust of an opinion of
independent tax counsel experienced in such matters to the effect that, as a
result of (a) any amendment to, change in or announced prospective change
in, the laws or any regulations thereunder of the United States or any
political subdivision or taxing authority thereof or therein, or (b) any
official administrative pronouncement or judicial decision interpreting or applying
such laws or regulations, which amendment or change is effective or which
pronouncement or decision is announced on or after the date of original
issuance of the Preferred Securities, there is more than an insubstantial risk
that (i) the Trust is, or will be within 90 days of the date of such
opinion, subject to United States federal income tax with respect to interest
received or accrued on the Debentures, (ii) interest payable by the
Debenture Issuer on the Debentures is not, or within 90 days of the date of
such opinion, will not be, deductible by the Debenture Issuer, in whole or in
part, for United States federal income tax purposes, or (iii) the Trust
is, or will be within 90 days of the date of such opinion, subject to more than
a de minimis amount of other taxes, duties
or other governmental charges.

 

A-I-5

 

(e)                                  Upon
any redemption of Debentures upon the occurrence of a Special Event and in
compliance with the Indenture, the Trust will, simultaneous with such
redemption of Debentures, cause a Like Amount of the Securities to be redeemed
by the Trust at the Redemption Price on a Pro Rata basis.

 

(f)                                    The
Trust may not redeem fewer than all the outstanding Securities unless all
accumulated and unpaid Distributions have been paid on all Securities for all
quarterly distribution periods terminating on or before the date of redemption.

 

(g)                                 In
connection with any redemption of Securities, the Trust may arrange for
the purchase and conversion of any Securities by an agreement with one or more
investment bankers or other purchasers to purchase such Securities by paying to
the Property Trustee in trust for the Holders, on or before the redemption
date, an amount not less than the applicable Redemption Price of such
Securities. Notwithstanding anything to the contrary contained in this
paragraph 4, the obligation of the Trust to pay the redemption price of such
Securities shall be deemed to be satisfied and discharged to the extent such
amount is so paid by such purchasers. If such an agreement is entered into, a
copy of which shall be filed with the Property Trustee prior to the redemption
date, any Securities not duly surrendered for conversion by the Holders
thereof, may, at the option of the Trust, be deemed, to the fullest extent
permitted by law, acquired by such purchasers from such Holders and
(notwithstanding anything to the contrary contained in paragraph 6 of this
Annex I) surrendered by such purchasers for conversion, all as of immediately
prior to the close of business on the redemption date (and the right to convert
any such Securities shall be deemed to have been extended through such time),
subject to payment of the above amount as aforesaid. At the written direction
of the Trust, the Property Trustee shall hold and dispose of any such amount
paid to it in the same manner as it would monies deposited with it by the Trust
for the redemption of Securities. Without the Property Trustee’s prior written
consent, no arrangement between the Trust and such purchasers for the purchase
and conversion of any Securities shall increase or otherwise affect any of the
powers, duties, responsibilities or obligations of the Property Trustee as set
forth in the Declaration, and the Debenture Issuer and the Trust agree to
indemnify the Property Trustee from, and hold it harmless against, any and all
loss, liability or expense arising out of or in connection with any such
arrangement for the purchase and conversion of any Securities between the Trust
and such purchasers, including the costs and expenses incurred by the Property
Trustee in the defense of any claim or liability arising out of or in
connection with the exercise or performance of any of its powers, duties,
responsibilities or obligations under the Declaration. Nothing in the preceding
sentence shall be deemed to limit the rights, privileges, immunities and
protections afforded to the Property Trustee in the Declaration. Nothing in
this paragraph 4(g) shall affect the right of the Holders to receive the
full Redemption Price on the redemption date.

 

5.                                       Procedures
Related to Redemptions or Distributions of Securities.

 

(a)                                  The
procedure with respect to redemptions or distributions of Securities shall be
as follows:

 

A-I-6

 

(i)  Notice of any
redemption of, or notice of distribution of Debentures in exchange for, the
Securities (a “Redemption/Distribution Notice”) will be given by the Trust by
mail to each Holder to be redeemed or exchanged not fewer than 20 nor more than
60 days before the date fixed for redemption or exchange thereof which, in the
case of a redemption, will be the date fixed for redemption of the Debentures.
For purposes of the calculation of the date of redemption or exchange and the
dates on which notices are given pursuant to this paragraph 5(a)(i), a
Redemption/Distribution Notice shall be deemed to be given on the day such
notice is first mailed by first-class mail, postage prepaid, to Holders.
Each Redemption/Distribution Notice shall be addressed to the Holders at the
address of each such Holder appearing in the books and records of the Trust.
The notice if mailed in the manner herein provided shall be conclusively
presumed to have been duly given, whether or not the Holder receives such notice.
In any case, failure to give such notice or any defect in the
Redemption/Distribution Notice to the Holder of any Security designated for
redemption or exchange as a whole or in part shall not affect the validity
of the redemption or exchange proceedings with respect to any other Security.

 

(ii)  Subject to 4(a), in
the event that fewer than all the outstanding Securities are to be redeemed,
the particular Securities to be redeemed shall be selected on a Pro Rata basis
(based upon Liquidation Amounts) not more than 60 days prior to the date fixed
for redemption from the outstanding Securities not previously called for
redemption, provided, however, that with respect to Holders that would be
required to hold less than 100 but more than zero Securities as a result of
such Pro Rata redemption, the Trust shall redeem Securities of each such Holder
so that after such redemption such Holder either shall hold 100 Securities or
such Holder no longer hold any Securities, and shall use such method
(including, without limitation, by lot) as the Trust shall deem fair and
appropriate, provided further, that any such proration may be made on the
basis of the aggregate Liquidation Amount of Securities held by each Holder
thereof and may be made by making such adjustments as the Trust deems fair
and appropriate in order that only Securities in denominations of $50.00 or
integral multiples thereof shall be redeemed. In respect of Preferred
Securities registered in the name of and held of record by the Clearing Agency
or its nominee (or any successor Clearing Agency or its nominee) or any
nominee, the distribution of the proceeds of such redemption will be made to
the Clearing Agency and disbursed by such Clearing Agency in accordance with
the procedures applied by such agency or nominee.

 

(iii)  If Securities are
to be redeemed and the Trust gives a Redemption/ Distribution Notice (which
notice will be irrevocable), then (A) with respect to Preferred Securities
issued in book-entry form, by 12:00 noon, New York City time, on the redemption
date or at such earlier time as the Trust determines, provided that the
Debenture Issuer has paid the Debenture Trustee a sufficient amount of cash in
connection with the related redemption or maturity of the Debentures by 10:00 a.m.,
New York City time, on the maturity date or the date of redemption, as the case
requires, the Property Trustee will deposit irrevocably with the Clearing
Agency or its nominee (or successor Clearing Agency or its nominee)

 

A-I-7

 

funds sufficient to pay the Redemption Price
with respect to such Preferred Securities and will give the Clearing Agency
irrevocable instructions and authority to pay the Redemption Price to the
relevant Clearing Agency Participants, and (B) with respect to Preferred
Securities issued in certificated form and Common Securities, the Property
Trustee will irrevocably deposit with the Paying Agent funds sufficient to pay
the Redemption Price and will give the Paying Agent irrevocable instructions
and authority to pay the Redemption Price to Holders upon surrender of their
certificates evidencing the Preferred Securities or Common Securities, as the
case may be. If a Redemption/Distribution Notice shall have been given and
funds deposited as required, if applicable, then immediately prior to the close
of business on the redemption date, Distributions will cease to accumulate on
the Securities so called for redemption and all rights of Holders so called for
redemption will cease, except the right of the Holders of such Securities to
receive the Redemption Price, but without interest on such Redemption Price,
and such Securities shall cease to be outstanding.

 

(iv)  Notwithstanding the
foregoing, payment of accumulated and unpaid Distributions (including
Contingent Distributions, if any) on the Redemption Date of the Securities will
be subject to the rights of Holders on the close of business on the relevant
record date in respect of a Distribution Date (or a Contingent Distribution
Payment Date, if applicable) occurring on or prior to such Redemption Date.

 

The Trust
shall not be required to: (i) issue, register the transfer of or exchange
any Securities during a period beginning at the opening of business 15 days
before the day of mailing of a notice of redemption and ending at the close of
business on the day of such mailing or (ii) register the transfer of or
exchange any Securities selected for redemption in whole or in part except,
in the case of any Securities being redeemed in part, any portion thereof not
to be redeemed. If any date fixed for redemption of Securities is not a
Business Day, then payment of the Redemption Price payable on such date will be
made on the next succeeding day that is a Business Day (and without any
interest or other payment in respect of any such delay) except that, if such
next succeeding Business Day falls in the next calendar year, such payment
shall be made on the immediately preceding Business Day, in each case with the
same force and effect as if made on such date fixed for redemption. If payment
of the Redemption Price in respect of any Securities is improperly withheld or
refused and not paid either by the Trust or by the Debenture Issuer as
guarantor pursuant to the Guarantee Agreement, Distributions on such Securities
will continue to accumulate from the original redemption date to the actual
date of payment, in which case the actual payment date will be considered the
date fixed for redemption for purposes of calculating the Redemption Price.

 

(v)  Redemption/Distribution
Notices shall be sent by the Property Trustee on behalf of the Trust at the
expense of the Initial Purchaser of Common Securities to (A) in respect of
the Preferred Securities, the Clearing Agency or its nominee (or any successor
Clearing Agency or its nominee) if the Global Certificates have been issued or,
if Certificated Preferred Security Certificates have been issued, to the Holder
thereof, and (B) in respect of the Common Securities to the Holder
thereof.

 

A-I-8

 

(vi)  Subject to the
foregoing and applicable law (including, without limitation, United States
federal securities laws), the Initial Purchaser of Common Securities or any of
its subsidiaries may at any time and from time to time purchase
outstanding Preferred Securities by tender, in the open market or by private
agreement.

 

6.                                       Conversion
Rights.

 

The Holders of
Preferred Securities shall have the right at any time on or after the
occurrence of the events described in Section 17.01 of the Indenture and
prior to 5:00 p.m., New York City time, on the Business Day immediately
preceding the date of repayment of such Preferred Securities, whether at stated
maturity or upon redemption, at their option to cause the Conversion Agent to
convert Preferred Securities, on behalf of the converting Holders, into shares
of common stock of the Debenture Issuer, par value $0.01 per share (“Common
Stock”), in the manner described herein on and subject to the following terms
and conditions:

 

(a)                                  The
Preferred Securities will be convertible at the office of the Conversion Agent
into fully paid and nonassessable shares of Common Stock pursuant to the Holder’s
direction to the Conversion Agent to exchange such Preferred Securities for a
portion of the Debentures theretofore held by the Trust on the basis of one
Preferred Security per $50.00 principal amount of Debentures, and immediately
convert such amount of Debentures into fully paid and nonassessable shares of
Common Stock at an initial conversion rate of 0.3333 shares of Common Stock for
each $50.00 principal amount of Debentures, subject to adjustment as described
in the Indenture. The Conversion Rate shall be subject to adjustment in the
manner set forth in the Indenture. In addition, upon the occurrence of a Change
in Control prior to April 15, 2016, holders converting Debentures in
connection with such Change in Control within the meaning of the Indenture
(including Holders directing the Conversion Agent) shall, under certain
circumstances, be entitled to receive a make whole premium in the form of
an increase in the Conversion Rate, as and to the extent set forth in the
Indenture.

 

Upon conversion of Debentures
following the Holder’s direction to the Conversion Agent, the Debenture Issuer
shall, in accordance with the provisions of the Indenture, have the right to
deliver, in lieu of Common Stock, cash in lieu of all or a portion of such
Common Stock. The Debenture Issuer shall inform the Property Trustee of
its election to pay cash for all or a portion of the shares in lieu of delivery
of the shares of Common Stock otherwise issuable upon conversion (and, if
applicable, the percentage of each share of Common Stock that will be paid in
cash in lieu of shares of Common Stock) and the Property Trustee shall upon
receipt of such notice notify Holders who have surrendered their Preferred
Securities for conversion no later than two Business Days after the Conversion
Date.

 

If the
Debenture Issuer shall have elected, unilaterally and irrevocably, to settle
its obligation to deliver shares of Common Stock with respect to Debentures
converted following such election, in cash and, if applicable, shares of common
stock (“Net Share Settlement Election”), then upon conversion of Debentures
following the Holder’s direction to the Conversion Agent, the Debenture Issuer
shall deliver to the holder

 

A-I-9

 

surrendering such Debentures for conversion an amount in cash equal to
the lesser of (i) the principal amount of the Debentures so converted and (ii) the
Conversion Value, determined in the manner set forth in the Indenture. If the
Conversion Value exceeds the principal amount of the Debentures on the
conversion date, the Debenture Issuer will also deliver, at its election, cash
or Common Stock or a combination of cash and Common Stock for the Conversion
Value in excess of the principal amount of the Debentures so converted. On any
day prior to the first Trading Day of the applicable Conversion Reference
Period, the Debenture Issuer may specify the Cash Percentage (as defined
in the Indenture) and the Debenture Issuer shall notify the Property Trustee
who shall forthwith and immediately notify the Holder of such Cash Percentage.

 

(b)                                 In
order to convert Preferred Securities into Common Stock the Holder shall submit
to the Conversion Agent at the office referred to above an irrevocable request
to convert Preferred Securities on behalf of such Holder substantially in the form attached
to Exhibit A-1 to this Declaration (the “Conversion Request”), together,
if the Preferred Securities are in certificated form, with such certificates.
The Holder must furnish appropriate endorsements or transfer documents, if
required by the Conversion Agent, and pay any transfer or similar tax, if required.
The Trust shall not cause the conversion of any Debentures except pursuant to
such a Conversion Request. The Conversion Request shall (i) set forth the
number of Preferred Securities to be converted and the name or names, if other
than the Holder, in which the shares of Common Stock should be issued and (ii) direct
the Conversion Agent (a) to exchange such Preferred Securities for a
portion of the Debentures held by the Trust having a principal amount equal to
the Liquidation Amount of the Preferred Securities to be converted and (b) to
immediately convert such Debentures on behalf of such Holder, into Common Stock
at the conversion rate applicable to the Debentures at such time. The
Conversion Agent shall notify the Property Trustee of the Holder’s election to
exchange Preferred Securities for a portion of the Debentures held by the Trust
and the Property Trustee shall, upon receipt of such notice, deliver to the
Conversion Agent the appropriate principal amount of Debentures for exchange in
accordance with this paragraph 6. The Conversion Agent shall thereupon notify
the Initial Purchaser of Common Securities of the Holder’s election to convert
such Debentures into shares of Common Stock.

 

(c)                                  Except
as described herein, no distribution will be payable on Preferred Securities
surrendered for conversion with respect to any Distribution Date subsequent to
the date of conversion and neither the Trust nor the Debenture Issuer will
make, or be required to make, any payment, allowance or adjustment for accumulated
and unpaid Distributions, whether or not in arrears, on Preferred Securities
surrendered for conversion. If any Preferred Securities are surrendered for
conversion between the period from 5:00 p.m., New York City time, on any
record date through and including the related Distribution Date, the Preferred
Securities surrendered for conversion must be accompanied by payment from the
Holder in next day funds of an amount equal to the Distribution which the
registered holder on such record date is to receive, and such registered holder
shall be entitled to receive the Distribution payable on the subsequent
Distribution Date on the portion of Preferred to be converted, notwithstanding
the conversion thereof prior to such Distribution Date. The previous sentence
shall not apply in the case of Preferred Securities called for redemption on a
redemption date between a

 

A-I-10

 

record date and a related Distribution Date
and in the case of any Preferred Securities surrendered for conversion after
such Preferred Securities have been called for redemption during an Extension
Period as described in the next sentence. If notice of redemption of Preferred
Securities is mailed or otherwise given to Holders, then, if any Holder
converts any Preferred Securities into Common Stock on any date on or after the
date on which such notice of redemption is mailed or otherwise given, and if
such date of conversion falls on any day from and including the first day of an
Extension Period and on or prior to the Distribution Date upon which such
Extension Period ends, such converting Holder shall be entitled to receive
either (i) if the date of such conversion falls after a record date and on
or prior to the next succeeding Distribution Date, all accrued and unpaid
Distributions on such Securities to such Distribution Date, or (ii) if the
date of such conversion does not fall on a date described in clause (i) above,
all accrued and unpaid Distributions on such Securities to the most recent
Distribution Date prior to the date of such conversion (even though no
Distributions were paid on such date), which Distributions shall, in either
such case, be paid to such converting Holder unless another Holder was the
record owner of such Securities as of 5:00 p.m., New York City time on the
record date for which such Distribution payment is made, in which case such
Distribution payment shall be paid to such other Holder. Except as otherwise
set forth above in this paragraph, in the case of any Security which is
converted, Distributions (including Tax Original Issue Discount) which are
payable after the date of conversion of such Preferred Security shall not be
payable, and the Trust shall not make nor be required to make any other
payment, adjustment or allowance with respect to accrued but unpaid
Distributions (including Tax Original Issue Discount) on the Securities being
converted, which shall be deemed to be paid in full through delivery of the
Common Stock (together with the cash payment, if any, in lieu of fractional
shares). If any Preferred Security called for redemption is converted, any
money deposited with the Property Trustee or with any paying agent or so
segregated and held in trust for the redemption of such Preferred Security
shall (subject to any right of the Holder) be paid to the Trust upon a written
request or, if then held by the Trust, shall be discharged from such trust.
Each conversion shall be deemed to have been effected immediately prior to 5:00 p.m.,
New York City time, on the Business Day on which the related Conversion Request
and any other required deliverables were received (the “Conversion Date”) by
the Conversion Agent from the Holder. The Person or Persons entitled to receive
the Common Stock issuable upon such conversion shall be treated for all
purposes as the record holder or holders of such Common Stock as of the
Conversion Date. As promptly as practicable on or after the Conversion Date,
the Debenture Issuer shall issue and deliver at the office of the Conversion Agent,
unless otherwise directed by the Holder in the Conversion Request, a
certificate or certificates for the number of full shares of Common Stock
issuable upon such conversion, together with the cash payment, if any, in lieu
of any fraction of any share to the Person or Persons entitled to receive the
same. The Conversion Agent shall distribute such certificate or certificates to
such Person or Persons.

 

(d)                                 Subject
to any right of the Holder, the fair market value of the fixed number of shares
of Common Stock into which the Preferred Securities are convertible (together
with the cash payment, if any, in lieu of fractional shares) shall be treated
as issued, to the extent thereof, (i) first, in exchange for accrued and
unpaid Distributions

 

A-I-11

 

(including Tax Original Issue Discount) on
such Preferred Securities at the time of such conversion, and (ii) second,
the balance, if any, of such fair market value of such Common Stock (and any
cash payment) shall be treated as issued in exchange for the liquidation amount
of the portion of Preferred Securities so converted.

 

(e)                                  Subject
to the next succeeding sentence, no fractional shares of Common Stock shall be
issued as a result of conversion, but in lieu thereof, the Debenture Issuer
shall pay to the Conversion Agent a cash adjustment in an amount equal to the
same fraction of the Closing Price of such fractional interest on the date on
which the Preferred Securities or Debentures, as the case may be, were
duly surrendered to the Conversion Agent for conversion, or, if such day is not
a Trading Day, on the next Trading Day, and the Conversion Agent in turn shall
make such payment, if any, to the Holder of the Debentures so converted. In the
event that the Debenture Issuer shall have made a Net Share Settlement
Election, a Holder otherwise entitled to a fractional share shall receive cash
equal to the applicable portion of the arithmetic average of the volume
weighted average price of the Common Stock for each of the ten consecutive
Trading Days of the Conversion Reference Period.

 

(f)                                    In
the event of the conversion of any Preferred Security in part only, a new
Preferred Security or Preferred Securities for the unconverted portion thereof
shall be issued in the name of the Holder thereof upon the cancellation thereof
in accordance with Section 7.10 of the Declaration.

 

(g)                                 In
effecting the conversion transactions described in this paragraph 6, the
Conversion Agent shall be acting as agent of the Holders of Preferred Securities
(in the exchange of Preferred Securities for Debentures) and as agent of the
Debenture holders (in the conversion of Debentures into Common Stock), as the
case may be, directing it to effect such conversion transactions. The
Conversion Agent is hereby authorized (i) to exchange Preferred Securities
for Debentures held by the Trust from time to time in connection with the
conversion of such Preferred Securities in accordance with this paragraph 6 and
the applicable provisions of the Indenture and (ii) to convert all or a
portion of the Debentures into Common Stock and thereupon to deliver such
shares of Common Stock in accordance with the provisions of this paragraph 6
and the applicable provisions of the Indenture and to deliver to the Trust a
new Debenture or Debentures for any resulting unconverted principal amount.

 

(h)                                 Any
certificates representing shares of Common Stock issuable upon exchange of the
Preferred Securities for Debentures and conversion of such Debentures shall
bear any legend required by Section 9.2 of the Declaration.

 

(i)                                     The
Debenture Issuer shall at all times reserve and keep available out of its
authorized and unissued Common Stock, solely for issuance upon the conversion
of the Debentures, free from any preemptive or other similar rights, such
number of shares of Common Stock as shall from time to time be issuable upon
the conversion of all the Debentures then outstanding. Notwithstanding the
foregoing, the Debenture Issuer shall be entitled to deliver upon conversion of
Debentures, shares of Common Stock reacquired and held in the treasury of the
Initial Purchaser of Common Securities (in lieu

 

A-I-12

 

of the issuance of authorized and unissued
shares of Common Stock), so long as any such treasury shares are free and clear
of all liens, charges, security interests or encumbrances. Any shares of Common
Stock issued upon conversion of the Debentures shall be duly authorized,
validly issued and fully paid and nonassessable. The Property Trustee shall
deliver the shares of Common Stock received upon conversion of the Debentures
to the converting Holder free and clear of all liens, charges, security
interests and encumbrances, except for United States withholding taxes.

 

7.                                       Purchase
Right Following Change In Control.

 

(a)                                  If
a Change in Control occurs, each holder of a Preferred Security will have the
right to exchange any or all of such Holder’s Preferred Securities for
Debentures of a Like Amount and to simultaneously require the Debenture Issuer
to repurchase such Debentures on the Repurchase Date (as defined in the
Indenture) at a repurchase price in cash equal to 100% of the principal amount
of the Debentures that have been exchanged for such Holder’s Preferred
Securities, plus accrued and unpaid interest (including deferred interest and
contingent interest, if any) on such Debentures to, but excluding, the
Repurchase Date.

 

(b)                                 As
promptly as practicable following the date the Debenture Issuer publicly
announces such transaction but in no event less than 15 days prior to the
anticipated effective date of a Change in Control, the Debenture Issuer must
give notice to each Holder of a Preferred Security and the Property Trustee of
the transaction that constitutes the Change in Control and of the resulting
repurchase right, which notice must specify the Repurchase Date. To exercise
the repurchase right, a Holder must deliver irrevocable written notice to the
Debenture Issuer, the Trust and the Property Trustee of the Holder’s exercise
of its repurchase right no later than the second Business Day prior to the
Repurchase Date. Pursuant to the Holder’s notice to the Property Trustee, the
Holder will direct the Property Trustee, in its capacity as exchange agent (the
“Exchange Agent”) to exchange such Preferred Securities for a portion of the
Debentures theretofore held by the Trust on the basis of one Preferred Security
per $50.00 principal amount of Debentures, and immediately exercise the right
in respect of such Debentures to require the Debenture issuer to repurchase
such Debentures on the Repurchase Date for cash at a purchase price of $50.00
plus accrued and unpaid interest to the Repurchase Date for each $50.00
principal amount of Debentures so tendered for repurchase.

 

(c)                                  In
order to exercise the right to require the Debenture Issuer to repurchase the
Holder’s Debentures following the exchange of Preferred Securities for
Debentures, the Holder shall submit to the Exchange Agent at the office
referred to above an irrevocable request to repurchase Preferred Securities on
behalf of such Holder substantially in the form attached to Exhibit A-1
to the Declaration (the “Notice of Repurchase Election”), together, if the
Preferred Securities are in certificated form, with such certificates. The Holder
must furnish appropriate endorsements or transfer documents, if required by the
Exchange Agent, and pay any transfer or similar tax, if required. The Trust
shall not cause the repurchase of any Debentures except pursuant to such a
Notice of Repurchase Election. The Notice of Repurchase Election shall (i) set
forth the number of Preferred Securities to be repurchased and (ii) direct
the Exchange

 

A-I-13

 

Agent (a) to exchange such Preferred
Securities for a portion of the Debentures held by the Trust having a principal
amount equal to the Liquidation Amount of the Preferred Securities to be
repurchased and (b) to immediately exercise the repurchase right with
respect to such Debentures on behalf of such Holder. The Exchange Agent (if
other than the Property Trustee) shall notify the Property Trustee of the
Holder’s election to exchange Preferred Securities for a portion of the
Debentures held by the Trust and the Property Trustee shall, upon receipt of
such notice, deliver to the Exchange Agent the appropriate principal amount of
Debentures for exchange in accordance with this paragraph 7. The Exchange Agent
shall thereupon notify the Debenture Issuer of the Holder’s election to require
the Debenture Issuer to repurchase such Debentures in accordance with the
provisions of the Indenture.

 

(d)                                 In
the event of the exercise of the repurchase right of any Preferred Security in part only,
a new Preferred Security or Preferred Securities for the portion thereof in respect
of which the repurchase right shall not have been exercised shall be issued in
the name of the Holder thereof upon the cancellation thereof in accordance with
Section 7.10 of the Declaration.

 

(e)                                  In
effecting the repurchase transactions described in this Paragraph 6, the
Exchange Agent shall be acting as agent of the Holders of Preferred Securities
(in the exchange of Preferred Securities for Debentures) and as agent of the
Debenture holders (in the exercise of the repurchase right with respect to the
Debentures), as the case may be, directing it to effect such repurchase
transactions. The Exchange Agent is hereby authorized (i) to exchange
Preferred Securities for Debentures held by the Trust from time to time in
connection with the exercise of the repurchase right with respect to such
Preferred Securities in accordance with this paragraph 7 and the applicable
provisions of the Indenture and (ii) to exercise the repurchase right with
respect to all or a portion of the Debentures and thereupon to deliver cash in
accordance with the provisions of this paragraph 7 and the applicable
provisions of the Indenture and to deliver to the Trust a new Debenture or
Debentures for any principal amount of Debentures in respect of which the
repurchase right shall not have been exercised.

 

(f)                                    The
Debenture Issuer will comply with the requirements of the Exchange Act and any
other securities laws and regulations thereunder to the extent such laws and
regulations are applicable in connection with the redemption of the Preferred
Securities or the repurchase of the Debentures as a result of a Change in
Control.

 

8.                                       Voting
Rights-Preferred Securities.

 

(a)                                  Except
as provided under paragraphs 8(b), 9(b) and 10 and as otherwise required
by law and the Declaration, the Holders of the Preferred Securities will have
no voting rights.

 

(b)                                 So
long as the Property Trustee holds any Debentures, the Trustees may not,
without obtaining the prior consent of the holders of a majority in liquidation
amount of all outstanding Preferred Securities: (i) direct the time,
method and place of conducting any proceeding for any remedy available to the
Debenture Trustee, or execute any trust or

 

A-I-14

 

power conferred on the Debenture Trustee with
respect to the Debentures; (ii) revoke any action previously authorized or
approved by a vote of the Holders of the Preferred Securities, except by
subsequent vote of such Holders; (iii) waive any past default that is
waivable under Section 5.07 of the Indenture; (iv) exercise any right
to rescind or annul a declaration accelerating the maturity of the principal of
the Debentures; or (v) consent to any amendment, modification or
termination of the Indenture or the Debentures, where such consent shall be required;
provided, where a consent under the Indenture would require the consent of
Holders of more than a majority of the aggregate principal amount of Debentures
affected thereby, only the Holders of the percentage of that aggregate stated
liquidation amount of the Preferred Securities which is at least equal to the
percentage required under the Indenture may direct the Property Trustee to
give such consent; provided further, that if an event of default under the
Indenture has occurred and is continuing, then holders of 25% of the aggregate
liquidation amount of the Preferred Securities may direct the Property
Trustee to declare the principal of and interest or other required payments on
the Debentures due and payable.

 

In addition to
obtaining the approvals of the Holders of the Preferred Securities, the
Property Trustee shall be under no obligation to take any of the foregoing
actions (except with respect to directing the time, method and place of
conducting a proceeding for a remedy) unless the Property Trustee has obtained
an Opinion of Counsel experienced in such matters to the effect that the Trust
will not fail to be classified as a grantor trust for federal income tax
purposes after taking the action into account and each Holder will be treated
as owning an undivided beneficial interest in the Debentures. The Property
Trustee shall notify each Holder of Preferred Securities of any written notice
of default it receives with respect to the Debentures.

 

Any approval
or direction of Holders of Preferred Securities may be given at a separate
meeting of Holders of Preferred Securities convened for such purpose, at a
meeting of all of the Holders of Securities in the Trust or pursuant to written
consent. The Property Trustee will cause a notice of any meeting at which
Holders of Preferred Securities are entitled to vote, or of any matter upon
which action by written consent of such Holders is to be taken, to be mailed to
each Holder of record of Preferred Securities. Each such notice will include a
statement setting forth (i) the date of such meeting or the date by which
such action is to be taken, (ii) a description of any resolution proposed
for adoption at such meeting on which such Holders are entitled to vote or of
such matter upon which written consent is sought and (iii) instructions
for the delivery of proxies or consents.

 

No vote or
consent of the Holders of the Preferred Securities will be required for the
Trust to redeem and cancel Preferred Securities or to distribute the Debentures
in accordance with the Declaration and the terms of the Securities.

 

Notwithstanding
that Holders of Preferred Securities are entitled to vote or consent under any
of the circumstances described above, any of the Preferred Securities that are
owned by the Debenture Issuer or any Affiliate of the Debenture Issuer shall
not be entitled to vote or consent and shall, for purposes of such vote or
consent, be treated as if they were not outstanding.

 

A-I-15

 

9.                                       Voting
Rights-Common Securities.

 

(a)                                  Except
as provided otherwise under paragraphs 9(b), 9(c) and 10 or as otherwise
required by law and the Declaration, the Holders of the Common Securities will
have no voting rights.

 

(b)                                 Subject
to the conditions set forth in Section 5.7 of the Declaration, unless an
Event of Default shall have occurred and be continuing, any Trustee may be
appointed or removed without cause at any time by vote of the Holders of a
Majority in liquidation amount of the Common Securities voting as a class at
a meeting of Holders of the Common Securities. If an Event of Default has
occurred and is continuing, the Property Trustee and the Delaware Trustee may be
removed only by the Holders of a Majority in liquidation amount of the
Preferred Securities voting as a class. In no event will the holders of the
Preferred Securities have the right to vote to appoint, remove or replace the
Administrative Trustees, which voting rights are vested exclusively in the
Initial Purchaser of Common Securities as the holder of the Common Securities.
No resignation or removal of a Trustee and no appointment of a successor
trustee shall be effective until the acceptance of appointment by the successor
trustee in accordance with the provisions of the Declaration.

 

(c)                                  Unless
an Event of Default shall have occurred and be continuing and so long as any
Debentures are held by the Property Trustee, the Trustees shall not (i) direct
the time, method and place of conducting any proceeding for any remedy
available to the Debenture Trustee or executing any trust or power conferred on
such Debenture Trustee with respect to the Debentures, (ii) waive any past
default that is waivable under Section 5.07 of the Indenture, (iii) exercise
any right to rescind or annul a declaration of acceleration of the maturity of
the principal of the Debentures or (iv) consent to any amendment,
modification or termination of the Indenture or the Debentures, where such
consent shall be required, without, in each case, obtaining the prior approval
of the Holders of a Majority in liquidation amount of all outstanding Common
Securities; provided, however, that where a consent under the Indenture would
require the consent of holders of more than a majority of the aggregate
principal amount of Debentures affected thereby, only the holders of the
percentage of that aggregate stated liquidation amount of the Common Securities
which is at least equal to the percentage required under the Indenture may direct
the Property Trustee to give such consent. The Trustees shall not revoke any
action previously authorized or approved by a vote of the Holders of the Common
Securities except by subsequent vote of such Holders. The Property Trustee
shall notify each Holder of Common Securities of any written notice of default
it receives with respect to the Debentures. In addition to obtaining the
foregoing approvals of such Holders of the Common Securities prior to taking
any of the foregoing actions (except with respect to directing the time, method
and place of conducting a proceeding for a remedy), the Property Trustee shall
obtain, at the expense of the Initial Purchaser of Common Securities, an
opinion of counsel experienced in such matters to the effect that the Trust
will continue to be classified as a grantor trust for United States federal
income tax purposes on account of such action and each holder will be treated
as owning an undivided beneficial interest in the Debentures.

 

A-I-16

 

If an Event of
Default under the Declaration has occurred and is continuing and such event is
attributable to the failure of the Debenture Issuer to pay principal of or
interest on the Debentures on the due date (or in the case of redemption, on
the redemption date), then a Holder of Common Securities may institute a
Direct Action for enforcement of payment to such Holder of the principal of or
interest on a Like Amount of Debentures on or after the respective due date
specified in the Debentures. In connection with such Direct Action, the rights
of the Common Securities Holder will be subordinated to the rights of such
Holder of Preferred Securities to the extent of any payment made by the
Debenture Issuer to such Holder of Common Securities in such Direct Action.
Except as provided in the second preceding sentence, the Holders of Common
Securities will not be able to exercise directly any other remedy available to
the Holders of the Debentures.

 

Any approval
or direction of Holders of Common Securities may be given at a separate
meeting of Holders of Common Securities convened for such purpose, at a meeting
of all of the Holders of Securities in the Trust or pursuant to written
consent. The Administrative Trustees will cause a notice of any meeting at
which Holders of Common Securities are entitled to vote, or of any matter upon
which action by written consent of such Holders is to be taken, to be mailed to
each Holder of record of Common Securities. Each such notice will include a
statement setting forth (i) the date of such meeting or the date by which
such action is to be taken, (ii) a description of any resolution proposed
for adoption at such meeting on which such Holders are entitled to vote or of
such matter upon which written consent is sought and (iii) instructions
for the delivery of proxies or consents.

 

No vote or
consent of the Holders of the Common Securities will be required for the Trust
to redeem and cancel Common Securities or to distribute the Debentures in
accordance with the Declaration and the terms of the Securities.

 

10.                                 Pro
Rata.

 

A reference in
these terms of the Securities to any payment, distribution or treatment as
being “Pro Rata” shall mean pro rata to each Holder according to the aggregate
liquidation amount of the Securities held by the relevant Holder in relation to
the aggregate liquidation amount of all Securities outstanding unless, in
relation to a payment, an Event of Default under the Indenture has occurred and
is continuing, in which case any funds available to make such payment shall be
paid first to each Holder of the Preferred Securities Pro Rata according to the
aggregate liquidation amount of Preferred Securities held by the relevant
Holder relative to the aggregate liquidation amount of all Preferred Securities
outstanding, and, only after satisfaction of all amounts owed to the Holders of
the Preferred Securities, to each Holder of Common Securities Pro Rata
according to the aggregate liquidation amount of Common Securities held by the
relevant Holder relative to the aggregate liquidation amount of all Common Securities
outstanding.

 

11.                                 Ranking.

 

The Trust will
pay all Distributions, any Redemption Price, and any liquidation distribution
to Holders of the Preferred Securities and Common Securities Pro Rata based on
the liquidation amount of the Preferred Securities and Common Securities held.
However, if on any

 

A-I-17

 

Distribution Date or redemption date, or at the time of a liquidation
distribution, the Debenture Issuer is in default under the Indenture, then the
Trust will not pay any Distribution, Redemption Price, or liquidation
distribution on the Common Securities. In that event, the Trust will make
payments on the Common Securities only after making payment in full and in cash
of all accumulated and unpaid distributions to Holders of the outstanding
Preferred Securities for all distribution periods terminating on or prior
thereto, and in the case of payment of the Redemption Price or a liquidation
distribution, the full amount of the Redemption Price or liquidation
distribution to holders of the outstanding Preferred Securities then called for
redemption or liquidation.

 

In the case of
any Event of Default, the holder of all of the Common Securities, will be
deemed to have waived any right to act with respect to the Event of Default
until the effect of the Event of Default has been cured or waived. Until any
Event of Default has been cured or waived, the Property Trustee will act solely
on behalf of the Holders of the Preferred Securities and not on behalf of the Holder
of the Common Securities, and only the holders of the Preferred Securities will
have the right to direct the Property Trustee to act on their behalf.

 

12.                                 Acceptance
of Securities Guarantee and Indenture.

 

Each Holder of
Preferred Securities and Common Securities, by the acceptance thereof, agrees
to the provisions of the Securities Guarantee, including the subordination
provisions therein and to the provisions of the Indenture.

 

13.                                 Other
Rights of Holders of Preferred Securities.

 

If an Event of
Default under the Indenture has occurred and is continuing, then Holders of 25%
of the aggregate liquidation amount of the Preferred Securities may direct
the Property Trustee to declare the principal of and interest (including
Contingent Interest, if any) or other required payments on the Debentures due
and payable.

 

If the
Property Trustee shall have failed to take a Legal Action under Section 3.8(e) of
the Declaration, after any Holder of Preferred Securities shall have made a
written request to the Property Trustee to enforce such rights, such Holder of
the Preferred Securities may, to the fullest extent permitted by law, take such
Legal Action to enforce the rights of the Property Trustee under the
Debentures; provided, however, that if an Event of Default has occurred and is
continuing and such event is attributable to the failure of the Debenture
Issuer to pay the principal of or Interest (as defined in the Indenture), on
the Debentures on the date such principal or Interest is otherwise payable (or
in the case of redemption, on the redemption date), then a Holder of Preferred
Securities may directly institute a proceeding for enforcement of payment
to such Holder of the principal of or Interest on the Debentures having a
principal amount equal to the aggregate liquidation amount of the Preferred
Securities of such Holder (a “Direct Action”) on or after the respective due
date specified in the Debentures. Upon the occurrence of an Event of Default,
the rights of the Holders of the Common Securities will be subordinated to the
rights of such Holder of Preferred Securities to the extent of any payment made
by the Debenture Issuer to such Holder of Preferred Securities. Except as
provided in the preceding sentences, the Holders of Preferred Securities will
not be able to exercise directly any other remedy available to the Holders of
the Debentures.

 

A-I-18

 

14.                                 No
Preemptive Rights.

 

The issuance
of Preferred Securities and the issuance of Common Securities are not subject
to preemptive or other similar rights. The Holders shall have no preemptive
rights to subscribe for any additional securities.

 

15.                                 Miscellaneous.

 

These terms
constitute a part of the Declaration.

 

The Initial
Purchaser of Common Securities will provide a copy of the Declaration, the
Securities Guarantee and/or the Indenture (including any supplemental
indenture) to a Holder without charge upon written request to the Initial
Purchaser of Common Securities at its principal place of business.

 

A-I-19

 

EXHIBIT A-1

 

FORM OF
5.10% PREFERRED SECURITY CERTIFICATE

 

[FORM OF
FACE OF SECURITY]

 

[Include the
following Restricted Securities Legend on all Restricted Preferred Securities,
including Global Preferred Securities.]

 

THIS SECURITY
AND THE SHARES OF AFFILIATED MANAGERS GROUP, INC. COMMON STOCK ISSUABLE
UPON CONVERSION HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY,
THE SHARES OF AFFILIATED MANAGERS GROUP, INC. COMMON STOCK ISSUABLE UPON
CONVERSION OF THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN
MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR
OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION.

 

THE HOLDER OF
THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE
TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION
DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF
AND THE LAST DATE ON WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY
AFFILIATE OF AFFILIATED MANAGERS GROUP, INC. WAS THE OWNER OF THIS
SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO AFFILIATED
MANAGERS GROUP, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS
THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON
IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT
OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER
IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A
REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO AFFILIATED MANAGERS GROUP, INC.’S,
AND THE PROPERTY TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER
PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL,
CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN
EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING
ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR
TO THE PROPERTY TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE
HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY
PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE.
THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES

 

A-1-1

 

THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED
HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE)
A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND.

 

[Include the
following legend on all Preferred Securities certificates]

 

FOR PURPOSES
OF SECTIONS 1273 AND 1275 OF THE INTERNAL REVENUE CODE, THE ISSUE PRICE OF EACH
SECURITY IS $49.50 PER $50.00 OF LIQUIDATION AMOUNT, THE ISSUE DATE IS APRIL 3,
2006 AND THE COMPARABLE YIELD IS 7.50% PER ANNUM.

 

U.S. HOLDERS
OF THIS SECURITY MAY OBTAIN THE PROJECTED PAYMENT SCHEDULE FOR THIS
SECURITY BY SUBMITTING A WRITTEN REQUEST FOR SUCH INFORMATION TO AFFILIATED
MANAGERS GROUP, INC., 600 HALE STREET, PRIDES CROSSING, MASSACHUSETTS
01965, ATTN.: CHIEF FINANCIAL OFFICER.

 

BY ITS
ACQUISITION OF THIS CERTIFICATE THE HOLDER REPRESENTS THAT EITHER (I) IT IS NOT
AN EMPLOYEE BENEFIT PLAN OR OTHER SIMILAR RETIREMENT PLAN OR ARRANGEMENT,
WHETHER OR NOT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
AS AMENDED (“ERISA”), OR SECTION 4975 OF THE INTERNAL REVENUE CODE OF
1986, AS AMENDED (THE “CODE”) (OR ANY SIMILAR LAWS OR REGULATIONS), OR AN
ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO INCLUDE THE ASSETS OF ANY SUCH
PLANS AND ARRANGEMENTS (EACH, A “PLAN”) AND NO PART OF THE ASSETS TO BE
USED BY THE HOLDER TO ACQUIRE AND/OR HOLD THIS CERTIFICATE OR ANY INTEREST
THEREIN CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION, HOLDING
AND, IF APPLICABLE, CONVERSION OF THIS CERTIFICATE WILL NOT CONSTITUTE A
NON-EXEMPT PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975
OF THE CODE OR A VIOLATION UNDER ANY OTHER APPLICABLE LAWS AND REGULATIONS THAT
ARE SIMILAR TO THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975 OF THE
CODE.

 

[Include the
following legend if the Preferred Security is in global form and The
Depository Trust Company is the Depositary]

 

UNLESS THIS
CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

A-1-2

 

 

	
  Certificate Number: R-1

  	
   

  	
  Aggregate
  Liquidation

  
	
   

  	
   

  	
  Amount: $291,000,000

  
	
   

  	
   

  	
   

  
	
  CUSIP NO. 00169X 10 4

  	
   

  	
   

  

 

Certificate
Evidencing 5.10% Preferred Securities

 

of

 

AMG
Capital Trust I

 

 

5.10%
Preferred Securities

 

(liquidation
amount $50.00 per Preferred Security)

 

AMG Capital
Trust I, a statutory trust created under the laws of the State of Delaware (the
“Trust”), hereby certifies that                             
(the “Holder”) is the registered owner of [$                      in aggregate liquidation amount of Preferred
Securities of the Trust](1) [$                    
in aggregate liquidation amount of Preferred Securities of the Trust as may from
time to time be revised as specified in Schedule A hereto](2) 
representing undivided beneficial interests in the assets of the Trust
designated the 5.10% Preferred Securities (liquidation amount $50.00 per
Preferred Security) (the “Preferred Securities”). Subject to the Declaration
(as defined below), the Preferred Securities are transferable on the books and
records of the Trust, in person or by a duly authorized attorney, upon
surrender of this certificate duly endorsed and in proper form for
transfer. The designation, rights, privileges, restrictions, preferences and
other terms and provisions of the Preferred Securities represented hereby are
issued and shall in all respects be subject to the provisions of the Amended
and Restated Declaration of Trust of the Trust dated as of April 3, 2006,
as the same may be amended from time to time (the “Declaration”),
including the designation of the terms of the Preferred Securities as set forth
in Annex I to the Declaration. Capitalized terms used but not defined herein
shall have the meaning given them in the Declaration. The Initial Purchaser of
Common Securities will provide a copy of the Declaration, the Guarantee
Agreement and the Indenture (including any supplemental indenture) to a Holder
without charge upon written request to the Trust at its principal place of
business.

 

Upon receipt
of this certificate, the Holder is bound by the Declaration and is entitled to
the benefits thereunder and to the benefits of the Guarantee Agreement to the
extent provided therein.

 

[The aggregate
principal amount of the Preferred Security in global form represented
hereby may from time to time be reduced to reflect conversions,
repurchases or redemptions of a part of this Preferred Security in global form or
cancellations of a part of this Preferred Security in global form, in each
case, and in any such case, by means of notations on the Global Certificate
Transfer Schedule on the last page hereof. Notwithstanding any
provision of this

 

A-1-3

 

Preferred Security to the contrary, conversions or redemptions of a part of
this Preferred Security in global form and cancellations of a part of
this Preferred Security in global form, may be effected without the
surrendering of this Preferred Security in global form, provided that
appropriate notations on the Global Certificate Transfer Schedule are made
by the Property Trustee or the Clearing Agency at the direction of the Property
Trustee, to reflect the appropriate reduction or increase, as the case may be,
in the aggregate liquidation amount of this Preferred Security in a global form resulting
therefrom or as a consequence thereof.]  (2)

 

By acceptance,
the Holder agrees to treat, for United States federal income tax purposes, the
Debentures as indebtedness and the Preferred Securities as evidence of indirect
beneficial ownership in the Debentures.

 

(1)  Insert in Certificated Preferred Securities Only

(2)   Insert in
Global Preferred Securities Only

 

A-1-4

 

IN WITNESS
WHEREOF, the Trust has executed this certificate this 3rd day of April, 2006.

 

 

	
   

  	
  AMG Capital Trust I

  
	
   

  	
   

  
	
   

  	
  By:

  	
  LaSalle Bank National Association

  
	
   

  	
   

  	
  not in its individual capacity but solely

  
	
   

  	
   

  	
  as Administrative Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

PROPERTY
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This
Certificate represents Preferred Securities referred to in the within-mentioned
Declaration.

 

Dated:  April 3, 2006

 

 

	
   

  	
  LaSalle Bank National Association,

  
	
   

  	
  not in its individual capacity but solely

  
	
   

  	
  as Property Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

A-1-5

 

[FORM OF
REVERSE OF SECURITY]

 

Distributions
payable on each Preferred Security will be fixed at a rate per annum of 5.10%
(the “Coupon Rate”) of the liquidation amount of $50.00 per Preferred Security,
such rate being the rate of interest payable on the Debentures to be held by
the Property Trustee. Distributions in arrears for more than one quarterly
period will bear interest thereon compounded quarterly at the Coupon Rate (to
the extent permitted by applicable law). A Distribution is payable only to the
extent that payments are made in respect of the Debentures held by the Property
Trustee and to the extent the Property Trustee has funds on hand legally
available therefor.

 

Distributions
on the Preferred Securities will be cumulative, will accumulate from the date
of their original issuance and will be payable quarterly in arrears, on January 15,
April 15, July 15 and October 15 of each year, commencing on July 15,
2006, except as otherwise described below. Distributions will be computed on
the basis of a 360-day year consisting of twelve 30-day months. As long as no
event of default has occurred and is continuing under the Indenture, the
Debenture Issuer has the right under the Indenture to defer payments of
interest (other than Contingent Interest) by extending the interest payment period
at any time and from time to time on the Debentures for a period not exceeding
20 consecutive calendar quarterly periods, including the first such quarterly
period during such extension period (each an “Extension Period”), provided that
no Extension Period shall end on a date other than an interest payment date for
the Debentures or extend beyond the stated maturity date of the Debentures or
any redemption date therefor. As a consequence of such deferral, Distributions
(other than Contingent Distributions) will also be deferred. Despite such
deferral, quarterly Distributions will continue to accumulate with interest
thereon (to the extent permitted by applicable law, but not at a rate exceeding
the rate of interest then accruing on the Debentures) at the Coupon Rate
compounded quarterly during any such Extension Period. Prior to the termination
of any such Extension Period, the Debenture Issuer may further defer
payments of interest (other than Contingent Interest) by further extending such
Extension Period; provided that such Extension Period, together with all such
previous and further extensions within such Extension Period, may not
exceed 20 consecutive quarterly periods, including the first quarterly period
during such Extension Period, end on a date other than an interest payment date
for the Debentures or extend beyond the stated maturity date of the Debentures
or any redemption date therefor. Payments of accumulated Distributions will be
payable to Holders as they appear on the books and records of the Trust on the
first record date after the end of the Extension Period. Upon the termination
of any Extension Period and the payment of all amounts then due, the Debenture
Issuer may commence a new Extension Period, subject to the above
requirements. The payment of Contingent Interest may not, under any
circumstances, be subject to an Extension Period.

 

The Trust
shall pay Contingent Distributions on the terms and in the amounts specified in
the Declaration and the Indenture.

 

Subject to
conditions set forth in the Declaration and the Indenture, the Property Trustee
may, at the direction of the Initial Purchaser of Common Securities, at any
time liquidate the Trust and cause the Debentures to be distributed to the
holders of the Securities in liquidation of the Trust or, simultaneously with
any redemption of the Debentures, cause a Like Amount of the Securities to be
redeemed by the Trust.

 

A-1-6

 

The Preferred
Securities shall be redeemable as provided in the Declaration.

 

The Preferred
Securities shall be convertible into shares of Affiliated Managers Group, Inc.
Common Stock in the manner and according to the terms set forth in the
Declaration and the Indenture.

 

Holders of
Preferred Securities will be entitled to the repurchase rights specified in the
Declaration and the Indenture upon the occurrence of a Change in Control.

 

A-1-7

 

CONVERSION
REQUEST

 

To:                              LaSalle
Bank National Association,

as Property Trustee of

AMG Capital Trust I

 

The
undersigned owner of these Preferred Securities hereby irrevocably exercises
the option to convert these Preferred Securities, or the portion below
designated, into Common Stock (as such term is defined in the Indenture, dated
as of April 3, 2006, between Affiliated Managers Group, Inc. and
LaSalle Bank National Association, as Debenture Trustee (the “Indenture”)) in
accordance with the terms of the Indenture and the Amended and Restated
Declaration of Trust (as amended from time to time, the “Declaration”), dated
as of April 3, 2006, by LaSalle Bank National Association, as
Administrative Trustee, Christiana Bank & Trust Company, as Delaware
Trustee, LaSalle Bank National Association, as Property Trustee, Affiliated
Managers Group, Inc., as Initial Purchaser of Common Securities and as
Debenture Issuer, and by the Holders, from time to time, of undivided
beneficial interests in the assets of the Trust to be issued pursuant to the
Declaration. Pursuant to the aforementioned exercise of the option to convert
these Preferred Securities, the undersigned hereby directs the Conversion Agent
(as that term is defined in the Declaration) to (i) exchange such
Preferred Securities for a portion of the Debentures (as that term is defined
in the Declaration) held by the Trust (at the rate of exchange specified in the
terms of the Securities set forth as Annex I to the Declaration and the
Indenture) and (ii) immediately convert such Debentures on behalf of the
undersigned, into Common Stock (at the conversion rate specified in the terms
of the Securities set forth as Annex I to the Declaration and the Indenture).

 

The
undersigned does also hereby direct the Conversion Agent that the shares
issuable and deliverable upon conversion, together with any check in payment
for fractional shares, be issued in the name of and delivered to the
undersigned, unless a different name has been indicated in the assignment
below. If shares are to be issued in the name of a person other than the
undersigned, the undersigned will pay all transfer taxes payable with respect
thereto.

 

Any holder,
upon the exercise of its conversion rights in accordance with the terms of the
Declaration, the Indenture and the Preferred Securities, agrees to be bound by
the terms of the Registration Rights Agreement relating to the Common Stock
issuable upon conversion of the Preferred Securities and agrees to appoint the
Conversion Agent for the purpose of effecting the conversion of the Preferred
Securities into shares of Common Stock.

 

	
  Date:

  	
   

  	
   

  
	
   

  
	
  Number of
  Preferred Securities to be converted:

  	
   

  	
   

  
					

 

A-1-8

 

If a name or
names other than the undersigned, please indicate in the spaces below the name
or names in which the shares of Common Stock are to be issued, along with the
address or addresses of such person or persons.

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

(Sign exactly
as your name appears on the other side of this Preferred Security certificate)
(for conversion of definitive Preferred Securities only)

 

	
   

  	
   

  	
   

  

 

Please print
or Typewrite Name and Address, Including Zip Code, and Social Security or Other
Identifying Number.

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Signature
  Guarantee*:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
					

 

*                 Signature must be
guaranteed by an “eligible guarantor institution” that is, a bank, stockbroker,
savings and loan association or credit union meeting the requirements of the
Registrar, which requirements include membership or participation in the
Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature
guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange
Act of 1934, as amended.

 

A-1-9

 

NOTICE
OF REPURCHASE ELECTION

 

To:                              LaSalle
Bank National Association,

as Property Trustee of

AMG Capital Trust I

 

The
undersigned owner of these Preferred Securities, in connection with the
occurrence of a Change in Control (as such term is defined in the Indenture,
dated as of April 3, 2006, between Affiliated Managers Group, Inc.
and LaSalle Bank National Association, as Debenture Trustee (the “Indenture”))
hereby irrevocably exercises the right to require the repurchase of these
Preferred Securities, or the portion below designated, on the Repurchase Date
in accordance with the terms of the Indenture and the Amended and Restated
Declaration of Trust (as amended from time to time, the “Declaration”), dated
as of April 3, 2006, by LaSalle Bank National Association, as
Administrative Trustee, Christiana Bank & Trust Company, as Delaware
Trustee, LaSalle Bank National Association, as Property Trustee, Affiliated
Managers Group, Inc., as Initial Purchaser of Common Securities and as
Debenture Issuer, and by the Holders, from time to time, of undivided
beneficial interests in the assets of the Trust to be issued pursuant to the
Declaration. Pursuant to the aforementioned election to require repurchase of
these Preferred Securities, the undersigned hereby directs the Exchange Agent
(as that term is defined in the Declaration) to (i) exchange such
Preferred Securities for a portion of the Debentures (as that term is defined
in the Declaration) held by the Trust (at the rate of exchange specified in the
terms of the Securities set forth as Annex I to the Declaration and the
Indenture) and (ii) immediately tender such Debentures on behalf of the
undersigned, for repurchase by the Debenture Issuer at the Repurchase Price (as
such term is defined in the Indenture) on the Repurchase Date (as such term is
defined in the Indenture).

 

 

	
  Date:

  	
   

  	
   

  
	
   

  
	
  Number of
  Preferred Securities to be repurchased:

  	
   

  	
   

  
					

 

A-1-10

 

(Sign exactly
as your name appears on the other side of this Preferred Security certificate)
(for conversion of definitive Preferred Securities only)

 

	
   

  	
   

  	
   

  

 

Please print
or Typewrite Name and Address, Including Zip Code, and Social Security or Other
Identifying Number.

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Signature
  Guarantee*:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
					

 

*                                         Signature
must be guaranteed by an “eligible guarantor institution” that is, a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be determined by the
Registrar in addition to, or in substitution for, STAMP, all in accordance with
the Securities Exchange Act of 1934, as amended.

 

A-1-11

 

ASSIGNMENT

 

FOR VALUE
RECEIVED, the undersigned assigns and transfers this Preferred Security
Certificate to:

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

(Insert
assignee’s social security or tax identification number)

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

(Insert
address and zip code of assignee)

 

and
irrevocably appoints

 

transfer this
Preferred Security Certificate on the books of the Trust. The agent may substitute
another to act for him or her.

 

	
  Date:

  	
   

  	
   

  
	
   

  
	
  Signature:

  	
   

  	
   

  
				

 

(Sign exactly
as your name appears on the other side of this Preferred Security Certificate)

 

	
  Signature
  Guarantee*:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
					

 

*                 Signature must be
guaranteed by an “eligible guarantor institution” that is a bank, stockbroker,
savings and loan association or credit union meeting the requirements of the
Registrar, which requirements include membership or participation in the
Securities Transfer Agents Medallion Program (“STAMP”) or such other “signature
guarantee program” as may be determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities and
Exchange Act of 1934, as amended.

 

A-1-12

 

CERTIFICATE
TO BE DELIVERED UPON EXCHANGE OR

REGISTRATION OF RESTRICTED PREFERRED SECURITIES

 

This
certificate relates to
                  
Preferred Securities held in (check applicable space)              
book-entry or
            
definitive form by the undersigned.

 

(A)                              The undersigned has
requested the Property Trustee by written order to exchange or register the
transfer of a Preferred Security or Preferred Securities.

 

(B)                                The undersigned
confirms that such Preferred Securities are being (check one box below):

 

(1)                                  o
transferred to Affiliated Managers Group, Inc. or a subsidiary thereof; or

 

(2)                                  o
transferred pursuant to and in compliance with Rule 144A under the
Securities Act of 1933; or

 

(3)                                  o
transferred pursuant to an available exemption from the registration
requirements of the Securities Act of 1933; or

 

(4)                                  o
transferred pursuant to an effective registration statement under the
Securities Act.

 

Unless the box
below is checked, the undersigned confirms that such Securities are not being
transferred to an “affiliate” of the Affiliated Managers Group, Inc. as
defined in Rule 144 under the Securities Act of 1933, as amended (an “Affiliate”):

 

(5)                                  o
The transferee is an Affiliate of Affiliated Managers Group, Inc.

 

Unless one of
the boxes (1) through (4) in (B) above is checked, the Property
Trustee will refuse to register any of the Preferred Securities evidenced by
this certificate in the name of any person other than the registered Holder
thereof; provided, however, that if box (3) is checked, the Property
Trustee may require, prior to registering any such transfer of the
Preferred Securities such legal opinions, certifications and other information
as the Trust has reasonably requested to confirm that such transfer is being
made pursuant to an exemption from, or in a transaction not subject to, the
registration requirements of the Securities Act of 1933, as amended, such as
the exemption provided by Rule 144 under such Act.

 

A-1-13

 

	
  Signature:

  	
   

  	
   

  
	
   

  
	
   

  
	
  Signature
  Guarantee*:

  
	
   

  
	
   

  
	
   

  	
   

  
	
  Signature
  must be guaranteed Signature

  
	
   

  
	
   

  
	
   

  	
   

  
	
  Signature

  

 

*                                 Signature
must be guaranteed by an “eligible guarantor institution” that is, a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be determined by the
Registrar in addition to, or in substitution for, STAMP, all in accordance with
the Securities Exchange Act of 1934, as amended.

 

A-1-14

 

Schedule A

 

Global
Certificate Transfer Schedule

 

Changes
to Liquidation Amount of Global Security

 

 

	
  Date

  	
   

  	
  Liquidation Amount of

  Securities by which this

  Global Security Is to Be

  Reduced or Increased

  	
   

  	
  Remaining Liquidation

  Amount of the Global

  Security (following decrease

  or increase)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

Schedule to
be maintained by Property Trustee or Clearing Agency in cooperation with
Property Trustee, as applicable.

 

A-1-15

 

EXHIBIT A-2

 

FORM OF
COMMON SECURITY CERTIFICATE

 

THIS SECURITY
HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR
PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED,
TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF
SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO,
REGISTRATION.

 

THE HOLDER OF
THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE
TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION
DATE”), WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE OF THE
SECURITY UPON THE CONVERSION OF WHICH THE COMMON STOCK EVIDENCED HEREBY WAS
ISSUED AND THE LAST DATE ON WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY
AFFILIATE OF AFFILIATED MANAGERS GROUP, INC. WAS THE OWNER OF THIS
SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO AFFILIATED
MANAGERS GROUP, INC. OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS
THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON
IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT
OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER
IS BEING MADE IN RELIANCE ON RULE 144A, (C) PURSUANT TO A
REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO AFFILIATED MANAGERS GROUP, INC.’S,
AND THE PROPERTY TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER
PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL,
CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN
EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING
ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR
TO THE PROPERTY TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE
HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY
PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE.
THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL
DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED
(OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY
TO THE EFFECT OF THIS LEGEND.

 

THIS COMMON
SECURITY IS NOT TRANSFERABLE EXCEPT AS SET FORTH IN SECTION 9.1(b) OF
THE AMENDED AND RESTATED DECLARATION OF TRUST OF

 

A-2-1

 

AMG CAPITAL TRUST I, DATED AS OF APRIL 3, 2006, AS THE SAME MAY BE
AMENDED FROM TIME TO TIME.

 

FOR PURPOSES
OF SECTIONS 1273 AND 1275 OF THE INTERNAL REVENUE CODE, THE ISSUE PRICE OF EACH
SECURITY IS $49.50 PER $50.00 OF LIQUIDATION AMOUNT, THE ISSUE DATE IS APRIL 3,
2006 AND THE COMPARABLE YIELD IS 7.50% PER ANNUM.

 

U.S. HOLDERS
OF THIS SECURITY MAY OBTAIN THE PROJECTED PAYMENT SCHEDULE FOR THIS
SECURITY BY SUBMITTING A WRITTEN REQUEST FOR SUCH INFORMATION TO AFFILIATED
MANAGERS GROUP, INC., 600 HALE STREET, PRIDES CROSSING, MASSACHUSETTS
01965, ATTN.: CHIEF FINANCIAL OFFICER.

 

A-2-2

 

Certificate
Evidencing Common Securities

 

of

 

AMG
Capital Trust I

 

5.10%
Common Securities

(liquidation amount $50.00 per Common Security)

 

AMG Capital
Trust I, a statutory trust formed under the laws of the State of Delaware (the “Trust”),
hereby certifies that
                              
(the “Holder”) is the registered owner of 180,000 common securities of the
Trust representing undivided beneficial interests in the assets of the Trust
designated the 5.10% Common Securities (liquidation amount $50.00 per Common
Security) (the “Common Securities”). Subject to the limitations in Section 9.1(b) of
the Declaration (as defined below), the Common Securities are transferable on
the books and records of the Trust, in person or by a duly authorized attorney,
upon surrender of this certificate duly endorsed and in proper form for
transfer. The designation, rights, privileges, restrictions, preferences and other
terms and provisions of the Common Securities represented hereby are issued and
shall in all respects be subject to the provisions of the Amended and Restated
Declaration of Trust of the Trust, dated as of April 3, 2006, as the same may be
amended from time to time (the “Declaration”), including the designation of the
terms of the Common Securities as set forth in Annex I to the Declaration.
Capitalized terms used but not defined herein shall have the meaning given them
in the Declaration. The Initial Purchaser of Common Securities will provide a
copy of the Declaration, the Guarantee Agreement and the Indenture (including
any supplemental indenture) to a Holder without charge upon written request to
the Initial Purchaser of Common Securities at its principal place of business.

 

Upon receipt
of this certificate, the Holder is bound by the Declaration and is entitled to
the benefits thereunder to the extent provided therein.

 

By acceptance,
the Holder agrees to treat, for United States federal income tax purposes, the
Debentures as indebtedness and the Common Securities as evidence of indirect
beneficial ownership in the Debentures.

 

A-2-3

 

IN WITNESS
WHEREOF, the Trust has executed this certificate this 3rd day of April, 2006.

 

 

	
   

  	
  AMG Capital Trust I

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  LaSalle Bank National Association

  
	
   

  	
   

  	
  not in its individual capacity but solely

  
	
   

  	
   

  	
  as Administrative Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

A-2-4

 

[FORM OF
REVERSE OF SECURITY]

 

Distributions
payable on each Common Security will be fixed at a rate per annum of 5.10% (the
“Coupon Rate”) of the liquidation amount of $50.00 per Common Security, such
rate being the rate of interest payable on the Debentures to be held by the
Property Trustee. Distributions in arrears for more than one quarterly period
will bear interest thereon compounded quarterly at the Coupon Rate (to the
extent permitted by applicable law). A Distribution is payable only to the
extent that payments are made in respect of the Debentures held by the Property
Trustee and to the extent the Property Trustee has funds available therefor.

 

Distributions
on the Common Securities will be cumulative, will accrue from the date of
original issuance of the Common Securities and will be payable quarterly in
arrears, on January 15, April 15, July 15 and October 15 of
each year, commencing on July 15, 2006, except as otherwise described
below. Distributions will be computed on the basis of a 360-day year consisting
of twelve 30-day months. As long as no event of default has occurred and is
continuing under the Indenture, the Debenture Issuer has the right under the
Indenture to defer payments of interest by extending the interest payment
period at any time and from time to time on the Debentures for a period not
exceeding 20 consecutive calendar quarterly periods, including the first such
quarterly period during such extension period (each an “Extension Period”),
provided that no Extension Period shall end on a date other than an interest
payment date for the Debentures or extend beyond the stated maturity date of
the Debentures or any redemption date therefor. As a consequence of such
deferral, Distributions will also be deferred. Despite such deferral, Distributions
will continue to accumulate with interest thereon (to the extent permitted by
applicable law, but not at a rate exceeding the rate of interest then accruing
on the Debentures) at the Coupon Rate compounded quarterly during any such
Extension Period. Prior to the termination of any such Extension Period, the
Debenture Issuer may further defer payments of interest by further
extending such Extension Period; provided that such Extension Period, together
with all such previous and further extensions within such Extension Period, may not
exceed 20 consecutive quarterly periods, including the first quarterly period
during such Extension Period, or end on a date other than an interest payment
date for the Debentures or extend beyond the stated maturity date of the
Debentures or any redemption date therefor. Payments of accrued Distributions
will be payable to Holders as they appear on the books and records of the Trust
on the first record date after the end of the Extension Period. Upon the
termination of any Extension Period and the payment of all amounts then due,
the Debenture Issuer may commence a new Extension Period, subject to the
above requirements.

 

Subject to the
conditions set forth in the Declaration and the Indenture, the Property Trustee
may, at the direction of the Initial Purchaser of Common Securities, at any
time liquidate the Trust and cause the Debentures to be distributed to the
holders of the Securities in liquidation of the Trust or, simultaneous with any
redemption of the Debentures, cause a Like Amount of the Securities to be
redeemed by the Trust.

 

Under certain
circumstances, the right of the holders of the Common Securities shall be
subordinate to the rights of the holders of the Preferred Securities (as
defined in the Declaration), as provided in the Declaration.

 

The Common
Securities shall be redeemable as provided in the Declaration.

 

A-2-5

 

ASSIGNMENT

 

FOR VALUE
RECEIVED, the undersigned assigns and transfers this Common Security
Certificate to:

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

(Insert assignee’s social security or tax identification number)

 

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

(Insert address and zip code of assignee)

 

and
irrevocably appoints

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

agent to transfer
this Common Security Certificate on the books of the Trust. The agent may substitute
another to act for him or her.

 

	
  Date:

  	
   

  	
   

  
	
   

  
	
  Signature:

  	
   

  	
   

  
				

(Sign exactly
as your name appears on the other side of this Preferred Security Certificate)

 

	
  Signature
  Guarantee*:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
					

 

*                         Signature
must be guaranteed by an “eligible guarantor institution” that is a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be determined by the
Registrar in addition to, or in substitution for, STAMP, all in accordance with
the Securities Exchange Act of 1934, as amended.

 

A-2-6

 

EXHIBIT A-3

 

Projected Payment Schedule

 

	
  Years 0-6

  	
   

  	
  Years 7-12

  	
   

  	
  Years 13-18

  	
   

  	
  Years 19-24

  	
   

  	
  Years 25-30

  	
   

  
	
  Period

  	
   

  	
  Projected

  Payment

  Per

  Debenture

  	
   

  	
  Period

  	
   

  	
  Projected

  Payment

  Per

  Debenture

  	
   

  	
  Period

  	
   

  	
  Projected

  Payment

  Per

  Debenture

  	
   

  	
  Period

  	
   

  	
  Projected

  Payment

  Per

  Debenture

  	
   

  	
  Period

  	
   

  	
  Projected

  Payment

  Per

  Debenture

  	
   

  
	
  4/3/06 -7/15/06

  	
   

  	
  0.72

  	
   

  	
  4/15/12-7/15/12

  	
   

  	
  0.64

  	
   

  	
  4/15/18-7/15/18

  	
   

  	
  0.64

  	
   

  	
  4/15/24-7/15/24

  	
   

  	
  0.70

  	
   

  	
  4/15/30-7/15/30

  	
   

  	
  0.72

  	
   

  
	
  7/15/06- 0/15/06

  	
   

  	
  0.64

  	
   

  	
  7/15/12-10/15/12

  	
   

  	
  0.64

  	
   

  	
  7/15/18-10/15/18

  	
   

  	
  0.68

  	
   

  	
  7/15/24-10/15/24

  	
   

  	
  0.70

  	
   

  	
  7/15/30-10/15/30

  	
   

  	
  0.72

  	
   

  
	
  10/15/06-1/15/07

  	
   

  	
  0.64

  	
   

  	
  10/15/12-1/15/13

  	
   

  	
  0.64

  	
   

  	
  10/15/18-1/15/19

  	
   

  	
  0.68

  	
   

  	
  10/15/24-1/15/25

  	
   

  	
  0.70

  	
   

  	
  10/15/30-1/15/31

  	
   

  	
  0.72

  	
   

  
	
  1/15/07-4/15/07

  	
   

  	
  0.64

  	
   

  	
  1/15/13-4/15/13

  	
   

  	
  0.64

  	
   

  	
  1/15/19-4/15/19

  	
   

  	
  0.68

  	
   

  	
  1/15/25-4/15/25

  	
   

  	
  0.70

  	
   

  	
  1/15/31-4/15/31

  	
   

  	
  0.72

  	
   

  
	
  4/15/07-7/15/07

  	
   

  	
  0.64

  	
   

  	
  4/15/13-7/15/13

  	
   

  	
  0.64

  	
   

  	
  4/15/19-7/15/19

  	
   

  	
  0.68

  	
   

  	
  4/15/25-7/15/25

  	
   

  	
  0.70

  	
   

  	
  4/15/31-7/15/31

  	
   

  	
  0.72

  	
   

  
	
  7/15/07-10/15/07

  	
   

  	
  0.64

  	
   

  	
  7/15/13-10/15/13

  	
   

  	
  0.64

  	
   

  	
  7/15/19-10/15/19

  	
   

  	
  0.68

  	
   

  	
  7/15/25-10/15/25

  	
   

  	
  0.70

  	
   

  	
  7/15/31-10/15/31

  	
   

  	
  0.73

  	
   

  
	
  10/15/07-1/15/08

  	
   

  	
  0.64

  	
   

  	
  10/15/13-1/15/14

  	
   

  	
  0.64

  	
   

  	
  10/15/19-1/15/20

  	
   

  	
  0.68

  	
   

  	
  10/15/25-1/15/26

  	
   

  	
  0.70

  	
   

  	
  10/15/31-1/15/32

  	
   

  	
  0.73

  	
   

  
	
  1/15/08-4/15/08

  	
   

  	
  0.64

  	
   

  	
  1/15/14-4/15/14

  	
   

  	
  0.64

  	
   

  	
  1/15/20-4/15/20

  	
   

  	
  0.68

  	
   

  	
  1/15/26-4/15/26

  	
   

  	
  0.70

  	
   

  	
  1/15/32-4/15/32

  	
   

  	
  0.73

  	
   

  
	
  4/15/08-7/15/08

  	
   

  	
  0.64

  	
   

  	
  4/15/14-7/15/14

  	
   

  	
  0.64

  	
   

  	
  4/15/20-7/15/20

  	
   

  	
  0.68

  	
   

  	
  4/15/26-7/15/26

  	
   

  	
  0.70

  	
   

  	
  4/15/32-7/15/32

  	
   

  	
  0.73

  	
   

  
	
  7/15/08-10/15/08

  	
   

  	
  0.64

  	
   

  	
  7/15/14-10/15/14

  	
   

  	
  0.64

  	
   

  	
  7/15/20-10/15/20

  	
   

  	
  0.69

  	
   

  	
  7/15/26-10/15/26

  	
   

  	
  0.70

  	
   

  	
  7/15/32-10/15/32

  	
   

  	
  0.73

  	
   

  
	
  10/15/08-1/15/09

  	
   

  	
  0.64

  	
   

  	
  10/15/14-1/15/15

  	
   

  	
  0.64

  	
   

  	
  10/15/20-1/15/21

  	
   

  	
  0.69

  	
   

  	
  10/15/26-1/15/27

  	
   

  	
  0.70

  	
   

  	
  10/15/32-1/15/33

  	
   

  	
  0.73

  	
   

  
	
  1/15/09-4/15/09

  	
   

  	
  0.64

  	
   

  	
  1/15/15-4/15/15

  	
   

  	
  0.64

  	
   

  	
  1/15/21-4/15/21

  	
   

  	
  0.69

  	
   

  	
  1/15/27-4/15/27

  	
   

  	
  0.70

  	
   

  	
  1/15/33-4/15/33

  	
   

  	
  0.73

  	
   

  
	
  4/15/09-7/15/09

  	
   

  	
  0.64

  	
   

  	
  4/15/15-7/15/15

  	
   

  	
  0.64

  	
   

  	
  4/15/21-7/15/21

  	
   

  	
  0.69

  	
   

  	
  4/15/27-7/15/27

  	
   

  	
  0.71

  	
   

  	
  4/15/33-7/15/33

  	
   

  	
  0.73

  	
   

  
	
  7/15/09-10/15/09

  	
   

  	
  0.64

  	
   

  	
  7/15/15-10/15/15

  	
   

  	
  0.64

  	
   

  	
  7/15/21-10/15/21

  	
   

  	
  0.69

  	
   

  	
  7/15/27-10/15/27

  	
   

  	
  0.71

  	
   

  	
  7/15/33-10/15/33

  	
   

  	
  0.73

  	
   

  
	
  10/15/09-1/15/10

  	
   

  	
  0.64

  	
   

  	
  10/15/15-1/15/16

  	
   

  	
  0.64

  	
   

  	
  10/15/21-1/15/22

  	
   

  	
  0.69

  	
   

  	
  10/15/27-1/15/28

  	
   

  	
  0.71

  	
   

  	
  10/15/33-1/15/34

  	
   

  	
  0.73

  	
   

  
	
  1/15/10-4/15/10

  	
   

  	
  0.64

  	
   

  	
  1/15/16-4/15/16

  	
   

  	
  0.64

  	
   

  	
  1/15/22-4/15/22

  	
   

  	
  0.69

  	
   

  	
  1/15/28-4/15/28

  	
   

  	
  0.71

  	
   

  	
  1/15/34-4/15/34

  	
   

  	
  0.73

  	
   

  
	
  4/15/10-7/15/10

  	
   

  	
  0.64

  	
   

  	
  4/15/16-7/15/16

  	
   

  	
  0.64

  	
   

  	
  4/15/22-7/15/22

  	
   

  	
  0.69

  	
   

  	
  4/15/28-7/15/28

  	
   

  	
  0.71

  	
   

  	
  4/15/34-7/15/34

  	
   

  	
  0.73

  	
   

  
	
  7/15/10-10/15/10

  	
   

  	
  0.64

  	
   

  	
  7/15/16-10/15/16

  	
   

  	
  0.64

  	
   

  	
  7/15/22-10/15/22

  	
   

  	
  0.69

  	
   

  	
  7/15/28-10/15/28

  	
   

  	
  0.71

  	
   

  	
  7/15/34-10/15/34

  	
   

  	
  0.74

  	
   

  
	
  10/15/10-1/15/11

  	
   

  	
  0.64

  	
   

  	
  10/15/16-1/15/17

  	
   

  	
  0.64

  	
   

  	
  10/15/22-1/15/23

  	
   

  	
  0.69

  	
   

  	
  10/15/28-1/15/29

  	
   

  	
  0.71

  	
   

  	
  10/15/34-1/15/35

  	
   

  	
  0.74

  	
   

  
	
  1/15/11-4/15/11

  	
   

  	
  0.64

  	
   

  	
  1/15/17-4/15/17

  	
   

  	
  0.64

  	
   

  	
  1/15/23-4/15/23

  	
   

  	
  0.69

  	
   

  	
  1/15/29-4/15/29

  	
   

  	
  0.71

  	
   

  	
  1/15/35-4/15/35

  	
   

  	
  0.74

  	
   

  
	
  4-15/11-7/15/11

  	
   

  	
  0.64

  	
   

  	
  4/15/17-7/15/17

  	
   

  	
  0.64

  	
   

  	
  4/15/23-7/15/23

  	
   

  	
  0.69

  	
   

  	
  4/15/29-7/15/29

  	
   

  	
  0.71

  	
   

  	
  4/15/35-7/15/35

  	
   

  	
  0.74

  	
   

  
	
  7/15/11-10/15/11

  	
   

  	
  0.64

  	
   

  	
  7/15/17-10/15/17

  	
   

  	
  0.64

  	
   

  	
  7/15/23-10/15/23

  	
   

  	
  0.69

  	
   

  	
  7/15/29-10/15/29

  	
   

  	
  0.71

  	
   

  	
  7/15/35-10/15/35

  	
   

  	
  0.74

  	
   

  
	
  10/15/11-1/15/12

  	
   

  	
  0.64

  	
   

  	
  10/15/17-1/15/18

  	
   

  	
  0.64

  	
   

  	
  10/15/23-1/15-24

  	
   

  	
  0.69

  	
   

  	
  10/15/29-1/15/30

  	
   

  	
  0.71

  	
   

  	
  10/15/35-1/15/36

  	
   

  	
  0.74

  	
   

  
	
  1/15/12-4/15/12

  	
   

  	
  0.64

  	
   

  	
  1/15/18-4/15/18

  	
   

  	
  0.64

  	
   

  	
  1/15/24-4/15/24

  	
   

  	
  0.69

  	
   

  	
  1/15/30-4/15/30

  	
   

  	
  0.72

  	
   

  	
  1/15/36-4/15/36

  	
   

  	
  169.10

  	
   

  

 

*                                         The
comparable yield and the schedule of projected payments are determined on
the basis of certain assumptions and are not determined for any purpose other
than for the determination of interest accruals and adjustments thereof in
respect of the Securities for United States federal income tax purposes. The
comparable yield and the schedule of projected payments do not constitute
a projection or representation regarding the amounts payable on Securities.

 

A-3-1Exhibit 4.3

 

EXECUTION COPY

 

 

 

AFFILIATED MANAGERS GROUP, INC.

(a Delaware corporation)

 

 

INDENTURE

 

Dated as of April 3, 2006

 

 

LASALLE BANK NATIONAL
ASSOCIATION,

as Debenture Trustee

 

 

JUNIOR SUBORDINATED CONVERTIBLE
DEBENTURES

 

 

TABLE OF
CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE I

  	
   

  
	
  DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  1.01.

  	
  Definitions.

  	
  1

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  	
   

  
	
  SECURITIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  2.01.

  	
  Forms
  Generally.

  	
  12

  
	
  SECTION
  2.02.

  	
  Execution
  and Authentication.

  	
  12

  
	
  SECTION
  2.03.

  	
  Form and
  Payment.

  	
  12

  
	
  SECTION
  2.04.

  	
  Global Security.

  	
  13

  
	
  SECTION
  2.05.

  	
  Interest.

  	
  14

  
	
  SECTION
  2.06.

  	
  Transfer and
  Exchange.

  	
  15

  
	
  SECTION
  2.07.

  	
  Replacement
  Securities.

  	
  18

  
	
  SECTION
  2.08.

  	
  Temporary
  Securities.

  	
  19

  
	
  SECTION
  2.09.

  	
  Cancellation.

  	
  19

  
	
  SECTION
  2.10.

  	
  Defaulted
  Interest.

  	
  19

  
	
  SECTION
  2.11.

  	
  CUSIP Numbers.

  	
  20

  
	
  SECTION
  2.12.

  	
  Tax
  Treatment.

  	
  20

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  	
   

  
	
  PARTICULAR COVENANTS OF THE
  CORPORATION

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  3.01.

  	
  Payment of
  Principal and Interest.

  	
  21

  
	
  SECTION
  3.02.

  	
  Offices for
  Notices and Payments, Etc.

  	
  21

  
	
  SECTION
  3.03.

  	
  Appointments
  to Fill Vacancies in Debenture Trustee’s Office.

  	
  22

  
	
  SECTION
  3.04.

  	
  Provision as
  to Paying Agent.

  	
  22

  
	
  SECTION
  3.05.

  	
  Certificate
  to Debenture Trustee.

  	
  23

  
	
  SECTION
  3.06.

  	
  Compliance
  with Consolidation Provisions.

  	
  23

  
	
  SECTION
  3.07.

  	
  Limitation
  on Dividends.

  	
  23

  
	
  SECTION
  3.08.

  	
  Covenants as
  to AMG Capital Trust I.

  	
  24

  
	
  SECTION
  3.09.

  	
  Payment of
  Expenses.

  	
  24

  
	
  SECTION
  3.10.

  	
  Payment Upon
  Resignation or Removal.

  	
  25

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV

  	
   

  
	
  SECURITYHOLDERS’ LISTS AND
  REPORTS BY THE

  	
   

  
	
  CORPORATION AND THE DEBENTURE
  TRUSTEE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  4.01.

  	
  Securityholders’
  Lists.

  	
  25

  
	
  SECTION
  4.02.

  	
  Preservation
  and Disclosure of Lists.

  	
  26

  
	
  SECTION
  4.03.

  	
  Reports by
  the Corporation.

  	
  27

  
	
  SECTION
  4.04.

  	
  Reports by
  the Debenture Trustee.

  	
  27

  

 

i

 

	
  ARTICLE V

  	
   

  
	
  REMEDIES OF THE DEBENTURE
  TRUSTEE AND

  	
   

  
	
  SECURITYHOLDERS ON EVENT OF
  DEFAULT

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  5.01.

  	
  Events of
  Default.

  	
  28

  
	
  SECTION
  5.02.

  	
  Payment of
  Securities on Default; Suit Therefor.

  	
  30

  
	
  SECTION
  5.03.

  	
  Application
  of Moneys Collected by Debenture Trustee.

  	
  31

  
	
  SECTION 5.04.

  	
  Proceedings
  by Securityholders.

  	
  32

  
	
  SECTION
  5.05.

  	
  Proceedings
  by Debenture Trustee.

  	
  33

  
	
  SECTION
  5.06.

  	
  Remedies
  Cumulative and Continuing.

  	
  33

  
	
  SECTION
  5.07.

  	
  Direction of
  Proceedings and Waiver of Defaults by Majority of Securityholders.

  	
  33

  
	
  SECTION 5.08.

  	
  Notice of
  Defaults.

  	
  34

  
	
  SECTION
  5.09.

  	
  Undertaking
  to Pay Costs.

  	
  35

  
	
  SECTION
  5.10.

  	
  Acknowledgment
  of Rights.

  	
  35

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  	
   

  
	
  CONCERNING THE DEBENTURE TRUSTEE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  6.01.

  	
  Duties and
  Responsibilities of Debenture Trustee.

  	
  35

  
	
  SECTION
  6.02.

  	
  Reliance on
  Documents, Opinions, Etc.

  	
  37

  
	
  SECTION
  6.03.

  	
  No
  Responsibility for Recitals, Etc.

  	
  38

  
	
  SECTION
  6.04.

  	
  Debenture
  Trustee, Authenticating Agent, Paying Agents, Transfer Agents or Registrar
  May Own Securities.

  	
  39

  
	
  SECTION
  6.05.

  	
  Moneys to Be
  Held in Trust.

  	
  39

  
	
  SECTION
  6.06.

  	
  Compensation
  and Expenses of Debenture Trustee.

  	
  39

  
	
  SECTION
  6.07.

  	
  Officers’
  Certificate as Evidence.

  	
  40

  
	
  SECTION
  6.08.

  	
  Conflicting
  Interest of Debenture Trustee.

  	
  40

  
	
  SECTION
  6.09.

  	
  Eligibility
  of Debenture Trustee.

  	
  40

  
	
  SECTION
  6.10.

  	
  Resignation
  or Removal of Debenture Trustee.

  	
  41

  
	
  SECTION
  6.11.

  	
  Acceptance
  by Successor Debenture Trustee.

  	
  42

  
	
  SECTION
  6.12.

  	
  Succession
  by Merger, Etc.

  	
  42

  
	
  SECTION
  6.13.

  	
  Limitation
  on Rights of Debenture Trustee as a Creditor.

  	
  43

  
	
  SECTION
  6.14.

  	
  Co-trustees
  and Separate Trustees.

  	
  43

  
	
  SECTION
  6.15.

  	
  Authenticating
  Agents.

  	
  44

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  	
   

  
	
  CONCERNING THE SECURITYHOLDERS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  7.01.

  	
  Action by
  Securityholders.

  	
  45

  
	
  SECTION
  7.02.

  	
  Proof of
  Execution by Securityholders.

  	
  46

  
	
  SECTION
  7.03.

  	
  Who Are
  Deemed Absolute Owners.

  	
  46

  
	
  SECTION
  7.04.

  	
  Securities
  Owned by Corporation Deemed Not Outstanding.

  	
  46

  
	
  SECTION
  7.05.

  	
  Revocation
  of Consents; Future Holders Bound.

  	
  47

  

 

ii

 

	
  ARTICLE VIII

  	
   

  
	
  SECURITYHOLDERS’ MEETINGS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  8.01.

  	
  Purposes of
  Meetings.

  	
  47

  
	
  SECTION
  8.02.

  	
  Call of
  Meetings by Debenture Trustee.

  	
  48

  
	
  SECTION
  8.03.

  	
  Call of
  Meetings by Corporation or Securityholders.

  	
  48

  
	
  SECTION
  8.04.

  	
  Qualifications
  for Voting.

  	
  48

  
	
  SECTION
  8.05.

  	
  Regulations.

  	
  48

  
	
  SECTION
  8.06.

  	
  Voting.

  	
  49

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  	
   

  
	
  AMENDMENTS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  9.01.

  	
  Without
  Consent of Securityholders.

  	
  49

  
	
  SECTION
  9.02.

  	
  With Consent
  of Securityholders.

  	
  51

  
	
  SECTION
  9.03.

  	
  Compliance
  with Trust Indenture Act; Effect of Supplemental Indentures.

  	
  52

  
	
  SECTION
  9.04.

  	
  Notation on
  Securities.

  	
  52

  
	
  SECTION
  9.05.

  	
  Evidence of
  Compliance of Supplemental Indenture to Be Furnished to Debenture Trustee.

  	
  52

  
	
   

  	
   

  	
   

  
	
  ARTICLE X

  	
   

  
	
  CONSOLIDATION, MERGER, SALE,
  CONVEYANCE AND LEASE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  10.01.

  	
  Corporation
  May Consolidate, Etc., on Certain Terms.

  	
  53

  
	
  SECTION
  10.02.

  	
  Successor
  Corporation to Be Substituted for Corporation.

  	
  53

  
	
  SECTION
  10.03.

  	
  Opinion of
  Counsel to Be Given to Debenture Trustee.

  	
  54

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI

  	
   

  
	
  SATISFACTION AND DISCHARGE OF
  INDENTURE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  11.01.

  	
  Discharge of
  Indenture.

  	
  54

  
	
  SECTION
  11.02.

  	
  Deposited
  Moneys and U.S. Government Obligations to Be Held in Trust by Debenture
  Trustee.

  	
  55

  
	
  SECTION
  11.03.

  	
  Paying Agent
  to Repay Moneys Held.

  	
  55

  
	
  SECTION
  11.04.

  	
  Return of
  Unclaimed Moneys.

  	
  55

  
	
  SECTION
  11.05.

  	
  Defeasance
  Upon Deposit of Moneys or U.S. Government Obligations.

  	
  55

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII

  	
   

  
	
  IMMUNITY OF INCORPORATORS,
  STOCKHOLDERS,

  	
   

  
	
  OFFICERS AND DIRECTORS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  12.01.

  	
  Indenture
  and Securities Solely Corporate Obligations.

  	
  57

  

 

iii

 

	
  ARTICLE XIII

  	
   

  
	
  PURCHASE AT THE OPTION OF HOLDER
  UPON CHANGE IN CONTROL

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  13.01.

  	
  Repurchase
  Right.

  	
  57

  
	
  SECTION
  13.02.

  	
  Notices,
  Method of Exercised Repurchase Right.

  	
  57

  
	
  SECTION
  13.03.

  	
  Repurchase
  Date; Exercise of Right.

  	
  58

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIV

  	
   

  
	
  REDEMPTION OF SECURITIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  14.01.

  	
  Special
  Event Redemption.

  	
  59

  
	
  SECTION
  14.02.

  	
  Optional
  Redemption by Corporation.

  	
  60

  
	
  SECTION
  14.03.

  	
  No Sinking
  Fund.

  	
  60

  
	
  SECTION
  14.04.

  	
  Notice of
  Redemption; Selection of Securities.

  	
  60

  
	
  SECTION 14.05.

  	
  Payment of
  Securities Called for Redemption.

  	
  61

  
	
  SECTION
  14.06.

  	
  Conversion
  Arrangement on Call for Redemption.

  	
  62

  
	
   

  	
   

  	
   

  
	
  ARTICLE XV

  	
   

  
	
  SUBORDINATION OF SECURITIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  15.01.

  	
  Agreement to
  Subordinate.

  	
  62

  
	
  SECTION
  15.02.

  	
  Default on
  Senior Indebtedness.

  	
  63

  
	
  SECTION
  15.03.

  	
  Liquidation;
  Dissolution; Bankruptcy.

  	
  63

  
	
  SECTION
  15.04.

  	
  Subrogation.

  	
  64

  
	
  SECTION
  15.05.

  	
  Debenture
  Trustee to Effectuate Subordination.

  	
  65

  
	
  SECTION
  15.06.

  	
  Notice by
  the Corporation.

  	
  66

  
	
  SECTION
  15.07.

  	
  Rights of
  the Debenture Trustee; Holders of Senior Indebtedness.

  	
  67

  
	
  SECTION
  15.08.

  	
  Subordination
  May Not Be Impaired.

  	
  67

  
	
   

  	
   

  	
   

  
	
  ARTICLE XVI

  	
   

  
	
  EXTENSION OF INTEREST PAYMENT
  PERIOD

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  16.01.

  	
  Extension of
  Interest Payment Period.

  	
  68

  
	
  SECTION
  16.02.

  	
  Notice of
  Extension.

  	
  68

  
	
   

  	
   

  	
   

  
	
  ARTICLE XVII

  	
   

  
	
  CONVERSION OF SECURITIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  17.01.

  	
  Conversion
  Rights.

  	
  69

  
	
  SECTION
  17.02.

  	
  Conversion
  Procedures.

  	
  71

  
	
  SECTION
  17.03.

  	
  Conversion
  Rate Adjustments.

  	
  74

  
	
  SECTION
  17.04.

  	
  Conversion
  Rate Adjustments Upon Change in Control.

  	
  80

  
	
  SECTION
  17.05.

  	
  Share
  Exchange, Consolidation, Merger or Sale of Assets.

  	
  82

  
	
  SECTION
  17.06.

  	
  Notice of
  Adjustments of Conversion Rate.

  	
  83

  
	
  SECTION
  17.07.

  	
  Prior Notice
  of Certain Events.

  	
  84

  
	
  SECTION
  17.08.

  	
  Debenture
  Trustee Not Responsible for Determining Conversion Rate or Adjustments.

  	
  84

  

 

iv

 

	
  ARTICLE XVIII

  	
   

  
	
  CONTINGENT INTEREST

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  18.01.

  	
  Contingent
  Interest.

  	
  85

  
	
  SECTION
  18.02.

  	
  Payment of
  Contingent Interest; Contingent Interest Rights Preserved.

  	
  85

  
	
  SECTION
  18.03.

  	
  Bid
  Solicitation Agent.

  	
  86

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIX

  	
   

  
	
  MISCELLANEOUS PROVISIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  19.01.

  	
  Successors.

  	
  86

  
	
  SECTION
  19.02.

  	
  Official
  Acts by Successor Corporation.

  	
  86

  
	
  SECTION
  19.03.

  	
  Surrender of
  Corporation Powers.

  	
  86

  
	
  SECTION
  19.04.

  	
  Addresses
  for Notices, Etc.

  	
  86

  
	
  SECTION
  19.05.

  	
  Governing
  Law.

  	
  87

  
	
  SECTION
  19.06.

  	
  Evidence of
  Compliance with Conditions Precedent.

  	
  87

  
	
  SECTION
  19.07.

  	
  Business
  Days.

  	
  88

  
	
  SECTION
  19.08.

  	
  Trust
  Indenture Act to Control.

  	
  88

  
	
  SECTION
  19.09.

  	
  Intention of
  the Parties.

  	
  88

  
	
  SECTION 19.10.

  	
  Table of
  Contents, Headings, Etc.

  	
  88

  
	
  SECTION
  19.11.

  	
  Execution in
  Counterparts.

  	
  88

  
	
  SECTION
  19.12.

  	
  Separability.

  	
  88

  
	
  SECTION
  19.13.

  	
  Assignment.

  	
  88

  
	
   

  	
   

  	
   

  
	
  EXHIBIT A – Form of Junior Subordinated
  Convertible Debenture

  	
   

  

 

v

 

THIS INDENTURE, dated as of April 3, 2006,
between Affiliated Managers Group, Inc., a Delaware corporation (hereinafter
sometimes called the “Corporation”), and LaSalle Bank National Association, a national
banking association, as debenture trustee (hereinafter sometimes called the “Debenture
Trustee”),

 

W I T N E
S S E T H

 

In consideration of the premises, and the
purchase of the Securities (as defined herein) by the holders thereof, the
Corporation covenants and agrees with the Debenture Trustee for the equal and
proportionate benefit of the respective holders from time to time of the
Securities, as follows:

 

ARTICLE I

DEFINITIONS

 

SECTION 1.01.              Definitions.

 

The terms defined in this Section 1.01
(except as herein otherwise expressly provided or unless the context otherwise
requires) for all purposes of this Indenture shall have the respective meanings
specified in this Section 1.01. All other terms used in this Indenture which
are defined in the Trust Indenture Act (as defined herein), or which are by
reference therein defined in the Securities Act (as defined herein), shall
(except as herein otherwise expressly provided or unless the context otherwise
requires) have the meanings assigned to such terms in said Trust Indenture Act
and in said Securities Act as in force at the date of this Indenture as
originally executed. The following terms have the meanings given to them in the
Declaration: (i) Clearing Agency; (ii) Delaware Trustee; (iii) Property
Trustee; (iv) Administrative Trustees; (v) Institutional Administrative
Trustee, (vi) Preferred Securities; (vii) Direct Action; (viii) Trust; and (ix)
Distributions. All accounting terms used herein and not expressly defined shall
have the meanings assigned to such terms in accordance with generally accepted
accounting principles, and the term “generally accepted accounting principles”
means such accounting principles as are generally accepted at the time of any
computation. The words “herein,” “hereof” and “hereunder” and other words of
similar import refer to this Indenture as a whole and not to any particular
Article, Section or other subdivision. The singular includes the plural and
vice versa.

 

“Additional Sums” shall have the meaning set
forth in Section 2.05(c).

 

“Affiliate” shall have the meaning given to
that term in Rule 405 under the Securities Act or any successor rule
thereunder.

 

“AMG Capital Trust I” or the “Trust” shall
mean AMG Capital Trust I, a Delaware statutory trust created for the purpose of
issuing its undivided beneficial interests in connection with the issuance of
Securities under this Indenture.

 

“Associate” shall have the meaning ascribed
to such term in Rule 12b-2 of the General Rules and Regulations under the
Exchange Act, as in effect on the date hereof.

 

“Authenticating Agent” shall mean any agent
or agents of the Debenture Trustee which at the time shall be appointed and
acting pursuant to Section 6.15.

 

1

 

“Average Closing Price” means (1) with
respect to distributions of rights, warrants or options, the average of the
Closing Prices per share of Common Stock for the five (5) consecutive
Trading Days ending on the date immediately preceding the first public
announcement of the distribution and (2) with respect to other distributions,
the average of the Closing Prices per share of Common Stock for the five
(5) consecutive Trading Days ending on the date immediately preceding the
Time of Determination.

 

“Bankruptcy Law” shall mean Title 11, U.S.
Code, or any similar federal or state law for the relief of debtors.

 

“Bid Solicitation Agent” shall have the
meaning set forth in Section 18.03.

 

“Board of Directors” shall mean either the
board of directors of the Corporation or any duly authorized committee of that
board.

 

“Board Resolution” shall mean a copy of a
resolution certified by the secretary or an assistant secretary of the
Corporation to have been duly adopted by the Board of Directors and to be in
full force and effect on the date of such certification, and delivered to the
Debenture Trustee.

 

“Business Day” shall mean any day other than
a Saturday or a Sunday or a day on which banking institutions in New York, New
York are authorized or required by law, regulation or executive order to close.

 

“Capital Stock” of any corporation means any
and all shares, interests, rights to purchase, warrants, options,
participations or other equivalents of or interests in (however designated)
stock or other equity issued by that corporation.

 

“Cash Percentage” shall have the meaning set
forth in Section 17.01(c).

 

“Cash Percentage Notice” shall have the
meaning set forth in Section 17.01(c).

 

“Change in Control” shall have the meaning
set forth in Section 17.04.

 

“Closing Price” with respect to any
securities on any date means the closing per share closing price (or, if no
closing price is reported, the average of the bid and ask prices or, if more
than one in either case, the average of the average bid and average ask prices)
on such date as reported in the composite transactions for the principal United
States securities exchange on which such security is traded or, if the security
is not listed on a United States national or regional securities exchange, as
reported by the National Association of Securities Dealers Automated Quotation System
or by the National Quotation Bureau Incorporated, or if not so available, in
such manner as furnished by any New York Stock Exchange member firm selected
from time to time by the Board of Directors for that purpose, or a price
determined in good faith by the Board of Directors or, to the extent permitted
by applicable law, a duly authorized committee thereof, whose determination
shall be conclusive.

 

“Code” means the Internal Revenue Code of
1986, as amended from time to time, or any successor legislation.

 

2

 

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

 

“Common Securities” shall mean undivided
beneficial interests in the assets of the Trust which are designated as “Common
Securities” and rank pari passu with
Preferred Securities issued by the Trust, subject to the terms of the
Declaration.

 

“Common Stock” shall mean the Common Stock,
par value $0.01 per share, of the Corporation or any other class of stock resulting
from changes or reclassifications of such Common Stock consisting solely of
changes in par value, or from par value to no par value, or from no par value
to par value.

 

“Compounded Interest” shall have the meaning
set forth in Section 16.01.

 

“Contingent Interest” means such interest
payable in accordance with the provisions of Article XVIII hereof.

 

“Contingent Interest Payment Date” shall have
the meaning set forth in Section 18.02.

 

“Contingent Interest Record Date” shall have
the meaning set forth in Section 18.02.

 

“Conversion Date” shall have the meaning set
forth in Section 17.02(a).

 

“Conversion Price” shall mean the quotient
obtained by dividing $50.00 by the Conversion Rate and rounding the result to
four decimal places.

 

“Conversion Rate” shall have the meaning set
forth in Section 17.01.

 

“Conversion Reference Period” means
(a) for Securities that are converted during the period beginning on the
30th day prior to the Maturity Date, the ten consecutive Trading Days beginning
on the third Trading Day following the Maturity Date and (b) in all other
instances, the ten consecutive Trading Days beginning on the third Trading Day
following the Conversion Date.

 

“Conversion Request” means (a) the
irrevocable request to be given by a Securityholder to the Conversion Agent
directing the Conversion Agent to convert the Securities into shares of Common
Stock and (b) the irrevocable request to be given by a holder of Preferred
Securities to the Conversion Agent directing the Conversion Agent to exchange such
stock on behalf of such holder.

 

“Conversion Value” means the product of (1)
the Conversion Rate then in effect multiplied by (2) the average of the Volume
Weighted Average Price per share of Common Stock on each of the Trading Days
during the Conversion Reference period.

 

“Corporation” shall mean Affiliated Managers
Group, Inc., a Delaware corporation, and, subject to the provisions of Article
X, shall include its successors and assigns.

 

3

 

“Corporation Request” or “Corporation Order”
shall mean a written request or order signed in the name of the Corporation by
the Chairman of the Board of Directors, the Chief Executive Officer, the Chief
Financial Officer, a President, a Vice President, the Comptroller or the Secretary
of the Corporation, and delivered to the Debenture Trustee.

 

“Coupon Rate” shall have the meaning set
forth in Section 2.05.

 

“Current Market Price” shall mean the average
of the daily Closing Prices per share of Common Stock for the ten consecutive
Trading Days ending not later than the earlier of the date immediately prior to
the date in question and the day before the “ex” date with respect to the
issuance, distribution, subdivision or combination requiring such computation.
If another issuance, distribution, subdivision or combination to which Section
17.03 applies occurs during the period applicable for calculating “Current
Market Price” pursuant to the preceding definition, then “Current Market Price”
shall be appropriately adjusted to reflect the impact of such issuance,
distribution, subdivision or combination on the Closing Price of the Common
Stock during such period. For purposes of this paragraph, the term “ex” date,
when used:

 

(A)          with respect to any
issuance or distribution, means the first date on which the Common Stock trades
regular way on the relevant exchange or in the relevant market from which the
Closing Price was obtained without the right to receive such issuance or
distribution;

 

(B)           with respect to any
subdivision or combination of shares of Common Stock, means the first date on
which the Common Stock trades regular way on such exchange or in such market
after the time at which such subdivision or combination becomes effective; and

 

(C)           with respect to any
tender or exchange offer, means the first date on which the Common Stock trades
regular way on such exchange or in such market after the Expiration Time of
such offer.

 

Notwithstanding the foregoing, whenever
successive adjustments to the Conversion Rate are called for pursuant to
Section 17.03 such adjustments shall be made to the Current Market Price as may
be necessary or appropriate to effectuate the intent of Section 17.03 and to
avoid unjust or inequitable results as determined in good faith by the Board of
Directors.

 

“Daily Share
Amounts” means, for each Trading Day of the Conversion Reference Period and
each $50.00 principal amount of Securities surrendered for conversion, a number
of shares (but in no event less than zero) determined by the following formula:

 

	
  (Volume Weighted Average Price per

  	
   

  	
   

  	
   

  	
  Conversion
  Rate in effect

  	
   

  	
   

  	
   

  
	
  Share of Common Stock for such Trading Day

  	
   

  	
  x

  	
   

  	
  on
  the Conversion Date*) - $50.00

  	
   

  	
   

  	
   

  
	
  Volume Weighted Average Price per share of Common Stock

  
	
  for such Trading Day x 10

  

 

*appropriately
adjusted to take into account the occurrence on or before such Trading Day of
any event which would require an anti-dilution adjustment

 

4

 

“Debenture Trustee” shall mean the Person
identified as “Debenture Trustee” in the first paragraph hereof, and, subject
to the provisions of Article VI, shall also include its successors and assigns
as Debenture Trustee hereunder.

 

“Declaration” means the Amended and Restated
Declaration of Trust of the Trust, dated as of April 3, 2006, as amended from
time to time.

 

“Default” means any event, act or condition
that with notice or lapse of time, or both, would constitute an Event of
Default.

 

“Defaulted Interest” shall have the meaning
set forth in Section 2.10.

 

“Defeasance Agent” shall have the meaning set
forth in Section 11.05.

 

“Deferred Interest” shall have the meaning
set forth in Section 16.01.

 

“Definitive Securities” shall mean those
Securities issued in fully registered certificated form not otherwise in global
form.

 

“Depositary” shall mean, with respect to the
Securities, for which the Corporation shall determine that such Securities will
be issued as a Global Security, The Depository Trust Corporation, New York, New
York, another clearing agency, or any successor registered as a clearing agency
under the Exchange Act or other applicable statute or regulation, which, in
each case, shall be designated by the Corporation pursuant to Section 2.04(d).

 

“Discharged” shall have the meaning set forth
in Section 11.05.

 

“Dissolution Event” means the liquidation of
the Trust pursuant to the Declaration, and the distribution of the Securities
held by the Property Trustee to the holders of the Trust Securities issued by
the Trust pro rata in accordance with the Declaration.

 

“Effective Date” shall have the meaning set
forth in Section 17.04.

 

“Event of Default” shall mean any event
specified in Section 5.01, continued for the period of time, if any, and after
the giving of the notice, if any, therein designated.

 

“Ex-Dividend Date” shall have the meaning set
forth in Section 17.03(c)(ii).

 

“Ex-Dividend Time” shall have the meaning set
forth in the definition of “Time of Determination”.

 

“Exchange Act” shall mean the Securities
Exchange Act of 1934, as amended.

 

“Exchange Agent” shall have the meaning set
forth in the Declaration.

 

“Expiration Time” shall have the meaning set
forth in Section 17.03(e).

 

“Extended Interest Payment Period” shall have
the meaning set forth in Section 16.01.

 

5

 

“Global Security” means, with respect to the
Securities, a Security executed by the Corporation and delivered by the
Debenture Trustee to the Depositary or pursuant to the Depositary’s
instruction, all in accordance with the Indenture, which shall be registered in
the name of the Depositary or its nominee.

 

“Indebtedness” shall mean, with respect to
any Person, whether recourse is to all or a portion of the assets of the Person
and whether or not contingent, (i) every obligation of the Person for money
borrowed; (ii) every obligation of the Person evidenced by bonds, debentures,
notes or other similar instruments, including obligations incurred in
connection with the acquisition of property, assets or businesses; (iii) every
reimbursement obligation of the Person with respect to letters of credit,
banker’s acceptances or similar facilities issued for the account of the Person;
(iv) every obligation of the Person issued or assumed as the deferred purchase
price of property or services (but excluding trade accounts payable or accrued
liabilities arising in the ordinary course of business); (v) every capital
lease obligation of the Person; (vi) all obligations of the Person whether
incurred on or prior to the date of the Indenture or thereafter incurred, for
claims in respect of derivative products, including interest rate, foreign
exchange rate and commodity forward contracts, options and swaps and similar
arrangements; and (vii) every obligation of the type referred to in clauses (i)
through (vi) of another Person and all dividends of another Person the payment
of which, in either case, the first Person has guaranteed or is responsible or
liable for, directly or indirectly, as obligor or otherwise, including such
obligations secured by a lien on any property or asset of the first Person,
whether or not such obligation is assumed by such Person.

 

“Indebtedness Ranking on a Parity with the
Securities” shall mean Indebtedness, whether outstanding on the date of
execution of this Indenture or hereafter created, assumed or incurred, to the
extent such Indebtedness is expressed by its terms to rank equally with and not
prior or senior to the Securities in the right of payment upon the happening of
the dissolution or winding-up or liquidation or reorganization of the
Corporation.

 

“Indebtedness Ranking Junior to the
Securities” shall mean any Indebtedness, whether outstanding on the date of
execution of this Indenture or hereafter created, assumed or incurred, to the
extent such Indebtedness is expressed by its terms to rank junior to and not
equally with or prior to the Securities (and any other Indebtedness Ranking on
a Parity with the Securities) in right of payment upon the happening of the
dissolution or winding-up or liquidation or reorganization of the Corporation.

 

“Indenture” shall mean this instrument as
originally executed or, if amended as herein provided, as so amended.

 

“Interest,” unless otherwise stated in any
applicable provision of this Indenture or the Securities, shall mean, without
duplication, all interest payable hereunder on the principal at the Coupon Rate
plus Compounded Interest, Liquidated Damages, Additional Sums and Contingent
Interest, if any, that may be payable on the Securities pursuant to the terms
of the Indenture, and other amounts payable hereunder with respect to any
overdue installment of principal or Interest.

 

“Interest Payment Date” shall have the
meaning set forth in Section 2.05(a).

 

6

 

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

 

“Investment Company Event” means the receipt
by the Corporation and the Trust of an opinion of independent securities
counsel, experienced in such matters to the effect that, as a result of (a) any
amendment to, or change (including any announced prospective change) in, any
laws (or any regulations thereunder) of the United States or any rules,
guidelines or policies of any applicable regulatory agency or authority or (b)
any official administrative pronouncement or judicial decision interpreting or
applying such laws or regulations, which amendment or change is effective or
which pronouncement or decision is announced on or after the date of original issuance
of the Preferred Securities, that the Trust is, or within 90 days of the date
of such opinion will be considered an “investment company” that is required to
be registered under the Investment Company Act.

 

“Like Amount” means (i) with respect to a redemption
of the Trust Securities, Trust Securities having a liquidation amount equal to
the principal amount of Securities to be paid in accordance with their terms
and (ii) with respect to a distribution of Securities upon the liquidation of
the Trust, Securities having a principal amount equal to the liquidation amount
of the Trust Securities of the holder to whom Securities are distributed.

 

“Liquidated Damages” shall mean Liquidated
Damages as defined in the Registration Rights Agreement, dated as of April 3,
2006, among the Corporation, the Trust and Banc of America Securities LLC,
Goldman, Sachs & Co. and Merrill Lynch, Pierce, Fenner & Smith
Incorporated as initial purchasers; provided, however,
that Liquidated Damages shall be due and payable only at the times, in the
amounts and to the Persons as provided in the Registration Rights Agreement.

 

“Make Whole Shares” shall have the meaning
set forth in Section 17.04(a).

 

“Market Disruption Event’’ means the
occurrence or existence for more than one half hour period in the aggregate on
any scheduled Trading Day for Common Stock of any suspension or limitation
imposed on trading (by reason of movements in price exceeding limits permitted
by the Nasdaq National Market or otherwise) in Common Stock or in any options,
contracts or future contracts relating to Common Stock, and such suspension or
limitation occurs or exists at any time before 1:00 p.m. (New York City time)
on such day.

 

“Maturity Date” shall mean April 15, 2036.

 

“Mortgage” shall mean and include any
mortgage, pledge, lien, security interest, conditional sale or other title
retention agreement or other similar encumbrance.

 

“Non-Book-Entry Preferred Securities” shall
have the meaning set forth in Section 2.04(a)(ii).

 

“Officers” shall mean any of the Chairman of
the Board of Directors, the Chief Executive Officer, a President, a Vice President,
the Chief Financial Officer, the Comptroller or a Secretary of the Corporation.

 

7

 

“Officers’ Certificate” shall mean a
certificate signed by two Officers and delivered to the Debenture Trustee.

 

“Opinion of Counsel” shall mean a written
opinion of counsel, who may be an employee of the Corporation, and who shall be
reasonably acceptable to the Debenture Trustee.

 

“Other Debentures” means all junior
subordinated debentures issued by the Corporation from time to time and sold to
trusts established or to be established by the Corporation (if any), in each
case similar to the Trust.

 

“Other Guarantees” means all guarantees to be
issued by the Corporation with respect to preferred securities (if any) and
issued to other trusts established or to be established by the Corporation (if
any), in each case similar to the Trust.

 

The term “outstanding” when used with reference
to the Securities, shall mean, subject to the provisions of Section 7.04, as of
any particular time, all Securities authenticated and delivered by the
Debenture Trustee or the Authenticating Agent under this Indenture, except

 

(a)           Securities
theretofore cancelled by the Debenture Trustee or the Authenticating Agent or
delivered to the Debenture Trustee for cancellation;

 

(b)           Securities,
or portions thereof, for the payment or redemption of which moneys in the
necessary amount shall have been deposited in trust with the Debenture Trustee
or with any paying agent (other than the Corporation) or shall have been set
aside and segregated in trust by the Corporation (if the Corporation shall act
as its own paying agent); provided that, if such Securities, or portions
thereof, are to be redeemed prior to maturity thereof, notice of such
redemption shall have been given as set forth in Article XIV or provision
satisfactory to the Debenture Trustee shall have been made for giving such
notice; and

 

(c)           Securities
in lieu of or in substitution for which other Securities shall have been
authenticated and delivered pursuant to the terms of Section 2.07 unless proof
satisfactory to the Corporation and the Debenture Trustee is presented that any
such Securities are held by bona fide holders in due course.

 

“Person” or “persons” shall mean any
individual, corporation, estate, partnership, joint venture, association,
joint-stock company, limited liability company, trust, unincorporated
organization or government or any agency or political subdivision thereof.

 

“Post-Distribution Price” shall have the
meaning set forth in Section 17.03(c)(ii).

 

“Predecessor Security” of any particular
Security means every previous Security evidencing all or a portion of the same
debt and as that evidenced by such particular Security; and, for the purposes
of this definition, any Security authenticated and delivered under Section 2.07
in lieu of a lost, destroyed or stolen security shall be deemed to evidence the
same debt as the lost, destroyed or stolen Security.

 

8

 

“Preferred Securities” shall mean undivided
beneficial interests in the assets of the Trust which are designated as “Preferred
Securities” and rank pari passu with
the Common Securities issued by the Trust, subject to the terms of the
Declaration.

 

“Principal Office of the Debenture Trustee,”
or other similar term, shall mean the office of the Debenture Trustee, at which
at any particular time its corporate trust business shall be administered,
which office at the date of execution of this Indenture is located at 135
LaSalle Street, Suite 1151, Chicago, Illinois 60603, Attn: CDO Trust Services
Group - AMG Capital Trust I.

 

“Property Trustee” shall have the same
meaning as set forth in the Declaration.

 

“Purchase Agreement” shall mean the Purchase
Agreement, dated March 28, 2006, among the Corporation, the Trust and the
initial purchasers named therein.

 

“Purchased Shares” shall have the meaning set
forth in Section 17.03(e).

 

“Quarterly Period” shall have the meaning set
forth in Section 18.01.

 

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

 

“Redemption Price” shall mean an amount equal
to 100% of the principal amount of Securities to be redeemed plus accrued and
unpaid Interest (including Contingent Interest, if any) thereon to the date of
such redemption.

 

“Remaining Shares” shall have the meaning set
forth in Section 17 .01(c).

 

“Repurchase Date” has the meaning set forth
in Section 13.01.

 

“Repurchase Notice” shall have the meaning
set forth in Section 13.03.

 

“Repurchase Right” shall have the meaning
specified in Section 13.01.

 

“Required Cash Amount” shall have the meaning
set forth in Section 17.01(c).

 

“Responsible Officer” shall mean any officer in
the Principal Office of the Debenture Trustee with direct responsibility for
the administration of the Indenture and also means, with respect to a
particular corporate trust matter, any other officer to whom such matter is
referred because of his knowledge of and familiarity with the particular
subject.

 

“Restricted Securities” shall have the
meaning set forth in Section 2.06(b).

 

“Securities” or “Security” mean any debt
securities or debt security, as the case may be, authenticated and delivered
under this Indenture.

 

“Securities Act” shall mean the Securities
Act of 1933, as amended.

 

9

 

“Securityholder”, “holder of Securities”, “Holder”
or other similar terms shall mean any Person in whose name at the time a
particular Security is registered on the Security Register kept by the
Corporation or the Debenture Trustee for that purpose in accordance with the
terms hereof.

 

“Security Market Price” shall have the
meaning set forth in Section 18.01.

 

“Security Register” shall mean (i) prior to a
Dissolution Event, the list of holders provided to the Debenture Trustee
pursuant to Section 4.01, and (ii) following a Dissolution Event, any security
register maintained by a security registrar for the Securities appointed by the
Corporation following the execution of a supplemental indenture providing for
transfer procedures as provided for in Section 2.06(a).

 

“Senior Indebtedness” shall mean the
principal of (and premium, if any), interest, if any, on and all other
obligations with respect to all Indebtedness, whether outstanding on the date
of execution of this Indenture or hereafter created, assumed or incurred,
except Indebtedness Ranking on a Parity with the Securities or Indebtedness
Ranking Junior to the Securities, and any deferrals, renewals, refinancings,
replacements or extensions of such Senior Indebtedness.

 

“Special Event” means either an Investment
Company Event or a Tax Event.

 

“Stock Price” shall have the meaning set
forth in Section 17.04(a).

 

“Subsidiary” shall mean with respect to any
Person, (i) any corporation at least a majority of the outstanding voting stock
of which is owned, directly or indirectly, by such Person or by one or more of
its Subsidiaries, or by such Person and one or more of its Subsidiaries, (ii)
any general partnership, joint venture or similar entity, at least a majority
of whose outstanding partnership or similar interests shall at the time be
owned by such Person, or by one or more of its Subsidiaries, or by such Person
and one or more of its Subsidiaries and (iii) any limited partnership of which
such Person or any of its Subsidiaries is a general partner. For the purposes
of this definition, “voting stock” means shares, interests, participations or
other equivalents in the equity interest (however designated) in such Person
having ordinary voting power for the election of a majority of the directors
(or the equivalent) of such Person, other than shares, interests,
participations or other equivalents having such power only by reason of the
occurrence of a contingency.

 

“Tax Event” shall mean the receipt by the
Corporation and the Trust of an opinion of, independent tax counsel experienced
in such matters to the effect that, as a result of (a) any amendment to, change
in or announced prospective change in, the laws or any regulations thereunder
of the United States or any political subdivision or taxing authority thereof
or therein, or (b) any official administrative pronouncement or judicial
decision interpreting or applying such laws or regulations, which amendment or
change is effective or which pronouncement or decision is announced on or after
the date of original issuance of the Preferred Securities, there is more than
an insubstantial risk that (i) the Trust is, or will be within 90 days of the
date of such opinion, subject to United States federal income tax with respect
to interest received or accrued on the Securities, (ii) interest payable by the
Corporation on the Securities is not, or within 90 days of the date of such
opinion will not be, deductible by the Corporation, in whole or in part,

 

10

 

for United States federal
income tax purposes or (iii) the Trust is, or will be within 90 days of the
date of such opinion, subject to more than a de minimis
amount of other taxes, duties or other governmental charges.

 

“Tax Original Issue Discount” means the
amount of ordinary interest income on a Security that must be accrued as
original issue discount for United States federal income tax purposes pursuant
to Treasury Regulation section 1.1275-4.

 

“Tender Expiration Time” shall have the
meaning set forth in Section 17.03(e).

 

“Time of Determination” means the time and
date of the earlier of (i) the determination of stockholders entitled to
receive rights, warrants or options or a distribution, in each case, to which
Sections 17.03(b), (c) or (e) applies and (ii) the time (“Ex-Dividend Time”)
immediately prior to the commencement of “ex-dividend” trading for such rights,
warrants or options or distribution on the national or regional exchange or
market on which the Common Stock is then listed or quoted.

 

“Trading Day” means any day on which (i)
there is no Market Disruption Event and (ii) the principal national securities
exchange on which the Common Stock is listed or, if the Common Stock not so
listed, the Nasdaq National Market or, if the common stock is not so listed, admitted
for trading or quoted, any Business Day. A “Trading Day” only includes those
days that have a scheduled closing time of 4:00 p.m. (New York City time) or
the then standard closing time for regular trading on the relevant exchange or
trading system.

 

“Treasury Regulations” means the income tax
regulations, including temporary and proposed regulations, promulgated under
the Code by the United States Treasury, as such regulations may be amended from
time to time (including corresponding provisions of succeeding regulations).

 

 “Trust
Indenture Act” shall mean the Trust Indenture Act of 1939 as in force at the
date of execution of this Indenture, except as provided in Section 9.03; provided, however, that, in the event the Trust Indenture
Act is amended after such date, “Trust Indenture Act” shall mean, to the extent
required by any such amendment, the Trust Indenture Act as so amended.

 

“Trust Securities” shall mean the Preferred
Securities and the Common Securities, collectively.

 

“Trust Securities Guarantee” shall mean any
guarantee that the Corporation may enter into with LaSalle Bank National
Association or other Persons that operates directly or indirectly for the
benefit of holders of Preferred Securities and the Common Securities, if any.

 

“U.S. Government Obligations” shall mean
securities that are (i) direct obligations of the United States of America for
the payment of which its full faith and credit is pledged or (ii) obligations
of a Person controlled or supervised by and acting as an agency or instrumentality
of the United States of America the payment of which is unconditionally
guaranteed as a full faith and credit obligation by the United States of
America, which, in either case under clauses (i) or (ii) are not callable or
redeemable at the option of the issuer thereof, and shall also include a
depository receipt issued by a bank or trust company as custodian with respect
to any such U.S.

 

11

 

Government Obligation or a
specific payment of interest on or principal of any such U.S. Government
Obligation held by such custodian for the account of the holder of a depository
receipt, provided that (except as required by law) such custodian is not
authorized to make any deduction from the amount payable to the holder of such
depository receipt from any amount received by the custodian in respect of the
U.S. Government Obligation or the specific payment of interest on or principal
of the U.S. Government Obligation evidenced by such depository receipt.

 

“Volume Weighted Average Price” means
the price per share of the Common Stock on any Trading Day as displayed on
Bloomberg (or any successor service) page AMG <equity> VAP in respect of
the period from 9:30 a.m. to 4:00 p.m. (New York City time), on such Trading
Day; or, if such price is not available, the market value per share of the
Common Stock on such day as determined by a nationally recognized independent
investment banking firm retained for this purpose by the Corporation.

 

ARTICLE II

SECURITIES

 

SECTION 2.01.                      Forms
Generally.

 

The Securities and the Debenture Trustee’s
certificate of authentication shall be substantially in the form of Exhibit A,
the terms of which are incorporated in and made a part of this Indenture. The
Securities may have notations, legends or endorsements required by law, stock
exchange rule, agreements to which the Corporation is subject or usage. Each
Security shall be dated the date of its authentication. The Securities shall be
issued in denominations of $50 and integral multiples thereof.

 

SECTION 2.02.                      Execution
and Authentication.

 

One Officer shall sign the Securities for the
Corporation by manual or facsimile signature. If an Officer whose signature is
on a Security no longer holds that office at the time the Security is authenticated,
the Security shall nevertheless be valid.

 

A Security shall not be valid until
authenticated by the manual signature of the Debenture Trustee. The signature
of the Debenture Trustee shall be conclusive evidence that the Security has
been authenticated under this Indenture. The form of Debenture Trustee’s
certificate of authentication to be borne by the Securities shall be
substantially as set forth in Exhibit A hereto.

 

The Debenture Trustee shall, upon a
Corporation Order, authenticate for original issue up to, and the aggregate
principal amount of Securities outstanding at any time may not exceed, $300,000,000
aggregate principal amount of the Securities.

 

SECTION 2.03.                      Form
and Payment.

 

Except as provided in Section 2.04, the
Securities shall be issued in fully registered certificated form without
interest coupons. Principal of and Interest on the Securities issued in
certificated form will be payable, the transfer of such Securities will be
registrable and such Securities will be exchangeable for Securities bearing
identical terms and provisions at the office

 

12

 

or agency of the Corporation
maintained for such purpose under Section 3.02; provided,
however, that payment of Interest with respect to Securities (other
than a Global Security) may be made at the option of the Corporation (i) by
check mailed to the holder at such address as shall appear in the Security
Register or (ii) by transfer to an account maintained by the Person entitled
thereto, provided that proper transfer instructions have been received in
writing by the relevant record date. Notwithstanding the foregoing, so long as
the holder of any Securities is the Property Trustee, the payment of the
principal of and Interest on such Securities held by the Property Trustee will
be made at such place and to such account as may be designated by the Property
Trustee.

 

SECTION 2.04.                      Global
Security.

 

(a)           In
connection with a Dissolution Event,

 

(i)            if any Preferred
Securities are held in book-entry form, a Like Amount of Definitive Securities
shall be presented to the Debenture Trustee (if an arrangement with the
Depositary has been maintained) by the Property Trustee in exchange for one or
more Global Securities (as may be required pursuant to Section 2.06), to be
registered in the name of the Depositary, or its nominee, and delivered by the
Debenture Trustee to the Depositary for crediting to the accounts of its
participants pursuant to the instructions of the Administrative Trustees; the Corporation
upon any such presentation shall execute one or more Global Securities in such
aggregate principal amount and deliver the same to the Debenture Trustee for
authentication and delivery in accordance with this Indenture; and payments on
the Securities issued as a Global Security will be made to the Depositary; and

 

(ii)           if any Preferred
Securities are held in certificated form, the related Definitive Securities may
be presented to the Debenture Trustee by the Property Trustee and any Preferred
Security certificate which represents Preferred Securities other than Preferred
Securities in book-entry form (“Non-Book-Entry Preferred Securities”) will be
deemed to represent beneficial interests in Securities presented to the
Debenture Trustee by the Property Trustee having an aggregate principal amount
equal to the aggregate liquidation amount of the Non-Book-Entry Preferred
Securities until such Preferred Security certificates are presented to the
security registrar for the Securities for transfer or reissuance, at which time
such Preferred Security certificates will be cancelled and a Security,
registered in the name of the holder of the Preferred Security certificate or
the transferee of the holder of such Preferred Security certificate, as the
case may be, with an aggregate principal amount equal to the aggregate
liquidation amount of the Preferred Security certificate cancelled, will be
executed by the Corporation and delivered to the Debenture Trustee for
authentication and delivery in accordance with this Indenture. Upon the
issuance of such Securities, Securities with an equivalent aggregate principal
amount that were presented by the Property Trustee to the Debenture Trustee
will be cancelled.

 

(b)           The
Global Securities shall represent the aggregate amount of outstanding
Securities from time to time endorsed thereon; provided, that the aggregate
amount of outstanding Securities represented thereby may from time to time be
reduced or increased, as

 

13

 

appropriate, to reflect exchanges, conversions and redemptions. Any
endorsement of a Global Security to reflect the amount of any increase or
decrease in the amount of outstanding Securities represented thereby shall be
made by the Debenture Trustee, in accordance with instructions given by the
Corporation as required by this Section 2.04.

 

(c)           The
Global Securities may be transferred, in whole but not in part, only to the
Depositary, another nominee of the Depositary, or to a successor Depositary
selected or approved by the Corporation or to a nominee of such successor
Depositary.

 

(d)           If
at any time the Depositary notifies the Corporation that it is unwilling or
unable to continue as Depositary or the Depositary has ceased to be a clearing
agency registered under the Exchange Act, and a successor Depositary is not
appointed by the Corporation within 90 days after the Corporation receives such
notice or becomes aware of such condition, as the case may be, the Corporation
will execute, and the Debenture Trustee, upon receipt of a Corporation Order,
will authenticate and make available for delivery the Definitive Securities, in
authorized denominations, and in an aggregate principal amount equal to the
principal amount of the Global Security, in exchange for such Global Security.
If there is an Event of Default, the Depositary shall have the right to
exchange the Global Securities for Definitive Securities. In addition, the
Corporation may at any time determine that the Securities shall no longer be
represented by a Global Security. In the event of such an Event of Default or
such a determination, the Corporation shall execute, and subject to Section
2.07, the Debenture Trustee, upon receipt of an Officers’ Certificate
evidencing such determination by the Corporation and a Corporation Order, will
authenticate and make available for delivery the Definitive Securities, in
authorized denominations, and in an aggregate principal amount equal to the
principal amount of the Global Security in exchange for such Global Security.
Upon the exchange of the Global Security for such Definitive Securities, in
authorized denominations, the Global Security shall be cancelled by the
Debenture Trustee. Such Definitive Securities issued in exchange for the Global
Security shall be registered in such names and in such authorized denominations
as the Depositary, pursuant to instructions from its direct or indirect
participants or otherwise, shall instruct the Debenture Trustee. The Debenture
Trustee shall deliver such Definitive Securities to the Depositary for delivery
to the Persons in whose names such Definitive Securities are so registered.

 

SECTION 2.05.                      Interest.

 

(a)           Each
Security will bear interest at the rate of 5.10% per annum (the “Coupon Rate”)
from the most recent date to which interest has been paid or duly provided for
or, if no interest has been paid or duly provided for, from April 3, 2006,
until the principal thereof becomes due and payable, and at the Coupon Rate on
any overdue principal and on any overdue installment of Interest (to the extent
that payment of such interest is enforceable under applicable law), compounded
quarterly, payable (subject to the provisions of Article XVI) quarterly in
arrears on January 15, April 15, July 15 and October 15 of each year (each, an “Interest
Payment Date”) commencing on July 15, 2006, to the Person in whose name such
Security or any Predecessor Security is registered, as of 5:00 p.m., New York
City time on the regular record date for such interest installment, which shall
be the first day of the month, whether or not a Business Day, in which the
relevant Interest Payment Date occurs.

 

14

 

(b)           Interest
will be computed on the basis of a 360-day year consisting of twelve 30-day
months. In the event that any Interest Payment Date falls on a day that is not
a Business Day, then payment of Interest payable on such date will be made on
the next succeeding day which is a Business Day (and without any Interest or
other payment in respect of any such delay), except that if such next
succeeding Business Day falls in the next succeeding calendar year, then such
payment shall be made on the immediately preceding Business Day, in each case
with the same force and effect as if made on such date.

 

(c)           If
at any time the Trust is required to pay any taxes, duties, assessments or
governmental charges of whatever nature, other than withholding taxes, imposed
by the United States, or any other taxing authority, then the Corporation will
be required to pay additional amounts on the Securities. The additional amounts
will be sufficient so that the net amounts received and retained by the Trust
after paying any such taxes, duties, assessments or other governmental charges
will be not less than the amounts the Trust would have received had no such
taxes, duties, assessments or other governmental charges been imposed. The
intention of this clause is that the Trust will be in the same position it
would have been if it did not have to pay such taxes, duties, assessments or
other charges. The amounts payable pursuant to this paragraph are referred to
as “Additional Sums.”

 

(d)           Contingent
Interest, if any, shall be calculated and paid in accordance with the
provisions of Article XVIII hereof.

 

SECTION 2.06.                      Transfer
and Exchange.

 

(a)           To
permit registrations of transfers, the Corporation shall execute and the
Debenture Trustee shall authenticate Definitive Securities and Global
Securities at the request of the security registrar for the Securities. All
Definitive Securities and Global Securities issued upon any registration of
transfer or exchange of Definitive Securities or Global Securities shall be the
valid obligations of the Corporation, evidencing the same debt, and entitled to
the same benefits under this Indenture, as the Definitive Securities or Global
Securities surrendered upon such registration of transfer or exchange.

 

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

 

The Corporation shall not be required to (i)
issue, register the transfer of or exchange Securities during a period
beginning at the opening of business 15 days before the day of mailing of a
notice of redemption or any notice of selection of Securities for redemption
under Article XIV hereof and ending at the close of business on the day of such
mailing; or (ii) register the transfer of or exchange any Securities selected
for redemption in whole or in part except, in the case of any Securities being
redeemed in part, any portion thereof not to be redeemed.

 

Prior to due presentment for the registration
of a transfer of any Security, the Debenture Trustee, the Corporation and any
agent of the Debenture Trustee or the Corporation may deem and treat the Person
in whose name any Security is registered as the absolute owner of such Security
for the purpose of receiving payment of principal of and Interest on such Securities,
and

 

15

 

none of the Debenture Trustee,
the Corporation and any agents of the Debenture Trustee or the Corporation
shall be affected by notice to the contrary.

 

(b)           Every
Security that bears or is required under this Section 2.06(b) to bear the
legend set forth in this Section 2.06(b) (together with any Common Stock issued
upon conversion of the Securities and required to bear the legend set forth in
Section 2.06(c), collectively, the “Restricted Securities”) or Section 2.06(c),
as the case may be, shall be subject to the restrictions on transfer set forth
in this Section 2.06(b) or Section 2.06(c), as the case may be, (including
those set forth in the legends set forth below) unless such restrictions on
transfer shall be waived by written consent of the Corporation, and the Holder
of each such Restricted Security, by such Holder’s acceptance thereof, agrees
to be bound by all such restrictions on transfer. As used in Sections 2.06(b)
and 2.06(c), the term “transfer” encompasses any sale, pledge, transfer or
other disposition whatsoever of any Restricted Security.

 

Until the expiration of the holding period
applicable to sales thereof under Rule 144(k) under the Securities Act (or any
successor provision) and provided that the holder has not been an Affiliate of
the Corporation at any time during the three-month period preceding such date,
any certificate evidencing such Security and all Securities issued in exchange
therefor or substitution thereof (other than Common Stock, if any, issued upon
conversion thereof, which shall bear the legend set forth in Section 2.06(c),
if applicable) shall bear a legend in substantially the following form, unless
such Security has been sold pursuant to a registration statement that has been
declared effective under the Securities Act (and which continues to be
effective at the time of such transfer), or unless otherwise agreed by the
Corporation in writing, with written notice thereof to the Trustee:

 

THIS SECURITY AND THE SHARES OF AFFILIATED
MANAGERS GROUP, INC. COMMON STOCK ISSUABLE UPON CONVERSION HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF UNDERLYING AFFILIATED
MANAGERS GROUP, INC. COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR
ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD,
ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT
SUBJECT TO, REGISTRATION.

 

THE HOLDER OF THIS SECURITY, BY ITS
ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY,
PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”), WHICH IS TWO
YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF AND THE LAST DATE ON
WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY AFFILIATE OF AFFILIATED MANAGERS
GROUP, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH
SECURITY) ONLY (A) TO AFFILIATED MANAGERS GROUP, INC. OR ANY SUBSIDIARY
THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO
RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL
BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT PURCHASES FOR ITS
OWN ACCOUNT OR FOR

 

16

 

THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN
RELIANCE ON RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN
DECLARED EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER
AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT,
SUBJECT TO AFFILIATED MANAGERS GROUP, INC.’S, AND THE DEBENTURE TRUSTEE’S RIGHT
PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE
DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION
SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE
OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS
COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE DEBENTURE TRUSTEE. THIS LEGEND
WILL BE REMOVED UPON THE REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER
OF THE SECURITIES EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE
RESTRICTION TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE
HEREOF, AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY
EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C)
ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND.

 

(c)           Until
the expiration of the holding period applicable to sales thereof under Rule
144(k) under the Securities Act (or any successor provision), any stock
certificate representing Common Stock issued upon conversion of such Security
shall bear a legend in substantially the following form, unless such Common
Stock has been sold pursuant to a registration statement that has been declared
effective under the Securities Act (and which continues to be effective at the
time of such transfer) or such Common Stock has been issued upon conversion of
Securities that have been transferred pursuant to a registration statement that
has been declared effective under the Securities Act, or unless otherwise
agreed by the Corporation in writing with written notice thereof to the
transfer agent:

 

THIS SECURITY HAS NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE
SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN
OR THEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED
OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH
TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, REGISTRATION.

 

THE HOLDER OF THIS SECURITY, BY ITS
ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY,
PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”), WHICH IS TWO
YEARS AFTER THE LATER OF THE ORIGINAL ISSUE DATE OF THE SECURITY UPON THE
CONVERSION OF WHICH THE COMMON STOCK EVIDENCED HEREBY WAS ISSUED AND THE LAST
DATE ON WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY AFFILIATE OF AFFILIATED
MANAGERS GROUP, INC. WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF SUCH
SECURITY) ONLY (A) TO AFFILIATED MANAGERS GROUP, INC. OR ANY SUBSIDIARY
THEREOF, (B) FOR SO LONG AS

 

17

 

THE SECURITIES ARE ELIGIBLE FOR
RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED
INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED
EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE
EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO AFFILIATED
MANAGERS GROUP, INC.’S, AND THE TRANSFER AGENT’S RIGHT PRIOR TO ANY SUCH OFFER,
SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN OPINION
OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF
THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM
APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY THE
TRANSFEROR TO THE TRANSFER AGENT. THIS LEGEND WILL BE REMOVED UPON THE REQUEST
OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES EVIDENCED HEREBY
PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION TERMINATION DATE. THE
HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES THAT IT WILL DELIVER
TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS TRANSFERRED (OTHER THAN
A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE SUBSTANTIALLY TO THE EFFECT
OF THIS LEGEND.

 

(d)           The
Debenture Trustee shall have no obligation or duty to monitor, determine or
inquire as to compliance with any restrictions on transfer imposed under this
Indenture or under applicable law with respect to any transfer of any interest
in any Security (including any transfers between or among Depositary
participants or beneficial owners of interests in any Global Security) other
than to require delivery of such certificates and other documentation or
evidence as are expressly required by, and to do so if and when expressly
required by the terms of, this Indenture, and to examine the same to determine
substantial compliance as to form with the express requirements hereof. The
Debenture Trustee shall have no responsibility for the actions or omissions of
the Depositary, or the accuracy of the books and records of the Depositary.

 

SECTION 2.07.                      Replacement
Securities.

 

If any mutilated Security is surrendered to
the Debenture Trustee, or the Corporation and the Debenture Trustee receive
evidence to their satisfaction of the destruction, loss or theft of any
Security, the Corporation shall issue and the Debenture Trustee shall
authenticate a replacement Security if the Debenture Trustee’s and the
Corporation’s requirements, as the case may be, for replacements of Securities
are met. An indemnity bond must be supplied by the holder that is sufficient in
the judgment of the Debenture Trustee and the Corporation to protect the Corporation,
the Debenture Trustee, any agent thereof or any authenticating agent from any
loss that any of them may suffer if a Security is replaced. The Corporation or
the Debenture Trustee may charge for its expenses in replacing a Security.

 

18

 

Every replacement Security is an obligation
of the Corporation and shall be entitled to all of the benefits of this
Indenture equally and proportionately with all other Securities duly issued
hereunder.

 

SECTION 2.08.                      Temporary
Securities.

 

Pending the preparation of Definitive
Securities, the Corporation may execute, and upon receipt of a Corporation
Order the Debenture Trustee shall authenticate and make available for delivery,
temporary Securities that are printed, lithographed, typewritten, mimeographed
or otherwise reproduced, in any authorized denomination, substantially of the
tenor of the Definitive Securities in lieu of which they are issued and with
such appropriate insertions, omissions, substitutions and other variations as
the officers executing such Securities may determine, as conclusively evidenced
by their execution of such Securities.

 

If temporary Securities are issued, the
Corporation shall cause Definitive Securities to be prepared without
unreasonable delay. The Definitive Securities shall be printed, lithographed or
engraved, or provided by any combination thereof, or in any other manner
permitted by the rules and regulations of any applicable securities exchange,
all as determined by the officers executing such Definitive Securities. After
the preparation of Definitive Securities, the temporary Securities shall be
exchangeable for Definitive Securities upon surrender of the temporary
Securities at the office or agency maintained by the Corporation for such
purpose pursuant to Section 3.02 hereof, without charge to the Holder. Upon
surrender for cancellation of any one or more temporary Securities, the
Corporation shall execute, and the Debenture Trustee, upon receipt of a
Corporation Order, shall authenticate and make available for delivery, in
exchange therefor the same aggregate principal amount of Definitive Securities
of authorized denominations. Until so exchanged, the temporary Securities shall
in all respects be entitled to the same benefits under this Indenture as
Definitive Securities.

 

SECTION 2.09.                      Cancellation.

 

The Corporation at any time may deliver
Securities to the Debenture Trustee for cancellation. The Debenture Trustee and
no one else shall cancel all Securities surrendered for registration of
transfer, exchange, payment, replacement, conversion or cancellation and shall
retain or destroy cancelled Securities in accordance with its normal practices
(subject to the record retention requirement of the Exchange Act) unless the
Corporation directs them to be returned to it. The Corporation may not issue
new Securities to replace Securities that have been redeemed, converted or paid
(except to evidence any portion that has not been redeemed, converted or paid)
or that have been delivered to the Debenture Trustee for cancellation.

 

SECTION 2.10.                      Defaulted
Interest.

 

Any Interest, or Contingent Interest, if any,
on any Security that is payable, but is not punctually paid or duly provided
for, on any Interest Payment Date or Contingent Interest Payment Date, as
applicable (herein called “Defaulted Interest”), shall forthwith cease to be
payable to the holder on the relevant regular record date by virtue of having
been such holder; and such Defaulted Interest shall be paid by the Corporation,
at its election, as provided in clause (a) or clause (b) below:

 

19

 

 

(a)           The
Corporation may make payment of any Defaulted Interest on Securities to the
Persons in whose names such Securities (or their respective Predecessor
Securities) are registered at the close of business on a special record date
for the payment of such Defaulted Interest, which shall be fixed in the
following manner: the Corporation shall notify the Debenture Trustee in writing
of the amount of Defaulted Interest proposed to be paid on each such Security
and the date of the proposed payment (which date shall be sufficiently in
advance of such notice to permit the Debenture Trustee time to take the actions
contemplated by this Section 2.10), and at the same time the Corporation shall
deposit with the Debenture Trustee an amount of money equal to the aggregate
amount proposed to be paid in respect of such Defaulted Interest or shall make
arrangements satisfactory to the Debenture Trustee for such deposit prior to
the date of the proposed payment, such money when deposited to be held in trust
for the benefit of the Persons entitled to such Defaulted Interest as in this
clause provided. Thereupon the Debenture Trustee shall fix a special record
date for the payment of such Defaulted Interest which shall not be more than 15
nor less than 10 days prior to the date of the proposed payment and not less
than 10 days after the receipt by the Debenture Trustee of the notice of the
proposed payment. The Debenture Trustee shall promptly notify the Corporation
of such special record date and, in the name and at the expense of the
Corporation, shall cause notice of the proposed payment of such Defaulted
Interest and the special record date therefor to be mailed, first class postage
prepaid, to each Securityholder at his or her address as it appears in the
Security Register, not less than 10 days prior to such special record date.
Notice of the proposed payment of such Defaulted Interest and the special
record date therefor having been mailed as aforesaid, such Defaulted Interest
shall be paid to the Persons in whose names such Securities (or their
respective Predecessor Securities) are registered on such special record date
and shall be no longer payable pursuant to the following clause (b).

 

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

 

SECTION 2.11.                      CUSIP
Numbers.

 

The Corporation in issuing the Securities may
use “CUSIP” numbers (if then generally in use), and, if so, the Debenture
Trustee shall use “CUSIP” numbers in notices of redemption or conversion as a
convenience to Securityholders; provided that any such notice may state that no
representation is made as to the correctness of such numbers either as printed
on the Securities or as contained in any notice of a redemption or conversion
and that reliance may be placed only on the other identification numbers
printed on the Securities, and any such redemption or conversion shall not be
affected by any defect in or omission of such numbers. The Corporation will
promptly notify the Debenture Trustee of any change in the CUSIP numbers.

 

SECTION 2.12.                      Tax
Treatment.

 

(a)           Each
Holder or beneficial owner of a Security (including the Trust), by its
acquisition of a Security, hereby agrees:

 

20

 

(i)            to
treat the Securities for United States federal and state income tax purposes as
indebtedness of the Corporation that is subject to the Treasury Regulations
governing contingent payment debt instruments (the “CPDI Regulations”);

 

(ii)           to
accrue in gross income such Holder’s or beneficial owner’s pro rata share of
the interest income accruing on the Securities (in accordance with the “noncontingent
bond method” set forth in section 1.1275-4(b) of the CPDI Regulations) on a
constant yield to maturity basis at a “comparable yield” (within the meaning of
the CPDI Regulations and treating the fair market value of the common stock to
be received by such Holder or beneficial owner upon conversion, if any, as a
contingent payment) of 7.50%, compounded quarterly, in accordance with the “projected
payment schedule” (within the meaning of section 1.1275-4(b) of the CPDI
Regulations) determined by the Corporation; and

 

(iii)          to
treat such comparable yield and projected payment schedule as “reasonable” for
the purposes of the CPDI Regulations.

 

(b)           The
Corporation hereby agrees (i) to treat the Securities for United States federal
and state income tax purposes as indebtedness of the Corporation that is
subject to the CPDI Regulations and (ii) to treat the comparable yield and
projected payment schedule as “reasonable” for the purposes of the CPDI
Regulations.

 

ARTICLE III

PARTICULAR COVENANTS OF THE CORPORATION

 

SECTION 3.01.                      Payment
of Principal and Interest.

 

The Corporation covenants and agrees for the
benefit of the holders of the Securities that it will duly and punctually pay
or cause to be paid the principal of and Interest on the Securities at the
place, at the respective times and in the manner provided herein. Except as
provided in Section 2.03, each installment of Interest on the Securities may be
paid by mailing checks for such Interest payable to the order of the holders of
Securities entitled thereto as they appear in the Security Register. The
Corporation further covenants to pay any and all amounts, including, without
limitation, Additional Sums, as may be required pursuant to Section 2.05(c),
Liquidated Damages, as may be required pursuant to the Registration Rights
Agreement, Compounded Interest, as may be required pursuant to Section 16.01,
and Contingent Interest, as may be required pursuant to Section 18.01.

 

SECTION 3.02.                      Offices
for Notices and Payments, Etc.

 

So long as any of the Securities remain
outstanding, the Corporation will maintain an office or agency where the
Securities may be presented for payment, an office or agency where the
Securities may be presented for registration of transfer and for exchange as in
this Indenture provided and an office or agency where notices and demands to or
upon the Corporation in respect of the Securities or of this Indenture may be
served. The Corporation will give to the Debenture Trustee written notice of
the location of any such office or agency and of any change of location thereof.
Until otherwise designated from time to time by the Corporation in a notice to
the Debenture Trustee, any such office or agency for all of the above purposes
shall be the

 

21

 

Principal Office of the Debenture
Trustee. In case the Corporation shall fail to maintain any such office or
agency, or shall fail to give such notice of the location or of any change in
the location thereof, presentations and demands may be made and notices may be
served at the Principal Office of the Debenture Trustee.

 

In addition to any such office or agency, the
Corporation may from time to time designate one or more offices or agencies where
the Securities may be presented for payment, registration of transfer and for
exchange in the manner provided in this Indenture, and the Corporation may from
time to time rescind such designation, as the Corporation may deem desirable or
expedient. The Corporation will give to the Debenture Trustee prompt written
notice of any such designation or rescission thereof.

 

SECTION 3.03.                      Appointments
to Fill Vacancies in Debenture Trustee’s Office.

 

The Corporation, whenever necessary to avoid
or fill a vacancy in the office of Debenture Trustee, will appoint, in the
manner provided in Section 6.10, a Debenture Trustee, so that there shall at
all times be a Debenture Trustee hereunder.

 

SECTION 3.04.                      Provision
as to Paying Agent.

 

(a)           If
the Corporation shall appoint a paying agent other than the Debenture Trustee
with respect to the Securities, it will cause such paying agent to execute and
deliver to the Debenture Trustee an instrument in which such agent shall agree
with the Debenture Trustee, subject to the provision of this Section 3.04,

 

(i)            that it will hold all
sums held by it as such agent for the payment of the principal of or Interest
on the Securities (whether such sums have been paid to it by the Corporation or
by any other obligor on the Securities) in trust for the benefit of the holders
of the Securities; and

 

(ii)           that it will give the
Debenture Trustee notice of any failure by the Corporation (or by any other
obligor on the Securities) to make any payment of the principal of or Interest
on the Securities when the same shall be due and payable.

 

(b)           If
the Corporation shall act as its own paying agent, it will, on or before each
due date of the principal of or Interest on the Securities, set aside,
segregate and hold in trust for the benefit of the holders of the Securities a
sum sufficient to pay such principal or Interest so becoming due and will
notify the Debenture Trustee of any failure to take such action and of any
failure by the Corporation (or by any other obligor under the Securities) to
make any payment of the principal of or Interest on the Securities when the
same shall become due and payable.

 

(c)           Anything
in this Section 3.04 to the contrary notwithstanding, the Corporation may, at
any time, for the purpose of obtaining a satisfaction and discharge with
respect to the Securities hereunder, or for any other reason, pay or cause to
be paid to the Debenture Trustee all sums held in trust for such Securities by
the Debenture Trustee or any paying agent hereunder, as required by this
Section 3.04, such sums to be held by the Debenture Trustee upon the trusts
herein contained.

 

22

 

(d)           Anything
in this Section 3.04 to the contrary notwithstanding, the agreement to hold
sums in trust as provided in this Section 3.04 is subject to Sections 11.03 and
11.04.

 

SECTION 3.05.                      Certificate
to Debenture Trustee.

 

The Corporation will deliver to the Debenture
Trustee on or before 120 days after the end of each fiscal year of the
Corporation, commencing with the first fiscal year ending after the date
hereof, so long as Securities are outstanding hereunder, an Officers’
Certificate, one of the signers of which shall be the principal executive,
principal financial or principal accounting officer of the Corporation, stating
that in the course of the performance by the signers of their duties as officers
of the Corporation they would normally have knowledge of any Default by the
Corporation in the performance of any covenants contained herein, stating
whether or not they have knowledge of any such Default and, if so, specifying
each such Default of which the signers have knowledge and the nature thereof.
For purposes of this Section 3.05, Default shall be determined without regard
to any period of grace or requirement of notice provided for herein.

 

SECTION 3.06.                      Compliance
with Consolidation Provisions.

 

The Corporation will not, while any of the
Securities remain outstanding, consolidate with or merge into any other Person
or convey, transfer or lease all or substantially all of its properties to any
Person, and no Person may consolidate with or merge into the Corporation or
convey, transfer or lease all or substantially all of its properties to the
Corporation, unless the provisions of Article X are complied with.

 

SECTION 3.07.                      Limitation
on Dividends.

 

The Corporation will not, and will not permit
any of its Subsidiaries to, (i) declare or pay any dividends or distributions
on, or redeem, purchase, acquire, or make a liquidation payment with respect
to, any of the Corporation’s capital stock, (ii) make any payment of principal,
interest or premium, if any, on or repay, repurchase or redeem any debt
securities of the Corporation (including Other Debentures) that rank pari passu with or junior in right of payment to the
Securities or (iii) make any guarantee payments with respect to any guarantee
by the Corporation of the debt securities of any Subsidiary of the Corporation
(including Other Guarantees) if such guarantee ranks pari passu
with or junior in right of payment to the Securities, if at such time (1) an
event has occurred that with the giving of notice or the lapse of time, or
both, would constitute an Event of Default and the Corporation has not taken
reasonable steps to cure the event, (2) the Corporation shall be in default
with respect to its payment obligations under the Trust Securities Guarantee or
(3) the Corporation shall have given notice of its election of the exercise of
its right to extend the interest payment period pursuant to Section 16.01 and
has not rescinded the notice, or any such extension shall be continuing.  The restrictions set forth in the preceding
sentence shall not, however, apply to any of the following: (a) a payment of dividends
or distributions in shares of, or options, warrants or rights to subscribe for
or purchase shares of Common Stock, (b) any declaration of a dividend in
connection with the implementation of, a shareholder’s rights plan, or the
issuance of stock under any such plan in the future, or the redemption or
repurchase of any such rights pursuant thereto, (c) payments under the Trust
Securities Guarantee, (d) a reclassification of the Corporation’s capital

 

23

 

stock or the exchange or
conversion of one class or series of the Corporation’s capital stock for
another class or series of the Corporation’s capital stock, (e) the purchase of
fractional interests in shares of the Corporation’s capital stock pursuant to
the conversion or exchange provisions of such capital stock or the security being
converted or exchanged and (f) purchases of Common Stock pursuant to any of the
Corporation’s employee, director or agent benefit plans, dividend reinvestment
plans, stock purchase plans or any other contractual obligation of the
Corporation other than a contractual obligation ranking equally with or junior
to the Securities.

 

SECTION 3.08.                      Covenants
as to AMG Capital Trust I.

 

In the event Securities are issued to the
Trust or a trustee of such trust in connection with the issuance of Trust
Securities by the Trust, for so long as such Trust Securities remain
outstanding, the Corporation: (a) will maintain 100% direct or indirect
ownership of the Common Securities of the Trust; provided,
however, that any successor of the Corporation, permitted pursuant
to Article X, may succeed to the Corporation’s ownership of such Common
Securities, (b) will use commercially reasonable efforts to cause the Trust to
remain a statutory trust, except in connection with a distribution of
Securities to the holders of Trust Securities in liquidation of the Trust; (c)
will not voluntarily terminate, wind-up or liquidate the Trust, except in
connection with (i) a distribution of the Securities to the holders of the
Preferred Securities in liquidation of the Trust, (ii) the redemption of all of
the Preferred Securities and Common Securities issued by the Trust, (iii) in
connection with mergers, consolidations or amalgamations, in each case as
permitted by the Declaration; (d) will use its reasonable efforts, consistent
with the terms and provisions of the Declaration, to cause the Trust to remain classified
as a grantor trust and not as an association taxable as a corporation for
United States federal income tax purposes; and (e) will use its reasonable
efforts to ensure that the Trust will not be an “investment company” for
purposes of the Investment Company Act.

 

SECTION 3.09.                      Payment
of Expenses.

 

The Corporation, in its capacity as borrower
with respect to the Securities, shall:

 

(a)           pay
all costs and expenses relating to the offering, sale and issuance of the
Securities and the Trust Securities, including commissions to the initial
purchasers payable pursuant to the Purchase Agreement and compensation of the
Debenture Trustee in accordance with the provisions of Section 6.06;

 

(b)           pay
all costs and expenses of the Trust (including, but not limited to, costs and
expenses relating to the organization of the Trust, the offering, sale and
issuance of the Trust Securities (including commissions to the initial
purchasers in connection therewith), the fees and expenses of the Property
Trustee, the Delaware Trustee and the Administrative Trustees, the costs and
expenses relating to the operation of the Trust, including, without limitation,
costs and expenses of accountants, attorneys, statistical or bookkeeping
services, expenses for printing and engraving and computing or accounting
equipment, paying agent(s), registrar(s), transfer agent(s), duplicating,
travel and telephone and other telecommunications expenses and costs and
expenses incurred in connection with the acquisition, financing, and disposition
of assets of the Trust;

 

24

 

(c)           be
primarily and fully liable for any indemnification obligations arising with
respect to the Declaration;

 

(d)           pay
any and all taxes duties, assessments and other governmental charges imposed on
the Trust by the United States or any other taxing authority and all
liabilities, costs and expenses with respect to such taxes of the Trust; and

 

(e)           pay
all other fees, expenses, debts and obligations (other than in respect of the Trust
Securities) related to the Trust.

 

(f)            The
Corporation acknowledges that any holder of Preferred Securities may enforce
the obligations of the Corporation created under this Section 3.09 pursuant to
a Direct Action by such holder against the Corporation and the Corporation
hereby waives any right or remedy that it has or may have to require that a
holder of the Preferred Securities take action against the Trust or any other
person before proceeding against the Corporation and the Corporation hereby agrees
to execute such additional agreements as may be necessary to give full effect
to the agreement described in this sentence.

 

SECTION 3.10.                      Payment
Upon Resignation or Removal.

 

Upon termination of this Indenture or the
removal or resignation of the Debenture Trustee, unless otherwise stated, the
Corporation shall pay to the Debenture Trustee all amounts accrued and owing to
the Debenture Trustee to the date of such termination, removal or resignation.
Upon termination of the Declaration or the removal or resignation of the
Delaware Trustee, the Property Trustee or the Institutional Administrative
Trustee, as the case may be, pursuant to Section 3.06 or 5.07 of the
Declaration, the Corporation shall pay to the Delaware Trustee, the Property
Trustee or the Institutional Administrative Trustee, as the case may be, all
amounts accrued and owing to such Person to the date of such termination,
removal or resignation.

 

ARTICLE IV

SECURITYHOLDERS’ LISTS AND REPORTS BY THE

CORPORATION AND THE DEBENTURE TRUSTEE

 

SECTION 4.01.                      Securityholders’
Lists.

 

The Corporation covenants and agrees that it
will furnish or cause to be furnished to the Debenture Trustee:

 

(a)           on
each regular record date for the Securities, a list, in such form as the
Debenture Trustee may reasonably require, of the names and addresses of the
Securityholders as of such record date; and

 

(b)           at
such other times as the Debenture Trustee may request in writing, within 30
days after the receipt by the Corporation, of any such request, a list of
similar form and content as of a date not more than 15 days prior to the time
such list is furnished, except that, no such lists need be furnished so long as
the Debenture Trustee is in possession thereof by reason of its acting as
security registrar for the Securities.

 

25

 

SECTION 4.02.                      Preservation
and Disclosure of Lists.

 

(a)           The
Debenture Trustee shall preserve, in as current a form as is reasonably
practicable, all information as to the names and addresses of the holders of
the Securities (1) contained in the most recent list furnished to it as
provided in Section 4.01 or (2) received by it in the capacity of Securities
registrar (if so acting) hereunder. The Debenture Trustee may destroy any list
furnished to it as provided in Section 4.01 upon receipt of a new list so
furnished.

 

(b)           In
case three or more holders of Securities (hereinafter referred to as “applicants”)
apply in writing to the Debenture Trustee and furnish to the Debenture Trustee
reasonable proof that each such applicant has owned a Security for a period of
at least six months preceding the date of such application, and such
application states that the applicants desire to communicate with other holders
of Securities or with holders of all Securities with respect to their rights
under this Indenture and is accompanied by a copy of the form of proxy or other
communication which such applicants propose to transmit, then the Debenture
Trustee shall within 5 Business Days after the receipt of such application, at
its election, either:

 

(i)            afford such applicants
access to the information preserved at the time by the Debenture Trustee in
accordance with the provisions of Section 4.02(a), or

 

(ii)           inform such applicants
as to the approximate number of holders of all Securities, whose names and
addresses appear in the information preserved at the time by the Debenture
Trustee in accordance with the provisions of Section 4.02(a), and as to the
approximate cost of mailing to such Securityholders the form of proxy or other
communication, if any, specified in such application.

 

If the Debenture Trustee shall elect not to
afford such applicants access to such information, the Debenture Trustee shall,
upon the written request of such applicants, mail to each Securityholder whose
name and address appear in the information preserved at the time by the
Debenture Trustee in accordance with the provisions of Section 4.02(a) a copy
of the form of proxy or other communication which is specified in such request
with reasonable promptness after a tender to the Debenture Trustee of the
material to be mailed and of payment, or provision for the payment, of the
reasonable expenses of mailing, unless within five Business Days after such
tender, the Debenture Trustee shall mail to such applicants and file with the
Commission, together with a copy of the material to be mailed, a written
statement to the effect that, in the opinion of the Debenture Trustee, such
mailing would be contrary to the best interests of the holders of Securities of
such series or all Securities, as the case may be, or would be in violation of
applicable law. Such written statement shall specify the basis of such opinion.
If the Commission, after opportunity for a hearing upon the objections
specified in the written statement so filed, shall enter an order refusing to
sustain any of such objections or if, after the entry of an order sustaining
one or more of such objections, the Commission shall find, after notice and
opportunity for hearing, that all the objections so sustained have been met and
shall enter an order so declaring, the Debenture Trustee shall mail copies of
such material to all such Securityholders with reasonable promptness after the
entry of such order and the renewal of such tender; otherwise the Debenture
Trustee shall be relieved of any obligation or duty to such applicants
respecting their application.

 

26

 

(c)           Each
and every holder of Securities, by receiving and holding the same, agrees with
the Corporation and the Debenture Trustee that neither the Corporation nor the
Debenture Trustee nor any paying agent shall be held accountable by reason of
the disclosure of any such information as to the names and addresses of the
holders of Securities in accordance with the provisions of Section 4.02(b),
regardless of the source from which such information was derived, and that the
Debenture Trustee shall not be held accountable by reason of mailing any
material pursuant to a request made under Section 4.02(b).

 

SECTION 4.03.                      Reports
by the Corporation.

 

(a)           The
Corporation covenants and agrees to file with the Debenture Trustee, within 15
days after the date on which the Corporation is required to file the same with
the Commission, copies of the annual reports and of the information, documents
and other reports (or copies of such portions of any of the foregoing as said
Commission may from time to time by rules and regulations prescribe) which the
Corporation may be required to file with the Commission pursuant to Section 13
or Section 15(d) of the Exchange Act; or, if the Corporation is not required to
file information, documents or reports pursuant to either of such sections,
then to provide to the Debenture Trustee, such of the supplementary and periodic
information, documents and reports which would have been required pursuant to
Section 13 of the Exchange Act in respect of a security listed and registered
on a national securities exchange as may be prescribed from time to time in
such rules and regulations.

 

(b)           The
Corporation covenants and agrees to file with the Debenture Trustee and the
Commission, in accordance with the rules and regulations prescribed from time
to time by said Commission, such additional information, documents and reports
with respect to compliance by the Corporation with the conditions and covenants
provided for in this Indenture as may be required from time to time by such
rules and regulations.

 

(c)           The
Corporation covenants and agrees to transmit by mail to all holders of Securities,
as the names and addresses of such holders appear upon the Security Register,
within 30 days after the filing thereof with the Debenture Trustee, such
summaries of any information, documents and reports required to be filed by the
Corporation pursuant to Sections 4.03(a) and 4.03(b) as may be required by
rules and regulations prescribed from time to time by the Commission.

 

(d)           Delivery
of such reports, information and documents to the Debenture Trustee is for
informational purposes only and the Debenture Trustee’s receipt of such shall
not constitute constructive notice of any information contained therein or
determinable from information contained therein, including the Corporation’s
compliance with any of its covenants hereunder (as to which the Debenture
Trustee is entitled to rely exclusively on Officers’ Certificates).

 

SECTION 4.04.                      Reports
by the Debenture Trustee.

 

(a)           The
Debenture Trustee shall transmit to Securityholders such reports concerning the
Debenture Trustee and its actions under this Indenture as may be required
pursuant to the Trust Indenture Act at the times and in the manner provided
pursuant thereto. If required by Section 313(a) of the Trust Indenture Act, the
Debenture Trustee shall, within sixty days after

 

27

 

January 1 of each year following the date of this Indenture, commencing
January 1, 2006, deliver to Securityholders a brief report, which complies with
the provisions of such Section 313(a).

 

(b)           A
copy of each such report shall, at the time of such transmission to
Securityholders, be filed by the Debenture Trustee with each stock exchange, if
any, upon which the Securities are listed, with the Commission and with the
Corporation. The Corporation will promptly notify the Debenture Trustee when
the Securities are listed on any stock exchange.

 

ARTICLE V

REMEDIES OF THE DEBENTURE TRUSTEE AND SECURITYHOLDERS

ON EVENT OF DEFAULT

 

SECTION 5.01.                      Events
of Default.

 

One or more of the following events of
default shall constitute an Event of Default hereunder (whatever the reason for
such Event of Default and whether it shall be voluntary or involuntary or be
effected by operation of law or pursuant to any judgment, decree or order of
any court or any order, rule or regulation of any administrative or
governmental body):

 

(a)           default
in the payment of any Interest (including Contingent Interest, if any) on the
Securities, whether or not such payment is prohibited by the subordination
provisions of Article XV, or any Other Debentures when due, and continuance of
such default for a period of 30 days; provided, however,
that a valid extension of an interest payment period by the Corporation in
accordance with the terms hereof shall not constitute a default in the payment
of Interest for this purpose; or

 

(b)           default
in the payment of any principal of the Securities (whether or not such payment
is prohibited by the subordination provisions of Article XV) or any Other
Debentures when due whether at maturity, upon redemption, by declaration of
acceleration of maturity or otherwise; or

 

(c)           failure
by the Corporation to satisfy its conversion obligations in accordance with the
provisions of Article XVII upon exercise of a holder’s conversion right; or

 

(d)           default
in the performance, or breach, of any covenant of the Corporation in this
Indenture (other than a covenant a default in whose performance or whose breach
is elsewhere in this Section specifically dealt with), and continuance of such
default or breach for a period of 90 days after there has been given, by
registered or certified mail, to the Corporation by the Debenture Trustee or to
the Corporation and the Debenture Trustee by the holders of at least 25% in
aggregate principal amount of the outstanding Securities a written notice specifying
such default or breach and requiring it to be remedied and stating that such
notice is a “Notice of Default” hereunder; or

 

(e)           a
court having jurisdiction in the premises shall enter a decree or order for
relief in respect of the Corporation in an involuntary case under any
applicable bankruptcy, insolvency or other similar law now or hereafter in
effect, or appointing a receiver, liquidator, assignee, custodian, trustee,
sequestrator (or similar official) of the Corporation or for any substantial part

 

28

 

of its property, or ordering the winding-up or liquidation of its
affairs and such decree or order shall remain unstayed and in effect for a
period of 90 consecutive days; or

 

(f)            the
Corporation shall commence a voluntary case under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect, shall consent to
the entry of an order for relief in an involuntary case under any such law, or
shall consent to the appointment of or taking possession by a receiver,
liquidator, assignee, trustee, custodian, sequestrator (or other similar
official) of the Corporation or of any substantial part of its property, or
shall make any general assignment for the benefit of creditors, or shall fail
generally to pay its debts as they become due; or

 

(g)           the
voluntary or involuntary dissolution, winding-up or termination of the Trust,
except in connection with (i) the distribution of the Securities to the holders
of the Trust Securities in liquidation of the Trust, (ii) the redemption or
conversion of all outstanding Trust Securities of the Trust and (iii) mergers,
consolidations or amalgamations in accordance with the terms and conditions set
forth in Section 3.15 of the Declaration.

 

If an Event of Default with respect to
Securities at the time outstanding occurs and is continuing, then in every such
case the Debenture Trustee or the holders of not less than 25% in aggregate
principal amount of the Securities then outstanding may declare the principal
amount of all Securities and all accrued and unpaid Interest (including
Contingent Interest) thereon to be due and payable immediately, by a notice in
writing to the Corporation (and to the Debenture Trustee if given by the
holders of the outstanding Securities), and upon any such declaration the same
shall become immediately due and payable. If the Debenture Trustee or the
holders of Securities do not make such a declaration, the holders of at least
25% in aggregate liquidation amount of the Preferred Securities will have such
right.

 

The foregoing provisions, however, are
subject to the condition that if, at any time after the principal of the
Securities shall have been so declared due and payable, and before any judgment
or decree for the payment of the moneys due shall have been obtained or entered
as hereinafter provided, (i) the Corporation shall pay or shall deposit with
the Debenture Trustee a sum sufficient to pay (A) all matured installments of
Interest (including Contingent Interest) upon all the Securities and the
principal of any and all Securities that shall have become due other than by
acceleration (with interest upon such principal and, to the extent that payment
of such interest is enforceable under applicable law, on overdue installments
of Interest (including Contingent Interest), at the Coupon Rate to the date of
such payment or deposit) and (B) such amount as shall be sufficient to cover
compensation due to the Debenture Trustee and each predecessor Debenture
Trustee, their respective agents, attorneys and counsel, pursuant to Section
6.06, and (ii) any and all Events of Default under the Indenture, other than
the non-payment of the principal of the Securities which shall have become due
solely by such declaration of acceleration, shall have been cured, waived or
otherwise remedied as provided herein, then, in every such case, the holders of
a majority in aggregate principal amount of the Securities then outstanding, by
written notice to the Corporation and to the Debenture Trustee, may rescind and
annul such declaration and its consequences, but no such waiver or rescission
and annulment shall extend to or shall affect any subsequent Default or shall
impair any right consequent thereon. If the Holders of the Securities fail to
annul such declaration and waive such

 

29

 

Default, the holders of a
majority in aggregate liquidation amount of the Preferred Securities shall have
such right.

 

In case the Debenture Trustee shall have
proceeded to enforce any right under this Indenture and such proceedings shall
have been discontinued or abandoned because of such rescission or annulment or
for any other reason or shall have been determined adversely to the Debenture
Trustee, then and in every such case the Corporation, the Debenture Trustee and
the holders of the Securities shall be restored respectively to their several
positions and rights hereunder, and all rights, remedies and powers of the
Corporation, the Debenture Trustee and the holders of the Securities shall
continue as though no such proceeding had been taken.

 

SECTION 5.02.                      Payment
of Securities on Default; Suit Therefor.

 

The Corporation covenants that (a) in case
Default shall be made in the payment of any installment of Interest (including
Contingent Interest, if any) upon any of the Securities as and when the same
shall become due and payable, and such Default shall have continued for a
period of 30 days, or (b) in case Default shall be made in the payment of the
principal on any of the Securities as and when the same shall have become due
and payable, whether at maturity of the Securities or upon redemption or by
declaration or otherwise, then, upon demand of the Debenture Trustee, the
Corporation will pay to the Debenture Trustee, for the benefit of the holders
of the Securities, the whole amount that then shall have become due and payable
on all such Securities for principal or Interest (including Contingent
Interest, if any) or both, as the case may be, with interest upon the overdue principal
(to the extent that payment of such interest is enforceable under applicable
law and, if the Securities are held by the Trust or a trustee of such trust,
without duplication of any other amounts paid by the Trust or a trustee in
respect thereof) and upon the overdue installments of Interest (including
Contingent Interest, if any) at the rate borne by the Securities; and, in
addition thereto, such further amount as shall be sufficient to cover the costs
and expenses of collection, including reasonable compensation to the Debenture
Trustee, its agents, attorneys and counsel, and any other amount due to the
Debenture Trustee pursuant to Section 6.06.

 

In case the Corporation shall fail forthwith
to pay such amounts upon such demand, the Debenture Trustee, in its own name
and as trustee of an express trust, shall be entitled and empowered to
institute any actions or proceedings at law or in equity for the collection of
the sums so due and unpaid, and may prosecute any such action or proceeding to
judgment or final decree, and may enforce any such judgment or final decree
against the Corporation or any other obligor on the Securities and collect in
the manner provided by law out of the property of the Corporation or any other
obligor on the Securities, wherever situated, the moneys adjudged or decreed to
be payable.

 

In case there shall be pending proceedings
for the bankruptcy or for the reorganization of the Corporation or any other
obligor on the Securities under Title 11, United States Code, or any other
applicable law, or in case a receiver or trustee shall have been appointed for
the property of the Corporation or such other obligor, or in the case of any
other similar judicial proceedings relative to the Corporation or other obligor
upon the Securities, or to the creditors or property of the Corporation or such
other obligor, the Debenture Trustee, irrespective of whether the principal of
the Securities shall then be due and payable as therein expressed or by
declaration or

 

30

 

otherwise and irrespective of
whether the Debenture Trustee shall have made any demand pursuant to the
provisions of this Section 5.02, shall be entitled and empowered, by
intervention in such proceedings or otherwise, to file and prove a claim or
claims for the whole amount of principal and Interest (including Contingent
Interest, if any) owing and unpaid in respect of the Securities and, in case of
any judicial proceedings, to file such proofs of claim and other papers or
documents as may be necessary or advisable in order to have the claims of the
Debenture Trustee (including any claim for amounts due to the Debenture Trustee
pursuant to Section 6.06) and of the Securityholders allowed in such judicial
proceedings relative to the Corporation or any other obligor on the Securities,
or to the creditors or property of the Corporation or such other obligor,
unless prohibited by applicable law and regulations, to vote on behalf of the
holders of the Securities in any election of a trustee or a standby trustee in
arrangement, reorganization, liquidation or other bankruptcy or insolvency
proceedings or person performing similar functions in comparable proceedings,
and to collect and receive any moneys or other property payable or deliverable
on any such claims, and to distribute the same after the deduction of its
charges and expenses; and any receiver, assignee or trustee in bankruptcy or
reorganization is hereby authorized by each of the Securityholders to make such
payments to the Debenture Trustee, and, in the event that the Debenture Trustee
shall consent to the making of such payments directly to the Securityholders,
to pay to the Debenture Trustee such amounts as shall be sufficient to cover
reasonable compensation to, and expenses of, the Debenture Trustee, each
predecessor Debenture Trustee and their respective agents, attorneys and
counsel, and all other amounts due to the Debenture Trustee pursuant to Section
6.06.

 

Nothing herein contained shall be construed
to authorize the Debenture Trustee to authorize or consent to or accept or
adopt on behalf of any Securityholder any plan of reorganization, arrangement,
adjustment or composition affecting the Securities or the rights of any holder
thereof or to authorize the Debenture Trustee to vote in respect of the claim
of any Securityholder in any such proceeding. The Debenture Trustee shall be
entitled to participate as a member of any official committee of creditors in
the matters as it deems necessary or advisable.

 

All rights of action and of asserting claims
under this Indenture, or under any of the Securities, may be enforced by the
Debenture Trustee without the possession of any of the Securities, or the
production thereof on any trial or other proceeding relative thereto, and any such
suit or proceeding instituted by the Debenture Trustee shall be brought in its
own name as trustee of an express trust, and any recovery of judgment shall be
for the ratable benefit of the holders of the Securities.

 

In any proceedings brought by the Debenture
Trustee (and also any proceedings involving the interpretation of any provision
of this Indenture to which the Debenture Trustee shall be a party) the
Debenture Trustee shall be held to represent all the holders of the Securities,
and it shall not be necessary to make any holders of the Securities parties to
any such proceedings.

 

SECTION 5.03.                      Application
of Moneys Collected by Debenture Trustee.

 

Any moneys collected by the Debenture Trustee
shall be applied in the following order, at the date or dates fixed by the
Debenture Trustee for the distribution of such moneys, upon

 

31

 

presentation of the Securities
in respect of which moneys have been collected, and stamping thereon the
payment, if only partially paid, and upon surrender thereof if fully paid:

 

First: To the
payment of costs and expenses of collection applicable to the Securities and
all other amounts due to the Debenture Trustee under Section 6.06;

 

Second: To the
payment of all Senior Indebtedness of the Corporation if and to the extent
required by Article XV;

 

Third: In case the
principal of the outstanding Securities in respect of which moneys have been
collected shall not have become due and be unpaid, to the payment of the
amounts then due and unpaid upon Securities for principal of and Interest (including
Contingent Interest, if any) on the Securities, in respect of which or for the
benefit of which money has been collected, ratably, without preference of
priority of any kind, according to the amounts due on such Securities for
principal and Interest (including Contingent Interest, if any), respectively;
and

 

Fourth: To the
Corporation.

 

SECTION 5.04.                      Proceedings
by Securityholders.

 

No holder of any Security shall have any
right by virtue of or by availing of any provision of this Indenture to
institute any suit, action or proceeding in equity or at law upon or under or
with respect to this Indenture or for the appointment of a receiver or trustee,
or for any other remedy hereunder, unless such holder previously shall have
given to the Debenture Trustee written notice of an Event of Default and of the
continuance thereof with respect to the Securities specifying such Event of
Default, as hereinbefore provided, and unless also the holders of not less than
25% in aggregate principal amount of the Securities then outstanding shall have
made written request upon the Debenture Trustee to institute such action, suit
or proceeding in its own name as Debenture Trustee hereunder and shall have offered
to the Debenture Trustee such indemnity reasonably satisfactory to it as it may
require against the costs, expenses and liabilities to be incurred therein or
thereby, and the Debenture Trustee for 60 days after its receipt of such
notice, request and offer of indemnity shall have failed to institute any such
action, suit or proceeding, it being understood and intended, and being
expressly covenanted by the taker and holder of every Security with every other
taker and holder and the Debenture Trustee, that no one or more holders of
Securities shall have any right in any manner whatever by virtue of or by
availing of any provision of this Indenture to affect, disturb or prejudice the
rights of any other holder of Securities, or to obtain or seek to obtain
priority over or preference to any other such holder, or to enforce any right
under this Indenture, except in the manner herein provided and for the equal,
ratable and common benefit of all holders of Securities.

 

Notwithstanding any other provisions in this
Indenture, however, the right of any holder of any Security to receive payment
of the principal of and Interest (including Contingent Interest, if any) on
such Security, on or after the same shall have become due and payable, or to
institute suit for the enforcement of any such payment, shall not be impaired
or affected without the consent of such holder and by accepting a Security
hereunder it is expressly understood, intended and covenanted by the taker and
holder of every Security with every other such taker and holder and the
Debenture Trustee, that no one or more holders of Securities shall have any
right in any

 

32

 

manner whatsoever by virtue or
by availing of any provision of this Indenture to affect, disturb or prejudice
the rights of the holders of any other Securities, or to obtain or seek to
obtain priority over or preference to any other such holder, or to enforce any
right under this Indenture, except in the manner herein provided and for the equal,
ratable and common benefit of all holders of Securities. For the protection and
enforcement of the provisions of this Section, each and every Securityholder
and the Debenture Trustee shall be entitled to such relief as can be given
either at law or in equity.

 

The Corporation and the Debenture Trustee
acknowledge that, pursuant to the Declaration, the holders of Preferred
Securities are entitled, under the circumstances and subject to the limitations
set forth therein, to commence a Direct Action with respect to any Event of
Default under this Indenture and the Securities.

 

SECTION 5.05.                      Proceedings
by Debenture Trustee.

 

In case an Event of Default occurs with
respect to Securities and is continuing, the Debenture Trustee may in its
discretion proceed to protect and enforce the rights vested in it by this
Indenture by such appropriate judicial proceedings as the Debenture Trustee
shall deem most effectual to protect and enforce any of such rights, either by
suit in equity or by action at law or by proceeding in bankruptcy or otherwise,
whether for the specific enforcement of any covenant or agreement contained in
this Indenture or in aid of the exercise of any power granted in this
Indenture, or to enforce any other legal or equitable right vested in the
Debenture Trustee by this Indenture or by law.

 

SECTION 5.06.                      Remedies
Cumulative and Continuing.

 

All powers and remedies given by this Article
V to the Debenture Trustee or to the Securityholders shall, to the extent
permitted by law, be deemed cumulative and not exclusive of any other powers
and remedies available to the Debenture Trustee or the holders of the
Securities, by judicial proceedings or otherwise, to enforce the performance or
observance of the covenants and agreements contained in this Indenture or
otherwise established with respect to the Securities, and no delay or omission
of the Debenture Trustee or of any holder of any of the Securities to exercise
any right or power accruing upon any Event of Default occurring and continuing
as aforesaid shall impair any such right or power, or shall be construed to be
a waiver of any such Default or an acquiescence therein; and, subject to the
provisions of Section 5.04, every power and remedy given by this Article V or
by law to the Debenture Trustee or to the Securityholders may be exercised from
time to time, and as often as shall be deemed expedient, by the Debenture
Trustee or by the Securityholders.

 

SECTION 5.07.                      Direction
of Proceedings and Waiver of Defaults by Majority of Securityholders.

 

The holders of a majority in aggregate
principal amount of the Securities at the time outstanding shall have the right
to direct the time, method, and place of conducting any proceeding for any
remedy available to the Debenture Trustee, or exercising any trust or power
conferred on the Debenture Trustee; provided, however,
that (subject to the provisions of Section 6.01) the Debenture Trustee shall
have the right to decline to follow any such direction if the

 

33

 

Debenture Trustee shall
determine that the action so directed would be unjustly prejudicial to the
holders not taking part in such direction or if the Debenture Trustee being
advised by counsel determines that the action or proceeding so directed may not
lawfully be taken or if the Debenture Trustee in good faith by its board of
directors or trustees, executive committee, or a trust committee of directors
or trustees and/or Responsible Officers shall determine that the action or
proceedings so directed would involve the Debenture Trustee in personal
liability. Prior to any declaration accelerating the maturity of the
Securities, the holders of a majority in aggregate principal amount of the
Securities at the time outstanding may on behalf of the holders of all of the
Securities waive any past Default or Event of Default and its consequences
except a Default or Event of Default (a) in the payment of principal of or
Interest (including Contingent Interest, if any) on any of the Securities
(unless such Default has been cured and a sum sufficient to pay all matured
installments of Interest (including Contingent Interest, if any) and principal
due otherwise than by acceleration has been deposited with the Debenture
Trustee) or (b) in respect of covenants or provisions hereof which cannot be
modified or amended without the consent of the holder of each Security
affected; provided, however, that if the
Securities are held by the Property Trustee, such waiver or modification to
such waiver shall not be effective until the holders of a majority in aggregate
liquidation amount of Trust Securities shall have consented to such waiver or
modification to such waiver; provided further,
that where a consent under this Indenture would require the consent of holders
of more than a majority of the aggregate principal amount of the Securities,
such waiver shall not be effective until the holders of at least the same
proportion in the aggregate stated liquidation amount of Trust Securities shall
have consented to such waiver. Upon any such waiver, the Default covered
thereby shall be deemed to be cured for all purposes of this Indenture and the
Corporation, the Debenture Trustee and the holders of the Securities shall be
restored to their former positions and rights hereunder, respectively; but no
such waiver shall extend to any subsequent or other Default or impair any right
consequent thereon. Whenever any Default or Event of Default hereunder shall
have been waived as permitted by this Section 5.07, said Default or Event of Default
shall for all purposes of the Securities and this Indenture be deemed to have
been cured and to be not continuing.

 

SECTION 5.08.                      Notice
of Defaults.

 

The Debenture Trustee shall, within 90 days
after the occurrence of a Default with respect to the Securities actually known
to a Responsible Officer of the Debenture Trustee, mail to all Securityholders,
as the names and addresses of such holders appear upon the Security Register,
notice of all Defaults known to the Debenture Trustee, unless such Default shall
have been cured before the giving of such notice (the term “Default” for the
purpose of this Section 5.08 being hereby defined to be any of the events
specified in clauses (a), (b), (c), (d), (e), (f) and (g) of Section 5.01, not
including periods of grace, if any, provided for therein, and irrespective of
the giving of written notice specified in clause (d) of Section 5.01); and provided that, except in the case of Default in the payment
of the principal of or Interest (including Contingent Interest, if any) on any
of the Securities, the Debenture Trustee shall be protected in withholding such
notice if and so long as the board of directors, the executive committee, or a
trust committee of directors and/or Responsible Officers of the Debenture
Trustee in good faith determines that the withholding of such notice is in the
interests of the Securityholders; and provided further
that in the case of any Default of the character specified in Section 5.01(d),
no such notice to Securityholders shall be given until at least 60 days after
the occurrence thereof, but shall be given within 90 days after such
occurrence.

 

34

 

SECTION 5.09.                      Undertaking
to Pay Costs.

 

All parties to this Indenture agree, and each
holder of any Security by his acceptance thereof shall be deemed to have
agreed, that any court may in its discretion require, in any suit for the
enforcement of any right or remedy under this Indenture, or in any suit against
the Debenture Trustee for any action taken or omitted by it as Debenture
Trustee, the filing by any party litigant in such suit of an undertaking to pay
the costs of such suit, and that such court may in its discretion assess
reasonable costs, including reasonable attorneys’ fees and expenses, against
any party litigant in such suit, having due regard to the merits and good faith
of the claims or defenses made by such party litigant; but the provisions of
this Section 5.09 shall not apply to any suit instituted by the Debenture
Trustee, to any suit instituted by any Securityholder, or group of
Securityholders, holding in the aggregate more than 10% in aggregate principal
amount of the Securities outstanding, or to any suit instituted by any
Securityholder for the enforcement of the payment of the principal of or
Interest (including Contingent Interest, if any) on any Security against the
Corporation on or after the same shall have become due and payable.

 

SECTION 5.10.                      Acknowledgment
of Rights.

 

If an Event of Default has occurred and is
continuing and such event is attributable to the failure of the Corporation to
pay principal of or Interest (including Contingent Interest, if any) on the
Securities when due (or in connection with a redemption, failure to pay the
Redemption Price on the Redemption Date), the Corporation acknowledges that a
holder of Preferred Securities may commence a Direct Action against the
Corporation to compel it to make such payment to such holder of the principal
of or Interest (including Contingent Interest, if any) on the Securities having
a principal amount equal to the aggregate liquidation amount of the Preferred
Securities of such holder on or after the respective due date specified in the
securities. The Corporation may not amend this Indenture to remove this right to
bring a Direct Action without the prior written consent of the holders of all
of the Preferred Securities. Notwithstanding any payments that the Corporation
makes to a holder of Preferred Securities in connection with a Direct Action,
the Corporation shall remain obligated to pay the principal of and Interest (including
Contingent Interest, if any) on the Securities, and the Corporation shall be
subrogated to the rights of the holder of the Preferred Securities, and have a
right of set-off, with respect to payments on the Preferred Securities to the
extent that the Corporation makes any payments to a holder of Preferred
Securities in any Direct Action.

 

The holders of the Preferred Securities shall
not be entitled to exercise directly any remedies, other than those described
in the preceding paragraph, available to Holders of the Securities, unless an
event of default exists under the Declaration.

 

ARTICLE VI

CONCERNING THE DEBENTURE TRUSTEE

 

SECTION 6.01.                      Duties
and Responsibilities of Debenture Trustee.

 

With respect to the holders of the Securities
issued hereunder, the Debenture Trustee, prior to the occurrence of an Event of
Default and after the curing or waiving of all Events of Default which may have
occurred, undertakes to perform such duties and only such duties as are

 

35

 

specifically set forth in this
Indenture. In case an Event of Default has occurred (which has not been cured
or waived), the Debenture Trustee shall exercise such of the rights and powers
vested in it by this Indenture, and use the same degree of care and skill in
their exercise, as a prudent person would exercise or use under the
circumstances in the conduct of his or her own affairs.

 

No provision of this Indenture shall be
construed to relieve the Debenture Trustee from liability for its own negligent
action, its own negligent failure to act or its own willful misconduct, except
that

 

(a)           prior
to the occurrence of an Event of Default and after the curing or waiving of all
Events of Default which may have occurred,

 

(i)            the duties and
obligations of the Debenture Trustee shall be determined solely by the express
provisions of this Indenture, and the Debenture Trustee shall not be liable
except for the performance of such duties and obligations as are specifically
set forth in this Indenture, and no implied covenants or obligations shall be
read into this Indenture against the Debenture Trustee; and

 

(ii)           in the absence of bad
faith on the part of the Debenture Trustee, the Debenture Trustee may
conclusively rely, as to the truth of the statements and the correctness of the
opinions expressed therein, upon any certificates or opinions furnished to the
Debenture Trustee and conforming to the requirements of this Indenture; but, in
the case of any such certificates or opinions which by any provision hereof are
specifically required to be furnished to the Debenture Trustee, the Debenture
Trustee shall be under a duty to examine the same to determine whether or not
they conform on their face to the requirements of this Indenture (but need not
confirm or investigate the accuracy of mathematical calculations or other facts
stated therein);

 

(b)           the
Debenture Trustee shall not be liable for any error of judgment made in good
faith by a Responsible Officer or Responsible Officers, unless it shall be
proved that the Debenture Trustee was negligent in ascertaining the pertinent
facts; and

 

(c)           the
Debenture Trustee shall not be liable with respect to any action taken or
omitted to be taken by it in good faith in accordance with the direction of the
Securityholders pursuant to Section 5.07, relating to the time, method and
place of conducting any proceeding for any remedy available to the Debenture
Trustee, or exercising any trust or power conferred upon the Debenture Trustee,
under this Indenture.

 

None of the provisions contained in this
Indenture shall require the Debenture Trustee to expend or risk its own funds
or otherwise incur personal financial liability in the performance of any of
its duties or in the exercise of any of its rights or powers, if it reasonably
believes that the repayment of such funds or liability is not reasonably
assured to it under the terms of this Indenture or adequate indemnity against
such risk is not reasonably assured to it.

 

Whether or not therein expressly so provided,
every provision of this Indenture relating to the conduct or affecting the
liability of or affording protection to the Debenture Trustee shall be subject
to the provisions of this Section.

 

36

 

SECTION 6.02.                      Reliance
on Documents, Opinions, Etc.

 

Except as otherwise provided in Section 6.01:

 

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

 

(b)           any
request, direction, order or demand of the Corporation mentioned herein may be
sufficiently evidenced by an Officers’ Certificate (unless other evidence in
respect thereof be herein specifically prescribed); and any Board Resolution
may be evidenced to the Debenture Trustee by a copy thereof certified by the
Secretary or an Assistant Secretary of the Corporation;

 

(c)           the
Debenture Trustee may consult with counsel of its selection and any advice or
Opinion of Counsel shall be full and complete authorization and protection in
respect of any action taken or suffered or omitted by it hereunder in good
faith and in accordance with such advice or Opinion of Counsel;

 

(d)           the
Debenture Trustee shall be under no obligation to exercise any of the rights or
powers vested in it by this Indenture at the request, order or direction of any
of the Securityholders, pursuant to the provisions of this Indenture, unless
such Securityholders shall have offered to the Debenture Trustee security or
indemnity reasonably satisfactory to the Debenture Trustee against the costs,
expenses and liabilities which may be incurred therein or thereby;

 

(e)           the
Debenture Trustee shall not be liable for any action taken or omitted by it in
good faith and believed by it to be authorized or within the discretion or
rights or powers conferred upon it by this Indenture; nothing contained herein
shall, however, relieve the Debenture Trustee of the obligation, upon the
occurrence of an Event of Default (that has not been cured or waived), to
exercise such of the rights and powers vested in it by this Indenture, and to
use the same degree of care and skill in their exercise, as a prudent man would
exercise or use under the circumstances in the conduct of his own affairs;

 

(f)            the
Debenture Trustee shall not be bound to make any investigation into the facts
or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, consent, order, approval, bond, debenture,
coupon or other paper or document, unless requested in writing to do so by the
holders of a majority in aggregate principal amount of the outstanding
Securities; provided, however, that if the payment
within a reasonable time to the Debenture Trustee of the costs, expenses or
liabilities likely to be incurred by it in the making of such investigation is,
in the opinion of the Debenture Trustee, not reasonably assured to the
Debenture Trustee by the security afforded to it by the terms of this
Indenture, the Debenture Trustee may require indemnity reasonably satisfactory
to the Debenture Trustee against such expense or liability as a condition to so
proceeding;

 

(g)           the
Debenture Trustee may execute any of the trusts or powers hereunder or perform
any duties hereunder either directly or by or through agents (including any

 

37

 

Authenticating Agent) or attorneys, and the Debenture Trustee shall not
be responsible for any misconduct or negligence on the part of any such agent
or attorney appointed by it with due care;

 

(h)           the
Debenture Trustee shall not be charged with knowledge of any Default or Event
of Default with respect to the Securities unless (1) such Default is a Default
under Sections 5.01(a) (other than (i) a Default with respect to the payment of
Compounded Interest, Liquidated Damages, Additional Sums or Contingent Interest
or (ii) a Default with respect to any Other Debentures) or 5.01(b) of the
Indenture, (2) a Responsible Officer shall have actual knowledge of such
Default or Event of Default or (3) written notice of such Default or Event of
Default shall have been given to the Debenture Trustee by the Corporation or
any other obligor on the Securities or by any holder of the Securities;

 

(i)            the
Debenture Trustee shall not be liable for any action taken, suffered or omitted
by it in good faith, without negligence or willful misconduct and believed by
it to be authorized or within the discretion or rights or powers conferred upon
it by this Indenture;

 

(j)            the
rights, privileges, protections, immunities and benefits given to the Debenture
Trustee, including without limitation, its right to be indemnified, are
extended to, and shall be enforceable by, the Debenture Trustee in each of its
capacities hereunder, and to each agent, custodian and other Person employed to
act hereunder;

 

(k)           the
Debenture Trustee may request that the Corporation deliver an Officers’
Certificate setting forth the names of individuals and/or titles of Officers
authorized at such time to take specified actions pursuant to this Indenture,
which Officers’ Certificate may be signed by any person authorized to sign an
Officers’ Certificate, including any person specified as so authorized in any
such certificate previously delivered and not superseded;

 

(l)            the
permissive rights of the Debenture Trustee to do things enumerated in this
Indenture shall not be construed as duties; and

 

(m)          in
no event shall the Trustee be liable for the selection of investments or for
investment losses incurred thereon. The Trustee shall have no liability in
respect of losses incurred as a result of the liquidation of any such
investment prior to its stated maturity or the failure of the party directing
such investment to provide timely written investment direction. The Trustee
shall have no obligation to invest or reinvest any amounts held hereunder in
the absence of such written investment direction.

 

SECTION 6.03.                      No
Responsibility for Recitals, Etc.

 

The recitals contained herein and in the
Securities (except in the certificate of authentication of the Debenture
Trustee or the Authenticating Agent) shall be taken as the statements of the
Corporation, and the Debenture Trustee and the Authenticating Agent assume no
responsibility for the correctness of the same. The Debenture Trustee and the
Authenticating Agent make no representations as to the validity or sufficiency
of this Indenture or of the Securities. The Debenture Trustee and the
Authenticating Agent shall not be accountable for the use or application by the
Corporation of any Securities or the proceeds of any Securities authenticated
and delivered by the Debenture Trustee or the Authenticating Agent in
conformity with the provisions of this Indenture.

 

38

 

SECTION 6.04.                      Debenture
Trustee, Authenticating Agent, Paying Agents, Transfer Agents or Registrar May
Own Securities.

 

The Debenture Trustee or any Authenticating
Agent or any paying agent or any transfer agent or any security registrar for
the Securities, in its individual or any other capacity, may become the owner
or pledgee of Securities with the same rights it would have if it were not
Debenture Trustee, Authenticating Agent, paying agent, transfer agent or
security registrar for the Securities.

 

SECTION 6.05.                      Moneys
to Be Held in Trust.

 

Subject to the provisions of Section 11.04,
all moneys received by the Debenture Trustee or any paying agent shall, until
used or applied as herein provided, be held in trust for the purpose for which
they were received, but need not be segregated from other funds except to the
extent required by law. The Debenture Trustee and any paying agent shall be
under no liability for interest on any money received by it hereunder except as
otherwise agreed in writing with the Corporation. So long as no Event of
Default shall have occurred and be continuing, all interest allowed on any such
moneys shall be paid from time to time upon the written order of the
Corporation, signed by the Chairman of the Board of Directors, the President or
a Vice President or the Treasurer or an Assistant Treasurer of the Corporation.

 

SECTION 6.06.                      Compensation
and Expenses of Debenture Trustee.

 

The Corporation, as issuer of Securities
under this Indenture, covenants and agrees to pay to the Debenture Trustee from
time to time, and the Debenture Trustee shall be entitled to, such compensation
as shall be agreed to in writing between the Corporation and the Debenture
Trustee (which shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust), and the Corporation will pay or
reimburse the Debenture Trustee upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Debenture Trustee in
accordance with any of the provisions of this Indenture (including the reasonable
compensation and the expenses and disbursements of its counsel and of all
persons not regularly in its employ) except any such expense, disbursement or
advance as may arise from its negligence or bad faith. The Corporation also
covenants to indemnify and defend each of the Debenture Trustee (including in
its individual capacity) and any predecessor Debenture Trustee (and its
officers, agents, directors and employees) for, and to hold it harmless
against, any and all loss, damage, claim, liability or expense including taxes
(other than taxes based on the income of the Debenture Trustee) incurred
without negligence or bad faith on the part of the Debenture Trustee and
arising out of or in connection with the acceptance or administration of this
trust, including advancement of the costs and expenses of defending itself
against any claim of liability in the premises. The obligations of the
Corporation under this Section 6.06 to compensate and indemnify the Debenture
Trustee and to pay or reimburse the Debenture Trustee for expenses,
disbursements and advances shall constitute additional indebtedness hereunder.
Such additional indebtedness shall be secured by a lien prior to that of the
Securities upon all property and funds held or collected by the Debenture Trustee
as such, except funds held in trust for the benefit of the holders of
particular Securities.

 

39

 

When the Debenture Trustee incurs expenses or
renders services in connection with an Event of Default specified in Section
5.01(e) or Section 5.01(f), the expenses (including the reasonable charges and
expenses of its counsel) and the compensation for the services are intended to
constitute expenses of administration under any applicable federal or state bankruptcy,
insolvency or other similar law.

 

The provisions of this Section shall survive
the resignation or removal of the Debenture Trustee and the defeasance or other
termination of this Indenture.

 

SECTION 6.07.                      Officers’
Certificate as Evidence.

 

Except as otherwise provided in Sections 6.01
and 6.02, whenever in the administration of the provisions of this Indenture
the Debenture Trustee shall deem it necessary or desirable that a matter be
proved or established prior to taking or omitting any action hereunder, such
matter (unless other evidence in respect thereof is herein specifically
prescribed) may, in the absence of negligence or bad faith on the part of the
Debenture Trustee, be deemed to be conclusively proved and established by an
Officers’ Certificate delivered to the Debenture Trustee, and such certificate,
in the absence of negligence or bad faith on the part of the Debenture Trustee,
shall be full warrant to the Debenture Trustee for any action taken or omitted
by it under the provisions of this Indenture upon the faith thereof.

 

SECTION 6.08.                      Conflicting
Interest of Debenture Trustee.

 

If the Debenture Trustee has or shall acquire
any “conflicting interest” within the meaning of Section 310(b) of the Trust
Indenture Act, the Debenture Trustee and the Corporation shall in all respects
comply with the provisions of Section 310(b) of the Trust Indenture Act.

 

SECTION 6.09.                      Eligibility
of Debenture Trustee.

 

The Debenture Trustee hereunder shall at all
times be a Person organized and doing business under the laws of the United
States of America or any state or territory thereof or the District of
Columbia, or a Person permitted to act as trustee by the Commission authorized
under such laws to exercise corporate trust powers, having a combined capital
and surplus of at least 50 million U.S. dollars ($50,000,000) and subject to
supervision or examination by federal, state, territorial, or District of
Columbia authority. If such Person publishes reports of condition at least
annually, pursuant to law or to the requirements of the aforesaid supervising
or examining authority, then for the purposes of this Section 6.09 the combined
capital and surplus of such Person shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published.

 

The Corporation may not, nor may any Person
directly or indirectly controlling, controlled by, or under common control with
the Corporation, serve as Debenture Trustee.

 

In case at any time the Debenture Trustee
shall cease to be eligible in accordance with the provisions of this Section
6.09, the Debenture Trustee shall resign immediately in the manner and with the
effect specified in Section 6.10.

 

40

 

Notwithstanding an provision in this
Indenture to the contrary, the Person serving as Debenture Trustee also may
serve as Institutional Administrative Trustee under the Declaration.

 

SECTION 6.10.                      Resignation
or Removal of Debenture Trustee.

 

(a)           The
Debenture Trustee, or any trustee or trustees hereafter appointed, may at any
time resign by giving written notice of such resignation to the Corporation and
by mailing notice thereof to the holders of the Securities at their addresses
as they shall appear on the Security Register. Upon receiving such notice of
resignation, the Corporation shall promptly appoint a successor trustee or
trustees by written instrument, in duplicate, one copy of which instrument
shall be delivered to the resigning Debenture Trustee and one copy to the successor
trustee. If no successor trustee shall have been so appointed and have accepted
appointment within 60 days after the mailing of such notice of resignation to
the affected Securityholders, the resigning Debenture Trustee, at the expense
of the Corporation, may petition any court of competent jurisdiction for the
appointment of a successor trustee, or any Securityholder who has been a bona
fide holder of a Security for at least six months may, subject to the
provisions of Section 5.09, on behalf of himself and all others similarly
situated, petition any such court for the appointment of a successor trustee.
Such court may thereupon, after such notice, if any, as it may deem proper and
prescribe, appoint a successor trustee.

 

(b)           In
case at any time any of the following shall occur:

 

(i)            the Debenture Trustee
shall fail to comply with the provisions of Section 6.08 after written request
therefor by the Corporation or by any Securityholder who has been a bonafide
holder of a Security or Securities for at least six months, or

 

(ii)           the Debenture Trustee
shall cease to be eligible in accordance with the provisions of Section 6.09
and shall fail to resign after written request therefor by the Corporation or
by any such Securityholder, or

 

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

 

then, in any such case, the Corporation may
remove the Debenture Trustee and appoint a successor trustee by written
instrument, in duplicate, one copy of which instrument shall be delivered to
the Debenture Trustee so removed and one copy to the successor trustee, or,
subject to the provisions of Section 5.09, any Securityholder who has been a
bona fide holder of a Security for at least six months may, on behalf of
himself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Debenture Trustee and the appointment of a
successor trustee. Such court may thereupon, after such notice, if any, as it
may deem proper and prescribe, remove the Debenture Trustee and appoint a
successor trustee.

 

(c)           The
holders of a majority in aggregate principal amount of the Securities at the
time outstanding may at any time remove the Debenture Trustee and nominate a
successor trustee, which shall be deemed appointed as successor trustee unless
within 10 days after such

 

41

 

nomination the Corporation objects thereto, or if no successor trustee
shall have been so appointed and shall have accepted appointment within 30 days
after such removal, in which case the Debenture Trustee so removed or any
Securityholder, upon the terms and conditions and otherwise as in Section
6.10(a) provided, may petition any court of competent jurisdiction for an
appointment of a successor trustee.

 

(d)           Any
resignation or removal of the Debenture Trustee and appointment of a successor
trustee pursuant to any of the provisions of this Section 6.10 shall become
effective upon acceptance of appointment by the successor trustee as provided
in Section 6.11.

 

(e)           Notwithstanding
replacement of the Debenture Trustee pursuant to this Section 6.10, the
Corporation’s obligations under Section 6.06 shall continue for the benefit of
the retiring Debenture Trustee.

 

SECTION 6.11.                      Acceptance
by Successor Debenture Trustee.

 

Any successor trustee appointed as provided
in Section 6.10 shall execute, acknowledge and deliver to the Corporation and
to its predecessor trustee an instrument accepting such appointment hereunder,
and thereupon the resignation or removal of the retiring trustee shall become
effective and such successor trustee, without any further act, deed or
conveyance, shall become vested with all the rights, powers, duties and
obligations of its predecessor hereunder, with like effect as if originally
named as trustee herein; but, nevertheless, on the written request of the
Corporation or of the successor trustee, the trustee ceasing to act shall, upon
payment of any amounts then due it pursuant to the provisions of Section 6.06,
execute and deliver an instrument transferring to such successor trustee all
the rights and powers of the trustee so ceasing to act and shall duly assign,
transfer and deliver to such successor trustee all property and money held by
such retiring trustee thereunder. Upon request of any such successor trustee,
the Corporation shall execute any and all instruments in writing for more fully
and certainly vesting in and confirming to such successor trustee all such
rights and powers. Any trustee ceasing to act shall, nevertheless, retain a
lien upon all property or funds held or collected by such trustee to secure any
amounts then due it pursuant to the provisions of Section 6.06.

 

No successor trustee shall accept appointment
as provided in this Section 6.11 unless at the time of such acceptance such
successor trustee shall be qualified under the provisions of Section 6.08 and
eligible under the provisions of Section 6.09.

 

Upon acceptance of appointment by a successor
trustee as provided in this Section 6.11, the Corporation shall mail notice of
the succession of such trustee hereunder to the holders of Securities at their
addresses as they shall appear on the Security Register. If the Corporation
fails to mail such notice within 10 days after the acceptance of appointment by
the successor trustee, the successor trustee shall cause such notice to be
mailed at the expense of the Corporation.

 

SECTION 6.12.                      Succession
by Merger, Etc.

 

Any Person into which the Debenture Trustee
may be merged or converted or with which it may be consolidated, or any Person
resulting from any merger, conversion or consolidation to which the Debenture
Trustee shall be a party, or any Person succeeding to all or substantially all
of the corporate trust business of the Debenture

 

42

 

Trustee, shall be the successor
of the Debenture Trustee hereunder without the execution or filing of any paper
or any further act on the part of any of the parties hereto.

 

In case at the time such successor to the
Debenture Trustee shall succeed to the trusts created by this Indenture any
Securities shall have been authenticated but not delivered, any such successor
to the Debenture Trustee may adopt the certificate of authentication of any
predecessor trustee, and deliver such Securities so authenticated; and in case
at that time any of the Securities shall not have been authenticated, any
successor to the Debenture Trustee may authenticate such Securities either in
the name of any predecessor hereunder or in the name of the successor trustee;
and in all such cases such certificates shall have the full force which the
Securities or this Indenture elsewhere provides that the certificate of the
Debenture Trustee shall have; provided, however,
that the right to adopt the certificate of authentication of any predecessor
Debenture Trustee or authenticate Securities in the name of any predecessor
Debenture Trustee shall apply only to its successor or successors by merger,
conversion or consolidation.

 

SECTION 6.13.                      Limitation
on Rights of Debenture Trustee as a Creditor.

 

The Debenture Trustee shall comply with
Section 311(a) of the Trust Indenture Act, excluding any creditor relationship
described in Section 311(b) of the Trust Indenture Act. A Debenture Trustee who
has resigned or been removed shall be subject to Section 311(a) of the Trust
Indenture Act to the extent included therein.

 

SECTION 6.14.                      Co-trustees
and Separate Trustees.

 

At any time or times, at the expense of the
Corporation and for the purpose of meeting the legal requirements of any
applicable jurisdiction, the Corporation and the Debenture Trustee shall have
power to appoint, and, upon the written request of the Debenture Trustee or of
the holders of at least 25% in principal amount of the Securities then outstanding,
the Corporation shall for such purpose join with the Debenture Trustee in the
execution and delivery of all instruments and agreements necessary or proper to
appoint, one or more Persons approved by the Debenture Trustee, or to act as
separate trustee, jointly with the Debenture Trustee, or to act as separate
trustee, in either case with such powers as may be provided in the instrument
of appointment, and to vest in such Person or Persons, in the capacity
aforesaid, any property, title, right or power deemed necessary or desirable,
subject to the other provisions of this Section. If the Corporation does not
join in such appointment within 15 days after the receipt by it of a request so
to do, or if an Event of Default shall have occurred and be continuing, the
Debenture Trustee alone shall have power to make such appointment.

 

Should any written instrument or instruments
from the Corporation be required by any co-trustee or separate trustee so
appointed to more fully confirm to such co-trustee or separate trustee such
property, title, right or power, any and all such instruments shall, on
request, be executed, acknowledged and delivered by the Corporation.

 

Every co-trustee or separate trustee shall,
to the extent permitted by law, but to such extent only, be appointed subject
to the following conditions:

 

(a)           the
Securities shall be authenticated and delivered, and all rights, powers, duties
and obligations hereunder in respect of the custody of securities, cash and
other personal

 

43

 

property held by, or required to be deposited or pledged with, the
Debenture Trustee hereunder, shall be exercised solely, by the Debenture
Trustee;

 

(b)           the
rights, powers, duties and obligations hereby conferred or imposed upon the
Debenture Trustee in respect of any property covered by such appointment shall
be conferred or imposed upon and exercised or performed either by the Debenture
Trustee or by the Debenture Trustee and such co-trustee or separate trustee
jointly, as shall be provided in the instrument appointing such co-trustee or
separate trustee, except to the extent that under any law of any jurisdiction
in which any particular act is to be performed, the Debenture Trustee shall be
incompetent or unqualified to perform such act, in which event such rights,
powers, duties and obligations shall be exercised and performed by such
co-trustee or separate trustee;

 

(c)           the
Debenture Trustee at any time, by an instrument in writing executed by it, with
the concurrence of the Corporation, may accept the resignation of or remove any
co-trustee or separate trustee appointed under this Section, and, if an Event
of Default shall have occurred and be continuing, the Debenture Trustee shall
have power to accept the resignation of, or remove, any such co-trustee or
separate trustee without the concurrence of the Corporation. Upon the written
request of the Debenture Trustee, the Corporation shall join with the Debenture
Trustee in the execution and delivery of all instruments and agreements,
necessary or proper to effectuate such resignation or removal. A successor to
any co-trustee or separate trustee so resigned or removed may be appointed in
the manner provided in this Section;

 

(d)           no
co-trustee or separate trustee hereunder shall be personally liable by reason
of any act or omission of the Debenture Trustee, or any other such trustee
hereunder; and

 

(e)           any
notice from the holders of Securities delivered to the Debenture Trustee shall
be deemed to have been delivered to each such co-trustee and separate trustee.

 

SECTION 6.15.                      Authenticating
Agents.

 

There may be one or more Authenticating
Agents appointed by the Debenture Trustee upon the request of the Corporation
with power to act on its behalf and subject to its direction in the
authentication and delivery of Securities issued upon exchange or transfer
thereof as fully to all intents and purposes as though any such Authenticating
Agent had been expressly authorized to authenticate and deliver Securities; provided that the Debenture Trustee shall have no liability
to the Corporation for any acts or omissions of the Authenticating Agent with
respect to the authentication and delivery of Securities. Any such
Authenticating Agent shall at all times be a corporation organized and doing
business under the laws of the United States or of any state or territory
thereof or of the District of Columbia authorized under such laws to act as
Authenticating Agent, having a combined capital and surplus of at least
$5,000,000 and being subject to supervision or examination by federal, state,
territorial or District of Columbia authority. If such corporation publishes
reports of condition at least annually pursuant to law or the requirements of
such authority, then for the purposes of this Section 6.15 the combined capital
and surplus of such corporation shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published. If at
any time an Authenticating Agent shall cease to be eligible in accordance with
the provisions of this Section, it shall resign immediately in the manner and
with the effect herein specified in this Section.

 

44

 

Any corporation into which any Authenticating
Agent may be merged or converted or with which it may be consolidated, or any
corporation resulting from any merger, consolidation or conversion to which any
Authenticating Agent shall be a party, or any corporation succeeding to the
corporate trust business of any Authenticating Agent, shall be the successor of
such Authenticating Agent hereunder, if such successor corporation is otherwise
eligible under this Section 6.15 without the execution or filing of any paper
or any further act on the part of the parties hereto or such Authenticating
Agent.

 

Any Authenticating Agent may at any time
resign by giving written notice of resignation to the Debenture Trustee and to
the Corporation. The Debenture Trustee may at any time terminate the agency of
any Authenticating Agent by giving written notice of termination to such
Authenticating Agent and to the Corporation. Upon receiving such a notice of
resignation or upon such a termination, or in case at any time any Authenticating
Agent shall cease to be eligible under this Section 6.15, the Debenture Trustee
may, and upon the request of the Corporation shall, promptly appoint a
successor Authenticating Agent eligible under this Section 6.15, shall give
written notice of such appointment to the Corporation and the Corporation shall
mail notice of such appointment to all Securityholders as the names and
addresses of such holders appear on the Security Register. Any successor
Authenticating Agent upon acceptance of its appointment hereunder shall become
vested with all rights, powers, duties and responsibilities of its predecessor
hereunder, with like effect as if originally named as Authenticating Agent
herein.

 

The Corporation, as borrower, agrees to pay
to any Authenticating Agent from time to time reasonable compensation for its
services. Any Authenticating Agent shall have no responsibility or liability
for any action taken by it as such in accordance with the directions of the
Debenture Trustee.

 

ARTICLE VII

CONCERNING THE SECURITYHOLDERS

 

SECTION 7.01.                      Action
by Securityholders.

 

Whenever in this Indenture it is provided
that the holders of a specified percentage in aggregate principal amount of the
Securities may take any action (including the making of any demand or request,
the giving of any notice, consent or waiver or the taking of any other action),
the fact that at the time of taking any such action the holders of such
specified percentage have joined therein may be evidenced (a) by any instrument
or any number of instruments of similar tenor executed by such Securityholders
in person or by agent or proxy appointed in writing, or (b) by the record of
such holders of Securities voting in favor thereof at any meeting of such
Securityholders duly called and held in accordance with the provisions of
Article VIII, or (c) by a combination of such instrument or instruments and any
such record of such a meeting of such Securityholders.

 

If the Corporation shall solicit from the
Securityholders any request, demand, authorization, direction, notice, consent,
waiver or other action, the Corporation may, at its option, as evidenced by an
Officers’ Certificate, fix in advance a record date for the determination of
Securityholders entitled to give such request, demand, authorization,
direction,

 

45

 

notice, consent, waiver or
other action, but the Corporation shall have no obligation to do so. If such a
record date is fixed, such request, demand, authorization, direction, notice,
consent, waiver or other action may be given before or after the record date,
but only the Securityholders of record at the close of business on the record
date shall be deemed to be Securityholders for the purposes of determining
whether Securityholders of the requisite proportion of outstanding Securities
have authorized or agreed or consented to such request, demand, authorization,
direction, notice, consent, waiver or other action, and for that purpose the
outstanding Securities shall be computed as of the record date; provided, however, that no such authorization, agreement or
consent by such Securityholders on the record date shall be deemed effective
unless it shall become effective pursuant to the provisions of this Indenture
not later than six months after the record date.

 

SECTION 7.02.                      Proof
of Execution by Securityholders.

 

Subject to the provisions of Section 6.01,
6.02 and 8.05, proof of the execution of any instrument by a Securityholder or
his agent or proxy shall be sufficient if made in accordance with such
reasonable rules and regulations as may be prescribed by the Debenture Trustee
or in such manner as shall be satisfactory to the Debenture Trustee. The
ownership of Securities shall be proved by the Security Register or by a
certificate of the security registrar for the Securities. The Debenture Trustee
may require such additional proof of any matter referred to in this Section
7.02 as it shall deem necessary.

 

The record of any Securityholders’ meeting
shall be proved in the manner provided in Section 8.06.

 

SECTION 7.03.                      Who
Are Deemed Absolute Owners.

 

Prior to due presentment for registration of
transfer of any Security, the Corporation, the Debenture Trustee, any
Authenticating Agent, any paying agent, any transfer agent and any security registrar
for the Securities may deem the person in whose name such Security shall be
registered upon the Security Register to be, and may treat him as, the absolute
owner of such Security (whether or not such Security shall be overdue) for the
purpose of receiving payment of or on account of the principal of and (subject
to Section 2.05) Interest on such Security and for all other purposes; and
neither the Corporation nor the Debenture Trustee nor any Authenticating Agent
nor any paying agent nor any transfer agent nor any security registrar for the
Securities shall be affected by any notice to the contrary. All such payments
so made to any holder for the time being or upon his order shall be valid, and,
to the extent of the sum or sums so paid, effectual to satisfy and discharge
the liability for moneys payable upon any such Security.

 

SECTION 7.04.                      Securities
Owned by Corporation Deemed Not Outstanding.

 

In determining whether the holders of the
requisite aggregate principal amount of Securities have concurred in any
direction, consent or waiver under this Indenture, Securities which are owned
by the Corporation or any other obligor on the Securities or by any Person
directly or indirectly controlling or controlled by or under direct or indirect
common control with the Corporation or any other obligor on the Securities
shall be disregarded and deemed not to be outstanding for the purpose of any
such determination; provided that for the purposes of

 

46

 

determining whether the
Debenture Trustee shall be protected in relying on any such direction, consent
or waiver, only Securities which a Responsible Officer of the Debenture Trustee
actually knows are so owned shall be so disregarded. Securities so owned which have
been pledged in good faith may be regarded as outstanding for the purposes of
this Section 7.04 if the pledgee shall establish to the satisfaction of the
Debenture Trustee the pledgee’s right to vote such Securities and that the
pledgee is not the Corporation or any such other obligor or Person directly or
indirectly controlling or controlled by or under direct or indirect common
control with the Corporation or any such other obligor. In the case of a
dispute as to such right, any decision by the Debenture Trustee taken upon the
advice of counsel shall be full protection to the Debenture Trustee.

 

SECTION 7.05.                      Revocation
of Consents; Future Holders Bound.

 

At any time prior to (but not after) the
evidencing to the Debenture Trustee, as provided in Section 7.01, of the taking
of any action by the holders of the percentage in aggregate principal amount of
the Securities specified in this Indenture in connection with such action, any
holder of a Security (or any Security issued in whole or in part in exchange or
substitution therefor), subject to Section 7.01, the serial number of which is
shown by the evidence to be included in the group of Securities the holders of
which have consented to such action may, by filing written notice with the
Debenture Trustee at its principal office and upon proof of holding as provided
in Section 7.02, revoke such action so far as concerns such Security (or so far
as concerns the principal amount represented by any exchanged or substituted
Security). Except as aforesaid any such action taken by the holder of any
Security shall be conclusive and binding upon such holder and upon all future
holders and owners of such Security, and of any Security issued in exchange or
substitution therefor, irrespective of whether or not any notation in regard
thereto is made upon such Security or any Security issued in exchange or
substitution therefor.

 

ARTICLE VIII

SECURITYHOLDERS’ MEETINGS

 

SECTION 8.01.                      Purposes
of Meetings.

 

A meeting of Securityholders may be called at
any time and from time to time pursuant to the provisions of this Article VIII
for any of the following purposes:

 

(a)           to
give any notice to the Corporation or to the Debenture Trustee, or to give any
directions to the Debenture Trustee, or to consent to the waiving of any Default
hereunder and its consequences, or to take any other action authorized to be
taken by Securityholders pursuant to any of the provisions of Article V;

 

(b)           to
remove the Debenture Trustee and nominate a successor trustee pursuant to the
provisions of Article VI;

 

(c)           to
consent to the execution of an indenture or indentures supplemental hereto
pursuant to the provisions of Section 9.02; or

 

47

 

(d)           to
take any other action authorized to be taken by or on behalf of the holders of
any specified aggregate principal amount of such Securities under any other
provision of this Indenture or under applicable law.

 

SECTION 8.02.                      Call
of Meetings by Debenture Trustee.

 

The Debenture Trustee may at any time call a
meeting of Securityholders to take any action specified in Section 8.01, to be
held at such time and at such place in New York, New York, as the Debenture
Trustee shall determine. Notice of every meeting of the Securityholders,
setting forth the time and the place of such meeting and in general terms the
action proposed to be taken at such meeting, shall be mailed to holders of
Securities at their addresses as they shall appear on the Securities Register.
Such notice shall be mailed not less than 20 nor more than 180 days prior to
the date fixed for the meeting.

 

SECTION 8.03.                      Call
of Meetings by Corporation or Securityholders.

 

In case at any time the Corporation, pursuant
to a resolution of the Board of Directors, or the holders of at least 25% in
aggregate principal amount of the Securities then outstanding, shall have
requested the Debenture Trustee to call a meeting of Securityholders, by
written request setting forth in reasonable detail the action proposed to be
taken at the meeting, and the Debenture Trustee shall not have mailed the
notice of such meeting within 20 days after receipt of such request, then the
Corporation or such Securityholders may determine the time and the place in New
York, New York for such meeting and may call such meeting to take any action
authorized in Section 8.01, by mailing notice thereof as provided in Section
8.02.

 

SECTION 8.04.                      Qualifications
for Voting.

 

To be entitled to vote at any meeting of
Securityholders a Person shall (a) be a holder of one or more Securities or (b)
a Person appointed by an instrument in writing as proxy by a holder of one or
more Securities. The only Persons who shall be entitled to be present or to
speak at any meeting of Securityholders shall be the Persons entitled to vote
at such meeting and their counsel and any representatives of the Debenture
Trustee and its counsel and any representatives of the Corporation and its
counsel.

 

SECTION 8.05.                      Regulations.

 

Notwithstanding any other provisions of this
Indenture, the Debenture Trustee may make such reasonable regulations as it may
deem advisable for any meeting of Securityholders, in regard to proof of the
holding of Securities and of the appointment of proxies, and in regard to the
appointment and duties of inspectors of votes, the submission and examination
of proxies, certificates and other evidence of the right to vote, and such
other matters concerning the conduct of the meeting as it shall think fit.

 

The Debenture Trustee shall, by an instrument
in writing, appoint a temporary chairman of the meeting, unless the meeting
shall have been called by the Corporation or by Securityholders as provided in
Section 8.03, in which case the Corporation or the Securityholders calling the
meeting, as the case may be, shall in like manner appoint a temporary

 

48

 

chairman. A permanent chairman
and a permanent secretary of the meeting shall be elected by majority vote of
the meeting.

 

Subject to the provisions of Section 8.04, at
any meeting each holder of Securities or proxy therefor shall be entitled to
one vote for each $50.00 principal amount of Securities held or represented by
him; provided, however, that no vote shall be
cast or counted at any meeting in respect of any Security challenged as not
outstanding and ruled by the chairman of the meeting to be not outstanding. The
chairman of the meeting shall have no right to vote other than by virtue of
Securities held by him or instruments in writing as aforesaid duly designating
him as the person to vote on behalf of other Securityholders. Any meeting of
Securityholders duly called pursuant to the provisions of Section 8.02 or 8.03
may be adjourned from time to time by a majority of those present, and the
meeting may be held as so adjourned without further notice.

 

SECTION 8.06.                      Voting.

 

The vote upon any resolution submitted to any
meeting of holders of Securities shall be by written ballots on which shall be
subscribed the signatures of such holders or of their representatives by proxy
and the serial number or numbers of the Securities held or represented by them.
The permanent chairman of the meeting shall appoint two inspectors of votes who
shall count all votes cast at the meeting for or against any resolution and who
shall make and file with the secretary of the meeting their verified written
reports in triplicate of all votes cast at the meeting. A record in duplicate
of the proceedings of each meeting of Securityholders shall be prepared by the
secretary of the meeting and there shall be attached to said record the
original reports of the inspectors of votes on any vote by ballot taken thereat
and affidavits by one or more persons having knowledge of the facts setting
forth a copy of the notice of the meeting and showing that said notice was
mailed as provided in Section 8.02. The record shall show the serial numbers of
the Securities voting in favor of or against any resolution. The record shall
be signed and verified by the affidavits of the permanent chairman and
secretary of the meeting and one of the duplicates shall be delivered to the
Corporation and the other to the Debenture Trustee to be preserved by the
Debenture Trustee, the latter to have attached thereto the ballots voted at the
meeting.

 

Any record so signed and verified shall be
conclusive evidence of the matters therein stated.

 

ARTICLE IX

AMENDMENTS

 

SECTION 9.01.                      Without
Consent of Securityholders.

 

The Corporation, when authorized by a Board
Resolution, and the Debenture Trustee may from time to time and at any time
amend the Indenture, without the consent of the Securityholders, for one or
more of the following purposes:

 

(a)           to
evidence the succession of another Person to the Corporation, or successive
successions, and the assumption by the successor Person of the covenants,
agreements and obligations of the Corporation pursuant to Article X;

 

49

 

(b)           to
add additional Events of Default or to add to the covenants of the Corporation
such further covenants, restrictions or conditions for the protection of the
Securityholders as the Board of Directors and the Debenture Trustee shall
consider to be for the protection of the Securityholders, and to make the
occurrence, or the occurrence and continuance, of a default in any of such
additional covenants, restrictions or conditions a Default or an Event of
Default permitting the enforcement of all or any of the remedies provided in
this Indenture as herein set forth; provided, however,
that in respect of any such additional covenant, restriction or condition such
amendment may provide for a particular period of grace after default (which
period may be shorter or longer than that allowed in the case of other
defaults) or may provide for an immediate enforcement upon such default or may
limit the remedies available to the Debenture Trustee upon such default;

 

(c)           to
provide for the issuance under this Indenture of Securities in coupon form
(including Securities registrable as to principal only) and to provide for
exchangeability of such Securities with the Securities issued hereunder in
fully registered form and to make all appropriate changes for such purpose;

 

(d)           to
cure any ambiguity or to correct or supplement any provision contained herein
or in any supplemental indenture which may be defective or inconsistent with
any other provision contained herein or in any supplemental indenture, or to
make such other provisions in regard to matters or questions arising under this
Indenture;

 

(e)           to
evidence and provide for the acceptance of appointment hereunder by a successor
trustee with respect to the Securities;

 

(f)            to
make provision for transfer procedures, certification, book-entry provisions
and all other matters required pursuant to Section 2.07 or otherwise necessary,
desirable or appropriate in connection with the issuance of Securities to
holders of Preferred Securities in the event of a distribution of Securities by
the Trust following a Dissolution Event;

 

(g)           to
qualify or maintain qualification of this Indenture under the Trust Indenture
Act; or

 

(h)           to
ensure that the Trust is not required to register as an investment company
under the Investment Company Act; or

 

(i)            to
make any change that does not adversely affect the rights of any Securityholder
in any material respect;

 

provided that any
such amendment does not materially adversely affect the interests of
Securityholders or cause the Trust to be treated other than as a grantor trust
for United States federal income tax purposes.

 

The Debenture Trustee is hereby authorized to
join with the Corporation in the execution of any supplemental indenture to
effect such amendment, to make any further appropriate agreements and
stipulations which may be therein contained and to accept the conveyance,
transfer and assignment of any property thereunder, but the Debenture Trustee
shall not be obligated to, but may in its discretion, enter into any such
supplemental indenture which affects

 

50

 

the Debenture Trustee’s own
rights, duties, privileges or immunities under this Indenture or otherwise.

 

Any amendment to the Indenture authorized by
the provisions of this Section 9.01 may be executed by the Corporation and the
Debenture Trustee without the consent of the holders of any of the Securities
at the time outstanding, notwithstanding any of the provisions of Section 9.02.

 

SECTION 9.02.                      With
Consent of Securityholders.

 

With the consent (evidenced as provided in
Section 7.01) of the holders of a majority in aggregate principal amount of the
Securities at the time outstanding, the Corporation, when authorized by a Board
Resolution, and the Debenture Trustee may from time to time and at any time
amend the Indenture for the purpose of adding any provisions to or changing in
any manner or eliminating any of the provisions of this Indenture or of
modifying in any manner the rights of the holders of the Securities; provided, however, that no such amendment shall, without the
consent of the holders of each Security then outstanding and affected thereby
(i) change the Maturity Date of any Security, or reduce the principal amount
of, or any installment of principal of or Interest on the Securities; (ii)
reduce the rate or extend the time of payment of Interest (including Contingent
Interest, if any); (iii) change any of the provisions of Article XIV relating
to redemption; (iv) change the Conversion Rate except as provided in Section
17.03 and Section 17.04 with respect to adjustment of the Conversion Rate, or
otherwise change the right to convert the Securities in a manner that would be
adverse to Securityholders; (v) make the principal of, or Interest (including
Contingent Interest, if any) payment on, the Securities payable in any coin or
currency other than that provided herein; (vi) change any obligation of the
Corporation to maintain an office or agency in the places and for the purposes
required by the Indenture or change the place of payment where the Securities
or any Interest payment thereon is payable; (vii) impair or affect the right of
any holder of Securities to institute suit for the payment of the Securities as
provided herein; (viii) reduce the percentage of the principal amount of the
Securities required to consent to modify or amend the Indenture or for any
waiver of compliance with provisions of the Indenture as stated herein or for
waiver of Defaults as stated herein; (ix) make any change adverse to a Holder
with respect to the subordination provisions of Article XV; or (x) modify any
of the foregoing provisions; provided, however,
that if the Securities are held by the Trust, no such modification or amendment
referred to in clauses (i) through (x) shall be effective until the holders of
not less than a majority of the aggregate liquidation amount of the Trust
Securities shall have consented to such modification or amendment; and provided
further, however, that where a consent under the Indenture would require the
consent of Securityholders of more than a majority of the principal amount of
the Securities, such modification or amendment shall not be effective until the
holders of at least the same proportion in aggregate stated liquidation amount
of the Trust Securities shall have consented to such modification or amendment.

 

Upon the request of the Corporation
accompanied by a copy of a resolution of the Board of Directors certified by
its secretary or assistant secretary authorizing the execution of any
supplemental indenture effecting such amendment, and upon the filing with the
Debenture Trustee of evidence of the consent of Securityholders as aforesaid,
the Debenture Trustee shall join with the Corporation in the execution of such
supplemental indenture unless such

 

51

 

supplemental indenture affects
the Debenture Trustee’s own rights, duties, privileges or immunities under this
Indenture or otherwise, in which case the Debenture Trustee may in its
discretion, but shall not be obligated to, enter into such supplemental
indenture.

 

Promptly after the execution by the
Corporation and the Debenture Trustee of any supplemental indenture pursuant to
the provisions of this Section, the Debenture Trustee, at the expense of the
Corporation, shall transmit by mail, first-class postage prepaid, a notice,
prepared by the Corporation, setting forth in general terms the substance of
such supplemental indenture, to the Securityholders as their names and
addresses appear upon the Security Register. Any failure of the Debenture
Trustee to mail such notice, or any defect therein, shall not, however, in any
way impair or affect the validity of any such supplemental indenture.

 

It shall not be necessary for the consent of
the Securityholders under this Section 9.02 to approve the particular form of
any proposed supplemental indenture, but it shall be sufficient if such consent
shall approve the substance thereof.

 

SECTION 9.03.                      Compliance
with Trust Indenture Act; Effect of Supplemental Indentures.

 

Any supplemental indenture executed pursuant
to the provisions of this Article IX shall comply with the Trust Indenture Act.
Upon the execution of any supplemental indenture pursuant to the provisions of
this Article IX, this Indenture shall be and be deemed to be modified and
amended in accordance therewith and the respective rights, limitations of
rights, obligations, duties, privileges and immunities under this Indenture of
the Debenture Trustee, the Corporation and the holders of Securities shall
thereafter be determined, exercised and enforced hereunder subject in all
respects to such modifications and amendments, and all the terms and conditions
of any such supplemental indenture shall be and be deemed to be part of the
terms and conditions of this Indenture for any and all purposes.

 

SECTION 9.04.                      Notation
on Securities.

 

Securities authenticated and delivered after
the execution of any supplemental indenture affecting such Securities pursuant
to the provisions of this Article IX may bear a notation in form approved by
the Debenture Trustee as to any matter provided for in such supplemental
indenture. If the Corporation or the Debenture Trustee shall so determine, new
Securities so modified as to conform, in the opinion of the Debenture Trustee
and the Board of Directors, to any modification of this Indenture contained in
any such supplemental indenture may be prepared and executed by the Corporation,
authenticated by the Debenture Trustee or the Authenticating Agent and
delivered in exchange for the Securities then outstanding.

 

SECTION 9.05.                      Evidence
of Compliance of Supplemental Indenture to Be Furnished to Debenture Trustee.

 

The Debenture Trustee, subject to the
provisions of Sections 6.01 and 6.02, may receive an Officers’ Certificate and
an Opinion of Counsel as conclusive evidence that any supplemental indenture
executed pursuant hereto complies with the requirements of this Article IX.

 

52

 

ARTICLE X

CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE

 

SECTION 10.01.                    Corporation
May Consolidate, Etc., on Certain Terms.

 

The Corporation may not consolidate with or
merge into any other Person or convey, transfer or lease all or substantially
all of its assets to any Person, and no Person may consolidate with or merge
into the Corporation or convey, transfer or lease all or substantially all of
its assets to the Corporation, unless:

 

(1)           the
Corporation is the surviving Person, or the Person formed by or surviving any
such consolidation or merger (if other than the Corporation) or to which such
sale, conveyance, transfer or lease of property is made is a Person organized
and existing under the laws of the United States or any State thereof or the
District of Columbia;

 

(2)           upon
any such consolidation, merger, sale, conveyance, transfer or lease, the due
and punctual payment of the principal of and Interest (including Contingent
Interest, if any) on the Securities according to their tenor and the due and
punctual performance and observance of all the covenants and conditions of this
Indenture to be kept or performed by the Corporation shall be expressly
assumed, by supplemental indenture (which shall conform to the provisions of
the Trust Indenture Act as then in effect) satisfactory in form to the
Debenture Trustee executed and delivered to the Debenture Trustee by the Person
formed by such consolidation, or into which the Corporation shall have been
merged, or by the Person which shall have acquired such property or assets, as
the case may be; and

 

(3)           immediately
after giving effect to such consolidation, merger, sale, conveyance, transfer
or lease, no Default or Event of Default shall exist.

 

SECTION 10.02.                    Successor
Corporation to Be Substituted for Corporation.

 

In case of any such consolidation, merger,
conveyance or transfer and upon the assumption by the successor corporation, by
supplemental indenture, executed and delivered to the Debenture Trustee and
satisfactory in form to the Debenture Trustee, of the obligation of due and
punctual payment of the principal of and Interest (including Contingent
Interest, if any) on all of the Securities and the due and punctual performance
and observance of all of the covenants and conditions of this Indenture to be
performed or observed by the Corporation, such successor Person shall succeed
to and be substituted for the Corporation, with the same effect as if it had
been named herein as the party of the first part, and the Corporation thereupon
shall be relieved of any further liability or obligation hereunder or upon the
Securities. Such successor Person thereupon may cause to be signed, and may
issue either in its own name or in the name of Affiliated Managers Group, Inc.,
any or all of the Securities issuable hereunder which theretofore shall not
have been signed by the Corporation and delivered to the Debenture Trustee or
the Authenticating Agent; and, upon the order of such successor Person instead
of the Corporation and subject to all the terms, conditions and limitations in
this Indenture prescribed, the Debenture

 

53

 

Trustee or the Authenticating
Agent shall authenticate and deliver any Securities which previously shall have
been signed and delivered by the officers of the Corporation to the Debenture
Trustee or the Authenticating Agent for authentication, and any Securities
which such successor Person thereafter shall cause to be signed and delivered to
the Debenture Trustee or the Authenticating Agent for that purpose. All the
Securities so issued shall in all respects have the same legal rank and benefit
under this Indenture as the Securities theretofore or thereafter issued in
accordance with the terms of this Indenture as though all of such Securities had
been issued at the date of the execution hereof.

 

SECTION 10.03.                    Opinion
of Counsel to Be Given to Debenture Trustee.

 

The Debenture Trustee, subject to the
provisions of Sections 6.01 and 6.02, may receive an Opinion of Counsel as
conclusive evidence that any consolidation, merger, sale, conveyance, transfer
or lease, and any assumption, permitted or required by the terms of this
Article X complies with the provisions of this Article X.

 

ARTICLE XI

SATISFACTION AND DISCHARGE OF INDENTURE

 

SECTION 11.01.                    Discharge
of Indenture.

 

When (a) the Corporation shall deliver to the
Debenture Trustee for cancellation all Securities theretofore authenticated
(other than any Securities which shall have been destroyed, lost or stolen and
which shall have been replaced as provided in Section 2.07) and not theretofore
cancelled, or (b) all the Securities not theretofore cancelled or delivered to
the Debenture Trustee for cancellation shall have become due and payable, or
are by their terms to become due and payable within one year or are to be
called for redemption within one year under arrangements satisfactory to the
Debenture Trustee for the giving of notice of redemption, and the Corporation
shall deposit with the Debenture Trustee, in trust, funds sufficient to pay on
the Maturity Date or upon redemption all of the Securities (other than any
Securities which shall have been destroyed, lost or stolen and which shall have
been replaced as provided in Section 2.07) not theretofore cancelled or
delivered to the Debenture Trustee for cancellation, including principal and
Interest due or to become due to the Maturity Date or redemption date, as the
case may be, but excluding, however, the amount of any moneys for the payment
of principal of or Interest on the Securities (1) theretofore repaid to the
Corporation in accordance with the provisions of Section 11.04, or (2) paid to
any State or to the District of Columbia pursuant to its unclaimed property or
similar laws, and if in either case the Corporation shall also pay or cause to
be paid all other sums payable hereunder by the Corporation, then this
Indenture shall cease to be of further effect except for the provisions of
Sections 2.02, 2.03, 2.04, 2.06, 2.07, 2.10, 2.11, 3.01, 3.02, 3.04, 4.01,
4.02, 5.02, 5.04, 6.05, 6.06, 6.10 and 11.04, Article XVII and Article XVIII,
which shall survive until such Securities shall mature and be paid. Thereafter,
Sections 6.06, 6.10 and 11.04 shall survive, and the Debenture Trustee, on
demand of the Corporation accompanied by any Officers’ Certificate and an
Opinion of Counsel and at the cost and expense of the Corporation, shall
execute proper instruments acknowledging satisfaction of and discharging this
Indenture; the Corporation, however, hereby agrees to reimburse the Debenture
Trustee for any costs or expenses thereafter reasonably and properly incurred
by the Debenture Trustee in connection with this Indenture or the Securities.

 

54

 

SECTION 11.02.                    Deposited
Moneys and U.S. Government Obligations to Be Held in Trust by Debenture
Trustee.

 

Subject to the provisions of Section 11.04,
all moneys and U.S. Government Obligations deposited with the Debenture Trustee
pursuant to Sections 11.01 or 11.05 shall be held in trust and applied by it to
the payment, either directly or through any paying agent (including the
Corporation if acting as its own paying agent), to the holders of the
particular Securities for the payment of which such moneys or U.S. Government
Obligations have been deposited with the Debenture Trustee, of all sums due and
to become due thereon for principal and Interest.

 

The Corporation shall pay and indemnify the
Debenture Trustee against any tax, fee or other charge imposed on or assessed
against the U.S. Government Obligations deposited pursuant to Section 11.05 or
the principal and interest received in respect thereof other than any such tax,
fee or other charge which by law is for the account of the holders of outstanding
Securities.

 

SECTION 11.03.                    Paying
Agent to Repay Moneys Held.

 

Upon the satisfaction and discharge of this
Indenture all moneys then held by any paying agent of the Securities (other
than the Debenture Trustee) shall, upon written demand of the Corporation, be
repaid to it or paid to the Debenture Trustee, and thereupon such paying agent
shall be released from all further liability with respect to such moneys.

 

SECTION 11.04.                    Return
of Unclaimed Moneys.

 

Any moneys deposited with or paid to the
Debenture Trustee or any paying agent for payment of the principal of or
Interest on Securities and not applied but remaining unclaimed by the holders
of Securities for two years after the date upon which the principal of or
Interest on such Securities, as the case may be, shall have become due and
payable, shall be repaid to the Corporation by the Debenture Trustee or such
paying agent on written demand; and the holder of any of the Securities shall
thereafter look only to the Corporation for any payment which such holder may
be entitled to collect and all liability of the Debenture Trustee or such
paying agent with respect to such moneys shall thereupon cease.

 

SECTION 11.05.                    Defeasance
Upon Deposit of Moneys or U.S. Government Obligations.

 

The Corporation shall be deemed to have been
Discharged (as defined below) from its obligations with respect to the
Securities after the applicable conditions set forth below have been satisfied:

 

(a)           the
Corporation shall have deposited or caused to be deposited irrevocably with the
Debenture Trustee or the Defeasance Agent (as defined below) as trust funds in
trust, specifically pledged as security for, and dedicated solely to, the
benefit of the holders of the Securities (i) money in an amount, or (ii) U.S.
Government obligations which through the payment of interest and principal in
respect thereof in accordance with their terms will provide, not later than one
day before the due date of any payment, money in an amount, or (iii) a
combination of (i) and (ii), sufficient, in the opinion (with respect to (ii)
and (iii)) of a nationally recognized firm of independent public accountants
expressed in a written certification thereof

 

55

 

delivered to the Debenture Trustee and the Defeasance Agent, if any, to
pay and discharge each installment of principal of and Interest on the
outstanding Securities on the dates such installments of principal or Interest
are due;

 

(b)           no
Default or Event of Default (including as a result of such deposit) with
respect to the Securities shall have occurred and be continuing on the date of
such deposit;

 

(c)           such
deposit and the related intended consequence will not result in any default or
event of default under any material indenture, agreement or other instrument
binding upon the Corporation or its Subsidiaries or any of their properties;

 

(d)           the
Corporation shall have delivered to the Debenture Trustee and the Defeasance
Agent, if any, an opinion of independent tax counsel or a private letter ruling
issued by the Internal Revenue Service to the effect that holders of the
Securities will not recognize income, gain or loss for United States federal
income tax purposes as a result of the exercise of the option under this
Section 11.05 and will be subject to United States federal income tax on the
same amount and in the same manner and at the same times as would have been the
case if such option had not been exercised; and

 

(e)           the
Corporation shall have delivered to the Trustee and the Defeasance Agent, if
any, an Officer’s Certificate and an Opinion of Counsel each stating that all
conditions precedent herein provided for relating to the satisfaction and
discharge of this Indenture have been complied with.

 

“Discharged” means that the Corporation shall
be deemed to have paid and discharged the entire indebtedness represented by,
and obligations under, the Securities and to have satisfied all the obligations
under this Indenture relating to the Securities (and the Debenture Trustee, at
the expense of the Corporation, shall execute proper instruments acknowledging
the same), except (A) the rights of holders of Securities to receive, from the
trust fund described in clause (1) above, payment of the principal of and the
Interest on the Securities when such payments are due; (B) the Corporation’s
obligations with respect to the Securities under Sections 2.06, 2.07, 5.02,
5.04, 6.05 and 11.04 and Article XVII; and (C) the rights, powers, trusts,
duties, privileges and immunities of the Debenture Trustee hereunder.

 

“Defeasance Agent” means another financial
institution which is eligible to act as Debenture Trustee hereunder and which
assumes all of the obligations of the Debenture Trustee necessary to enable the
Debenture Trustee to act hereunder. In the event such a Defeasance Agent is
appointed pursuant to this Section, the following conditions shall apply:

 

(a)           The
Debenture Trustee shall have approval rights over the document appointing such
Defeasance Agent and the document setting forth such Defeasance Agent’s rights
and responsibilities; and

 

(b)           The
Defeasance Agent shall provide verification to the Debenture Trustee
acknowledging receipt of sufficient money and/or U.S. Government Obligations to
meet the applicable conditions set forth in this Section 11.05.

 

56

 

ARTICLE XII

IMMUNITY OF INCORPORATORS, STOCKHOLDERS,

OFFICERS AND DIRECTORS

 

SECTION 12.01.                    Indenture
and Securities Solely Corporate Obligations.

 

No recourse for the payment of the principal
of or Interest on any Security, or for any claim based thereon or otherwise in
respect thereof, and no recourse under or upon any obligation, covenant or
agreement of the Corporation in this Indenture, or in any Security, or because
of the creation of any indebtedness represented thereby, shall be had against
any incorporator, stockholder, officer or director, as such, past, present or
future, of the Corporation or of any successor Person to the Corporation,
either directly or through the Corporation or any successor Person to the
Corporation, whether by virtue of any constitution, statute or rule of law, or
by the enforcement of any assessment or penalty or otherwise; it being
expressly understood that all such liability is hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this
Indenture and the issue of the Securities.

 

ARTICLE XIII

PURCHASE AT THE OPTION OF HOLDER

UPON CHANGE IN CONTROL

 

SECTION 13.01.                    Repurchase
Right.

 

In the event that a Change in Control shall occur
while any of the Securities are outstanding, each Holder shall have the right
(the “Repurchase Right”), at the Holder’s option to require the Corporation to
repurchase, and upon the exercise of such right the Corporation shall
repurchase, all of such Holder’s Securities not theretofore called for
redemption, or any portion of the principal amount thereof that is equal to
$50.00 or any integral multiple thereof (provided that no single Security may
be repurchased in part unless the portion of the principal amount of such
Security to be outstanding after such repurchase is equal to $50.00 or integral
multiples thereof), on the date (the “Repurchase Date”) that is 60 days after
the effective date of the Change in Control at a purchase price equal to 100% of
the principal amount of the Securities to be repurchased, plus accrued and
unpaid Interest (including Deferred Interest and Contingent Interest, if any) to,
but excluding, the Repurchase Date (the “Repurchase Price”).

 

SECTION 13.02.                    Notices,
Method of Exercised Repurchase Right.

 

As promptly as practicable following the date
the Corporation publicly announces such transaction but in no event less than
15 days prior to the anticipated effective date of a Change in Control, the
Corporation shall give to all Holders of Securities notice of the Change in
Control transaction and of the Repurchase Right set forth herein arising as a
result thereof (the “Company Notice”). 
The Corporation shall also deliver a copy of such notice to the
Debenture Trustee, in its capacity as such and as Property Trustee.  Each notice of a Repurchase Right shall
state:

 

(i)            a brief description of
the event or events constituting the Change in Control and the Repurchase Date;

 

57

 

(ii)           the date by which the
Repurchase Right must be exercised, which shall be the second Business Day
prior to the Repurchase Date;

 

(iii)          the Repurchase Price;

 

(iv)          a description of the
procedure which a Holder must follow to exercise a Repurchase Right, and the
place or places where such Securities, are to be surrendered for payment of the
Repurchase Price and accrued and unpaid Interest, if any;

 

(v)           that on the Repurchase
Date the Repurchase Price and accrued and unpaid Interest, if any, will become
due and payable upon each such Security designated by the Holder to be
repurchased, and that Interest thereon shall cease to accrue on and after said
date;

 

(vi)          the Conversion Rate then
in effect and the place where such Securities may be surrendered for conversion;

 

(vii)         that the Repurchase
Notice is irrevocable and that Securities as to which a Repurchase Notice has
been given may not thereafter be converted;

 

(viii)        the place or places where
such Securities, together with the Repurchase Notice are to be delivered for
payment of the Repurchase Price and accrued and unpaid Interest, if any; and

 

(ix)           whether the Conversion
Rate will be increased by a number of Make-Whole Shares upon conversion in
accordance with the provisions of Section 17.04.

 

No failure of the Corporation to give the
foregoing notices or defect therein shall limit any Holder’s right to exercise
a Repurchase Right or affect the validity of the proceedings for the repurchase
of Securities.

 

SECTION 13.03.                    Repurchase
Date; Exercise of Right.

 

(a)           To
exercise the repurchase right set forth in this Article XIII in respect of all
or a portion of the Securities, the Securityholder thereof shall deliver to the
Corporation and Debenture Trustee, no later than the second Business Day prior
to the Repurchase Date, an irrevocable notice substantially in the form set
forth on the reverse of the form of Security attached as Exhibit A hereto (the “Repurchase
Notice”) setting forth the principal amount of Securities to be repurchased
and, if such Securities are in certificated form, surrender to the Debenture
Trustee the Securities to be repurchased, duly endorsed or assigned to the
Corporation or in blank. In addition, a holder of Preferred Securities may
exercise its right under the Trust Agreement to exchange such Preferred
Securities for Securities which shall be repurchased by the Corporation by
delivering to the Exchange Agent an irrevocable Notice of Repurchase Election (as
such term is defined in the Declaration) setting forth the information required
thereby and directing the Exchange Agent (i) to exchange such Preferred
Security for a portion of the Securities held by the Trust (at an exchange rate
of $50.00 principal amount of Securities for each Preferred Security), and (ii)
to immediately require the Corporation to repurchase such Securities on the
Repurchase Date, on behalf of such holder of Preferred Securities pursuant to

 

58

 

this Article XIII and, if such Preferred Securities are in certificated
form, surrendering such Preferred Securities, duly endorsed or assigned to the
Corporation or in blank. So long as any Preferred Securities are outstanding,
the Trust shall not exercise the Repurchase Right in respect of any Securities
except pursuant to a Notice of Repurchase Election delivered to the Exchange
Agent by a holder of Preferred Securities.

 

(b)           In
the event a Repurchase Right shall be exercised in accordance with the terms
hereof, the Corporation shall pay or cause to be paid to the Debenture Trustee
the Repurchase Price in cash, as provided above, for payment to the Holder on
the Repurchase Date, together with accrued and unpaid Interest (including
Deferred Interest and Contingent Interest, if any)  to the Repurchase Date payable in cash with
respect to the Securities as to which the Repurchase Right has been exercised.

 

(c)           If
any Security (or portion thereof) surrendered for repurchase shall not be so
paid on the Repurchase Date, the principal amount of such Security (or portion
thereof, as the case may be) shall, until paid, bear Interest to the extent
permitted by applicable law from the Repurchase Date at the rate of Interest on
the Security.

 

Any Security which is to be repurchased only
in part shall be surrendered to the Debenture Trustee (with, if the Corporation
or the Debenture Trustee so requires, due endorsement by, or a written
instrument of transfer in form satisfactory to the Corporation and the Debenture
Trustee duly executed by the Holder thereof or his attorney duly authorized in
writing), and the Corporation shall execute, and the Debenture Trustee shall
authenticate and make available for delivery to the Holder of such Security
without service charge, a new Security or Securities, containing identical
terms and conditions, each in an authorized denomination in aggregate principal
amount equal to and in exchange for the unrepurchased portion of the principal
of the Security so surrendered.

 

The Corporation shall comply with the
requirements of the Securities Exchange Act of 1934 and any other securities
laws and regulations thereunder to the extent such laws and regulations are
applicable in connection with the repurchase of the Securities as a result of a
Change in Control.

 

ARTICLE XIV

REDEMPTION OF SECURITIES

 

SECTION 14.01.                    Special
Event Redemption.

 

If, a Special Event that adversely affects
the status of the Trust, the Preferred Securities or the Securities has
occurred and is continuing, the Corporation shall have the right, at any time
following the occurrence of such Special Event, upon (i) not less than 45 days
written notice to the Debenture Trustee and (ii) not less than 20 days nor more
than 60 days written notice to the Securityholders, to redeem the Securities,
in whole (but not in part), at the Redemption Price. The Redemption Price shall
be paid prior to 12:00 noon, New York City time, on the date of such redemption
or such earlier time as the Corporation determines, provided that the
Corporation shall deposit with the Debenture Trustee an amount sufficient to
pay the

 

59

 

Redemption Price by 10:00 a.m.,
New York City time, on the date such Redemption Price is to be paid.

 

SECTION 14.02.                    Optional
Redemption by Corporation.

 

Subject to Section 14.01, the Securities
shall not be redeemable at the option of the Corporation prior to April 15,
2011.  The Corporation shall have the
right to redeem the Securities, in whole or in part, on one or more occasions
at any time on or after April 15, 2011 if the Closing Price of the Common Stock
for 20 Trading Days in a period of 30 consecutive Trading Days ending on the
Trading Day prior to the mailing of the notice of redemption exceeds 130% of
the then prevailing Conversion Price.

 

If the Securities are only partially redeemed
pursuant to this Section 14.02, the Securities to be redeemed shall be selected
on a pro rata basis not more than 60 days prior to the date fixed for
redemption from the outstanding Securities not previously called for
redemption, provided, however, that with respect to
Securityholders that would be required to hold Securities with an aggregate
principal amount of less than $5,000 but more than an aggregate principal
amount of zero as a result of such pro rata redemption, the Corporation shall
redeem Securities of each such Securityholder so that after such redemption
such Securityholder shall hold Securities either with an aggregate principal
amount of at least $5,000 or such Securityholder no longer holds any
Securities, and shall use such method (including, without limitation, by lot)
as the Corporation shall deem fair and appropriate, provided
further that any such proration may be made on the basis of the
aggregate principal amount of Securities held by each Securityholder and may be
made by making such adjustments as the Corporation deems fair and appropriate
in order that only Securities in denominations of $50.00 or integral multiples
thereof shall be redeemed. The Redemption Price shall be paid prior to 12:00
noon, New York City time, on the date of such redemption or at such earlier
time as the Corporation determines, provided that the Corporation shall deposit
with the Debenture Trustee an amount sufficient to pay the Redemption Price by
10:00 a.m., New York City time, on the date such Redemption Price is to be
paid.

 

SECTION 14.03.                    No
Sinking Fund.

 

The Securities are not entitled to the
benefit of any sinking fund.

 

SECTION 14.04.                    Notice
of Redemption; Selection of Securities.

 

In case the Corporation shall desire to
exercise the right to redeem all, or, as the case may be, any part of the
Securities in accordance with their terms, it shall fix a date for redemption
and shall mail a notice of such redemption at least 20 and not more than 60
days prior to the date fixed for redemption to the holders of Securities to be
so redeemed as a whole or in part at their last addresses as the same appear on
the Security Register. For purposes of the calculation of the date of
redemption and the dates on which notices are given pursuant to this Section
14.04, a redemption notice shall be deemed to be given on the day such notice
is first mailed by first-class mail, postage prepaid, to holders. The notice if
mailed in the manner herein provided shall be conclusively presumed to have
been duly given, whether or not the holder receives such notice. In any case,
failure to give such notice by mail or any defect in the notice to the holder
of any

 

60

 

Security designated for
redemption as a whole or in part shall not affect the validity of the
proceedings for the redemption of any other Security.

 

Each such notice of redemption shall specify
the CUSIP number of the Securities to be redeemed, the date fixed for
redemption, the Redemption Price at which the Securities are to be redeemed (or
the method by which such Redemption Price is to be calculated), the place or
places of payment that payment will be made upon presentation and surrender of
the Securities, that Interest accrued to the date fixed for redemption will be
paid as specified in said notice, that on and after said date Interest thereon
or on the portions thereof to be redeemed will cease to accrue, the
then-current Conversion Price, the name and address of the Paying Agent and the
Conversion Agent, that the Securities called for redemption may be converted at
any time before 5:00 p.m. New York City time on the Business Day immediately
preceding the redemption date and that Securityholders who wish to convert
Securities must satisfy the requirements in the Indenture and the Securities.
If less than all the Securities are to be redeemed, the notice of redemption
shall specify the numbers of the Securities to be redeemed. In case any
Security is to be redeemed in part only, the notice of redemption shall state
the portion of the principal amount thereof to be redeemed and shall state that
on and after the date fixed for redemption, upon surrender of such Security, a
new Security or Securities in principal amount equal to the portion thereof
that has not been redeemed will be issued.

 

By 10:00 a.m. New York City time on the
redemption date specified in the notice of redemption given as provided in this
Section, the Corporation will deposit with the Debenture Trustee or with one or
more paying agents an amount of money sufficient to redeem on the redemption
date all the Securities so called for redemption at the appropriate Redemption
Price.

 

The Corporation will give the Debenture
Trustee notice not less than 45 days prior to the redemption date as to the
aggregate principal amount of Securities to be redeemed and the Debenture
Trustee shall select, in such manner as in its sole discretion it shall deem
appropriate and fair, the Securities or portions thereof (in integral multiples
of $50.00, except as otherwise set forth in the applicable form of Security) to
be redeemed.

 

SECTION 14.05.                    Payment
of Securities Called for Redemption.

 

If notice of redemption has been given to
Securityholders as provided in Section 14.04, the Securities or portions of
Securities with respect to which such notice has been given shall become due
and payable on the date and at the place or places stated in such notice at the
Redemption Price (subject to the rights of holders of Securities at the close
of business on a regular record date to receive Interest in respect of an
Interest Payment Date occurring on or prior to the Redemption Date), and on and
after said date (unless the Corporation shall default in the payment of such
Securities at the Redemption Price) Interest on the Securities or portions of
Securities so called for redemption shall cease to accrue. On presentation and
surrender of such Securities at a place of payment specified in said notice,
the said Securities or the specified portions thereof shall be paid and
redeemed by the Corporation at the Redemption Price (subject to the rights of
holders of Securities on the close of business on a regular record date to
receive Interest in respect of an Interest Payment Date occurring on or prior
to the Redemption Date).

 

61

 

Upon presentation of any Security redeemed in
part only, the Corporation shall execute and the Debenture Trustee shall
authenticate and make available for delivery to the holder thereof, at the
expense of the Corporation, a new Security or Securities of authorized
denominations, in principal amount equal to the portion of the Security so
presented that has not been redeemed.

 

SECTION 14.06.                    Conversion
Arrangement on Call for Redemption.

 

In connection with any redemption of
Securities, the Corporation may arrange for the purchase and conversion of any
Securities by an agreement with one or more investment bankers or other
purchasers to purchase such Securities by paying to the Trustee in trust for
the Holders, on or before the Redemption Date, an amount not less than the
applicable Redemption Price of such Securities. Notwithstanding anything to the
contrary contained in this Article XIV, the obligation of the Corporation to
pay the Redemption Price of such Securities shall be deemed to be satisfied and
discharged to the extent such amount is so paid by such purchasers. If such an
agreement is entered into, a copy of which shall be filed with the Trustee
prior to the Redemption Date, any Securities not duly surrendered for
conversion by the Holders thereof, may, at the option of the Corporation, be
deemed, to the fullest extent permitted by law, acquired by such purchasers
from such Holders and (notwithstanding anything to the contrary contained in
Article XVII) surrendered by such purchasers for conversion, all as of
immediately prior to the close of business on the Redemption Date (and the
right to convert any such Securities shall be deemed to have been extended
through such time), subject to payment of the above amount as aforesaid. At the
written direction of the Corporation, the Debenture Trustee shall hold and
dispose of any such amount paid to it in the same manner as it would monies
deposited with it by the Corporation for the redemption of Securities. Without
the Debenture Trustee’s prior written consent, no arrangement between the
Corporation and such purchasers for the purchase and conversion of any
Securities shall increase or otherwise affect any of the powers, duties,
responsibilities or obligations of the Debenture Trustee as set forth in this
Indenture, and the Corporation agrees to indemnify the Debenture Trustee from,
and hold it harmless against, any and all loss, liability or expense arising
out of or in connection with any such arrangement for the purchase and
conversion of any Securities between the Corporation and such purchasers,
including advancement of the costs and expenses incurred by the Debenture
Trustee in the defense of any claim or liability arising out of or in
connection with the exercise or performance of any of its powers, duties,
responsibilities or obligations under this Indenture. Nothing in the preceding
sentence shall be deemed to limit the rights, privileges, immunities and
protections afforded to the Debenture Trustee in Article VI. Nothing in this Section
14.06 shall affect the right of the Holders to receive the full Redemption
Price on the Redemption Date.

 

ARTICLE XV

SUBORDINATION OF SECURITIES

 

SECTION 15.01.                    Agreement
to Subordinate.

 

The Corporation covenants and agrees, and
each holder of Securities issued hereunder likewise covenants and agrees, that
the Securities shall be issued subject to the provisions of this Article XV;
and each holder of a Security, whether upon original issue or upon transfer or
assignment thereof, accepts and agrees to be bound by such provisions.

 

62

 

The payment by the Corporation of the
principal of and Interest on all Securities issued hereunder shall, to the
extent and in the manner hereinafter set forth, be subordinated and junior in
right of payment to all Senior Indebtedness, whether outstanding at the date of
this Indenture or thereafter incurred.

 

No provision of this Article XV shall prevent
the occurrence of any Default or Event of Default hereunder.

 

SECTION 15.02.                    Default
on Senior Indebtedness.

 

In the event and during the continuation of
any default by the Corporation in the payment of principal, interest or any
other payment due on any Senior Indebtedness, or in the event that any event of
default exists with respect to any Senior Indebtedness that permits the holders
of such Senior Indebtedness to accelerate the maturity of such Senior
Indebtedness, or if any judicial proceeding shall be pending with respect to
any such default or event of default, then, in any such case, no payment shall
be made by the Corporation with respect to the principal (including redemption
payments) of or Interest on the Securities or any other amounts which may be
due on the Securities pursuant to the terms hereof or otherwise.

 

In the event of the acceleration of the
maturity of the Securities, then no payment shall be made by the Corporation
with respect to the principal (including redemption payments) or Interest on
the Securities or any other amounts which may be due on the Securities pursuant
to the terms hereof or otherwise until the holders of all Senior Indebtedness
outstanding at the time of such acceleration shall receive payment in full (whether
in cash, cash equivalents or any other manner reasonably satisfactory to the
holders of Senior Indebtedness) of such Senior Indebtedness (including any
amounts due upon acceleration).

 

In the event that, notwithstanding the
foregoing, any payment shall be received by the Debenture Trustee or otherwise
by or for the benefit of the Securityholders when such payment is prohibited by
the preceding paragraphs of this Section 15.02, such payment shall be held in
trust for the benefit of, and shall be paid over or delivered to, the holders
of Senior Indebtedness or their respective representatives, or to the trustee
or trustees under any indenture pursuant to which any of such Senior
Indebtedness may have been issued, as their respective interests may appear,
but only to the extent that the holders of the Senior Indebtedness (or their
representative or representatives or a trustee) notify the Debenture Trustee in
writing within 90 days of such payment of the amounts then due and owing on
such Senior Indebtedness, and only the amounts specified in such notice to the
Debenture Trustee shall be paid to the holders of such Senior Indebtedness.

 

SECTION 15.03.                    Liquidation;
Dissolution; Bankruptcy.

 

Upon any payment by the Corporation or
distribution of assets of the Corporation of any kind or character, whether in
cash, property or securities, to creditors upon the Corporation’s liquidation,
dissolution, winding up, reorganization, assignment for the benefit of its
creditors, marshaling of its assets or any bankruptcy, insolvency, debt
restructuring or similar proceedings in connection with any insolvency or
bankruptcy proceeding involving the Corporation, all Senior Indebtedness of the
Corporation shall first be paid in full (whether in cash, cash

 

63

 

equivalents or any other manner
reasonably satisfactory to the holders of Senior Indebtedness) before any
payment is made by the Corporation on account of the principal of or Interest
on the Securities or any other amounts which may be due on the Securities
pursuant to the terms hereof or otherwise; and upon any such event, any payment
by the Corporation, or distribution of assets of the Corporation of any kind or
character, whether in cash, property or securities, which the Securityholders
or the Debenture Trustee would be entitled to receive from the Corporation,
except for the provisions of this Article XV, shall be paid by the Corporation
or by any receiver, trustee in bankruptcy, liquidating trustee, agent or other
Person making such payment or distribution, or by the Securityholders or by the
Debenture Trustee under the Indenture if received by them or it, directly to
the holders of Senior Indebtedness of the Corporation (pro rata to such holders
on the basis of the respective amounts of Senior Indebtedness held by such
holders, as calculated by the Corporation) or their representative or
representatives, or to the trustee or trustees under any indenture pursuant to
which any instruments evidencing such Senior Indebtedness may have been issued,
as their respective interests may appear, to the extent necessary to pay all
such Senior Indebtedness in full (whether in cash, cash equivalents or any
other manner reasonably satisfactory to the holders of Senior Indebtedness)
after giving effect to any concurrent payment or distribution to or for the
holders of such Senior Indebtedness, before any payment or distribution is made
to the Securityholders or to the Debenture Trustee.

 

In the event that, notwithstanding the
foregoing, any payment or distribution of assets of the Corporation of any kind
or character prohibited by the foregoing, whether in cash, property or
securities, shall be received by the Debenture Trustee before all Senior
Indebtedness is paid in full (whether in cash, cash equivalents or any other
manner reasonably satisfactory to the holders of Senior Indebtedness), such
payment or distribution shall be held in trust for the benefit of and shall be
paid over or delivered to the holders of such Senior Indebtedness or their
representative or representatives, or to the trustee or trustees under any indenture
pursuant to which any instruments evidencing such Senior Indebtedness may have
been issued, as their respective interests may appear, as calculated by the
Corporation, for application to the payment of all Senior Indebtedness
remaining unpaid to the extent necessary to pay all such Senior Indebtedness in
full (whether in cash, cash equivalents or any other manner reasonably satisfactory
to the holders of Senior Indebtedness), after giving effect to any concurrent
payment or distribution to or for the benefit of the holders of such Senior
Indebtedness.

 

The consolidation of the Corporation with, or
the merger of the Corporation into, another Person or the liquidation or
dissolution of the Corporation following the sale, conveyance, transfer or
lease of its property as an entirety, or substantially as an entirety, to
another Person upon the terms and conditions provided for in Article X of this
Indenture shall not be deemed a dissolution, winding-up, liquidation or
reorganization for the purposes of this Section 15.03 if such other Person
shall, as a part of such consolidation, merger, sale, conveyance, transfer or
lease, comply with the conditions stated in Article X of this Indenture.
Nothing in Section 15.02 or in this Section 15.03 shall apply to claims of, or
payments to, the Debenture Trustee under or pursuant to Section 6.06 of this
Indenture.

 

SECTION 15.04.                    Subrogation.

 

Subject to the payment in full (whether in
cash, cash equivalents or any other manner reasonably satisfactory to the
holders of Senior Indebtedness) of all Senior Indebtedness, the

 

64

 

rights of the Securityholders
shall be subrogated to the rights of the holders of such Senior Indebtedness to
receive payments or distributions of cash, property or securities of the
Corporation, as the case may be, applicable to such Senior Indebtedness until
the principal of and Interest on the Securities shall be paid in full; and, for
the purposes of such subrogation, no payments or distributions to the holders
of such Senior Indebtedness of any cash, property or securities to which the
Securityholders or the Debenture Trustee would be entitled except for the
provisions of this Article XV, and no payment over pursuant to the provisions
of this Article XV to or for the benefit of the holders of such Senior
Indebtedness by Securityholders or the Debenture Trustee, shall, as between the
Corporation, its creditors other than holders of Senior Indebtedness of the
Corporation, and the holders of the Securities, be deemed to be a payment by
the Corporation to or on account of such Senior Indebtedness. It is understood
that the provisions of this Article XV are and are intended solely for the
purposes of defining the relative rights of the holders of the Securities, on
the one hand, and the holders of such Senior Indebtedness on the other hand.

 

Nothing contained in this Article XV or
elsewhere in this Indenture or in the Securities is intended to or shall
impair, as between the Corporation, its creditors other than the holders of
Senior Indebtedness of the Corporation, and the holders of the Securities, the
obligation of the Corporation, which is absolute and unconditional, to pay to
the holders of the Securities the principal of and Interest on the Securities as
and when the same shall become due and payable in accordance with their terms,
or is intended to or shall affect the relative rights of the holders of the
Securities and creditors of the Corporation, as the case may be, other than the
holders of Senior Indebtedness of the Corporation, as the case may be, nor
shall anything herein or therein prevent the Debenture Trustee or the holder of
any Security from exercising all remedies otherwise permitted by applicable law
upon Default under the Indenture, subject to the rights, if any, under this
Article XV of the holders of such Senior Indebtedness in respect of cash,
property or securities of the Corporation, as the case may be, received upon
the exercise of any such remedy.

 

Upon any payment or distribution of assets of
the Corporation referred to in this Article XV, the Debenture Trustee, subject
to the provisions of Article VI of this Indenture, and the Securityholders
shall be entitled to conclusively rely upon any order or decree made by any
court of competent jurisdiction in which such dissolution, winding-up,
liquidation or reorganization proceedings are pending, or a certificate of the
receiver, trustee in bankruptcy, liquidation trustee, agent or other Person
making such payment or distribution, delivered to the Debenture Trustee or to
the Securityholders, for the purposes of ascertaining the Persons entitled to
participate in such distribution, the holders of Senior Indebtedness and other
indebtedness of the Corporation, as the case may be, the amount thereof or
payable thereon, the amount or amounts paid or distributed thereon and all
other facts pertinent thereto or to this Article XV.

 

SECTION 15.05.                    Debenture
Trustee to Effectuate Subordination.

 

Each Securityholder by such Securityholder’s
acceptance thereof authorizes and directs the Debenture Trustee on such
Securityholder’s behalf to take such action as may be necessary or appropriate
to effectuate the subordination provided in this Article XV and appoints the
Debenture Trustee such Securityholder’s attorney-in-fact for any and all such
purposes.

 

65

 

SECTION 15.06.                    Notice
by the Corporation.

 

The Corporation shall give prompt written
notice to a Responsible Officer of the Debenture Trustee of any fact known to
the Corporation that would prohibit the making of any payment of monies to or
by the Debenture Trustee in respect of the Securities pursuant to the
provisions of this Article XV. Notwithstanding the provisions of this Article
XV or any other provision of this Indenture, the Debenture Trustee shall not be
charged with knowledge of the existence of any facts that would prohibit the
making of any payment of monies to or by the Debenture Trustee in respect of
the Securities pursuant to the provisions of this Article XV, unless and until
a Responsible Officer of the Debenture Trustee shall have received written
notice thereof from the Corporation or a holder or holders of Senior
Indebtedness or from any trustee therefor; and before the receipt of any such
written notice, the Debenture Trustee, subject to the provisions of Article VI
of this Indenture, shall be entitled in all respects to assume that no such
facts exist; provided, however, that if the
Debenture Trustee shall not have received the notice provided for in this
Section 15.06 at least three Business Days prior to the date upon which by the
terms hereof any money may become payable for any purpose (including, without
limitation, the payment of the principal of or Interest on any Security), then,
anything herein contained to the contrary notwithstanding, the Debenture
Trustee shall have full power and authority to receive such money and to apply
the same to the purposes for which they were received, and shall not be
affected by any notice to the contrary that may be received by it within three
Business Days prior to such date.

 

The Debenture Trustee, subject to the
provisions of Article VI, shall be entitled to conclusively rely on a written
notice delivered to it by a Person representing himself to be a holder of
Senior Indebtedness of the Corporation or a trustee or a representative on
behalf of such holder, as the case may be, to establish that such notice has
been given by a holder of such Senior Indebtedness or a trustee or a
representative on behalf of any such holder or holders. In the event that the
Debenture Trustee determines in good faith that further evidence is required
with respect to the right of any Person as a holder of such Senior Indebtedness
to participate in any payment or distribution pursuant to this Article XV, the
Debenture Trustee may request such Person to furnish evidence to the reasonable
satisfaction of the Debenture Trustee as to the amount of such Senior
Indebtedness held by such Person, the extent to which such Person is entitled
to participate in such payment or distribution and any other facts pertinent to
the rights of such Person under this Article XV, and, if such evidence is not
furnished, the Debenture Trustee may defer any payment to such Person pending
judicial determination as to the right of such Person to receive such payment.

 

Upon any payment or distribution of assets of
the Corporation referred to in this Article XV, the Debenture Trustee and the
Securityholders shall be entitled to conclusively rely upon any order or decree
entered by any court of competent jurisdiction in which such insolvency,
bankruptcy, receivership, liquidation, reorganization, dissolution, winding-up
or similar case or proceeding is pending, or a certificate of the trustee in
bankruptcy, liquidating trustee, custodian, receiver, assignee for the benefit
of creditors, agent or other person making such payment or distribution,
delivered to the Debenture Trustee or to the Securityholders, for the purpose
of ascertaining the Persons entitled to participate in such payment or
distribution, the holders of Senior Indebtedness and other indebtedness of the
Corporation, the amount thereof or payable

 

66

 

thereon, the amount or amounts
paid or distributed thereon and all other facts pertinent thereto or to this
Article XV.

 

SECTION 15.07.                    Rights
of the Debenture Trustee; Holders of Senior Indebtedness.

 

The Debenture Trustee in its individual
capacity shall be entitled to all the rights set forth in this Article XV in
respect of any Senior Indebtedness at any time held by it, to the same extent
as any other holder of Senior Indebtedness, and nothing in this Indenture shall
deprive the Debenture Trustee of any of its rights as such holder.

 

With respect to the holders of Senior
Indebtedness of the Corporation, the Debenture Trustee undertakes to perform or
to observe only such of its covenants and obligations as are specifically set
forth in this Article XV, and no implied covenants or obligations with respect
to the holders of such Senior Indebtedness shall be read into this Indenture
against the Debenture Trustee. The Debenture Trustee shall not be deemed to owe
any fiduciary duty to the holders of such Senior Indebtedness and, subject to
the provisions of Article VI of this Indenture, the Debenture Trustee shall not
be liable to any holder of such Senior Indebtedness if it shall pay over or
deliver to Securityholders, the Corporation or any other Person money or assets
to which any holder of such Senior Indebtedness shall be entitled by virtue of
this Article XV or otherwise.

 

Nothing in this Article XV shall apply to
claims of, or payments to, the Debenture Trustee under or pursuant to Section
6.06.

 

SECTION 15.08.                    Subordination
May Not Be Impaired.

 

No right of any present or future holder of
any Senior Indebtedness of the Corporation to enforce subordination as herein
provided shall at any time in any way be prejudiced or impaired by any act or
failure to act on the part of the Corporation, as the case may be, or by any
act or failure to act, in good faith, by any such holder, or by any
noncompliance by the Corporation, as the case may be, with the terms,
provisions and covenants of this Indenture, regardless of any knowledge thereof
that any such holder may have or otherwise be charged with.

 

Without in any way limiting the generality of
the foregoing paragraph, the holders of Senior Indebtedness of the Corporation
may, at any time and from time to time, without the consent of or notice to the
Debenture Trustee or the Securityholders, without incurring responsibility to
the Securityholders and without impairing or releasing the subordination
provided in this Article XV or the obligations hereunder of the holders of the
Securities to the holders of such Senior Indebtedness, do any one or more of
the following: (i) change the manner, place or terms of payment or extend the
time of payment of, or renew or alter, such Senior Indebtedness, or otherwise
amend or supplement in any manner such Senior Indebtedness or any instrument
evidencing the same or any agreement under which such Senior Indebtedness is
outstanding; (ii) sell, exchange, release or otherwise deal with any property
pledged, mortgaged or otherwise securing such Senior Indebtedness; (iii) release
any Person liable in any manner for the collection of such Senior Indebtedness;
and (iv) exercise or refrain from exercising any rights against the
Corporation, as the case may be, and any other Person.

 

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ARTICLE XVI

EXTENSION OF INTEREST PAYMENT PERIOD

 

SECTION 16.01.                    Extension
of Interest Payment Period.

 

So long as the Corporation is not in Default
in the payment of Interest on the Securities, the Corporation shall have the
right, at any time and from time to time during the term of the Securities, to
defer payments of Interest (other than Contingent Interest) by extending the interest
payment period of such Securities for a period not exceeding 20 consecutive
quarterly periods, including the first such quarterly period during such
extension period (an “Extended Interest Payment Period”), during which Extended
Interest Payment Period no Interest (other than Contingent Interest) shall be
due and payable; provided that no Extended Interest Payment Period shall end on
a date other than an Interest Payment Date or extend beyond the Maturity Date
or, with respect to any Securities called for redemption, the Redemption Date
with respect to such Securities. To the extent permitted by applicable law,
Interest, the payment of which has been deferred because of the extension of
the interest payment period pursuant to this Section 16.01, will bear interest
thereon at the Coupon Rate compounded quarterly for each quarterly period of
the Extended Interest Payment Period (“Compounded Interest”). At the end of the
Extended Interest Payment Period, the Corporation shall pay all Interest
accrued and unpaid on the Securities, including any Additional Sums, Liquidated
Damages and Compounded Interest (together, “Deferred Interest”) that shall be
payable to the holders of the Securities in whose names the Securities are
registered in the Security Register on the first record date preceding the end
of the Extended Interest Payment Period. Before the termination of any Extended
Interest Payment Period, the Corporation may further defer payments of Interest
(other than Contingent Interest) by further extending such period, provided
that such period, together with all such previous and further extensions within
such Extended Interest Payment Period, shall not exceed 20 consecutive
quarterly periods, including the first such quarterly period during such
Extended Interest Payment Period, end on a date other than an Interest Payment
Date or extend beyond the Maturity Date of the Securities or, with respect to
any Securities called for redemption, the Redemption Date with respect to such
Securities. Upon the termination of any Extended Interest Payment Period and
the payment of all Deferred Interest then due, the Corporation may commence a
new Extended Interest Payment Period, subject to the foregoing requirements. No
Interest (other than Contingent Interest) shall be due and payable during an
Extended Interest Payment Period, except at the end thereof, but the
Corporation may prepay at any time all or any portion of the Interest accrued
during an Extended Interest Payment Period. 
The payment of Contingent Interest may not, under any circumstances, be
subject to an Extended Interest Payment Period.

 

SECTION 16.02.                    Notice
of Extension.

 

(a)           If
the Property Trustee is the only registered holder of the Securities at the
time the Corporation selects an Extended Interest Payment Period or extends an
Extended Interest Payment Period, the Corporation shall give written notice to
the Administrative Trustees, the Property Trustee and the Debenture Trustee of
its selection of such Extended Interest Payment Period or its extension of an
Extended Interest Payment Period at least five Business Days before the earlier
of (i) the next date on which Distributions on the Preferred Securities are
payable, or (ii) the date the Property Trustee is required to give notice of
the record date or the payment date

 

68

 

of such related Distributions for the first quarter of such Extended
Interest Payment Period to any national stock exchange or other organization on
which the Preferred Securities are listed or quoted, if any, or to holders of
the Preferred Securities as of the record date or the payment date.

 

(b)           If
the Property Trustee is not the only holder of the Securities at the time the
Corporation selects an Extended Interest Payment Period or extends an Extended
Interest Payment Period, the Corporation shall give the holders of the
Securities and the Debenture Trustee written notice of its selection of such
Extended Interest Payment Period or its extension of an Extended Interest
Payment Period at least 10 Business Days before the earlier of (i) the Interest
Payment Date for the first quarter of such Extended Interest Payment Period, or
(ii) the date the Corporation is required to give notice of the record date or
payment date of such related Interest payment for the first quarter of such
Extended Interest Payment Period to any national stock exchange or other organization
on which the Securities are listed or quoted, if any, or to Holders of the
Securities as of the record date or the payment date.

 

(c)           The
quarterly period in which any notice is given pursuant to paragraphs (a) or (b)
of this Section 16.02 shall be counted as one of the 20 quarterly periods
permitted in the maximum Extended Interest Payment Period permitted under
Section 16.01.

 

ARTICLE XVII

CONVERSION OF SECURITIES

 

SECTION 17.01.                    Conversion
Rights.

 

(a)           Subject
to and upon compliance with the provisions of this Article XVII, the Securities
are convertible, at the option of the Securityholder, at any time before 5:00
pm, New York City time, on the Business Day immediately preceding the date of
repayment of such Securities, whether at stated maturity or upon redemption,
into fully paid and nonassessable shares of Common Stock at an initial
conversion rate of 0.3333 shares of Common Stock for each $50.00 in aggregate
principal amount of Securities (equal to an initial Conversion Price of $150.00
per share of Common Stock), subject to adjustment as described in this Article
XVII (the “Conversion Rate”).  Subject to
Section 17.01(b) and (c), a Securityholder may convert any portion of the
principal amount of the Securities into that number of fully paid and
nonassessable shares of Common Stock (calculated as to each conversion to the
nearest 1/100th of a share) obtained by multiplying (x) the quotient obtained
by dividing the principal amount of the Securities to be converted by $50.00 by
(y) the Conversion Rate. In case a Security or portion thereof is called for
redemption, such conversion right in respect of the Security or portion so
called shall expire at 5:00 p.m., New York City time on the Business Day
immediately preceding the corresponding redemption date, unless the Corporation
defaults in making the payment due upon redemption.

 

(b)           Unless
the Corporation shall have made the election set forth in Section 17.01(c),
upon conversion of the Securities, the Corporation may satisfy its obligation
to deliver shares of Common Stock in the manner set forth in this Section
17.01(b) by electing to pay cash to Holders of Securities surrendered for
conversion in lieu of all or a portion of the shares of Common Stock issuable
upon conversion of such Securities.  Within
two Business Days following the Conversion Date, the Corporation shall deliver
to the Holder, through the

 

69

 

Conversion Agent, written notice of whether such Securities shall be
converted into Common Stock or paid in cash or a combination of cash and Common
Stock, and if applicable, the percentage of each share of Common Stock that
will be paid in cash in lieu of Common Stock.  The amount of cash payable in such event in
respect of the shares of Common Stock otherwise issuable upon conversion shall
equal the product of (1) the percentage of each share of Common Stock otherwise
issuable upon conversion which the Corporation elects to pay in cash, (2) the
number of shares of Common Stock otherwise issuable upon conversion of such
Security and (3) the average of the Closing Prices of the Common Stock for each
of the 10 consecutive Trading Days commencing on the third Trading Day
following the Conversion Date, appropriately adjusted to take into account the
occurrence during such period of stock splits and similar events.  If the Corporation shall have notified the
Holder that all of such Securities shall be converted into Common Stock or a
combination of cash and Common Stock, the Corporation shall deliver to the
Holder through the Conversion Agent, as promptly as practicable following the
last Trading Day of the applicable 10 consecutive Trading Day period, a
certificate for the number of whole shares of Common Stock issuable upon the
conversion and, if applicable, cash in lieu of such Common Stock and cash in
lieu of any fractional shares pursuant to Section 17.02(c).  The Corporation may not change its election
with respect to the consideration to be delivered upon conversion of a Security
once the Corporation has notified the Holder in accordance with this paragraph.

 

(c)           At
any time prior to the Maturity Date, the Corporation shall have the option to
unilaterally and irrevocably elect to settle its obligation to deliver shares
of Common Stock with respect to Securities to be converted following such
election in cash, and, if applicable, shares of Common Stock.  If the Corporation shall make this election,
then if a Holder surrenders its Securities for conversion, such holder will
receive, in respect of each $50.00 principal amount of Securities surrendered
for conversion:

 

(i)            cash in an amount
equal to the lesser of (A) $50.00 and (B) the Conversion Value (the “Required
Cash Amount”); and

 

(ii)           if the Conversion Value
is greater than $50.00, a number of shares of Common Stock (the “Remaining
Shares”), equal to the sum of the Daily Share Amounts for each of the ten
consecutive Trading Days in the Conversion Reference Period, subject to the
right of the Corporation to deliver cash in lieu of all or a portion of such
Remaining Shares as described below.

 

On any day prior to the first Trading Day of
the applicable Conversion Reference Period, the Corporation may specify a percentage
of the Daily Share Amount that will be settled in cash (the “Cash Percentage”)
and will notify the Securityholder of such Cash Percentage through written
notice to the Debenture Trustee (the “Cash Percentage Notice”). If the Corporation
elects to specify a Cash Percentage, the amount of cash that the Corporation
will deliver in respect of each Trading Day in the applicable Conversion
Reference Period will equal the product of: (1) the Cash Percentage,
(2) the Daily Share Amount for such Trading Day, and (3) the Volume
Weighted Average Price of the Common Stock for such Trading Day (provided that
after the consummation of a Change in Control in which the consideration is
comprised entirely of cash, the amount used in this clause (3) will be the
cash price per share of Common Stock received by holders of Common Stock in
such Change in Control). The number of shares deliverable in

 

70

 

respect of each Trading Day in
the applicable Conversion Reference Period will be a percentage of the Daily
Share Amount equal to 100% minus the Cash Percentage. If the Corporation does
not specify a Cash Percentage by the start of the applicable Conversion
Reference Period, the Corporation shall settle 100% of the Daily Share Amount
for each Trading Day in the applicable Conversion Reference Period with shares
of Common Stock; provided, however, that the Corporation will pay cash in lieu
of fractional shares otherwise issuable upon conversion of such Security,
pursuant to Section 17.02(c). The Corporation may, at its option, revoke
any Cash Percentage Notice through written notice to the Debenture Trustee
prior to the start of the applicable Conversion Reference Period.

 

In the event of a stock split, combination,
dividend or any other event resulting in an adjustment to the Conversion Rate
pursuant to Sections 17.03(a), (b), (c), (d) or (e), during the applicable
Conversion Reference Period, appropriate adjustment to the equation for
calculating Conversion Value and Remaining Shares shall be made, as determined
by the Board of Directors.

 

The cash and any shares of Common Stock due
upon conversion of the Securities shall be delivered through the Conversion Agent
as promptly as practicable following the end of the Conversion Reference Period
applicable to the Securities being converted.

 

SECTION 17.02.                    Conversion
Procedures.

 

(a)           To
convert all or a portion of the Securities, the Securityholder thereof shall
deliver to the Conversion Agent an irrevocable Conversion Request setting forth
the principal amount of Securities to be converted, together with the name or
names, if other than the Securityholder, in which the shares of Common Stock
should be issued upon conversion and, if such Securities are in certificated
form, surrender to the Conversion Agent the Securities to be converted, duly
endorsed or assigned to the Corporation or in blank. In addition, a holder of
Preferred Securities may exercise its right under the Declaration to exchange
such Preferred Securities for Securities which shall be converted into Common
Stock by delivering to the Conversion Agent an irrevocable Conversion Request
setting forth the information called for by the preceding sentence and
directing the Conversion Agent (i) to exchange such Preferred Security for a
portion of the Securities held by the Trust (at an exchange rate of $50.00
principal amount of Securities for each Preferred Security), and (ii) to
immediately convert such Securities, on behalf of such Securityholder, into
Common Stock pursuant to this Article XVII and, if such Preferred Securities
are in certificated form, surrendering such Preferred Securities, duly endorsed
or assigned to the Corporation or in blank. So long as any Preferred Securities
are outstanding, the Trust shall not convert any Securities into shares of
Common Stock except pursuant to a Conversion Request delivered to the
Conversion Agent by a holder of Preferred Securities.

 

Except as described in this paragraph, no
distribution will be payable on Securities surrendered for conversion with
respect to any Interest Payment Date subsequent to the date of conversion and
neither the Trust nor the Corporation shall make, or be required to make, any
payment, allowance or adjustment for accumulated and unpaid Interest, whether
or not in arrears, on Securities surrendered for conversion. If any Securities
are surrendered for conversion between the period from 5:00 p.m., New York City
time, on any record date through and

 

71

 

including the related Interest
Payment Date, the Securities surrendered for conversion must be accompanied by
payment from the Securityholder in next day funds of an amount equal to the
Interest payment which the registered holder on such record date is to receive,
and such Securityholder shall be entitled to receive the Interest payable on
the subsequent Interest Payment Date on the portion of Securities to be
converted, notwithstanding the conversion thereof prior to such Interest
Payment Date. The previous sentence shall not apply in the case of Securities
called for redemption on a Redemption Date between a record date and a related
Interest Payment Date and in the case of any Securities surrendered for
conversion after such Securities have been called for redemption during an
Extended Interest Payment Period as described in the next sentence. If notice
of redemption of Securities is mailed or otherwise given to Securityholders,
then, if any Securityholder converts any Securities into Common Stock on any date
on or after the date on which such notice of redemption is mailed or otherwise
given, and if such date of conversion falls on any day from and including the
first day of an Extended Interest Payment Period and on or prior to the
Interest Payment Date upon which such Extended Interest Payment Period ends,
such converting Securityholder shall be entitled to receive either (i) if the
date of such conversion falls after a record date and on or prior to the next
succeeding Interest Payment Date, all accrued and unpaid Interest on such
Securities to such Interest Payment Date, or (ii) if the date of such
conversion does not fall on a date described in clause (i) above, all accrued
and unpaid Interest on such Securities to the most recent Interest Payment Date
prior to the date of such conversion (even though no Interest was paid on such
date), which Interest shall, in either such case, be paid to such converting
Securityholder unless another Securityholder was the record owner of such
Securities as of 5:00 p.m., New York City time on the record date for which
such Interest payment is made, in which case such Interest payment shall be
paid to such other Securityholder. Except as otherwise set forth above in this
paragraph, in the case of any Security which is converted, Interest (including
Tax Original Issue Discount) which is payable after the date of conversion of
such Security shall not be payable, and the Corporation shall not make nor be
required to make any other payment, adjustment or allowance with respect to
accrued but unpaid Interest (including Tax Original Issue Discount) on the
Securities being converted, which shall be deemed to be paid in full through
delivery of the Common Stock (together with the cash payment, if any, in lieu
of fractional shares). If any Security called for redemption is converted, any
money deposited with the Debenture Trustee or with any paying agent or so
segregated and held in trust for the redemption of such Security shall (subject
to any right of the Securityholder) be paid to the Corporation upon Corporation
Request or, if then held by the Corporation, shall be discharged from such
trust.

 

Each conversion shall be deemed to have been
effected immediately prior to 5:00 p.m., New York City time, on the Business
Day on which the Conversion Request and any other required deliveries were
received (the “Conversion Date”) by the Conversion Agent from the
Securityholder or from a holder of the Preferred Securities effecting a
conversion thereof pursuant to its conversion rights under the Declaration, as
the case may be. The person or persons entitled to receive the Common Stock
issuable upon such conversion shall be treated for all purposes as a record
holder or holders of such Common Stock as of the Conversion Date.

 

(b)           Subject
to any right of the Securityholder, the fair market value of the fixed number
of shares of Common Stock into which the Securities are convertible (together
with the cash payment, if any, in lieu of fractional shares) shall be treated
as issued, to the extent thereof, (i) first, in exchange for accrued and unpaid
Interest (including Tax Original Issue Discount) on

 

72

 

such Securities at the time of such conversion, and (ii) second, the
balance, if any, of such fair market value of such Common Stock (and any cash
payment) shall be treated as issued in exchange for the principal amount at
maturity of the portion of Securities so converted.

 

(c)           No
fractional shares of Common Stock shall be issued as a result of conversion.  Subject to the immediately following
sentence, in lieu of any such fractional shares, the Corporation shall pay to
the Conversion Agent a cash adjustment in an amount equal to the same fraction
of the Closing Price of such fractional interest on the date on which the
Securities or Preferred Securities, as the case may be, were duly surrendered
to the Conversion Agent for conversion, or, if such day is not a Trading Day,
on the next Trading Day, and the Conversion Agent in turn shall make such
payment, if any, to the Securityholder or the holder of the Preferred
Securities so converted.  In the event
that the conversion obligation is settled in accordance with the provisions of
Section 17.01(c), a Holder of a Security otherwise entitled to a fractional share
will receive cash equal to the applicable portion of the arithmetic average of
the Volume Weighted Average price of Common Stock for each of the ten
consecutive Trading Days of the Conversion Reference Period.

 

(d)           In
the event of the conversion of any Security in part only, a new Security or
Securities for the unconverted portion thereof shall be issued in the name of
the Securityholder thereof upon the cancellation thereof in accordance with
Section 2.9.

 

(e)           In
effecting the conversion transactions described in this Section 17.02, the
Conversion Agent is acting as agent of the holders of Preferred Securities (in
the exchange of Preferred Securities for Securities) and as agent of the
Securityholders (in the conversion of Securities into Common Stock), as the
case may be, directing it to effect such conversion transactions. The
Conversion Agent is hereby authorized (i) to exchange Preferred Securities for
Securities held by the Trust from time to time in connection with the
conversion of such Preferred Securities in accordance with this Article XVII,
and (ii) to convert all or a portion of the Securities into Common Stock and
thereupon to deliver such shares of Common Stock in accordance with the
provisions of this Article XVII and to deliver to the Trust a new Security or
Securities for any resulting unconverted principal amount.

 

(f)            Any
certificates representing shares of Common Stock issuable upon conversion of
the Securities shall bear any legend required by Section 2.06.

 

(g)           The
Corporation shall at all times reserve and keep available out of its authorized
and unissued Common Stock, solely for issuance upon the conversion of the
Securities, free from any preemptive or other similar rights, such number of
shares of Common Stock as shall from time to time be issuable upon the
conversion of all the Securities then outstanding. Notwithstanding the
foregoing, the Corporation shall be entitled to deliver upon conversion of
Securities, shares of Common Stock reacquired and held in the treasury of the
Corporation (in lieu of the issuance of authorized and unissued shares of
Common Stock), so long as any such treasury shares are free and clear of all
liens, charges, security interests or encumbrances. Any shares of Common Stock
issued upon conversion of the Securities shall be duly authorized, validly
issued and fully paid and nonassessable. The Debenture Trustee shall deliver
the shares of Common Stock received upon conversion of the Securities to the
converting Securityholder

 

73

 

free and clear of all liens, charges, security interests and
encumbrances, except for United States withholding taxes.

 

SECTION 17.03.                    Conversion
Rate Adjustments.

 

The Conversion Rate shall be subject to
adjustment (without duplication) from time to time as follows:

 

(a)           In
case the Corporation shall, while any of the Securities are outstanding,

 

(i)            pay a dividend or make
a distribution on its Common Stock payable in shares of its Common Stock,

 

(ii)           subdivide its shares of
Common Stock,

 

(iii)          combine its outstanding
shares of Common Stock into a smaller number of shares, or

 

(iv)          issue by
recapitalization or reclassification of its shares of Common Stock any shares
of capital stock of the Corporation,

 

then the Conversion Rate in effect
immediately prior to such action shall be adjusted so that the Holder of a
Security thereafter converted may receive the number of shares of Capital Stock
of the Corporation which such Holder would have owned immediately following
such action if such Holder had converted the Security immediately prior to such
action; provided, however, that no adjustment shall be made to
the Conversion Rate pursuant to this Section 17.03(a) as a result of any
transaction which results in an adjustment to the Conversion Rate in accordance
with Section 17.04.

 

The adjustment shall become effective
immediately after the record date in the case of a dividend or distribution and
immediately after the effective date in the case of a subdivision, combination
or reclassification.

 

If after an adjustment a Holder of a Security
upon conversion of such Security may receive shares of two or more classes of
Capital Stock of the Corporation, the Conversion Rate shall thereafter be
subject to adjustment upon the occurrence of an action taken with respect to
any such class of Capital Stock as is contemplated by this Article 17 with
respect to the Common Stock, on terms comparable to those applicable to Common
Stock in this Article 17.

 

(b)           In
case the Corporation shall, while any of the Securities are outstanding,
distribute any rights, warrants or options to all holders of its Common Stock
entitling them, for a period expiring within 60 days after the record date for
such distribution, to purchase shares of Common Stock at a price per share less
than the Average Closing Price, the Conversion Rate shall be adjusted in
accordance with the formula: 

 

	
  R’ = R

  	
  x

  	
  (O + N)

  
	
  (O + (N x P) /M)

  

 

74

 

where:

 

	
  R’=

  	
   

  	
  the adjusted Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  R = 

  	
   

  	
  the current Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  O =

  	
   

  	
  the number of shares of Common Stock outstanding on the record date
  for the distribution to which this Section 17.03(b) is being applied.

  
	
   

  	
   

  	
   

  
	
  N =

  	
   

  	
  the number of additional shares of Common Stock offered pursuant to the
  distribution.

  
	
   

  	
   

  	
   

  
	
  P =

  	
   

  	
  the offering price per share of the additional shares.

  
	
   

  	
   

  	
   

  
	
  M = 

  	
   

  	
  the Average Closing Price, minus, in the case of (i) a
  distribution to which Section 17.03(a)(iv) applies or (ii) a
  distribution to which Section 17.03(c) applies, for which, in each case,
  (x) the record date shall occur on or before the record date for the
  distribution to which this Section 17.03(b) applies and (y) the
  Ex-Dividend Time shall occur on or after the date of the first public
  announcement for the distribution to which this Section 17.03(b)
  applies, the fair market value (on the record date for the distribution to
  which this Section 17.03(b) applies) of the

  

 

(1)           Capital Stock of the
Corporation distributed in respect of each share of Common Stock in such
Section 17.03(a)(iv) distribution and

 

(2)           assets of the Corporation
or debt securities or any rights, warrants or options to purchase securities of
the Corporation distributed in respect of each share of Common Stock in such
Section 17.03(c) distribution.

 

The Board of Directors shall determine fair
market values for the purposes of this Section 17.03(b).

 

In the event the Corporation makes a
distribution pursuant to this Section 17.03(b) which has a per share value
equal to more than 15% of the Closing Price of shares of Common Stock on the
day preceding the declaration date for such distribution, the Corporation will
be required to give notice to the holders of Securities at least 20 days prior
to the Ex-Dividend Date for such distribution.

 

The adjustment shall become effective
immediately after the record date for the determination of shareholders
entitled to receive the rights, warrants or options to which this
Section 17.03(b) applies. If all of the shares of Common Stock subject to
such rights, warrants or options have not been issued when such rights,
warrants or options expire, then the Conversion Rate shall promptly be
readjusted to the Conversion Rate that would then be in effect had the
adjustment upon the issuance of such rights, warrants or options been made on
the basis of the actual number of shares of Common Stock issued upon the
exercise of such rights, warrants or options.

 

75

 

No adjustment shall be made under this
Section 17.03(b) if the application of the formula stated above in this
Section 17.03(b) would result in a value of R’ that is equal to or less
than the value of R.

 

(c)           (i)            In
case the Corporation shall, while any of the Securities are outstanding,
distribute to all holders of its Common Stock any of its assets (including
shares of any Subsidiary or business unit of the Corporation, but excluding
distributions of Capital Stock or equity interests referred to in
Section 17.03(c)(ii)), or debt securities or any rights, warrants or options
to purchase securities of the Corporation (including securities or cash, but
excluding (x) distributions of Capital Stock referred to in
Section 17.03(a) and distributions of rights, warrants or options referred
to in Section 17.03(b) and (y) cash dividends or other cash
distributions referred to in Section 17.03(d)), the Conversion Rate shall
be adjusted, subject to the provisions of Section 17.03(c)(iii), in
accordance with the formula: 

 

	
  R’

  	
  =

  	
  R x M

  
	
  M – F

  

 

where:

 

	
  R’ = 

  	
   

  	
  the adjusted Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  R = 

  	
   

  	
  the current Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  M =

  	
   

  	
  the Average Closing Price, minus, in the case of a distribution to
  which Section 17.03(a)(iv) applies, for which (i) the record date
  shall occur on or before the record date for the distribution to which this
  Section 17.03(c)(i) applies and (ii) the Ex-Dividend Time shall
  occur on or after the date of the Time of Determination for the distribution
  to which this Section 17.03(c)(i) applies, the fair market value (on the
  record date for the distribution to which this Section 17.03(c)(i)
  applies) of any Capital Stock of the Corporation distributed in respect of
  each share of Common Stock in such Section 17.03(a)(iv) distribution.

  
	
   

  	
   

  	
   

  
	
  F =

  	
   

  	
  the fair market value (on the record date for the distribution to which
  this Section 17.03(c)(i) applies) of the assets, securities, rights,
  warrants or options to be distributed in respect of each share of Common
  Stock in the distribution to which this Section 17.03(c)(i) is being
  applied (including, in the case of cash dividends or other cash distributions
  giving rise to an adjustment, all such cash distributed concurrently).

  

 

The Board of Directors shall determine fair
market values for the purposes of this Section 17.03(c)(i).

 

The adjustment shall become effective immediately
after the record date for the determination of shareholders entitled to receive
the distribution to which this Section 17.03(c)(i) applies.

 

(ii)           In
case the Corporation shall, while any of the Securities are outstanding, pay a
dividend or make a distribution to all holders of its Common Stock consisting
of Capital Stock of

 

76

 

any class or series, or similar
equity interests, of or relating to a Subsidiary or other business unit of the Corporation,
then the Conversion Rate shall be adjusted in accordance with the formula:

 

R’ = R x (1 + F/M)

 

	
  R’ = 

  	
   

  	
  the adjusted Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  R = 

  	
   

  	
  the current Conversion Rate.

  
	
   

  	
   

  	
   

  
	
  M =

  	
   

  	
  the average of the Post-Distribution Prices of the Common Stock for
  the 10 Trading Days commencing on and including the fifth Trading Day after
  the date on which “ex-dividend trading” commences for such dividend or
  distribution on the principal United States exchange or market which such
  securities are then listed or quoted (the “Ex-Dividend Date”).

  
	
   

  	
   

  	
   

  
	
  F =

  	
   

  	
  the fair market value of the securities distributed in respect of
  each share of Common Stock to which this Section 17.03(c)(ii) shall
  apply which shall equal the number of securities distributed in respect of
  each share of Common Stock multiplied by the average of the Post-Distribution
  Prices of those securities distributed for the 10 Trading Days commencing on
  and including the fifth Trading Day after the Ex-Dividend Date.

  

 

“Post-Distribution Price” of Capital Stock or
any similar equity interest on any date means the closing per unit sale price
(or, if no closing sale price is reported, the average of the bid and ask
prices or, if more than one in either case, the average of the average bid and
the average ask prices) on such date for trading of such units on a “when
issued” basis without due bills (or similar concept) as reported in the
composite transactions for the principal United States securities exchange on
which such Capital Stock or equity interest is traded or, if the Capital Stock
or equity interest, as the case may be, is not listed on a United States
national or regional securities exchange, as reported by the National
Association of Securities Dealers Automated Quotation System or by the National
Quotation Bureau Incorporated; provided that if on any date such units have not
traded on a “when issued” basis, the Post-Distribution Price shall be the
closing per unit sale price (or, if no closing sale price is reported, the
average of the bid and ask prices or, if more than one in either case, the
average of the average bid and the average ask prices) on such date for trading
of such units on a “regular way” basis without due bills (or similar concept)
as reported in the composite transactions for the principal United States
securities exchange on which such Capital Stock or equity interest is traded
or, if the Capital Stock or equity interest, as the case may be, is not listed
on a United States national or regional securities exchange, as reported by the
National Association of Securities Dealers Automated Quotation System or by the
National Quotation Bureau Incorporated. In the absence of such quotation, the Corporation
shall be entitled to determine the Post-Distribution Price on the basis of such
quotations which reflect the post-distribution value of the Capital Stock or
equity interests as it considers appropriate.

 

(iii)          In
the event that, with respect to any distribution to which
Section 17.03(c)(i) would otherwise apply, the difference between “M-F” as
defined in the formula set forth in

 

77

 

Section 17.03(c)(i) is
less than $1.00 or “F” is equal to or greater than “M”, then the adjustment
provided by Section 17.03(c)(i) shall not be made.

 

(iv)          In
the event the Corporation makes a distribution pursuant to this
Section 17.03(c) which has a per share value equal to more than 15% of the
Closing Price of shares of Common Stock on the day preceding the declaration
date for such distribution, the Corporation will be required to give notice to
the holders of Securities at least 20 days prior to the Ex-Dividend Date for
such distribution.

 

(d)           In
case the Corporation shall, while any of the Securities are outstanding,
distribute to all or substantially all holders of its Common Stock any dividend
or other distribution paid exclusively in cash (excluding any dividend or
distribution in connection with the liquidation, dissolution or winding up of
the Corporation, whether voluntary or involuntary), the Conversion Rate shall
be adjusted in accordance with the formula: 

 

	
  R’ = R

  	
  x

  	
  M

  
	
  (M – C)

  

 

where,

 

	
  R’ = 

  	
   

  	
  the adjusted Conversion Rate;

  
	
   

  	
   

  	
   

  
	
  R = 

  	
   

  	
  the Conversion Rate in effect immediately prior to the Time of
  Determination;

  
	
   

  	
   

  	
   

  
	
  M =

  	
   

  	
  the average of the Closing Prices of the Common Stock for the five
  consecutive Trading Days prior to the Trading Day immediately preceding the
  Time of Determination; and

  
	
   

  	
   

  	
   

  
	
  C =

  	
   

  	
  the amount in cash per share the Corporation distributes to holders
  of the Common Stock (and for which no adjustment has been made).

  

 

(e)           In
case the Corporation shall, while any of the Securities are outstanding, make a
payment of cash or other consideration to holders of Common Stock in respect of
a tender offer or exchange offer, other than an odd-lot offer, for the Common
Stock, and the value of the aggregate cash and other consideration paid for
such Common Stock, expressed as an amount per share of Common Stock validly
tendered or exchanged pursuant to such tender offer or exchange offer, exceeds
the Closing Price of the Common Stock on the Trading Day immediately following
the last time (the “Expiration Time”) on which tenders or exchanges may be made
pursuant to the tender or exchange offer, then the Conversion Rate shall be
adjusted in accordance with the formula:

 

	
  R’ = R

  	
  x

  	
  F + (P x O)

  
	
  O’ x P

  

 

where,

 

R = the Conversion Rate in effect on the
Expiration Time;

 

78

 

	
  R’ = 

  	
   

  	
  the Conversion Rate in effect immediately after the Expiration Time;

  
	
   

  	
   

  	
   

  
	
  F =

  	
   

  	
  the fair market value (as determined by the Board of Directors) of
  the aggregate value of all cash and any other consideration paid or payable
  for shares of Common Stock validly tendered or exchanged and not withdrawn as
  of the Expiration Time (the “Purchased Shares”);

  
	
   

  	
   

  	
   

  
	
  O =

  	
   

  	
  the number of shares of Common Stock outstanding immediately after
  the Expiration Time less any Purchased Shares;

  
	
   

  	
   

  	
   

  
	
  O’ =

  	
   

  	
  the number of shares of Common Stock outstanding immediately after
  the Expiration Time, including any Purchased Shares; and

  
	
   

  	
   

  	
   

  
	
  P = 

  	
   

  	
  the Closing Price of the Common Stock on the Trading Day next
  succeeding the Expiration Time.

  

 

Such increase (if any) shall become effective
immediately prior to the opening of business on the day following the
Expiration Time. In the event that the Corporation is obligated to purchase
shares pursuant to any such tender offer, but the Corporation is prevented by
applicable law from effecting any such purchases or all such purchases are
rescinded, the Conversion Rate shall again be adjusted to be the Conversion
Rate that would then be in effect if such tender or exchange offer had not been
made. If the application of this Section 17.03(e) to any tender or
exchange offer would result in a decrease in the Conversion Rate, no adjustment
shall be made for such tender or exchange offer under this
Section 17.03(e).

 

(f)            The
Corporation may make such increases in the Conversion Rate, in addition to
those required by Subsections (a) through (e), as it considers to be advisable
to avoid or diminish any income tax to holders of Common Stock or rights to
purchase Common Stock resulting from any dividend or distribution of stock (or
rights to acquire stock) or from any event treated as such for income tax
purposes. The Corporation from time to time may, to the extent permitted by
law,  increase the Conversion Rate by any
amount for any period of time if the period is at least 20 days upon notice by
the Corporation of at least 15 days, the increase is irrevocable during the
period, and the Board of Directors shall have made a determination that such
increase would be in the best interest of the Corporation, which determination
shall be conclusive. Whenever the Conversion Rate is increased pursuant to the
preceding sentence, the Corporation shall mail to Securityholders of record a
notice of the increase at least fifteen days prior to the date the increased
Conversion Rate takes effect, and such notice shall state the increased
Conversion Rate and the period it shall be in effect.

 

(g)           Anything
in this Section 17.03 to the contrary notwithstanding, no adjustment of the
Conversion Rate will be made upon: (a) the issuance of any shares of Common
Stock pursuant to any present or future plan providing for the reinvestment of
dividends or interest payable on securities of the Corporation and the
investment of additional optional amounts in shares of Common Stock under any
such plan, or (b) the issuance of any shares of Common Stock or options or
rights pursuant to any present or future employee benefit plan or program, or
(c) the issuance of any shares of Common Stock pursuant to any option, warrant,
right or any exercisable, exchangeable or convertible security outstanding as
of the date on which the

 

79

 

Securities are first issued, or (d) the issuance of rights under any
shareholder rights plan, or (e) a change in the par value or a change to no par
value of the Common Stock. To the extent the Securities become convertible into
cash, no adjustments need be made thereafter as to the cash and interest will
not accrue on the cash.

 

(h)           No
adjustment in the Conversion Rate shall be required unless such adjustment
would require an increase or decrease of at least 1% in the Conversion Rate; provided, however, that any adjustments which by reason of
this Section 17.03(h) are not required to be made shall be carried forward and
taken into account in determining whether any subsequent adjustment shall be
required. The adjusted Conversion Rate will be rounded to four decimal places.

 

(i)            If
any action would require adjustment of the Conversion Rate pursuant to more
than one of the provisions described above, only one adjustment shall be made
and such adjustment shall be the amount of adjustment that has the highest
absolute value to the Securityholders.

 

(j)            Notwithstanding
the foregoing, in no event will the Conversion Rate exceed 0.4928 (as adjusted
pursuant to Sections 17.03(a), (b), (c), (d) and (e) above).

 

SECTION 17.04.                    Conversion
Rate Adjustments Upon Change in Control.

 

(a)           If
a Change in Control occurs prior to April 15, 2016 and a Holder elects to
convert its Securities in connection with such Change in Control, the
Corporation will increase the applicable Conversion Rate for the Securities
surrendered for conversion by a number of additional shares of Common Stock
(the “Make-Whole Shares”), as described in this Section 17.04. A
conversion of Securities will be deemed for the purposes of this Section 17.04
to be “in connection with” a Change in Control transaction if the notice of
conversion of the Securities is received by the Conversion Agent from and
including the date that is ten Trading Days prior to the anticipated effective
date of the Change in Control, up to and including the Trading Day prior to the
related purchase date.

 

The number of Make-Whole Shares will be
determined by reference to the table below and is based on the date which such
Change in Control transaction becomes effective (the “Change in Control
Effective Date”) and the price (the “Stock Price”) paid per share of Common
Stock in such Change in Control transaction. If the holders of Common Stock
receive only cash in the Change in Control transaction, the Stock Price shall
be the cash amount paid per share of Common Stock. Otherwise, the Stock Price
shall be the average of the Closing Prices of the Common Stock on the ten
consecutive Trading Days up to but excluding the Change in Control Effective
Date.

 

The Stock Prices set forth in the first
column of the table below will be adjusted as of any date on which the
Conversion Rate is adjusted. The adjusted Stock Prices will equal the Stock
Prices applicable immediately prior to such adjustment, multiplied by a
fraction, the numerator of which is the Applicable Conversion Rate immediately
prior to the adjustment giving rise to the Stock Price adjustment and the
denominator of which is the Applicable Conversion Rate as so adjusted.  In addition, the number of additional
Make-Whole Shares shall be subject to

 

80

 

adjustment in the same manner
as the Conversion Rate is in accordance with the provisions of Section 17.03(a)-(e).

 

	
   

  	
   

  	
  Make-Whole
  premium (Increase in Applicable Conversion Rate)

  	
   

  
	
  Stock Price on

  Effective Date

  	
   

  	
  April

  3rd

  2006

  	
   

  	
  4/15/2007

  	
   

  	
  4/15/2008

  	
   

  	
  4/15/2009

  	
   

  	
  4/15/2010

  	
   

  	
  4/15/2011

  	
   

  	
  4/15/2012

  	
   

  	
  4/15/2013

  	
   

  	
  4/15/2014

  	
   

  	
  4/15/2015

  	
   

  	
  4/15/2016

  	
   

  
	
  $

  	
  101.45

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  	
  0.1595

  	
   

  
	
  $

  	
  105.00

  	
   

  	
  0.1484

  	
   

  	
  0.1484

  	
   

  	
  0.1484

  	
   

  	
  0.1484

  	
   

  	
  0.1483

  	
   

  	
  0.1482

  	
   

  	
  0.1481

  	
   

  	
  0.1481

  	
   

  	
  0.1480

  	
   

  	
  0.1480

  	
   

  	
  0.1479

  	
   

  
	
  $

  	
  110.00

  	
   

  	
  0.1338

  	
   

  	
  0.1338

  	
   

  	
  0.1338

  	
   

  	
  0.1338

  	
   

  	
  0.1338

  	
   

  	
  0.1336

  	
   

  	
  0.1336

  	
   

  	
  0.1336

  	
   

  	
  0.1334

  	
   

  	
  0.1334

  	
   

  	
  0.1334

  	
   

  
	
  $

  	
  115.00

  	
   

  	
  0.1206

  	
   

  	
  0.1206

  	
   

  	
  0.1205

  	
   

  	
  0.1204

  	
   

  	
  0.1204

  	
   

  	
  0.1202

  	
   

  	
  0.1202

  	
   

  	
  0.1202

  	
   

  	
  0.1201

  	
   

  	
  0.1201

  	
   

  	
  0.1201

  	
   

  
	
  $

  	
  120.00

  	
   

  	
  0.1084

  	
   

  	
  0.1084

  	
   

  	
  0.1083

  	
   

  	
  0.1082

  	
   

  	
  0.1081

  	
   

  	
  0.1081

  	
   

  	
  0.1080

  	
   

  	
  0.1080

  	
   

  	
  0.1080

  	
   

  	
  0.1079

  	
   

  	
  0.1079

  	
   

  
	
  $

  	
  125.00

  	
   

  	
  0.0972

  	
   

  	
  0.0970

  	
   

  	
  0.0970

  	
   

  	
  0.0969

  	
   

  	
  0.0969

  	
   

  	
  0.0969

  	
   

  	
  0.0968

  	
   

  	
  0.0968

  	
   

  	
  0.0967

  	
   

  	
  0.0967

  	
   

  	
  0.0967

  	
   

  
	
  $

  	
  130.00

  	
   

  	
  0.0872

  	
   

  	
  0.0866

  	
   

  	
  0.0866

  	
   

  	
  0.0866

  	
   

  	
  0.0865

  	
   

  	
  0.0865

  	
   

  	
  0.0864

  	
   

  	
  0.0864

  	
   

  	
  0.0863

  	
   

  	
  0.0863

  	
   

  	
  0.0863

  	
   

  
	
  $

  	
  135.00

  	
   

  	
  0.0789

  	
   

  	
  0.0770

  	
   

  	
  0.0769

  	
   

  	
  0.0769

  	
   

  	
  0.0768

  	
   

  	
  0.0768

  	
   

  	
  0.0768

  	
   

  	
  0.0768

  	
   

  	
  0.0767

  	
   

  	
  0.0767

  	
   

  	
  0.0766

  	
   

  
	
  $

  	
  140.00

  	
   

  	
  0.0737

  	
   

  	
  0.0684

  	
   

  	
  0.0679

  	
   

  	
  0.0680

  	
   

  	
  0.0679

  	
   

  	
  0.0679

  	
   

  	
  0.0678

  	
   

  	
  0.0678

  	
   

  	
  0.0677

  	
   

  	
  0.0677

  	
   

  	
  0.0676

  	
   

  
	
  $

  	
  145.00

  	
   

  	
  0.0716

  	
   

  	
  0.0613

  	
   

  	
  0.0596

  	
   

  	
  0.0596

  	
   

  	
  0.0596

  	
   

  	
  0.0594

  	
   

  	
  0.0594

  	
   

  	
  0.0594

  	
   

  	
  0.0593

  	
   

  	
  0.0593

  	
   

  	
  0.0592

  	
   

  
	
  $

  	
  150.00

  	
   

  	
  0.0704

  	
   

  	
  0.0568

  	
   

  	
  0.0519

  	
   

  	
  0.0518

  	
   

  	
  0.0517

  	
   

  	
  0.0517

  	
   

  	
  0.0517

  	
   

  	
  0.0516

  	
   

  	
  0.0515

  	
   

  	
  0.0515

  	
   

  	
  0.0515

  	
   

  
	
  $

  	
  175.00

  	
   

  	
  0.0601

  	
   

  	
  0.0497

  	
   

  	
  0.0381

  	
   

  	
  0.0261

  	
   

  	
  0.0194

  	
   

  	
  0.0193

  	
   

  	
  0.0193

  	
   

  	
  0.0193

  	
   

  	
  0.0192

  	
   

  	
  0.0192

  	
   

  	
  0.0191

  	
   

  
	
  $

  	
  200.00

  	
   

  	
  0.0523

  	
   

  	
  0.0434

  	
   

  	
  0.0338

  	
   

  	
  0.0234

  	
   

  	
  0.0121

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  
	
  $

  	
  225.00

  	
   

  	
  0.0466

  	
   

  	
  0.0386

  	
   

  	
  0.0300

  	
   

  	
  0.0207

  	
   

  	
  0.0107

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  
	
  $

  	
  250.00

  	
   

  	
  0.0419

  	
   

  	
  0.0348

  	
   

  	
  0.0270

  	
   

  	
  0.0187

  	
   

  	
  0.0097

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  
	
  $

  	
  275.00

  	
   

  	
  0.0381

  	
   

  	
  0.0316

  	
   

  	
  0.0245

  	
   

  	
  0.0170

  	
   

  	
  0.0088

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  
	
  $

  	
  300.00

  	
   

  	
  0.0350

  	
   

  	
  0.0290

  	
   

  	
  0.0225

  	
   

  	
  0.0156

  	
   

  	
  0.0081

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  	
  0.0000

  	
   

  

 

If the exact Stock Prices and effective dates
are not set forth in the table, then:

 

(i)            if the Stock Price is
between two Stock Price amounts in the table or the effective date is between
two dates in the table, the Make-Whole Shares issued upon conversion of the
Securities will be determined by a straight-line interpolation between the
number of Make-Whole Shares set forth for the higher and lower Stock Price
amounts and the two dates in the table, based on a 365-day year,

 

(ii)           if the Stock Price
exceeds $300.00 per share, subject to adjustment as set forth herein, no
Make-Whole Shares will be issued upon conversion of the Securities; and

 

(iii)          if the Stock Price is
less than $101.45 per share, subject to adjustment as set forth herein, no
Make-Whole Shares will be issued upon conversion of the Securities.

 

The adjustment to the Conversion Rate set forth
in this Section 17.04(a) shall be subject to the provisions of Section
17.03(j).

 

(b)           A
“Change in Control” shall be deemed to have occurred at such time as either of
the following events shall occur:

 

(i)            There shall be
consummated any consolidation or merger of the Corporation pursuant to which
the Common Stock would be converted into cash, securities or other property, in
each case other than a consolidation or merger of the Corporation in which the
holders of Common Stock immediately prior to the consolidation or merger have,
directly or indirectly, at least a majority of the total voting power in the
aggregate of all classes of capital stock of the continuing or surviving
corporation immediately after such consolidation or merger; or

 

(ii)           There is a report on
Schedule 13D or TO (or any successor schedule, form or report) pursuant to the
Exchange Act, disclosing that any person, including such person’s Affiliates or
Associates (for these purposes only, as the term “person” is used in

 

81

 

Section
13(d)(3) or Section 14(d)(2) of the Exchange Act) has become the beneficial
owner (as the term “beneficial owner” is defined under Rule 13d-3 or any
successor rule or regulation promulgated under the Exchange Act) of 50% or more
of the voting power of the Common Stock or other capital stock into which the
Common Stock is reclassified or changed; provided, however, that a person shall
not be deemed to be a beneficial owner of, or to own beneficially, (A) any securities
tendered pursuant to a tender or exchange offer made by or on behalf of such
person or any such person’s Affiliates or Associates until such tendered
securities are accepted for purchase or exchange thereunder, or (B) any
securities if such beneficial ownership (1) arises solely as a result of a
revocable proxy delivered in response to a proxy or consent solicitation made
pursuant to the applicable rules and regulations under the Exchange Act, and
(2) is not also then reportable on Schedule 13D (or any successor schedule)
under the Exchange Act.

 

(c)           Notwithstanding
the provisions of Section 17.04(b),

 

(i)            a Change in Control
shall not be deemed to have occurred by virtue of the Corporation, any
subsidiary, any employee stock ownership plan or any other employee benefit
plan of the Corporation or any subsidiary, or any person holding the Common
Stock for or pursuant to the terms of any such employee benefit plan, filing or
becoming obligated to file a report under or in response to Schedule 13D or
Schedule TO (or any successor schedule, form or report) under the Exchange Act
disclosing beneficial ownership by it of shares of the Common Stock, whether in
excess of 50% or otherwise; and

 

(ii)           it will not constitute
a Change in Control if 100% of the consideration for the Common Stock
(excluding cash payments for fractional shares and cash payments made in
respect of dissenters’ appraisal rights and cash payment of the required cash
payment, if any) in the transaction or transactions constituting the Change in
Control consists of common stock traded on a United States national securities
exchange or quoted on the Nasdaq National Market, or which will be so traded or
quoted when issued or exchanged in connection with the Change in Control, and
as a result of such transaction or transactions the Securities become
convertible solely into such common stock.

 

SECTION 17.05.                    Share
Exchange, Consolidation, Merger or Sale of Assets.

 

In the case of the following events (each, a “business
combination”):

 

(1)           Any
recapitalization, reclassification or change of the Common Stock, other than a
change in par value, or from par value to no par value, or from no par value to
par value, or as a result of a subdivision or combination;

 

(2)           A
consolidation, merger or binding share exchange of the Corporation with another
Person; or

 

(3)           A
sale, conveyance or lease to another corporation of all or substantially all of
the Corporation’s property and assets in each case as a result of

 

82

 

which holders
of Common Stock are entitled to receive stock, other securities, other property
or assets (including cash or any combination thereof) with respect to or in
exchange for Common Stock,

 

then the Corporation or the successor or
purchasing corporation, as the case may be, shall execute a supplemental
indenture which shall provide that the Holders of the Securities then
outstanding will be entitled thereafter to convert Securities into the kind and
amount of shares of stock, other securities or other property or assets
(including cash or any combination thereof) which they would have owned or been
entitled to receive upon such business combination had such Securities been
converted into Common Stock immediately prior to such business combination. In
the event holders of Common Stock have the opportunity to elect the form of
consideration to be received in such business combination, the Corporation will
make adequate provision whereby the Holders of the Securities shall have a
reasonable opportunity to determine the form of consideration into which all of
the Securities, treated as a single class, shall be convertible from and after
the effective date of such business combination. Such determination shall be
based on the weighted average of elections made by Holders of the Securities
who participate in such determination, shall be subject to any limitations to
which all of the holders of Common Stock are subject, such as pro-rata
reductions applicable to any portion of the consideration payable in such
business combination and shall be conducted in such a manner as to be completed
by the date which is the earliest of (a) the deadline for elections to be made
by holders of Common Stock, and (b) two Trading Days prior to the anticipated
effective date. The Corporation will provide notice of the opportunity to
determine the form of such consideration, as well as notice of the
determination made by Holders of the Securities (and the weighted average of
elections), by issuing a press release, or providing other appropriate notice,
and by providing a copy of such notice to the Debenture Trustee. In the event
the effective date is delayed beyond the initially anticipated effective date,
Holders of the Securities shall be given the opportunity to make subsequent
similar determinations in regard to such delayed effective date. The
Corporation may not become a party to any such transaction unless its terms are
materially consistent with the provisions of this Section 17.05. None of the
foregoing provisions shall affect the right of a Holder of Securities to
convert its Securities into shares of Common Stock prior to the effective date
of the business combination.

 

The Corporation shall cause notice of the
execution of such supplemental indenture to be mailed to each holder, at the
address of such holder as it appears on the security Register, within 20 days
after execution thereof. Failure to deliver such notice shall not affect the
legality or validity of such supplemental indenture.

 

The above provisions of this Section 17.05
shall similarly apply to successive reclassifications, mergers, consolidations,
statutory share exchanges, combinations, sales and conveyances.

 

If this Section 17.05 applies to any event or
occurrence, Section 17.03 shall not apply to such event or occurrence.

 

SECTION 17.06.                    Notice
of Adjustments of Conversion Rate.

 

Whenever the Conversion Rate is adjusted as
herein provided:

 

83

 

(a)           The
Corporation shall compute the adjusted Conversion Rate and shall prepare an
Officers’ Certificate setting forth the adjusted Conversion Rate and showing in
reasonable detail the facts upon which such adjustment is based, and such
certificate shall forthwith be filed with the Debenture Trustee, the Conversion
Agent and the transfer agent for the Preferred Securities and the Securities;
and

 

(b)           A
notice stating that the Conversion Rate has been adjusted and setting forth the
adjusted Conversion Rate shall as soon as practicable be mailed by the
Corporation to all record holders of Preferred Securities and the Securities at
their last addresses as they appear upon the stock transfer books of the
Corporation and the Trust and the Corporation shall issue a press release and
publish such determination on the Corporation’s website.

 

SECTION 17.07.                    Prior
Notice of Certain Events.

 

In case the Corporation takes any action
which would require an adjustment to the Conversion Rate, there occurs any
event to which the provisions of Section 17.05 would apply or there is a dissolution
or liquidation of the Corporation, then the Corporation shall (1) if any
Preferred Securities are outstanding, cause to be filed with the Property
Trustee and the transfer agent for the Preferred Securities, and shall cause to
be mailed to the holders of record of the Preferred Securities, at their last
addresses as they shall appear upon the securities register of the Trust, or
(2) shall cause to be mailed to all Securityholders at their last addresses as
they shall appear in the Security Register, at least fifteen days prior to the
applicable record or effective date hereinafter specified, a notice briefly
describing the event and stating the proposed record of effective date.  No failure to mail such notice or any defect
therein or in the mailing thereof shall affect the validity of the corporate
action required to be specified in such notice).

 

SECTION 17.08.                    Debenture
Trustee Not Responsible for Determining Conversion Rate or Adjustments.

 

Neither the Debenture Trustee nor any
Conversion Agent shall at any time be under any duty or responsibility to any
Securityholder to determine whether any facts exist which may require any
adjustment of the Conversion Rate, or with respect to the nature or extent of
any such adjustment when made, or with respect to the method employed, or
herein or in any supplemental indenture provided to be employed, in making the
same. Neither the Debenture Trustee nor any Conversion Agent shall be
accountable with respect to the validity or value (or the kind of account) of any
shares of Common Stock or of any securities or property, which may at any time
be issued or delivered upon the conversion of any Security; and neither the
Debenture Trustee nor any Conversion Agent makes any representation with
respect thereto. Neither the Debenture Trustee nor any Conversion Agent shall
be responsible for any failure of the Corporation to make any cash payment or
to issue, transfer or deliver any shares of Common Stock or stock certificates
or other securities or property upon the surrender of any Security for the
purpose of conversion, or to comply with any of the covenants of the
Corporation contained in Article III or this Article XVII.

 

84

 

ARTICLE XVIII

CONTINGENT INTEREST

 

SECTION 18.01.                    Contingent
Interest.

 

Subject to Section 18.02, the Corporation
shall make Contingent Interest payments to the Holders during any quarterly period
from January 16 to April 15, April 16 to July 15, July 16 to October 15 and October
16 to January 15 (each a “Quarterly Period”), commencing with the Quarterly
Period commencing April 16, 2011, if, but only if, the average of the Security
Market Prices for the Preferred Securities, or, following any Dissolution
Event, for the Securities for the ten Trading Days ending on the third Trading
Day immediately preceding the first day of the applicable Quarterly Period
equals 130% or more of the stated liquidation amount per Preferred Security of
$50.00 or $50.00 principal amount of Securities. During any Quarterly Period
when Contingent Interest is payable pursuant to this Section 18.01, each
Contingent Interest payment due and payable per $50.00 principal amount of the
Securities for the applicable Quarterly Period, shall equal the annual rate of 0.25%
of the average of the Security Market Prices for the ten Trading Day measuring
period referred to in the immediately preceding sentence. Contingent Interest
shall be calculated on the basis of a 360-day year of twelve 30-day months.

 

“Security Market Price” of the Preferred
Securities (or of the Securities, following any Dissolution Event) on any date
of determination means the average of the secondary market bid quotations per
Preferred Security (or per $50.00 principal amount of Securities following any
Dissolution Event) obtained by the Bid Solicitation Agent for 50,000 Preferred
Securities (or $2,500,000 principal amount of Securities following any
Dissolution Event) at approximately 4:00 p.m., New York City time, on such date
of determination from three independent nationally recognized securities
dealers selected by the Corporation; provided that if three such bids cannot
reasonably be obtained by the Bid Solicitation Agent, but two such bids are
obtained, then the average of the two bids shall be used, and if only one such
bid can reasonably be obtained by the Bid Solicitation Agent, that one bid
shall be used. If the Bid Solicitation Agent cannot reasonably obtain at least
one bid for 50,000 Preferred Securities (or $2,500,000 principal amount of
Securities following any Dissolution Event) from a nationally recognized
securities dealer or in the Corporation’s reasonable judgment the bid
quotations are not indicative of the secondary market value of the Preferred
Securities (or of the Securities, following any Dissolution Event), then the
Security Market Price of the Preferred Securities (or of the Securities,
following any Dissolution Event) will equal (a) the then applicable Conversion
Rate of the Securities multiplied by (b) the average Closing Price of the Common
Stock on the ten Trading Days ending on such determination date.

 

SECTION 18.02.                    Payment
of Contingent Interest; Contingent Interest Rights Preserved.

 

If payable, Contingent Interest on a Security
shall be paid to the Person who is the Holder of that Security on the 14th day
preceding the last day of the relevant Quarterly Period (the “Contingent
Interest Record Date”). Such payments shall be paid on the last day of the
Quarterly Period (in each case, a “Contingent Interest Payment Date”). Except
as provided in Section 2.03, each payment of Contingent Interest on any
Security shall be paid (A) if such Security is held in the form of a Global
Security, in same-day funds by transfer to an account maintained by the payee
located inside the United States, or (B) if such Security is held in
certificated form, by

 

85

 

check, mailed to the address of
such Holder as set forth in the Security Register. In the case of a Global
Security, interest payable on any Contingent Interest Payment Date will be paid
to the Depositary for the purpose of permitting the Depositary to credit the
interest received by it in respect of such Global Security to the accounts of
the beneficial owners thereof. Upon determination that Holders of Securities
will be entitled to receive Contingent Interest during a Quarterly Period, the
Corporation will issue a press release and use its reasonable best efforts to
post such information on its website or through such other public medium as the
Corporation may use at the time.

 

SECTION 18.03.                    Bid
Solicitation Agent.

 

The Corporation shall appoint a bid
solicitation agent (the “Bid Solicitation Agent”) to act pursuant to Section 18.01
when directed by the Corporation in writing to do so. The Corporation may
change the Bid Solicitation Agent at its discretion; provided, however, that
the Bid Solicitation Agent may not be an Affiliate of the Corporation. The Bid
Solicitation Agent shall initially be the Debenture Trustee.

 

ARTICLE XIX

MISCELLANEOUS PROVISIONS

 

SECTION 19.01.                    Successors.

 

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

 

SECTION 19.02.                    Official
Acts by Successor Corporation.

 

Any act or proceeding by any provision of
this Indenture authorized or required to be done or performed by any board,
committee or officer of the Corporation shall and may be done and performed
with like force and effect by the like board, committee or officer of any
corporation that shall at the time be the lawful sole successor of the
Corporation.

 

SECTION 19.03.                    Surrender
of Corporation Powers.

 

The Corporation by instrument in writing
executed by authority of 2/3 (two-thirds) of its Board of Directors and
delivered to the Debenture Trustee may surrender any of the powers reserved to
the Corporation, and thereupon such power so surrendered shall terminate both
as to the Corporation, as the case may be, and as to any successor Person.

 

SECTION 19.04.                    Addresses
for Notices, Etc. 

 

Any notice, direction, request or demand
which by any provision of this Indenture is required or permitted to be given
or served on any party by the other party or by the holders of Securities may
be given or served by being deposited postage prepaid by first class mail,
registered or certified mail, overnight courier service or telecopy (confirmed
by one of the foregoing) addressed (unless another address is provided by a
party by written notice to the other party), as follows:

 

86

 

	
  If to the Corporation:

  
	
   

  
	
  Affiliated Managers Group, Inc.

  
	
  600 Hale Street

  
	
  Prides Crossing, Massachusetts 01965

  
	
  Telecopy:

  	
   

  	
  617-747-3380

  
	
  Telephone:

  	
   

  	
  617 747-3300

  
	
  Attention:

  	
   

  	
  Chief
  Financial Officer

  
	
  If to the
  Debenture Trustee:

  
	
   

  	
   

  	
   

  
	
  LaSalle Bank National Association

  
	
  135 South LaSalle Street

  
	
  Suite 1511

  	
   

  	
   

  
	
  Chicago, Illinois 60603

  
	
  Telecopy:

  	
   

  	
  312-904-0524

  
	
  Telephone:

  	
   

  	
  312-904-0283

  
	
  Attention:

  	
   

  	
  CDO Trust
  Services Group – AMG Capital Trust I

  

 

Any notice or communication to a
Securityholder shall be mailed by first-class mail to his or her address shown
on the register kept by the security registrar for the Securities.

 

SECTION 19.05.                    Governing
Law.

 

This Indenture and each Security shall be
deemed to be a contract made under the laws of the State of New York, and for
all purposes shall be governed by and construed in accordance with the laws of
said State.

 

SECTION 19.06.                    Evidence
of Compliance with Conditions Precedent.

 

Upon any application or demand by the
Corporation to the Debenture Trustee to take any action under any of the
provisions of this Indenture, the Corporation shall furnish to the Debenture
Trustee an Officers’ Certificate stating that in the opinion of the signers all
conditions precedent, if any, provided for in this Indenture relating to the
proposed action have been complied with and an Opinion of Counsel stating that,
in the opinion of such counsel, all such conditions precedent have been
complied with.

 

Each certificate or opinion provided for in
this Indenture and delivered to the Debenture Trustee with respect to
compliance with a condition or covenant provided for in this Indenture (except
certificates delivered pursuant to Section 3.05) shall include: (1) a statement
that the Person making such certificate or opinion has read such covenant or
condition; (2) a brief statement as to the nature and scope of the examination
or investigation upon which the statements or opinions contained in such
certificate or opinion are based; (3) a statement that, in the opinion of such
Person, he has made such examination or investigation as is necessary to enable
him to express an informed opinion as to whether or not such covenant or
condition has been complied with; and (4) a statement as to whether or not, in
the opinion of such person, such condition or covenant has been complied with.

 

87

 

SECTION 19.07.                    Business
Days.

 

In any case where the date of payment of
principal of or Interest on the Securities will not be a Business Day, the
payment of such principal of or Interest on the Securities need not be made on
such date but may be made on the next succeeding Business Day, with the same
force and effect as if made on the due date therefor and no Interest shall
accrue for the period from and after such date, except that if such next
succeeding Business Day falls in the next succeeding calendar year, then such
payment shall be made on the immediately preceding Business Day, in each case
with the same force and effect as if made on such date.

 

SECTION 19.08.                    Trust
Indenture Act to Control.

 

If and to the extent that any provision of
this Indenture limits, qualifies or conflicts with the duties imposed by
Sections 310 to 318, inclusive, of the Trust Indenture Act, such imposed duties
shall control.

 

SECTION 19.09.                    Intention of the Parties.

 

It is the intention of the parties
hereto that the Securities be classified for United States federal income tax
purposes as indebtedness of the Corporation. The provisions of this Indenture
shall be interpreted to further this intention of the parties.

 

SECTION 19.10.                    Table
of Contents, Headings, Etc.

 

The table of contents and the titles and
headings of the articles and sections of this Indenture have been inserted for
convenience of reference only, are not to be considered a part hereof, and
shall in no way modify or restrict any of the terms or provisions hereof.

 

SECTION 19.11.                    Execution
in Counterparts.

 

This Indenture may be executed in any number
of counterparts, each of which shall be an original, but such counterparts
shall together constitute but one and the same instrument.

 

SECTION 19.12.                    Separability.

 

In case any one or more of the provisions
contained in this Indenture or in the Securities shall for any reason be held
to be invalid, illegal or unenforceable in any respect, such invalidity,
illegality or unenforceability shall not affect any other provisions of this
Indenture or of the Securities, but this Indenture and the Securities shall be
construed as if such invalid or illegal or unenforceable provision had never
been contained herein or therein.

 

SECTION 19.13.                    Assignment.

 

The Corporation will have the right at all
times to assign any of its respective rights or obligations under this
Indenture to a direct or indirect wholly owned Subsidiary of the Corporation,
provided that, in the event of any such assignment, the Corporation will remain
primarily liable for all such obligations. Subject to the foregoing, the
Indenture is binding upon

 

88

 

and inures to the benefit of
the parties thereto and their respective successors and assigns. This Indenture
may not otherwise be assigned by the parties thereto.

 

[SIGNATURE PAGE FOLLOWS]

 

89

 

LaSalle Bank National Association hereby
accepts the trusts in this indenture declared and provided, upon the terms and
conditions hereinabove set forth.

 

IN WITNESS WHEREOF, the parties hereto have
caused this Indenture to be duly executed by their respective officers
thereunto duly authorized, as of the day and year first above written.

 

	
   

  	
  AFFILIATED MANAGERS GROUP, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ John Kingston, III

  
	
   

  	
   

  	
  Name: John Kingston, III

  
	
   

  	
   

  	
  Title: Senior Vice President, General

  
	
   

  	
   

  	
   Counsel and Secretary

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  LASALLE BANK NATIONAL ASSOCIATION,

  
	
   

  	
   

  	
  as Debenture Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Michael Oliver

  
	
   

  	
   

  	
  Name: Michael Oliver

  
	
   

  	
   

  	
  Title: Assistant Vice President

  

 

90

 

EXHIBIT A

 

(FORM OF FACE OF SECURITY)

 

[Include the following legend on all Global
Securities.]

 

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE
MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME
OF THE DEPOSITORY TRUST COMPANY OR A NOMINEE OF THE DEPOSITORY TRUST COMPANY.
THIS SECURITY IS EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON
OTHER THAN THE DEPOSITORY TRUST COMPANY OR ITS NOMINEE ONLY IN THE LIMITED
CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER OF THIS SECURITY
(OTHER THAN A TRANSFER OF THIS SECURITY AS A WHOLE BY THE DEPOSITORY TRUST
COMPANY TO A NOMINEE OF THE DEPOSITORY TRUST COMPANY OR BY A NOMINEE OF THE
DEPOSITORY TRUST COMPANY TO THE DEPOSITORY TRUST COMPANY OR ANOTHER NOMINEE OF
THE DEPOSITORY TRUST COMPANY OR TO A SUCCESSOR CLEARING AGENCY OR TO A NOMINEE
OF SUCH SUCCESSOR) MAY BE REGISTERED EXCEPT IN LIMITED CIRCUMSTANCES.

 

UNLESS THIS SECURITY IS PRESENTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW
YORK, NEW YORK) TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER,
EXCHANGE OR PAYMENT AND ANY SECURITY ISSUED IS REGISTERED IN THE NAME OF CEDE
& CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF
THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT HEREON IS MADE TO CEDE & CO.,
ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY A PERSON IS
WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

 

[Include the following legends on all
Securities, including Global Securities, unless otherwise determined by the
Corporation in accordance with applicable law.]

 

THIS SECURITY AND THE SHARES OF AFFILIATED
MANAGERS GROUP, INC. COMMON STOCK ISSUABLE UPON CONVERSION HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY, THE SHARES OF UNDERLYING AFFILIATED
MANAGERS GROUP, INC. COMMON STOCK ISSUABLE UPON CONVERSION OF THIS SECURITY NOR
ANY INTEREST OR PARTICIPATION HEREIN OR THEREIN MAY BE REOFFERED, SOLD,
ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT
SUBJECT TO, REGISTRATION.

 

THE HOLDER OF THIS SECURITY, BY ITS
ACCEPTANCE HEREOF, AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY,
PRIOR TO THE DATE

 

A-1

 

(THE “RESALE RESTRICTION
TERMINATION DATE”) WHICH IS TWO YEARS AFTER THE LATER OF THE ORIGINAL ISSUE
DATE HEREOF AND THE LAST DATE ON WHICH AFFILIATED MANAGERS GROUP, INC. OR ANY
AFFILIATE OF AFFILIATED MANAGERS GROUP, INC. WAS THE OWNER OF THIS SECURITY (OR
ANY PREDECESSOR OF SUCH SECURITY) ONLY (A) TO AFFILIATED MANAGERS GROUP, INC.
OR ANY SUBSIDIARY THEREOF, (B) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR
RESALE PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A “QUALIFIED
INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON
RULE 144A, (C) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED
EFFECTIVE UNDER THE SECURITIES ACT, OR (D) PURSUANT TO ANOTHER AVAILABLE
EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO AFFILIATED
MANAGERS GROUP, INC.’S, AND THE DEBENTURE TRUSTEE’S RIGHT PRIOR TO ANY SUCH
OFFER, SALE OR TRANSFER PURSUANT TO CLAUSE (D) TO REQUIRE THE DELIVERY OF AN
OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH
OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE
FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY IS COMPLETED AND DELIVERED BY
THE TRANSFEROR TO THE DEBENTURE TRUSTEE. THIS LEGEND WILL BE REMOVED UPON THE
REQUEST OF THE HOLDER UPON THE EARLIER OF THE TRANSFER OF THE SECURITIES
EVIDENCED HEREBY PURSUANT TO CLAUSE (C) ABOVE AND THE RESALE RESTRICTION
TERMINATION DATE. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THE SECURITY EVIDENCED HEREBY IS
TRANSFERRED (OTHER THAN A TRANSFER PURSUANT TO CLAUSE (C) ABOVE) A NOTICE
SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND.

 

FOR PURPOSES OF SECTIONS 1273 AND 1275 OF THE
INTERNAL REVENUE CODE, THE ISSUE PRICE OF EACH SECURITY IS $49.50 PER $50.00 OF
PRINCIPAL AMOUNT, THE ISSUE DATE IS APRIL 3, 2006 AND THE COMPARABLE YIELD IS
7.50% PER ANNUM.

 

U.S. HOLDERS OF THIS SECURITY MAY OBTAIN THE
PROJECTED PAYMENT SCHEDULE FOR THIS SECURITY BY SUBMITTING A WRITTEN REQUEST
FOR SUCH INFORMATION TO AFFILIATED MANAGERS GROUP, INC., 600 HALE STREET,
PRIDES CROSSING, MASSACHUSETTS 01965, ATTN.: CHIEF FINANCIAL OFFICER.

 

BY ITS ACQUISITION OF THIS CERTIFICATE THE
HOLDER REPRESENTS THAT EITHER (I) IT IS NOT AN EMPLOYEE BENEFIT PLAN OR OTHER
SIMILAR RETIREMENT PLAN OR ARRANGEMENT, WHETHER OR NOT SUBJECT TO THE EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), OR SECTION 4975
OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”) (OR ANY SIMILAR
LAWS OR REGULATIONS), OR AN ENTITY WHOSE UNDERLYING ASSETS ARE CONSIDERED TO
INCLUDE THE ASSETS OF ANY SUCH PLANS AND ARRANGEMENTS (EACH, A “PLAN”) AND NO

 

A-2

 

PART OF THE ASSETS TO BE USED
BY THE HOLDER TO ACQUIRE AND/OR HOLD THIS CERTIFICATE OR ANY INTEREST THEREIN
CONSTITUTES PLAN ASSETS OF ANY PLAN OR (II) THE ACQUISITION, HOLDING AND IF
APPLICABLE CONVERSION OF THIS CERTIFICATE WILL NOT CONSTITUTE A NON-EXEMPT
PROHIBITED TRANSACTION UNDER TITLE I OF ERISA OR SECTION 4975 OF THE CODE OR A
VIOLATION UNDER ANY OTHER APPLICABLE LAWS AND REGULATIONS THAT ARE SIMILAR TO
THE PROVISIONS OF TITLE I OF ERISA OR SECTION 4975 OF THE CODE.

 

A-3

 

Principal Amount: $300,000,000

 

Affiliated Managers Group, Inc.

 

5.10% JUNIOR SUBORDINATED
CONVERTIBLE DEBENTURE

DUE APRIL 15, 2036

 

Affiliated Managers Group, Inc., a Delaware
corporation (the “Corporation”, which term includes any successor Person under
the Indenture hereinafter referred to), for value received, hereby promises to
pay to LaSalle Bank National Association as Property Trustee for AMG Capital
Trust I or registered assigns, the principal sum of Three Hundred Million
Dollars ($300,000,000) on April 15, 2036 (the “Maturity Date”), unless
previously redeemed, repurchased or converted, and to pay interest on the
outstanding principal amount hereof from April 3, 2006, or from the most recent
interest payment date (each such date, an “Interest Payment Date”) to which
interest has been paid or duly provided for, quarterly (subject to deferral as
set forth herein) in arrears on January 15, April 15, July 15 and October 15 of
each year, commencing July 15, 2006, at the rate of 5.10% per annum until the
principal hereof shall have become due and payable, and on any overdue
principal and (without duplication and to the extent that payment of such
interest is enforceable under applicable law) on any overdue installment of
Interest at the same rate per annum compounded quarterly, including any
Liquidated Damages (as defined in the Registration Rights Agreement),
Contingent Interest and any Additional Sums. The amount of Interest, if any, payable
on any Interest Payment Date or Contingent Interest Payment Date, as the case
may be, shall be computed on the basis of a 360-day year of twelve 30-day
months. In the event that any date on which the principal of or Interest on
this Security is payable is not a Business Day, then the payment payable on
such date will be made on the next succeeding day that is a Business Day (and
without any Interest or other payment in respect of any such delay), except
that if such next succeeding Business Day falls in the next calendar year, then
such payment shall be made on the immediately preceding Business Day, in each
case with the same force and effect as if made on such date. Pursuant to the
Indenture, in certain circumstances the Corporation will be required to pay
Additional Sums, Liquidated Damages, Compounded Interest and Contingent
Interest with respect to this Security.

 

The Interest installment so payable, and
punctually paid or duly provided for, on any Interest Payment Date will, as
provided in the Indenture, be paid to the Person in whose name this Security
(or one or more Predecessor Securities, as defined in said Indenture) is
registered at the close of business on the regular record date for such
interest installment, which shall be as of 5:00 p.m., New York City time, on
the first day of the month, whether or not a Business Day, in the month in which
the relevant Interest Payment Date occurs. Any such Interest installment not
punctually paid or duly provided for shall forthwith cease to be payable to the
Holders on such regular record date and shall be paid to the Person in whose
name this Security (or one or more Predecessor Securities) is registered at the
close of business on a special record date to be fixed by the Debenture Trustee
for the payment of such defaulted Interest, notice whereof shall be given to
the holders of Securities not less than 10 days prior to such special record
date, or may be paid at any time in any other lawful manner not inconsistent
with the requirements of any

 

A-4

 

securities exchange on which
the Securities may be listed, and upon such notice as may be required by such
exchange, all as more fully provided in the Indenture.

 

The principal of and Interest on this
Security shall be payable at the office or agency of the Debenture Trustee
maintained for that purpose in any coin or currency of the United States of
America that at the time of payment is legal tender for payment of public and
private debts; provided, however, that, payment
of Interest may be made at the option of the Corporation by (i) check mailed to
the holder at such address as shall appear in the Security Register or (ii) by
transfer to an account maintained by the Person entitled thereto, provided that
proper written transfer instructions have been received by the relevant record
date; provided, further, Contingent Interest,
if any, shall be paid in accordance with the provisions of Section 18.02 of the
Indenture. Notwithstanding the foregoing, so long as the Holder of this
Security is the Property Trustee, the payment of the principal of and Interest (including
Contingent Interest, if any) on this Security will be made at such place and to
such account as may be designated by the Property Trustee.

 

The indebtedness evidenced by this Security
is, to the extent provided in the Indenture, subordinate and junior in right of
payment to the prior payment in full of all Senior Indebtedness, and this
Security is issued subject to the provisions of the Indenture with respect
thereto. Each holder of this Security, by accepting the same, (a) agrees to and
shall be bound by such provisions, (b) authorizes and directs the Debenture
Trustee on his or her behalf to take such action as may be necessary or
appropriate to acknowledge or effectuate the subordination so provided and (c)
appoints the Debenture Trustee his or her attorney-in-fact for any and all such
purposes. Each holder hereof, by his or her acceptance hereof, hereby waives
all notice of the acceptance of the subordination provisions contained herein
and in the Indenture by each holder of Senior Indebtedness, whether now
outstanding or hereafter incurred, and waives reliance by each such holder upon
said provisions.

 

This Security shall not be entitled to any
benefit under the Indenture hereinafter referred to, be valid or become
obligatory for any purpose until the certificate of authentication hereon shall
have been signed by or on behalf of the Debenture Trustee.

 

By its acceptance of this Security,
the Securityholder agrees to treat the Security as indebtedness of the
Corporation for United States federal income tax purposes.

 

The provisions of this Security are continued
on the reverse side hereof and such provisions shall for all purposes have the
same effect as though fully set forth at this place.

 

A-5

 

IN WITNESS WHEREOF, the Corporation has
caused this instrument to be duly executed and sealed this 3rd day of April,
2006.

 

	
   

  	
  AFFILIATED MANAGERS GROUP, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
  CERTIFICATE OF AUTHENTICATION

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  This Certificate represents Securities
  referred to

  in the within-mentioned Indenture.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  LASALLE BANK NATIONAL

  ASSOCIATION, not in its individual capacity

  but solely as Debenture Trustee

  
	
   

  	
   

  
	
   

  	
  By

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  

 

A-6

 

(FORM OF REVERSE OF SECURITY)

 

This Security is one of the Securities of the
Corporation (herein sometimes referred to as the “Securities”), specified in
the Indenture, all issued or to be issued under and pursuant to an Indenture,
dated as of April 3, 2006 (the “Indenture”), duly executed and delivered
between the Corporation and LaSalle Bank National Association as Debenture
Trustee (the “Debenture Trustee”), to which Indenture reference is hereby made
for a description of the rights, limitations of rights, obligations, duties and
immunities thereunder of the Debenture Trustee, the Corporation and the holders
of the Securities. Capitalized terms used but not defined herein shall have the
meanings given to them in the Indenture.

 

1.             Redemption. Upon the occurrence and continuation
of a Special Event, the Corporation shall have the right, at any time following
the occurrence of such Special Event, to redeem this Security in whole (but not
in part) at the Redemption Price.  In
addition, the Corporation shall have the right to redeem this Security, in
whole at any time or, in part from time to time, on or after April 15, 2011 at
the Redemption Price if the Closing Price of the Corporation’s Common Stock for
20 Trading Days in a period of 30 consecutive Trading Days ending on the
Trading Day prior to the mailing of the notice of redemption exceeds 130% of
the then prevailing Conversion Price. 
This Security shall not otherwise be subject to redemption at the option
of the Corporation.

 

The Redemption Price shall be paid prior to
12:00 noon, New York City time, on the date of such redemption or at such
earlier time as the Corporation determines, provided, that the Corporation
shall deposit with the Debenture Trustee an amount sufficient to pay the
Redemption Price by 10:00 a.m. New York City time on the date such Redemption
Price is to be paid. Any redemption pursuant to this paragraph will be made
upon not less than 20 days nor more than 60 days notice. If the Securities are
only partially redeemed by the Corporation pursuant to an optional redemption
described in the preceding paragraph, the particular Securities to be redeemed
shall be selected on a pro rata basis not more than 60 days prior to the date
fixed for redemption from the outstanding Securities not previously called for
redemption, provided, however, that with respect to
Securityholders that would be required to hold Securities with an aggregate
principal amount of less than $5,000 but more than an aggregate principal
amount of zero as a result of such pro rata redemption, the Corporation shall
redeem Securities of each such Securityholder so that after such redemption
such Securityholder shall hold Securities either with an aggregate principal
amount of at least $5,000 or such Securityholder no longer holds any Securities
and shall use such method (including, without limitation, by lot) as the
Corporation shall deem fair and appropriate, provided, further, that any such
proration may be made on the basis of the aggregate principal amount of
Securities held by each Securityholder thereof and may be made by making such
adjustments as the Corporation deems fair and appropriate in order that only
Securities in denominations of $50.00 or integral multiples thereof shall be
redeemed.

 

In the event of redemption of this Security
in part only, a new Security or Securities for the portion hereof that has not
been redeemed will be issued in the name of the holder hereof upon the
cancellation hereof.

 

A-7

 

2.             Conversion. (a) Subject to and upon compliance
with the provisions of Article XVII of the Indenture, the Securities are
convertible, at the option of the Securityholder, at any time before 5:00 p.m.,
New York City time, on the Business Day immediately preceding the date of
repayment of such Securities, whether at stated maturity or upon redemption,
into fully paid and nonassessable shares of Common Stock at an initial
conversion rate of 0.3333 shares of Common Stock for each $50.00 in aggregate
principal amount of Securities (equal to an initial Conversion Price of $150.00
per share of Common Stock), subject to adjustment as described in the
Indenture. A Securityholder may convert any portion of the principal amount of the
Securities into that number of fully paid and nonassessable shares of Common
Stock (calculated as to each conversion to the nearest 1/100th of a share) in
the manner prescribed by the Indenture. 
Upon conversion of the Securities, the Corporation may satisfy its
obligation to deliver shares of Common Stock by delivering cash and/or shares
of Common Stock, all as set forth in Article XVII of the Indenture.  In case a Security or portion thereof is
called for redemption, such conversion right in respect of the Security or
portion so called shall expire at 5:00 p.m., New York City time on the Business
Day immediately preceding the corresponding redemption date, unless the
Corporation defaults in making the payment due upon redemption.

 

(b)           To
convert all or a portion of the Securities, the Securityholder thereof shall
deliver to the Conversion Agent an irrevocable Conversion Request setting forth
the principal amount of Securities to be converted, together with the name or
names, if other than the Securityholder, in which the shares of Common Stock
should be issued upon conversion and, if such Securities are in certificated
form, surrender to the Conversion Agent the Securities to be converted, duly
endorsed or assigned to the Corporation or in blank. In addition, a holder of
Preferred Securities may exercise its right under the Declaration to exchange
such Preferred Securities for Securities which shall be converted into Common
Stock by delivering to the Conversion Agent an irrevocable Conversion Request
setting forth the information called for by the preceding sentence and
directing the Conversion Agent (i) to exchange such Preferred Security for a
portion of the Securities held by the Trust (at an exchange rate of $50.00
principal amount of Securities for each Preferred Security), and (ii) to
immediately convert such Securities, on behalf of such Securityholder, into
Common Stock pursuant to Article XVII of the Indenture and, if such Preferred
Securities are in certificated form, surrendering such Preferred Securities,
duly endorsed or assigned to the Corporation or in blank.

 

(c)           Except
as described in this paragraph, no distribution will be payable on Securities
surrendered for conversion with respect to any Interest Payment Date subsequent
to the date of conversion and neither the Trust nor the Corporation shall make,
or be required to make, any payment, allowance or adjustment for accumulated
and unpaid Interest, whether or not in arrears, on Securities surrendered for
conversion. If any Securities are surrendered for conversion between the period
from 5:00 p.m., New York City time, on any record date through and including
the related Interest Payment Date, the Securities surrendered for conversion
must be accompanied by payment in next day funds of an amount equal to the
Interest payment which the registered holder on such record date is to receive,
and such Securityholder shall be entitled to receive the Interest payable on
the subsequent Interest Payment Date on the portion of Securities to be
converted, notwithstanding the conversion thereof prior to such Interest
Payment Date. The previous sentence shall not apply in the case of Securities
called for redemption on a redemption date between a record date and a related
Interest Payment Date and in the case of any Securities surrendered for
conversion after such Securities have been called for redemption

 

A-8

 

during an Extended Interest
Payment Period, in which event Interest with respect to such Securities shall
be payable to the extent provided in the Indenture. Except as otherwise set
forth above in this paragraph, in the case of any Security which is converted,
Interest (including Tax Original Issue Discount) which is payable after the
date of conversion of such Security shall not be payable, and the Corporation
shall not make nor be required to make any other payment, adjustment or
allowance with respect to accrued but unpaid Interest (including Tax Original
Issue Discount) on the Securities being converted, which shall be deemed to be
paid in full through delivery of the Common Stock (together with the cash
payment, if any, in lieu of fractional shares).

 

(d)           Subject
to any right of the Securityholder, the fair market value of the fixed number
of shares of Common Stock into which the Securities are convertible (together
with the cash payment, if any, in lieu of fractional shares) shall be treated
as issued, to the extent thereof, (i) first, in exchange for accrued and unpaid
Interest (including Tax Original Issue Discount) on such Securities at the time
of such conversion, and (ii) second, the balance, if any, of such fair market
value of such Common Stock (and any cash payment) shall be treated as issued in
exchange for the principal amount at maturity of the portion of Securities so
converted.

 

(e)           No
fractional shares of Common Stock shall be issued as a result of conversion,
but in lieu thereof, the Corporation shall pay to the Conversion Agent a cash
adjustment in the amount determined in accordance with the provisions of
Article XVII of the Indenture.

 

3.             Contingent
Interest.  Subject to the conditions
of the Indenture and this Security, the Corporation shall pay Contingent
Interest to the Holders during any Quarterly Period, with the initial Quarterly
Period commencing on April 15, 2011, if, but only if, the average of the
Security Market Prices of the Preferred Securities, or, following any
Dissolution Event, of the Securities for the ten Trading Days ending on the
third Trading Day immediately preceding the first day of the applicable
Quarterly Period equals 130% or more of the liquidation amount of $50.00 per
Preferred Security or $50.00 principal amount of Securities.  The amount of Contingent Interest payable per
$50.00 principal amount of Securities in respect of any Quarterly Period shall
equal the annual rate of 0.25% of the average of the Security Market Prices for
the ten Trading Day measuring period.

 

4.             Repurchase. Upon the occurrence of a Change in
Control, Holders shall have the right to require the Corporation to repurchase
all or any portion of their Securities that is an integral multiple of $50.00
at a Repurchase Price equal to 100% of the principal amount of the Securities
to be repurchased plus accrued and unpaid interest to the Repurchase Date.  To exercise the Repurchase Right following a
Change in Control, the Securityholder shall be required to deliver an
irrevocable Repurchase Notice and otherwise comply with the applicable
provisions of Article XIII of the Indenture. 
In addition, a holder of Preferred Securities may exercise its right
under the Declaration to exchange such Preferred Securities for Securities
which shall be repurchased by the Corporation following a Change in Control by
delivering to the Exchange Agent an irrevocable Notice of Repurchase Election
and directing the Conversion Agent (i) to exchange such Preferred Security for
a portion of the Securities held by the Trust (at an exchange rate of $50.00
principal amount of Securities for each Preferred Security), and (ii) to
immediately tender such Securities, on behalf of such Securityholder, for
repurchase pursuant to

 

A-9

 

Article XIII of the Indenture and, if such
Preferred Securities are in certificated form, surrendering such Preferred
Securities, duly endorsed or assigned to the Corporation or in blank.

 

5.             Acceleration.  In case an Event of Default, as defined in the
Indenture, shall have occurred and be continuing, the principal of all of the
Securities and all accrued and unpaid Interest (including Contingent Interest)
thereon may be declared, and upon such declaration shall become, due and
payable, in the manner, with the effect and subject to the conditions provided
in the Indenture.

 

6.             Modification and Waiver.  The Indenture contains provisions permitting
the Corporation and the Debenture Trustee, with the consent of the holders of a
majority in aggregate principal amount of the Securities at the time
outstanding, as defined in the Indenture, to execute supplemental indentures
for the purpose of adding any provisions to or changing in any manner or
eliminating any of the provisions of the Indenture or of modifying in any
manner the rights of the holders of the Securities; provided,
however, that no such supplemental indenture shall, without the
consent of each holder of Securities then outstanding and affected thereby,
thereby (i) change the Maturity Date of any Security, or reduce the principal
amount of, or any installment of principal of or Interest on the Securities;
(ii) reduce the rate or extend the time of payment of Interest (including
Contingent Interest, if any); (iii) change any of the provisions of Article XIV
of the Indenture relating to redemption; (iv) change the Conversion Rate except
as provided in Section 17.03 and Section 17.04 of the Indenture with respect to
adjustment of the Conversion Rate, or otherwise change the right to convert the
Securities in a manner that would be adverse to Securityholders; (v) make the
principal of, or Interest (including Contingent Interest, if any) payment on,
the Securities payable in any coin or currency other than that provided in the
Indenture; (vi) change any obligation of the Corporation to maintain an office
or agency in the places and for the purposes required by the Indenture or
change the place of payment where the Securities or Interest payment thereon is
payable; (vii) impair or affect the right of any holder of Securities to
institute suit for the payment of the Securities as provided in the Indenture;
(viii) reduce the percentage of the principal amount of the Securities required
to consent to modify or amend the Indenture or for any waiver of compliance
with provisions of the Indenture as stated in the Indenture or for waiver of
Defaults as stated in the Indenture; (ix) make any change adverse to a Holder
with respect to the subordination provisions of Article XV of the Indenture; or
(x) modify any of the foregoing provisions; provided, however,
that if the Securities are held by the Trust, no such modification or amendment
referred to in clauses (i) through (x) shall be effective until the holders of
not less than a majority of the aggregate liquidation amount of the Trust
Securities shall have consented to such modification or amendment; and provided further, that where a consent under the Indenture
would require the consent of the Securityholders of more than a majority of the
principal amount of the Securities, such modification or amendment shall not be
effective until the holders of at least the same proportion in aggregate stated
liquidation amount of the Trust Securities shall have consented to such
modification or amendment. The Indenture also contains provisions permitting
the holders of a majority in aggregate principal amount of the Securities at the
time outstanding, on behalf of all of the holders of the Securities, prior to
any declaration accelerating the maturity of the Securities, to waive any past
Default or Event of Default and its consequences, except (i) a Default in
the payment of the principal of or Interest on any of the Securities or (ii) a
Default in respect of any covenant or provision under which the Indenture
cannot be modified or amended without the consent of each holder of Securities
then outstanding. Any such consent or waiver by

 

A-10

 

the holder of this Security (unless revoked
as provided in the Indenture) shall be conclusive and binding upon such Holder
and upon all future holders and owners of this Security and of any Security issued
in exchange herefor or in place hereof (whether by registration of transfer or
otherwise), irrespective of whether or not any notation of such consent or
waiver is made upon this Security.

 

7.             No Impairment.  No reference herein to the Indenture and no
provision of this Security or of the Indenture shall alter or impair the
obligation of the Corporation, which is absolute and unconditional, to pay the
principal of and Interest (including Contingent Interest, if any) on this
Security at the time and place and at the rate and in the money herein
prescribed.

 

8.             Extension of Interest Payment Period.  So long as the Corporation is not in Default
in the payment of Interest on the Securities, the Corporation shall have the
right, at any time and from time to time during the term of the Securities, to
defer payments of Interest (other than Contingent Interest) by extending the
interest payment period of such Securities for a period not exceeding 20
consecutive quarterly periods, including the first such quarterly period during
such extension period (an “Extended Interest Payment Period”), during which
Extended Interest Payment Period no Interest (other than Contingent Interest) shall
be due and payable; provided that no Extended Interest Payment Period shall end
on a date other than an Interest Payment Date or extend beyond the Maturity
Date or, with respect to any Securities called for redemption, the Redemption
Date with respect to such Securities. At the end of any Extended Interest
Payment Period, the Corporation shall pay all Interest then accrued and unpaid
(together with interest thereon at the rate specified for the Securities to the
extent that payment of such interest is enforceable under applicable law).
Before the termination of any such Extended Interest Payment Period, the
Corporation may further defer payments of Interest (other than Contingent
Interest) by further extending such Extended Interest Payment Period, provided
that such Extended Interest Payment Period, together with all such previous and
further extensions within such Extended Interest Payment Period, (i) shall not
exceed 20 consecutive quarterly periods, including the first quarterly period
during such Extended Interest Payment Period, (ii) shall not end on any date
other than an Interest Payment Date, and (iii) shall not extend beyond the
Maturity Date of the Securities or, with respect to any Securities called for
redemption, the Redemption Date with respect to such Securities. Upon the
termination of any such Extended Interest Payment Period and the payment of all
accrued and unpaid Interest and any additional amounts then due, the
Corporation may commence a new Extended Interest Payment Period, subject to the
foregoing requirements.  The payment of
Contingent Interest may not, under any circumstances, be subject to an Extended
Interest Payment Period.

 

9.             Limitation on Dividends.  The Corporation will be precluded from engaging
in the transaction set forth in Section 3.07 of the Indenture, if at the time
of such transaction (1) an event has occurred with the giving of notice or the
lapse of time, or both, would constitute an Event of Default and the
Corporation has not taken reasonable steps to cure the event, (2) the
Corporation shall be in default with respect to its payment obligations under
the Trust Securities Guarantee or (3) the Corporation shall have given notice
of its election of the exercise of its right to extend the interest payment
period pursuant to Section 16.01 of the Indenture and any such extension shall
be continuing.

 

A-11

 

10.           Liquidation of Trust.  Subject to the applicable provisions of the
Declaration, the Corporation will have the right at any time to liquidate the
Trust and cause the Securities to be distributed to the holders of the Trust
Securities in liquidation of the Trust.

 

11.           Denominations, Transfer and Exchange. The
Securities are issuable only in registered form without coupons in minimum
denominations of $50.00 and any integral multiple thereof. As provided in the
Indenture and subject to the transfer restrictions limitations as may be
contained herein and therein from time to time, this Security is transferable
by the holder hereof on the Security Register of the Corporation, upon
surrender of this Security for registration of transfer at the office or agency
of the Corporation accompanied by a written instrument or instruments of
transfer in form satisfactory to the Corporation or the Debenture Trustee duly
executed by the holder hereof or his attorney duly authorized in writing, and
thereupon one or more new Securities of authorized denominations and for the
same aggregate principal amount and series will be issued to the designated
transferee or transferees. No service charge will be made for any such registration
of transfer, but the Corporation may require payment of a sum sufficient to
cover any tax or other governmental charge payable in relation thereto.

 

12.           Persons Deemed Owners.  Prior to due presentment for registration of
transfer of this Security, the Corporation, the Debenture Trustee, any
authenticating agent, any paying agent, any transfer agent and the registrar
may deem and treat the holder hereof as the absolute owner hereof (whether or
not this Security shall be overdue and notwithstanding any notice of ownership
or writing hereon made by anyone other than the security registrar for the
Securities) for the purpose of receiving payment of or on account of the
principal hereof and (subject to the Indenture) Interest due hereon and for all
other purposes, and neither the Corporation nor the Debenture Trustee nor any
authenticating agent nor any paying agent nor any transfer agent nor any
registrar shall be affected by any notice to the contrary.

 

13.           No Recourse Against Others.  No recourse shall be had for the payment of
the principal of or Interest on this Security, or for any claim based hereon,
or otherwise in respect hereof, or based on or in respect of the Indenture,
against any incorporator, stockholder, officer or director, past, present or
future, as such, of the Corporation or of any predecessor or successor Person,
whether by virtue of any constitution, statute or rule of law, or by the
enforcement of any assessment or penalty or otherwise, all such liability
being, by the acceptance hereof and as part of the consideration for the
issuance hereof, expressly waived and released.

 

14.           Indenture; Trust Indenture Act of 1939.  The terms of this Security include those
stated in the Indenture and those made part of the Indenture by reference to
the Trust Indenture Act of 1939, as amended by the Trust Indenture Reform Act
of 1990, as in effect on the date hereof or, from and after the date that the
Indenture shall be qualified thereunder, as in effect on such date. This
Security is subject to all such terms, and the holder of this Security is
referred to the Indenture and said Act for a statement of them. In the case of
any conflict between the provisions of this Security and the Indenture, the
provisions of the Indenture shall control. The Corporation will furnish to any
Holder, upon written request and without charge, a copy of the Indenture.
Requests may be made to: Affiliated Managers Group, Inc., 600 Hale Street,
Prides Crossing, Massachusetts 01965, Attention:  Chief Financial Officer

 

A-12

 

15.           Abbreviations and Definitions.  Customary abbreviations may be used in the
name of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN
ENT (= tenants by the entireties), JT TEN (= joint tenants with right of
survivorship and not as tenants in common), CUST (= Custodian) and U/G/M/A (=
Uniform Gifts to Minors Act). All terms used in this Security that are defined
in the Indenture shall have the meanings assigned to them in the Indenture.

 

16.           Governing Law.  THE INDENTURE AND THE SECURITIES SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

 

A-13

 

CONVERSION REQUEST

 

To: Affiliated Managers Group, Inc.

 

The undersigned owner of these Securities
hereby irrevocably exercises the option to convert these Securities, or the
portion below designated, into Common Stock (as such term is defined in the
Indenture, dated April 3, 2006, between Affiliated Managers Group, Inc. and LaSalle
Bank National Association, as Debenture Trustee (the “Indenture”)) in
accordance with the terms of the Indenture.

 

The undersigned does also hereby direct that
the shares issuable and deliverable upon conversion, together with any check in
payment for fractional shares, be issued in the name of and delivered to the
undersigned, unless a different name has been indicated in the assignment
below. If shares are to be issued in the name of a person other than the
undersigned, the undersigned will pay all transfer taxes payable with respect
thereto.

 

Any holder, upon the exercise of its
conversion rights in accordance with the terms of the Indenture and the
Securities, agrees to be bound by the terms of the Registration Rights
Agreement relating to the Common Stock issuable upon conversion of the
Securities and agrees to appoint the Conversion Agent for the purpose of
effecting the conversion of the Securities into shares of Common Stock.

 

	
  Date:

  	
   

  	
   

  	
   

  	
  Principal Amount of Securities to be
  converted:

  	
   

  
	
   

  	
   

  	
   

  
	
  If a name or names other than the
  undersigned, please indicate in the spaces below the name or names in which
  the shares of Common Stock are to be issued, along with the address or
  addresses of such person or persons.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (Sign exactly as your name appears on the
  other side of this certificate) (for conversion of definitive Securities
  only)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Please print or Typewrite Name and Address,
  Including Zip Code, and Social Security or Other Identifying Number.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
								

 

A-14

 

	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Signature Guarantee:*

  	
   

  	
   

  	
   

  
				

 

*              (Signature
must be guaranteed by an “eligible guarantor institution” that is, a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be determined by the Registrar
in addition to, or in substitution for, STAMP, all in accordance with the
Securities Exchange Act of 1934, as amended).

 

A-15

 

 REPURCHASE NOTICE

 

TO:                            Affiliated
Managers Group, Inc.

 

The undersigned registered owner of this
Security hereby acknowledges receipt of a notice from Affiliated Managers
Group, Inc. (the “Corporation”) as to the occurrence of a Change in Control
with respect to the Corporation and requests and instructs the Corporation to
repay the entire principal amount of this Security, or the portion thereof
(which is $50.00 principal amount or an integral multiple thereof) below
designated, in accordance with the terms of the Indenture referred to in this
Security, together with interest (including Contingent Interest and Liquidated
Damages, if any) accrued and unpaid to, but excluding, such date, to the
registered holder hereof, in cash as specified in the Corporation’s notice.

 

	
  Dated: 

  	
   

  	
   

  	
  Your Name:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (Print your
  name exactly as it appears on the

  face of this Security)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Your
  Signature: 

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (Sign
  exactly as your name appears on

  the face of this Security)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature
  Guarantee*:

  	
   

  
							

 

Principal amount to be converted (if less
than all): $

 

*
Participant in a recognized Signature Guarantee Medallion Program (or other
signature guarantor acceptable to the Trustee).

 

A-16

 

ASSIGNMENT

 

FOR VALUE RECEIVED, the undersigned assigns
and transfers $           
principal amount of this Security to:

 

 

	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
  (Insert assignee’s
  social security or tax identification number)

  
	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
  (Insert
  address and zip code of assignee)

  
	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
   

  
	
  and irrevocably appoints

  	
   

  
	
   

  
	
   

  
	
   

  
	
   

  	
   

  	
   agent
  to 

  
	
  transfer this Security on the books of the
  Corporation. The agent may substitute another to act for him or her.

  
				

 

	
  Date:

  	
   

  	
   

  
	
   

  	
   

  
	
  Signature:

  	
   

  	
   

  
	
  (Sign exactly as your name appears on the
  other side of this Certificate)

  
	
   

  
	
  Signature Guarantee*:)

  	
   

  	
   

  
								

 

*                                         (Signature
must be guaranteed by an “eligible guarantor institution” that is, a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be determined by the Registrar
in addition to, or in substitution for, STAMP, all in accordance with the
Securities Exchange Act of 1934, as amended).

 

A-17

 

CERTIFICATE TO BE DELIVERED
UPON EXCHANGE OR

REGISTRATION OF RESTRICTED SECURITIES

 

This certificate relates to $                  
principal amount of Securities held in (check applicable space)                        
book-entry or                  
definitive form by the undersigned.

 

(A)                              The
undersigned has requested the Debenture Trustee by written order to exchange or
register the transfer of Securities.

 

(B)                                The
undersigned confirms that such Securities are being (check one box below):

 

(1)  o                transferred to Affiliated
Managers Group, Inc. or a Subsidiary thereof; or

 

(2)  o                transferred
pursuant to and in compliance with Rule 144A under the Securities Act of 1933,
as amended; or

 

(3)  o                transferred
pursuant to an available exemption from the registration requirements of the
Securities Act of 1933, as amended; or

 

(4)  o                transferred
pursuant to an effective registration statement under the Securities Act of
1933, as amended.

 

Unless the box
below is checked, the undersigned confirms that such Securities are not being
transferred to an “affiliate” of Affiliated Managers Group, Inc. as defined in
Rule 144 under the Securities Act of 1933, as amended (an “Affiliate”):

 

(5)  o                The transferee is
an Affiliate of Affiliated Managers Group, Inc.

 

Unless one of the boxes (1) through (4) in
(B) above is checked, the Debenture Trustee will refuse to register any of the
Securities evidenced by this certificate in the name of any person other than
the registered Holder thereof; provided, however,
that if box (3) is checked, the Debenture Trustee may require, prior to
registering any such transfer of the Securities such legal opinions,
certifications and other information as the Debenture Trustee has reasonably
requested to confirm that such transfer is being made pursuant to an exemption
from, or in a transaction not subject to, the registration requirements of the
Securities Act of 1933, as amended such as the exemption provided by Rule 144
under such Act.

 

	
   

  	
   

  
	
  Signature

  
	
   

  
	
  Signature Guarantee:*

  

 

*              (Signature
must be guaranteed by an “eligible guarantor institution” that is, a bank,
stockbroker, savings and loan association or credit union meeting the
requirements of the Registrar, which requirements include membership or
participation in the Securities Transfer Agents Medallion Program (“STAMP”) or
such other “signature guarantee program” as may be

 

A-18

 

determined by the Registrar in addition to,
or in substitution for, STAMP, all in accordance with the Securities Exchange
Act of 1934, as amended.)

 

A-19

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