Document:

EXHIBIT
4.5

 

 

COMMSCOPE, INC.

To

U.S. BANK, NATIONAL ASSOCIATION,

as Trustee

 

INDENTURE

Dated as of

                        ,
        

    % Convertible Senior
Subordinated Debentures Due 20   

 

 

 

TABLE OF CONTENTS

 

	
   

  	
  PAGE

  
	
   

  	
   

  
	
  Article 1

  
	
  DEFINITIONS

  
	
   

  	
   

  
	
  Section 1.01. Definitions

  	
  2

  
	
   

  	
   

  
	
  Article 2

  
	
  ISSUE, DESCRIPTION, EXECUTION, REGISTRATION
  AND EXCHANGE OF DEBENTURES

  
	
   

  	
   

  
	
  Section 2.01. Designation
  Amount And Issue Of Debentures

  	
  10

  
	
  Section 2.02. Form of
  Debentures

  	
  11

  
	
  Section 2.03. Date And Denomination
  Of Debentures; Payments Of Interest

  	
  12

  
	
  Section 2.04. Execution
  of Debentures

  	
  13

  
	
  Section 2.05. Exchange
  and Registration of Transfer of Debentures;
  Restrictions on Transfer

  	
  14

  
	
  Section 2.06. Mutilated,
  Destroyed, Lost or Stolen Debentures

  	
  18

  
	
  Section 2.07. Temporary
  Debentures

  	
  19

  
	
  Section 2.08. Cancellation
  of Debentures

  	
  19

  
	
  Section 2.09. CUSIP
  Numbers

  	
  20

  
	
   

  	
   

  
	
  Article 3

  
	
  REDEMPTION AND REPURCHASE OF DEBENTURES

  
	
   

  	
   

  
	
  Section 3.01. Redemption
  of Debentures

  	
  20

  
	
  Section 3.02. Notice of
  Optional Redemption; Selection of Debentures

  	
  20

  
	
  Section 3.03. Payment of
  Debentures Called For Redemption by the Company

  	
  22

  
	
  Section 3.04. Conversion
  Arrangement on Call for Redemption

  	
  23

  
	
  Section 3.05. Repurchase
  at Option of Holders Upon a Designated Event

  	
  24

  
	
  Section 3.06. Repurchase
  of Debentures by the Company at Option of the Holder

  	
  28

  
	
  Section 3.07. Company
  Repurchase Notice.

  	
  29

  
	
  Section 3.08. Effect of
  Repurchase Notice

  	
  30

  
	
  Section 3.09. Deposit of
  Purchase Price

  	
  30

  
	
  Section 3.10. Debentures
  Repurchased in Part

  	
  31

  
	
  Section 3.11. Repayment
  to the Company

  	
  31

  
	
  Section 3.12. Acceleration;
  Payments To Debentureholders

  	
  31

  
	
  Section 3.13. No Sinking
  Fund

  	
  32

  

 

 

	
  ARTICLE 4

  
	
  SUBORDINATION
  OF DEBENTURES

  
	
   

  	
   

  
	
  Section 4.01. Debentures
  Subordinate to Senior Indebtedness

  	
  32

  
	
  Section 4.02. Payment
  Over of Proceeds upon Dissolution, Etc

  	
  32

  
	
  Section 4.03. No Payment
  When Senior Indebtedness in Default.

  	
  33

  
	
  Section 4.04. Payment
  Permitted If No Default

  	
  34

  
	
  Section 4.05. Subrogation
  to Rights of Holders of Senior Indebtedness

  	
  35

  
	
  Section 4.06. Provisions
  Solely To Define Relative Rights

  	
  35

  
	
  Section 4.07. Trustee To
  Effectuate Subordination

  	
  36

  
	
  Section 4.08. No Waiver
  of Subordination Provisions

  	
  36

  
	
  Section 4.09. Notice to
  Trustee

  	
  37

  
	
  Section 4.10. Reliance
  on Judicial Order or Certificate of Liquidating Agent

  	
  37

  
	
  Section 4.11. Trustee
  Not Fiduciary for Holders of Senior Indebtedness

  	
  38

  
	
  Section 4.12. Rights of
  Trustee as Holder of Senior Indebtedness; Preservation of Trustee’s Rights

  	
  38

  
	
  Section 4.13. Article
  Applicable to Paying Agents

  	
  38

  
	
  Section 4.14. No Senior
  Subordinated Indebtedness

  	
  38

  
	
   

  	
   

  
	
  ARTICLE 5

  
	
  [RESERVED]

  
	
   

  	
   

  
	
  ARTICLE 6

  
	
  PARTICULAR
  COVENANTS OF THE COMPANY

  
	
   

  	
   

  
	
  Section 6.01. Payment of
  Principal and Interest

  	
  39

  
	
  Section 6.02. Maintenance
  of Office or Agency

  	
  39

  
	
  Section 6.03. Appointments
  to Fill Vacancies in Trustee’s Office

  	
  40

  
	
  Section 6.04. Provisions
  as to Paying Agent

  	
  40

  
	
  Section 6.05. Existence

  	
  41

  
	
  Section 6.06. Rule 144A
  Information Requirement

  	
   

  
	
  Section 6.07. Stay,
  Extension and Usury Laws

  	
  41

  
	
  Section 6.08. Compliance
  Certificate

  	
  41

  
	
  Section 6.09. Liquidated
  Damages Notice

  	
   

  
	
   

  	
   

  
	
  ARTICLE 7

  
	
  DEBENTUREHOLDERS’
  LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE

  
	
   

  	
   

  
	
  Section 7.01. Debentureholders’
  Lists

  	
  42

  
	
  Section 7.02. Preservation
  And Disclosure Of Lists

  	
  42

  
	
  Section 7.03. Reports By
  Trustee

  	
  42

  
	
  Section 7.04. Reports by
  Company

  	
  43

  

 

ii

 

	
  ARTICLE 8

  
	
  REMEDIES
  OF THE TRUSTEE AND DEBENTUREHOLDERS ON AN EVENT OF DEFAULT

  
	
   

  	
   

  
	
  Section 8.01. Events Of
  Default

  	
  43

  
	
  Section 8.02. Payments
  of Debentures on Default; Suit Therefor

  	
  46

  
	
  Section 8.03. Application
  of Monies Collected By Trustee

  	
  48

  
	
  Section 8.04. Proceedings
  by Debentureholder

  	
  48

  
	
  Section 8.05. Proceedings
  By Trustee

  	
  49

  
	
  Section 8.06. Remedies
  Cumulative And Continuing

  	
  49

  
	
  Section 8.07. Direction
  of Proceedings and Waiver of Defaults By Majority of Debentureholders

  	
  50

  
	
  Section 8.08. Notice of
  Defaults

  	
  50

  
	
  Section 8.09. Undertaking
  To Pay Costs

  	
  51

  
	
   

  	
   

  
	
  ARTICLE 9

  
	
  THE
  TRUSTEE

  
	
   

  	
   

  
	
  Section 9.01. Duties and
  Responsibilities of Trustee

  	
  51

  
	
  Section 9.02. Reliance
  on Documents, Opinions, Etc

  	
  53

  
	
  Section 9.03. No
  Responsibility For Recitals, Etc

  	
  54

  
	
  Section 9.04. Trustee,
  Paying Agents, Conversion Agents or Registrar May Own Debentures

  	
  54

  
	
  Section 9.05. Monies to
  Be Held in Trust

  	
  54

  
	
  Section 9.06. Compensation
  and Expenses of Trustee

  	
  55

  
	
  Section 9.07. Officers’
  Certificate As Evidence

  	
  55

  
	
  Section 9.08. Conflicting
  Interests of Trustee

  	
  56

  
	
  Section 9.09. Eligibility
  of Trustee

  	
  56

  
	
  Section 9.10. Resignation
  or Removal of Trustee.

  	
  56

  
	
  Section 9.11. Acceptance
  by Successor Trustee

  	
  58

  
	
  Section 9.12. Succession
  By Merger

  	
  58

  
	
  Section 9.13. Preferential
  Collection of Claims

  	
  59

  
	
   

  	
   

  
	
  ARTICLE
  10

  
	
  THE
  DEBENTUREHOLDERS

  
	
   

  	
   

  
	
  Section 10.01. Action By
  Debentureholders

  	
  59

  
	
  Section 10.02. Proof of
  Execution by Debentureholders

  	
  60

  
	
  Section 10.03. Who Are
  Deemed Absolute Owners

  	
  60

  
	
  Section 10.04. Company-owned
  Debentures Disregarded

  	
  60

  
	
  Section 10.05. Revocation
  Of Consents, Future Holders Bound

  	
  61

  
	
   

  	
   

  
	
  ARTICLE
  11

  
	
  MEETINGS
  OF DEBENTUREHOLDERS

  
	
   

  	
   

  
	
  Section 11.01. Purpose Of
  Meetings

  	
  61

  

 

iii

 

	
  Section 11.02. Call Of
  Meetings By Trustee

  	
  61

  
	
  Section 11.03. Call Of
  Meetings By Company Or Debentureholders

  	
  62

  
	
  Section 11.04. Qualifications
  For Voting

  	
  62

  
	
  Section 11.05. Regulations

  	
  62

  
	
  Section 11.06. Voting

  	
  63

  
	
  Section 11.07. No Delay
  Of Rights By Meeting

  	
  63

  
	
   

  	
   

  
	
  ARTICLE
  12

  
	
  SUPPLEMENTAL
  INDENTURES

  
	
   

  	
   

  
	
  Section 12.01. Supplemental
  Indentures Without Consent of Debentureholders

  	
  64

  
	
  Section 12.02. Supplemental
  Indenture With Consent Of Debentureholders

  	
  65

  
	
  Section 12.03. Effect Of
  Supplemental Indenture

  	
  67

  
	
  Section 12.04. Notation
  On Debentures

  	
  67

  
	
  Section 12.05. Evidence
  Of Compliance Of Supplemental Indenture To Be Furnished To Trustee

  	
  67

  
	
   

  	
   

  
	
  ARTICLE
  13

  
	
  [RESERVED]

  
	
   

  	
   

  
	
  ARTICLE
  14

  
	
  CONSOLIDATION,
  MERGER, SALE, CONVEYANCE AND LEASE

  
	
   

  	
   

  
	
  Section 14.01. Company
  May Consolidate On Certain Terms

  	
  68

  
	
  Section 14.02. Successor
  To Be Substituted

  	
  68

  
	
  Section 14.03. Opinion Of
  Counsel To Be Given Trustee

  	
  69

  
	
   

  	
   

  
	
  ARTICLE
  15

  
	
  SATISFACTION
  AND DISCHARGE OF INDENTURE

  
	
   

  	
   

  
	
  Section 15.01. Discharge
  Of Indenture

  	
  69

  
	
  Section 15.02. Deposited
  Monies To Be Held In Trust By Trustee

  	
  70

  
	
  Section 15.03. Paying
  Agent To Repay Monies Held

  	
  70

  
	
  Section 15.04. Return Of
  Unclaimed Monies

  	
  70

  
	
  Section 15.05. Reinstatement

  	
  70

  
	
   

  	
   

  
	
  ARTICLE
  16

  
	
  IMMUNITY
  OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS

  
	
   

  	
   

  
	
  Section 16.01. Indenture
  And Debentures Solely Corporate Obligations

  	
  71

  
	
   

  	
   

  
	
  ARTICLE
  17

  
	
  CONVERSION
  OF DEBENTURES

  
	
   

  	
   

  
	
  Section 17.01. Right To
  Convert

  	
  71

  

 

iv

 

	
  Section 17.02. Conversion
  Procedures

  	
  73

  
	
  Section 17.03. Cash
  Payments in Lieu of Fractional Shares

  	
  74

  
	
  Section 17.04. Conversion
  Rate

  	
  75

  
	
  Section 17.05. Adjustment
  Of Conversion Rate

  	
  75

  
	
  Section 17.06. Effect Of
  Reclassification, Consolidation, Merger or Sale

  	
  85

  
	
  Section 17.07. Taxes On
  Shares Issued

  	
  86

  
	
  Section 17.08. Reservation of Shares, Shares to Be Fully Paid; Compliance With Governmental Requirements; Listing of Common Stock

  	
  86

  
	
  Section 17.09. Responsibility
  Of Trustee

  	
  87

  
	
  Section 17.10. Notice To
  Holders Prior To Certain Actions

  	
  88

  
	
  Section 17.11. Stockholder
  Rights Plans

  	
  88

  
	
  Section 17.12. Issuer
  Determination Final

  	
  89

  
	
   

  	
   

  
	
  ARTICLE
  18

  
	
  MISCELLANEOUS
  PROVISIONS

  
	
   

  	
   

  
	
  Section 18.01. Provisions
  Binding On Company’s Successors

  	
  89

  
	
  Section 18.02. Official
  Acts By Successor Corporation

  	
  89

  
	
  Section 18.03. Addresses
  For Notices, Etc

  	
  89

  
	
  Section 18.04. Governing
  Law

  	
  90

  
	
  Section 18.05. Evidence
  Of Compliance With Conditions Precedent, Certificates To Trustee

  	
  90

  
	
  Section 18.06. Legal Holidays

  	
  91

  
	
  Section 18.07. Trust
  Indenture Act

  	
  91

  
	
  Section 18.08. No
  Security Interest Created

  	
  91

  
	
  Section 18.09. Benefits
  Of Indenture

  	
  91

  
	
  Section 18.10. Authenticating
  Agent

  	
  91

  
	
  Section 18.11. Execution
  In Counterparts

  	
  92

  
	
  Section 18.12. Severability

  	
  92

  
	
  Section 18.13. Table of
  Contents, Headings, Etc

  	
  93

  
	
   

  	
   

  
	
  Exhibit A Form of Debenture

  	
  A-1

  

 

v

 

INDENTURE

 

INDENTURE dated as of                  ,
        between CommScope, Inc., a
Delaware corporation (hereinafter called the “Company”),
having its principal office at 1100 CommScope Place, S.E., P.O. Box 339,
Hickory, North Carolina, 28602, and U.S. Bank, National Association, as trustee
hereunder (hereinafter called the “Trustee”).

 

WITNESSETH:

 

WHEREAS, for its lawful corporate purposes,
the Company has duly authorized the issue of its         %
Convertible Senior Subordinated Debentures Due 20    (hereinafter
called the “Debentures”), in an aggregate
principal amount not to exceed $                        
and, to provide the terms and conditions upon which the Debentures are to be
authenticated, issued and delivered, the Company has duly authorized the
execution and delivery of this Indenture; and

 

WHEREAS, the Debentures, the certificate of
authentication to be borne by the Debentures, a form of assignment, a form of
option to elect repurchase upon a Designated Event, a form of repurchase notice
and a form of conversion notice to be borne by the Debentures are to be
substantially in the forms hereinafter provided for; and

 

WHEREAS, all acts and things necessary to
make the Debentures, when executed by the Company and authenticated and
delivered by the Trustee or a duly authorized authenticating agent, as in this
Indenture provided, the valid, binding and legal obligations of the Company,
and to constitute this Indenture a valid agreement according to its terms, have
been done and performed, and the execution of this Indenture and the issue
hereunder of the Debentures have in all respects been duly authorized,

 

NOW, THEREFORE, THIS INDENTURE WITNESSETH:

 

That in order to declare the terms and
conditions upon which the Debentures are, and are to be, authenticated, issued
and delivered, and in consideration of the premises and of the purchase and
acceptance of the Debentures by the holders thereof, the Company covenants and
agrees with the Trustee for the equal and proportionate benefit of the
respective holders from time to time of the Debentures (except as otherwise
provided below), as follows:

 

 

ARTICLE 1

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 and of any indenture supplemental hereto shall have the respective
meanings specified in this Section 1.01. All other terms used in this Indenture
that are defined in the Trust Indenture Act or that are by reference therein
defined in the Securities Act (except as herein otherwise expressly provided or
unless the context otherwise requires) shall have the meanings assigned to such
terms in the Trust Indenture Act and in the Securities Act as in force at the
date of the execution of this Indenture. The words “herein”,
“hereof”, “hereunder”
and words of similar import refer to this Indenture as a whole and not to any
particular Article, Section or other Subdivision. The terms defined in this
Article include the plural as well as the singular.

 

“Adjustment Event”
has the meaning specified in Section 17.05(m).

 

“Agent Members”
has the meaning specified in Section 2.05(b)(v).

 

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

 

“Board of Directors”
means the Board of Directors of the Company or a committee of such Board duly
authorized to act for it hereunder.

 

“Business Day”
means any day except a Saturday, Sunday or legal holiday on which banking
institutions in The City of New York are authorized or obligated by law,
regulation or executive order to close.

 

“Capital Stock”
means (a) in the case of a corporation, corporate stock, (b) in the case of an
association or business entity, any and all shares, interests, participations,
right or other equivalents (however designated) of corporate stock, (c) in the
case of a partnership or limited liability company, partnership or membership
interests (whether general or limited) and (d) any other interest or
participation that confers on a Person the right to receive a share of the
profits and losses of, or distribution in assets of, the issuing Person.

 

“Closing Sale Price”
of the shares of Common Stock on any date means the closing sale price per
share (or if no closing sale price is reported, the average of the closing bid
and ask prices or, if more than one in either case, the average of 

 

2

 

the average closing bid and the average
closing ask prices) on such date as reported in composite transactions for the
principal United States securities exchange on which shares of Common Stock are
traded or, if the shares of Common Stock are not listed on a United States
national or regional securities exchange, as reported by the National
Association of Securities Dealers Automated Quotation System or, if neither, by
the National Quotation Bureau Incorporated. In the absence of such a quotation,
the Company shall be entitled to determine the Closing Sale Price on the basis
it considers appropriate.

 

“Commission”
means 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 Stock”
means any stock of any class of the Company that has no preference in respect
of dividends or of amounts payable in the event of any voluntary or involuntary
liquidation, dissolution or winding up of the Company and that is not subject
to redemption by the Company. Subject to the provisions of Section 17.06,
however, shares issuable on conversion of Debentures shall include only shares
of the class designated as common stock of the Company at the date of this
Indenture (namely, the Common Stock, par value $0.01) or shares of any class or
classes resulting from any reclassification or reclassifications thereof and
that have no preference in respect of dividends or of amounts payable in the
event of any voluntary or involuntary liquidation, dissolution or winding up of
the Company and that are not subject to redemption by the Company; provided that if at any time there shall be more than one
such resulting class, the shares of each such class then so issuable on
conversion shall be substantially in the proportion that the total number of
shares of such class resulting from all such reclassifications bears to the
total number of shares of all such classes resulting from all such
reclassifications.

 

“Company” means
the corporation named as the “Company” in the
first paragraph of this Indenture, and, subject to the provisions of Article 14
and Section 17.06, shall include its successors and assigns.

 

“Company Repurchase Notice”
has the meaning specified in Section 3.07(b).

 

“Company Repurchase Notice
Date” has the meaning specified in Section 3.07(b).

 

“Continuing Director”
means a director who either was a member of the Board of Directors on                             
or who becomes a member of the Board of Directors subsequent to that date and
whose appointment, election or nomination for election by the stockholders of
the Company is duly approved by a 

 

3

 

majority of the Continuing Directors on the
Board of Directors at the time of such approval, either by a specific vote or
by approval of the proxy statement issued by the Company on behalf of the Board
of Directors in which such individual is named as nominee for director.

 

“Conversion Date”
has the meaning set forth in Section 17.02.

 

“Conversion Price”
as of any day will equal $1,000 divided by the Conversion Rate as of such date
and rounded to the nearest cent. The Conversion Price shall initially be $      
per share of Common Stock.

 

“Conversion Rate”
has the meaning specified in Section 17.04.

 

“Corporate Trust Office”
or other similar term, means the designated office of the Trustee at which at
any particular time its corporate trust business as it relates to this
Indenture shall be administered, which office is, at the date as of which this
Indenture is dated, located at                                         .

 

“Credit Agreement”
means that certain amended and restated Credit and Security Agreement dated as
of January 31, 2004 by and among the Company, certain of the Company’s wholly
owned Subsidiaries, the lenders party thereto from time to time and Wachovia
Bank, National Association, as administrative agent, including any related
notes, guarantees, collateral documents, instruments and agreements executed in
connection therewith, and in each case as amended, restated, modified,
increased, renewed, refunded, replaced or refinanced from time to time, whether
or not with the same parties.

 

“Current Market Price”
has the meaning specified in Section 17.05(i).

 

“Custodian”
means U.S. Bank, National Association, as successor to Wachovia Bank, National
Association, as custodian with respect to the Debentures in global form, or any
successor entity thereto.

 

“Debenture” or “Debentures” means any Debenture or Debentures, as the case
may be, authenticated and delivered under this Indenture, including any Global
Debenture.

 

“Debenture Register”
has the meaning specified in Section 2.05.

 

“Debenture Registrar”
has the meaning specified in Section 2.05.

 

“Debentureholder”
or “holder” as applied to any Debenture, or
other similar terms (but excluding the term “Beneficial
Holder”), means any Person in whose name at the time a particular
Debenture is registered on the Debenture Registrar’s books.

 

4

 

“Default” means
any event that is, or after notice or passage of time, or both, would be, an
Event of Default.

 

“Defaulted Interest”
has the meaning specified in Section 2.03.

 

“Depositary”
means the clearing agency registered under the Exchange Act that is designated
to act as the Depositary for the Global Debentures. The Depository Trust
Company shall be the initial Depositary, until a successor shall have been
appointed and become such pursuant to the applicable provisions of this
Indenture, and thereafter, “Depositary”
shall mean or include such successor.

 

“Designated Event”
means a Fundamental Change or a Termination of Trading.

 

“Designated Event
Expiration Time” has the meaning specified in Section 3.05(b).

 

“Designated Event Notice”
has the meaning specified in Section 3.05(b).

 

“Designated Event
Repurchase Date” has the meaning specified in Section 3.05(a).

 

“Determination Date”
has the meaning specified in Section 17.05(m).

 

“Distributed Property”
has the meaning specified in Section 17.05(d).

 

“Equity Interests”
means Capital Stock and all warrants, options or other rights to acquire
Capital Stock (but excluding any debt security that is convertible into, or
exchangeable for, Capital Stock).

 

“Event of Default”
means any event specified in Section 8.01 as an Event of Default.

 

“Exchange Act”
means the Securities Exchange Act of 1934, as amended, and the rules and
regulations promulgated thereunder, as in effect from time to time.

 

“Ex-Dividend Time”
has the meaning specified in Section 17.01(b).

 

“Expiration Time”
has the meaning specified in Section 17.05(f).

 

“Fair Market Value”
has the meaning specified in Section 17.05(i).

 

“Fiscal Quarter”
means, with respect to the Company, its first, second, third and fourth
quarters ending on March 31, June 30, September 30 and
December 31, respectively.

 

“Fundamental Change”
means the occurrence of any of:

 

5

 

(i)    any
transaction or event (whether by means of an exchange offer, liquidation,
tender offer, consolidation, merger, combination, reclassification,
recapitalization or otherwise) in connection with which all or substantially
all of the Common Stock is exchanged for, converted into, acquired for or
constitutes solely the right to receive consideration that is not all or
substantially all common stock that is (or, upon consummation of or immediately
following such transaction or event, which will be) (x) listed on a United
States national securities exchange or (y) approved for quotation on the
Nasdaq National Market or any similar United States system of automated
dissemination of quotations of securities prices.

 

(ii)   a
“person” or “group” within the meaning of Section 13(d) of the Exchange Act
other than the Company, a Subsidiary of the Company or the employee benefit
plans of the Company or a Subsidiary of the Company, files a Schedule TO or any
other schedule, form or report under the Exchange Act disclosing that such
person or group has become the “beneficial owner,” as defined in Rule 13d-3
under the Exchange Act, of more than 50% of the total voting power of all
outstanding shares of the Company’s capital stock that are entitled to vote
generally in the election of directors; or

 

(iii)  Continuing
Directors cease to constitute at least a majority of the Board of Directors.

 

“Global Debenture”
has the meaning specified in Section 2.02.

 

“IDA Notes”
means those certain State Industrial Development Authority Taxable Flexible
Term Notes (CommScope Project) Series 1995 in the amount of $10,800,000.

 

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

 

“Interest”
means, when used with reference to the Debentures, any interest payable under
the terms of the Debentures.

 

 “Measurement Period” has the meaning specified in Error! Reference source not found..

 

“Non-Electing Share”
has the meaning specified in Section 17.06.

 

“Notice Date”
means the date of mailing of the notice of redemption pursuant to Section 3.02.

 

“Officers’ Certificate”,
when used with respect to the Company, means a certificate signed by the
Chairman of the Board, the Chief Executive Officer, the President or any Vice
President (whether or not designated by a number or 

 

6

 

numbers or word or words added before or
after the title “Vice President”) and the Treasurer
or any Assistant Treasurer, or the Secretary or Assistant Secretary of the
Company.

 

“Opinion of Counsel”
means an opinion in writing, subject to customary assumptions and exceptions,
signed by legal counsel, who may be an employee of or counsel to the Company,
or other counsel reasonably acceptable to the Trustee.

 

“Option to Elect Repurchase
Upon a Designated Event” has the meaning specified in Section
3.05(c).

 

“Outstanding”,
when used with reference to Debentures and subject to the provisions of Section
10.04, means, as of any particular time, all Debentures authenticated and
delivered by the Trustee under this Indenture, except:

 

(a)           Debentures
theretofore canceled by the Trustee or delivered to the Trustee for cancellation;

 

(b)           Debentures,
or portions thereof, (i) for the redemption of which monies in the necessary
amount shall have been deposited in trust with the Trustee or with any paying
agent (other than the Company) or (ii) that shall have been otherwise defeased
in accordance with Article 15;

 

(c)           Debentures
in lieu of which, or in substitution for which, other Debentures shall have
been authenticated and delivered pursuant to the terms of Section 2.06; and

 

(d)           Debentures
converted into Common Stock pursuant to Article 17 and Debentures deemed not
Outstanding pursuant to Article 3.

 

“Permitted Junior
Securities” means Equity Interests in the Company or debt securities
of the Company that are subordinated to all Senior Indebtedness (and any debt
securities issued in exchange for Senior Indebtedness) to substantially the
same extent, or to a greater extent than, the Debentures are subordinated to
Senior Indebtedness.

 

“Person” means a
corporation, an association, a partnership, a limited liability company, an
individual, a joint venture, a joint stock company, a trust, an unincorporated
organization or a government or an agency or a political subdivision thereof.

 

“Portal Market”
means The Portal Market operated by the National Association of Securities
Dealers, Inc. or any successor thereto.

 

“Predecessor Debenture”
of any particular Debenture means every previous Debenture evidencing all or a
portion of the same debt as that evidenced by such particular Debenture, and,
for the purposes of this definition, any 

 

7

 

Debenture authenticated and delivered under
Section 2.06 in lieu of a lost, destroyed or stolen Debenture shall be deemed
to evidence the same debt as the lost, destroyed or stolen Debenture that it
replaces.

 

“Purchased Shares”
has the meaning specified in Section 17.05(f).

 

“Record Date”
has the meaning specified in Section 17.05(i).

 

“Repurchase Date”
has the meaning specified in Section 3.06.

 

“Repurchase Notice”
has the meaning specified in Section 3.06.

 

“Responsible Officer”
shall mean, when used with respect to the Trustee, any officer within the
corporate trust department of the Trustee with direct responsibility for the
administration of this Indenture and also means, with respect to a particular
corporate trust matter, any other officer to whom such matter is referred
because of such person’s knowledge of any familiarity with the particular
subject.

 

“Rights” has the
meaning specified in Section 17.11.

 

“Securities Act”
means the Securities Act of 1933, as amended, and the rules and regulations
promulgated thereunder, as in effect from time to time.

 

“Senior Indebtedness”
means, in respect of the Company, whether now or hereafter incurred: (i) the
principal, premium, if any, interest and all other amounts owed in respect of
the Company’s (A) indebtedness for money borrowed and (B) indebtedness
evidenced by securities, debentures, bonds or other similar instruments, (ii)
all obligations of the Company (including all interest accruing after the
commencement of any bankruptcy or similar proceeding, whether or not a claim
for post-petition interest is allowed as a claim in any such proceeding)
payable under the Credit Agreement and the IDA Notes, whether outstanding on
the date of this Indenture or thereafter created, incurred, assumed, guaranteed
or in effect guaranteed by the Company, (iii) all of the Company’s capital
lease obligations, (iv) all obligations issued or assumed by the Company as the
deferred purchase price of property, all of the Company’s conditional sale
obligations and all of the Company’s obligations under any title retention
agreement (but excluding trade accounts payable arising in the ordinary course
of business), (v) all of the Company’s obligations for the reimbursement of any
letter of credit, banker’s acceptance, security purchase facility or similar
credit transaction, (vi) all obligations of the type referred to in clauses (i)
through (v) above of other persons for the payment of which the Company is
responsible or liable as obligor, guarantor or otherwise, and (vii) all
obligations of the type referred to in clauses (i) through (vi) above of other
persons secured by any lien on any of the Company’s properties or assets
(whether or not such obligation is assumed by the Company), except for (x) any
such indebtedness that is by its terms subordinated to or pari passu with
the Debentures or is subordinated to any other Senior 

 

8

 

Indebtedness; (y) any indebtedness between or
among the Company or its Affiliates, including all other debt securities and
guarantees in respect of those debt securities issued to any trust, or trustees
of such trust, partnership or other entity affiliated with the Company that is,
directly or indirectly, a financing vehicle of the Company (a “Financing Entity”)
in connection with the issuance by such Financing Entity of preferred
securities or other securities that rank pari passu
with, or junior to, the Debentures and (z) accounts payable or other liability
to trade creditors arising in the ordinary course of business (including
guarantees thereof or instruments evidencing such liabilities).

 

“Senior Indebtedness
Default Notice” has the meaning specified in Section 4.03(a).

 

“Senior Subordinated
Indebtedness” means, with respect to the Company, the Debentures and
any other indebtedness of the Company that specifically provides that such
indebtedness is to have the same rank as the Debentures in right of payment and
is not subordinated by its terms in right of payment to any indebtedness or
other obligation of the Company that is not Senior Indebtedness.

 

“Significant Subsidiary”
means, as of any date of determination, a Subsidiary of the Company that would
constitute a “significant subsidiary” as such
term is defined under Rule 1-02(w) of Regulation S-X of the Commission as in
effect on the date of this Indenture.

 

“Subordinated Indebtedness”
means, with respect to the Company, the Company’s 4% Convertible Subordinated
Notes due December 15, 2006 and any other indebtedness of the Company that
specifically provides that such indebtedness is subordinated to the Debentures.

 

“Subordinated Obligations”
has the meaning specified in Section 4.01.

 

“Subsidiary”
means, with respect to any Person, (i) any corporation, association or other
business entity of which more than 50% of the total voting power of shares of
capital stock or other equity interest entitled (without regard to the
occurrence of any contingency) to vote in the election of directors, managers
or trustees thereof is at the time owned or controlled, directly or indirectly,
by such Person or one or more of the other subsidiaries of that Person (or a
combination thereof) and (ii) any partnership (a) the sole general partner or
managing general partner of which is such Person or a subsidiary of such Person
or (b) the only general partners of which are such Person or of one or more
subsidiaries of such Person (or any combination thereof).

 

“Termination of Trading”
will be deemed to have occurred if the Common Stock (or other common stock into
which the Debentures are then convertible) ceases to be listed for trading on a
United States national or regional 

 

9

 

securities exchange or approved for quotation
on the Nasdaq National Market or any similar United States system of automated
dissemination of quotations of securities prices that is a successor thereto.

 

“Trading Day”
has the meaning specified in Section 17.05(i).

 

“Trading Price”
means, on any date, the average of the secondary market bid quotations per
$1,000 principal amount of Debentures obtained by the Trustee for $5,000,000
principal amount of Debentures at approximately 3:30 p.m., New York City time,
on such date from three independent nationally recognized securities dealers
selected by the Company; provided that
if three such bids cannot reasonably be obtained by the Trustee, but two 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 Trustee, one bid shall be used; provided further that if the Trustee cannot reasonably
obtain at least one bid for $5,000,000 principal amount of Debentures from a
nationally recognized securities dealer, then the Trading Price per $1,000
principal amount of Debentures shall be deemed to be less than 98% of the
product of (a) the Closing Sale Price of the Common Stock on such date and
(b) the Conversion Rate on such date.

 

“Trigger Event”
has the meaning specified in Section 17.05(d).

 

“Trust Indenture Act”
means the Trust Indenture Act of 1939, as amended, as it was in force at the
date of this Indenture, except as provided in Sections 12.03 and Section 17.06; provided that if the Trust Indenture Act of 1939 is amended
after the date hereof, the term “Trust Indenture Act”
shall mean, to the extent required by such amendment, the Trust Indenture Act
of 1939 as so amended.

 

“Trustee” means
U.S. Bank, National Association, as successor to Wachovia Bank, National
Association, and
its successors and any corporation resulting from or surviving any
consolidation or merger to which it or its successors may be a party and any
successor trustee at the time serving as successor trustee hereunder.

 

ARTICLE 2

ISSUE, DESCRIPTION, EXECUTION, REGISTRATION AND EXCHANGE OF DEBENTURES

 

Section 2.01. Designation Amount And
Issue Of Debentures. The Debentures shall be designated as “      % Convertible Senior Subordinated
Debentures Due 20    ”. Debentures not to exceed
the aggregate principal amount of $                      
(except pursuant to Sections 2.05, 2.06, 3.03, 3.05 and 17.02 hereof) upon the
execution of this Indenture, or from time to time thereafter, may be executed
by the Company and delivered to the Trustee for 

 

10

 

authentication,
and the Trustee shall thereupon authenticate and deliver said Debentures to or
upon the written order of the Company, signed by its Chairman of the Board,
Chief Executive Officer, President or any Vice President (whether or not
designated by a number or numbers or word or words added before or after the
title “Vice President”), the Treasurer or any
Assistant Treasurer or the Secretary or Assistant Secretary, without any
further action by the Company hereunder.

 

Section 2.02. Form of Debentures. The
Debentures and the Trustee’s certificate of authentication to be borne by such
Debentures shall be substantially in the form set forth in Exhibit A. The terms
and provisions contained in the form of Debenture attached as Exhibit A hereto
shall constitute, and are hereby expressly made, a part of this Indenture and,
to the extent applicable, the Company and the Trustee, by their execution and
delivery of this Indenture, expressly agree to such terms and provisions and to
be bound thereby.

 

Any of the Debentures may have such letters,
numbers or other marks of identification and such notations, legends,
endorsements or changes as the officers executing the same may approve
(execution thereof to be conclusive evidence of such approval) and as are not
inconsistent with the provisions of this Indenture, or as may be required by
the Custodian, the Depositary or by the National Association of Securities
Dealers, Inc. in order for the Debentures to be tradable on The Portal Market
or as may be required for the Debentures to be tradable on any other market
developed for trading of securities pursuant to Rule 144A or as may be required
to comply with any applicable law or with any rule or regulation made pursuant
thereto or with any rule or regulation of any securities exchange or automated
quotation system on which the Debentures may be listed, or to conform to usage,
or to indicate any special limitations or restrictions to which any particular
Debentures are subject.

 

So long as the Debentures are eligible for book-entry
settlement with the Depositary, or unless otherwise required by law, or
otherwise contemplated by Section 2.05(a), all of the Debentures will be
represented by one or more Debentures in global form registered in the name of
the Depositary or the nominee of the Depositary (a “Global
Debenture”). The transfer and exchange of beneficial interests in
any such Global Debenture shall be effected through the Depositary in
accordance with this Indenture and the applicable procedures of the Depositary.
Except as provided in Section 2.05(a), beneficial owners of a Global Debenture
shall not be entitled to have certificates registered in their names, will not
receive or be entitled to receive physical delivery of certificates in
definitive form and will not be considered holders of such Global Debenture.

 

Any Global Debenture shall represent such of
the Outstanding Debentures as shall be specified therein and shall provide that
it shall represent the aggregate amount of Outstanding Debentures from time to
time endorsed thereon and that the aggregate amount of Outstanding Debentures
represented thereby may from 

 

11

 

time to time be increased or reduced to
reflect redemptions, repurchases, conversions, transfers or exchanges permitted
hereby. Any endorsement of a Global Debenture to reflect the amount of any
increase or decrease in the amount of Outstanding Debentures represented
thereby shall be made by the Trustee or the Custodian, at the direction of the
Trustee, in such manner and upon instructions given by the holder of such
Debentures in accordance with this Indenture. Payment of principal of and
Interest on any Global Debenture shall be made to the holder of such Debenture.

 

Section 2.03. Date And Denomination Of
Debentures; Payments Of Interest. The
Debentures shall be issuable in registered form without coupons in
denominations of $1,000 principal amount and integral multiples thereof. Each
Debenture shall be dated the date of its authentication and shall bear Interest
from the date specified on the face of the form of Debenture attached as
Exhibit A hereto. Interest on the Debentures shall be computed on the basis of
a 360-day year comprised of twelve 30-day months.

 

The Person in whose name any Debenture (or
its Predecessor Debenture) is registered on the Debenture Register at the close
of business on any record date with respect to any interest payment date shall
be entitled to receive the Interest payable on such interest payment date,
except that the Interest payable upon redemption or repurchase will be payable
to the Person to whom principal is payable pursuant to such redemption or
repurchase (unless the redemption date or the Designated Event Repurchase Date,
as the case may be, falls after a record date and on or prior to the
corresponding interest payment date, in which case the full semi-annual payment
of Interest becoming due on such interest payment date shall be payable to the
holders of such Debentures registered as such on the corresponding record date).
Interest shall be payable at an office maintained by the Company for such
purposes in the Borough of Manhattan, City of New York, which shall initially
be an office or agency of the Trustee. The Company shall pay Interest (i) on
any Debentures in certificated form by check mailed to the address of the
Person entitled thereto as it appears in the Debenture Register or (ii) on any
Global Debenture by wire transfer of immediately available funds to the account
of the Depositary or its nominee. The term “record date”
with respect to any interest payment date shall mean the March 1 or September 1
preceding the applicable March 15 or September 15 interest payment date,
respectively.

 

Any Interest on any Debenture that is
payable, but is not paid or duly provided for, on any March 15 or September 15,
pursuant to the terms set forth herein (herein called “Defaulted
Interest”) shall forthwith cease to be payable to the
Debentureholder on the relevant record date by virtue of his having been such
Debentureholder, and such Defaulted Interest shall be paid by the Company, at
its election in each case, as provided in clause (1) or (2) below:

 

12

 

(1)           The
Company may elect to make payment of any Defaulted Interest to the Persons in
whose names the Debentures (or their respective Predecessor Debentures) are
registered at the close of business on a special record date for the payment of
such Defaulted Interest, which shall be fixed in the following manner. The
Company shall notify the Trustee in writing of the amount of Defaulted Interest
proposed to be paid on each Debenture and the date of the proposed payment
(which shall be not less than twenty-five (25) days after the receipt by the
Trustee of such notice, unless the Trustee shall consent to an earlier date),
and at the same time the Company shall deposit with the Trustee an amount of
money equal to the aggregate amount to be paid in respect of such Defaulted
Interest or shall make arrangements satisfactory to the Trustee for such
deposit on or 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 Trustee shall fix
a special record date for the payment of such Defaulted Interest that shall be
not more than fifteen (15) days and not less than ten (10) days prior to the
date of the proposed payment, and not less than ten (10) days after the receipt
by the Trustee of the notice of the proposed payment. The Trustee shall
promptly notify the Company of such special record date and, in the name and at
the expense of the Company, shall cause notice of the proposed payment of such
Defaulted Interest and the special record date therefor to be mailed,
first-class postage prepaid, to each holder at his address as it appears in the
Debenture Register, not less than ten (10) days prior to such special record
date. Notice of the proposed payment of such Defaulted Interest and the special
record date therefor having been so mailed, such Defaulted Interest shall be
paid to the Persons in whose names the Debentures (or their respective
Predecessor Debentures) are registered at the close of business on such special
record date and shall no longer be payable pursuant to the following clause (2)
of this Section 2.03.

 

(2)           The
Company may make payment of any Defaulted Interest in any other lawful manner
not inconsistent with the requirements of any securities exchange or automated
quotation system on which the Debentures may be listed or designated for
issuance, and upon such notice as may be required by such exchange or automated
quotation system, if, after notice given by the Company to the Trustee of the
proposed payment pursuant to this clause, such manner of payment shall be
deemed practicable by the Trustee.

 

Section 2.04. Execution of Debentures.
The Debentures shall be signed in the name and on behalf of the
Company by the manual or facsimile signature of its Chairman of the Board,
Chief Executive Officer, President or any Vice President (whether or not
designated by a number or numbers or word or words added before or after the
title “Vice President”). Only such Debentures
as shall bear thereon a certificate of authentication substantially in the form
set forth on the form of Debenture attached as Exhibit A hereto, manually
executed by the Trustee (or an authenticating agent appointed by the Trustee as
provided by Section 18.10), shall be entitled to the benefits of this Indenture
or be valid or 

 

13

 

obligatory for
any purpose. Such certificate by the Trustee (or such an authenticating agent)
upon any Debenture executed by the Company shall be conclusive evidence that
the Debenture so authenticated has been duly authenticated and delivered
hereunder and that the holder is entitled to the benefits of this Indenture.

 

In case any officer of the Company who shall
have signed any of the Debentures shall cease to be such officer before the
Debentures so signed shall have been authenticated and delivered by the
Trustee, or disposed of by the Company, such Debentures nevertheless may be
authenticated and delivered or disposed of as though the person who signed such
Debentures had not ceased to be such officer of the Company, and any Debenture
may be signed on behalf of the Company by such persons as, at the actual date
of the execution of such Debenture, shall be the proper officers of the
Company, although at the date of the execution of this Indenture any such
person was not such an officer.

 

Section 2.05. Exchange and
Registration of Transfer of Debentures;
Restrictions on Transfer. (a)  The Company shall cause to be kept at the
Corporate Trust Office a register (the register maintained in such office and
in any other office or agency of the Company designated pursuant to Section
6.02 being herein sometimes collectively referred to as the “Debenture Register”) in which, subject to such reasonable
regulations as it may prescribe, the Company shall provide for the registration
of Debentures and of transfers of Debentures. The Debenture Register shall be
in written form or in any form capable of being converted into written form
within a reasonably prompt period of time. The Trustee is hereby appointed “Debenture Registrar” for the purpose of registering
Debentures and transfers of Debentures as herein provided. The Company may
appoint one or more co-registrars in accordance with Section 6.02.

 

Upon surrender for registration of transfer
of any Debenture to the Debenture Registrar or any co-registrar, and
satisfaction of the requirements for such transfer set forth in this Section
2.05, the Company shall execute, and the Trustee shall authenticate and
deliver, in the name of the designated transferee or transferees, one or more
new Debentures of any authorized denominations and of a like aggregate
principal amount and bearing such restrictive legends as may be required by
this Indenture.

 

Debentures may be exchanged for other
Debentures of any authorized denominations and of a like aggregate principal
amount, upon surrender of the Debentures to be exchanged at any such office or
agency maintained by the Company pursuant to Section 6.02. Whenever any
Debentures are so surrendered for exchange, the Company shall execute, and the
Trustee shall authenticate and deliver, the Debentures that the Debentureholder
making the exchange is entitled to receive bearing registration numbers not
contemporaneously Outstanding.

 

14

 

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

 

All Debentures presented or surrendered for
registration of transfer or for exchange, redemption, repurchase or conversion
shall (if so required by the Company or the Debenture Registrar) be duly
endorsed, or be accompanied by a written instrument or instruments of transfer
in form satisfactory to the Company, and the Debentures shall be duly executed
by the Debentureholder thereof or his attorney duly authorized in writing.

 

No service charge shall be made to any holder
for any registration of, transfer or exchange of Debentures, but the Company
and the Registrar may require payment by the holder of a sum sufficient to
cover any tax, assessment or other governmental charge that may be imposed in
connection with any registration of transfer or exchange of Debentures.

 

Neither the Company nor the Trustee nor any
Debenture Registrar shall be required to exchange or register a transfer of (a)
any Debentures for a period of fifteen (15) days next preceding any selection
of Debentures to be redeemed, (b) any Debentures or portions thereof
called for redemption pursuant to Section 3.02, (c) any Debentures or portions
thereof surrendered for conversion pursuant to Article 17, (d) any Debentures
or portions thereof tendered for repurchase (and not withdrawn) pursuant to
Section 3.05 or (e) any Debentures or portions thereof tendered for repurchase
(and not withdrawn) pursuant to Section 3.06.

 

(b)           The following
provisions shall apply only to Global Debentures:

 

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

 

(ii)   Notwithstanding
any other provision in this Indenture, no Global Debenture may be exchanged in
whole or in part for Debentures registered, and no transfer of a Global
Debenture in whole or in part may be registered, in the name of any Person
other than the Depositary or a nominee thereof unless (A) the Depositary (I)
has notified the Company that it is unwilling or unable to continue as
Depositary for such Global Debenture and a successor depositary has not been
appointed by the Company within ninety (90) days or (II) has ceased to be a
clearing agency registered under the Exchange Act and a successor clearing
agency has not been appointed by the Company within ninety (90) days, (B) an
Event of Default has occurred and the maturity of the Debentures has been 

 

15

 

accelerated in accordance with their terms
and any holder has requested in writing the issuance of definitive certificated
Debentures or (C) the Company, in its sole discretion, notifies the Trustee in
writing that it no longer wishes to have all the Debentures represented by
Global Debentures. Any Global Debenture exchanged pursuant to clause (A) or (B)
above shall be so exchanged in whole and not in part and any Global Debenture
exchanged pursuant to clause (C) above may be exchanged in whole or from time
to time in part as directed by the Company. Any Debenture issued in exchange
for a Global Debenture or any portion thereof shall be a Global Debenture; provided that any such Debenture so issued that is
registered in the name of a Person other than the Depositary or a nominee
thereof shall not be a Global Debenture.

 

(iii)  Securities
issued in exchange for a Global Debenture or any portion thereof pursuant to
clause (ii) above shall be issued in definitive, fully registered form, without
interest coupons, shall have an aggregate principal amount equal to that of
such Global Debenture or portion thereof to be so exchanged, shall be
registered in such names and be in such authorized denominations as the
Depositary shall designate and shall bear any legends required hereunder. Any
Global Debenture to be exchanged in whole shall be surrendered by the
Depositary to the Trustee, as Debenture Registrar. With regard to any Global Debenture
to be exchanged in part, either such Global Debenture shall be so surrendered
for exchange or, if the Trustee is acting as Custodian for the Depositary or
its nominee with respect to such Global Debenture, the principal amount thereof
shall be reduced, by an amount equal to the portion thereof to be so exchanged,
by means of an appropriate adjustment made on the records of the Trustee. Upon
any such surrender or adjustment, the Trustee shall authenticate and make
available for delivery the Debenture issuable on such exchange to or upon the
written order of the Depositary or an authorized representative thereof.

 

(iv)  In
the event of the occurrence of any of the events specified in clause (ii)
above, the Company will promptly make available to the Trustee a reasonable
supply of certificated Debentures in definitive, fully registered form, without
interest coupons.

 

(v)   Neither
any members of, or participants in, the Depositary (“Agent
Members”) nor any other Persons on whose behalf Agent Members may act
shall have any rights under this Indenture with respect to any Global Debenture
registered in the name of the Depositary or any nominee thereof, and the
Depositary or such nominee, as the case may be, may be treated by the Company,
the Trustee and any agent of the 

 

16

 

Company or the Trustee as the absolute owner
and holder of such Global Debenture for all purposes whatsoever. Notwithstanding
the foregoing, nothing herein shall prevent the Company, the Trustee or any
agent of the Company or the Trustee from giving effect to any written
certification, proxy or other authorization furnished by the Depositary or such
nominee, as the case may be, or impair, as between the Depositary, its Agent
Members and any other Person on whose behalf an Agent Member may act, the
operation of customary practices of such Persons governing the exercise of the
rights of a holder of any Debenture.

 

(vi)  At
such time as all interests in a Global Debenture have been redeemed, repurchased,
converted, canceled or exchanged for Debentures in certificated form, such
Global Debenture shall, upon receipt thereof, be canceled by the Trustee in
accordance with standing procedures and instructions existing between the
Depositary and the Custodian. At any time prior to such cancellation, if any
interest in a Global Debenture is redeemed, repurchased, converted, canceled or
exchanged for Debentures in certificated form, the principal amount of such
Global Debenture shall, in accordance with the standing procedures and
instructions existing between the Depositary and the Custodian, be
appropriately reduced, and an endorsement shall be made on such Global
Debenture, by the Trustee or the Custodian, at the direction of the Trustee, to
reflect such reduction.

 

(c)           The Company and the
Trustee shall have no responsibility or obligation to any Agent Members or any
other Person with respect to the accuracy of the books or records, or the acts
or omissions, of the Depositary or its nominee or of any participant or member
thereof, with respect to any ownership interest in the Debentures, with respect
to performance by the Depositary or any Agent Members of their respective
obligations under the rules and procedures governing their operations or with
respect to the delivery to any Agent Member or other Person (other than the
Depositary) of any notice (including any notice of redemption) or the payment
of any amount, under or with respect to such Debentures. All notices and
communications to be given to the Debentureholder and all payments to be made
to Debentureholders under the Debentures shall be given or made only to or upon
the order of the registered Debentureholders (which shall be the Depositary or
its nominee in the case of a Global Debenture). The rights of beneficial owners
in any Global Debenture shall be exercised only through the Depositary subject
to the customary procedures of the Depositary. The Company and the Trustee may
rely and shall be fully protected in relying upon information furnished by the
Depositary with respect to its Agent Members.

 

The Company and the 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 Debenture (including any
transfers between or among Agent Members in any Global Indenture) 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 

 

17

 

examine the same to determine substantial
compliance as to form with the express requirements hereof.

 

Section 2.06. Mutilated, Destroyed,
Lost or Stolen Debentures. In case any Debenture shall become
mutilated or be destroyed, lost or stolen, the Company in its discretion may
execute, and upon its written request the Trustee or an authenticating agent
appointed by the Trustee shall authenticate and make available for delivery, a
new Debenture, bearing a number not contemporaneously Outstanding, in exchange
and substitution for the mutilated Debenture, or in lieu of and in substitution
for the Debenture so destroyed, lost or stolen. In every case, the applicant
for a substituted Debenture shall furnish to the Company, to the Trustee and,
if applicable, to such authenticating agent such security or indemnity as may
be required by them to save each of them harmless for any loss, liability, cost
or expense caused by or connected with such substitution, and, in every case of
destruction, loss or theft, the applicant shall also furnish to the Company, to
the Trustee and, if applicable, to such authenticating agent evidence to their
satisfaction of the destruction, loss or theft of such Debenture and of the
ownership thereof.

 

Following receipt by the Trustee or such
authenticating agent, as the case may be, of satisfactory security or indemnity
and evidence, as described in the preceding paragraph, the Trustee or such
authenticating agent may authenticate any such substituted Debenture and make
available for delivery such Debenture. Upon the issuance of any substituted
Debenture, the Company may require the payment by the holder of a sum
sufficient to cover any tax, assessment or other governmental charge that may
be imposed in relation thereto and any other expenses connected therewith. In
case any Debenture that has matured or is about to mature or has been called
for redemption or has been tendered for redemption upon a Designated Event (and
not withdrawn) or has been surrendered for repurchase on a Repurchase Date (and
not withdrawn) or is to be converted into Common Stock shall become mutilated
or be destroyed, lost or stolen, the Company may, instead of issuing a
substitute Debenture, pay or authorize the payment of or convert or authorize
the conversion of the same (without surrender thereof except in the case of a
mutilated Debenture), as the case may be, if the applicant for such payment or
conversion shall furnish to the Company, to the Trustee and, if applicable, to
such authenticating agent such security or indemnity as may be required by them
to save each of them harmless for any loss, liability, cost or expense caused by
or in connection with such substitution, and, in every case of destruction,
loss or theft, the applicant shall also furnish to the Company, the Trustee
and, if applicable, any paying agent or conversion agent evidence to their
satisfaction of the destruction, loss or theft of such Debenture and of the
ownership thereof.

 

Every substitute Debenture issued pursuant to
the provisions of this Section 2.06 by virtue of the fact that any Debenture is
destroyed, lost or stolen shall constitute an additional contractual obligation
of the Company, whether or 

 

18

 

not the destroyed, lost or stolen Debenture
shall be found at any time, and shall be entitled to all the benefits of (but
shall be subject to all the limitations set forth in) this Indenture equally
and proportionately with any and all other Debentures duly issued hereunder. To
the extent permitted by law, all Debentures shall be held and owned upon the
express condition that the foregoing provisions are exclusive with respect to
the replacement or payment or conversion or redemption or repurchase of
mutilated, destroyed, lost or stolen Debentures and shall preclude any and all
other rights or remedies notwithstanding any law or statute existing or
hereafter enacted to the contrary with respect to the replacement or payment or
conversion or redemption or repurchase of negotiable instruments or other
securities without their surrender.

 

Section 2.07. Temporary Debentures. Pending
the preparation of Debentures in certificated form, the Company may execute and
the Trustee or an authenticating agent appointed by the Trustee shall, upon the
written request of the Company, authenticate and deliver temporary Debentures
(printed or lithographed). Temporary Debentures shall be issuable in any
authorized denomination, and substantially in the form of the Debentures in
certificated form, but with such omissions, insertions and variations as may be
appropriate for temporary Debentures, all as may be determined by the Company. Every
such temporary Debenture shall be executed by the Company and authenticated by
the Trustee or such authenticating agent upon the same conditions and in
substantially the same manner, and with the same effect, as the Debentures in
certificated form. Without unreasonable delay, the Company will execute and
deliver to the Trustee or such authenticating agent Debentures in certificated
form and thereupon any or all temporary Debentures may be surrendered in
exchange therefor, at each office or agency maintained by the Company pursuant
to Section 6.02 and the Trustee or such authenticating agent shall authenticate
and make available for delivery in exchange for such temporary Debentures an
equal aggregate principal amount of Debentures in certificated form. Such
exchange shall be made by the Company at its own expense and without any charge
therefor. Until so exchanged, the temporary Debentures shall in all respects be
entitled to the same benefits and subject to the same limitations under this
Indenture as Debentures in certificated form authenticated and delivered
hereunder.

 

Section 2.08. Cancellation of
Debentures. All Debentures surrendered for the purpose of payment,
redemption, repurchase, conversion, exchange or registration of transfer shall,
if surrendered to the Company or any paying agent or any Debenture Registrar or
any conversion agent, be surrendered to the Trustee and promptly canceled by
it, or, if surrendered to the Trustee, shall be promptly canceled by it, and no
Debentures shall be issued in lieu thereof except as expressly permitted by any
of the provisions of this Indenture. The Trustee shall dispose of such canceled
Debentures in accordance with its customary procedures. If the Company shall
acquire any of the Debentures, such acquisition shall not operate as a
redemption, repurchase or satisfaction of the indebtedness 

 

19

 

represented by
such Debentures unless and until the same are delivered to the Trustee for
cancellation.

 

Section 2.09. CUSIP Numbers. The
Company in issuing the Debentures may use “CUSIP” numbers
(if then generally in use), and, if so, the Trustee shall use “CUSIP” numbers in notices of redemption as a convenience to
Debentureholders; provided that any such notice
may state that no representation is made as to the correctness of such numbers
either as printed on the Debentures or as contained in any notice of a
redemption and that reliance may be placed only on the other identification
numbers printed on the Debentures, and any such redemption shall not be
affected by any defect in or omission of such numbers. The Company will
promptly notify the Trustee of any change in the “CUSIP”
numbers.

 

ARTICLE 3

REDEMPTION AND REPURCHASE OF DEBENTURES

 

Section 3.01. Redemption of Debentures.
The Company may not redeem any Debentures prior to                         .
On or after                       ,
and prior to maturity, the Debentures may be redeemed at any time or from time
to time at the option of the Company, in whole or in part. Upon any redemption
pursuant to this Section 3.01, the Company shall provide the notice required by
Section 3.02 hereof (which notice may be revoked at any time prior to the time
at which the Company or the Trustee, as the case may be, has given such notice
to Debentureholders) and shall pay a redemption price in cash equal to 100% of
the principal amount of the Debentures being redeemed, together with accrued
and unpaid Interest to, but excluding, the date fixed for redemption; provided that if the date fixed for redemption falls after a
record date and on or prior to the corresponding interest payment date, then
the Interest payable on such interest payment date shall be paid to the holders
of record of the Debentures on the applicable record date instead of the
holders surrendering the Debentures for redemption.

 

Section 3.02. Notice of Optional
Redemption; Selection of Debentures. In
case the Company shall desire to exercise the right to redeem all or, as the
case may be, any part of the Debentures pursuant to Section 3.01, it shall fix
a date for redemption and it or, at its written request (which may be revoked
at any time prior to the time on which the Trustee has given notice to the
holders of the Debentures) received by the Trustee not fewer than forty-five
(45) days prior (or such shorter period of time as may be acceptable to the
Trustee) to the date fixed for redemption, the Trustee in the name of and at
the expense of the Company, shall mail or cause to be mailed a notice of such
redemption not fewer than thirty (30) nor more than sixty (60) days prior to
the redemption date to each holder of Debentures so to be redeemed as a whole
or in part at its last address as the same appears on the Debenture Register; provided that if the Company shall give such 

 

20

 

notice, it
shall also give written notice of the redemption date to the Trustee. Such
mailing shall be by first class mail. 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 Debenture
designated for redemption as a whole or in part shall not affect the validity
of the proceedings for the redemption of any other Debenture. Concurrently with
the mailing of any such notice of redemption, the Company shall issue a press
release announcing such redemption, the form and content of which press release
shall be determined by the Company in its sole discretion. The failure to issue
any such press release or any defect therein shall not affect the validity of
the redemption notice or any of the proceedings for the redemption of any
Debenture called for redemption.

 

Each such notice of redemption shall specify
the aggregate principal amount of Debentures to be redeemed, the CUSIP number
or numbers of the Debentures being redeemed, the date fixed for redemption
(which shall be a Business Day), the redemption price at which Debentures are
to be redeemed, the place or places of payment, that payment will be made upon
presentation and surrender of such Debentures, that Interest accrued and unpaid
to the date fixed for redemption will be paid as specified in said notice, and
that on and after said date Interest thereon or on the portion thereof to be
redeemed will cease to accrue. Such notice shall also state the current
Conversion Rate and the date on which the right to convert such Debentures or
portions thereof into Common Stock will expire. If fewer than all the
Debentures are to be redeemed, the notice of redemption shall identify the
Debentures to be redeemed (including CUSIP numbers, if any). In case any
Debenture 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 redemption date, upon surrender of such Debenture, a new
Debenture or Debentures in principal amount equal to the unredeemed portion thereof
will be issued.

 

On or prior to the redemption date specified
in the notice of redemption given as provided in this Section 3.02, the Company
will deposit with the Trustee or with one or more paying agents (or, if the
Company is acting as its own paying agent, set aside, segregate and hold in
trust as provided in Section 6.04) an amount of money in immediately available
funds sufficient to redeem on the redemption date all the Debentures (or
portions thereof) so called for redemption (other than those theretofore
surrendered for conversion into Common Stock) at the appropriate redemption
price, together with accrued and unpaid Interest to, but excluding, the
redemption date; provided that if such payment is
made on the redemption date it must be received by the Trustee or paying agent,
as the case may be, by 10:00 a.m. New York City time on such date. The Company
shall be entitled to retain any interest, yield or gain on amounts deposited
with the Trustee or any paying agent pursuant to this Section 3.02 in excess of
amounts required hereunder to pay the redemption price and accrued and unpaid
Interest to, but excluding, the redemption date. If any Debenture called for
redemption is 

 

21

 

converted pursuant hereto prior to such
redemption date, any money deposited with the Trustee or any paying agent or so
segregated and held in trust for the redemption of such Debenture shall be paid
to the Company upon its written request, or, if then held by the Company, shall
be discharged from such trust. Whenever any Debentures are to be redeemed, the
Company will give the Trustee written notice in the form of an Officers’
Certificate not fewer than forty-five (45) days (or such shorter period of time
as may be acceptable to the Trustee) prior to the redemption date as to the
aggregate principal amount of Debentures to be redeemed.

 

If less than all of the Outstanding
Debentures are to be redeemed, the Trustee shall select the Debentures or
portions thereof of the Global Debenture or the Debentures in certificated form
to be redeemed (in principal amounts of $1,000 or multiples thereof) by lot, on
a pro rata basis or by another method the Trustee deems fair and appropriate. If
any Debenture selected for partial redemption is submitted for conversion in
part after such selection, the portion of such Debenture submitted for
conversion shall be deemed (so far as may be possible) to be the portion to be
selected for redemption. The Debentures (or portions thereof) so selected shall
be deemed duly selected for redemption for all purposes hereof, notwithstanding
that any such Debenture is submitted for conversion in part before the mailing
of the notice of redemption.

 

Upon any redemption of less than all of the
Outstanding Debentures, the Company and the Trustee may (but need not), solely
for purposes of determining the pro rata allocation among such Debentures as
are unconverted and Outstanding at the time of redemption, treat as Outstanding
any Debentures surrendered for conversion during the period of fifteen (15)
days next preceding the mailing of a notice of redemption and may (but need
not) treat as Outstanding any Debenture authenticated and delivered during such
period in exchange for the unconverted portion of any Debenture converted in
part during such period.

 

Section 3.03. Payment of Debentures
Called For Redemption by the Company. If notice of redemption has
been given as provided in Section 3.02, the Debentures or portion of Debentures
with respect to which such notice has been given shall, unless converted into
Common Stock pursuant to the terms hereof, become due and payable on the date
fixed for redemption and at the place or places stated in such notice at the
applicable redemption price, together with Interest accrued and unpaid to (but
excluding) the redemption date, and on and after said date (unless the Company
shall default in the payment of such Debentures at the redemption price,
together with Interest accrued to said date) Interest on the Debentures or portion
of Debentures so called for redemption shall cease to accrue and, after the
close of business on the Business Day immediately preceding the redemption date
(unless the Company shall default in the payment of such Debentures at the
redemption price, together with Interest accrued to said date), such Debentures
shall cease to be convertible into Common Stock and, except as provided in
Section 9.05 and Section 15.04, to be entitled to any benefit 

 

22

 

or security
under this Indenture, and the holders thereof shall have no right in respect of
such Debentures except the right to receive the redemption price thereof and
accrued and unpaid Interest to (but excluding) the redemption date. On
presentation and surrender of such Debentures at a place of payment in said
notice specified, the said Debentures or the specified portions thereof shall
be paid and redeemed by the Company at the applicable redemption price,
together with Interest accrued and unpaid thereon to, but excluding, the
redemption date.

 

Upon presentation of any Debenture redeemed
in part only, the Company shall execute and the Trustee shall authenticate and
make available for delivery to the holder thereof, at the expense of the
Company, a new Debenture or Debentures, of authorized denominations, in
principal amount equal to the unredeemed portion of the Debentures so
presented.

 

Notwithstanding the foregoing, the Trustee
shall not redeem any Debentures or mail any notice of redemption during the continuance
of a default in payment of Interest on the Debentures.

 

Section 3.04. Conversion Arrangement
on Call for Redemption. In connection with any redemption of
Debentures, the Company may arrange for the purchase and conversion of any
Debentures by an agreement with one or more investment banks or other
purchasers to purchase such Debentures by paying to the Trustee in trust for
the Debentureholders, on or before the date fixed for redemption, an amount not
less than the applicable redemption price, together with Interest accrued and
unpaid to, but excluding, the date fixed for redemption, of such Debentures. Notwithstanding
anything to the contrary contained in this Article 3, the obligation of the
Company to pay the redemption price of such Debentures, together with Interest
accrued and unpaid to, but excluding, the date fixed for redemption, 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 will be
filed with the Trustee prior to the date fixed for redemption, any Debentures
not duly surrendered for conversion by the holders thereof may, at the option
of the Company, 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 17) surrendered by such purchasers for conversion, all as
of immediately prior to the close of business on the date fixed for redemption
(and the right to convert any such Debentures shall be extended through such
time), subject to payment of the above amount as aforesaid. At the direction of
the Company, the 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 Company for the
redemption of Debentures. Without the Trustee’s prior written consent, no
arrangement between the Company and such purchasers for the purchase and
conversion of any Debentures shall increase or otherwise affect any of the
powers, duties, responsibilities or obligations of the Trustee as set forth in
this Indenture.

 

23

 

Section 3.05. Repurchase at Option of
Holders Upon a Designated Event. (a) 
If there shall occur a Designated Event at any time prior to maturity of
the Debentures, then each Debentureholder shall have the right, at such holder’s
option, to require the Company to repurchase all of such holder’s Debentures,
or any portion thereof that is a multiple of $1,000 principal amount, on a date
designated by the Company (the “Designated Event
Repurchase Date”) that is not less than twenty (20) nor more than
thirty-five (35) Business Days after the date of the Designated Event Notice
(as defined in Section 3.05(b)) for such Designated Event (or, if such day is
not a Business Day, the next succeeding Business Day) at a repurchase price
equal to 100% of the principal amount thereof, together with accrued and unpaid
Interest to, but excluding, the Designated Event Repurchase Date; provided that if such Designated Event Repurchase Date
falls after a record date and on or prior to the corresponding interest payment
date, then the Interest payable on such interest payment date shall be paid to
the holders of record of the Debentures on the applicable record date instead
of the holders surrendering the Debentures for repurchase.

 

(b)           On or before the 20th
day after the occurrence of a Designated Event, the Company or at its written
request (which must be received by the Trustee at least five (5) Business Days
prior to the date the Trustee is requested to give notice as described below,
unless the Trustee shall agree in writing to a shorter period), the Trustee, in
the name of and at the expense of the Company, shall mail or cause to be mailed
to all holders of record on the date of the Designated Event a notice (the “Designated Event Notice”) of the occurrence of such
Designated Event and of the repurchase right at the option of the holders
arising as a result thereof. Such notice shall be mailed in the manner and with
the effect set forth in the first paragraph of Section 3.02 (without regard for
the time limits set forth therein). If the Company shall give such notice, the
Company shall also deliver a copy of the Designated Event Company Notice to the
Trustee at such time as it is mailed to Debentureholders. Concurrently with the
mailing of any Designated Event Notice, the Company shall issue a press release
announcing such Designated Event referred to in the Designated Event Notice,
the form and content of which press release shall be determined by the Company
in its sole discretion, or (at the Company’s sole election) the Company may
publish such information on its website or through such other public medium as
the Company shall use at such time. The failure to issue any such press release
or otherwise publish such information or any defect therein shall not affect
the validity of the Designated Event Notice or any proceedings for the
repurchase of any Debenture that any Debentureholder may elect to have the
Company repurchase as provided in this Section 3.05.

 

Each Designated Event Notice shall specify
the circumstances constituting the Designated Event, the Designated Event
Repurchase Date, the price at which the Company shall be obligated to repurchase
Debentures, that the holder must exercise the repurchase right on or prior to
5:00 p.m., New York City time, on the Designated Event Repurchase Date (the “Designated Event Expiration Time”), 

 

24

 

that the holder shall have the right to
withdraw any Debentures surrendered prior to the Designated Event Expiration
Time, if the Debentures are then convertible, that Debentures as to which an
Option to Elect Repurchase Upon a Designated Event has been given may be
converted only if the Option to Elect Repurchase Upon a Designated Event is
withdrawn in accordance with the terms of this Indenture, a description of the
procedure that a Debentureholder must follow to exercise such repurchase right
and to withdraw any surrendered Debentures, the place or places where the
holder is to surrender such holder’s Debentures, the amount of Interest accrued
and unpaid on each Debenture to the Designated Event Repurchase Date and the
CUSIP number or numbers of the Debentures (if then generally in use).

 

No failure of the Company to give the
foregoing notices and no defect therein shall limit the Debentureholders’
repurchase rights or affect the validity of the proceedings for the repurchase
of the Debentures pursuant to this Section 3.05.

 

(c)           Repurchases of
Debentures under this Section 3.05 shall be made, at the option of the holder
thereof, upon:

 

(i)    delivery
to the Trustee (or other paying agent appointed by the Company) by a holder of
a duly completed and executed notice (the “Option to Elect Repurchase
Upon a Designated Event”) in the form set forth on the reverse of
the Debenture prior to the Designated Event Expiration Time; and

 

(ii)   delivery
or book-entry transfer of the Debentures to the Trustee (or other paying agent
appointed by the Company) at any time simultaneous with or after delivery of
the Option to Elect Repurchase Upon a Designated Event (together with all
necessary endorsements) at the Corporate Trust Office of the Trustee (or other
paying agent appointed by the Company) in the Borough of Manhattan as provided
in Section 6.02, such delivery being a condition to receipt by the holder of
the repurchase price therefor; provided that
such repurchase price shall be so paid pursuant to this Section 3.05 only if
the Debenture so delivered to the Trustee (or other paying agent appointed by
the Company) shall conform in all respects to the description thereof in the
related Option to Elect Repurchase Upon a Designated Event.

 

The Company shall purchase from the holder
thereof, pursuant to this Section 3.05, a portion of a Debenture, if the
principal amount of such portion is $1,000 or a whole multiple of $1,000. Provisions
of this Indenture that apply to the purchase of all of a Debenture also apply
to the purchase of such portion of such Debenture.

 

25

 

Upon presentation of any Debenture
repurchased in part only, the Company shall execute and, upon the Company’s
written direction to the Trustee, the Trustee shall authenticate and make
available for delivery to the holder thereof, at the expense of the Company, a
new Debenture or Debentures, of authorized denominations, in aggregate
principal amount equal to the unredeemed portion of the Debentures presented.

 

Notwithstanding anything herein to the
contrary, any holder delivering to the Trustee (or other paying agent appointed
by the Company) the Option to Elect Repurchase Upon a Designated Event
contemplated by this Section 3.05 shall have the right to withdraw such Option
to Elect Repurchase Upon a Designated Event at any time prior to the Designated
Event Expiration Time by delivery of a written notice of withdrawal to the
Trustee (or other paying agent appointed by the Company) in accordance with
Section 3.05(d) below. Debentures in respect of which an Option to Elect
Repurchase Upon a Designated Event has been given by the holder thereof may not
be converted pursuant to Article 17 hereof on or after the date of the delivery
of such Option to Elect Repurchase Upon a Designated Event unless such Option
to Elect Repurchase Upon a Designated Event has first been validly withdrawn.

 

The Trustee (or other paying agent appointed
by the Company) shall promptly notify the Company of the receipt by it of any
Option to Elect Repurchase Upon a Designated Event or written notice of
withdrawal thereof.

 

For a Debenture, other than a Global
Debenture to be so repurchased at the option of the holder, the Company must
receive at the office or agency of the Company maintained for that purpose or,
at the option of such holder, the Corporate Trust Office, such Debenture with
the form entitled “Option to Elect Repurchase
Upon A Designated Event” on the reverse thereof duly completed,
together with such Debentures duly endorsed for transfer, on or before the
Designated Event Expiration Time. All questions as to the validity, eligibility
(including time of receipt) and acceptance of any Debenture for repurchase
shall be determined by the Company, whose determination shall be final and binding
absent manifest error.

 

(d)           An Option to Elect
Repurchase Upon a Designated Event may be withdrawn by means of a written
notice of withdrawal delivered to the office of the Trustee (or other paying
agent appointed by the Company) in accordance with the Option to Elect
Repurchase Upon a Designated Event at any time prior to the Designated Event
Expiration Time, specifying:

 

(i)    the
certificate number, if any, of the Debenture in respect of which such notice of
withdrawal is being submitted, or the appropriate Depositary information if the
Debenture in respect of which such notice of withdrawal is being submitted is
represented by a Global Debenture,

 

26

 

(ii)   the
principal amount of the Debenture with respect to which such notice of
withdrawal is being submitted, and

 

(iii)  the
principal amount, if any, of such Debenture that remains subject to the
original Option to Elect Repurchase Upon a Designated Event and that has been
or will be delivered for purchase by the Company.

 

(e)           On or prior to the
Designated Event Repurchase Date, the Company shall deposit with the Trustee or
with one or more paying agents (or, if the Company is acting as its own paying
agent, set aside, segregate and hold in trust as provided in Section 6.04) an
amount of money sufficient to repurchase on the Designated Event Repurchase
Date all the Debentures to be repurchased on such date at the appropriate
repurchase price, together with accrued and unpaid Interest to, but excluding,
the Designated Event Repurchase Date; provided that
if such payment is made on the Designated Event Repurchase Date it must be
received by the Trustee or paying agent, as the case may be, by 10:00 a.m. New
York City time, on such date. Payment for Debentures surrendered for repurchase
(and not withdrawn) prior to the Designated Event Expiration Time will be made
promptly (but in no event more than five (5) Business Days) following the later
of (x) Designated Event Repurchase Date, and (y) the time of book-entry
transfer or delivery of the Debenture surrendered for repurchase, by (i)
mailing checks for the amount payable to the holders of such Debentures
entitled thereto as they shall appear in the Debenture Register or (ii) on any
Global Debenture by wire transfer of immediately available funds to the account
of the Depositary or its nominee.

 

If on the Business Day following the
Designated Event Repurchase Date the Trustee (or other paying agent appointed
by the Company) holds money sufficient to repurchase all the Debentures or
portions thereof that are to be purchased as of the Designated Event Repurchase
Date, then as of the Designated Event Repurchase Date (i) the Debentures will
cease to be Outstanding, (ii) Interest on the Debentures will cease to accrue,
and (iii) all other rights of the holders of such Debentures will terminate,
whether or not book-entry transfer of the Debentures has been made or the
Debentures have been delivered to the Trustee or paying agent, other than the
right to receive the repurchase price upon delivery of the Debentures.

 

(f)            [Reserved].

 

(g)           The Company will comply
with the provisions of Rule 13e-4, Rule 14e-1 and any other tender offer rules
under the Exchange Act to the extent applicable and file a Schedule TO or any
other required schedule or form under the Exchange Act to the extent then
applicable in connection with the repurchase rights of the holders of
Debentures in the event of a Designated Event.

 

27

 

Section 3.06. Repurchase of Debentures
by the Company at Option of the Holder. Debentures shall be
purchased by the Company pursuant to the terms of the Debentures at the option
of the holder on each of                 ,
                    ,
and                       
(each a “Repurchase Date”), at a purchase price
of 100% of the principal amount, plus any accrued and unpaid Interest to, but
excluding, the Repurchase Date. Repurchases of Debentures under this Section
3.06 shall be made, at the option of the holder thereof, upon:

 

(a)           delivery to the Trustee
(or other paying agent appointed by the Company) by a holder of a duly
completed notice (the “Repurchase Notice”)
in the form set forth on the reverse of the Debenture during the period
beginning at any time from the opening of business on the date that is twenty
(20) Business Days prior to the Repurchase Date until the close of business on
the Repurchase Date; and

 

(b)           delivery or book-entry
transfer of the Debentures to the Trustee (or other paying agent appointed by
the Company) at any time after delivery of the Repurchase Notice (together with
all necessary endorsements) at the Corporate Trust Office of the Trustee (or
other paying agent appointed by the Company) in the Borough of Manhattan as
provided in Section 6.02, such delivery being a condition to receipt by the
holder of the purchase price therefor; provided that
such purchase price shall be so paid pursuant to this Section 3.06 only if the
Debenture so delivered to the Trustee (or other paying agent appointed by the Company)
shall conform in all respects to the description thereof in the related
Repurchase Notice.

 

The Company shall purchase from the holder
thereof, pursuant to this Section 3.06, a portion of a Debenture, if the
principal amount of such portion is $1,000 or a whole multiple of $1,000. Provisions
of this Indenture that apply to the purchase of all of a Debenture also apply
to the purchase of such portion of such Debenture.

 

Any purchase by the Company contemplated
pursuant to the provisions of this Section 3.06 shall be consummated by the
delivery of the consideration to be received by the holder promptly following
the later of the Repurchase Date and the time of the book-entry transfer or
delivery of the Debenture.

 

Notwithstanding anything herein to the
contrary, any holder delivering to the Trustee (or other paying agent appointed
by the Company) the Repurchase Notice contemplated by this Section 3.06 shall
have the right to withdraw such Repurchase Notice at any time prior to 5:00
p.m., New York City time, on the Repurchase Date by delivery of a written
notice of withdrawal to the Trustee (or other paying agent appointed by the
Company) in accordance with Section 3.08.

 

28

 

The Trustee (or other paying agent appointed
by the Company) shall promptly notify the Company of the receipt by it of any
Repurchase Notice or written notice of withdrawal thereof.

 

Section 3.07. Company Repurchase
Notice.

 

(a)           The Debentures to be
repurchased on the Repurchase Date pursuant to Section 3.06 will be paid for in
cash.

 

At least three (3) Business Days before the
Company Repurchase Notice Date, the Company shall deliver an Officers’
Certificate to the Trustee specifying:

 

(i)    the
information required by Section 3.07(b) in the Company Repurchase Notice, and

 

(ii)   whether
the Company desires the Trustee to give the Company Repurchase Notice required
by Section 3.07(b).

 

(b)           In connection with any
repurchase of Debentures, the Company shall, no less than twenty (20) Business
Days prior to the Repurchase Date (the “Company Repurchase Notice
Date”), give notice to holders at their addresses shown in the
Debenture Register setting forth information specified in this Section 3.07(b)
(the “Company Repurchase Notice”). The
Company will also give notice to beneficial owners as required by applicable
law.

 

The Company Repurchase Notice shall:

 

(1)           state
the repurchase price and the Repurchase Date to which the Company Repurchase
Notice relates;

 

(2)           include
a form of Repurchase Notice;

 

(3)           state
the name and address of the Trustee (or other paying agent or conversion agent
appointed by the Company);

 

(4)           state
that Debentures must be surrendered to the Trustee (or other paying agent
appointed by the Company) to collect the purchase price;

 

(5)           if
the Debentures are then convertible, state that Debentures as to which a
Repurchase Notice has been given may be converted only if the Repurchase Notice
is withdrawn in accordance with the terms of this Indenture; and

 

(6)           state
the CUSIP number of the Debentures.

 

29

 

The Company Repurchase Notice may be given by the Company or, at the
Company’s request, the Trustee shall give such Company Repurchase Notice in the
Company’s name and at the Company’s expense.

 

(c)           The Company will comply
with the provisions of Rule 13e-4, Rule 14e-1 and any other tender offer rules
under the Exchange Act to the extent applicable and file a Schedule TO or any
other required schedule or form under the Exchange Act to the extent applicable
in connection with the repurchase rights of the holders of Debentures.

 

Section 3.08. Effect of Repurchase
Notice. Upon receipt by the Trustee (or other paying agent appointed
by the Company) of the Repurchase Notice specified in Section 3.06, the holder
of the Debenture in respect of which such Repurchase Notice was given shall
(unless such Repurchase Notice is validly withdrawn) thereafter be entitled to
receive solely the purchase price with respect to such Debenture. Such purchase
price shall be paid to such holder, subject to receipt of funds and/or
Debentures by the Trustee (or other paying agent appointed by the Company),
promptly following the later of (x) the Repurchase Date with respect to such
Debenture (provided the holder has satisfied the conditions in Section 3.06)
and (y) the time of delivery of such Debenture to the Trustee (or other paying
agent appointed by the Company) by the holder thereof in the manner required by
Section 3.06. Debentures in respect of which a Repurchase Notice has been given
by the holder thereof may not be converted pursuant to Article 17 hereof on or
after the date of the delivery of such Repurchase Notice unless such Repurchase
Notice has first been validly withdrawn.

 

A Repurchase Notice may be withdrawn by means
of a written notice of withdrawal delivered to the office of the Trustee (or
other paying agent appointed by the Company) in accordance with the Repurchase
Notice at any time prior to 5:00 p.m., New York City time, on the Repurchase
Date, specifying:

 

(a)           the certificate number,
if any, of the Debenture in respect of which such notice of withdrawal is being
submitted, or the appropriate Depositary information if the Debenture in
respect of which such notice of withdrawal is being submitted is represented by
a Global Debenture,

 

(b)           the principal amount of
the Debenture with respect to which such notice of withdrawal is being
submitted, and

 

(c)           the principal amount,
if any, of such Debenture that remains subject to the original Repurchase Notice
and that has been or will be delivered for purchase by the Company.

 

Section 3.09. Deposit of Purchase Price.
(a)  On or prior to the
Repurchase Date, the Company will deposit with the Trustee or with one or more 

 

30

 

paying agents
(or, if the Company is acting as its own paying agent, set aside, segregate and
hold in trust as provided in Section 6.04) an amount of money sufficient to pay
the aggregate purchase price of all the Debentures or portions thereof that are
to be purchased as of the Repurchase Date; provided that
if such payment is made on the Repurchase Date it must be received by the
Trustee or paying agent, as the case may be, by 10:00 a.m. New York City time,
on such date.

 

(b)           If on the Business Day
following the Repurchase Date the Trustee or other paying agent appointed by
the Company, or the Company if the Company is acting as the paying agent, holds
cash sufficient to pay the aggregate purchase price of all the Debentures, or
portions thereof that are to be purchased as of the Repurchase Date, then as of
the Repurchase Date (i) the Debentures will cease to be Outstanding, (ii)
Interest on the Debentures will cease to accrue, and (iii) all other rights of
the holders of such Debentures will terminate, whether or not book-entry
transfer of the Debentures has been made or the Debentures have been delivered
to the Trustee or paying agent, other than the right to receive the repurchase
price upon delivery of the Debentures.

 

Section 3.10. Debentures Repurchased
in Part. Upon presentation of any Debenture repurchased only in
part, the Company shall execute and the Trustee shall authenticate and make
available for delivery to the holder thereof, at the expense of the Company, a
new Debenture or Debentures, of any authorized denomination, in aggregate
principal amount equal to the unrepurchased portion of the Debentures
presented.

 

Section 3.11. Repayment to the Company.
The Trustee (or other paying agent appointed by the Company) shall
return to the Company any cash that remains unclaimed as provided in Section 12
of the Debentures, together with Interest, if any, thereon, held by them for
the payment of the repurchase price; provided that
to the extent that the aggregate amount of cash deposited by the Company
pursuant to Section 3.02, Section 3.05 and Section 3.09 exceeds the aggregate
redemption price or purchase price, as the case may be, of the Debentures or
portions thereof that the Company is obligated to redeem or purchase as of the
redemption date, the Designated Event Repurchase Date or the Repurchase Date,
as the case may be, then, unless otherwise agreed in writing with the Company,
promptly after the Business Day following the redemption date, the Designated
Event Repurchase Date or the Repurchase Date, as the case may be, the Trustee
shall return any such excess to the Company together with interest, if any,
thereon.

 

Section 3.12. Acceleration; Payments
To Debentureholders. In the event of the acceleration of the
Debentures because of an Event of Default, no payment or distribution shall be
made to the Trustee or any holder of Debentures in respect of the principal of or Interest on the
Debentures called for redemption in accordance with Section 3.02 or the Debentures submitted for repurchase in

 

31

 

accordance with Section 3.05
or Section 3.06, as the case may
be, as provided in this Indenture, until such acceleration is rescinded in
accordance with the terms of this Indenture.

 

Section 3.13. No Sinking Fund. The
Debentures are not subject to redemption through the operation of any sinking
fund.

 

ARTICLE 4

SUBORDINATION OF DEBENTURES

 

Section 4.01. Debentures Subordinate
to Senior Indebtedness. The Company covenants and agrees, and each
holder of a Debenture, whether upon original issue or upon registration of
transfer, assignment or exchange hereof, by his acceptance thereof, likewise
covenants and agrees, that, to the extent and in the manner hereinafter set
forth in this Article 4, the indebtedness represented by the Debentures and the
payment of the principal amount and Interest on all Debentures and all other
amounts and claims owing on and with respect to each and all of the Debentures
(including, but not limited to, the redemption price with respect to the Debentures called for
redemption in accordance with Section 3.02 or the repurchase price with respect to Debentures submitted for
repurchase in accordance with Section 3.05 or Section 3.06, as the case may be, as provided in this Indenture)
and all obligations of the Company under this Indenture (collectively, the “Subordinated Obligations”) are hereby expressly made
subordinate and junior in right of payment to the prior payment in full in cash
or other payment satisfactory to the holders of Senior Indebtedness of all
Senior Indebtedness and that said subordination is for the benefit of the
holders of Senior Indebtedness and they and or each of them severally may
enforce such subordination. The Debentures will be parri passu in right of payment to all Senior Subordinated
Indebtedness of the Company and senior in right of payment to all
Subordinated Indebtedness of the Company.

 

Section 4.02. Payment Over of Proceeds
upon Dissolution, Etc. In the event of (a) any dissolution,
insolvency or bankruptcy case or proceeding, or any receivership, liquidation,
reorganization or other similar case or proceeding in connection therewith,
relative to the Company or to its creditors, as such, or to its assets, or (b)
any liquidation, dissolution or other winding up of the Company, whether
voluntary or involuntary and whether or not involving insolvency or bankruptcy,
or (c) any assignment for the benefit of creditors or any other marshaling of
assets and liabilities of the Company, then and in any such event the holders
of Senior Indebtedness shall be entitled to receive payment in full in cash or
other payment satisfactory to the holders of Senior Indebtedness of all amounts
due or to become due on or in respect of all Senior Indebtedness before the holders
of the Debentures are entitled to receive any payment or distribution on
account of the Subordinated Obligations (except that holders of Debentures may
receive and retain Permitted Junior Securities), and to that end the holders of

 

32

 

Senior
Indebtedness or their representative or representatives or the trustee or
trustees under any indenture under which any instruments evidencing any of such
Senior Indebtedness may have been issued, shall be entitled to receive from the
liquidating trustee or agent or other person making such payment or
distribution, whether a trustee in bankruptcy, a receiver or liquidating
trustee or otherwise, ratably according to the aggregate amounts remaining
unpaid on account of the Senior Indebtedness held or represented by each, to
the extent necessary to make payment in full in cash of all Senior Indebtedness
remaining unpaid, for application to the payment thereof, any payment or
distribution of any kind or character, whether in cash, property or securities,
which may be payable or deliverable in respect of the Subordinated Obligations
in any such case, proceeding, dissolution, liquidation or other winding up or
event, assignment or marshalling (except that holders of Debentures may receive
and retain Permitted Junior Securities).

 

The consolidation of the Company with, or the
merger of the Company into, another Person or the liquidation or dissolution of
the Company following the conveyance or transfer of its properties and assets
substantially as an entirety to another Person upon the terms and conditions
set forth in Article 14 shall not be deemed a dissolution, winding up,
liquidation, reorganization, assignment for the benefit of creditors or
marshaling of assets and liabilities of the Company for the purposes of this
Section 4.02 if the Person formed by such consolidation or into which the
Company is merged or which acquires by conveyance or transfer such properties
and assets substantially as an entirety, as the case may be, shall, as a part
of such consolidation, merger, conveyance or transfer, comply with the
conditions set forth in Article 14.

 

Section 4.03. No Payment When Senior
Indebtedness in Default.

 

(a)           The Company may not
make any payment of or distribution with respect to the Subordinated
Obligations nor may the Company acquire, defease or redeem any Debentures if
(i) a payment default on any Senior Indebtedness has occurred and is continuing
with respect thereto (unless and until such payment default shall have been
cured or waived in writing by the holders of such Senior Indebtedness); or (ii)
a default (other than a default referred to in the preceding clause (i)) on any
Senior Indebtedness occurs and is continuing that permits holders of such
Senior Indebtedness to accelerate the maturity thereof and the default is the
subject of judicial proceedings or the Trustee receives a written notice of
default thereof from any person who may give such notice pursuant to the
instrument evidencing or document governing such Senior Indebtedness (a “Senior Indebtedness Default Notice”); provided,
however, that only a holder of more than $10,000,000 of Senior
Indebtedness (or a representative of holders who collectively hold more than
$10,000,000 of Senior Indebtedness) can provide a Senior Indebtedness Default
Notice. If the Company receives a Senior Indebtedness Default Notice, then a
similar notice received within nine months 

 

33

 

thereafter relating to the same default on the
same issue of Senior Indebtedness shall not be effective for purposes of this
Section 4.03.

 

The Company may resume payment on the
Debentures and may acquire Debentures if and when (x) the default referred to
in clause (i) or (ii) of the preceding paragraph above is cured or waived in
writing or ceases to exist; or (y) in the case of a default referred to in
clause (ii) of the preceding paragraph, 179 or more days pass after the receipt
by the Company of the Senior Indebtedness Default Notice, and this Article 4
otherwise permits the payment or acquisition at that time.

 

Nothing contained in this Article 4 or
elsewhere in this Indenture or in any of the Debentures shall prevent the
conversion by a holder of any Debentures into Common Stock in accordance with
the provisions for conversion of such Debentures set forth in this Indenture.

 

(b)           In the event of an
acceleration of the Debentures as a result of an Event of Default, then and in
such event the Company shall promptly notify holders of Senior Indebtedness of
such acceleration. The Company may not pay the Debentures until the earlier of
(i) the passage of 120 or more days have passed after such acceleration occurs
or (ii) the payment in full in cash or other payment satisfactory to the
holders of Senior Indebtedness of all Senior Indebtedness, and may thereafter
pay the Debentures if this Article 4 permits the payment at that time.

 

(c)           In the event that,
notwithstanding the foregoing provisions, any payment or distribution of any
kind or character, whether in cash, property or securities (including, without
limitation, by way of setoff or otherwise), prohibited by this Article 4, shall
be received by the Trustee or the holders of the Debentures before all Senior
Indebtedness is paid in full in cash or other payment satisfactory to the
holders of such 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 Senior Indebtedness or their representative or representatives, or to the
trustee or trustees under any indenture pursuant to which any instruments
evidencing any Senior Indebtedness may have been issued, as their respective
interests may appear for application to the payment of all Senior Indebtedness
remaining unpaid to the extent necessary to pay all Senior Indebtedness in full
in cash or other payment satisfactory to the holders of such Senior
Indebtedness, after giving effect to any concurrent payment or distribution, or
provision therefor, to or for the holders of such Senior Indebtedness.

 

Section 4.04. Payment Permitted If No
Default. Nothing contained in this Article 4 or any other provision
relating to subordination elsewhere in this Indenture or in any of the
Debentures shall prevent the Company, at any time except in the circumstances
described in Section 4.02 and Section 4.03, from making payments at any time of
the principal amount of the Debentures, Interest, 

 

34

 

the redemption
price with
respect to the Debentures to be called for redemption in accordance with
Section 3.02 or the repurchase price
with respect to Debentures submitted for repurchase in accordance with
Section 3.05 or Section 3.06, as the case may be, as provided in this
Indenture.

 

Section 4.05. Subrogation to Rights of
Holders of Senior Indebtedness. Subject to the payment in full of
all Senior Indebtedness in cash, and until the Debentures are paid in full, the
holders of the Debentures shall be subrogated (equally and ratably with the
holders of all Senior Subordinated Indebtedness) to the rights of the holders
of such Senior Indebtedness to receive payments and distributions of cash,
property and securities applicable to the Senior Indebtedness to the extent
that payments and distributions otherwise payable to holders of Debentures have
been applied to the payment of Senior Indebtedness as provided by this Article
4. For purposes of such subrogation, no payments or distributions to the
holders of the Senior Indebtedness of any cash, property or securities to which
the holders of the Debentures or the Trustee would be entitled, except for the
provisions of this Article 4, and no payments over pursuant to the provisions
of this Article 4 to the holders of Senior Indebtedness by holders of the Debentures
or the Trustee, shall, as among the Company, its creditors other than holders
of Senior Indebtedness and the holders of the Debentures, be deemed to be a
payment or distribution by the Company to or on account of the Debentures.

 

Section 4.06. Provisions Solely To
Define Relative Rights. The provisions of this Article 4 are and are
intended solely for the purpose of defining the relative rights of the holders
of the Debentures on the one hand and the holders of Senior Indebtedness on the
other hand. Nothing contained in this Article 4 or elsewhere in this Indenture
or in the Debentures is intended to or shall (a) impair, as among the Company,
its creditors other than holders of Senior Indebtedness and the holders of the
Debentures, the obligation of the Company, which is absolute and unconditional
(and which, subject to the rights under this Article 4 of the holders of Senior
Indebtedness, is intended to rank equally with all other general obligations of
the Company), to pay to the holders of the Debentures the principal amount of
the Debentures, Interest, the redemption price with respect to the Debentures to be
called for redemption in accordance with Section 3.02 or the repurchase price with respect to
Debentures submitted for repurchase in accordance with Section 3.05 or
Section 3.06, as the case may be, as provided in this Indenture as and when the
same shall become due and payable in accordance with their terms; or (b) affect
the relative rights against the Company of the holders of the Debentures and
creditors of the Company other than the holders of Senior Indebtedness; or (c)
prevent the Trustee or the holder of any Debenture from exercising all remedies
otherwise permitted by applicable law upon default under this Indenture,
subject to the rights, if any, under this Article 4 of the holders of Senior
Indebtedness to receive cash, property and securities otherwise payable or
deliverable to the Trustee or such holder. If the Company fails, as a result of
this Article 4, to pay to the holders of the Debentures the principal amount of
the 

 

35

 

Debentures,
Interest, the redemption price with respect to the Debentures to be called for redemption in
accordance with Section 3.02 or the
repurchase price with respect to Debentures submitted for repurchase in
accordance with Section 3.05 or Section 3.06, as the case may be, as provided
in this Indenture as and when the same shall become due and payable in
accordance with their terms, such failure shall still constitute a Default or
an Event of Default.

 

Section 4.07. Trustee To Effectuate
Subordination. Each holder of a Debenture by his acceptance thereof
authorizes and directs the Trustee on his behalf to take such action as may be
necessary or appropriate to effectuate the subordination provided in this
Article 4 and appoints the Trustee his attorney-in-fact for any and all such
purposes.

 

Section 4.08. No Waiver of
Subordination Provisions. No right of any present or future holder
of any Senior Indebtedness 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 Company or by any act or failure to act, in good faith, by any
such holder, or by any non-compliance by the Company with the terms, provisions
and covenants of this Indenture, regardless of any knowledge thereof any such
holder may have or be otherwise charged with.

 

Without in any way limiting the generality of
the foregoing paragraph, the holders of Senior Indebtedness may, at any time
and from time to time, without the consent of or notice to the Trustee or the
holders of the Debentures, without incurring responsibility to the holders of
the Debentures and without impairing or releasing the subordination provided in
this Article 4 or the obligations hereunder of the holders of the Debentures to
the holders of 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, exchange, increase or alter, Senior Indebtedness, or otherwise amend,
modify or supplement in any manner Senior Indebtedness or any instrument
evidencing the same or any agreement under which Senior Indebtedness or any
security thereof or guarantee thereof is outstanding; (ii) sell, exchange,
release, surrender, realize upon, enforce or otherwise deal with any property
pledged, mortgaged or otherwise securing Senior Indebtedness; (iii) release any
Person liable in any manner for the collection of Senior Indebtedness; (iv)
exercise or refrain from exercising any rights against the Company and any
other Person; (v) apply any and all sums received from time to time to the
Senior Indebtedness; provided that
if any Senior Indebtedness is amended to provide that it shall be subordinated
to any other Senior Indebtedness, such amended Senior Indebtedness shall no
longer be considered Senior Indebtedness for purposes of this Article 4.

 

The provisions of this Article 4 shall
continue to be effective or be reinstated as the case may be if at any time any
payment of the Senior Indebtedness is rescinded or must otherwise be returned
by the holder thereof upon the insolvency, bankruptcy or reorganization of the
Company or otherwise, all as though such payment had not been made.

 

36

 

Section 4.09. Notice to Trustee. The
Company shall give prompt written notice to a Responsible Officer of the
Trustee of any fact known to the Company which would prohibit the making of any
payment to or by the Trustee in respect of the Debentures. Notwithstanding the
provisions of this Article 4 or any other provision of this Indenture, the
Trustee shall not be charged with knowledge of the existence of any facts which
would prohibit the making of any payment to or distribution by the Trustee in
respect of the Debentures, unless and until a Responsible Officer of the
Trustee shall have received written notice thereof from the Company or a holder
of Senior Indebtedness or from any trustee therefor; and, prior to the receipt
of any such written notice, the Trustee, subject to the provisions of Section
9.01, shall be entitled in all respects to assume that no such facts exist; provided, however, that if the Trustee shall not have
received the notice provided for in this Section 4.09 at least two Business
Days prior to the date upon which by the terms hereof any money may become
payable for any purpose, then, anything herein contained to the contrary
notwithstanding, the Trustee shall have full power and authority to receive
such money and to apply the same to the purpose for which such money was
received and shall not be affected by any notice to the contrary which may be
received by it within two Business Days prior to such date.

 

Subject to the provisions of Section 9.01,
the Trustee shall be entitled to rely conclusively on the delivery to it of a
written notice by a Person representing himself to be a holder of Senior
Indebtedness (or a trustee therefor) to establish that such notice has been
given by a holder of Senior Indebtedness (or a trustee therefor). In the event
that the Trustee determines in good faith that further evidence is required
with respect to the right of any Person as a holder of Senior Indebtedness to
participate in any payment or distribution pursuant to this Article 4 (although
the Trustee is not obligated to make such determination), the Trustee may
request such Person to furnish evidence to the reasonable satisfaction of the
Trustee as to the amount of 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
4, and if such evidence is not furnished, the Trustee may defer any payment to
such Person pending judicial determination as to the right of such Person to
receive such payment.

 

Section 4.10. Reliance on Judicial
Order or Certificate of Liquidating Agent. Upon any payment or
distribution of assets of the Company referred to in this Article 4, the
Trustee, subject to the provisions of Section 9.01, and the holders of the
Debentures 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, receiver, liquidating trustee, custodian, assignee for the benefit
of creditors, agent or other Person making such payment or distribution,
delivered to the Trustee or to the holders of Debentures, for the purpose of
ascertaining the Persons entitled 

 

37

 

to participate
in such payment or distribution, the holders of the Senior Indebtedness and
other indebtedness of the Company, the amount thereof or payable thereon, the
amount or amounts paid or distributed thereon and all other facts pertinent
thereto or to this Article 4.

 

Section 4.11. Trustee Not Fiduciary
for Holders of Senior Indebtedness. The Trustee shall not be deemed
to owe any fiduciary duty to the holders of Senior Indebtedness and (subject to
Section 4.09 hereof) shall not be liable to any such holders if it shall in
good faith mistakenly pay over or distribute to holders of Debentures or to the
Company or to any other Person cash, property or securities to which any
holders of Senior Indebtedness shall be entitled by virtue of this Article 4 or
otherwise.

 

Section 4.12. Rights of Trustee as
Holder of Senior Indebtedness; Preservation of Trustee’s Rights. The
Trustee in its individual capacity shall be entitled to all the rights set
forth in this Article 4 with respect to any Senior Indebtedness which may at
any time be held by it, to the same extent as any other holder of Senior
Indebtedness, and nothing in this Indenture shall deprive the Trustee of any of
its rights as such holder.

 

Nothing in this Article 4 shall apply to
claims of, or payments to, the Trustee under or pursuant to Section 9.06.

 

Section 4.13. Article Applicable to
Paying Agents. In case at any time any Paying Agent other than the
Trustee shall have been appointed by the Company and be then acting hereunder,
the term “Trustee” as used in this Article 4 shall in such case (unless the
context otherwise requires) be construed as extending to and including such
Paying Agent within its meaning as fully for all intents and purposes as if
such Paying Agent were named in this Article 4 in addition to or in place of
the Trustee; provided, however, that Section
4.12 shall not apply to the Company or any Affiliate of the Company if it or
such Affiliate acts as Paying Agent.

 

Section 4.14. No Senior Subordinated
Indebtedness. The Company shall not, directly or indirectly, create,
incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise, with respect to any indebtedness that is
subordinate or junior in right of payment to any Senior Indebtedness and senior
in right of payment to the Debentures.

 

38

 

ARTICLE 5

[RESERVED]

 

ARTICLE 6

PARTICULAR COVENANTS OF THE COMPANY

 

Section 6.01. Payment of Principal and
Interest. The Company covenants and agrees that it will duly and
punctually pay or cause to be paid the principal of (including the redemption
price upon redemption or the repurchase price upon repurchase, in each case
pursuant to Article 3), and Interest, on each of the Debentures at the places,
at the respective times and in the manner provided herein and in the
Debentures.

 

Section 6.02. Maintenance of Office or
Agency. The Company will maintain an office or agency in the Borough
of Manhattan, the City of New York, where the Debentures may be surrendered for
registration of transfer or exchange or for presentation for payment or for
conversion, redemption or repurchase and where notices and demands to or upon
the Company in respect of the Debentures and this Indenture may be served. The
Company will give prompt written notice to the Trustee of the location, and any
change in the location, of such office or agency not designated or appointed by
the Trustee. If at any time the Company shall fail to maintain any such
required office or agency or shall fail to furnish the Trustee with the address
thereof, such presentations, surrenders, notices and demands may be made or
served at the Corporate Trust Office or the corporate trust office of the
Trustee in The Borough of Manhattan, which office is located at: U.S. Bank,
National Association, Attention:                                                .

 

The Company may also from time to time
designate co-registrars and one or more offices or agencies where the
Debentures may be presented or surrendered for any or all such purposes and may
from time to time rescind such designations. The Company will give prompt
written notice of any such designation or rescission and of any change in the
location of any such other office or agency.

 

The Company hereby initially designates the
Trustee as paying agent, Debenture Registrar, Custodian and conversion agent
and each of the Corporate Trust Office and the office of agency of the Trustee
in The Borough of Manhattan, shall be considered as one such office or agency
of the Company for each of the aforesaid purposes.

 

So long as the Trustee is the Debenture
Registrar, the Trustee agrees to mail, or cause to be mailed, the notices set
forth in Section 9.10(a) and the third paragraph of Section 9.11. If
co-registrars have been appointed in accordance with this Section, the Trustee
shall mail such notices only to the Company and the holders of Debentures it
can identify from its records.

 

39

 

Section 6.03. Appointments to Fill
Vacancies in Trustee’s Office. The Company, whenever necessary to
avoid or fill a vacancy in the office of Trustee, will appoint, in the manner
provided in Section 9.10, a Trustee, so that there shall at all times be a
Trustee hereunder.

 

Section 6.04. Provisions as to Paying
Agent. (a) If the Company shall appoint a paying agent other than
the Trustee, or if the Trustee shall appoint such a paying agent, the Company
will cause such paying agent to execute and deliver to the Trustee an
instrument in which such agent shall agree with the Trustee, subject to the provisions
of this Section 6.04:

 

(1)           that
it will hold all sums held by it as such agent for the payment of the principal
of or Interest on the Debentures (whether such sums have been paid to it by the
Company or by any other obligor on the Debentures) in trust for the benefit of
the holders of the Debentures;

 

(2)           that
it will give the Trustee notice of any failure by the Company (or by any other
obligor on the Debentures) to make any payment of the principal of or Interest
on the Debentures when the same shall be due and payable; and

 

(3)           that
at any time during the continuance of an Event of Default, upon request of the
Trustee, it will forthwith pay to the Trustee all sums so held in trust.

 

The Company shall, on or before each due date
of the principal of or Interest on the Debentures, deposit with the paying
agent a sum (in funds that are immediately available on the due date for such
payment) sufficient to pay such principal or Interest, and (unless such paying
agent is the Trustee) the Company will promptly notify the Trustee of any
failure to take such action; provided that
if such deposit is made on the due date, such deposit shall be received by the
paying agent by 10:00 a.m. New York City time, on such date.

 

(b)           If the Company shall
act as its own paying agent, it will, on or before each due date of the
principal of or Interest on the Debentures, set aside, segregate and hold in
trust for the benefit of the holders of the Debentures a sum sufficient to pay
such principal or Interest so becoming due and will promptly notify the Trustee
of any failure to take such action and of any failure by the Company (or any
other obligor under the Debentures) to make any payment of the principal of or
Interest on the Debentures when the same shall become due and payable.

 

(c)           Anything in this
Section 6.04 to the contrary notwithstanding, the Company may, at any time, for
the purpose of obtaining a satisfaction and discharge of this Indenture, or for
any other reason, pay or cause to be paid to the Trustee all sums held in trust
by the Company or any paying agent hereunder as 

 

40

 

required by this Section 6.04, such sums to
be held by the Trustee upon the trusts herein contained and upon such payment
by the Company or any paying agent to the Trustee, the Company or such paying
agent shall be released from all further liability with respect to such sums.

 

(d)           Anything in this
Section 6.04 to the contrary notwithstanding, the agreement to hold sums in
trust as provided in this Section 6.04 is subject to Sections 15.03 and 15.04.

 

The Trustee shall not be responsible for the
actions of any other paying agents (including the Company if acting as its own
paying agent) and shall have no control of any funds held by such other paying
agents.

 

Section 6.05. Existence. Subject
to Article 14, the Company will do or cause to be done all things necessary to
preserve and keep in full force and effect its corporate existence.

 

Section 6.06. Stay, Extension and
Usury Laws. The Company covenants (to the extent that it may
lawfully do so) that it shall not at any time insist upon, plead, or in any
manner whatsoever claim or take the benefit or advantage of, any stay,
extension or usury law or other law that would prohibit or forgive the Company
from paying all or any portion of the principal of or Interest on the
Debentures as contemplated herein, wherever enacted, now or at any time
hereafter in force, or that may affect the covenants or the performance of this
Indenture and the Company (to the extent it may lawfully do so) hereby
expressly waives all benefit or advantage of any such law, and covenants that
it will not, by resort to any such law, hinder, delay or impede the execution
of any power herein granted to the Trustee, but will suffer and permit the
execution of every such power as though no such law had been enacted.

 

Section 6.07. Compliance Certificate. The
Company shall deliver to the Trustee, within one hundred twenty (120) days
after the end of each fiscal year of the Company (beginning with the fiscal
year ended December 31, 200  ), a certificate signed by either the
principal executive officer, principal financial officer or principal
accounting officer of the Company, stating whether or not to the knowledge of
the signer thereof the Company is in default in the performance and observance
of any of the terms, provisions and conditions of this Indenture (without
regard to any period of grace or requirement of notice provided hereunder) and,
if the Company shall be in default, specifying all such defaults and the nature
and the status thereof of which the signer may have knowledge.

 

The Company will deliver to the Trustee,
forthwith upon becoming aware of (i) any default in the performance or
observance of any covenant, agreement or condition contained in this Indenture,
or (ii) any Event of Default, an Officers’ Certificate specifying with
particularity such default or Event of Default and 

 

41

 

further stating what action the Company has
taken, is taking or proposes to take with respect thereto.

 

Any notice required to be given under this
Section 6.07 shall be delivered to a Responsible Officer of the Trustee at its
Corporate Trust Office.

 

ARTICLE 7

DEBENTUREHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE

 

Section 7.01. Debentureholders’ Lists.
The Company covenants and agrees that it will furnish or cause to be
furnished to the Trustee, semiannually, not more than fifteen (15) days after
each                   
and                     
in each year beginning with                       ,
and at such other times as the Trustee may request in writing, within thirty
(30) days after receipt by the Company of any such request (or such lesser time
as the Trustee may reasonably request in order to enable it to timely provide
any notice to be provided by it hereunder), a list in such form as the Trustee
may reasonably require of the names and addresses of the holders of Debentures
as of a date not more than fifteen (15) days (or such other date as the Trustee
may reasonably request in order to so provide any such notices) prior to the
time such information is furnished, except that no such list need be furnished
by the Company to the Trustee so long as the Trustee is acting as the sole
Debenture Registrar.

 

Section 7.02. Preservation And
Disclosure Of Lists. (a) The Trustee shall preserve, in as current a
form as is reasonably practicable, all information as to the names and
addresses of the holders of Debentures contained in the most recent list
furnished to it as provided in Section 7.01 or maintained by the Trustee in its
capacity as Debenture Registrar or co-registrar in respect of the Debentures,
if so acting. The Trustee may destroy any list furnished to it as provided in
Section 7.01 upon receipt of a new list so furnished.

 

(b)           The rights of
Debentureholders to communicate with other holders of Debentures with respect
to their rights under this Indenture or under the Debentures, and the
corresponding rights and duties of the Trustee, shall be as provided by the
Trust Indenture Act.

 

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

 

Section 7.03. Reports By Trustee. (a)
The Trustee shall transmit to holders of Debentures such reports

 

42

 

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

 

(b)           A copy of each such
report shall, at the time of such transmission to holders of Debentures, be
filed by the Trustee with each stock exchange and automated quotation system
upon which the Debentures are listed, with the Commission and with the Company.
The Company will promptly notify the Trustee in writing when the Debentures are
listed on any stock exchange or automated quotation system or delisted
therefrom.

 

Section 7.04. Reports by Company. The
Company shall file with the Trustee (and the Commission if at any time after
the Indenture becomes qualified under the Trust Indenture Act), and transmit,
or cause the Trustee to transmit, to holders of Debentures, such information,
documents and other reports and such summaries thereof, as may be required
pursuant to the Trust Indenture Act at the times and in the manner provided
pursuant to such Act, whether or not the Debentures are governed by such Act; provided that any such information, documents or reports
required to be filed with the Commission pursuant to Section 13 or 15(d) of the
Exchange Act shall be filed with the Trustee within fifteen (15) days after the
same is so required to be filed with the Commission. Delivery of such reports,
information and documents to the Trustee is for informational purposes only and
the Trustee’s receipt of such shall not constitute constructive notice of any
information contained therein or determinable from information contained
therein, including the Company’s compliance with any of its covenants hereunder
(as to which the Trustee is entitled to rely exclusively on an Officers’
Certificates).

 

ARTICLE 8

REMEDIES OF THE TRUSTEE AND DEBENTUREHOLDERS ON AN EVENT OF DEFAULT

 

Section 8.01. Events Of Default. In
case one or more of the following Events of Default (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) shall have occurred and be continuing:

 

(a)           default in the payment
of the principal of any of the Debentures as and when the same shall become due
and payable either at maturity or in connection with any redemption or
repurchase, by acceleration or otherwise; or

 

43

 

(b)           default in the payment
of any installment of Interest upon any of the Debentures as and when the same
shall become due and payable, and continuance of such default for a period of
thirty (30) days; or

 

(c)           default in the Company’s
obligation to deliver Common Stock, cash or other property following the
exercise by the holder of the Debentures of the right to convert such
Debentures pursuant to and in accordance with Article 17 and the continuance of
such default for a period of ten (10) Business Days; or

 

(d)           default in the Company’s
obligation to provide a Designated Event Notice as provided in Section 3.05; or

 

(e)           default in the payment
of indebtedness for borrowed money, when due at stated maturity or upon
acceleration, by the Company or any Significant Subsidiary of the Company,
where the aggregate principal amount with respect to which the default has
occurred exceeds $                      
and such indebtedness has not been discharged or such acceleration has not been
rescinded or annulled within a period of sixty (60) days after written notice
of such failure, requiring the Company to remedy the same, shall have been
given to the Company by the Trustee, or to the Company and the Trustee by the
holders of at least 25% in aggregate principal amount of the Debentures at the
time Outstanding determined in accordance with Section 10.04; or

 

(f)            any judgment or decree
for the payment of money in excess of $                    
is entered against the Company, or any Significant Subsidiary of the Company,
remains outstanding for a period of 60 days following entry of such judgment
and is not discharged, bonded, waived or stayed within 30 days after written
notice;

 

(g)           [Reserved];

 

(h)           default in the
performance by the Company of any other of the covenants or agreements on the
part of the Company in the Debentures or in this Indenture (other than a
covenant or agreement a default in whose performance or whose breach is
elsewhere in this Section 8.01 specifically dealt with) continued for a period
of ninety (90) days after the date on which written notice of such failure,
requiring the Company to remedy the same, shall have been given to the Company
by the Trustee, or the Company and a Responsible Officer of the Trustee by the
holders of at least twenty-five percent (25%) in aggregate principal amount of
the Debentures at the time Outstanding determined in accordance with Section
10.04; or

 

(i)            the Company shall
commence a voluntary case or other proceeding seeking liquidation,
reorganization or other relief with respect to the Company or its debts under
any bankruptcy, insolvency or other similar law now or hereafter in effect or
seeking the appointment of a trustee, receiver, liquidator, custodian or 

 

44

 

other similar official of the Company or any
substantial part of the property of the Company, or shall consent to any such
relief or to the appointment of or taking possession by any such official in an
involuntary case or other proceeding commenced against the Company, or shall
make a general assignment for the benefit of creditors, or shall fail generally
to pay its debts as they become due; or

 

(j)            an involuntary case or
other proceeding shall be commenced against the Company seeking liquidation,
reorganization or other relief with respect to the Company or its debts under
any bankruptcy, insolvency or other similar law now or hereafter in effect or
seeking the appointment of a trustee, receiver, liquidator, custodian or other
similar official of the Company or any substantial part of the property of the
Company, and such involuntary case or other proceeding shall remain undismissed
and unstayed for a period of sixty (60) consecutive days; 

 

then, and in each and every such case (other
than an Event of Default specified in Section 8.01(i) or 8.01(j)), unless the
principal of all of the Debentures shall have already become due and payable,
either the Trustee or the holders of not less than twenty-five percent (25%) in
aggregate principal amount of the Debentures then Outstanding hereunder
determined in accordance with Section 10.04, by notice in writing to the
Company (and to the Trustee if given by Debentureholders), may declare the
principal of all the Debentures and the Interest accrued and unpaid thereon to
be due and payable immediately, and upon any such declaration the same shall
become and shall be immediately due and payable, anything in this Indenture or
in the Debentures contained to the contrary notwithstanding. If an Event of
Default specified in Section 8.01(i) or 8.01(j) occurs, the principal of all
the Debentures and the Interest accrued and unpaid thereon shall be immediately
and automatically due and payable without necessity of further action. This
provision, however, is subject to the conditions that if, at any time after the
principal of the Debentures shall have been so declared due and payable, and
before any judgment or decree for the payment of the monies due shall have been
obtained or entered as hereinafter provided, the Company shall pay or shall
deposit with the Trustee a sum sufficient to pay all matured installments of
Interest upon all Debentures and the principal of any and all Debentures that
shall have become due otherwise than by acceleration (with interest on overdue
installments of Interest (to the extent that payment of such interest is
enforceable under applicable law) and on such principal at the rate borne by
the Debentures, to the date of such payment or deposit) and amounts due to the
Trustee pursuant to Section 9.06, and if any and all defaults under this
Indenture, other than the nonpayment of principal of and accrued and unpaid
Interest on Debentures that shall have become due by acceleration, shall have
been cured or waived pursuant to Section 8.07, then and in every such case the
holders of a majority in aggregate principal amount of the Debentures then
Outstanding, by written notice to the Company and to the Trustee, may waive all
defaults or Events of Default and 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 Event of Default, or shall impair any
right consequent thereon. The Company 

 

45

 

shall notify in writing a Responsible Officer
of the Trustee, promptly upon becoming aware thereof, of any Event of Default.

 

In case the Trustee shall have proceeded to
enforce any right under this Indenture and such proceedings shall have been
discontinued or abandoned because of such waiver or rescission and annulment or
for any other reason or shall have been determined adversely to the Trustee,
then and in every such case the Company, the holders of Debentures, and the
Trustee shall be restored respectively to their several positions and rights
hereunder, and all rights, remedies and powers of the Company, the holders of
Debentures, and the Trustee shall continue as though no such proceeding had
been taken.

 

Section 8.02. Payments of Debentures
on Default; Suit Therefor. The
Company covenants that (a) in case default shall be made in the payment of any
installment of Interest upon any of the Debentures as and when the same shall
become due and payable, and such default shall have continued for a period of
thirty (30) days, or (b) in case default shall be made in the payment of the
principal of any of the Debentures as and when the same shall have become due
and payable, whether at maturity of the Debentures or in connection with any
redemption or repurchase, by acceleration or otherwise, then, upon demand of
the Trustee, the Company will pay to the Trustee, for the benefit of the
holders of the Debentures, the whole amount that then shall have become due and
payable on all such Debentures for principal and Interest, as the case may be,
with interest upon the overdue principal and (to the extent that payment of
such interest is enforceable under applicable law) upon the overdue
installments of Interest at the rate borne by the Debentures and, in addition
thereto, such further amount as shall be sufficient to cover the costs and
expenses of collection, including reasonable compensation to the Trustee, its
agents, attorneys and counsel, and all other amounts due the Trustee under
Section 9.06. Until such demand by the Trustee, the Company may pay the
principal of and Interest on the Debentures to the registered holders, whether
or not the Debentures are overdue.

 

In case the Company shall fail forthwith to
pay such amounts upon such demand, the 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 Company
or any other obligor on the Debentures and collect in the manner provided by
law out of the property of the Company or any other obligor on the Debentures
wherever situated the monies adjudged or decreed to be payable.

 

In case there shall be pending proceedings
for the bankruptcy or for the reorganization of the Company or any other
obligor on the Debentures under Title 11 of the United States Code, or any
other applicable law, or in case a receiver, assignee or trustee in bankruptcy
or reorganization, liquidator, 

 

46

 

sequestrator or similar official shall have
been appointed for or taken possession of the Company or such other obligor, the
property of the Company or such other obligor, or in the case of any other
judicial proceedings relative to the Company or such other obligor upon the
Debentures, or to the creditors or property of the Company or such other
obligor, the Trustee, irrespective of whether the principal of the Debentures
shall then be due and payable as therein expressed or by declaration or
otherwise and irrespective of whether the Trustee shall have made any demand
pursuant to the provisions of this Section 8.02, 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 owing and
unpaid in respect of the Debentures, 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 Trustee and of the
Debentureholders allowed in such judicial proceedings relative to the Company
or any other obligor on the Debentures, its or their creditors, or its or their
property, and to collect and receive any monies or other property payable or
deliverable on any such claims, and to distribute the same after the deduction
of any amounts due the Trustee under Section 9.06, and to take any other action
with respect to such claims, including participating as a member of any
official committee of creditors, as it reasonably deems necessary or advisable,
and, unless prohibited by law or applicable regulations, and any receiver,
assignee or trustee in bankruptcy or reorganization, liquidator, custodian or
similar official is hereby authorized by each of the Debentureholders to make
such payments to the Trustee, and, in the event that the Trustee shall consent
to the making of such payments directly to the Debentureholders, to pay to the
Trustee any amount due it for reasonable compensation, expenses, advances and
disbursements, including counsel fees and expenses incurred by it up to the
date of such distribution. To the extent that such payment of reasonable
compensation, expenses, advances and disbursements out of the estate in any
such proceedings shall be denied for any reason, payment of the same shall be
secured by a lien on, and shall be paid out of, any and all distributions,
dividends, monies, securities and other property that the holders of the
Debentures may be entitled to receive in such proceedings, whether in
liquidation or under any plan of reorganization or arrangement or otherwise.

 

All rights of action and of asserting claims
under this Indenture, or under any of the Debentures, may be enforced by the
Trustee without the possession of any of the Debentures, or the production
thereof at any trial or other proceeding relative thereto, and any such suit or
proceeding instituted by the Trustee shall be brought in its own name as
trustee of an express trust, and any recovery of judgment shall, after
provision for the payment of the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, be for the
ratable benefit of the holders of the Debentures.

 

In any proceedings brought by the Trustee
(and in any proceedings involving the interpretation of any provision of this
Indenture to which the Trustee shall be a party) the Trustee shall be held to
represent all the holders of 

 

47

 

the Debentures, and it shall not be necessary
to make any holders of the Debentures parties to any such proceedings.

 

Section 8.03. Application of Monies
Collected By Trustee. Any monies collected by the Trustee pursuant
to this Article 8 shall be applied in the order following, at the date or dates
fixed by the Trustee for the distribution of such monies, upon presentation of
the several Debentures, and stamping thereon the payment, if only partially
paid, and upon surrender thereof, if fully paid:

 

FIRST: To the payment of all amounts due the
Trustee under Section 9.06;

 

SECOND: 
Subject to the provisions of Article 4, in case the principal of the
Outstanding Debentures shall not have become due and be unpaid, to the payment
of Interest on the Debentures in default in the order of the maturity of the
installments of such Interest, with interest (to the extent that such interest
has been collected by the Trustee) upon the overdue installments of Interest at
the rate borne by the Debentures, such payments to be made ratably to the
Persons entitled thereto;

 

THIRD: 
Subject to the provisions of Article 4, in case the principal of the
Outstanding Debentures shall have become due, by declaration or otherwise, and
be unpaid to the payment of the whole amount then owing and unpaid upon the
Debentures for principal and Interest, with interest on the overdue principal
and (to the extent that such interest has been collected by the Trustee) upon
overdue installments of Interest at the rate borne by the Debentures, and in
case such monies shall be insufficient to pay in full the whole amounts so due
and unpaid upon the Debentures, then to the payment of such principal and
Interest without preference or priority of principal over Interest, or of
Interest over principal, or of any installment of Interest over any other
installment of Interest, or of any Debenture over any other Debenture, ratably
to the aggregate of such principal and accrued and unpaid Interest; and

 

FOURTH: 
Subject to the provisions of Article 4, to the payment of the remainder,
if any, to the Company or any other Person lawfully entitled thereto.

 

Section 8.04. Proceedings by
Debentureholder. No holder of any Debenture shall have any right by
virtue of or by reference to 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, trustee, liquidator,
custodian or other similar official, or for any other remedy hereunder, unless
such holder previously shall have given to the Trustee written notice of an
Event of Default and of the continuance thereof, as hereinbefore provided, and
unless also the holders of not less than twenty-five percent (25%) in aggregate
principal amount of the Debentures then Outstanding shall have made written
request upon the Trustee to institute such action, suit or proceeding in its
own name as Trustee hereunder and shall have offered to the Trustee such 

 

48

 

reasonable
security or indemnity as it may require against the costs, expenses and
liabilities to be incurred therein or thereby, and the Trustee for sixty (60)
days after its receipt of such notice, request and offer of indemnity, shall
have neglected or refused to institute any such action, suit or proceeding and
no direction inconsistent with such written request shall have been given to
the Trustee during such sixty day period pursuant to Section 8.07; it being
understood and intended, and being expressly covenanted by the taker and holder
of every Debenture with every other taker and holder and the Trustee, that no
one or more holders of Debentures shall have any right in any manner whatever
by virtue of or by reference to any provision of this Indenture to affect,
disturb or prejudice the rights of any other holder of Debentures, 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 Debentures (except as
otherwise provided herein). For the protection and enforcement of this Section
8.04, each and every Debentureholder and the Trustee shall be entitled to such
relief as can be given either at law or in equity.

 

Notwithstanding any other provision of this
Indenture and any provision of any Debenture, the right of any holder of any
Debenture to receive payment of the principal of (including the redemption
price or repurchase price upon redemption or repurchase pursuant to Article 3),
and accrued and unpaid Interest on such Debenture, on or after the respective
due dates expressed in such Debenture or in the event of redemption or
repurchase, or to institute suit for the enforcement of any such payment on or
after such respective dates against the Company shall not be impaired or
affected without the consent of such holder.

 

Anything in this Indenture or the Debentures
to the contrary notwithstanding, the holder of any Debenture, without the
consent of either the Trustee or the holder of any other Debenture, in its own
behalf and for its own benefit, may enforce, and may institute and maintain any
proceeding suitable to enforce, its rights of conversion as provided herein.

 

Section 8.05. Proceedings By Trustee. In
case of an Event of Default, the Trustee may, in its discretion, proceed to
protect and enforce the rights vested in it by this Indenture by such
appropriate judicial proceedings as are necessary 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 Trustee by this Indenture or by law.

 

Section 8.06. Remedies Cumulative And
Continuing. Except as provided in Section 2.06, all powers and
remedies given by this Article 8 to the Trustee or to the Debentureholders
shall, to the extent permitted by law, be deemed cumulative and not exclusive
of any thereof or of any other powers and remedies 

 

49

 

available to
the Trustee or the holders of the Debentures, by judicial proceedings or
otherwise, to enforce the performance or observance of the covenants and
agreements contained in this Indenture, and no delay or omission of the Trustee
or of any holder of any of the Debentures to exercise any right or power
accruing upon any default or 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 any acquiescence therein, and, subject to the
provisions of Section 8.04, every power and remedy given by this Article 8 or
by law to the Trustee or to the Debentureholders may be exercised from time to
time, and as often as shall be deemed expedient, by the Trustee or by the
Debentureholders.

 

Section 8.07. Direction of Proceedings
and Waiver of Defaults By Majority of Debentureholders. The holders
of a majority in aggregate principal amount of the Debentures at the time
Outstanding determined in accordance with Section 10.04 shall have the right to
direct the time, method and place of conducting any proceeding for any remedy
available to the Trustee or exercising any trust or power conferred on the
Trustee; provided that (a) such direction shall
not be in conflict with any rule of law or with this Indenture, (b) the Trustee
may take any other action that is not inconsistent with such direction, (c) the
Trustee may decline to take any action that would benefit some Debentureholder
to the detriment of other Debentureholders and (d) the Trustee may decline to
take any action that would involve the Trustee in personal liability. The
holders of a majority in aggregate principal amount of the Debentures at the
time Outstanding determined in accordance with Section 10.04 may, on behalf of
the holders of all of the Debentures, waive any past default or Event of
Default hereunder and its consequences except (i) a default in the payment of
Interest on, or the principal of, the Debentures, (ii) a failure by the Company
to convert any Debentures into Common Stock, (iii) a default in the payment of
the redemption price pursuant to Article 3, (iv) a default in the payment of
the repurchase price pursuant to Article 3 or (v) a default in respect of a covenant
or provisions hereof that under Article 12 cannot be modified or amended
without the consent of the holders of each or all Debentures then Outstanding
or affected thereby. Upon any such waiver, the Company, the Trustee and the
holders of the Debentures shall be restored to their former positions and
rights hereunder; but no such waiver shall extend to any subsequent or other
default or Event of Default or impair any right consequent thereon. Whenever
any default or Event of Default hereunder shall have been waived as permitted
by this Section 8.07, said default or Event of Default shall for all purposes
of the Debentures and this Indenture be deemed to have been cured and to be not
continuing; but no such waiver shall extend to any subsequent or other default
or Event of Default or impair any right consequent thereon.

 

Section 8.08. Notice of Defaults. The
Trustee shall, within ninety (90) days after a Responsible Officer of the
Trustee has knowledge of the occurrence of a default, mail to all Debentureholders,
as the names and addresses of such holders appear upon the Debenture Register,
notice of all defaults known to a Responsible Officer, unless such defaults
shall have been cured or waived before 

 

50

 

the giving of
such notice; provided that except in the case of
default in the payment of the principal of or Interest on any of the
Debentures, the Trustee shall be protected in withholding such notice if and so
long as a trust committee of directors and/or Responsible Officers of the
Trustee in good faith determines that the withholding of such notice is in the
interests of the Debentureholders.

 

Section 8.09. Undertaking To Pay Costs.
All parties to this Indenture agree, and each holder of any
Debenture 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 Trustee for
any action taken or omitted by it as 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; provided that the provisions of
this Section 8.09 (to the extent permitted by law) shall not apply to any suit
instituted by the Trustee, to any suit instituted by any Debentureholder, or
group of Debentureholders, holding in the aggregate more than ten percent (10%)
in principal amount of the Debentures at the time Outstanding determined in
accordance with Section 10.04, or to any suit instituted by any Debentureholder
for the enforcement of the payment of the principal of or Interest on any
Debenture on or after the due date expressed in such Debenture or to any suit
for the enforcement of the right to convert any Debenture in accordance with
the provisions of Article 17.

 

ARTICLE 9

THE TRUSTEE

 

Section 9.01. Duties and
Responsibilities of Trustee. The Trustee, prior to the occurrence of
an Event of Default and after the curing of all Events of Default that may have
occurred, undertakes to perform such duties and only such duties as are
specifically set forth in this Indenture. In case an Event of Default has
occurred (which has not been cured or waived), the 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 own affairs.

 

No provision of this Indenture shall be
construed to relieve the 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
that may have occurred:

 

51

 

(i)    the
duties and obligations of the Trustee shall be determined solely by the express
provisions of this Indenture and the Trust Indenture Act, and the 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 and the Trust Indenture Act
against the Trustee; and

 

(ii)   in
the absence of bad faith and willful misconduct on the part of the Trustee, the
Trustee may conclusively rely as to the truth of the statements and the
correctness of the opinions expressed herein, upon any certificates or opinions
furnished to the Trustee and conforming to the requirements of this Indenture;
but, in the case of any such certificates or opinions that by any provisions
hereof are specifically required to be furnished to the Trustee, the Trustee
shall be under a duty to examine the same to determine whether or not they
conform to the requirements of this Indenture;

 

(b)           the Trustee shall not
be liable for any error of judgment made in good faith by a Responsible Officer
or Officers of the Trustee, unless the Trustee was negligent in ascertaining
the pertinent facts;

 

(c)           the 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 written direction of the holders of not less than
a majority in principal amount of the Debentures at the time Outstanding
determined as provided in Section 10.04 relating to the time, method and place
of conducting any proceeding for any remedy available to the Trustee, or
exercising any trust or power conferred upon the Trustee, under this Indenture;

 

(d)           whether or not therein
provided, every provision of this Indenture relating to the conduct or
affecting the liability of, or affording protection to, the Trustee shall be
subject to the provisions of this Section;

 

(e)           the Trustee shall not
be liable in respect of any payment (as to the correctness of amount, entitlement
to receive or any other matters relating to payment) or notice effected by the
Company or any paying agent or any records maintained by any co-registrar with
respect to the Debentures;

 

(f)            if any party fails to
deliver a notice relating to an event the fact of which, pursuant to this
Indenture, requires notice to be sent to the Trustee, the Trustee may
conclusively rely on its failure to receive such notice as reason to act as if
no such event occurred; and

 

(g)           the Trustee shall not
be deemed to have knowledge of any Event of Default hereunder unless it shall
have been notified in writing of such Event of 

 

52

 

Default by the Company or the holders of at
least 10% in aggregate principal amount of the Debentures.

 

None of the provisions contained in this
Indenture shall require the 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 there is
reasonable ground for believing that the repayment of such funds or adequate
indemnity against such risk or liability is not reasonably assured to it.

 

Section 9.02. Reliance on Documents,
Opinions, Etc. Except as otherwise provided in Section 9.01:

 

(a)           the Trustee may
conclusively rely and shall be protected in acting upon any resolution,
certificate, statement, instrument, opinion, report, notice, request, consent,
order, bond, debenture, note, coupon or other paper or document (whether in its
original or facsimile form) believed by it in good faith 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 Company mentioned herein shall be sufficiently evidenced
by an Officers’ Certificate (unless other evidence in respect thereof be herein
specifically prescribed); and any resolution of the Board of Directors may be
evidenced to the Trustee by a copy thereof certified by the Secretary or an
Assistant Secretary of the Company;

 

(c)           the Trustee may consult
with counsel of its own selection and any advice or Opinion of Counsel shall be
full and complete authorization and protection in respect of any action taken
or omitted by it hereunder in good faith and in accordance with such advice or
Opinion of Counsel;

 

(d)           the 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
Debentureholders pursuant to the provisions of this Indenture, unless such
Debentureholders shall have offered to the Trustee reasonable security or
indemnity satisfactory to it against the costs, expenses and liabilities that
may be incurred therein or thereby;

 

(e)           the Trustee shall not
be bound to make any investigation into the facts or matters stated in any
resolution, certificate, statement, instrument, opinion, report, notice,
request, direction, consent, order, bond, debenture or other paper or document,
but the Trustee may make such further inquiry or investigation into such facts
or matters as it may see fit, and, if the Trustee shall determine to make such
further inquiry or investigation, it shall be entitled to examine the books,
records and premises of the Company, personally or by agent or attorney;

 

53

 

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

 

(g)           the Trustee shall not
be liable for any action taken, suffered or omitted to be taken by it in good
faith and reasonably believed by it to be authorized or within the discretion
or rights or powers conferred upon it by this Indenture;

 

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

 

(i)            the Trustee may
request that the Company 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; and

 

(j)            any permissive right
or authority granted to the Trustee shall not be construed as a mandatory duty.

 

Section 9.03. No Responsibility For
Recitals, Etc. The recitals contained herein and in the Debentures
(except in the Trustee’s certificate of authentication) shall be taken as the
statements of the Company, and the Trustee assumes no responsibility for the
correctness of the same. The Trustee makes no representations as to the
validity or sufficiency of this Indenture or of the Debentures. The Trustee
shall not be accountable for the use or application by the Company of any
Debentures or the proceeds of any Debentures authenticated and delivered by the
Trustee in conformity with the provisions of this Indenture.

 

Section 9.04. Trustee, Paying Agents,
Conversion Agents or Registrar May Own Debentures. The Trustee, any
paying agent, any conversion agent or Debenture Registrar, in its individual or
any other capacity, may become the owner or pledgee of Debentures with the same
rights it would have if it were not Trustee, paying agent, conversion agent or
Debenture Registrar.

 

Section 9.05. Monies to Be Held in
Trust. Subject to the provisions of Section 15.04, all monies received
by the Trustee shall, until used or applied as herein provided, be held in
trust for the purposes for which they were received. Money held by the Trustee
in trust hereunder need not be segregated from other funds except to the extent
required by law. The Trustee shall be under no liability 

 

54

 

for interest
on any money received by it hereunder except as may be agreed in writing from
time to time by the Company and the Trustee.

 

Section 9.06. Compensation and
Expenses of Trustee. The Company covenants and agrees to pay to the
Trustee from time to time, and the Trustee shall be entitled to, such
compensation for all services rendered by it hereunder in any capacity (which
shall not be limited by any provision of law in regard to the compensation of a
trustee of an express trust) as mutually agreed to from time to time in writing
between the Company and the Trustee, and the Company will pay or reimburse the
Trustee upon its request for all reasonable expenses, disbursements and
advances reasonably incurred or made by the 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, willful misconduct, recklessness or bad faith. The Company also
covenants to indemnify the Trustee and any predecessor Trustee (or any officer,
director or employee of the Trustee), in any capacity under this Indenture and
its agents and any authenticating agent for, and to hold them harmless against,
any and all loss, liability, damage, claim or expense including taxes (other
than franchise taxes and taxes based on the income of the Trustee) incurred
without negligence, willful misconduct, recklessness or bad faith on the part
of the Trustee or such officers, directors, employees and agent or
authenticating agent, as the case may be, and arising out of or in connection
with the acceptance or administration of this trust or in any other capacity
hereunder, including the costs and expenses of defending themselves against any
claim (whether asserted by the Company, any holder or any other Person) of
liability in connection with the exercise or performance of any of its or their
powers or duties hereunder. If the Company fails to compensate or indemnify the
Trustee and to pay or reimburse the Trustee for expenses, disbursements and
advances under this Section 9.06, the Trustee’s claim shall be secured by a
lien prior to that of the Debentures upon all property and funds held or
collected by the Trustee as such, except funds held in trust for the benefit of
the holders of particular Debentures. The obligation of the Company under this
Section shall survive the satisfaction and discharge of this Indenture.

 

When the Trustee and its agents and any
authenticating agent incur expenses or render services after an Event of
Default specified in Section 8.01(i) or Section 8.01(j) with respect to the
Company occurs, the expenses and the compensation for the services are intended
to constitute expenses of administration under any bankruptcy, insolvency or
similar laws.

 

Section 9.07. Officers’ Certificate As
Evidence. Except as otherwise provided in Section 9.01, whenever in
the administration of the provisions of this Indenture the 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 be herein specifically prescribed) may, in 

 

55

 

the absence of
bad faith or willful misconduct on the part of the Trustee, be deemed to be
conclusively proved and established by an Officers’ Certificate delivered to
the Trustee.

 

Section 9.08. Conflicting Interests of
Trustee. If the Trustee has or shall acquire a conflicting interest
within the meaning of the Trust Indenture Act, the Trustee shall either
eliminate such interest or resign, to the extent and in the manner provided by,
and subject to the provisions of, the Trust Indenture Act and this Indenture.

 

Section 9.09. Eligibility of Trustee. There
shall at all times be a Trustee hereunder that shall be a Person that is
eligible pursuant to the Trust Indenture Act to act as such and has a combined
capital and surplus of at least $50,000,000 (or if such Person is a member of a
bank holding company system, its bank holding company shall have a combined
capital and surplus of at least $50,000,000). If such Person publishes reports
of condition at least annually, pursuant to law or to the requirements of any
supervising or examining authority, then for the purposes of this Section the
combined capital and surplus of such Person shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so
published. If at any time the Trustee shall cease to be eligible in accordance
with the provisions of this Section 9.09, it shall resign immediately in the
manner and with the effect hereinafter specified in this Article.

 

Section 9.10. Resignation or Removal
of Trustee.

 

(a)           The Trustee may at any
time resign by giving written notice of such resignation to the Company and to
the holders of Debentures. Upon receiving such notice of resignation, the
Company shall promptly appoint a successor trustee by written instrument, in
duplicate, executed by order of the Board of Directors, one copy of which
instrument shall be delivered to the resigning Trustee and one copy to the
successor trustee. If no successor trustee shall have been so appointed and
have accepted appointment sixty (60) days after the mailing of such notice of
resignation to the Debentureholders, the resigning Trustee may, upon ten (10)
Business Days’ notice to the Company and the Debentureholders, appoint a
successor identified in such notice or may petition, at the expense of the
Company, any court of competent jurisdiction for the appointment of a successor
trustee, or, if any Debentureholder who has been a bona fide holder of a
Debenture or Debentures for at least six (6) months may, subject to the
provisions of Section 8.09, 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:

 

56

 

(i)    the
Trustee shall fail to comply with Section 9.08 after written request therefor
by the Company or by any Debentureholder who has been a bona fide holder of a
Debenture or Debentures for at least six (6) months; or

 

(ii)   the
Trustee shall cease to be eligible in accordance with the provisions of Section
9.09 and shall fail to resign after written request therefor by the Company or
by any such Debentureholder; or

 

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

 

then, in any such case, the Company may remove the Trustee and appoint
a successor trustee by written instrument, in duplicate, executed by order of
the Board of Directors, one copy of which instrument shall be delivered to the
Trustee so removed and one copy to the successor trustee, or, subject to the
provisions of Section 8.09, any Debentureholder who has been a bona fide holder
of a Debenture or Debentures for at least six (6) months may, on behalf of
himself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor
trustee; provided that if no successor Trustee
shall have been appointed and have accepted appointment sixty (60) days after
either the Company or the Debentureholders has removed the Trustee, or the
Trustee resigns, the Trustee so removed may petition, at the expense of the
Company, any court of competent jurisdiction for an appointment of a successor
trustee. Such court may thereupon, after such notice, if any, as it may deem
proper and prescribe, remove the Trustee and appoint a successor trustee.

 

(c)           The holders of a majority
in aggregate principal amount of the Debentures at the time Outstanding may at
any time remove the Trustee and nominate a successor trustee that shall be
deemed appointed as successor trustee unless, within ten (10) days after notice
to the Company of such nomination, the Company objects thereto, in which case
the Trustee so removed or any Debentureholder, or if such Trustee so removed or
any Debentureholder fails to act, the Company, upon the terms and conditions
and otherwise as in Section 9.10(a) provided, may petition any court of
competent jurisdiction for an appointment of a successor trustee.

 

(d)           Any resignation or
removal of the Trustee and appointment of a successor trustee pursuant to any
of the provisions of this Section 9.10 shall become effective upon acceptance
of appointment by the successor trustee as provided in Section 9.11.

 

57

 

(e)           Notwithstanding the
replacement of the Trustee pursuant to this Section, the Company’s obligations
under Section 9.06 shall continue for the benefit of the retiring Trustee.

 

Section 9.11. Acceptance by Successor
Trustee. Any successor trustee appointed as provided in Section 9.10
shall execute, acknowledge and deliver to the Company and to its predecessor trustee
an instrument accepting such appointment hereunder, and thereupon the
resignation or removal of the predecessor 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 Company or of the
successor trustee, the trustee ceasing to act shall, upon payment of any amount
then due it pursuant to the provisions of Section 9.06, execute and deliver an
instrument transferring to such successor trustee all the rights and powers of
the trustee so ceasing to act. Upon request of any such successor trustee, the Company
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
and funds held or collected by such trustee as such, except for funds held in
trust for the benefit of holders of particular Debentures, to secure any
amounts then due it pursuant to the provisions of Section 9.06.

 

No successor trustee shall accept appointment
as provided in this Section 9.11 unless, at the time of such acceptance, such
successor trustee shall be qualified under the provisions of Section 9.08 and
be eligible under the provisions of Section 9.09.

 

Upon acceptance of appointment by a successor
trustee as provided in this Section 9.11, the Company (or the former trustee,
at the written direction of the Company) shall mail or cause to be mailed
notice of the succession of such trustee hereunder to the holders of Debentures
at their addresses as they shall appear on the Debenture Register. If the
Company fails to mail such notice within ten (10) days after acceptance of
appointment by the successor trustee, the successor trustee shall cause such
notice to be mailed at the expense of the Company.

 

Section 9.12. Succession By Merger. Any
corporation into which the Trustee may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion
or consolidation to which the Trustee shall be a party, or any corporation
succeeding to all or substantially all of the corporate trust business of the
Trustee (including any trust created by this Indenture), shall be the successor
to the Trustee hereunder without the execution or filing of any paper or any
further act on the part of any of the parties hereto, provided
that in the case of any corporation succeeding to all or substantially all of
the corporate trust business of the Trustee, such corporation shall be
qualified 

 

58

 

under the
provisions of Section 9.08 and eligible under the provisions of Section 9.09.

 

In case at the time such successor to the
Trustee shall succeed to the trusts created by this Indenture, any of the
Debentures shall have been authenticated but not delivered, any such successor
to the Trustee may adopt the certificate of authentication of any predecessor
trustee or authenticating agent appointed by such predecessor trustee, and
deliver such Debentures so authenticated; and in case at that time any of the
Debentures shall not have been authenticated, any successor to the Trustee or
any authenticating agent appointed by such successor trustee may authenticate
such Debentures in the name of the successor trustee; and in all such cases
such certificates shall have the full force that is provided in the Debentures
or in this Indenture; provided that
the right to adopt the certificate of authentication of any predecessor Trustee
or authenticate Debentures in the name of any predecessor Trustee shall apply
only to its successor or successors by merger, conversion or consolidation.

 

Section 9.13. Preferential Collection
of Claims. If and when the Trustee shall be or become a creditor of
the Company (or any other obligor upon the Debentures), the Trustee shall be
subject to the provisions of the Trust Indenture Act regarding the collection
of the claims against the Company (or any such other obligor).

 

ARTICLE 10

THE DEBENTUREHOLDERS

 

Section 10.01. Action By
Debentureholders. Whenever in this Indenture it is provided that the
holders of a specified percentage in aggregate principal amount of the
Debentures 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 Debentureholders in
person or by agent or proxy appointed in writing, or (b) by the record of the
holders of Debentures voting in favor thereof at any meeting of
Debentureholders duly called and held in accordance with the provisions of
Article 11, or (c) by a combination of such instrument or instruments and any
such record of such a meeting of Debentureholders. Whenever the Company or the
Trustee solicits the taking of any action by the holders of the Debentures, the
Company or the Trustee may fix in advance of such solicitation, a date as the
record date for determining holders entitled to take such action. The record
date shall be not more than fifteen (15) days prior to the date of commencement
of solicitation of such action.

 

59

 

Section 10.02. Proof of Execution by
Debentureholders. Subject to the provisions of Sections 9.01, 9.02
and 11.05, proof of the execution of any instrument by a Debentureholder or its
agent or proxy shall be sufficient if made in accordance with such reasonable
rules and regulations as may be prescribed by the Trustee or in such manner as
shall be satisfactory to the Trustee. The holding of Debentures shall be proved
by the registry of such Debentures or by a certificate of the Debenture
Registrar.

 

The record of any Debentureholders’ meeting
shall be proved in the manner provided in Section 11.06.

 

Section 10.03. Who Are Deemed Absolute
Owners. The Company, the Trustee, any paying agent, any conversion
agent and any Debenture Registrar may deem the Person in whose name such
Debenture shall be registered upon the Debenture Register to be, and may treat
it as, the absolute owner of such Debenture (whether or not such Debenture
shall be overdue and notwithstanding any notation of ownership or other writing
thereon made by any Person other than the Company or any Debenture Registrar)
for the purpose of receiving payment of or on account of the principal of and
Interest on such Debenture, for conversion of such Debenture and for all other
purposes; and neither the Company nor the Trustee nor any paying agent nor any
conversion agent nor any Debenture Registrar 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 monies payable upon any
such Debenture.

 

Section 10.04. Company-owned Debentures
Disregarded. In determining whether the holders of the requisite
aggregate principal amount of Debentures have concurred in any direction,
consent, waiver or other action under this Indenture, Debentures that are owned
by the Company or any other obligor on the Debentures or any Affiliate of the
Company or any other obligor on the Debentures shall be disregarded and deemed
not to be Outstanding for the purpose of any such determination; provided that for the purposes of determining whether the
Trustee shall be protected in relying on any such direction, consent, waiver or
other action, only Debentures that a Responsible Officer knows are so owned
shall be so disregarded. Debentures so owned that have been pledged in good
faith may be regarded as Outstanding for the purposes of this Section 10.04 if
the pledgee shall establish to the satisfaction of the Trustee the pledgee’s
right to vote such Debentures and that the pledgee is not the Company, any
other obligor on the Debentures or any Affiliate of the Company or any such
other obligor. In the case of a dispute as to such right, any decision by the
Trustee taken upon the advice of counsel shall be full protection to the
Trustee. Upon request of the Trustee, the Company shall furnish to the Trustee
promptly an Officers’ Certificate listing and identifying all Debentures, if
any, known by the Company to be owned or held by or for the account of any of
the above described Persons, and, subject to Section 9.01, the Trustee shall be
entitled to accept such 

 

60

 

Officers’
Certificate as conclusive evidence of the facts therein set forth and of the
fact that all Debentures not listed therein are Outstanding for the purpose of
any such determination.

 

Section 10.05. Revocation Of Consents,
Future Holders Bound. At any time prior to (but not after) the
evidencing to the Trustee, as provided in Section 10.01, of the taking of any
action by the holders of the percentage in aggregate principal amount of the
Debentures specified in this Indenture in connection with such action, any
holder of a Debenture that is shown by the evidence to be included in the
Debentures the holders of which have consented to such action may, by filing
written notice with the Trustee at its Corporate Trust Office and upon proof of
holding as provided in Section 10.02, revoke such action so far as concerns
such Debenture. Except as aforesaid, any such action taken by the holder of any
Debenture shall be conclusive and binding upon such holder and upon all future
holders and owners of such Debenture and of any Debentures issued in exchange
or substitution therefor, irrespective of whether any notation in regard
thereto is made upon such Debenture or any Debenture issued in exchange or
substitution therefor.

 

ARTICLE 11

MEETINGS OF DEBENTUREHOLDERS

 

Section 11.01. Purpose Of Meetings. A
meeting of Debentureholders may be called at any time and from time to time
pursuant to the provisions of this Article 11 for any of the following
purposes:

 

(1)           to
give any notice to the Company or to the Trustee or to give any directions to
the Trustee permitted under this Indenture, or to consent to the waiving of any
default or Event of Default hereunder and its consequences, or to take any
other action authorized to be taken by Debentureholders pursuant to any of the
provisions of Article 8;

 

(2)           to
remove the Trustee and nominate a successor trustee pursuant to the provisions
of Article 9;

 

(3)           to
consent to the execution of an indenture or indentures supplemental hereto
pursuant to the provisions of Section 12.02; or

 

(4)           to
take any other action authorized to be taken by or on behalf of the holders of
any specified aggregate principal amount of the Debentures under any other
provision of this Indenture or under applicable law.

 

Section 11.02. Call Of Meetings By
Trustee. The Trustee may at any time call a meeting of
Debentureholders to take any action specified in Section 11.01, 

 

61

 

to be held at
such time and at such place as the Trustee shall determine. Notice of every
meeting of the Debentureholders, setting forth the time and the place of such
meeting and in general terms the action proposed to be taken at such meeting
and the establishment of any record date pursuant to Section 10.01, shall be
mailed to holders of Debentures at their addresses as they shall appear on the
Debenture Register. Such notice shall also be mailed to the Company. Such
notices shall be mailed not less than twenty (20) nor more than ninety (90)
days prior to the date fixed for the meeting.

 

Any meeting of Debentureholders shall be
valid without notice if the holders of all Debentures then Outstanding are
present in person or by proxy or if notice is waived before or after the
meeting by the holders of all Debentures Outstanding, and if the Company and
the Trustee are either present by duly authorized representatives or have,
before or after the meeting, waived notice.

 

Section 11.03. Call Of Meetings By
Company Or Debentureholders. In case at any time the Company,
pursuant to a resolution of its Board of Directors, or the holders of at least
ten percent (10%) in aggregate principal amount of the Debentures then
Outstanding, shall have requested the Trustee to call a meeting of
Debentureholders, by written request setting forth in reasonable detail the
action proposed to be taken at the meeting, and the Trustee shall not have
mailed the notice of such meeting within twenty (20) days after receipt of such
request, then the Company or such Debentureholders may determine the time and
the place for such meeting and may call such meeting to take any action
authorized in Section 11.01, by mailing notice thereof as provided in Section
11.02.

 

Section 11.04. Qualifications For
Voting. To be entitled to vote at any meeting of Debentureholders a
person shall (a) be a holder of one or more Debentures on the record date pertaining
to such meeting or (b) be a person appointed by an instrument in writing as
proxy by a holder of one or more Debentures on the record date pertaining to
such meeting. The only persons who shall be entitled to be present or to speak
at any meeting of Debentureholders shall be the persons entitled to vote at
such meeting and their counsel and any representatives of the Trustee and its
counsel and any representatives of the Company and its counsel.

 

Section 11.05. Regulations. Notwithstanding
any other provisions of this Indenture, the Trustee may make such reasonable
regulations as it may deem advisable for any meeting of Debentureholders, in
regard to proof of the holding of Debentures 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 Trustee shall, by an instrument in
writing, appoint a temporary chairman of the meeting, unless the meeting shall
have been called by the 

 

62

 

Company or by Debentureholders as provided in
Section 11.03, in which case the Company or the Debentureholders calling the
meeting, as the case may be, shall in like manner appoint a temporary chairman.
A permanent chairman and a permanent secretary of the meeting shall be elected
by vote of the holders of a majority in principal amount of the Debentures
represented at the meeting and entitled to vote at the meeting.

 

Subject to the provisions of Section 10.04,
at any meeting each Debentureholder or proxyholder shall be entitled to one
vote for each $1,000 principal amount of Debentures held or represented by him; provided that no vote shall be cast or counted at any
meeting in respect of any Debenture 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 Debentures held by him or
instruments in writing as aforesaid duly designating him as the proxy to vote
on behalf of other Debentureholders. Any meeting of Debentureholders duly
called pursuant to the provisions of Section 11.02 or 11.03 may be adjourned
from time to time by the holders of a majority of the aggregate principal
amount of Debentures represented at the meeting, whether or not constituting a
quorum, and the meeting may be held as so adjourned without further notice.

 

Section 11.06. Voting. The
vote upon any resolution submitted to any meeting of Debentureholders shall be
by written ballot on which shall be subscribed the signatures of the holders of
Debentures or of their representatives by proxy and the Outstanding principal
amount of the Debentures 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 duplicate
of all votes cast at the meeting. A record in duplicate of the proceedings of
each meeting of Debentureholders 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 11.02. The record shall show the principal amount of the Debentures
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 Company and the
other to the Trustee to be preserved by the 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.

 

Section 11.07. No Delay Of Rights By
Meeting. Nothing contained in this Article 11 shall be deemed or
construed to authorize or permit, by reason of any 

 

63

 

call of a
meeting of Debentureholders or any rights expressly or impliedly conferred
hereunder to make such call, any hindrance or delay in the exercise of any
right or rights conferred upon or reserved to the Trustee or to the
Debentureholders under any of the provisions of this Indenture or of the
Debentures.

 

ARTICLE 12

SUPPLEMENTAL INDENTURES

 

Section 12.01. Supplemental Indentures
Without Consent of Debentureholders. The Company, when authorized by
the resolutions of the Board of Directors, and the Trustee may, from time to
time, and at any time enter into an indenture or indentures supplemental hereto
for one or more of the following purposes:

 

(a)           make provision with
respect to the conversion rights of the holders of Debentures pursuant to the
requirements of Section 17.06;

 

(b)           subject to Article 4,
to convey, transfer, assign, mortgage or pledge to the Trustee as security for
the Debentures, any property, assets or securities;

 

(c)           to evidence the
succession of another Person to the Company, or successive successions, and the
assumption by the successor Person of the covenants, agreements and obligations
of the Company pursuant to Article 14;

 

(d)           to add to the covenants
of the Company such further covenants, restrictions or conditions as the Board
of Directors and the Trustee shall consider to be for the benefit of the
holders of Debentures, and to make the occurrence, or the occurrence and
continuance, of a default in any such additional covenants, restrictions or
conditions a default or an Event of Default permitting the enforcement of all
or any of the several remedies provided in this Indenture as herein set forth; provided that in respect of any such additional covenant,
restriction or condition, such supplemental indenture 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 Trustee upon such default;

 

(e)           to provide for the
issuance under this Indenture of Debentures in coupon form (including
Debentures registrable as to principal only) and to provide for exchangeability
of such Debentures with the Debentures issued hereunder in fully registered
form and to make all appropriate changes for such purpose;

 

64

 

(f)            to cure any ambiguity
or omission or to correct or supplement any provision contained herein or in
any supplemental indenture that 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
that shall not materially adversely affect the interests of the holders of the
Debentures;

 

(g)           to evidence and provide
for the acceptance of appointment hereunder by a successor Trustee with respect
to the Debentures;

 

(h)           to modify, eliminate or
add to the provisions of this Indenture to such extent as shall be necessary to
comply with the requirements of the Commission or to effect or maintain the
qualifications of this Indenture under the Trust Indenture Act, or under any
similar federal statute hereafter enacted; or

 

(i)            make other changes to
the Indenture or forms or terms of the Debentures, provided
no such change individually or in the aggregate with all other such changes has
or will have a material adverse effect on the interests of the
Debentureholders.

 

Upon the written request of the Company,
accompanied by a copy of the resolutions of the Board of Directors certified by
its Secretary or Assistant Secretary authorizing the execution of any
supplemental indenture, the Trustee is hereby authorized to join with the
Company in the execution of any such supplemental indenture, to make any
further appropriate agreements and stipulations that may be therein contained
and to accept the conveyance, transfer and assignment of any property
thereunder, but the Trustee shall not be obligated to, but may in its
discretion, enter into any supplemental indenture that affects the Trustee’s
own rights, duties or immunities under this Indenture or otherwise.

 

Any supplemental indenture authorized by the
provisions of this Section 12.01 may be executed by the Company and the Trustee
without the consent of the holders of any of the Debentures at the time
Outstanding, notwithstanding any of the provisions of Section 12.02.

 

Notwithstanding any other provision of the
Indenture or the Debentures, the Registration Rights Agreement and the
obligation to pay Liquidated Damages thereunder may be amended, modified or
waived only in accordance with the provisions of the Registration Rights
Agreement.

 

Section 12.02. Supplemental Indenture
With Consent Of Debentureholders. With the consent (evidenced as
provided in Article 10) of the holders of at least a majority in aggregate
principal amount of the Debentures at the time Outstanding, the Company, when
authorized by the resolutions of the Board of Directors, and the Trustee may,
from time to time and at any time, enter into an indenture or indentures
supplemental hereto for the purpose of adding any 

 

65

 

provisions to
or changing in any manner or eliminating any of the provisions of this
Indenture or any supplemental indenture or of modifying in any manner the
rights of the holders of the Debentures; provided that
no such supplemental indenture shall extend the fixed maturity of any
Debenture, reduce the rate or extend the time of payment of Interest thereon,
reduce the principal amount thereof, reduce any amount payable upon redemption
or repurchase thereof, impair the right of any Debenture holder to institute
suit for the payment thereof, make the principal thereof or Interest thereon
payable in any coin or currency other than that provided in the Debentures,
change the obligation of the Company to redeem any Debenture on a redemption
date in a manner adverse to the holders of the Debentures, change the
obligation of the Company to repurchase any Debenture upon the happening of a Designated
Event in a manner adverse to the holders of the Debentures, change the
obligation of the Company to repurchase any Debenture on a Repurchase Date in a
manner adverse to the holders of the Debentures, impair the right to convert
the Debentures into Common Stock subject to the terms set forth in the
Indenture, including Section 17.06 thereof, modify the subordination provisions
of this Indenture (including the definition of Senior Indebtedness) in a
material respect in a manner adverse to the holder of Debentures without the
consent of the holder of each Debenture so affected, reduce the number of
shares of Common Stock or amount of other property receivable upon conversion
of the Debentures, modify any of the provisions of Section 12.02 or Section 8.07
thereof, except to increase any such percentage or to provide that certain
other provisions of the Indenture cannot be modified or waived without the
consent of the holder of each Debenture so affected, change any obligation of
the Company to maintain an office or agency in the places and for the purposes
set forth in Section 6.01 thereof, or reduce the quorum or voting requirements
set forth in Article 11 or (ii) reduce the aforesaid percentage of Debentures,
the holders of which are required to consent to any such supplemental
indenture, without the consent of the holders of all Debentures then
Outstanding.

 

Upon the written request of the Company,
accompanied by a copy of the resolutions of the Board of Directors certified by
its Secretary or Assistant Secretary authorizing the execution of any such
supplemental indenture, and upon the filing with the Trustee of evidence of the
consent of Debentureholders as aforesaid, the Trustee shall join with the
Company in the execution of such supplemental indenture unless such
supplemental indenture affects the Trustee’s own rights, duties or immunities
under this Indenture or otherwise, in which case the Trustee may in its
discretion, but shall not be obligated to, enter into such supplemental
indenture.

 

It shall not be necessary for the consent of
the Debentureholders under this Section 12.02 to approve the particular form of
any proposed supplemental indenture, but it shall be sufficient if such consent
shall approve the substance thereof.

 

66

 

Section 12.03. Effect Of Supplemental
Indenture. Any supplemental indenture executed pursuant to the
provisions of this Article 12 shall comply with the Trust Indenture Act, as
then in effect, provided that this Section 12.03
shall not require such supplemental indenture or the Trustee to be qualified
under the Trust Indenture Act prior to the time such qualification is in fact
required under the terms of the Trust Indenture Act or the Indenture has been
qualified under the Trust Indenture Act, nor shall it constitute any admission
or acknowledgment by any party to such supplemental indenture that any such
qualification is required prior to the time such qualification is in fact
required under the terms of the Trust Indenture Act or the Indenture has been
qualified under the Trust Indenture Act. Upon the execution of any supplemental
indenture pursuant to the provisions of this Article 12, this Indenture shall
be and be deemed to be modified and amended in accordance therewith and the
respective rights, limitation of rights, obligations, duties and immunities
under this Indenture of the Trustee, the Company and the holders of Debentures
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 12.04. Notation On Debentures. Debentures
authenticated and delivered after the execution of any supplemental indenture
pursuant to the provisions of this Article 12 may bear a notation in form
approved by the Trustee as to any matter provided for in such supplemental
indenture. If the Company or the Trustee shall so determine, new Debentures so
modified as to conform, in the opinion of the Trustee and the Board of
Directors, to any modification of this Indenture contained in any such
supplemental indenture may, at the Company’s expense, be prepared and executed
by the Company, authenticated by the Trustee (or an authenticating agent duly
appointed by the Trustee pursuant to Section 18.10) and delivered in exchange
for the Debentures then Outstanding, upon surrender of such Debentures then Outstanding.

 

Section 12.05. Evidence Of Compliance
Of Supplemental Indenture To Be Furnished To Trustee. Prior to
entering into any supplemental indenture, the Trustee shall be provided with 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 12 and is otherwise authorized or permitted by this Indenture.

 

67

 

ARTICLE 13

[RESERVED]

 

ARTICLE 14

CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE

 

Section 14.01. Company May Consolidate
On Certain Terms. Subject to the provisions of Section 14.02, the
Company shall not consolidate or merge with or into any other Person or Persons
(whether or not affiliated with the Company), nor shall the Company or its
successor or successors be a party or parties to successive consolidations or
mergers, nor shall the Company sell, convey, transfer or lease all or
substantially all the property and assets of the Company, to any other Person
(whether or not affiliated with the Company), unless: (i) the Company is the
surviving Person, or the resulting, surviving or transferee Person is organized
and existing under the laws of the United States of America, any state thereof
or the District of Columbia; (ii) upon
any such consolidation, merger, sale, conveyance, transfer or lease, the
payment of the principal of and Interest on all of the Debentures pursuant to
their terms, and the performance and observance of all of the covenants and
conditions of this Indenture to be performed by the Company pursuant to the
terms set forth herein, shall be expressly assumed, by supplemental indenture
satisfactory in form to the Trustee, executed and delivered to the Trustee by
the Person (if other than the Company) formed by such consolidation, or into
which the Company shall have been merged, or by the Person that shall have
acquired or leased such property, and such supplemental indenture shall provide
for the applicable conversion rights set forth in Section 17.06; and
(iii) immediately after giving effect to the transaction described above,
no Event of Default, and no event that, after notice or lapse of time or both,
would become an Event of Default, shall have happened and be continuing.

 

Section 14.02. Successor To Be
Substituted. In case of any such consolidation, merger, sale,
conveyance, transfer or lease and upon the assumption by the successor Person,
by supplemental indenture, executed and delivered to the Trustee and satisfactory
in form to the Trustee, of the payment of the principal of and Interest on all
of the Debentures pursuant to their terms and the performance of all of the
covenants and conditions of this Indenture to be performed by the Company
pursuant to the terms set forth herein, such successor Person shall succeed to
and be substituted for the Company, with the same effect as if it had been
named herein as the party of this first part. Such successor Person thereupon
may cause to be signed, and may issue either in its own name or in the name of
CommScope, Inc. any or all of the Debentures, issuable hereunder that
theretofore shall not have been signed by the Company and delivered to the
Trustee; and, upon the order of such successor Person instead of the Company
and subject to all the terms, conditions and limitations in this Indenture
prescribed, the Trustee shall authenticate and shall deliver, or cause to be
authenticated and delivered, any Debentures that previously shall have been
signed and delivered by 

 

68

 

the officers
of the Company to the Trustee for authentication, and any Debentures that such
successor Person thereafter shall cause to be signed and delivered to the
Trustee for that purpose. All the Debentures so issued shall in all respects
have the same legal rank and benefit under this Indenture as the Debentures
theretofore or thereafter issued in accordance with the terms of this Indenture
as though all of such Debentures had been issued at the date of the execution
hereof. In the event of any such consolidation, merger, sale, conveyance,
transfer or lease, the Person named as the “Company”
in the first paragraph of this Indenture or any successor that shall thereafter
have become such in the manner prescribed in this Article 14 may be dissolved,
wound up and liquidated at any time thereafter and such Person shall be
released from its liabilities as obligor and maker of the Debentures and from
its obligations under this Indenture.

 

In case of any such consolidation, merger,
sale, conveyance, transfer or lease, such changes in phraseology and form (but
not in substance) may be made in the Debentures thereafter to be issued as may
be appropriate.

 

Section 14.03. Opinion Of Counsel To Be
Given Trustee. The Trustee shall receive an Officers’ Certificate
and an Opinion of Counsel as conclusive evidence that any such consolidation,
merger, sale, conveyance, transfer or lease and any such assumption complies
with the provisions of this Article 14.

 

ARTICLE 15

SATISFACTION AND DISCHARGE OF INDENTURE

 

Section 15.01. Discharge Of Indenture. When
(a) the Company shall deliver to the Trustee for cancellation all Debentures
theretofore authenticated (other than any Debentures that have been destroyed,
lost or stolen and in lieu of or in substitution for which other Debentures
shall have been authenticated and delivered) and not theretofore canceled, or
(b) all the Debentures not theretofore canceled or delivered to the 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 Trustee for the giving of notice of
redemption, and the Company shall deposit with the Trustee, in trust, funds
sufficient to pay at maturity or upon redemption of all of the Debentures
(other than any Debentures that shall have been mutilated, destroyed, lost or
stolen and in lieu of or in substitution for which other Debentures shall have
been authenticated and delivered) not theretofore canceled or delivered to the
Trustee for cancellation, including principal and Interest due or to become due
to such date of maturity or redemption date, as the case may be, accompanied by
a verification report, as to the sufficiency of the deposited amount, from an
independent certified accountant or other financial professional satisfactory
to the Trustee, and if the Company shall also pay or cause to be paid all other
sums payable hereunder by the Company, then this Indenture shall cease to be of
further effect (except as to (i) remaining rights of registration of transfer, 

 

69

 

substitution
and exchange and conversion of Debentures, (ii) rights hereunder of Debentureholders
to receive payments of principal and Interest on, the Debentures and the other
rights, duties and obligations of Debentureholders, as beneficiaries hereof
with respect to the amounts, if any, so deposited with the Trustee and (iii)
the rights, obligations and immunities of the Trustee hereunder), and the
Trustee, on written demand of the Company accompanied by an Officers’
Certificate and an Opinion of Counsel as required by Section 9.02 and at the
cost and expense of the Company, shall execute proper instruments acknowledging
satisfaction of and discharging this Indenture; the Company, however, hereby
agrees to reimburse the Trustee for any costs or expenses thereafter reasonably
and properly incurred by the Trustee and to compensate the Trustee for any
services thereafter reasonably and properly rendered by the Trustee in
connection with this Indenture or the Debentures.

 

Section 15.02. Deposited Monies To Be
Held In Trust By Trustee. Subject to Section 15.04 and the
subordination provisions in Article 4, all monies deposited with the Trustee
pursuant to Section 15.01, shall be held in trust for the sole benefit of the
Debentureholders, and such monies shall be applied by the Trustee to the
payment, either directly or through any paying agent (including the Company if
acting as its own paying agent), to the holders of the particular Debentures
for the payment or redemption of which such monies have been deposited with the
Trustee, of all sums due and to become due thereon for principal and Interest.

 

Section 15.03. Paying Agent To Repay
Monies Held. Upon the satisfaction and discharge of this Indenture,
all monies then held by any paying agent of the Debentures (other than the
Trustee) shall, upon written request of the Company, be repaid to it or paid to
the Trustee, and thereupon such paying agent shall be released from all further
liability with respect to such monies.

 

Section 15.04. Return Of Unclaimed
Monies. Subject to the requirements of applicable law, any monies
deposited with or paid to the Trustee for payment of the principal or Interest
on Debentures and not applied but remaining unclaimed by the holders of
Debentures for two years after the date upon which the principal of or Interest
on such Debentures, as the case may be, shall have become due and payable,
shall be repaid to the Company by the Trustee on demand and all liability of
the Trustee shall thereupon cease with respect to such monies; and the holder
of any of the Debentures shall thereafter look only to the Company for any payment
that such holder may be entitled to collect unless an applicable abandoned
property law designates another Person.

 

Section 15.05. Reinstatement. If
the Trustee or the paying agent is unable to apply any money in accordance with
Section 15.02 by reason of any order or judgment of any court or governmental
authority enjoining, restraining or otherwise prohibiting such application, the
Company’s obligations under this Indenture and the Debentures shall be revived
and reinstated as though no deposit 

 

70

 

had occurred
pursuant to Section 15.01 until such time as the Trustee or the paying agent is
permitted to apply all such money in accordance with Section 15.02; provided that if the Company makes any payment of Interest
on or principal of any Debenture following the reinstatement of its
obligations, the Company shall be subrogated to the rights of the holders of
such Debentures to receive such payment from the money held by the Trustee or
paying agent.

 

ARTICLE 16

IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS

 

Section 16.01. Indenture And Debentures
Solely Corporate Obligations. No recourse for the payment of the
principal of or Interest on any Debenture, or for any claim based thereon or otherwise
in respect thereof, and no recourse under or upon any obligation, covenant or
agreement of the Company in this Indenture or in any supplemental indenture or
in any Debenture, or because of the creation of any indebtedness represented
thereby, shall be had against any incorporator, stockholder, employee, agent,
officer, director or subsidiary, as such, past, present or future, of the
Company or of any successor corporation, either directly or through the Company
or any successor 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 Debentures.

 

ARTICLE 17

CONVERSION OF DEBENTURES

 

Section 17.01. Right To Convert. (a)
Subject to and in accordance with the provisions of this Indenture, prior to
the close of business on                         ,
the holder of any Debenture shall have the right, at such holder’s option, to
convert the principal amount of the Debenture, or any portion of such principal
amount that is a multiple of $1,000, into fully paid and non-assessable shares
of Common Stock (as such shares shall then be constituted) at the Conversion
Rate in effect at such time, by surrender of the Debenture so to be converted
in whole or in part, together with any required funds, under the circumstances
described in this Section 17.01 and in the manner provided in Section 17.02.
The Debentures shall be convertible only upon the occurrence of one of the
following events:

 

[To be inserted]

 

(b)           In addition, if:

 

(i)    (A)  the Company distributes to all holders of its
Common Stock rights, warrants or options entitling them (for a period expiring 

 

71

 

within forty-five (45) days of the record
date for the determination of the stockholders entitled to receive such
distribution) to subscribe for or purchase shares of Common Stock, at a price
per share less than the average of the Closing Sale Prices of the Common Stock
for the ten (10) Trading Days immediately preceding, but not including, the
declaration date for such distribution, or (B) the Company distributes to all
holders of its Common Stock, assets, debt securities or rights to purchase its
securities (other than the rights, warrants or options referred to in clause
(A) above), where the Fair Market Value of such distribution per share of
Common Stock exceeds 5% of the Closing Sale Price of the Common Stock on the
Trading Day immediately preceding the declaration date for such distribution,
then, in either case, the Debentures may be surrendered for conversion at any
time on and after the date that the Company gives notice to the holders of such
distribution, which shall be not less than twenty (20) days prior to the
Ex-Dividend Time for such distribution, until the earlier of the close of
business on the Business Day immediately preceding, but not including, the
Ex-Dividend Time or the date the Company publicly announces that such
distribution will not take place; provided that
no adjustment to the Conversion Rate will be made nor will a holder of a
Debenture be able to convert pursuant to this Section 17.01(b) if such holder
will otherwise participate in such distribution without conversion; or

 

(ii)   the
Company consolidates with or merges with or into another Person or is a party
to a binding share exchange or conveys, transfers or sells all or substantially
all of its assets in each case pursuant to which the Company’s Common Stock is
converted into cash, securities or other property, then the Debentures may be
surrendered for conversion at any time from and after the date fifteen (15)
days prior to the anticipated effective date of the transaction and ending on
and including the date fifteen (15) days after the consummation of the
transaction (or if such merger, consolidation or share exchange also
constitutes a Designated Event, until the corresponding Designated Event
Repurchase Date). The Board of Directors shall determine the anticipated
effective date of the transaction, and such determination shall be conclusive
and binding on the holders and shall be published on the Company’s web site or
through such other public medium then used by the Company not later than two
(2) Business Days prior to such 15th day.

 

“Ex-Dividend Time”
means, with respect to any distribution on shares of Common Stock, the first
date on which the shares of Common Stock trade regular way on the principal
securities market on which the shares of Common Stock are then traded without
the right to receive such distribution.

 

(c)           A Debenture in respect
of which a holder is electing to exercise its option to require repurchase upon
a Designated Event pursuant to Section 3.05 or 

 

72

 

repurchase pursuant to Section 3.06 may be
converted only if such holder withdraws its election in accordance with Section
3.05(b) or Section 3.08, respectively. A holder of Debentures is not entitled
to any rights of a holder of Common Stock until such holder has converted his
Debentures to Common Stock, and only to the extent such Debentures are deemed
to have been converted to Common Stock under this Article 17.

 

Section 17.02. Conversion Procedures. To
convert a Debenture, a holder must (a) complete and manually sign the
Conversion Notice or a facsimile of the Conversion Notice on the back of the
Debenture and deliver such notice to the Conversion Agent, (b) surrender
the Debenture to the Conversion Agent, (c) furnish appropriate
endorsements and transfer documents if required by the Registrar or the
Conversion Agent, (d) pay any transfer or similar tax, if required and (e)
if required, pay funds equal to the Interest payable on the next interest
payment date. In the case of a Global Debenture, the holder must comply with
clauses (c)-(e) in the previous sentence and the Conversion Notice shall be
completed by a DTC participant on behalf of the beneficial holder. The date,
within the time periods set forth in Section 17.01, on which the holder
satisfies all of those requirements is the “Conversion
Date.”

 

Debentures surrendered for conversion in
compliance with the provisions of this Indenture shall be deemed to have been
converted immediately prior to the close of business on the Conversion Date.

 

The Company shall deliver to the holder
through the Conversion Agent, no later than the fifth Business Day following
such Conversion Date, a certificate for the number of whole shares of Common
Stock issuable upon conversion and cash in lieu of any fractional shares
pursuant to Section 17.03.

 

Anything herein to the contrary
notwithstanding, in the case of Global Debentures, Conversion Notices may be
delivered and such Debentures may be surrendered for conversion in accordance
with the applicable procedures of the Depositary as in effect from time to
time.

 

No payment or adjustment shall be made for
dividends on, or other distributions with respect to, any Common Stock except
as provided in this Article 17. On conversion of a Debenture, except for
conversion during the period from the close of business on any record date
immediately preceding any interest payment date to the close of business on the
Business Day immediately preceding such interest payment date, in which case
the holder on such record date shall receive the Interest payable on such
interest payment date, that portion of accrued and unpaid Interest on the
converted Debenture attributable to the period from the most recent interest
payment date (or, if no interest payment date has occurred, from the Issue
Date) through the Conversion Date shall not be cancelled, extinguished or
forfeited, but rather shall be deemed to be paid in full to the holder thereof
through delivery of the Common Stock (together with the 

 

73

 

cash payment, if any, in lieu of fractional
shares), or cash or a combination of cash and Common Stock in lieu thereof, in
exchange for the Debenture being converted pursuant to the provisions hereof,
and the Fair Market Value of such shares of Common Stock (together with any
such cash payment in lieu of fractional shares) shall be treated as issued, to
the extent thereof, first in exchange for accrued and unpaid Interest accrued
through the Conversion Date and the balance, if any, of such Fair Market Value
of such Common Stock (and any such cash payment) shall be treated as issued in
exchange for the principal amount of the Debenture being converted pursuant to
the provisions hereof.

 

If a holder converts more than one Debenture
at the same time, the number of shares of Common Stock issuable upon the
conversion shall be based on the aggregate principal amount of Debentures
converted.

 

Upon surrender of a Debenture that is
converted in part, the Company shall execute, and the Trustee shall
authenticate and deliver to the holder, a new Debenture equal in principal
amount to the principal amount of the unconverted portion of the Debenture
surrendered.

 

Debentures or portions thereof surrendered
for conversion during the period from the close of business on any record date
immediately preceding any interest payment date to the close of business on the
Business Day immediately preceding such interest payment date shall be
accompanied by payment to the Company or its order, in New York Clearing House
funds or other funds acceptable to the Company, of an amount equal to the
Interest payable on such interest payment date with respect to the principal
amount of Debentures or portions thereof being surrendered for conversion; provided that no such payment need be made (1) if the
Company has specified a redemption date that occurs after a record date but on
or prior to the next interest payment date, (2) if the Company has specified a
Designated Event Repurchase Date during such period or (3) to the extent of any
overdue Interest, if any overdue Interest exists on the Conversion Date with
respect to the Debentures converted.

 

Section 17.03. Cash Payments in Lieu of
Fractional Shares. No fractional shares of Common Stock or scrip
certificates representing fractional shares shall be issued upon conversion of
Debentures. If more than one Debenture shall be surrendered for conversion at
one time by the same holder, the number of full shares that shall be issuable
upon conversion shall be computed on the basis of the aggregate principal
amount of the Debentures (or specified portions thereof to the extent permitted
hereby) so surrendered. If any fractional share of stock would be issuable upon
the conversion of any Debenture or Debentures, the Company shall make an
adjustment and payment therefor in cash at the current market price thereof to
the holder of Debentures. The current market price of a share of Common Stock
shall be the Closing Sale Price of the Common Stock on the last Trading Day
immediately preceding the day on which the Debentures (or specified portions
thereof) are deemed to have been converted.

 

74

 

Section 17.04. Conversion Rate. Each
$1,000 principal amount of the Debentures shall be convertible into the number
of shares of Common Stock specified in the form of Debenture (herein called the
“Conversion Rate”) attached as Exhibit A
hereto, subject to adjustment as provided in this Article 17.

 

Section 17.05. Adjustment Of Conversion
Rate. The Conversion Rate shall be adjusted from time to time
(without duplication) by the Company as follows:

 

(a)           In case the Company
shall hereafter pay a dividend or make a distribution to all holders of the
outstanding Common Stock in shares of Common Stock, the Conversion Rate shall
be increased so that the same shall equal the rate determined by multiplying
the Conversion Rate in effect at the opening of business on the date following
the date fixed for the determination of stockholders entitled to receive such
dividend or other distribution by a fraction,

 

(i)    the
numerator of which shall be the sum of the number of shares of Common Stock
outstanding at the close of business on the date fixed for the determination of
stockholders entitled to receive such dividend or other distribution plus the
total number of shares of Common Stock constituting such dividend or other
distribution; and

 

(ii)   the
denominator of which shall be the number of shares of Common Stock outstanding
at the close of business on the date fixed for such determination, 

 

such increase
to become effective immediately after the opening of business on the day
following the date fixed for such determination. For the purpose of this
paragraph (a), the number of shares of Common Stock at any time outstanding
shall not include shares held in the treasury of the Company. The Company will
not pay any dividend or make any distribution on shares of Common Stock held in
the treasury of the Company. If any dividend or distribution of the type
described in this Section 17.05(a) is declared but not so paid or made, the
Conversion Rate shall again be adjusted to the Conversion Rate that would then
be in effect if such dividend or distribution had not been declared.

 

(b)           In case the Company
shall issue rights, options or warrants to all holders of its outstanding
shares of Common Stock entitling them (for a period expiring within forty-five
(45) days after the date fixed for determination of stockholders entitled to
receive such rights, options or warrants) to subscribe for or purchase shares
of Common Stock at a price per share less than the average of the Closing Sale
Prices of the Common Stock for the ten (10) Trading Days immediately preceding
the declaration date for such distribution, the Conversion Rate shall be
increased so that the same shall equal the rate determined by multiplying the
Conversion Rate in effect immediately prior to the date fixed for 

 

75

 

determination
of stockholders entitled to receive such rights, options or warrants by a
fraction,

 

(i)    the
numerator of which shall be the number of shares of Common Stock outstanding at
the close of business on the date fixed for determination of stockholders
entitled to receive such rights, options or warrants plus the total number of
additional shares of Common Stock offered for subscription or purchase, and

 

(ii)   the
denominator of which shall be the sum of the number of shares of Common Stock
outstanding at the close of business on the date fixed for determination of
stockholders entitled to receive such rights, options or warrants plus the
number of shares that the aggregate offering price of the total number of
shares so offered would purchase at a price equal to the average of the Closing
Sale Prices of the Common Stock for the ten (10) Trading Days immediately
preceding the declaration date for such distribution.

 

Such adjustment shall be successively made
whenever any such rights, options or warrants are issued, and shall become
effective immediately after the opening of business on the day following the
date fixed for determination of stockholders entitled to receive such rights,
options or warrants. To the extent that shares of Common Stock are not
delivered after the expiration of such rights, options or warrants, the
Conversion Rate shall be readjusted to the Conversion Rate that would then be
in effect had the adjustments made upon the issuance of such rights, options or
warrants been made on the basis of delivery of only the number of shares of
Common Stock actually delivered. If such rights, options or warrants are not so
issued, the Conversion Rate shall again be adjusted to be the Conversion Rate
that would then be in effect if such date fixed for the determination of
stockholders entitled to receive such rights, options or warrants had not been
fixed. In determining whether any rights, options or warrants entitle the
holders to subscribe for or purchase shares of Common Stock at a price less
than the average of the Closing Sale Prices of the Common Stock for the ten
(10) Trading Days immediately preceding the declaration date for such
distribution, and in determining the aggregate offering price of such shares of
Common Stock, there shall be taken into account any consideration received by
the Company for such rights, options or warrants and any amount payable on
exercise or conversion thereof, the value of such consideration, if other than
cash, to be determined by the Board of Directors.

 

(c)           In case outstanding
shares of Common Stock shall be subdivided into a greater number of shares of
Common Stock, the Conversion Rate in effect at the opening of business on the
day following the day upon which such subdivision becomes effective shall be
proportionately increased, and conversely, in case outstanding shares of Common
Stock shall be combined into a smaller number of shares of Common Stock, the
Conversion Rate in effect at the opening 

 

76

 

of business on the day following the day upon
which such combination becomes effective shall be proportionately reduced, such
increase or reduction, as the case may be, to become effective immediately
after the opening of business on the day following the day upon which such
subdivision or combination becomes effective.

 

(d)           In case the Company
shall, by dividend or otherwise, distribute to all holders of its Common Stock
shares of any class of capital stock of the Company or evidences of its
indebtedness, property or assets (including rights, options, warrants and other
securities, but excluding any rights, options or warrants referred to in
Section 17.05(b), and excluding any dividend or distribution (x) paid exclusively
in cash or (y) referred to in Section 17.05(a)) (any of the foregoing
hereinafter in this Section 17.05(d) called the “Distributed
Property”), then, in each such case (unless the Company elects to
reserve such Distributed Property for distribution to the Debentureholders upon
the conversion of the Debentures so that any such holder converting Debentures
will receive upon such conversion, in addition to the shares of Common Stock to
which such holder is entitled, the amount and kind of such Distributed Property
that such holder would have received if such holder had converted its
Debentures into Common Stock immediately prior to the Record Date for such
distribution of the Distributed Property) the Conversion Rate shall be
increased so that the same shall be equal to the rate determined by multiplying
the Conversion Rate in effect immediately prior to the close of business on the
Record Date with respect to such distribution by a fraction,

 

(i)    the
numerator of which shall be the Current Market Price on such Record Date; and

 

(ii)   the
denominator of which shall be the Current Market Price on such Record Date less
the Fair Market Value (as determined by the Board of Directors, whose
determination shall be conclusive, and described in a resolution of the Board
of Directors) on the Record Date of the portion of the Distributed Property so
distributed applicable to one share of Common Stock, 

 

such adjustment to become effective
immediately prior to the opening of business on the day following such Record
Date; provided that if the then Fair Market
Value (as so determined) of the portion of the Distributed Property so
distributed applicable to one share of Common Stock is equal to or greater than
the Current Market Price on the Record Date, in lieu of the foregoing
adjustment, adequate provision shall be made so that each Debentureholder shall
have the right to receive on the date of such dividend or distribution the
amount of Distributed Property such holder would have received had such holder
converted each Debenture on the Record Date. If such dividend or distribution
is not so paid or made, the Conversion Rate shall again be adjusted to be the
Conversion Rate that would then be in effect if such dividend or distribution
had not been declared. If 

 

77

 

the Board of
Directors determines the Fair Market Value of any distribution for purposes of
this Section 17.05(d) by reference to the actual or when issued trading market
for any securities, it must in doing so consider the prices in such market over
the same period used in computing the Current Market Price on the applicable
Record Date.

 

Notwithstanding the foregoing, if the Distributed Property distributed
by the Company to all holders of its Common Stock consist of capital stock of,
or similar equity interests in, a Subsidiary or other business unit of the
Company (unless such capital stock or similar equity interests are distributed
to the Debentureholders in such distribution as if such holders had converted their
Debentures into shares of Common Stock), the Conversion Rate shall be increased
so that the same shall be equal to the rate determined by multiplying the
Conversion Rate in effect immediately prior to the close of business on the
Record Date with respect to such distribution by a fraction,

 

(i) 
the numerator of which shall be the sum of (A) the average of the
Closing Sale Prices of the Common Stock for the ten (10) consecutive 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 New York Stock
Exchange, the Nasdaq National Market or such other national or regional
exchange or market on which such securities are then listed or quoted (the “Ex-Dividend Date”) plus (B) the average Closing Sales Prices
of the securities distributed in respect of each share of Common Stock for the
ten (10) consecutive Trading Days commencing on and including the fifth Trading
Day after the Ex-Dividend Date; and

 

(ii) the denominator of which shall be the
average of the Closing Sale Prices of the Common Stock for the ten (10)
consecutive Trading Days commencing on and including the fifth Trading Day
after the Ex-Dividend Date, 

 

such adjustment to become
effective immediately prior to the opening of business on the day following
such Record Date; provided that the Company may in
lieu of the foregoing adjustment make adequate provision so that each
Debentureholder shall have the right to receive on the date of such distribution
the amount of Distributed Property such holder would have received had such
holder converted each Debenture on the Record Date with respect to such
distribution; and provided further that if (x) the
average of the Closing Sale Prices of the Common Stock for the ten (10)
consecutive Trading Days commencing on and including the fifth Trading Day
after the Ex-Dividend Date minus (y) the average of the Closing Sale Prices of
the securities distributed in respect of each share Common Stock for the ten
(10) consecutive Trading Days commencing on and including the fifth Trading Day
after the Ex-Dividend Date is less than $1.00, then the adjustment provided by
for by this paragraph shall not be made and in lieu thereof 

 

78

 

the provisions of the first
paragraph of this Section 17.05(d) shall apply to such distribution. In any
case in which this paragraph is applicable, Section 17.05(a), Section 17.05(b)
and the first paragraph of this Section 17.05(d) shall not be applicable.

 

Rights or warrants distributed by the Company
to all holders of Common Stock entitling the holders thereof to subscribe for
or purchase shares of the Company’s capital stock (either initially or under
certain circumstances), which rights, options or warrants, until the occurrence
of a specified event or events (“Trigger Event”):
(i) are deemed to be transferred with such shares of Common Stock;
(ii) are not exercisable; and (iii) are also issued in respect of future
issuances of Common Stock, shall be deemed not to have been distributed for
purposes of this Section 17.05 (and no adjustment to the Conversion Rate under
this Section 17.05 will be required) until the occurrence of the earliest
Trigger Event, whereupon such rights, options and warrants shall be deemed to
have been distributed and an appropriate adjustment (if any is required) to the
Conversion Rate shall be made under this Section 17.05(d). If any such right or
warrant, including any such existing rights, options or warrants distributed
prior to the date of this Indenture, are subject to events, upon the occurrence
of which such rights, options or warrants become exercisable to purchase
different securities, evidences of indebtedness or other assets, then the date
of the occurrence of any and each such event shall be deemed to be the date of
distribution and record date with respect to new rights, options or warrants
with such rights (and a termination or expiration of the existing rights,
options or warrants without exercise by any of the holders thereof). In
addition, in the event of any distribution (or deemed distribution) of rights,
options or warrants, or any Trigger Event or other event (of the type described
in the preceding sentence) with respect thereto that was counted for purposes
of calculating a distribution amount for which an adjustment to the Conversion
Rate under this Section 17.05 was made, (1) in the case of any such rights,
options or warrants that shall all have been redeemed or repurchased without
exercise by any holders thereof, the Conversion Rate shall be readjusted upon
such final redemption or repurchase to give effect to such distribution or
Trigger Event, as the case may be, as though it were a cash distribution, equal
to the per share redemption or repurchase price received by a holder or holders
of Common Stock with respect to such rights, options or warrants (assuming such
holder had retained such rights, options or warrants), made to all holders of
Common Stock as of the date of such redemption or repurchase, and (2) in the
case of such rights, options or warrants that shall have expired or been
terminated without exercise by any holders thereof, the Conversion Rate shall
be readjusted as if such rights, options and warrants had not been issued.

 

No adjustment of the Conversion Rate shall be
made pursuant to this Section 17.05(d) in respect of rights, options or
warrants distributed or deemed distributed on any Trigger Event to the extent
that such rights, options or warrants are actually distributed, or reserved by
the Company for distribution, to holders of Debentures upon conversion by such
holders of Debentures into Common Stock.

 

79

 

For purposes of this Section 17.05(d) and
Section 17.05(a) and (b), any dividend or distribution to which this Section
17.05(d) is applicable that also includes shares of Common Stock, or rights,
options or warrants to subscribe for or purchase shares of Common Stock (or
both), shall be deemed instead to be (1) a dividend or distribution of the
evidences of indebtedness, assets or shares of capital stock other than such
shares of Common Stock or rights, options or warrants (and any Conversion Rate
adjustment required by this Section 17.05(d) with respect to such dividend or
distribution shall then be made) immediately followed by (2) a dividend or
distribution of such shares of Common Stock or such rights, options or warrants
(and any further Conversion Rate adjustment required by Sections 17.05(a) and
17.05(b) with respect to such dividend or distribution shall then be made),
except (A) the Record Date of such dividend or distribution shall be
substituted as “the date fixed for the determination of stockholders entitled
to receive such dividend or other distribution”, “the date fixed for the
determination of stockholders entitled to receive such rights, options or
warrants” and “the date fixed for such determination” within the meaning of
Section 17.05(a) and 17.05(b) and (B) any shares of Common Stock included
in such dividend or distribution shall not be deemed “outstanding at the close
of business on the date fixed for the determination of stockholders entitled to
receive such dividend or other distribution” or “outstanding at the close of
business on the date fixed for such determination” within the meaning of
Section 17.05(a).

 

The reclassification of the Common Stock into
securities including securities other than Common Stock (other than any
reclassification upon an event to which Section 17.06 applies) shall be deemed
to involve (a) a distribution of such securities other than the Common Stock to
all holders of Common Stock (and the effective date of such reclassification
shall be deemed to be the “Record Date” within the meaning of this Section
17.05(d)), and (b) a subdivision or combination, as the case may be, of the
number of shares of Common Stock outstanding immediately prior to such
reclassification into the number of shares of Common Stock outstanding
immediately thereafter (and the effective date of such reclassification shall
be deemed to be “the day upon which such subdivision becomes effective” or “the
day upon which such combination becomes effective”, as the case may be, and “the
day upon which such subdivision or combination becomes effective” within the
meaning of Section 17.05(c)).

 

(e)           In case the Company
shall, by dividend or otherwise, distribute to all holders of its Common Stock
cash (excluding any dividend or distribution in connection with the
liquidation, dissolution or winding up of the Company, whether voluntary or
involuntary), then, in such case, the Conversion Rate shall be increased so
that the same shall equal the rate determined by multiplying the Conversion
Rate in effect immediately prior to the close of business on such Record Date
by a fraction,

 

(i)    the
numerator of which shall be the Current Market Price on such Record Date; and

 

80

 

(ii)   the
denominator of which shall be the Current Market Price on such Record Date less
the amount of cash so distributed (and not excluded as provided above)
applicable to one share of Common Stock, 

 

such adjustment to be effective immediately
prior to the opening of business on the day following the Record Date; provided that if the portion of the cash so distributed
applicable to one share of Common Stock is equal to or greater than the Current
Market Price on the Record Date, in lieu of the foregoing adjustment, adequate
provision shall be made so that each Debentureholder shall have the right to
receive on the date of such dividend or distribution the amount of cash such
holder would have received had such holder converted each Debenture on the
record date. If such dividend or distribution is not so paid or made, the
Conversion Rate shall again be adjusted to be the Conversion Rate that would
then be in effect if such dividend or distribution had not been declared.

 

(f)            In case a tender or
exchange offer made by the Company or any Subsidiary for all or any portion of
the Common Stock shall expire and such tender or exchange offer (as amended
upon the expiration thereof) shall require the payment to stockholders of
consideration per share of Common Stock having a Fair Market Value (as
determined by the Board of Directors, whose determination shall be conclusive
and described in a resolution of the Board of Directors) that as of the last
time (the “Expiration Time”) tenders or
exchanges may be made pursuant to such tender or exchange offer (as it may be
amended) exceeds the Closing Sale Price per share of Common Stock on the
Trading Day next succeeding the Expiration Time, the Conversion Rate shall be
increased so that the same shall equal the rate determined by multiplying the
Conversion Rate in effect immediately prior to the Expiration Time by a
fraction,

 

(i)    the
numerator of which shall be the sum of (x) the Fair Market Value (determined as
aforesaid) of the aggregate consideration payable to stockholders based on the
acceptance (up to any maximum specified in the terms of the tender or exchange
offer) of all shares validly tendered or exchanged and not withdrawn as of the
Expiration Time (the shares deemed so accepted up to any such maximum, being
referred to as the “Purchased Shares”)
and (y) the product of the number of shares of Common Stock outstanding (less
any Purchased Shares) at the Expiration Time and the Closing Sale Price per
share of Common Stock on the Trading Day next succeeding the Expiration Time,
and

 

(ii)   the
denominator of which shall be the number of shares of Common Stock outstanding
(including any tendered or exchanged shares) at the Expiration Time multiplied
by the Closing Sale Price per share of Common Stock on the Trading Day next
succeeding the Expiration Time, 

 

such adjustment to become effective
immediately prior to the opening of business on the day following the
Expiration Time. If the Company is obligated to 

 

81

 

purchase shares pursuant to any such tender
or exchange offer, but the Company is permanently 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.

 

(g)           No adjustment in the
Conversion Rate shall be made for any increase or decrease in the par value of
the Common Stock, or a change in the par value of the Common Stock to no par
value.

 

(h)           [Reserved].

 

(i)            For purposes of this
Section 17.05, the following terms shall have the meaning indicated:

 

(i)    “Current Market Price” shall mean the average of the daily
Closing Sale Prices per share of Common Stock for the ten (10) consecutive
Trading Days ending on the earlier of the day in question and the day before
the “ex” date with respect to the issuance,
distribution, subdivision or combination requiring such computation. For
purpose of this paragraph, the term “ex” date, (1)
when used 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 Sale Price of the Common Stock was
obtained without the right to receive such issuance or distribution, and (2)
when used 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.

 

If another issuance, distribution,
subdivision or combination to which Section 17.05 applies occurs during the
period applicable for calculating “Current Market Price”
pursuant to the definition in the preceding paragraph, “Current
Market Price” shall be calculated for such period in a manner
determined by the Board of Directors to reflect the impact of such issuance,
distribution, subdivision or combination on the Closing Sale Price of the
Common Stock during such period.

 

(ii)   “Fair Market Value” shall mean the amount that a willing
buyer would pay a willing seller in an arm’s-length transaction.

 

(iii)  “Record Date” shall mean, with respect to any dividend,
distribution or other transaction or event in which the holders of Common Stock
have the right to receive any cash, securities or other property or in which the
Common Stock (or other applicable security) is exchanged for or converted into
any combination of cash, securities or other property, the 

 

82

 

date fixed for determination of stockholders
entitled to receive such cash, securities or other property (whether such date
is fixed by the Board of Directors or by statute, contract or otherwise).

 

(iv)  “Trading Day” shall mean a day during which trading in
securities generally occurs on the New York Stock Exchange or, if the Common
Stock is not listed on the New York Stock Exchange, on the principal other
national or regional securities exchange on which the Common Stock is then
listed or, if the Common Stock is not listed on a national or regional
securities exchange, on the Nasdaq or, if the Common Stock is not quoted on
Nasdaq, on the principal other market on which the Common Stock is then traded.

 

(j)            The Company may make
such increases in the Conversion Rate, in addition to those required by Section
17.05(a), (b), (c), (d), (e) or (f) as the Board of Directors 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.

 

To the extent permitted by applicable law,
the Company from time to time may increase the Conversion Rate by any amount
for any period of time if the Board of Directors shall have made a determination
that such increase would be in the best interests of the Company, which
determination shall be conclusive. Whenever the Conversion Rate is increased
pursuant to the preceding sentence, the Company shall mail, or cause the
Trustee to mail, to holders of record of the Debentures a notice of the
increase prior to the date the increased Conversion Rate takes effect, and such
notice shall state the increased Conversion Rate and the period during which it
will be in effect.

 

(k)           All calculations under
this Article 17 shall be made by the Company and shall be made to the nearest
cent or to the nearest one-ten thousandth (1/10,000) of a share, as the case
may be. No adjustment need be made for rights to purchase Common Stock pursuant
to a Company plan for reinvestment of dividends or interest or for any issuance
of Common Stock or convertible or exchangeable securities or rights to purchase
Common Stock or convertible or exchangeable securities. To the extent the
Debentures become convertible into cash, assets, property or securities (other
than capital stock of the Company or any other Person), no adjustment need be
made thereafter as to the cash, assets, property or such securities. Interest
will not accrue on any cash into which the Debentures are convertible.

 

(l)            Whenever the
Conversion Rate is adjusted as herein provided, the Company shall promptly file
with the Trustee and any conversion agent other than the Trustee an Officers’
Certificate setting forth the Conversion Rate after such adjustment and setting
forth a brief statement of the facts requiring such 

 

83

 

adjustment. Unless and until a Responsible
Officer of the Trustee shall have received such Officers’ Certificate, the
Trustee shall not be deemed to have knowledge of any adjustment of the
Conversion Rate and may assume that the last Conversion Rate of which it has
knowledge is still in effect. Promptly after delivery of such certificate, the
Company shall prepare a notice of such adjustment of the Conversion Rate
setting forth the adjusted Conversion Rate and the date on which each
adjustment becomes effective and shall mail, or cause the Trustee to mail, such
notice of such adjustment of the Conversion Rate to the holder of each
Debenture at his last address appearing on the Debenture Register provided for
in Section 2.05 of this Indenture, within twenty (20) days after execution
thereof. Failure to deliver such notice shall not affect the legality or
validity of any such adjustment.

 

(m)          In any case in which
this Section 17.05 provides that an adjustment shall become effective
immediately after (1) a record date or Record Date for an event, (2) the date
fixed for the determination of stockholders entitled to receive a dividend or
distribution pursuant to Section 17.05(a), (3) a date fixed for the
determination of stockholders entitled to receive rights, options or warrants
pursuant to Section 17.05(b) or (4) the Expiration Time for any tender or
exchange offer pursuant to Section 17.05(f) (each a “Determination
Date”), the Company may elect to defer until the occurrence of the
applicable Adjustment Event (as hereinafter defined) (x) issuing to the holder
of any Debenture converted after such Determination Date and before the
occurrence of such Adjustment Event, the additional shares of Common Stock or
other securities issuable upon such conversion by reason of the adjustment
required by such Adjustment Event over and above the Common Stock issuable upon
such conversion before giving effect to such adjustment and (y) paying to such
holder any amount in cash in lieu of any fraction pursuant to Section 17.03. For
purposes of this Section 17.05(m), the term “Adjustment
Event” shall mean:

 

(i)    in
any case referred to in clause (1) hereof, the occurrence of such event,

 

(ii)   in
any case referred to in clause (2) hereof, the date any such dividend or
distribution is paid or made,

 

(iii)  in
any case referred to in clause (3) hereof, the date of expiration of such
rights, options or warrants, and

 

(iv)  in
any case referred to in clause (4) hereof, the date a sale or exchange of
Common Stock pursuant to such tender or exchange offer is consummated and
becomes irrevocable.

 

(n)           For purposes of this
Section 17.05, the number of shares of Common Stock at any time outstanding
shall not include shares held in the treasury of the Company but shall include
shares issuable in respect of scrip 

 

84

 

certificates issued in lieu of fractions of
shares of Common Stock. The Company will not pay any dividend or make any
distribution on shares of Common Stock held in the treasury of the Company.

 

Section 17.06. Effect Of
Reclassification, Consolidation, Merger or Sale. If any of the
following events occur, namely (i) any reclassification or change of the
outstanding shares of Common Stock (other than a subdivision or combination to
which Section 17.05(c) applies), (ii) any consolidation, merger or binding share
exchange of the Company with another Person as a result of which holders of
Common Stock shall be entitled to receive stock, other securities or other
property or assets (including cash) with respect to or in exchange for such
Common Stock, or (iii) any sale or conveyance of all or substantially all of
the properties and assets of the Company to any other Person as a result of
which holders of Common Stock shall be entitled to receive stock, other
securities or other property or assets (including cash) with respect to or in
exchange for such Common Stock, then the Company or the successor or purchasing
Person, as the case may be, shall execute with the Trustee a supplemental
indenture (which shall comply with the Trust Indenture Act as in force at the date
of execution of such supplemental indenture) providing that each Debenture
shall be convertible into the kind and amount of shares of stock, other
securities or other property or assets (including cash) receivable upon such
reclassification, change, consolidation, merger, combination, sale or
conveyance by a holder of a number of shares of Common Stock issuable upon
conversion of such Debentures (assuming, for such purposes, a sufficient number
of authorized shares of Common Stock are available to convert all such
Debentures) immediately prior to such reclassification, change, consolidation,
merger, combination, sale or conveyance assuming such holder of Common Stock
did not exercise his rights of election, if any, as to the kind or amount of
stock, other securities or other property or assets (including cash) receivable
upon such reclassification, change, consolidation, merger, combination, sale or
conveyance (provided that, if the kind or amount of
stock, other securities or other property or assets (including cash) receivable
upon such reclassification, change, consolidation, merger, combination, sale or
conveyance is not the same for each share of Common Stock in respect of which
such rights of election shall not have been exercised (“non-electing
share”), then for the purposes of this Section 17.06 the kind and
amount of stock, other securities or other property or assets (including cash)
receivable upon such reclassification, change, consolidation, merger,
combination, sale or conveyance for each non-electing share shall be deemed to
be the kind and amount so receivable per share by a plurality of the
non-electing shares). Such supplemental indenture shall provide for adjustments
that shall be as nearly equivalent as may be practicable to the adjustments
provided for in this Article 17.

 

The Company shall cause notice of the
execution of such supplemental indenture to be mailed to each holder of
Debentures, at its address appearing on the Debenture Register provided for in
Section 2.05 of this Indenture, within 

 

85

 

twenty (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 shall
similarly apply to successive reclassifications, changes, consolidations,
mergers, combinations, sales and conveyances.

 

If this Section 17.06 applies to any event or
occurrence, Section 17.05 shall not apply.

 

Section 17.07. Taxes On Shares Issued. The
issue of stock certificates on conversions of Debentures shall be made without
charge to the converting Debentureholder for any documentary, stamp or similar
issue or transfer tax in respect of the issue thereof. The Company shall not,
however, be required to pay any such tax that may be payable in respect of any
transfer involved in the issue and delivery of stock in any name other than
that of the holder of any Debenture converted, and the Company shall not be
required to issue or deliver any such stock certificate unless and until the
Person or Persons requesting the issue thereof shall have paid to the Company
the amount of such tax or shall have established to the satisfaction of the
Company that such tax has been paid.

 

Section 17.08. Reservation of Shares,
Shares to Be Fully Paid; Compliance With
Governmental Requirements; Listing of Common Stock. The
Company shall provide, free from preemptive rights, out of its authorized but
unissued shares or shares held in treasury, sufficient shares of Common Stock
to provide for the conversion of the Debentures from time to time as such
Debentures are presented for conversion.

 

Before taking any action that would cause an
adjustment increasing the Conversion Rate to an amount that would cause the
Conversion Price to be reduced below the then par value, if any, of the shares
of Common Stock issuable upon conversion of the Debentures, the Company will
take all corporate action that may, in the opinion of its counsel, be necessary
in order that the Company may validly and legally issue shares of such Common
Stock at such adjusted Conversion Rate.

 

The Company covenants that all shares of
Common Stock that may be issued upon conversion of Debentures will upon issue
be fully paid and non-assessable by the Company and free from all taxes, liens
and charges with respect to the issue thereof.

 

The Company covenants that, if any shares of
Common Stock to be provided for the purpose of conversion of Debentures
hereunder require registration with or approval of any governmental authority
under any federal or state law before such shares may be validly issued upon
conversion, the Company will in good faith and as expeditiously as possible, to
the extent then permitted by 

 

86

 

the rules and interpretations of the
Commission (or any successor thereto), endeavor to secure such registration or
approval, as the case may be.

 

The Company further covenants that, if at any
time the Common Stock shall be listed on the New York Stock Exchange or any
other national securities exchange or automated quotation system, the Company
will, if permitted by the rules of such exchange or automated quotation system,
list and keep listed, so long as the Common Stock shall be so listed on such
exchange or automated quotation system, all Common Stock issuable upon
conversion of the Debenture; provided that
if the rules of such exchange or automated quotation system permit the Company
to defer the listing of such Common Stock until the first conversion of the
Debentures into Common Stock in accordance with the provisions of this
Indenture, the Company covenants to list such Common Stock issuable upon
conversion of the Debentures in accordance with the requirements of such
exchange or automated quotation system at such time.

 

Section 17.09. Responsibility Of
Trustee. The Trustee and any other conversion agent shall not at any
time be under any duty or responsibility to any holder of Debentures to
determine the Conversion Rate or whether any facts exist that may require any
adjustment of the Conversion Rate, or with respect to the nature or extent or
calculation 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. The Trustee and any other conversion agent shall not be
accountable with respect to the validity or value (or the kind or amount) 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 Debenture; and the
Trustee and any other conversion agent make no representations with respect
thereto. Neither the Trustee nor any conversion agent shall be responsible for
any failure of the Company to issue, transfer or deliver any shares of Common
Stock or stock certificates or other securities or property or cash upon the
surrender of any Debenture for the purpose of conversion or to comply with any
of the duties, responsibilities or covenants of the Company contained in this
Article 17. Without limiting the generality of the foregoing, neither the
Trustee nor any conversion agent shall be under any responsibility to determine
the correctness of any provisions contained in any supplemental indenture
entered into pursuant to Section 17.06 relating either to the kind or amount of
shares of stock or securities or property (including cash) receivable by
Debentureholders upon the conversion of their Debentures after any event
referred to in such Section 17.06 or to any adjustment to be made with respect
thereto, but, subject to the provisions of Section 9.01, may accept as
conclusive evidence of the correctness of any such provisions, and shall be
protected in relying upon, the Officers’ Certificate (which the Company shall
be obligated to file with the Trustee prior to the execution of any such
supplemental indenture) with respect thereto.

 

87

 

Section 17.10. Notice To Holders Prior To
Certain Actions. In case:

 

(a)           the Company shall
declare a dividend (or any other distribution) on its Common Stock that would
require an adjustment in the Conversion Rate pursuant to Section 17.05; or

 

(b)           the Company shall
authorize the granting to the holders of all or substantially all of its Common
Stock of rights, options or warrants to subscribe for or purchase any share of
any class of capital stock or any other rights, options or warrants; or

 

(c)           of any reclassification
or reorganization of the Common Stock of the Company (other than a subdivision
or combination of its outstanding Common Stock, or a change in par value, or
from par value to no par value, or from no par value to par value), or of any
consolidation or merger to which the Company is a party and for which approval
of any stockholders of the Company is required, or of the sale or transfer of
all or substantially all of the assets of the Company; or

 

(d)           of the voluntary or
involuntary dissolution, liquidation or winding up of the Company; or 

 

the Company shall cause to be filed with the
Trustee and to be mailed to each holder of Debentures at his address appearing
on the Debenture Register provided for in Section 2.05 of this Indenture, as
promptly as possible but in any event at least ten (10) days prior to the
applicable date hereinafter specified, a notice stating (x) the date on which a
record is to be taken for the purpose of such dividend, distribution or rights
or warrants, or, if a record is not to be taken, the date as of which the
holders of Common Stock of record to be entitled to such dividend, distribution
or rights are to be determined, or (y) the date on which such reclassification,
consolidation, merger, sale, transfer, dissolution, liquidation or winding up
is expected to become effective or occur, and the date as of which it is expected
that holders of Common Stock of record shall be entitled to exchange their
Common Stock for securities or other property deliverable upon such
reclassification, consolidation, merger, sale, transfer, dissolution,
liquidation or winding up. Failure to give such notice, or any defect therein,
shall not affect the legality or validity of such dividend, distribution,
reclassification, consolidation, merger, sale, transfer, dissolution,
liquidation or winding up.

 

Section 17.11. Stockholder Rights Plans.
There shall be no adjustment to the Conversion Rate upon the
issuance of the (the “Rights”)
provided for in the Company’s shareholder rights agreement dated June 12, 1997,
between the Company and ChaseMellon Shareholder Services, L.L.C., as amended,
or in any future rights plan adopted by the Company, prior to the Rights
separating from the Common Stock. If the Rights have separated from the shares
of Common Stock in accordance with the provisions of the applicable stockholder
rights agreement so that the holders of the Debentures would not be entitled to
receive any rights in 

 

88

 

respect of Common Stock issuable upon conversion of the Debentures, the
Conversion Rate will be adjusted as if the Company distributed to all holders
of Common Stock shares of the Company’s capital stock, evidences of
indebtedness, property or assets (including securities but excluding rights or
warrants to purchase Common Stock issued to all holders of Common Stock, Common
Stock issued as a dividend or distribution on Common Stock and cash
distributions), subject to readjustment in the event of the expiration,
termination or redemption of the rights. In lieu of any such adjustment, the
Company may amend such applicable stockholder rights agreement, to the extent
necessary, to provide that upon conversion of the Debentures the holders will
receive, in addition to the Common Stock issuable upon such conversion, the
rights that would have attached to such Common Stock if the rights had not
become separated from the Common Stock under such applicable stockholder rights
agreement.

 

Section 17.12. Issuer Determination
Final. Any determination that the Company or Board of Directors of
the Company must make pursuant to Section 17.01, Section 17.02, Section 17.03,
Section 17.04, Section 17.05 or Section 17.06 shall, absent manifest error, be
conclusive.

 

ARTICLE 18

MISCELLANEOUS PROVISIONS

 

Section 18.01. Provisions Binding On
Company’s Successors. All the covenants, stipulations, promises and agreements
by the Company contained in this Indenture shall bind its successors and
assigns whether so expressed or not.

 

Section 18.02. 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 Company shall and may be done and performed with
like force and effect by the like board, committee or officer of any Person
that shall at the time be the lawful sole successor of the Company.

 

Section 18.03. Addresses For Notices,
Etc. Any notice or demand that by any provision of this Indenture is
required or permitted to be given or served by the Trustee or by the holders of
Debentures on the Company shall be deemed to have been sufficiently given or
made, for all purposes, if given or served by being deposited postage prepaid
by registered or certified mail in a post office letter box or sent by
telecopier transmission addressed as follows: 
CommScope, Inc., 1100 CommScope Place, S.E., P.O. Box 339, Hickory,
North Carolina, 28602, Attention: Frank B. Wyatt, II. Any notice, direction,
request or demand hereunder to or upon the Trustee shall be deemed to have been
sufficiently given or made, for all purposes, if given or served by being deposited,
postage prepaid, by registered or certified mail in a post office letter box or
sent by telecopier 

 

89

 

transmission
addressed as follows: U.S. Bank, National Association,                                .

 

Any notice or demand that by any provision of
this Indenture is required or permitted to be given or served by the Company
may, at the Company’s written request received by the Trustee not fewer than
five (5) Business Days prior (or such shorter period of time as may be
acceptable to the Trustee) to the date on which such notice must be given or
served, be given or served by the Trustee in the name of and at the expense of
the Company.

 

The Trustee, by notice to the Company, may
designate additional or different addresses for subsequent notices or
communications.

 

Any notice or communication mailed to a
Debentureholder shall be mailed to him by first class mail, postage prepaid, at
his address as it appears on the Debenture Register and shall be sufficiently
given to him if so mailed within the time prescribed.

 

Failure to mail a notice or communication to
a Debentureholder or any defect in it shall not affect its sufficiency with
respect to other Debentureholders. If a notice or communication is mailed in
the manner provided above, it is duly given, whether or not the addressee
receives it.

 

Section 18.04. Governing Law. This
Indenture and each Debenture 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 the State of New York, without regard
to conflicts of laws principles thereof.

 

Section 18.05. Evidence Of Compliance
With Conditions Precedent, Certificates To Trustee. Upon any
application or demand by the Company to the Trustee to take any action under
any of the provisions of this Indenture, the Company shall furnish to the
Trustee an Officers’ Certificate stating that 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; provided, that with respect to matters of fact, an Opinion
of Counsel may rely on an Officer’s Certificate or a certificate of public
officials.

 

Each certificate or opinion provided for in
this Indenture and delivered to the Trustee with respect to compliance with a
condition or covenant provided for in this Indenture 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 statement or opinion contained in
such certificate or opinion is 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 

 

90

 

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.

 

Section 18.06. Legal Holidays. In
any case in which the date of maturity of Interest on or principal of the
Debentures or the redemption or repurchase date of any Debenture will not be a
Business Day, then payment of such Interest on or principal of the Debentures
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 date of maturity or the
redemption or repurchase date, and no Interest shall accrue for the period from
and after such date.

 

Section 18.07. Trust Indenture Act. This
Indenture is hereby made subject to, and shall be governed by, the provisions
of the Trust Indenture Act required to be part of and to govern indentures
qualified under the Trust Indenture Act; provided that
unless otherwise required by law, notwithstanding the foregoing, this Indenture
and the Debentures issued hereunder shall not be subject to the provisions of
subsections (a)(1), (a)(2), and (a)(3) of Section 314 of the Trust Indenture
Act as now in effect or as hereafter amended or modified; provided
further that this Section 18.07 shall
not require this Indenture or the Trustee to be qualified under the Trust
Indenture Act prior to the time such qualification is in fact required under
the terms of the Trust Indenture Act, nor shall it constitute any admission or
acknowledgment by any party to the Indenture that any such qualification is
required prior to the time such qualification is in fact required under the
terms of the Trust Indenture Act. If any provision hereof limits, qualifies or
conflicts with another provision hereof that is required to be included in an
indenture qualified under the Trust Indenture Act, such required provision
shall control.

 

Section 18.08. No Security Interest
Created. Nothing in this Indenture or in the Debentures, expressed
or implied, shall be construed to constitute a security interest under the
Uniform Commercial Code or similar legislation, as now or hereafter enacted and
in effect, in any jurisdiction in which property of the Company or its
subsidiaries is located.

 

Section 18.09. Benefits Of Indenture. Nothing
in this Indenture or in the Debentures, express or implied, shall give to any
Person, other than the parties hereto, any paying agent, any authenticating
agent, any Debenture Registrar and their successors hereunder and the holders
of Debentures any benefit or any legal or equitable right, remedy or claim
under this Indenture.

 

Section 18.10. Authenticating Agent. The
Trustee may appoint an authenticating agent that shall be authorized to act on
its behalf, and subject to its direction, in the authentication and delivery of
Debentures in connection with the original issuance thereof and transfers and
exchanges of Debentures hereunder, including under Sections 2.04, 2.05, 2.06,
2.07, 3.03 and 3.05, as fully to all 

 

91

 

intents and
purposes as though the authenticating agent had been expressly authorized by
this Indenture and those Sections to authenticate and deliver Debentures. For
all purposes of this Indenture, the authentication and delivery of Debentures
by the authenticating agent shall be deemed to be authentication and delivery
of such Debentures “by the Trustee” and a certificate of authentication
executed on behalf of the Trustee by an authenticating agent shall be deemed to
satisfy any requirement hereunder or in the Debentures for the Trustee’s
certificate of authentication. Such authenticating agent shall at all times be
a Person eligible to serve as trustee hereunder pursuant to Section 9.09.

 

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
the authenticating agent hereunder, if such successor corporation is otherwise
eligible under this Section 18.10, without the execution or filing of any paper
or any further act on the part of the parties hereto or the authenticating
agent or such successor corporation.

 

Any authenticating agent may at any time
resign by giving written notice of resignation to the Trustee and to the
Company. The 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 Company. 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, the Trustee shall either promptly appoint a
successor authenticating agent or itself assume the duties and obligations of
the former authenticating agent under this Indenture and, upon such appointment
of a successor authenticating agent, if made, shall give written notice of such
appointment of a successor authenticating agent to the Company and shall mail
notice of such appointment of a successor authenticating agent to all holders
of Debentures as the names and addresses of such holders appear on the
Debenture Register.

 

The Company agrees to pay to the
authenticating agent from time to time such reasonable compensation for its
services as shall be agreed upon in writing between the Company and the
authenticating agent.

 

The provisions of Sections 9.02, 9.03, 9.04
and 10.03 and this Section 18.10 shall be applicable to any authenticating
agent.

 

Section 18.11. 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 18.12. Severability. In
case any provision in this Indenture or in the Debentures shall be invalid,
illegal or unenforceable, then (to the extent 

 

92

 

permitted by
law) the validity, legality and enforceability of the remaining provisions
shall not in any way be affected or impaired thereby.

 

U.S. Bank, National Association, hereby
accepts the duties of Trustee in this Indenture declared and provided, upon the
terms and conditions herein above set forth.

 

Section 18.13. 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 considered a part hereof, and shall in no way modify
or restrict any of the terms or provisions hereof.

 

93

 

IN WITNESS WHEREOF, the parties hereto have
caused this Indenture to be duly executed.

 

	
   

  	
  COMMSCOPE, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
  U.S. BANK, NATIONAL

  ASSOCIATION, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

 

EXHIBIT A

 

[Include only for Global Debentures]

 

[UNLESS THIS CERTIFICATE IS PRESENTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW
YORK, NEW YORK) (THE “DEPOSITARY”,
WHICH TERM INCLUDES ANY SUCCESSOR DEPOSITARY FOR THE CERTIFICATES) TO THE
COMPANY 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 REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITARY (AND ANY
PAYMENT HEREIN IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITARY), 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.]

 

[Include only for Debentures that are
Restricted Securities]

 

THIS SECURITY AND THE SHARES OF COMMSCOPE, INC. (THE
“COMPANY”) COMMON STOCK (“COMMON STOCK”) ISSUABLE UPON CONVERSION OF THIS
SECURITY 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 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”) THAT IS TWO YEARS AFTER THE LATER OF THE LAST DATE ON WHICH THE       %
CONVERTIBLE SENIOR SUBORDINATED DEBENTURES DUE 20     OF
THE COMPANY WERE ORIGINALLY ISSUED AND THE LAST DATE ON WHICH THE COMPANY OR
ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR
OF SUCH SECURITY) ONLY (A) TO 

 

A-1

 

THE COMPANY 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 THAT 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 THE RIGHTS OF THE COMPANY AND
THE WITHIN MENTIONED TRUSTEE 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, WHERE REGISTRATION OR TRANSFER OF THIS SECURITY IS REQUIRED, A
CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS
SECURITY COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS LEGEND
WILL BE REMOVED AFTER THE RESALE RESTRICTION TERMINATION DATE UPON THE REQUEST
OF THE HOLDER AND THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATES AND/OR
OTHER INFORMATION SATISFACTORY TO THE COMPANY.

 

A-2

 

COMMSCOPE, INC.

 

      %
CONVERTIBLE SENIOR SUBORDINATED DEBENTURE DUE 20    

 

 CUSIP:                             

 

	
  No. 1

  	
   

  	
  $

  

 

CommScope, Inc., a corporation duly organized
and validly existing under the laws of the State of Delaware (herein called the
“Company”, which term includes any
successor corporation under the Indenture referred to on the reverse hereof),
for value received hereby promises to pay to CEDE & CO. or its registered
assigns, [the principal sum of                                   
DOLLARS] [the principal sum set forth on Schedule I hereto, which amount shall
not exceed                                         
($                    ),](1)
on                               
at the office or agency of the Company maintained for that purpose in
accordance with the terms of the Indenture, in such coin or currency of the
United States of America as at the time of payment shall be legal tender for
the payment of public and private debts, and to pay Interest, semiannually on               
and               
of each year (each, an “Interest Payment Date”),
commencing               ,
on said principal sum at said office or agency, in like coin or currency, at
the rate per annum of       %, from the               
or               ,
as the case may be, next preceding the date of this Debenture to which Interest
has been paid or duly provided for, unless the date hereof is a date to which
Interest has been paid or duly provided for, in which case from the date of
this Debenture, or unless no Interest has been paid or duly provided for on the
Debentures, in which case from                           
until payment of said principal sum has been made or duly provided for. Notwithstanding
the foregoing, if the date hereof is after any               
or               ,
as the case may be, and before the following               
or               ,
this Debenture shall bear Interest from such               
or               ; provided that if the Company shall default in the payment
of Interest due on such               
or               ,
then this Debenture shall bear Interest from the next preceding               
or               
to which Interest has been paid or duly provided for or, if no Interest has
been paid or duly provided for on such Debenture, from                             .
Except as otherwise provided in the Indenture, the Interest payable on the
Debenture pursuant to the Indenture on any               
or               
will be paid to the Person entitled thereto as it appears in the Debenture
Register at the close of business on the record date, which shall be the               
or               
(whether or not a Business Day) (each a “Record Date”)
next preceding such               
or               ,
as provided in the Indenture; provided that
any such Interest not punctually paid or duly provided for shall be payable as
provided in the Indenture. The Company shall pay Interest (i) on any Debentures
in certificated form by 

 

(1) For Global
Notes only.

 

A-3

 

check mailed to the address of the Person
entitled thereto as it appears in the Debenture Register or (ii) on any Global
Debenture by wire transfer of immediately available funds to the account of the
Depositary or its nominee.

 

Reference is made to the further provisions
of this Debenture set forth on the reverse hereof, including, without
limitation, provisions subordinating the payment of principal of and Interest
on the Debentures to the prior payment in full of all Senior Indebtedness, as
defined in the Indenture, and provisions giving the holder of this Debenture
the right to convert this Debenture into Common Stock of the Company on the
terms and subject to the limitations referred to on the reverse hereof and as
more fully specified in the Indenture. Such further provisions shall for all
purposes have the same effect as though fully set forth at this place.

 

This Debenture shall be deemed to be a
contract made under the laws of the State of New York, and for all purposes
shall be construed in accordance with and governed by the laws of the State of
New York, without regard to conflicts of laws principles thereof.

 

This Debenture shall not be valid or become
obligatory for any purpose until the certificate of authentication hereon shall
have been manually signed by the Trustee or a duly authorized authenticating
agent under the Indenture.

 

A-4

 

IN WITNESS WHEREOF, the Company has caused
this Debenture to be duly executed.

 

 

	
  Dated:  

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  COMMSCOPE, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

A-5

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Debentures described in
the within-named Indenture.

 

U.S. Bank, National Association, as Trustee

 

	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 

, or

 

 

	
  By:

  	
   

  	
   

  
	
   

  	
  As Authenticating Agent

  	
   

  
	
   

  	
  (if different from Trustee)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized
  Signatory

  	
   

  
					

 

A-6

 

FORM OF REVERSE OF DEBENTURE

 

COMMSCOPE, INC.

 

      %
CONVERTIBLE SENIOR SUBORDINATED DEBENTURE DUE 20    

 

This Debenture is one of a duly authorized
issue of Debentures of the Company, designated as its       %
Convertible Senior Subordinated Debentures Due 20      
(herein called the “Debentures”),
limited in aggregate principal amount to $                      ,
issued and to be issued under and pursuant to an Indenture dated as of                     
(herein called the “Indenture”),
between the Company and U.S. Bank, National Association, as trustee (herein
called the “Trustee”), to which Indenture and
all indentures supplemental thereto reference is hereby made for a description
of the rights, limitations of rights, obligations, duties and immunities
thereunder of the Trustee, the Company and the holders of the Debentures.

 

In case an Event of Default shall have
occurred and be continuing, the principal of and accrued and unpaid Interest on
all Debentures may be declared by either the Trustee or the holders of not less
than 25% in aggregate principal amount of the Debentures then Outstanding, and
upon said declaration shall become, due and payable, in the manner, with the
effect and subject to the conditions provided in the Indenture.

 

The Indenture contains provisions permitting
the Company and the Trustee, with the consent of the holders of at least a
majority in aggregate principal amount of the Debentures at the time
Outstanding, to execute supplemental indentures adding any provisions to or
changing in any manner or eliminating any of the provisions of the Indenture or
of any supplemental indenture or modifying in any manner the rights of the
holders of the Debentures; provided that
no such supplemental indenture shall (i) extend the fixed maturity of any
Debenture, reduce the rate or extend the time of payment of Interest thereon,
reduce the principal amount thereof, reduce any amount payable upon redemption
or repurchase thereof, impair the right of any Debenture holder to institute
suit for the payment thereof, make the principal thereof or Interest thereon
payable in any coin or currency other than that provided in the Debentures,
change the obligation of the Company to redeem any Debenture on a redemption
date in a manner adverse to the holders of the Debentures, change the obligation
of the Company to repurchase any Debenture upon the happening of a Designated
Event in a manner adverse to the holders of the Debentures, change the
obligation of the Company to repurchase any Debenture on a Repurchase Date in a
manner adverse to the holders of the Debentures, impair the right to convert
the Debentures into Common Stock subject to the terms set forth in the
Indenture, including Section 17.06 thereof, reduce the number of shares of
Common Stock or amount of other property receivable upon conversion of the
Debentures, modify the subordination provisions of this Indenture (including
the definition of Senior Indebtedness) in a 

 

A-7

 

material respect in a manner adverse to the
holder of Debentures without the consent of the holder of each Debenture so
affected, modify any of the provisions of Section 12.02 or Section 8.07
thereof, except to increase any such percentage or to provide that certain
other provisions of the Indenture cannot be modified or waived without the
consent of the holder of each Debenture so affected, change any obligation of
the Company to maintain an office or agency in the places and for the purposes
set forth in Section 6.01 thereof, or reduce the quorum or voting requirements
set forth in Article 11 or (ii) reduce the aforesaid percentage of Debentures,
the holders of which are required to consent to any such supplemental
indenture, without the consent of the holders of all Debentures then
Outstanding.

 

Subject to the provisions of the Indenture,
the holders of a majority in aggregate principal amount of the Debentures at
the time Outstanding may on behalf of the holders of all of the Debentures
waive any past default or Event of Default under the Indenture and its consequences
except (A) a default in the payment of Interest, or the principal of, any
of the Debentures, (B) a failure by the Company to convert any Debentures
into Common Stock of the Company, (C) a default in the payment of the
redemption price pursuant to Article 3 of the Indenture, (D) a default in
the payment of the repurchase price pursuant to Article 3 of the Indenture, or
(E) a default in respect of a covenant or provisions of the Indenture that
under Article 12 of the Indenture cannot be modified or amended without the
consent of the holders of each or all Debentures then Outstanding or affected
thereby. Any such consent or waiver by the holder of this Debenture (unless
revoked as provided in the Indenture) shall be conclusive and binding upon such
holder and upon all future holders and owners of this Debenture and any
Debentures that may be issued in exchange or substitution hereof, irrespective
of whether or not any notation thereof is made upon this Debenture or such
other Debentures.

 

The Debentures will be pari passu in right of payment to all
Senior Subordinated Indebtedness of the Company and senior in right of
payment to all Subordinated Indebtedness of the Company. Each holder of this
Debenture, whether upon original issue or upon registration of transfer,
assignment or exchange thereof, by accepting the same, agrees to the
subordination provisions set forth in Article 4 of the Indenture and authorizes
the Trustee on its behalf to take such action as may be necessary or
appropriate to effectuate the subordination so provided and appoints the
Trustee his attorney-in-fact for any and all such purposes.

 

No reference herein to the subordination
provisions of the Indenture and no provision of this Debenture or of the
Indenture shall alter or impair the obligation of the Company, which is
absolute and unconditional, to pay the principal of and Interest on this
Debenture at the place, at the respective times, at the rate and in the coin or
currency herein prescribed.

 

A-8

 

Interest on the Debentures shall be computed
on the basis of a 360-day year of twelve 30-day months.

 

The Debentures are issuable in fully
registered form, without coupons, in denominations of $1,000 principal amount
and any multiple of $1,000. At the office or agency of the Company referred to
on the face hereof, and in the manner and subject to the limitations provided
in the Indenture, without payment of any service charge but with payment of a
sum sufficient to cover any tax, assessment or other governmental charge that
may be imposed in connection with any registration or exchange of Debentures,
Debentures may be exchanged for a like aggregate principal amount of Debentures
of any other authorized denominations.

 

The Company may not redeem any Debentures
before                         .
At any time on or after                         
and prior to maturity, the Debentures may be redeemed at any time or from time
to time at the option of the Company, in whole or in part. The Company may
redeem the Debentures upon mailing a notice of such redemption not less than
thirty (30) days but not more than sixty (60) days before the redemption date
to the holders of Debentures at their last registered addresses, all as
provided in the Indenture, at a redemption price equal to 100% of the principal
amount of Debentures being redeemed and accrued and unpaid Interest, to, but
excluding, the redemption date; provided that
if the redemption date falls after a Record Date and on or prior to the
corresponding Interest Payment Date, then the Interest payable on such date
shall be paid to the holder of record on the corresponding Record Date.

 

The Company may not give notice of any
redemption of the Debentures if a default in the payment of Interest on the
Debentures has occurred and is continuing.

 

The Debentures are not subject to redemption
through the operation of any sinking fund.

 

If a Designated Event occurs at any time
prior to maturity of the Debentures, the Debentures may be repurchased at the
option of the holders of the Debentures on a Designated Event Repurchase Date,
not less than twenty (20) nor more than thirty-five (35) Business Days after
notice thereof, at the option of the holder of this Debenture at a redemption
price equal to 100% of the principal amount thereof, together with accrued and
unpaid Interest to (but excluding) the Designated Event Repurchase Date; provided that if such Designated Event Repurchase Date
falls after a Record Date and on or prior the corresponding Interest Payment
Date, the Interest payable on such Interest Payment Date shall be paid to the
holder of record of this Debenture on the corresponding Record Date. The
Debentures will be redeemable in multiples of $1,000 principal amount. The
Company shall mail, or cause the Trustee to mail, to all holders of record of
the Debentures a notice of the occurrence of a Designated Event and of the
repurchase right arising as a result thereof on or before the 20th day after
the 

 

A-9

 

occurrence of such Designated Event. For a
Debenture to be so repurchased at the option of the holder, the Company must
receive at the office or agency of the Company maintained for that purpose in
accordance with the terms of the Indenture, such Debenture with the form
entitled “Option to Elect Repurchase Upon a Designated Event”
on the reverse thereof duly completed, together with such Debenture, duly
endorsed for transfer, on or before the Designated Event Expiration Time.

 

Subject to the terms and conditions of the
Indenture, the Company shall become obligated to purchase, at the option of the
holder, all or any portion of the Debentures held by such holder on               ,
                
and                 
in whole multiples of $1,000 at a purchase price of 100% of the principal
amount, plus any accrued and unpaid Interest, on such Debenture up to the
Repurchase Date. To exercise such right, a holder shall deliver to the Company
such Debenture with the form entitled “Repurchase Notice”
on the reverse thereof duly completed, together with the Debenture, duly
endorsed for transfer, at any time from the opening of business on the date
that is twenty (20) Business Days prior to such Repurchase Date until the close
of business on the Repurchase Date, and shall deliver the Debentures to the
Trustee (or other paying agent appointed by the Company) as set forth in the
Indenture.

 

Holders have the right to withdraw any Option
to Elect Repurchase Upon a Designated Event or Repurchase Notice, as the case
may be, by delivering to the Trustee (or other paying agent appointed by the
Company) a written notice of withdrawal up to 5:00 p.m., New York City time, on
the Designated Event Repurchase Date or Repurchase Date, as the case may be,
all as provided in the Indenture.

 

If cash, sufficient to pay the purchase price
of all Debentures or portions thereof to be purchased as of the Designated
Event Repurchase Date or Repurchase Date, as the case may be, is held by the
Trustee (or other paying agent appointed by the Company), on the Business Day
following the Designated Event Repurchase Date or Repurchase Date, as the case
may be, Interest will cease to accrue on such Debentures (or portions thereof)
immediately after such Designated Event Repurchase Date or Repurchase Date, as
the case may be, and the holder thereof shall have no other rights as such
other than the right to receive the repurchase price upon surrender of such
Debenture.

 

Subject to the occurrence of certain events
and in compliance with the provisions of the Indenture, prior to the close of
business on                     ,
the holder hereof has the right, at its option, to convert each $1,000
principal amount of the Debentures into            
shares of the Company’s Common Stock (the “Conversion Rate”)
(a conversion price of             
per share), as such shares shall be constituted at the date of conversion and
subject to adjustment from time to time as provided in the Indenture, upon
surrender of this Debenture with the form entitled “Conversion
Notice” on the reverse thereof duly completed, to the 

 

A-10

 

Company at the office or agency of the
Company maintained for that purpose in accordance with the terms of the
Indenture, or at the option of such holder, the Corporate Trust Office, and,
unless the shares issuable on conversion are to be issued in the same name as
this Debenture, duly endorsed by, or accompanied by instruments of transfer in
form satisfactory to the Company duly executed by, the holder or by his duly
authorized attorney. If on any Conversion Date, the Company is required to pay
Liquidated Damages pursuant to the Registration Rights Agreement, the
Conversion Rate on such date will be multiplied by 1.03. The Company will
notify the holder thereof of any event triggering the right to convert the
Debentures as specified above in accordance with the Indenture.

 

No adjustment in respect of Interest on any
Debenture converted or dividends on any shares issued upon conversion of such
Debenture will be made upon any conversion except as set forth in the next
sentence. If this Debenture (or portion hereof) is surrendered for conversion
during the period from the close of business on any Record Date for the payment
of Interest to the close of business on the Business Day preceding the
following Interest Payment Date, this Debenture (or portion hereof being
converted) must be accompanied by payment, in immediately available funds or
other funds acceptable to the Company, of an amount equal to the Interest otherwise
payable on such Interest Payment Date on the principal amount being converted; provided that no such payment shall be required (1) if the
Company has specified a redemption date that is after a Record Date and on or
prior to the next Interest Payment Date, (2) if the Company has specified a
Designated Event Repurchase Date that is during such period or (3) to the
extent of any overdue Interest, if any overdue Interest exists at the time of
conversion with respect to such Debenture.

 

No fractional shares will be issued upon any
conversion, but an adjustment and payment in cash will be made, as provided in
the Indenture, in respect of any fraction of a share which would otherwise be
issuable upon the surrender of any Debenture or Debentures for conversion.

 

A Debenture in respect of which a holder is
exercising its right to require repurchase upon a Designated Event or
repurchase on a Repurchase Date may be converted only if such holder withdraws
its election to exercise either such right in accordance with the terms of the
Indenture.

 

Any Debentures called for redemption, unless
surrendered for conversion by the holders thereof on or before the close of
business on the Business Day preceding the redemption date, may be deemed to be
redeemed from the holders of such Debentures for an amount equal to the
applicable redemption price, together with accrued but unpaid Interest to, but
excluding, the date fixed for redemption, by one or more investment banks or
other purchasers who may agree with the Company (i) to purchase such Debentures
from the holders thereof and convert them into shares of the Company’s Common
Stock and (ii) to make payment for such Debentures as aforesaid to the Trustee
in trust for the holders.

 

A-11

 

Upon due presentment for registration of
transfer of this Debenture at the office or agency of the Company maintained
for that purpose in accordance with the terms of the Indenture, a new Debenture
or Debentures of authorized denominations for an equal aggregate principal
amount will be issued to the transferee in exchange thereof, subject to the
limitations provided in the Indenture, without charge except for any tax,
assessment or other governmental charge imposed in connection therewith.

 

The Company, the Trustee, any authenticating
agent, any paying agent, any conversion agent and any Debenture Registrar may
deem and treat the registered holder hereof as the absolute owner of this
Debenture (whether or not this Debenture shall be overdue and notwithstanding
any notation of ownership or other writing hereon made by anyone other than the
Company or any Debenture Registrar) for the purpose of receiving payment
hereof, or on account hereof, for the conversion hereof and for all other
purposes, and neither the Company nor the Trustee nor any other authenticating
agent nor any paying agent nor other conversion agent nor any Debenture
Registrar shall be affected by any notice to the contrary. All payments made to
or upon the order of such registered holder shall, to the extent of the sum or
sums paid, satisfy and discharge liability for monies payable on this
Debenture.

 

No recourse for the payment of the principal
of or Interest on this Debenture, or for any claim based hereon or otherwise in
respect hereof, and no recourse under or upon any obligation, covenant or
agreement of the Company in the Indenture or any supplemental indenture or in
any Debenture, or because of the creation of any indebtedness represented
thereby, shall be had against any incorporator, stockholder, employee, agent,
officer or director or subsidiary, as such, past, present or future, of the
Company or of any successor corporation, either directly or through the Company
or any successor corporation, 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 acceptance hereof and as part of the consideration
for the issue hereof, expressly waived and released.

 

Terms used in this Debenture and defined in
the Indenture are used herein as therein defined.

 

A-12

 

ABBREVIATIONS

 

The following abbreviations, when used in the
inscription of the face of this Debenture, shall be construed as though they
were written out in full according to applicable laws or regulations.

 

	
  TEN
  COM -

  	
   

  	
  as
  tenants in common

  	
   

  	
  UNIF
  GIFT MIN ACT -       Custodian

  
	
  TEN
  ENT -

  	
   

  	
  as
  tenant by the entireties

  	
   

  	
  (Cust)   (Minor)

  
	
  JT
  TEN -

  	
   

  	
  as
  joint tenants with right of survivorship 

  	
   

  	
  under
  Uniform Gifts to Minors Act

  
	
   

  	
   

  	
  and
  not as tenants in common

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (State)

  

 

Additional abbreviations may also be used
though not in the above list.

 

A-13

 

CONVERSION NOTICE

 

TO:                            COMMSCOPE, INC.

U.S. BANK, NATIONAL ASSOCIATION

 

The undersigned registered owner of this
Debenture hereby irrevocably exercises the option to convert this Debenture, or
the portion thereof (which is $1,000 or a multiple thereof) below designated,
into shares of Common Stock of CommScope, Inc. in accordance with the terms of
the Indenture referred to in this Debenture, and directs that the shares
issuable and deliverable upon such conversion, together with any check in
payment for fractional shares and any Debentures representing any unconverted
principal amount hereof, be issued and delivered to the registered holder
hereof unless a different name has been indicated below. Capitalized terms used
herein but not defined shall have the meanings ascribed to such terms in the
Indenture. If shares or any portion of this Debenture not converted are to be
issued in the name of a person other than the undersigned, the undersigned will
provide the appropriate information below and pay all transfer taxes payable
with respect thereto. Any amount required to be paid by the undersigned on
account of interest accompanies this Debenture.

 

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Signature(s)

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Signature(s) must be guaranteed by an “eligible
  guarantor institution” meeting the requirements of the Debenture
  Registrar, which requirements include membership or participation in the
  Security Transfer Agent Medallion Program (“STAMP”)
  or such other “signature guarantee program” as
  may be determined by the Debenture Registrar in addition to, or in substitution
  for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
  amended.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Signature Guarantee

  

 

A-14

 

Fill in the registration of shares of Common
Stock if to be issued, and Debentures if to be delivered, other than to and in
the name of the registered holder:

 

	
   

  	
   

  	
   

  
	
  (Name)

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (Street Address)

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (City, State and Zip Code)

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Please print name and address

  	
   

  
	
   

  	
   

  
	
  Principal amount to be converted

  	
   

  
	
   (if less than all):

  	
   

  
	
   

  	
   

  
	
  $

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
  Social Security or Other Taxpayer

  	
   

  
	
  Identification Number:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
					

 

A-15

 

OPTION TO ELECT REPURCHASE

UPON A DESIGNATED EVENT

 

TO:                            COMMSCOPE, INC.

U.S. BANK, NATIONAL ASSOCIATION

 

Pursuant to the terms of the Indenture and
the Debentures, the undersigned registered owner of this Debenture hereby
irrevocably acknowledges receipt of a notice from CommScope, Inc. (the “Company”) as to the occurrence of a Designated Event with
respect to the Company and requests and instructs the Company to repurchase the
entire principal amount of this Debenture, or the portion thereof (which is
$1,000 or a multiple thereof) below designated, in accordance with the terms of
the Indenture referred to in this Debenture at the price of 100% of such entire
principal amount or portion thereof, together with accrued and unpaid Interest
to, but excluding, the Designated Event Repurchase Date, to the registered
holder hereof. Capitalized terms used herein but not defined shall have the
meanings ascribed to such terms in the Indenture. The Debentures shall be
repurchased by the Company as of the Designated Event Repurchase Date pursuant
to the terms and conditions specified in the Debentures and the Indenture.

 

 

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Signature(s)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  NOTICE: The above signatures of the holder(s) hereof must correspond
  with the name as written upon the face of the Debenture in every particular
  without alteration or enlargement or any change whatever.

  
	
   

  	
   

  
	
   

  	
  Debenture Certificate Number,

  
	
   

  	
  if applicable:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Principal amount to be repurchased (if less than all) (must be in
  integral multiples of $1,000):

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
							

 

A-16

 

	
   

  	
   

  	
   

  
	
   

  	
  Social Security or Other Taxpayer

  Identification Number

  

 

A-17

 

REPURCHASE NOTICE

 

TO:                            COMMSCOPE, INC.

U.S. BANK, NATIONAL ASSOCIATION

 

Pursuant to the terms of the Indenture and the Debentures, the
undersigned registered owner of this Debenture hereby irrevocably acknowledges
receipt of a notice from CommScope, Inc. (the “Company”)
regarding the right of holders to elect to require the Company to repurchase
the Debentures and requests and instructs the Company to repurchase the entire
principal amount of this Debenture, or the portion thereof (which is $1,000 or
an integral multiple thereof) below designated, in accordance with the terms of
the Indenture at the price of 100% of such entire principal amount or portion
thereof, together with accrued and unpaid Interest to, by excluding, the
Repurchase Date, to the registered holder hereof. Capitalized terms used herein
but not defined shall have the meanings ascribed to such terms in the Indenture.
The Debentures shall be repurchased by the Company as of the Repurchase Date
pursuant to the terms and conditions specified in the Indenture.

 

Dated:

 

Signature(s):

 

NOTICE: 
The above signatures of the holder(s) hereof must correspond with the
name as written upon the face of the Debenture in every particular without alteration
or enlargement or any change whatever.

 

Debenture Certificate Number (if applicable):

 

Principal amount to be repurchased (if less
than all) (must be in integral multiples of $1,000):

 

Social Security or Other Taxpayer
Identification Number:

 

A-18

 

ASSIGNMENT

 

For value received                                                             hereby
sell(s) assign(s) and transfer(s) unto                                                                       
(Please insert social security or other Taxpayer Identification Number of
assignee) the within Debenture, and hereby irrevocably constitutes and appoints
                                                                            
attorney to transfer said Debenture on the books of the Company, with full
power of substitution in the premises.

 

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Signature(s)

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Signature(s) must be guaranteed by an “eligible
  guarantor institution” meeting the requirements of the Debenture Registrar,
  which requirements include membership or participation in the Security
  Transfer Agent Medallion Program (“STAMP”) or
  such other “signature guarantee program” as
  may be determined by the Debenture Registrar in addition to, or in
  substitution for, STAMP, all in accordance with the Securities Exchange Act
  of 1934, as amended.

  
	
   

  	
   

  
	
   

  	
  Signature Guarantee

  

 

NOTICE:  The signature on the
Conversion Notice, the Option to Elect Redemption Upon a Designated Event, the
Repurchase Notice or the Assignment must correspond with the name as written
upon the face of the Debenture in every particular without alteration or
enlargement or any change whatever.

 

A-19

 

Schedule I

 

[Include Schedule I only for a Global Note]

 

COMMSCOPE, INC.

        % Convertible Senior
Subordinated Debenture Due 20    

 

The initial principal amount of this Debenture is $                                  .
The following increases or decreases in the principal amount of this Debenture
have been made:

	
  Date

  	
   

  	
  Principal Amount

  	
   

  	
  Notation Explaining Principal 

  Amount Recorded

  	
   

  	
  Authorized Signature

  of Trustee or

  Custodian

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

A-20QuickLinks
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Exhibit 4.9  

Hewlett-Packard Company  

 and  

 Chase Manhattan Bank and Trust Company, National Association  

 as Trustee  

 Indenture  

 Dated as of June 1, 2000  

 Senior Debt Securities  

  

 
  TABLE OF CONTENTS    
    

	 
	 	 
	 	Page

	ARTICLE ONE	 	DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION	 	1
	 	
 SECTION 101.	
 	

Definitions	
 	

1
	 	SECTION 102.	 	Compliance Certificates and Opinions	 	7
	 	SECTION 103.	 	Form of Documents Delivered to Trustee	 	7
	 	SECTION 104.	 	Acts of Holders; Record Dates	 	8
	 	SECTION 105.	 	Notices, Etc., to the Trustee and Company	 	9
	 	SECTION 106.	 	Notice to Holders; Waiver	 	10
	 	SECTION 107.	 	Conflict with Trust Indenture Act	 	10
	 	SECTION 108.	 	Effect of Headings and Table of Contents	 	10
	 	SECTION 109.	 	Successors and Assigns	 	10
	 	SECTION 110.	 	Separability Clause	 	10
	 	SECTION 111.	 	Benefits of Indenture	 	11
	 	SECTION 112.	 	Governing Law	 	11
	 	SECTION 113.	 	Legal Holidays	 	11
	 	SECTION 114.	 	Indenture and Securities Solely Corporate Obligations	 	11
	 	SECTION 115.	 	Indenture May be Executed in Counterparts	 	11
	 	SECTION 116.	 	Obligation to Disclose Beneficial Ownership of Securities	 	11
	 	SECTION 117.	 	Acceptance of Trust	 	11
	

ARTICLE TWO	
 	

SECURITY FORMS	
 	

12
	 	
 SECTION 201.	
 	

Forms Generally	
 	

12
	 	SECTION 202.	 	Form of Face of Security	 	12
	 	SECTION 203.	 	Form of Reverse of Security	 	13
	 	SECTION 204.	 	Form of Legend for Global Securities	 	17
	 	SECTION 205.	 	Form of Trustee's Certificate of Authentication	 	17
	 	SECTION 206.	 	Form of Conversion Notice	 	18
	

ARTICLE THREE	
 	

THE SECURITIES	
 	

19
	 	
 SECTION 301.	
 	

Amount Unlimited; Issuable in Series	
 	

19
	 	SECTION 302.	 	Denominations	 	21
	 	SECTION 303.	 	Execution, Authentication, Delivery and Dating	 	21
	 	SECTION 304.	 	Temporary Securities	 	23
	 	SECTION 305.	 	Registration; Registration of Transfer and Exchange	 	23
	 	SECTION 306.	 	Mutilated, Destroyed, Lost and Stolen Securities	 	24
	 	SECTION 307.	 	Payment of Interest; Interest Rights Preserved	 	25
	 	SECTION 308.	 	Persons Deemed Owners	 	26
	 	SECTION 309.	 	Cancellation	 	27
	 	SECTION 310.	 	Computation of Interest	 	27
	 	SECTION 311.	 	CUSIP Numbers	 	27
	

ARTICLE FOUR	
 	

SATISFACTION AND DISCHARGE	
 	

27
	 	
 SECTION 401.	
 	

Satisfaction and Discharge of Indenture	
 	

27
	 	SECTION 402.	 	Application of Trust Money	 	28
	 	SECTION 403.	 	Repayment to the Company	 	28
	 	 	 	 	 

i

 

	

ARTICLE FIVE	
 	

REMEDIES	
 	

28
	 	
 SECTION 501.	
 	

Events of Default	
 	

28
	 	SECTION 502.	 	Acceleration of Maturity; Rescission and Annulment	 	29
	 	SECTION 503.	 	Collection of Indebtedness and Suits for Enforcement by Trustee	 	30
	 	SECTION 504.	 	Trustee May File Proofs of Claim	 	31
	 	SECTION 505.	 	Trustee May Enforce Claims Without Possession of Securities	 	31
	 	SECTION 506.	 	Application of Money Collected	 	31
	 	SECTION 507.	 	Limitation on Suits	 	31
	 	SECTION 508.	 	Unconditional Right of Holders to Receive Principal, Premium and Interest and to Convert	 	32
	 	SECTION 509.	 	Restoration of Rights and Remedies	 	32
	 	SECTION 510.	 	Rights and Remedies Cumulative	 	32
	 	SECTION 511.	 	Delay or Omission Not Waiver	 	32
	 	SECTION 512.	 	Control by Holders	 	33
	 	SECTION 513.	 	Waiver of Past Defaults	 	33
	 	SECTION 514.	 	Undertaking for Costs	 	33
	 	SECTION 515.	 	Waiver of Usury, Stay or Extension Laws	 	33
	

ARTICLE SIX	
 	

THE TRUSTEE	
 	

34
	 	
 SECTION 601.	
 	

Certain Duties and Responsibilities	
 	

34
	 	SECTION 602.	 	Notice of Defaults	 	34
	 	SECTION 603.	 	Certain Rights of Trustee	 	34
	 	SECTION 604.	 	Not Responsible for Recitals or Issuance of Securities	 	35
	 	SECTION 605.	 	May Hold Securities and Act as Trustee Under Other Indentures	 	35
	 	SECTION 606.	 	Money Held in Trust	 	35
	 	SECTION 607.	 	Compensation and Reimbursement	 	36
	 	SECTION 608.	 	Conflicting Interests	 	36
	 	SECTION 609.	 	Corporate Trustee Required; Eligibility	 	36
	 	SECTION 610.	 	Resignation and Removal; Appointment of Successor	 	36
	 	SECTION 611.	 	Acceptance of Appointment by Successor	 	38
	 	SECTION 612.	 	Merger, Conversion, Consolidation or Succession to Business	 	38
	 	SECTION 613.	 	Preferential Collection of Claims Against Company	 	39
	 	SECTION 614.	 	Appointment of Authenticating Agent	 	39
	

ARTICLE SEVEN	
 	

HOLDERS' LISTS AND REPORTS BY TRUSTEE AND COMPANY	
 	

40
	 	
 SECTION 701.	
 	

Company to Furnish Trustee Names and Addresses of Holders	
 	

40
	 	SECTION 702.	 	Preservation of Information; Communications to Holders	 	40
	 	SECTION 703.	 	Reports by Trustee	 	41
	 	SECTION 704.	 	Reports by Company	 	41
	

ARTICLE EIGHT	
 	

CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE	
 	

41
	 	
 SECTION 801.	
 	

Company May Consolidate, Etc	
 	

41
	 	SECTION 802.	 	Successor Substituted	 	42
	

ARTICLE NINE	
 	

SUPPLEMENTAL INDENTURES	
 	

42
	 	
 SECTION 901.	
 	

Supplemental Indentures Without Consent of Holders	
 	

42
	 	SECTION 902.	 	Supplemental Indentures With Consent of Holders	 	43
	 	 	 	 	 

ii

 

	 	SECTION 903.	 	Execution of Supplemental Indentures	 	44
	 	SECTION 904.	 	Effect of Supplemental Indentures	 	44
	 	SECTION 905.	 	Conformity with Trust Indenture Act	 	44
	 	SECTION 906.	 	Reference in Securities to Supplemental Indentures	 	44
	

ARTICLE TEN	
 	

COVENANTS	
 	

44
	 	
 SECTION 1001.	
 	

Payment of Principal, Premium and Interest	
 	

44
	 	SECTION 1002.	 	Maintenance of Office or Agency	 	44
	 	SECTION 1003.	 	Money for Securities Payments to Be Held in Trust	 	45
	 	SECTION 1004.	 	Statement by Officers as to Default	 	46
	 	SECTION 1005.	 	Existence	 	46
	 	SECTION 1006.	 	Maintenance of Properties	 	46
	 	SECTION 1007.	 	Payment of Taxes and Other Claims	 	46
	 	SECTION 1008.	 	Limitation on Liens	 	46
	 	SECTION 1009.	 	Limitations on Sale and Lease-Back Transactions	 	48
	 	SECTION 1010.	 	Waiver of Certain Covenants	 	48
	 	SECTION 1011.	 	Calculation of Original Issue Discount	 	49
	

ARTICLE ELEVEN	
 	

REDEMPTION OF SECURITIES	
 	

49
	 	
 SECTION 1101.	
 	

Applicability of Article	
 	

49
	 	SECTION 1102.	 	Election to Redeem; Notice to Trustee	 	49
	 	SECTION 1103.	 	Selection by Trustee of Securities to Be Redeemed	 	49
	 	SECTION 1104.	 	Notice of Redemption	 	50
	 	SECTION 1105.	 	Deposit of Redemption Price	 	51
	 	SECTION 1106.	 	Securities Payable on Redemption Date	 	51
	 	SECTION 1107.	 	Securities Redeemed in Part	 	51
	

ARTICLE TWELVE	
 	

SINKING FUNDS	
 	

52
	 	
 SECTION 1201.	
 	

Applicability of Article	
 	

52
	 	SECTION 1202.	 	Satisfaction of Sinking Fund Payments with Securities	 	52
	 	SECTION 1203.	 	Redemption of Securities for Sinking Fund	 	52
	

ARTICLE THIRTEEN	
 	

DEFEASANCE AND COVENANT DEFEASANCE	
 	

52
	 	
 SECTION 1301.	
 	

Company's Option to Effect Defeasance or Covenant Defeasance	
 	

52
	 	SECTION 1302.	 	Defeasance and Discharge	 	53
	 	SECTION 1303.	 	Covenant Defeasance	 	53
	 	SECTION 1304.	 	Conditions to Defeasance or Covenant Defeasance	 	53
	 	SECTION 1305.	 	Deposited Money and US Government Obligations to Be Held in Trust, Miscellaneous Provisions	 	55
	 	SECTION 1306.	 	Reinstatement	 	55
	

ARTICLE FOURTEEN	
 	

CONVERSION AND EXCHANGE OF SECURITIES	
 	

55
	 	
 SECTION 1401.	
 	

Applicability of Article	
 	

55
	 	SECTION 1402.	 	Exercise of Conversion and Exchange Privilege	 	56
	 	SECTION 1403.	 	No Fractional Shares	 	57
	 	SECTION 1404.	 	Adjustment of Conversion and Exchange Price	 	57
	 	SECTION 1405.	 	Notice of Certain Corporate Actions	 	57
	 	SECTION 1406.	 	Reservation of Shares of Common Stock	 	58
	 	SECTION 1407.	 	Payment of Certain Taxes Upon Conversion and Exchange	 	58
	 	SECTION 1408.	 	Nonassessability	 	58
	 	SECTION 1409.	 	Provision in Case of Consolidation, Merger or Sale of Assets	 	59
	 	SECTION 1410.	 	Duties of Trustee Regarding Conversion and Exchange	 	59
	 	SECTION 1411.	 	Repayment of Certain Funds Upon Conversion and Exchange	 	60

iii

  

 
 

Hewlett-Packard Company    
    

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

	Trust Indenture

Act Section
 
	 	 
	 	Indenture

Section

	§310	(a)(1)	 	 	 	609
	 	(a)(2)	 	 	 	609
	 	(a)(3)	 	 	 	Not Applicable
	 	(a)(4)	 	 	 	Not Applicable
	 	(b)	 	 	 	608, 610
	§311	(a)	 	 	 	613
	 	(b)	 	 	 	613
	§312	(a)	 	 	 	701, 702
	 	(b)	 	 	 	702
	 	(c)	 	 	 	702
	§313	(a)	 	 	 	703
	 	(b)	 	 	 	703
	 	(c)	 	 	 	703
	 	(d)	 	 	 	703
	§314	(a)	 	 	 	704
	 	(a)(4)	 	 	 	101, 1004
	 	(b)	 	 	 	Not Applicable
	 	(c)(1)	 	 	 	102
	 	(c)(2)	 	 	 	102
	 	(c)(3)	 	 	 	Not Applicable
	 	(d)	 	 	 	Not Applicable
	 	(e)	 	 	 	102
	§315	(a)	 	 	 	601
	 	(b)	 	 	 	602
	 	(c)	 	 	 	601
	 	(d)	 	 	 	601
	 	(e)	 	 	 	514
	§316	(a)	 	 	 	101
	 	(a)(1)(A)	 	 	 	502, 512
	 	(a)(1)(B)	 	 	 	513
	 	(a)(2)	 	 	 	Not Applicable
	 	(b)	 	 	 	508
	 	(c)	 	 	 	104
	§317	(a)(1)	 	 	 	503
	 	(a)(2)	 	 	 	504
	 	(b)	 	 	 	1003
	§318	(a)	 	 	 	107

	NOTE:
	This
reconciliation and tie shall not, for any purpose, be deemed to be a part of the Indenture. 

iv

        INDENTURE, dated as of June 1, 2000 between Hewlett-Packard Company, a corporation duly organized and existing under the laws of the State of Delaware (herein called the
"Company"), having its principal executive office at 3000 Hanover Street, Palo Alto, California 94304, and Chase Manhattan Bank and Trust Company, National Association, as Trustee (herein called the
"Trustee"). 

 
 

RECITALS OF THE COMPANY    
    

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

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

 
 

NOW, THEREFORE, THIS INDENTURE WITNESSETH:    
    

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

 
 

ARTICLE ONE
  
    DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION    
    

SECTION 101.    Definitions.  

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

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

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

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

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

        (5)   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. 

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

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

        "Attributable
Debt" means, in respect of a Sale and Lease-Back Transaction involving a Principal Property, at the time of determination, the lesser of: (a) the fair
value of such property (as determined in good faith by the Board of Directors); or (b) the present value of the total net amount of rent required to be paid under such lease during the
remaining term thereof (including any renewal term or period for which such lease has been extended), discounted at the rate of interest set forth or implicit 

 

in
the terms of such lease or, if not practicable to determine such rate, the weighted average interest rate per annum (in the case of Original Issue Discount Securities, the imputed interest rate)
borne by the Securities of each series outstanding pursuant to this Indenture compounded semi-annually. For purposes of the foregoing definition, rent shall not include amounts required to
be paid by the lessee, whether or not designated as rent or additional rent, on account of or contingent upon maintenance and repairs, insurance, taxes, assessments, water rates and similar charges.
In the case of any lease which is terminable by the lessee upon the payment of a penalty, such net amount shall be the lesser of the net amount determined assuming termination upon the first date such
lease may be terminated (in which case the net amount shall also include the amount of the penalty, but no rent shall be considered as required to be paid under such lease subsequent to the first date
upon which it may be so terminated) and the net amount determined assuming no such termination. 

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

        "Board
of Directors" means either the Board of Directors of the Company or any duly authorized committee empowered by that Board or the Executive Committee thereof to act with respect to
this Indenture. 

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

        "Business
Day," when used with respect to any Place of Payment, means each Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on which banking institutions in that Place
of Payment are authorized or obligated by law or executive order to close, except as may otherwise be provided in the form of Securities of any particular series pursuant to the provisions of this
Indenture. 

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

        "Common
Stock" includes any stock of any class of the Company which has no preference in respect of dividends or of amounts payable in the event of any voluntary or involuntary
liquidation, dissolution or winding-up of the Company and which is not subject to redemption by the Company; provided, however, subject to
the provisions of Section 1409, shares issuable upon conversion of Securities shall include only shares of the class designated as Common Stock of the Company at the date of this Indenture or
shares of any class or classes resulting from any reclassification or reclassifications thereof and which have no preference in respect of dividends or of amounts payable in the event of any voluntary
or involuntary liquidation, dissolution or winding-up of the Company and which are not subject to redemption by the Company; provided,  further that if at
any time there shall be more than one such resulting class, the shares of each such class then so issuable shall be substantially in
the proportion which the total number of shares of such class resulting from all such reclassifications bears to the total number of shares of all such classes resulting from all such
reclassifications. 

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

        "Company
Request" or "Company Order" means a written request or order signed in the name of the Company by (a) its Chairman of the Board, its Vice Chairman of the Board, its
President or a Vice President, its principal financial officer, its Treasurer or an Assistant Treasurer, and (b) its Secretary or an Assistant Secretary, and delivered to the Trustee. 

2

 

        "Consolidated
Net Tangible Assets" means, as of the time of determination, total assets (excluding applicable reserves) less: (a) total current liabilities, except for
(1) notes and loans payable, (2) current maturities of long-term debt and (3) current maturities of obligations under capital leases; and (b) to the extent
included in total assets, all goodwill, tradenames, patents, organization expenses, unamortized debt discount and expenses (other than capitalized, unamortized product development costs) all as set
forth on the most recent consolidated balance sheet of the Company and its consolidated subsidiaries and computed in accordance with generally accepted accounting principles. 

        "Corporate
Trust Office" means the principal corporate trust office of the Trustee currently at 101 California Street, Suite 2725, San Francisco, California, 94111, at which at any
particular time its corporate trust business shall be administered. 

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

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

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

        "Defeasance"
has the meaning specified in Section 1302. 

        "Depositary"
means, with respect to Securities of any series issuable in whole or in part in the form of one or more Global Securities, a clearing agency registered under the Exchange
Act that is designated to act as Depositary for such Securities as contemplated by Section 301, until a successor Depositary shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter "Depositary" shall mean or include each person who is then a Depositary hereunder, and if at any time there is more than one such Person, "Depositary" as used with respect to
the Securities of any such series shall mean the Depositary with respect to the Securities of that series. 

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

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

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

        "Global
Security" means a Security that evidences all or part of the Securities of any series, is issued to the Depositary for such series in accordance with Section 303, and
bears the legend set forth in Section 204 (or such legend as may be specified as contemplated by Section 301 for such Securities). 

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

        "Indenture"
means this instrument as originally executed and as it may from time to time be supplemented or amended by one or more indentures supplemental hereto entered into pursuant to
the applicable provisions hereof, including, for all purposes of this instrument and any such supplemental indenture, the provisions of the Trust Indenture Act that are deemed to be a part of and
govern this instrument and any such supplemental indenture, respectively. The term "Indenture" shall also include the terms of particular series of Securities established as contemplated by
Section 301; provided, however, that if at any time more than one Person is acting as Trustee under this Indenture due to the appointment of one
or more separate Trustees for any one or more separate series of Securities, "Indenture" shall mean, with respect to such series of Securities for which any such Person is Trustee, this instrument as
originally executed or as it may from time to time be supplemented or amended by one or more indentures supplemental hereto entered into pursuant to the applicable provisions hereof and shall include
the terms of particular series of Securities for which such Person is Trustee established as contemplated by Section 301, exclusive, however, of any provisions or terms which relate solely to
other series of Securities for which such Person is not Trustee, regardless of when such terms or provisions were adopted, and exclusive of any provisions or terms adopted by means of 

3

 

one
or more indentures supplemental hereto executed and delivered after such person had become such Trustee, but to which such person, as such Trustee, was not a party;  provided, further that in the event that this Indenture is supplemented or amended by one or more
indentures supplemental hereto which are only applicable to certain series of Securities, the term "Indenture" for a particular series of Securities shall only include the supplemental indentures
applicable thereto. 

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

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

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

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

        "Nonrecourse
Obligation" means indebtedness or other obligations substantially related to (i) the acquisition of assets not previously owned by the Company or any Restricted
Subsidiary or (ii) the financing of a project involving the development or expansion of properties of the Company or any Restricted Subsidiary, as to which the obligee with respect to such
indebtedness or obligation has no
recourse to the Company or any Restricted Subsidiary or any assets of the Company or any Restricted Subsidiary other than the assets which were acquired with the proceeds of such transaction or the
project financed with the proceeds of such transaction (and the proceeds thereof). 

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

        "Officers'
Certificate" means a certificate signed by (a) the Chairman of the Board, a Vice Chairman of the Board, the President, a Vice President, the principal financial
officer, the Treasurer or an Assistant Treasurer, and (b) the Secretary or an Assistant Secretary of the Company, and delivered to the Trustee. One of the officers signing an Officers'
Certificate given pursuant to Section 1004 shall be the principal executive, financial or accounting officer of the Company. 

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

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

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

        (1)   Securities
theretofore canceled by the Trustee or delivered to the Trustee for cancellation; 

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

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

4

  

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

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

        "Paying
Agent" means any Person authorized by the Company to pay the principal of, premium, if any, or interest, if any, on any Securities on behalf of the Company, and shall initially
be the Trustee. 

        "Person"
means any individual, corporation, limited liability company, partnership, joint venture, trust, unincorporated organization or government or any agency or political subdivision
thereof or any other entity of any kind. 

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

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

        "Principal
Property" means the land, land improvements, buildings and fixtures (to the extent they constitute real property interests, including any leasehold interest therein)
constituting the principal corporate office, any manufacturing plant or any manufacturing facility (whether now owned or hereafter acquired) which: (a) is owned by the Company or any Restricted
Subsidiary; (b) is located within any of the present 50 states of the United States of America (or the District of Columbia); (c) has not been determined in good faith by the Board of
Directors not to be materially important to the total business conducted by the Company and its Subsidiaries taken as a whole; and (d) has a book value on the date as of which the determination
is being made in excess of 0.75% of Consolidated Net Tangible Assets of the Company as most recently determined on or prior to such date. 

5

 

        "Record
Date" means any Regular Record Date or Special Record Date. 

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

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

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

        "Restricted
Subsidiary" means any Subsidiary which owns any Principal Property; provided,  however, that the term "Restricted Subsidiary" shall not include (a) any
Subsidiary which is principally engaged in financing receivables, or
which is principally engaged in financing the Company's operations outside the United States of America; or (b) any Subsidiary less than 80% of the voting stock of which is owned, directly or
indirectly, by the Company or by one or more other Subsidiaries, or by the Company and one or more other Subsidiaries, if the Common Stock of such Subsidiary is traded on any national securities
exchange or quoted on the Nasdaq National Market or in the over-the-counter market. 

        "Sale
and Lease-Back Transaction" means any arrangement with any person providing for the leasing by the Company or any Restricted Subsidiary of any Principal Property which
property has been or is to be sold or transferred by the Company or such Restricted Subsidiary to such person. 

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

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

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

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

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

        "Subsidiary"
means a corporation of which at least 662/3% of the outstanding voting stock of such corporation is at the time owned, directly or indirectly, by the Company
or by one or more other Subsidiaries, or by the Company and one or more other Subsidiaries, and the accounts of which are consolidated with those of the Company in its most recent consolidated
financial statements in accordance with generally accepted accounting principles. For the purposes of this definition, "voting stock" means stock which ordinarily has voting power for the election of
directors, whether at all times or only so long as no senior class of stock has such voting power by reason of any contingency. 

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

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

6

 

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

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

SECTION 102.    Compliance Certificates and Opinions.  

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

        Every
certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture shall include, 

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

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

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

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

SECTION 103.    Form of Documents Delivered to Trustee.  

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

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

7

 

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

SECTION 104.    Acts of Holders; Record Dates.  

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

        The
fact and date of the execution by any Person of any such instrument or writing may be proved by the affidavit of a witness of such execution or by a certificate of a notary public or
other officer authorized by law to take acknowledgments of deeds, certifying that the individual signing such instrument or writing acknowledged to him or her the execution thereof. Where such
execution is by a signer acting in a capacity other than his or her individual capacity, such certificate or affidavit shall also constitute sufficient proof of his or her authority. The fact and date
of the execution of any such instrument or writing, or the authority of the Person executing the same, may also be proved in any other manner which the Trustee deems sufficient. 

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

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

        The
Company may set any day as a record date for the purpose of determining the Holders of Outstanding Securities of any series entitled to give, make or take any request, demand,
authorization, direction, vote, notice, consent, waiver or other action provided or permitted by this Indenture to be given, made or taken by Holders of Securities of such series, provided that the
Company may not set a record date for, and the provisions of this paragraph shall not apply with respect to, the giving or making of any notice, declaration, request or direction referred to in the
next paragraph. If any record date is set pursuant to this paragraph, the Holders of Outstanding Securities of the relevant series on such record date, and no other Holders, shall be entitled to take
the relevant action, whether or not such Holders remain Holders after such record date; provided that no such action shall be effective hereunder unless
taken on or prior to the applicable Expiration Date by Holders of the requisite principal amount of Outstanding Securities of such series on such record date. Nothing in this paragraph shall be
construed to prevent the Company from setting a new record date for any action for which a record date has previously been set pursuant to this paragraph (whereupon the record date previously set
shall automatically and with no action by any Person be canceled and of no effect), and nothing in this paragraph shall be construed to render ineffective any action taken by Holders of the requisite
principal amount of Outstanding Securities of the relevant series on the date such action is taken. Promptly after any record date is set pursuant to this paragraph, the Company, at its own 

8

 

expense,
shall cause notice of such record date, the proposed action by Holders and the applicable Expiration Date to be given to the Trustee in writing and to each Holder of Securities of the
relevant series in the manner set forth in Section 106. 

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

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

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

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

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

        (1)   the
Trustee by any Holder or by the Company shall be sufficient for every purpose hereunder if made, given, furnished or filed in writing (or by facsimile transmission
((415) 693-8850), provided that oral confirmation of receipt shall have been received) to or with the Trustee at its Corporate Trust Office, Attention: Corporate Trust Trustee
Administration or 

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

9

 

instrument
or at any other address previously furnished in writing to the Trustee by the Company, Attention: Chief Financial Officer, with a copy to the Secretary; provided that notice shall not be
deemed to be given until received by the Company. 

SECTION 106.    Notice to Holders; Waiver.  

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

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

SECTION 107.    Conflict with Trust Indenture Act.  

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

SECTION 108.    Effect of Headings and Table of Contents.  

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

SECTION 109.    Successors and Assigns.  

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

SECTION 110.    Separability Clause.  

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

SECTION 111.    Benefits of Indenture.  

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

10

 

SECTION 112.    Governing Law.  

        THIS INDENTURE AND THE SECURITIES SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD
TO CONFLICTS OF LAWS PRINCIPLES THEREOF.

SECTION 113.    Legal Holidays.  

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

SECTION 114.    Indenture and Securities Solely Corporate Obligations.  

        No recourse for the payment of the principal of or premium, if any, 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 Company in this Indenture or in any supplemental indenture or in any Security, or because of the creation of any indebtedness
represented thereby, shall be had against any incorporator, stockholder, employee, agent, officer, or director or subsidiary, as such, past, present or future, of the Company or of any successor
corporation, either directly or through the Company or any successor 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. 

SECTION 115.    Indenture May be Executed in Counterparts.  

        This instrument 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 instruments. 

SECTION 116.    Obligation to Disclose Beneficial Ownership of Securities.  

        All securities shall be held and owned upon the express condition that, upon demand of any regulatory agency having jurisdiction over the Company, and pursuant to
law or regulation empowering such agency to assert such demand, any Holder shall disclose to such agency the identity of the beneficial owners of all Securities held by such Holder. 

SECTION 117.    Acceptance of Trust.  

        Chase Manhattan Bank and Trust Company, National Association, the Trustee named herein, hereby accepts the trusts in this Indenture declared and provided, upon
the terms and conditions set forth herein. 

11

  

 
 

ARTICLE TWO
  
    SECURITY FORMS    
    

SECTION 201.    Forms Generally.  

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

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

SECTION 202.    Form of Face of Security.  

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

 
 

HEWLETT-PACKARD COMPANY    
    

	No.	 	 	 	$	 	 
	

CUSIP No.	
 	

 	
 	

 	
 	

 

        Hewlett-Packard
Company, a corporation duly organized and existing under the laws of Delaware (herein called the "Company," which term includes any successor Person under the Indenture
hereinafter referred to), for value received, hereby promises to pay to                , or registered assigns, the principal sum
of                Dollars on                
[if the Security is to bear interest prior to Maturity, insert—, and to pay interest thereon
from                        or from the
most recent Interest Payment Date to which interest has been paid or duly provided for, semi-annually on
and                        in each year,
commencing                        , at the rate of
    % per annum, until the principal hereof is paid or made available for payment [if applicable, insert—,  provided that any
principal and premium, and any such installment of interest, which is overdue shall bear interest at the rate of    % per
annum (to the extent that the payment of such interest shall be legally enforceable), from the dates such amounts are due until they are paid or made available for payment, and such interest shall be
payable on demand]. The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in such Indenture, be paid to the Person in whose name
this Security (or one or more Predecessor Securities) is registered at the close of business on the Regular Record Date for such interest, which shall be
the            or            
(whether or not a Business Day), as the case may be, next preceding such Interest Payment Date. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the
Holder on such Regular Record Date and may either be paid to the Person in whose name this Security (or one or more 

12

 

Predecessor
Securities) is registered at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, notice whereof shall be given to Holders
of Securities of this series not fewer than 10 days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of any securities
exchange on which the Securities of this series may be listed, and upon such notice as may be required by such exchange, all as more fully provided in said Indenture. Interest on the Security shall be
computed on the basis of a 360-day year of twelve 30-day months.] 

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

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

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

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

        IN
WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 

	 	 	HEWLETT-PACKARD COMPANY
	

 	
 	

By:	

 Title:
	

Attest:	
 	

 	

 
	

	
 	

 	

 

SECTION 203.    Form of Reverse of Security.  

        This Security is one of a duly authorized issue of securities of the Company (herein called the "Securities"), issued and to be issued in one or more series under
an Indenture, dated as of June 1, 2000 (herein called the "Indenture," which term shall have the meaning assigned to it in such instrument), between the Company and Chase Manhattan Bank and
Trust Company, National Association, as Trustee (herein called the "Trustee," which term includes any successor trustee under the Indenture), and reference is hereby made to the Indenture and all
indentures supplemental thereto 

13

 

for
a statement of the respective rights, limitations of rights, duties and immunities thereunder of the Company, the Trustee and the Holders of the Securities and of the terms upon which the
Securities are, and are to be, authenticated and delivered. This Security is one of the series designated on the face hereof [if applicable,
insert—, limited in aggregate principal amount to $            ]. 

        [If applicable, insert—The Securities of this series are subject to redemption upon not fewer than
[if applicable, insert—30] days' notice by mail, (1)
on                        in any year commencing with the year
            and ending with the year            through operation of the sinking fund for this series at a Redemption Price equal
to 100% of the principal amount, and (2)] at any
time [if applicable, insert—on or after                        ,
20            ], as a whole or in part, at the election
of the Company, at the following Redemption Prices (expressed as percentages of the principal amount): If redeemed [if applicable,
insert—on or before                        ,    %, and if redeemed] during the
12-month period beginning            of the years
indicated, and thereafter at a Redemption Price equal to    % of the principal amount, together in the case of any such redemption [if applicable,
insert—(whether through operation of the sinking fund or otherwise)] with accrued interest to the Redemption Date, but interest installments whose
Stated Maturity is on or prior to such Redemption Date will be payable to the Holders of such Securities, or one or more Predecessor Securities, of record at the close of business on the relevant
Record Dates referred to on the face hereof, all as provided in the Indenture.] 

	Year
 
	 	Redemption

Price
	 	Year
 
	 	Redemption

Price

	

 	
 	

 	
 	

 	
 	

 

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

	Year
 
	 	Redemption Price For

Redemption Through

Operation of the

Sinking Fund
	 	Redemption Price For

Redemption Otherwise

Than Through Operation

of the Sinking Fund

	

 	
 	

 	
 	

 

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

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

14

 

        [If applicable, insert—The sinking fund for this series provides for the redemption
on                        in each
year beginning with the year            and ending with the year            of [if applicable,
insert—not less than
$            ("mandatory sinking fund") and not more than] $            aggregate principal amount of Securities of this series.
Securities of this series acquired or redeemed by
the Company otherwise than through [if applicable, insert—mandatory] sinking fund payments may be credited against
subsequent [if applicable, insert—mandatory] sinking fund payments otherwise required to be made [if applicable,
insert—, in the inverse order in which they become due].] 

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

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

        [If the Security is convertible into Common Stock of the Company, insert—Subject to the provisions of the
Indenture, the Holder of this Security is entitled, at its option, at any time on or prior to Maturity (except that, in case this Security or any portion hereof shall be called for redemption, such
right shall terminate with respect to this Security or portion hereof, as the case may be, so called for redemption at the close of business on the first Business Day next preceding the date fixed for
redemption as provided in the Indenture unless the Company defaults in making the payment due upon redemption), to convert the principal amount of this Security (or any portion hereof which is $1,000
or an integral multiple thereof), into fully paid and non-assessable shares (calculated as to each conversion to the nearest 1/100th of a share) of the Common Stock of the Company, as said
shares shall be constituted at the date of conversion, at the conversion price of $            principal amount of Securities for each share of Common Stock, or at the adjusted conversion
price in
effect at the date of conversion determined as provided in the Indenture, upon surrender of this Security, together with the conversion notice hereon duly executed, to the Company at the designated
office or agency of the Company in                        , accompanied (if so required by the Company) by instruments of transfer,
 in form satisfactory to the Company and to the Trustee, duly executed by the
Holder or by its duly authorized attorney in writing. Such surrender shall, if made during any period beginning at the close of business on a Regular Record Date and ending at the opening of business
on the Interest Payment Date next following such Regular Record Date (unless this Security or the portion being converted shall have been called for redemption on a Redemption Date during the period
beginning at the close of business on a Regular Record Date and ending at the opening of business on the first Business Day after the next succeeding Interest Payment Date, or if such Interest Payment
Date is not a Business Day, the second such Business Day), also be accompanied by payment in funds acceptable to the Company of an amount equal to the interest payable on such Interest Payment Date on
the principal amount of this Security then being converted. Subject to the aforesaid requirement for payment and, in the case of a conversion after the Regular Record Date next preceding any Interest
Payment Date and on or before such Interest Payment Date, to the right of the Holder of this Security (or any Predecessor Security) of record at such Regular Record Date to receive an installment of
interest (with certain exceptions provided in the Indenture), no adjustment is to be made on conversion for interest accrued hereon or for dividends on shares of Common Stock issued on conversion. The
Company is not required to issue fractional shares upon any such conversion, but shall make adjustment therefor in cash on the basis of the current market value of such fractional interest as provided
in the Indenture. The conversion price is subject to adjustment as provided in the Indenture. In addition, the Indenture provides that in case of certain consolidations or mergers to which the Company
is a party or the sale of substantially all of the assets of the Company, the Indenture shall be amended, without the consent of any Holders of Securities, so that this Security, if then outstanding,
will be convertible thereafter, during the period this Security shall be convertible as specified above, only into the kind and amount of 

15

 

securities,
cash and other property receivable upon the consolidation, merger or sale by a holder of the number of shares of Common Stock into which this Security might have been converted immediately
prior to such consolidation, merger or sale (assuming such holder of Common Stock failed to exercise any rights of election and received per share the kind and amount received per share by a plurality
of non-electing shares). In the event of conversion of this Security in part only, a new Security or Securities for the unconverted portion hereof shall be issued in the name of the Holder
hereof upon the cancellation hereof.] 

        [If the Security is convertible into other securities of the Company, specify the conversion features.] 

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

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

        The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of the Holders
of the Securities of each series to be affected under the Indenture at any time by the Company and the Trustee with the consent of the Holders of more than 50% in principal amount of the Securities at
the time Outstanding of each series to be affected. The Indenture also contains provisions permitting the Holders of specified percentages in principal amount of the Securities of each series at the
time Outstanding, on behalf of the Holders of all Securities of such series, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under the Indenture
and their consequences. Any such consent or waiver by the Holder of this Security shall be conclusive and binding upon such Holder and upon all future Holders of this Security and of any Security
issued upon the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Security. 

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

        No
reference herein to the Indenture and no provision of this Security or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to
pay the principal 

16

 

of
and any premium and interest on this Security at the times, place and rate, and in the coin or currency, herein prescribed. 

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

        The
Securities of this series are issuable only in registered form without coupons in denominations of $[1,000] and any integral multiple thereof. As provided in
the Indenture and subject to certain limitations therein set forth, Securities of this series are exchangeable for a like aggregate principal amount of Securities of this series and of like tenor of a
different authorized denomination, as requested by the Holder surrendering the same. 

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

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

        This
Security shall be deemed to be a contract made under the laws of the State of New York, and for all purposes shall be construed in accordance with and governed by the laws of said
State, without regard to conflict of laws principles thereof. 

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

SECTION 204.    Form of Legend for Global Securities.  

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

        THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF.
THIS SECURITY MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH
DEPOSITARY OR A NOMINEE THEREOF, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

SECTION 205.    Form of Trustee's Certificate of Authentication.  

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

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

Dated:

	 	 	CHASE MANHATTAN BANK AND TRUST COMPANY, NATIONAL ASSOCIATION

As Trustee
	 	 	 	 	 
	 	 	By:	 	 
	 	 	 	 	
 Authorized Signatory

17

   SECTION 206.    Form of Conversion Notice.  

        Conversion notices shall be in substantially the following form: 

        To
Hewlett-Packard Company: 

        The
undersigned owner of this Security hereby irrevocably exercises the option to convert this Security, or portion hereof (which is $[1,000] or an integral
multiple thereof) below designated, in accordance with the terms of the Indenture referred to in this Security, and directs that any shares issuable and deliverable upon the conversion, together with
any check in payment for fractional shares and any Securities representing any unconverted principal amount hereof, be issued and delivered to the registered holder hereof unless a different name has
been indicated below. If this Notice is being delivered on a date after the close of business on a Regular Record Date and prior to the opening of business on the related Interest Payment Date (unless
this Security or the portion thereof being converted has been called for redemption on a Redemption Date during the period beginning at the close of business on a Regular Record Date and ending at the
opening of business on the first Business Day after the next succeeding Interest Payment Date, or if such Interest Payment Date is not a Business Day, the second such Business Day), this Notice is
accompanied by payment, in funds acceptable to the Company, of an amount equal to the interest payable on such Interest Payment Date of the principal of this Security to be converted. 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 hereto. Any amount required to be paid by the undersigned on account of
interest accompanies this Security. 

	Principal Amount to be Converted

(in an integral multiple of $1,000, if less than all)

U.S. $                  	 	 
	 	 	 	 	 
	Dated:	 	    
	 	 
	 	 	 	 	 
	 	 	 	 	

	 	 	 	 	 
	 	 	 	 	
 Signature(s) must be guaranteed by an eligible guarantor institution (banks, stock brokers, savings and loan associations and credit unions with membership in an approved signature guarantee medallion
program) pursuant to Securities and Exchange Commission Rule 17 Ad-15, if shares of Common Stock are to be delivered, or Securities to be issued, other than to and in the name of the registered owner.
	 	 	 	 	 
	 	 	 	 	
 Signature Guaranty

18

 

        Fill
in for registration of shares of Common Stock and Security if to be issued otherwise than to the registered Holder. 

	 	 	 
	
 (Name)	 	
 Social Security or Other Taxpayer Identification Number
	 	 	 
	 	 	 
	
 (Address)	 	 
	 	 	 
	
 Please print Name and Address (including zip code number)	 	 

[The
above conversion notice is to be modified, as appropriate, for conversion into other securities or property of the Company.] 

ARTICLE THREE  

 THE SECURITIES  

SECTION 301.    Amount Unlimited; Issuable in Series.  

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

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

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

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

        (3)   the
price or prices at which the Securities of such series will be offered by the Company (such price or prices to be expressed as percentage of the principal amount of
the Securities of such series); 

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

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

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

        (7)   the
rate or rates of interest, if any, payable on overdue installments of principal of, or any premium or interest on the Securities of such series, and the basis upon
which interest shall be calculated if other than that of a 360-day year of twelve 30-day months; 

19

 

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

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

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

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

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

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

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

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

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

        (17) if
applicable, that the Securities of the series, in whole or any specified part, shall be defeasible pursuant to Section 1302 or Section 1303 or both
such Sections and, if other than by a Board Resolution, the manner in which any election by the Company to defease such Securities shall be evidenced and any changes or additions to the provisions
provided in Article 13 of this Indenture and related definitions and provisions dealing with defeasance, including the addition of additional covenants that may be subject to the Company's
covenant defeasance option; 

        (18) if
applicable, the terms of any right to convert Securities of the series into, or exchange securities for, shares of Common Stock of the Company or other securities or
property or cash in lieu 

20

 

of
such Common Stock or other securities or property, and any corresponding changes to the provisions of this Indenture as then in effect; 

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

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

        (21) any
Authenticating Agents, Paying Agents or Security Registrars; 

        (22) the
terms, if any, of any guarantee of the payment of principal, premium and interest with respect to Securities of the series and any corresponding changes to the
provisions of this Indenture as then in effect; 

        (23) the
terms, if any, of the transfer, mortgage, pledge or assignment as security for the Securities of the series of any properties, assets, moneys, proceeds, securities
or other collateral, including whether certain provisions of the Trust Indenture Act are applicable and any corresponding changes to provisions of this Indenture as then in effect; 

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

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

        All
Securities of any one series shall be substantially identical except as to denomination and except as may otherwise be provided in or pursuant to the Board Resolution referred to
above and (subject to Section 303) set forth, or determined in the manner provided, in the Officers' Certificate referred to above or in any such indenture supplemental hereto. All Securities
of any one series need not be issued at the same time and, unless otherwise provided, a series may be reopened for issuances of additional Securities of such series. 

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

SECTION 302.    Denominations.  

        The Securities of each series shall be issuable only in registered form without coupons and only in such denominations as shall be specified as contemplated by
Section 301. In the absence of any such specified denomination with respect to the Securities of any series, the Securities of such series shall be issuable in denominations of $1,000 and any
integral multiple thereof. 

SECTION 303.    Execution, Authentication, Delivery and Dating.  

        The Securities shall be executed on behalf of the Company by its Chairman of the Board, its principal financial officer, its President, one of its Vice
Presidents, its Treasurer or its Assistant 

21

 

Treasurer,
attested by its Secretary or one of its Assistant Secretaries. The signature of any of these officers on the Securities may be manual or facsimile. 

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

        At
any time and from time to time after the execution and delivery of this Indenture, the Company may deliver Securities of any series executed by the Company to the Trustee for
authentication, together with a Company Order for the authentication and delivery of such Securities, and the Trustee in accordance with the Company Order (which may provide that Securities that are
the subject thereof will be authenticated and delivered by the Trustee from time to time upon the telephonic or written order of Persons designated in said Company Order and that such Persons are
authorized to determine such terms and conditions of said Securities as are specified in the Company Order) shall authenticate and deliver such Securities. If the form or terms of the Securities of
the series have been established by or pursuant to one or more Board Resolutions as permitted by Sections 201 and 301, in authenticating such Securities, and accepting the additional responsibilities
under this Indenture in relation to such Securities, the Trustee shall be entitled to receive, and (subject to Section 601) shall be fully protected in relying upon, a copy of such Board
Resolution, the Officers' Certificate setting forth the terms of the series and an Opinion of Counsel, with such Opinion of Counsel stating, 

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

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

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

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

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

        Each
Security shall be dated the date of its authentication. 

        No
Security shall be entitled to any benefit under this Indenture or be valid or obligatory for any purpose unless there appears on such Security a certificate of authentication
substantially in the form provided for herein executed by the Trustee by manual signature, and such certificate upon any Security shall be conclusive evidence, and the only evidence, that such
Security has been duly authenticated and 

22

 

delivered
hereunder. Notwithstanding the foregoing, if any Security shall have been authenticated and delivered hereunder but never issued and sold by the Company, and the Company shall deliver such
Security to the Trustee for cancellation as provided in Section 309, for all purposes of this Indenture such Security shall be deemed never to have been authenticated and delivered hereunder
and shall never be entitled to the benefits of this Indenture. 

SECTION 304.    Temporary Securities.  

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

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

SECTION 305.    Registration; Registration of Transfer and Exchange.  

        The Company shall cause to be kept at the Corporate Trust Office of the Trustee a register (the register maintained in such office and in any other office or
agency of the Company in a Place of Payment being herein sometimes collectively referred to as the "Security Register") in which, subject to
such reasonable regulations as it may prescribe, the Company shall provide for the registration of Securities and of transfers of Securities. The Trustee is hereby appointed "Security Registrar" for
the purpose of registering Securities and transfers of Securities as herein provided. The Company may change any Security Registrar without notice to any Holder. The Company or any of its Subsidiaries
may act as Security Registrar. 

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

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

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

23

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

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

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

        The
provisions of Clauses (1), (2), (3) and (4) below shall apply only to Global Securities: 

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

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

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

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

SECTION 306.    Mutilated, Destroyed, Lost and Stolen Securities.  

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

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

24

 

Security,
a new Security of the same series and of like tenor and principal amount and bearing a number not contemporaneously outstanding. 

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

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

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

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

SECTION 307.    Payment of Interest; Interest Rights Preserved.  

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

        In
the case of Securities represented by a Global Security registered in the name of or held by a Depository or its nominee, unless otherwise specified by Section 301, payment of
principal, premium, if any, and interest, if any, will be made to the Depository or its nominee, as the case may be, as the registered owner or Holder of such Global Security. None of the Company, the
Trustee and the Paying Agent, any Authenticating Agent or the Security Registrant for such Securities will have any responsibility or liability for any aspect of the records relating to or payments
made on account of a beneficial ownership interest in a Global Security or maintaining, supervising or reviewing any records relating to such beneficial ownership interests. 

        Any
interest on any Security of any series which is payable, but is not punctually paid or duly provided for, on any Interest Payment Date (herein called "Defaulted Interest") shall
forthwith cease to be payable to the Holder on the relevant Regular Record Date by virtue of having been such Holder, and such Defaulted Interest may be paid by the Company, at its election in each
case, as provided in Clause (1) or (2) below: 

        (1)   The
Company may elect to make payment of any Defaulted Interest to the Persons in whose names the Securities of such series (or their respective Predecessor Securities)
are registered at the close of business on a Special Record Date for the payment of such Defaulted Interest, which shall be fixed in the following manner. The Company shall notify the Trustee in
writing of the amount of Defaulted Interest proposed to be paid on each Security of such series and the date of the proposed payment, and at the same time the Company shall deposit with the Trustee an
amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for such deposit prior to the date of the
proposed payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this Clause provided. Thereupon the Trustee shall fix a Special
Record Date for the payment of such Defaulted Interest which shall be not more than 15 days and not fewer than 10 days 

25

 

prior
to the date of the proposed payment and not fewer than 10 days after the receipt by the Trustee of the notice of the proposed payment. The Trustee shall promptly notify the Company of
such Special Record Date and, in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the Special Record Date therefor to be given to
each Holder of Securities of such series in the manner set forth in Section 106, not fewer than 10 days prior to such Special Record Date. Notice of the proposed payment of such
Defaulted Interest and the Special Record Date therefor having been so mailed, such Defaulted Interest shall be paid to the Persons in whose names the Securities of such series (or their respective
Predecessor Securities) are registered at the close of business on such Special Record Date and shall no longer be payable pursuant to the following Clause (2). 

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

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

        Subject
to the provisions of Section 1402, in the case of any Security (or any part thereof) which is converted after any Regular Record Date and on or prior to the next
succeeding Interest Payment Date (other than any Security the principal of (or premium, if any, on) which shall become due and payable, whether at Stated Maturity or by declaration of acceleration or
otherwise prior to such Interest Payment Date), interest whose Stated Maturity is on such Interest Payment Date shall be payable on such Interest Payment Date notwithstanding such conversion and such
interest (whether or not punctually paid or duly provided for) shall be paid to the Person in whose name that Security (or any one or more Predecessor Securities) is registered at the close of
business on such Regular Record Date. Except as otherwise expressly provided in the immediately preceding sentence or in Section 1402, in the case of any Security (or any part thereof) which is
converted, interest whose Stated Maturity is after the date of conversion of such Security (or such part thereof) shall not be payable. 

SECTION 308.    Persons Deemed Owners.  

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

        In
the case of a Global Security, so long as the Depository for such Global Security, or its nominee, is the registered owner of such Global Security, such Depository or such nominee, as
the case may be, will be considered the sole owner or Holder of the Securities represented by such Global Security for all purposes under this Indenture. Except as provided in Section 305,
owners of beneficial interests in a Global Security will not be entitled to have Securities that are represented by such Global Security registered in their names, will not receive or be entitled to
receive physical delivery of such Securities in definitive form and will not be considered the owners or Holders thereof under this Indenture. 

        Notwithstanding
the foregoing, with respect to any Global Security, nothing herein shall (a) prevent the Company, the Trustee, or any agent of the Company or the Trustee, from
giving effect to any written certification, proxy or other authorization furnished by a Depository or (b) impair, as 

26

 

between
a Depository and holders of beneficial interest in any Global Security, the operation of customary practices governing the exercise of the rights of the Depository as Holder of such Global
Security. 

        None
of the Company, the Trustee, any Paying Agent and Authenticating Agent or the Security Registrar will have any responsibility or liability for any aspect of the records relating to
or payments made on account of beneficial ownership interest in a Global Security or for maintaining, supervising or reviewing any records relating to such beneficial ownership interest. 

SECTION 309.    Cancellation.  

        All Securities surrendered for payment, redemption, registration of transfer or exchange or for credit against any sinking fund payment shall, if surrendered to
any Person other than the Trustee, be
delivered to the Trustee and shall be promptly canceled by it. The Company may at any time deliver to the Trustee for cancellation any Securities previously authenticated and delivered hereunder which
the Company may have acquired in any manner whatsoever, and may deliver to the Trustee (or to any other Person for delivery to the Trustee) for cancellation any Securities previously authenticated
hereunder which the Company has not issued and sold, and all Securities so delivered shall be promptly canceled by the Trustee. No Securities shall be authenticated in lieu of or in exchange for any
Securities canceled as provided in this Section, except as expressly permitted by this Indenture. All canceled Securities held by the Trustee shall be returned to the Company, or upon request by the
Company, deliver to the Company certificates of destruction with respect thereto. 

SECTION 310.    Computation of Interest.  

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

SECTION 311.    CUSIP Numbers.  

        The Company in issuing the Securities may use "CUSIP" numbers (if then generally in use), and, if so, the Trustee shall use "CUSIP" numbers in notices of
redemption as a convenience to Holders; 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 and that reliance may be placed only on the other identification numbers printed on the Securities, and any such
redemption shall not be affected by any defect in or omission of such numbers. The Company will promptly notify the Trustee of any change in the "CUSIP" numbers. 

ARTICLE FOUR  

 SATISFACTION AND DISCHARGE  

SECTION 401.    Satisfaction and Discharge of Indenture.  

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

        (1)   either

        (A)  all
Securities theretofore authenticated and delivered (other than (i) Securities which have been destroyed, lost or stolen and which have been replaced or paid
as provided in Section 306 and (ii) Securities for whose payment money has theretofore been deposited in trust or segregated 

27

 

and
held in trust by the Company and thereafter repaid to the Company or discharged from such trust, as provided in Section 1003) have been delivered to the Trustee for cancellation; or 

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

	(i)
	have
become due and payable, or

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

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

in
the case of (i), (ii) or (iii) above, has deposited or caused to be deposited with the Trustee as trust funds in trust for the purpose lawful money of the United States or U.S.
Government Obligations which through the payment of interest and principal in respect thereof in accordance with their terms
will provide lawful money not later than the due dates of principal (and any premium) or interest, or any combination thereof in an amount sufficient to pay and discharge the entire indebtedness on
such Securities not theretofore delivered to the Trustee for cancellation, for principal and any premium and interest to the date of such deposit (in the case of Securities which have become due and
payable) or to the Stated Maturity or Redemption Date, as the case may be; 

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

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

        Notwithstanding
the satisfaction and discharge of this Indenture, the obligations of the Company to the Trustee under Section 607, the obligations of the Company to any
Authenticating Agent under Section 614 and, if money shall have been deposited with the Trustee pursuant to subclause (B) of Clause (1) of this Section, the obligations of the
Trustee under Section 402 and the last paragraph of Section 1003 shall survive. 

SECTION 402.    Application of Trust Money.  

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

SECTION 403.    Repayment to the Company.  

        Upon termination of the trust established pursuant to Section 401 hereof, the Trustee and Paying Agent shall promptly pay to the Company any excess money
or U.S. Government Obligations. 

ARTICLE FIVE  

 REMEDIES  

SECTION 501.    Events of Default.  

        "Event of Default," wherever used herein with respect to Securities of any series, means any one of the following events (whatever the reason for such Event of
Default and whether it shall be 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, except to the extent such event is specifically deleted or modified as contemplated by Section 301 for the Securities of that series): 

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

28

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

        (3)   default
in the deposit of any sinking fund payment, when and as due by the terms of a Security of that series and continuance of such default for a period of
30 days; or 

        (4)   with
respect to a series of Securities, default in the performance, or breach, of any covenant or warranty of the Company in this Indenture (other than a covenant or
warranty a default in whose performance or whose breach is elsewhere in this Section specifically dealt with or which has expressly been included in this Indenture solely for the benefit of series of
Securities other than that series or which has been included in this Indenture but not made applicable to the Securities of such series), 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 Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in principal amount of the
Outstanding Securities of that series a written notice specifying such default or breach and requiring it to be remedied and stating that such notice is a "Notice of Default" hereunder; or 

        (5)   the
entry by a court having jurisdiction in the premises of (A) a decree or order for relief in respect of the Company in an involuntary case or proceeding under
any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or (B) a decree or order adjudging the Company bankrupt or insolvent, or approving as properly filed
a petition seeking reorganization, arrangement, adjustment or composition of or in respect of the Company under any applicable Federal or State law, or appointing a custodian, receiver, liquidator,
assignee, trustee, sequestrator or other similar official of the Company or of any substantial part of its property, or ordering the winding up or liquidation of its affairs, and the continuance of
any such decree or order for relief or any such other decree or order unstayed and in effect for a period of 90 consecutive days; or 

        (6)   the
commencement by the Company of a voluntary case or proceeding under any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or of
any other case or proceeding to be adjudicated a bankrupt or insolvent, or the consent by it to the entry of a decree or order for relief in respect of the Company in an involuntary case or proceeding
under any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law or to the commencement of any bankruptcy or insolvency case or proceeding against it, or the filing by
it of a petition or answer or consent seeking reorganization or relief under any applicable Federal or State law, or the consent by it to the filing of such petition or to the appointment of or taking
possession by a custodian, receiver, liquidator, assignee, trustee, sequestrator or other similar official of the Company or of any substantial part of its property, or the making by it of an
assignment for the benefit of creditors, or the admission by it in writing of its inability to pay its debts generally as they become due, or the taking of corporate action by the Company in
furtherance of any such action; or 

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

SECTION 502.    Acceleration of Maturity; Rescission and Annulment.  

        If an Event of Default (other than an Event of Default specified in Section 501(5) or 501(6)) with respect to Securities of any series at the time
Outstanding occurs and is continuing, then in every such case the Trustee or the Holders of not less than 25% in principal amount of the Outstanding Securities of that series may declare the principal
amount of all the Securities of that series (or, if any Securities of that series are Original Issue Discount Securities, such portion of the principal amount of such Securities as may be specified by
the terms thereof) to be due and payable immediately, by a notice in writing to the Company (and to the Trustee if given by the Holders), and upon any such declaration such principal amount (or
specified amount) shall become immediately due and payable. If an Event of Default specified in Section 501(5) or 501(6) with respect to Securities of any series at the time Outstanding occurs,
the principal amount of all the Securities of that series (or, if any Securities of that 

29

 

series
are Original Issue Discount Securities, such portion of the principal amount of such Securities as may be specified by the terms thereof) shall automatically, and without any declaration or
other action on the part of the Trustee or any Holder, become immediately due and payable. 

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

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

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

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

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

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

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

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

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

        The Company covenants that if 

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

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

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

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

30

 

SECTION 504.    Trustee May File Proofs of Claim.  

        In case of any judicial proceeding relative to the Company (or any other obligor upon the Securities), its property or its creditors, the Trustee shall be
entitled and empowered, by intervention in such proceeding or otherwise, to take any and all actions authorized under the Trust Indenture Act in order to have claims of the Holders and the Trustee
allowed in any such proceeding. In particular, the Trustee shall be authorized to collect and receive any moneys or other property payable or deliverable on any such claims and to distribute the same;
and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in any such judicial proceeding is hereby authorized by each Holder to make such payments to the
Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under Section 607. 

        No
provision of this Indenture shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any Holder any plan of reorganization, arrangement,
adjustment or composition affecting the Securities or the rights of any Holder thereof or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding. 

SECTION 505.    Trustee May Enforce Claims Without Possession of Securities.  

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

SECTION 506.    Application of Money Collected.  

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

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

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

        THIRD:    The
balance, if any, to the Company or any other Person or Persons entitled thereto. 

SECTION 507.    Limitation on Suits.  

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

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

31

 

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

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

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

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

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

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

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

SECTION 509.    Restoration of Rights and Remedies.  

        If the Trustee or any Holder has instituted any proceeding to enforce any right or remedy under this Indenture and such proceeding has been discontinued or
abandoned for any reason, or has been determined adversely to the Trustee or to such Holder, then and in every such case, subject to any determination in such proceeding, the Company, the Trustee and
the Holders shall be restored severally and respectively to their former positions hereunder and thereafter all rights and remedies of the Trustee and the Holders shall continue as though no such
proceeding had been instituted. 

SECTION 510.    Rights and Remedies Cumulative.  

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

SECTION 511.    Delay or Omission Not Waiver.  

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

32

 

may
be deemed expedient, by the Trustee (subject to the limitations contained in this Indenture) or by the Holders, as the case may be. 

SECTION 512.    Control by Holders.  

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

        (1)   such
direction shall not be in conflict with any rule of law or with this Indenture and the Trustee shall not have determined that the action so directed would be
unjustly prejudicial to Holders of Securities of that series, or any other series, not taking part in such direction, and 

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

SECTION 513.    Waiver of Past Defaults.  

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

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

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

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

SECTION 514.    Undertaking for Costs.  

        In any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee for any action taken, suffered or omitted by it as
Trustee, a court may require any party litigant in such suit to file an undertaking to pay the costs of such suit, including legal fees and expenses, and may assess costs against any such party
litigant, in the manner and to the extent provided in the Trust Indenture Act; provided that neither this Section nor the Trust Indenture Act shall be
deemed to authorize any court to require such an undertaking or to make such an assessment in any suit instituted by the Company or in any suit for the enforcement of the right to convert any Security
in accordance with Article Fourteen or in any suit instituted by the Trustee, to any suit instituted by any Holder or group of Holders for the enforcement of the payment of the principal of, or any
premium or interest on, any Security on or after the due date for such payment. 

SECTION 515.    Waiver of Usury, Stay or Extension Laws.  

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

33

  

 
 

ARTICLE SIX
  
    THE TRUSTEE    
    

SECTION 601.    Certain Duties and Responsibilities.  

        The duties and responsibilities of the Trustee shall be as provided by the Trust Indenture Act. Notwithstanding the foregoing, no provision of this Indenture
shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder, or in the exercise of any of its rights or
powers. Whether or not therein expressly so provided, every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to
the provisions of this Section. No provision of this Indenture shall be construed to relieve the Trustee from liability for its own negligent action, its own negligent failure to act or its own
willful misconduct, subject to Section 603. 

SECTION 602.    Notice of Defaults.  

        If a default occurs hereunder with respect to Securities of any series, the Trustee shall give the Holders of Securities of such series notice of such default
actually known to it as and to the extent provided by the Trust Indenture Act; provided, however, that in the case of any default of the character
specified in Section 501(4) with respect to Securities of such series, no such notice to Holders shall be given until at least 30 days after the occurrence thereof. For the purpose of
this Section, the term "default" means any event which is, or after notice or lapse of time or both would become, an Event of Default with respect to Securities of such series. 

SECTION 603.    Certain Rights of Trustee.  

        Subject to the provisions of Section 601: 

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

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

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

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

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

        (6)   the
Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through agents or attorneys and the Trustee shall
not be responsible 

34

 

for
any misconduct or negligence on the part of any agent or attorney appointed with due care by it hereunder; 

        (7)   the
Trustee shall not be liable for any action taken, suffered, or omitted to be taken by it in good faith and reasonably believed by it to be authorized or within the
discretion or rights or powers conferred upon it by this Indenture; and 

        (8)   the
Trustee shall not be deemed to have notice of any default or Event of Default unless a responsible officer of the Trustee has actual knowledge thereof or unless
written notice of any event which is in fact such a default is received by the Trustee at the Corporate Trust Office of the Trustee, and such notice references the Securities and this Indenture. 

        (9)   The
permissive rights of the Trustee to do the things enumerated in this Indenture shall not be construed as a duty unless so specified herein. The Trustee shall not be
liable in connection with the performance of its duties hereunder, except for its own negligence or willful misconduct. 

        (10) Whenever
in the administration of the trusts imposed upon it by this Indenture the Trustee shall deem it necessary or desirable that a matter be proved or established
prior to taking or suffering any action hereunder, such matter may be deemed to be conclusively proved and established by an Officer's Certificate, and such Officer's Certificate shall be full warrant
to the Trustee for any action taken or suffered in good faith under the provisions of the Indenture in reliance upon such Officer's Certificate, but in its discretion the Trustee may, in lieu thereof,
accept other evidence of such matter or may request such additional evidence as it may deem reasonable. 

SECTION 604.    Not Responsible for Recitals or Issuance of Securities.  

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

SECTION 605.    May Hold Securities and Act as Trustee Under Other Indentures.  

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

        Subject
to the limitations imposed by the Trust Indenture Act, nothing in this Indenture shall prohibit the Trustee from becoming and acting as trustee under other indentures under which
other securities, or certificates of interest of participation in other securities, of the Company are outstanding in the same manner as if it were not Trustee hereunder. 

SECTION 606.    Money Held in Trust.  

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

35

 

SECTION 607.    Compensation and Reimbursement.  

        The Company agrees 

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

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

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

        When
the Trustee incurs expenses or renders services in connection with an Event of Default specified in Section 501(5) or Section 501(6), 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. 

SECTION 608.    Conflicting Interests.  

        If the Trustee has or shall acquire a conflicting interest within the meaning of the Trust Indenture Act, the Trustee shall either eliminate such interest or
resign, to the extent and in the manner provided by, and subject to the provisions of, the Trust Indenture Act and this Indenture. To the extent permitted by such Act, the Trustee shall not be deemed
to have a conflicting interest by virtue of being a trustee under this Indenture with respect to Securities of more than one series. 

SECTION 609.    Corporate Trustee Required; Eligibility.  

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

SECTION 610.    Resignation and Removal; Appointment of Successor.  

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

36

 

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

        The
Trustee may be removed at any time with respect to the Securities of any series by Act of the Holders of a majority in principal amount of the Outstanding Securities of such series,
delivered to the Trustee and to the Company. If the instrument of acceptance by a successor Trustee required by Section 611 shall not have been delivered to the Trustee within 30 days
after the giving of such notice of removal, the Trustee being removed may petition, at the expense of the Company, any court of competent jurisdiction for the appointment of a successor Trustee with
respect to the Securities of such series. 

        If
at any time: 

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

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

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

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

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

        The
Company shall give notice of each resignation and each removal of the Trustee with respect to the Securities of any series and each appointment of a successor Trustee with respect to
the Securities 

37

 

of
any series to all Holders of Securities of such series in the manner provided in Section 106. Each notice shall include the name of the successor Trustee with respect to the Securities of
such series and the address of its Corporate Trust Office. 

SECTION 611.    Acceptance of Appointment by Successor.  

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

        In
case of the appointment hereunder of a successor Trustee with respect to the Securities of one or more (but not all) series, the Company, the retiring Trustee and each successor
Trustee with respect to the Securities of one or more series shall execute and deliver an indenture supplemental hereto wherein each successor Trustee shall accept such appointment and which
(1) shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each successor Trustee all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series to which the appointment of such successor Trustee relates, (2) if the retiring Trustee is not retiring with respect to all
Securities, shall contain such provisions as shall be deemed
necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series as to which the retiring Trustee is not
retiring shall continue to be vested in the retiring Trustee, and (3) shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the
administration of the trusts hereunder by more than one Trustee, it being understood that nothing herein or in such supplemental indenture shall constitute such Trustees co-trustees of the
same trust and that each such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or trusts hereunder administered by any other such Trustee; and upon the
execution and delivery of such supplemental indenture the resignation or removal of the retiring Trustee shall become effective to the extent provided therein and each such successor Trustee, without
any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which the
appointment of such successor Trustee relates; but, on request of the Company or any successor Trustee, such retiring Trustee shall, upon payment in full of all of its charges, duly assign, transfer
and deliver to such successor Trustee all property and money held by such retiring Trustee hereunder with respect to the Securities of that or those series to which the appointment of such successor
Trustee relates. 

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

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

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

        Any corporation into which the Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion
or consolidation to which the 

38

 

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

SECTION 613.    Preferential Collection of Claims Against Company.  

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

SECTION 614.    Appointment of Authenticating Agent.  

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

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

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

        The
Company agrees to pay to each Authenticating Agent from time to time reasonable compensation for its services under this Section. 

39

  

        If an appointment with respect to one or more series is made pursuant to this Section 612, the Securities of such series may have endorsed thereon, in addition to the Trustee's
certificate of authentication, an alternative certificate of authentication in the following form: 

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

	 	 	CHASE MANHATTAN BANK AND TRUST COMPANY, NATIONAL ASSOCIATION, As Trustee
	

    	
 	

By:	
 	

 
	    	 	 	 	

	 	 	 	 	As Authenticating Agent
	

    	
 	

By:	
 	

 
	    	 	 	 	
 As Authenticating Signatory

 
 

ARTICLE SEVEN    
    
    HOLDERS' LISTS AND REPORTS BY TRUSTEE AND COMPANY    
    

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

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

        (1)   semi-annually,
not later than 15 days after the Regular Record Date, a list, in such form as the Trustee may reasonably require, of the names and
addresses of the Holders of Securities of each series as of such Regular Record Date, as the case may be, and 

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

provided that no such list need be furnished by the Company to the Trustee so long as the Trustee is acting as Security Registrar. 

SECTION 702.    Preservation of Information; Communications to Holders.  

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

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

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

40

 

SECTION 703.    Reports by Trustee.  

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

        If
required by Section 313(a) of the Trust Indenture Act, the Trustee shall, within sixty days after each May 1 following the date of this Indenture deliver to Holders a
brief report, dated as of such May 1, which complies with the provisions of such Section 313(a). 

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

SECTION 704.    Reports by Company.  

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

 
 

ARTICLE EIGHT
  
    CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE    
    

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

        The Company shall not consolidate with or merge into any other Person (in a transaction in which the Company is not the surviving corporation) or convey, transfer
or lease its properties and assets substantially as an entirety to any Person, unless: 

        (1)   in
case the Company shall consolidate with or merge into another Person (in a transaction in which the Company is not the surviving corporation) or convey, transfer or
lease its properties and assets substantially as an entirety to any Person, the Person formed by such consolidation or into which the Company is merged or the Person which acquires by conveyance or
transfer, or which leases, the properties and assets of the Company substantially as an entirety shall be a corporation, limited liability company, partnership, trust or other business entity, shall
be organized and validly existing under the laws of the United States of America, any State thereof or the District of Columbia and shall expressly assume, by an indenture supplemental hereto,
executed and delivered to the Trustee, in form satisfactory to the Trustee, the due and punctual payment of the principal of and any premium and interest on all the Securities and the performance or
observance of every covenant of this Indenture on the part of the Company to be performed or observed and the conversion rights shall be provided for in accordance with Article Fourteen, if
applicable, or as otherwise specified pursuant to Section 301, by supplemental indenture satisfactory in form to the Trustee, executed and delivered to the Trustee, by the Person (if other than
the Company) formed by such consolidation or into which the Company shall have been merged or by the Person which shall have acquired the Company's assets; 

        (2)   immediately
after giving effect to such transaction, no Event of Default, and no event which, after notice or lapse of time or both, would become an Event of Default,
shall have happened and be continuing; and 

        (3)   the
Company has delivered to the Trustee an Officers' Certificate and an Opinion of Counsel, each stating that such consolidation, merger, conveyance, transfer or lease
and, if a supplemental 

41

 

indenture
is required in connection with such transaction, such supplemental indenture comply with this Article and that all conditions precedent herein provided for relating to such transaction have
been complied with. 

SECTION 802.    Successor Substituted.  

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

 
 

ARTICLE NINE
  
    SUPPLEMENTAL INDENTURES    
    

SECTION 901.    Supplemental Indentures Without Consent of Holders.  

        Without the consent of any Holders, the Company, when authorized by a Board Resolution, and the Trustee, at any time and from time to time, may enter into one or
more indentures supplemental hereto, in form satisfactory to the Trustee, for any of the following purposes: 

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

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

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

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

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

        (6)   to
secure the Securities; or 

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

        (8)   to
evidence and provide for the acceptance of appointment hereunder by a successor Trustee with respect to the Securities of one or more series and to add to or change
any of the provisions of 

42

 

this
Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, pursuant to the requirements of Section 611; or 

        (9)   to
make provision with respect to the conversion rights of Holders pursuant to the requirements of Article Fourteen, including providing for the conversion of the
securities into any security (other than the Common Stock of the Company) or property of the Company; or 

        (10) to
cure any ambiguity, to correct or supplement any provision herein which may be defective or inconsistent with any other provision herein, or to make any other
provisions with respect to matters or questions arising under this Indenture, provided that such action pursuant to this Clause (10) shall not adversely affect the interests of the Holders of
Securities of any series in any material respect; or 

        (11) to
supplement any of the provisions of the Indenture to such extent as shall be necessary to permit or facilitate the defeasance and discharge of any series of
Securities pursuant to Articles Four and Thirteen, provided that any such action shall not adversely affect the interests of the Holders of Securities
of such series or any other series of Securities in any material respect. 

SECTION 902.    Supplemental Indentures With Consent of Holders.  

        With the consent of the Holders of a majority in principal amount of the Outstanding Securities of each series affected by such supplemental indenture, by Act of
said Holders delivered to the Company and the Trustee, the Company, when authorized by a Board Resolution, and the Trustee may enter into an indenture or indentures supplemental hereto for the purpose
of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture or of modifying in any manner the rights of the Holders of Securities of such series under
this Indenture; provided, however, that no such supplemental indenture shall, without the consent of the Holder of each Outstanding Security affected
thereby, 

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

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

        (3)   modify
any of the provisions of this Section, Section 513 or Section 1010, except to increase any such percentage or to provide that certain other
provisions of this Indenture cannot be modified or waived without the consent of the Holder of each Outstanding Security affected thereby; provided,
however, that this clause shall not be deemed to require the consent of any Holder with respect to changes in the references to "the Trustee" and concomitant changes in this
Section and Section 1010, or the deletion of this proviso, in accordance with the requirements of Sections 611 and 901(8), or 

        (4)   if
applicable, make any change that adversely affects the right to convert any security as provided in Article Fourteen or pursuant to Section 301 (except as
permitted by Section 901(9)) or decrease the conversion rate or increase the conversion price of any such security. 

        A
supplemental indenture which changes or eliminates any covenant or other provision of this Indenture which has expressly been included solely for the benefit of one or more particular
series of 

43

 

Securities,
or which modifies the rights of the Holders of Securities of such series with respect to such covenant or other provision, shall be deemed not to affect the rights under this Indenture of
the Holders of Securities of any other series. 

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

SECTION 903.    Execution of Supplemental Indentures.  

        In executing, or accepting the additional trusts created by, any supplemental indenture permitted by this Article or the modifications thereby of the trusts
created by this Indenture, the Trustee shall be entitled to receive, and (subject to Sections 601 and 603) shall be fully protected in relying upon, an Opinion of Counsel stating that the execution of
such supplemental indenture is authorized or permitted by this Indenture. The Trustee may, but shall not be obligated to, enter into any such supplemental indenture which affects the Trustee's own
rights, duties or immunities under this Indenture or otherwise. 

SECTION 904.    Effect of Supplemental Indentures.  

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

SECTION 905.    Conformity with Trust Indenture Act.  

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

SECTION 906.    Reference in Securities to Supplemental Indentures.  

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

 
 

ARTICLE TEN
  
    COVENANTS    
    

SECTION 1001.    Payment of Principal, Premium and Interest.  

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

SECTION 1002.    Maintenance of Office or Agency.  

        The Company will maintain in each Place of Payment for any series of Securities an office or agency where Securities of that series may be presented or
surrendered for payment, where Securities of that series may be surrendered for registration of transfer or exchange, where Securities of that 

44

 

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

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

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

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

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

        The
Company will cause each Paying Agent for any series of Securities other than the Trustee to execute and deliver to the Trustee an instrument in which such Paying Agent shall agree
with the Trustee, subject to the provisions of this Section, that such Paying Agent will (1) hold all sums held by it for the payment of the principal of (and premium, if any) or interest on
Securities of that series in trust for the benefit of the Persons entitled thereto until such sums shall be paid to such Persons or otherwise disposed of as herein provided; (2) give the
Trustee notice of any default by the Company (or any other obligor upon the Securities of that series) in the making of any payment of principal (and premium, if any) or interest on the Securities of
that series; and (3) at any time during the continuance of any such default, upon the written request of the Trustee, forthwith pay to the Trustee all sums held in trust by such Paying Agent
for payment in respect of the Securities of that series. 

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

        Any
money deposited with the Trustee or any Paying Agent, or then held by the Company, in trust for the payment of the principal of (and premium, if any) or interest on any Security of
any series and remaining unclaimed for a period ending on the earlier of the date that is ten Business Days prior to the date such money would escheat to the State or two years after such principal
(and premium, if any) 

45

 

or
interest has become due and payable shall be paid to the Company on Company Request, or (if then held by the Company) shall be discharged from such trust; and the Holder of such Security shall
thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all liability of the Trustee or such Paying Agent with respect to such trust money, and all liability of
the Company as trustee thereof, shall thereupon cease. 

SECTION 1004.    Statement by Officers as to Default.  

        The Company will deliver to the Trustee, within 120 days after the end of each fiscal year of the Company ending after the date hereof, an Officers'
Certificate, stating whether or not, to the best knowledge of the signers thereof, the Company is in default in the performance and observance of any of the terms, provisions and conditions of this
Indenture (without regard to any period of grace or
requirement of notice provided hereunder) and, if the Company shall be in default, specifying all such defaults and the nature and status thereof of which they may have knowledge. The fiscal year of
the Company ends on October 31; and the Company will give the Trustee prompt written notice of any change of its fiscal year. 

SECTION 1005.    Existence.  

        Subject to Article Eight, the Company will do or cause to be done all things reasonably necessary to preserve and keep in full force and effect its corporate
existence. 

SECTION 1006.    Maintenance of Properties.  

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

SECTION 1007.    Payment of Taxes and Other Claims.  

        The Company will pay or discharge or cause to be paid or discharged, before the same shall become delinquent, (1) all taxes, assessments and governmental
charges levied or imposed upon the Company upon the income, profits or property of the Company, and (2) all lawful claims for labor, materials and supplies which, if unpaid, might by law become
a lien upon the property of the Company; provided, however, that the Company shall not be required to pay or discharge or cause to be paid or discharged
any such tax, assessment, charge or claim (i) whose amount, applicability or validity is being contested in good faith by appropriate proceedings or (ii) if the failure to pay or
discharge would not have a material adverse effect on the assets, business, operations, properties or condition (financial or otherwise) of the Company and its subsidiaries, taken as a whole. 

SECTION 1008.    Limitation on Liens.  

        The Company will not issue, incur, create, assume or guarantee, and will not permit any Restricted Subsidiary to issue, incur, create, assume or guarantee, any
Secured Debt (as defined below) without in any such case effectively providing concurrently with issuance, incurrence, creation, assumption or guarantee of any such Secured Debt, or the grant of a
mortgage with respect to any such indebtedness, that the Securities (together with, if the Company shall so determine, any other indebtedness of or guarantee by the Company or such Restricted
Subsidiary ranking equally with the Securities and then existing or thereafter created) shall be secured equally and ratably with (or, at the option of the Company, prior to) such Secured Debt. The
foregoing restriction with respect to Secured Debt, however, will not apply to: 

        (1)   mortgages
on property existing at the time of acquisition thereof by the Company or any Subsidiary, whether or not assumed, provided that such mortgages were in
existence prior to the contemplation of such acquisitions; 

46

  

        (2)   mortgages on property, shares of stock or indebtedness or other assets of any corporation existing at the time such corporation becomes a Restricted Subsidiary, provided
that such mortgages are not incurred in anticipation of such corporation becoming a Restricted Subsidiary (which may include property previously leased by the Company and leasehold interests thereon,
provided that the lease terminates prior to or upon the acquisition); 

        (3)   mortgages
on property, shares of stock or indebtedness existing at the time of acquisition thereof by the Company or a Restricted Subsidiary (including leases) or
mortgages thereon to secure the payment of all or any part of the purchase price thereof, or mortgages on property, shares of stock or indebtedness to secure any indebtedness for borrowed money
incurred prior to, at the time of or within 12 months after, the latest of the acquisition thereof, or, in the case of property, the completion of construction, the completion of improvements,
or the commencement of substantial commercial operation of such property for the purpose of financing all or any part of the purchase price thereof, such construction, or the making of such
improvements; 

        (4)   mortgages
to secure indebtedness owing to the Company or to a Restricted Subsidiary; 

        (5)   mortgages
existing at the date of this Indenture; 

        (6)   mortgages
on property of a corporation existing at the time such corporation is merged into or consolidated with the Company or a Restricted Subsidiary or at the time of
a sale, lease or other disposition of the properties of a corporation as an entirety or substantially as an entirety to the Company or a Restricted Subsidiary, provided that such mortgage was not
incurred in anticipation of such merger or consolidation or sale, lease or other disposition; 

        (7)   mortgages
in favor of the United States or any State, territory or possession thereof (or the District of Columbia), or any department, agency, instrumentality or
political subdivision of the United States or any State, territory or possession thereof (or the District of Columbia), (i) to secure partial, progress, advance or other payments pursuant to
any contract or statute, (ii) to secure any indebtedness incurred for the purpose of financing all or any part of the purchase price of the cost of constructing, repairing or improving the
property subject to such mortgages or (iii) to secure taxes, assessments or other governmental charges or levies which are not yet due and payable or are payable without penalty or of which
amount, applicability or validity is being contested by the Company and/or any Restricted Subsidiary in good faith by appropriate proceedings and the Company and/or such Restricted Subsidiary shall
have set aside in its books reserves which it deems to be adequate with respect thereto (segregated to the extent required by generally accepted accounting principles); 

        (8)   mortgages
created in connection with the acquisition of assets or a project financed with, and created to secure, a Nonrecourse Obligation; 

        (9)   mortgages
for materialmen's, mechanics', workmen's, repairmen's, landlord's mortgages for rent, or other similar mortgages arising in the ordinary course of business in
respect of obligations which are not yet overdue or which are being contested by the Company or any Restricted Subsidiary in good faith and by appropriate proceedings; 

        (10) mortgages
consisting of zoning restrictions, licenses, easements and restrictions on the use of real property and minor defects and irregularities in the title thereto,
which do not materially impair the use of such property by the Company or any Restricted Subsidiary in the operation of business or the value of such property for the purpose of such business; and 

        (11) extensions,
renewals, refinancings or replacements of any mortgage referred to in the foregoing clauses (1), (2), (3), (4), (5), (6), (7), (8) and (9)  provided, however, that any mortgages permitted by any of
the foregoing clauses (1), (2), (3), (4), (5), (6), (7), (8) and (9) shall not
extend to or cover any property of the Company or such Restricted Subsidiary, as the case may be, other than the property, if any, specified in such clauses and improvements thereto, and  provided further that any 

47

 

refinancing
or replacement of any mortgages permitted by the foregoing clauses (7) and (8) shall be of the type referred to in such clauses (7) or (8), as the case may be. 

        Notwithstanding
the restrictions outlined in the preceding paragraph, the Company or any Restricted Subsidiary will be permitted to issue, incur, create, assume or guarantee Secured
Debt, which would otherwise be subject to such restrictions, without equally and ratably securing the Securities, provided that after giving effect thereto, the aggregate amount of all Secured Debt
(not including mortgages permitted under clauses (1) through (11) above) does not exceed the greater of $500 million or 10% of the Consolidated Net Tangible Assets of the Company
as most recently determined on or prior to such date. 

        For
purposes of this Section 1008: 

        (i)    "Secured
Debt" means any debt for borrowed money secured by a mortgage upon any Principal Property of the Company or any Restricted Subsidiary or upon any shares of
stock or indebtedness of any Restricted Subsidiary (whether such Principal Property, shares or indebtedness are now existing or owed or hereafter created or acquired); and 

        (ii)   "mortgage"
means a mortgage, security interest, pledge, lien, charge or other encumbrance. 

SECTION 1009.    Limitations on Sale and Lease-Back Transactions.  

        The Company will not, nor will it permit any Restricted Subsidiary to, enter into any Sale and Lease-Back Transaction with respect to any Principal
Property, other than any such transaction involving a lease for a term of not more than three years or any such transaction between the Company and a Restricted Subsidiary or between Restricted
Subsidiaries, unless: (1) the Company or such Restricted Subsidiary would be entitled to incur indebtedness secured by a mortgage on the Principal Property involved in such transaction at least
equal in amount to the Attributable Debt with respect to such Sale and Lease-Back Transaction, without equally and ratably securing the Securities, pursuant to Section 1008; or
(2) the Company shall apply an amount equal to the greater of the net proceeds of such sale or the Attributable Debt with respect to such Sale and Lease-Back Transaction within
180 days of such sale to either (or a combination of) the retirement (other than mandatory retirement, mandatory prepayment or sinking fund payment or by a payment at maturity) of debt for
borrowed money of the Company or a Restricted Subsidiary that matures more than 12 months after the creation of such indebtedness or the purchase, construction or development of other
comparable property. 

        Notwithstanding
the restrictions outlined is the preceding paragraph, the Company or any Restricted Subsidiary will be permitted to enter into Sale and Lease-Back
Transactions which would otherwise be subject to such restrictions, without applying the net proceeds of such transactions in the manner set forth in clause (b) above, provided that after
giving effect thereto, the aggregate amount of such sale and Lease-Back Transactions, together with the aggregate amount of all Secured Debt not permitted by clauses (1) through
(11) under Section 1008 above, does not exceed the greater of $500 million or 10% of Consolidated Net Tangible Assets of the Company as most recently determined on or prior to
such date. 

SECTION 1010.    Waiver of Certain Covenants.  

        Except as otherwise specified as contemplated by Section 301 for Securities of such series, or in a supplemental indenture the Company may, with respect to
the Securities of any series, omit in any particular instance to comply with any term, provision or condition set forth in any covenant provided pursuant to Section 301(19), 901(2), 901(7),
1006, 1007, 1008 or 1009 if before the time for such compliance the Holders of at least a majority in principal amount of the Outstanding Securities of such series shall, by Act of such Holders,
either waive such compliance in such instance or generally waive 

48

 

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

SECTION 1011.    Calculation of Original Issue Discount.  

        The Company shall file with the Trustee promptly at the end of each calendar year (i) a written notice specifying the amount of original issue discount
(including daily rates and accrual periods) accrued on Outstanding Securities as of the end of such year and (ii) such other specific information relating to such original issue discount as may
then be relevant under the Internal Revenue Code of 1986, as amended from time to time. 

 
 

ARTICLE ELEVEN
  
    REDEMPTION OF SECURITIES    
    

SECTION 1101.    Applicability of Article.  

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

SECTION 1102.    Election to Redeem; Notice to Trustee.  

        The election of the Company to redeem any Securities shall be evidenced by a Board Resolution or in another manner specified as contemplated by Section 301
for such Securities. In case of any redemption at the election of the Company of the Securities of any series (including any such redemption affecting only a single Security), the Company shall, at
least 40 days (or 45 days if fewer than all the Securities of any series are to be redeemed) prior to the Redemption Date fixed by the Company (unless a shorter notice shall be
satisfactory to the Trustee), notify the Trustee of such Redemption Date, of the principal amount of Securities of such series to be redeemed and, if applicable, of the tenor of the Securities to be
redeemed. In the case of any redemption of Securities prior to the expiration of any restriction on such redemption provided in the terms of such Securities or elsewhere in this Indenture, the Company
shall furnish the Trustee with an Officers' Certificate evidencing compliance with such restriction. 

SECTION 1103.    Selection by Trustee of Securities to Be Redeemed.  

        If fewer than all the Securities of any series are to be redeemed (unless all the Securities of such series and of a specified tenor are to be redeemed or unless
such redemption affects only a single Security), the particular Securities to be redeemed shall be selected not more than 45 days prior to the Redemption Date by the Trustee, from the
Outstanding Securities of such series not previously called for redemption, by lot, or in the Trustee's discretion, on a pro-rata basis or by such other method as the Trustee may deem fair
and appropriate, provided that the unredeemed portion of the principal amount of any Security shall be in an authorized denomination (which shall not be less than the minimum authorized denomination)
for such Security. If fewer than all the Securities of such series and of a specified tenor are to be redeemed (unless such redemption affects only a single Security), the particular Securities to be
redeemed shall be selected not more than 45 days prior to the Redemption Date by the Trustee, from the Outstanding Securities of such series and specified tenor not previously called for
redemption in accordance with the preceding sentence. 

        If
any Security selected for partial redemption is converted in part before termination of the conversion right with respect to the portion of the Security so selected, the converted
portion of such 

49

 

Security
shall be deemed (so far as may be), at the option of the Company, to be the portion selected for redemption. Securities which have been converted during a selection of Securities to be
redeemed shall be treated by the Trustee as Outstanding for the purpose of such selection. 

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

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

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

SECTION 1104.    Notice of Redemption.  

        Notice of redemption shall be given by first-class mail, postage prepaid, mailed not fewer than 30 nor more than 60 days prior to the Redemption Date,
unless a shorter period is specified in the Securities to be redeemed, to each Holder of Securities to be redeemed, at its address appearing in the Security Register. 

        Failure
to give notice by mailing in the manner herein provided to the Holder of any Registered Securities designated for redemption as a whole or in part, or any defect in the notice of
any such Holder, shall not affect the validity of the proceedings for the redemption of any other Securities or portion thereof. 

        Any
notice that is mailed to the Holder of any Registered Securities in the manner herein provided shall be conclusively presumed to have been duly given, whether or not such Holder
receives the notice. 

        All
notices of redemption shall identify the Securities to be redeemed (including CUSIP number(s)) and shall state: 

        (1)   the
Redemption Date, 

        (2)   the
Redemption Price (including accrued interest, if any), 

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

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

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

50

 

        (6)   if
applicable, the conversion price, that the date on which the right to convert the principal of the Securities or the portions thereof to be redeemed will terminate
will be the Business Day prior to the Redemption Date and the place or places where such Securities may be surrendered for conversion, 

        (7)   in
case any Securities are to be redeemed in part only, the notice which relates to such Security shall state that on and after the Redemption Date, upon surrender of
such Security, the Holder of such Security will receive, without charge, a new Security or Securities of authorized denominations for the principal amount thereof remaining unredeemed, and 

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

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

SECTION 1105.    Deposit of Redemption Price.  

        On or prior to 11:00 a.m., New York time, on any Redemption Date, the Company shall deposit with the Trustee or with a Paying Agent (or, if the Company is
acting as its own Paying Agent, segregate and hold in trust as provided in Section 1003) an amount of money sufficient to pay the Redemption Price of, and (except if the Redemption Date shall
be an Interest Payment Date) accrued interest on, all the Securities which are to be redeemed on that date. 

        If
any Security called for redemption is converted, any money deposited with the Trustee or with a Paying Agent or so segregated and held in trust for the redemption of such Security
shall (subject to the right of any Holder of such Security to receive interest as provided in the last paragraph of Section 307) be paid to the Company on Company Request, or if then held by
the Company, shall be discharged from such trust. 

SECTION 1106.    Securities Payable on Redemption Date.  

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

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

SECTION 1107.    Securities Redeemed in Part.  

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

51

 

principal
of the Security so surrendered. If a Security in global form is so surrendered, the Company shall execute, and the Trustee shall authenticate and deliver to the U.S. Depositary or other
Depositary for such Security in global form as shall be specified in the Company Order with respect thereto to the Trustee, without service charge, a new Security in global form in denomination equal
to and in exchange for the unredeemed portion of the principal of the Security in global form so surrendered. 

 
 

ARTICLE TWELVE
  
    SINKING FUNDS    
    

SECTION 1201.    Applicability of Article.  

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

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

SECTION 1202.    Satisfaction of Sinking Fund Payments with Securities.  

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

SECTION 1203.    Redemption of Securities for Sinking Fund.  

        Not fewer than 60 days prior to each sinking fund payment date for any Securities, the Company will deliver to the Trustee an Officers' Certificate
specifying the amount of the next ensuing sinking fund payment for such Securities pursuant to the terms of such Securities, the portion thereof, if any, which is to be satisfied by payment of cash
and the portion thereof, if any, which is to be satisfied by delivering and crediting Securities pursuant to Section 1202 and will also deliver to the Trustee any Securities to be so delivered.
Not fewer than 30 days prior to each such sinking fund payment date, the Trustee shall select the Securities to be redeemed upon such sinking fund payment date in the manner specified in
Section 1103 and cause notice of the redemption thereof to be given in the name of and at the expense of the Company in the manner provided in Section 1104. Such notice having been duly
given, the redemption of such Securities shall be made upon the terms and in the manner stated in Sections 1106 and 1107. 

 
 

ARTICLE THIRTEEN
  
    DEFEASANCE AND COVENANT DEFEASANCE    
    

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

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

52

   SECTION 1302.    Defeasance and Discharge.  

        Upon the Company's exercise of its option (if any) to have this Section applied to any Securities or any series of Securities, as the case may be, the Company
shall be deemed to have been discharged from its obligations with respect to such Securities as provided in this Section on and after the date the conditions set forth in Section 1304 are
satisfied (hereinafter called "Defeasance"). For this purpose, such Defeasance means that the Company shall be deemed to have paid and discharged the entire indebtedness represented by such Securities
and to have satisfied all its other obligations under such Securities and this Indenture insofar as such Securities are concerned (and the Trustee, at the expense of the Company, shall execute proper
instruments acknowledging the same), subject to the following which shall survive until otherwise terminated or discharged hereunder: (1) the rights of Holders of such Securities to receive,
solely from the trust fund described in Section 1304 and as more fully set forth in such Section, payments in respect of the principal of and any premium and interest on such Securities when
payments are due, (2) the Company's obligations with respect to such Securities under Sections 304, 305, 306, 1002 and 1003, and, if applicable, Article Fourteen, (3) the rights, powers,
trusts, duties and immunities of the Trustee hereunder and (4) this Article. Subject to compliance with this Article, the Company may exercise its option (if any) to have this Section applied
to any Securities notwithstanding the prior exercise of its option (if any) to have Section 1303 applied to such Securities. 

SECTION 1303.    Covenant Defeasance.  

        Upon the Company's exercise of its option (if any) to have this Section applied to any Securities or any series of Securities, as the case may be, (1) the
Company shall be released from its obligations under Article 8, Sections 704 and 1006 through 1009, inclusive, and any covenants provided pursuant to Section 301(19), 901(2) or 901(7)
and (2) the occurrence of any event specified in Sections 501(4) (with respect to any of Article 8, Section 704 or Sections 1006 through 1009, inclusive, and any such covenants
provided pursuant to Section 301(19), 901(2) or 901(7)) shall be deemed not to be or result in an Event of Default, in each case with respect to such Securities as provided in this Section on
and after the date the conditions set forth in Section 1304 are satisfied (hereinafter called "Covenant Defeasance"). For this purpose, such Covenant Defeasance means that, with respect to such
Securities, the Company may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in any such specified Section (to the extent so specified in the
case of Section 501(4)), whether directly or indirectly by reason of any reference elsewhere herein to any such Section or by reason of any reference in any such Section to any other provision
herein or in any other document, but the remainder of this Indenture and such Securities shall be unaffected thereby. 

SECTION 1304.    Conditions to Defeasance or Covenant Defeasance.  

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

        (1)   The
Company shall irrevocably have deposited or caused to be deposited with the Trustee (or another trustee which satisfies the requirements contemplated by
Section 609 and agrees to comply with the provisions of this Article applicable to it) as trust funds in trust for the purpose of making the following payments, specifically pledged as security
for, and dedicated solely to, the benefits of the Holders of such Securities, (A) money in an amount, or (B) U.S. Government Obligations which through the scheduled payment of principal
and interest in respect thereof in accordance with their terms will provide, not later than one day before the due date of any payment, money in an amount, or (C) a combination thereof, in each
case sufficient, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay and discharge, and which
shall be applied by the Trustee (or any such other qualifying trustee) to pay and discharge, the principal of and any premium and interest on such Securities on the respective Stated Maturities, in
accordance with the terms of this Indenture and such Securities. As used herein, 

53

 

"U.S.
Government Obligation" means (x) any security which is (i) a direct obligation of the United States of America for the payment of which the full faith and credit of the United
States of America is pledged or (ii) an obligation of a Person controlled or supervised by and acting as an agency or instrumentality of the United States of America the payment of which is
unconditionally guaranteed as a full faith and credit obligation by the United States of America, which, in either case (i) or (ii), is not callable or redeemable at the option of the issuer
thereof, and (y) any depositary receipt issued by a bank (as defined in Section 3(a)(2) of the Securities Act) as custodian with respect to any U.S. Government Obligation which is
specified in Clause (x) above and held by such bank for the account of the holder of such depositary receipt, or with respect to any specific payment of principal of or interest on any U.S.
Government Obligation which is so specified and held, provided that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such
depositary receipt from any amount received by the custodian in respect of the U.S. Government Obligation or the specific payment of principal or interest evidenced by such depositary receipt. 

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

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

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

        (5)   No
event which is, or after notice or lapse of time or both would become, an Event of Default with respect to such Securities or any other Securities shall have occurred
and be continuing at the time of such deposit or, with regard to any such event specified in Sections 501(5) and (6), at any time on or prior to the 90th day after the date of such deposit (it being
understood that this condition shall not be deemed satisfied until after such 90th day). 

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

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

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

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

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

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

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

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

SECTION 1306.    Reinstatement.  

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

ARTICLE FOURTEEN  

 CONVERSION AND EXCHANGE OF SECURITIES  

SECTION 1401.    Applicability of Article.  

        The provisions of this Article shall be applicable to the Securities of any series which are convertible or exchangeable into shares of Common Stock of the
Company, and the issuance of such shares of Common Stock upon the conversion or exchange of such Securities, except as otherwise specified as contemplated by Section 301 for the Securities of
such series. 

55

 

SECTION 1402.    Exercise of Conversion and Exchange Privilege.  

        In order to exercise a conversion or exchange privilege, the Holder of a Security of a series with such a privilege shall surrender such Security to the Company
at the office or agency maintained for that purpose pursuant to Section 1002, accompanied by a duly executed conversion or exchange notice to the Company substantially in the form set forth in
Section 206 stating that the Holder elects to convert or exchange such Security or a specified portion thereof. Such notice shall also state, if different from the name and address of such
Holder, the name or names (with address) in which the certificate or certificates for shares of Common Stock which shall be issuable on such conversion or exchange shall be issued. Securities
surrendered for conversion or exchange shall (if so required by the Company or the Trustee) be duly endorsed by or accompanied by instruments of transfer in forms satisfactory to the Company and the
Trustee duly executed by the registered Holder or its attorney duly authorized in writing; and Securities so surrendered for conversion or exchange (in whole or in part) during the period from the
close of business on any Regular Record Date to the opening of business on the next succeeding Interest Payment Date (excluding Securities or portions thereof called for redemption during the period
beginning at the close of business on a Regular Record Date and ending at the opening of business on the first Business Day after the next succeeding Interest Payment Date, or if such Interest Payment
Date is not a Business Day, the second such Business Day) shall also be accompanied by payment in funds acceptable to the Company of an amount equal to the interest payable on such Interest Payment
Date on the principal amount of such Security then being converted or exchanged, and such interest shall be payable to such registered Holder notwithstanding the conversion or exchange of such
Security, subject to the provisions of Section 307 relating to the payment of Defaulted Interest by the Company. As promptly as practicable after the receipt of such notice and
of any payment required pursuant to a Board Resolution and, subject to Section 303, set forth, or determined in the manner provided, in an Officers' Certificate, or established in one or more
indentures supplemental hereto setting forth the terms of such series of Security, and the surrender of such Security in accordance with such reasonable regulations as the Company may prescribe, the
Company shall issue and shall deliver, at the office or agency at which such Security is surrendered, to such Holder or on its written order, a certificate or certificates for the number of full
shares of Common Stock issuable upon the conversion or exchange of such Security (or specified portion thereof), in accordance with the provisions of such Board Resolution, Officers' Certificate or
supplemental indenture, and cash as provided therein in respect of any fractional share of such Common Stock otherwise issuable upon such conversion or exchange. Such conversion or exchange shall be
deemed to have been effected immediately prior to the close of business on the date on which such notice and such payment, if required, shall have been received in proper order for conversion or
exchange by the Company and such Security shall have been surrendered as aforesaid (unless such Holder shall have so surrendered such Security and shall have instructed the Company to effect the
conversion or exchange on a particular date following such surrender and such Holder shall be entitled to convert or exchange such Security on such date, in which case such conversion or exchange
shall be deemed to be effected immediately prior to the close of business on such date) and at such time the rights of the Holder of such Security as such Security Holder shall cease and the person or
persons in whose name or names any certificate or certificates for shares of Common Stock of the Company shall be issuable upon such conversion or exchange shall be deemed to have become the Holder or
Holders of record of the shares represented thereby. Except as set forth above and subject to the final paragraph of Section 307, no payment or adjustment shall be made upon any conversion or
exchange on account of any interest accrued on the Securities (or any part thereof) surrendered for conversion or exchange or on account of any dividends on the Common Stock of the Company issued upon
such conversion or exchange. 

        In
the case of any Security which is converted or exchanged in part only, upon such conversion or exchange the Company shall execute and the Trustee shall authenticate and deliver to or
on the order of the Holder thereof, at the expense of the Company, a new Security or Securities of the same series, 

56

 

of
authorized denominations, in aggregate principal amount equal to the unconverted or unexchanged portion of such Security. 

SECTION 1403.    No Fractional Shares.  

        No fractional share of Common Stock of the Company shall be issued upon conversions or exchanges of Securities of any series. If more than one Security shall be
surrendered for conversion or exchange at one time by the same Holder, the number of full shares which shall be issuable upon conversion or exchange shall be computed on the basis of the aggregate
principal amount of the Securities (or specified portions thereof to the extent permitted hereby) so surrendered. If, except for the provisions of this Section 1403, any Holder of a Security or
Securities would be entitled to a fractional share of Common Stock of the Company upon the conversion or exchange of such Security or Securities, or
specified portions thereof, the Company shall pay to such Holder an amount in cash equal to the current market value of such fractional share computed, (i) if such Common Stock is listed or
admitted to unlisted trading privileges on a national securities exchange or market, on the basis of the last reported sale price regular way on such exchange or market on the last trading day prior
to the date of conversion or exchange upon which such a sale shall have been effected, or (ii) if such Common Stock is not at the time so listed or admitted to unlisted trading privileges on a
national securities exchange or market, on the basis of the average of the bid and asked prices of such Common Stock in the over-the-counter market, on the last trading day
prior to the date of conversion or exchange, as reported by the National Quotation Bureau, Incorporated or similar organization if the National Quotation Bureau, Incorporated is no longer reporting
such information, or if not so available, the fair market price as determined by the Board of Directors. For purposes of this Section, "trading day" shall mean each Monday, Tuesday, Wednesday,
Thursday and Friday other than any day on which the Common Stock is not traded on the New York Stock Exchange, or if the Common Stock is not traded on the New York Stock Exchange, on the principal
exchange or market on which the Common Stock is traded or quoted. 

SECTION 1404.    Adjustment of Conversion and Exchange Price.  

        The conversion or exchange price of Securities of any series that is convertible or exchangeable into Common Stock of the Company shall be adjusted for any stock
dividends, stock splits, reclassifications, combinations or similar transactions in accordance with the terms of the supplemental indenture or Board Resolutions setting forth the terms of the
Securities of such series. 

        Whenever
the conversion or exchange price is adjusted, the Company shall compute the adjusted conversion or exchange price in accordance with terms of the applicable Board Resolution or
supplemental indenture and shall prepare an Officers' Certificate setting forth the adjusted conversion or exchange price and showing in reasonable detail the facts upon which such adjustment is
based, and such certificate shall forthwith be filed at each office or agency maintained for the purpose of conversion or exchange of Securities pursuant to Section 1002 and, if different, with
the Trustee. The Company shall forthwith cause a notice setting forth the adjusted conversion or exchange price to be mailed, first class postage prepaid, to each Holder of Securities of such series
at its address appearing on the Security Register and to any conversion or exchange agent other than the Trustee. 

SECTION 1405.    Notice of Certain Corporate Actions.  

        In case: 

        (1)   the
Company shall declare a dividend (or any other distribution) on its Common Stock payable otherwise than in cash out of its retained earnings (other than a dividend
for which approval of any shareholders of the Company is required) that would require an adjustment pursuant to Section 1404; or 

57

   
        (2)   the Company shall authorize the granting to all or substantially all of the holders of its Common Stock of rights, options or warrants to subscribe for or purchase any
shares of capital stock of any class or of any other rights (other than any such grant for which approval of any shareholders of the Company is required); or 

        (3)   of
any reclassification of the Common Stock of the Company (other than a subdivision or combination of its outstanding shares of Common Stock, or of any consolidation,
merger or share exchange to which the Company is a party and for which approval of any shareholders of the Company is required), or of the sale of all or substantially all of the assets of the
Company; or 

        (4)   of
the voluntary or involuntary dissolution, liquidation or winding up of the Company; 

        then
the Company shall cause to be filed with the Trustee, and shall cause to be mailed to all Holders at their last addresses as they shall appear in the Security Register, at least
20 days (or 10 days in any case specified in Clause (1) or (2) above) prior to the applicable record date hereinafter specified, a notice stating (i) the date on
which a record is to be taken for the purpose of such dividend, distribution, rights, options or warrants, or, if a record is not to be taken, the date as of which the holders of Common Stock of
record to be entitled to such dividend, distribution, rights, options or warrants are to be determined, or (ii) the date on which such reclassification, consolidation, merger, share exchange,
sale, dissolution, liquidation or winding up is expected to become effective, and the date as of which it is expected that holders of Common Stock of record shall be entitled to exchange their shares
of Common Stock for securities, cash or other property deliverable upon such reclassification, consolidation, merger, share exchange, sale, dissolution, liquidation or winding up. If at any time the
Trustee shall not be the conversion or exchange agent, a copy of such notice shall also forthwith be filed by the Company with the Trustee. 

SECTION 1406.    Reservation of Shares of Common Stock.  

        The Company shall at all times reserve and keep available, free from preemptive rights, out of its authorized but unissued Common Stock, for the purpose of
effecting the conversion or exchange of Securities, the full number of shares of Common Stock of the Company then issuable upon the conversion or exchange of all outstanding Securities of any series
that has conversion or exchange rights. 

SECTION 1407.    Payment of Certain Taxes Upon Conversion and Exchange.  

        Except as provided in the next sentence, the Company will pay any and all taxes that may be payable in respect of the issue or delivery of shares of its Common
Stock on conversion or exchange of Securities pursuant hereto. The Company shall not, however, be required to pay any tax which may be payable in respect of any transfer involved in the issue and
delivery of shares of its Common Stock in a name other than that of the Holder of the Security or Securities to be converted or exchanged, and no such issue or delivery shall be made unless and until
the person requesting such issue has paid to the Company the amount of any such tax, or has established, to the satisfaction of the Company, that such tax has been paid. 

SECTION 1408.    Nonassessability.  

        The Company covenants that all shares of its Common Stock which may be issued upon conversion or exchange of Securities will upon issue in accordance with the
terms hereof be duly and validly issued and fully paid and nonassessable. 

58

 

SECTION 1409.    Provision in Case of Consolidation, Merger or Sale of Assets.  

        In case of any consolidation or merger of the Company with or into any other Person, any merger of another Person with or into the Company (other than a merger
which does not result in any reclassification, conversion, exchange or cancellation of outstanding shares of Common Stock of the Company) or any conveyance, sale, transfer or lease of all or
substantially all of the assets of the Company, the Person formed by such consolidation or resulting from such merger or which acquires such assets, as the case may be, shall execute and deliver to
the Trustee a supplemental indenture providing that the Holder of each Security of a series then Outstanding that is convertible or exchangeable into Common Stock of the Company shall have the right
thereafter (which right shall be the exclusive conversion or exchange right thereafter available to said Holder), during the period such Security shall be convertible or exchangeable, to convert or
exchange such Security only into the kind and amount of securities, cash and other property receivable upon such consolidation, merger, conveyance, sale, transfer or lease by a holder of the number of
shares of Common Stock of the Company into which such Security might have been converted or exchanged immediately prior to such consolidation, merger, conveyance, sale, transfer or lease, assuming
such holder of Common Stock of the Company (i) is not a Person with which the Company consolidated or merged with or into or which merged into or with the Company or to which such conveyance,
sale, transfer or lease was made, as the
case may be (a "Constituent Person"), or an Affiliate of a Constituent Person and (ii) failed to exercise his rights of election, if any, as to the kind or amount of securities, cash and other
property receivable upon such consolidation, merger, conveyance, sale, transfer or lease (provided that if the kind or amount of securities, cash and
other property receivable upon such consolidation, merger, conveyance, sale, transfer, or lease is not the same for each share of Common Stock of the Company held immediately prior to such
consolidation, merger, conveyance, sale, transfer or lease by others than a Constituent Person or an Affiliate thereof and in respect of which such rights of election shall not have been exercised
("Non-electing Share"), then for the purpose of this Section 1409 the kind and amount of securities, cash and other property receivable upon such consolidation, merger, conveyance,
sale, transfer or lease by the holders of each Non-electing Share shall be deemed to be the kind and amount so receivable per share by a plurality of the Non-electing Shares).
Such supplemental indenture shall provide for adjustments which, for events subsequent to the effective date of such supplemental indenture, shall be as nearly equivalent as may be practicable to the
adjustments provided for in this Article or in accordance with the terms of the supplemental indenture or Board Resolutions setting forth the terms of such adjustments. The above provisions of this
Section 1409 shall similarly apply to successive consolidations, mergers, conveyances, sales, transfers or leases. Notice of the execution of such a supplemental indenture shall be given by the
Company to the Holder of each Security of a series that is convertible or exchangeable into Common Stock of the Company as provided in Section 106 promptly upon such execution. 

        Neither
the Trustee nor any conversion or exchange agent, if any, shall be under any responsibility to determine the correctness of any provisions contained in any such supplemental
indenture relating either to the kind or amount of shares of stock or other securities or property or cash receivable by Holders of Securities of a series convertible or exchangeable into Common Stock
of the Company upon the conversion or exchange of their Securities after any such consolidation, merger, conveyance, transfer, sale or lease or to any such adjustment, but may accept as conclusive
evidence of the correctness of any such provisions, and shall be protected in relying upon, an Opinion of Counsel with respect thereto, which the Company shall cause to be furnished to the Trustee
upon request. 

SECTION 1410.    Duties of Trustee Regarding Conversion and Exchange.  

        Neither the Trustee nor any conversion or exchange agent shall at any time be under any duty or responsibility to any Holder of Securities of any series that is
convertible or exchangeable into Common Stock of the Company to determine whether any facts exist which may require any 

59

 

adjustment
of the conversion or exchange price, or with respect to the nature or extent of any such adjustment when made, or with respect to the method employed, whether herein or in any supplemental
indenture (or whether any provisions of any supplemental indenture are correct), any resolutions of the Board of Directors or written instrument executed by one or more officers of the Company
provided to be employed in making the same. Neither the Trustee nor any conversion or exchange agent shall be accountable with respect to the validity or value (or the kind or amount) of any shares of
Common Stock of the Company, or of any securities or property, which may at any time be issued or delivered upon the conversion or exchange of any Securities and neither the Trustee nor any conversion
or exchange agent makes any representation with respect thereto. Subject to the provisions of Section 601, neither the Trustee nor any conversion or exchange agent shall be responsible for any
failure of the Company to issue, transfer or deliver any shares of its Common Stock or stock certificates or other securities or property upon the surrender of any Security for the purpose of
conversion or exchange or to comply with any of the covenants of the Company contained in this Article Fourteen or in the applicable supplemental indenture, resolutions of the Board of Directors or
written instrument executed by one or more duly authorized officers of the Company. 

SECTION 1411.    Repayment of Certain Funds Upon Conversion and Exchange.  

        Any funds which at any time shall have been deposited by the Company or on its behalf with the Trustee or any other paying agent for the purpose of paying the
principal of, and premium, if any, and interest, if any, on any of the Securities (including, but not limited to, funds deposited for the sinking fund referred to in Article Twelve hereof and funds
deposited pursuant to Article Thirteen hereof) and which shall not be required for such purposes because of the conversion or exchange of such Securities as provided in this Article Fourteen shall
after such conversion or exchange be repaid to the Company by the Trustee upon the Company's written request. 

60

 

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

	

 	
 	

HEWLETT-PACKARD COMPANY
	

 	
 	

By:	
 	

/s/  CHARLES N. CHARNAS      

	 	 	 	 	Name: Charles N. Charnas
	 	 	 	 	Title:	 	Senior Managing Counsel and Assistant Secretary
	

 	
 	

CHASE MANHATTAN BANK AND TRUST COMPANY, NATIONAL ASSOCIATION,

As Trustee
	

 	
 	

By:	
 	

/s/  HANK HELLEY      

	 	 	 	 	Name: Hank Helley
	 	 	 	 	Title:	 	Vice President

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QuickLinks

TABLE OF CONTENTS

Hewlett-Packard Company

RECITALS OF THE COMPANY

NOW, THEREFORE, THIS INDENTURE WITNESSETH

ARTICLE ONE DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

ARTICLE TWO SECURITY FORMS

HEWLETT-PACKARD COMPANY

ARTICLE SIX THE TRUSTEE

ARTICLE SEVEN HOLDERS' LISTS AND REPORTS BY TRUSTEE AND COMPANY

ARTICLE EIGHT CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE

ARTICLE NINE SUPPLEMENTAL INDENTURES

ARTICLE TEN COVENANTS

ARTICLE ELEVEN REDEMPTION OF SECURITIES

ARTICLE TWELVE SINKING FUNDS

ARTICLE THIRTEEN DEFEASANCE AND COVENANT DEFEASANCE

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