Document:

Exhibit 4.12

EXECUTION VERSION

 

INDENTURE
dated as of May 3, 2021

among

Natura Cosméticos S.A.,
as Issuer,

Natura &Co Holding S.A.,
as Guarantor,

and

THE BANK OF NEW YORK MELLON,
as Trustee, Registrar, Transfer Agent and Paying Agent 

U.S.$1,000,000,000

4.125% Sustainability-Linked Notes due 2028

 

 

	

Table of Contents

 

	
TABLE OF CONTENTS

	
PAGE

	ARTICLE 1	1
	DEFINITIONS AND INCORPORATION BY REFERENCE	1
	Section 1.01. Definitions.	1
	Section 1.02 Incorporation by Reference of Trust Indenture Act	21
	Section 1.03 Rules of Construction Unless the context otherwise requires:	22
	ARTICLE 2	23
	THE NOTES	23
	Section 2.01.  Form and Dating.	23
	Section 2.02.  Execution and Authentication; Aggregate Principal Amount.	24
	Section 2.03.  Agents	25
	Section 2.04.  Paying Agents	26
	Section 2.05.  Holder Lists	26
	Section 2.06.  Additional Amounts	27
	Section 2.07. Transfer and Exchange	30
	Section 2.08. Replacement Notes	30
	Section 2.09.  Outstanding Notes	31
	Section 2.10. Treasury Notes; When Notes are Disregarded	31
	Section 2.11. Temporary Notes	32
	Section 2.12. Cancellation	32
	Section 2.13. CUSIP Numbers, ISIN and Common Codes	32
	Section 2.14. Deposit of Moneys	33
	Section 2.15. Book-Entry Provisions for Global Notes	33
	Section 2.16. Special Transfer Provisions	34
	Section 2.17. Transfers of Global Notes and Definitive Notes	36
	Section 2.18. Open Market Purchases	36
	ARTICLE 3	37
	REDEMPTION	37
	Section 3.01. Election to Redeem	37
	Section 3.02. Redemption	37
	Section 3.03. Selection of Notes to be Redeemed	39
	Section 3.04. Method, Effect and Notice of Redemption	40
	Section 3.05.  Notice of Redemption	40
	Section 3.06.  Additional Redemption Procedures	41
	Section 3.07  Deposit of Redemption Price	42
	Section 3.08. Effect of Notice of Redemption	42
	Section 3.09. Notes Redeemed in Part	42
	Section 3.10. Offer to Purchase	43

 

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	ARTICLE 4	

	COVENANTS	

	Section 4.01. Payment of Principal and Interest	45
	Section 4.02. Maintenance of Office or Agency	46
	Section 4.03. Corporate Existence	47
	Section 4.04.  [Reserved]	47
	Section 4.05. Maintenance of Properties	47
	Section 4.06. Notice of Default	47
	Section 4.07. Waiver of Stay, Extension or Usury Laws	47
	Section 4.08. Limitation on Liens	48
	Section 4.09. Reports to Holders	48
	Section 4.10. U.S. Dollar Equivalent	49
	Section 4.11. Purchase of Notes upon a Change of Control Event	50
	ARTICLE 5	

	SUCCESSOR CORPORATION	

	Section 5.01. Merger, Consolidation and Sale of Assets	50
	Section 5.02. Successor Entity Substituted	52
	ARTICLE 6	

	DEFAULT AND REMEDIES	

	Section 6.01. Events of Default	52
	Section 6.02. Acceleration	54
	Section 6.03. Other Remedies	55
	Section 6.04. Waiver of Past Defaults	55
	Section 6.05. Control by Majority	55
	Section 6.06. Limitation on Suits	56
	Section 6.07. Rights of Holders to Receive Payment	56
	Section 6.08. Collection Suit by Trustee	56
	Section 6.09. Trustee May File Proofs of Claim	57
	Section 6.10. Priorities	57
	Section 6.11. Undertaking for Costs	58
	Section 6.12. Restoration of Rights and Remedies	58

 

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	ARTICLE 7	

	TRUSTEE	

	Section 7.01. Duties of Trustee	58
	Section 7.02. Rights of Trustee	60
	Section 7.03. Individual Rights of Trustee	62
	Section 7.04. Trustee’s Disclaimer	62
	Section 7.05.Notice of Default	62
	Section 7.06. Compensation and Indemnity	62
	Section 7.07. Replacement of Trustee	64
	Section 7.08. Successor Trustee by Merger, Etc	65
	Section 7.09. Eligibility; Disqualification	65
	Section 7.10. Preferential Collection of Claims Against the Issuer	66
	Section 7.11. Trustee as Agent	66
	Section 7.12. Form of Documents Delivered to Trustee	66
	ARTICLE 8	

	SATISFACTION AND DISCHARGE OF INDENTURE	

	Section 8.01. Legal Defeasance and Covenant Defeasance	67
	Section 8.02. Satisfaction and Discharge	70
	Section 8.03. Survival of Certain Obligations	71
	Section 8.04. Acknowledgment of Discharge by Trustee	71
	Section 8.05. Application of Trust Moneys	71
	Section 8.06. Repayment to the Issuer; Unclaimed Money	72
	Section 8.07. Reinstatement	72
	ARTICLE 9	

	AMENDMENTS, SUPPLEMENTS AND WAIVERS	

	Section 9.01. Modification of the Indenture Without Consent of Holders	73
	Section 9.02. Modification of the Indenture with Consent of Holders	74
	Section 9.03. Revocation and Effect of Consents	75
	Section 9.04. Notation on or Exchange of Notes	76
	Section 9.05. Trustee to Sign Amendments, Etc	77
	ARTICLE 10	

	SUBSTITUTION OF THE ISSUER	

	Section 10.01. Substitution of the Issuer	77

 

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	ARTICLE 11	

	GUARANTEE	

	Section 11.01. Guarantee	79
	Section 11.02. Release of the Guarantor	80
	Section 11.03. Limitation of the Guarantor’s Liability	81
	Section 11.04. Waiver of Stay, Extension or Usury Laws	81
	ARTICLE 12	

	MISCELLANEOUS	

	Section 12.01. Notices	82
	Section 12.02. Communications by Holders with Other Holders	83
	Section 12.03. Certificate and Opinion as to Conditions Precedent	83
	Section 12.04. Statements Required in Certificate or Opinion	84
	Section 12.05. Governing Law	84
	Section 12.06. No Adverse Interpretation of Other Agreements	85
	Section 12.07. No Recourse Against Others	85
	Section 12.08. Successors	85
	Section 12.09. Duplicate Originals	85
	Section 12.10. Entire Agreement	85
	Section 12.11. Severability	85
	Section 12.12. Waiver of Jury Trial	85
	Section 12.13. Consent to Jurisdiction; Waivers; Appointment of Agent for Service of Process	86
	Section 12.14. Indemnification of Judgment Currency	87
	Section 12.15. Headings and Table of Contents	88
	Section 12.16. Use of English Language	88
	Section 12.17. USA Patriot Act	88
	Section 12.18. OFAC	88
	 	

	EXHIBIT A	

	EXHIBIT B	

	EXHIBIT C	

	EXHIBIT D	

	EXHIBIT E	

	EXHIBIT F	

 

NOTE: This Table of Contents shall not, for any purpose, be deemed to be part of this Indenture. 

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INDENTURE, dated as of May 3, 2021, among Natura Cosméticos S.A., a corporation (sociedade anônima) incorporated under the laws of the Federative Republic of Brazil (the “Issuer”), Natura &Co Holding S.A., a corporation (sociedade anônima ) incorporated under the laws of the Federative Republic of Brazil (the “Guarantor”), and THE BANK OF NEW YORK MELLON, a New York banking corporation, as trustee (together with its successors, in such capacity, the “Trustee”), registrar (the “Registrar”), transfer agent (the “Transfer Agent”) and paying agent (the “Paying Agent”).

W I T N E S S E T H:

WHEREAS, the Issuer has duly authorized the creation of the Notes and, to provide therefor, the Issuer and the Guarantor have duly authorized the execution and delivery of this Indenture; and

WHEREAS, all things necessary to make the Notes, when duly issued and executed by the Issuer and authenticated and delivered hereunder, the valid obligations of the Issuer, and to make this Indenture a valid and binding agreement of each of the Issuer and the Guarantor, have been done; and

WHEREAS, the Trustee has accepted the trusts created by this Indenture and in evidence thereof has joined in the execution hereof.  

NOW, THEREFORE, each party hereto agrees as follows for the benefit of the other parties and for the equal and ratable benefit of the Holders:

Article 1
Definitions and Incorporation by Reference

Section 1.01.   Definitions.

“Acquired Indebtedness” means Indebtedness of a Person or any of its Subsidiaries existing at the time such Person becomes a Subsidiary of the Guarantor or at the time it merges or consolidates with or into the Guarantor or any of its Subsidiaries or assumed in connection with the acquisition of assets from such Person and in each case not incurred by such Person in connection with, or in anticipation or contemplation of, such Person becoming a Subsidiary of the Guarantor or such acquisition, merger or consolidation and which Indebtedness is without recourse to the Guarantor or any of its Subsidiaries or to any of their respective properties or assets other than the Person or the assets to which such Indebtedness related prior to the time such Person became a Subsidiary of the Guarantor or the time of such acquisition, merger or consolidation. 

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“Additional Amounts” has the meaning set forth in Section 2.06.

“Additional Notes” means any 4.125% Sustainability-Linked Notes due 2028 issued after the Issue Date (other than pursuant to Section 2.07, Section 2.08, Section 2.11 and Section 3.09 of this Indenture) from time to time in accordance with the terms of this Indenture, including, without limitation, the provisions of Section 2.02. 

“Affiliate” means, with respect to any specified Person, (a) any other Person which, directly or indirectly, is in control of, is controlled by or is under common control with such specified Person or (b) any other person who is a director or executive officer (i) of such specified Person, (ii) of any Subsidiary of such specified Person or (iii) of any Person described in clause (a) above. For purposes of this definition, “control” of a Person means the power, direct or indirect, to direct or cause the direction of the management and policies of such Person whether by contract or otherwise, and the terms “controlling” and “controlled” have meanings correlative to the foregoing.

“Agent” means any Registrar, Transfer Agent or Paying Agent.

“Agent Members” has the meaning set forth in Section 2.15 and means, with respect to DTC, Euroclear or Clearstream, a Person who has an account with DTC, Euroclear or Clearstream, respectively.

“Applicable Procedures” means, with respect to any transfer or exchange or transaction involving a Global Note or any beneficial interests therein, the rules and procedures of DTC, Euroclear and Clearstream that apply to such transfer or exchange or transaction and as in effect from time to time.

“Authenticating Agent” has the meaning set forth in Section 2.02.

 “Bankruptcy Law” means the Bankruptcy Reform Act of 1978 (codified as 11 U.S.C. §§101 et seq), or Brazilian Law No. 11,101/05, as it may be amended from time to time, or any similar federal, state or foreign law relating to bankruptcy, insolvency, receivership, winding-up, liquidation, reorganization, or relief of debtors.

“Baseline Recalculation” means in the event of a material acquisition, merger, divestiture or similar transaction, a recalculation of the Greenhouse Gas Emissions Baseline pursuant to which the Issuer must (i) exclude the tCO2e and tonnes of product billed attributable to any business acquired, directly or indirectly, in a transaction or series of related transactions since the Issue Date by the Issuer, and (ii) exclude the tCO2e and tonnes of product billed attributable to any divestiture in a transaction or series of related transactions completed since the Issue Date, directly or indirectly, by the Issuer.

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“Board of Directors” means, as to any Person, the board of directors (conselho de administração) or similar governing body of such Person or any duly authorized committee thereof.

“Board Resolution” means, with respect to any Person, a copy of a resolution certified by the Secretary or an Assistant Secretary of such Person to have been duly adopted by the Board of Directors of such Person and to be in full force and effect on the date of such certification, and delivered to the Trustee.

“Brazilian Corporate Law” means Law No. 6,404/76, as amended.

“Brazil” means the Federative Republic of Brazil.

“Business Day” means a day that is not a Legal Holiday.

“Capitalized Lease Obligation” means, as to any Person, the obligations of such Person under any lease that is required to be classified and accounted for as capital lease obligations on a balance sheet prepared in accordance with GAAP and, for purposes of this definition, the amount of such obligations at any date shall be the capitalized amount of such obligations at such date, determined in accordance with GAAP.

“Change of Control” means the occurrence of one or more of the following events:

(1)              the direct or indirect sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of the assets of the Guarantor and its Subsidiaries taken as a whole to any Person (including any “person” (as that term is used in Section 13(d)(3) of the Exchange Act)), other than to one or more of the Permitted Holders, and other than pursuant to (i) any such transaction in which immediately after the consummation thereof, no “person” or “group” (as such terms are used for purposes of Sections 13(d) and 14(d) of the Exchange Act) other than one or more Permitted Holders is the “beneficial owner” (as such term is used in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the total voting power of the Voting Stock of the Person to which all or substantially all of the assets of the Guarantor and its Subsidiaries taken as a whole are sold, leased, transferred or conveyed, or (ii) any such sale, lease, transfer or conveyance to one or more Permitted Holders if immediately after such transaction no “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act), other than one or more Permitted Holders, is the “beneficial owner” (as defined in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the voting power of the outstanding Voting Stock of such Permitted Holder; or

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(2)              the consummation of any transaction (including without limitation, any merger or consolidation) the result of which is that any Person (including any “person” or “group” (as such terms are used for purposes of Sections 13(d) and 14(d) of the Exchange Act)), other than one or more Permitted Holders, is or becomes the “beneficial owner” (as such term is used in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the total voting power of the Voting Stock of the Guarantor.

For purposes of clause (2) above, any direct or indirect holding company of the Guarantor shall not itself be considered a “person” or “group”; provided that no “person” or “group” (other than one or more of the Permitted Holders) beneficially owns, directly or indirectly, more than 50% of the total voting power of the Voting Stock of such holding company.

For the avoidance of doubt, a Change of Control shall not occur in the event of a merger or consolidation between Subsidiaries of the Guarantor or a merger of the Guarantor or any Subsidiary with or into the Guarantor or any Subsidiary, as the case may be.

“Clearstream” means Clearstream Banking, société anonyme and its successors.

“Code” means the United States Internal Revenue Code of 1986, as amended.

“Commodity Agreement” means any hedging agreement or other similar agreement or arrangement designed to protect the Guarantor or any of its Subsidiary against fluctuations in commodity prices (excluding contracts for the purchase or sale of goods in the ordinary course of business).

“Common Stock” means, with respect to any Person, any and all shares, interests or other participations in, and other equivalents (however designated and whether voting or non-voting) of such Person’s common shares, whether outstanding on the Issue Date or issued after the Issue Date, and includes, without limitation, all series and classes of such common shares.

“Comparable Treasury Issue” means the United States Treasury security or securities selected by an Independent Investment Banker as having an actual or interpolated maturity comparable to the Par Call Date to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of a comparable maturity to the Par Call Date.

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“Comparable Treasury Price” means, with respect to any Redemption Date, (1) the average of the Reference Treasury Dealer Quotations for such Redemption Date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than four such Reference Treasury Dealer Quotations, the average of all such quotations.

“Consolidated Total Assets” means, at any date of determination, the total amount of the consolidated assets of the Guarantor and its Subsidiaries, as set forth on the most recent consolidated quarterly financial statements of the Guarantor, calculated after giving pro forma effect to any acquisition or disposition of companies, divisions, lines of businesses, operations or assets by the Guarantor and its Subsidiaries subsequent to such date and on or prior to the date of determination.

“Corporate Trust Office” means the office of The Bank of New York Mellon, at which the corporate trust business of the Trustee shall, at any particular time, be principally administered, which office is, at the date of this Indenture, located at 240 Greenwich Street, Floor 7 East, New York, New York 10286, United States of America, Attention: Global Corporate Trust, or such other address as the Trustee may designate from time to time by notice to the Holders and the Issuer, or the principal corporate trust office of any successor Trustee (or such other address as such successor Trustee may designate from time to time by notice to the Holders and the Issuer).

“Covenant Defeasance” has the meaning set forth in Section 8.01.

“Currency Agreement” means any foreign exchange contract, currency swap agreement, currency option or other similar agreement or arrangement designed to protect the Guarantor or any of its Subsidiaries against fluctuations in currency values.

“Custodian” means any receiver, trustee, assignee, liquidator, sequestrator or similar official under any Bankruptcy Law.

“CVM” means the Brazilian Securities and Exchange Commission (Comissão de Valores Mobiliários).

“Default” means an event or condition the occurrence of which is, or with the lapse of time or the giving of notice or both would be, an Event of Default.

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“Definitive Note” means a certificated Note registered in the name of the Holder thereof and issued in accordance with Section 2.01, 2.07, 2.08, 2.11 or 3.09 hereof, substantially in the form of Exhibit A hereto, except that such Note shall not bear the Global Note Legend and shall not have the “Schedule of Increases and Decreases of Interests in the Global Note” attached thereto.

“Depositary” means, with respect to the Notes issuable or issued in whole or in part in global form, the Person specified in Section 2.03 hereof as the Depositary with respect to the Notes, and any and all successors thereto appointed as depositary hereunder and having become such pursuant to the applicable provisions of this Indenture.

“DTC” means The Depository Trust Company, its nominees and successors.

“Euroclear” means Euroclear Bank S.A./N.V., as operator of the Euroclear System, and its successors.

“Event of Default” has the meaning set forth in Section 6.01.

“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended, or any successor statute or statutes thereto.

“External Verifier” means a qualified provider of third-party assurance or attestation services appointed by the Issuer to review the Issuer’s Sustainability Performance Targets.

“FATCA” has the meaning set forth in Section 2.06.

“Fair Market Value” means, with respect to any asset or Property, the price which could be negotiated in an arm’s length, free market transaction, for cash, between a willing seller and a willing and able buyer, neither of whom is under undue pressure or compulsion to complete the transaction. Fair Market Value shall be determined by the Board of Directors of the Guarantor acting in good faith and shall be evidenced by a Board Resolution of the Board of Directors of the Guarantor; provided, however, that with respect to any price less than U.S.$50.0 million only the good faith determination by the Guarantor’s senior management shall be required.

“Fitch” means Fitch Ratings Ltd. and its successors.

“GAAP” means (i) International Financial Reporting Standards, (ii) accounting practices generally accepted in the United States or (iii) accounting practices prescribed by Brazilian Corporate Law, the rules and regulations issued by the CVM and the accounting standards issued by the Brazilian Institute of Independent Accountants (Instituto dos Auditores Independentes do Brasil), in each case as in effect from time to time, in the Guarantor’s discretion.

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“Global Note Legend” means the legend set forth in Exhibit B, which shall be placed on all Global Notes issued under this Indenture.

“Global Notes” means, individually and collectively, each of the Restricted Global Notes and the Unrestricted Global Notes deposited with or on behalf of and registered in the name of the Depositary or its nominee, substantially in the form of Exhibit A hereto and that bears the Global Note Legend, issued in accordance with Section 2.01, 2.07, 2.08, 2.11 or 3.09 hereof.

“Greenhouse Gas Emissions Baseline” means the Greenhouse Gas Emissions Intensity for the year ended December 31, 2019 published in the Sustainability-Linked Bond Report, or 3.18 tCO2e/tonnes of product billed, as it may be recalculated from time to time pursuant to a Baseline Recalculation reported in the Issuer’s Sustainability-Linked Bond Report, published on the Issuer’s website and accompanied by a verification statement from the External Verifier as required under the Sustainability-Linked Bond Framework.

“Greenhouse Gas Emissions Intensity” means tCO2e divided by tonnes of product billed.

“Greenhouse Gas Emissions Intensity Target” means the greater of: (i) the sustainability performance target to reduce Greenhouse Gas Emissions Intensity by 13% calculated for the year ended December 31, 2026 as measured against the Greenhouse Gas Emissions Baseline; or (ii) the SBTI-approved Target; provided that the Issuer may from time to time in its sole and absolute discretion revise the Greenhouse Gas Emissions Intensity Target, without the consent of the holders, to reflect a similar or more ambitious level of targets.

“Guarantee” has the meaning set forth in Section 11.01.

“guarantee” means any obligation, contingent or otherwise, of any person guaranteeing any Indebtedness or other obligation of any person and any obligation, direct or indirect, contingent or otherwise, of such person (a) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation of such person (whether arising by virtue of partnership arrangements, or by agreement to keep-well, to purchase assets, goods, securities or services, to take-or-pay, or to maintain financial statement conditions or otherwise) or (b) entered into for purposes of assuring in any other manner the obligee of such Indebtedness or other obligation of the payment thereof or to protect such obligee against loss in respect thereof (in whole or in part); provided however, that the term guarantee will not include endorsements for collection or deposit in the ordinary course of business. The term guarantee used as a verb has a corresponding meaning.

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“Guarantor” means Natura &Co Holding S.A., a corporation (sociedade anônima) organized and existing under the laws of the Federative Republic of Brazil.

“Holder” means the Person in whose name a Note is registered on the Register maintained by the Registrar.

“incur” means to directly or indirectly, create, incur, assume, guarantee, acquire, become liable, contingently or otherwise, with respect to, or otherwise become responsible for payment of any Indebtedness.

“Indebtedness” means with respect to any Person, without duplication:

(1)              all Obligations of such Person for borrowed money;

(2)              all Obligations of such Person evidenced by bonds, debentures, notes or other similar instruments;

(3)              all Capitalized Lease Obligations of such Person;

(4)              all Obligations of such Person issued or assumed as the deferred purchase price of Property, all conditional sale obligations and all obligations under any title retention agreement (but excluding trade accounts payable and other accrued liabilities arising in the ordinary course of business);

(5)              all Obligations for the reimbursement of any obligor on any letter of credit, banker’s acceptance or similar credit transaction, excluding obligations in respect of letters of credit or bankers’ acceptances issued in respect of trade accounts payables to the extent not drawn upon or presented, or, if drawn upon or presented, to the extent the resulting obligation of the Person is paid within 10 Business Days;

(6)              guarantees and other contingent obligations in respect of Indebtedness referred to in clauses (1) through (5) above and clause (8) below to the extent so guaranteed;

(7)              all Obligations of any other Person of the type referred to in clauses (1) through (6) above that are secured by any Lien on any Property or asset of such Person; and

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(8)              to the extent not otherwise included in this definition, net obligations of all Interest Swap Obligations and all Obligations under Currency Agreements and Commodity Agreements .

The amount of Indebtedness of any Person will be deemed to be:

(A)             with respect to contingent obligations, the maximum liability upon the occurrence of the contingency giving rise to the Obligation;

(B)             with respect to Indebtedness secured by a Lien on the Property or asset of such Person but not otherwise the obligation, contingent or otherwise, of such Person, the lesser of (x) the Fair Market Value of such Property or asset on the date the Lien attached and (y) the amount of such Indebtedness;

(C)             with respect to any Indebtedness issued with original issue discount, the face amount of such Indebtedness less the remaining unamortized portion of the original issue discount of such Indebtedness;

(D)             with respect to any Interest Swap Obligations or Obligations under Currency Agreements and Commodity Agreements, the net amount payable if such agreement or arrangement giving rise to such obligation terminated at that time due to default by such Person; and

(E)             otherwise, the outstanding principal amount thereof.

The principal amount of any Indebtedness or other obligation that is denominated in any currency other than U.S. dollars (after giving effect to any Interest Swap Obligations or Obligations under Currency Agreements and Commodity Agreements in respect thereof) shall be the amount thereof, as determined pursuant to the foregoing sentence, converted into U.S. dollars at the spot rate in effect on the date of determination.

Notwithstanding anything to the contrary, “Indebtedness” shall not be deemed to include any obligations that do not appear on the face of the balance sheet of the Guarantor.

“Indemnified Party” has the meaning set forth in Section 7.06.

“Indenture” means this Indenture, as amended or supplemented from time to time in accordance with the terms hereof.

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“Indenture Documents” means, collectively, this Indenture, the Notes and the Guarantee.

“Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the Issuer or the Guarantor.

“Initial Lien” has the meaning set forth in Section 4.08.

“Interest Payment Date” means the stated maturity of an installment of interest on the Notes (being each May 3 and November 3 of each year, beginning on November 3, 2021).

“Interest Swap Obligations” means the obligations of any Person pursuant to any arrangement with any other Person, whereby, directly or indirectly, such Person is entitled to receive from time to time periodic payments calculated by applying either a floating or a fixed rate of interest on a stated notional amount in exchange for periodic payments made by such other Person calculated by applying a fixed or a floating rate of interest on the same notional amount and shall include, without limitation, interest rate swaps, caps, floors, collars and similar agreements.

“Investment Grade” means BBB- or higher by Standard & Poor’s, Baa3 or higher by Moody’s or BBB- or higher by Fitch, or the equivalent of such global ratings by Standard & Poor’s, Moody’s or Fitch.

“Issuer” has the meaning specified in the preamble hereto.

“Issue Date” means May 3, 2021.

“Issuer Substitution Documents” has the meaning set forth in Section 10.01.

“Legal Defeasance” has the meaning set forth in Section 8.01.

“Legal Holiday” means a Saturday, a Sunday or a day on which commercial banks and foreign exchange markets are authorized or required by law to close in New York, New York or São Paulo, Brazil. If a payment date is a Legal Holiday at the place of payment, payment may be made at such place on the next succeeding day that is not a Legal Holiday, and no interest will accrue for the intervening period.

“Lien” means any lien, mortgage, deed of trust, pledge, security interest, charge or encumbrance of any kind (including any conditional sale, repurchase or other title retention agreement and any agreement to give any security interest).

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“Maturity Date” means, when used with respect to any Note, the date on which the principal of such Note becomes due and payable as therein or herein provided, whether at its Stated Maturity Date or by declaration of acceleration, call for redemption or otherwise.

“Moody’s” means Moody’s Investors Service, Inc., or any successor thereto.

“Non-Resident Holder” means any Holder that is an individual, entity, trust or organization that is not resident or domiciled in Brazil for purposes of Brazilian taxation.

“Non-U.S. Person” means a Person who is not a U.S. person (as defined in Regulation S).

“Notes” means, collectively, the 4.125% Sustainability-Linked Notes due 2028 issued under this Indenture on the Issue Date and any Additional Notes. The initial Notes and any Additional Notes shall be treated as a single class for all purposes under this Indenture, and unless the context otherwise requires, all references to the Notes shall include the initial Notes and any Additional Notes.

“Obligation” means all payment obligations, whether or not contingent, for principal, premium, interest, additional amounts, penalties, fees, indemnifications, reimbursements, damages and other liabilities payable under the documentation governing any Indebtedness.

“Offer to Purchase” has the meaning assigned to such term in Section 3.10.

“Offering Memorandum” means the final offering memorandum dated April 26, 2021 prepared by the Guarantor and the Company in connection with the Notes.

“Officer” means the Chief Executive Officer, the President, the Chief Financial Officer, any other officer or authorized representative of the Issuer or the Guarantor, as the case may be, duly appointed at a meeting of its Board of Directors or relevant governing body, or empowered or authorized by a power of attorney granted by the Issuer or the Guarantor, as the case may be.

“Officers’ Certificate” means a certificate signed in the name of the Issuer or the Guarantor, as the case may be, by two Officers of the Issuer or the Guarantor, as the case may be, at least one of whom shall be, in the case of the Guarantor, the principal financial officer of the Guarantor, and delivered to the Trustee.

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“Opinion of Counsel” means a written opinion of counsel, who may be an employee of or counsel to the Issuer or the Guarantor, reasonably acceptable to the Trustee, complying with the requirements of Section 12.03 and Section 12.04, as they relate to the giving of an Opinion of Counsel.

“Par Call Date” means March 3, 2028.

“Paying Agent” has the meaning specified in the preamble hereto.

“Permitted Holders” means (i) Antonio Luiz da Cunha Seabra, Lucia Helena Rios Seabra, RM Futura Multimercado Fundo de Investimento, Kairós Fundo de Investimento em Ações – Investimento no Exterior, Guilherme Peirão Leal, Felipe Pedroso Leal, Ricardo Pedroso Leal, Vinicius Pinotti, Fabricius Pinotti, Norma Regina Pinotti, Maria Heli Dalla Colletta de Mattos, Gustavo Dalla Colletta de Mattos, Fábio Dalla Colletta de Mattos, Sirius III Multimercado Fundo de Investimento Crédito Privado Investimento no Exterior, Pedro Luiz Barreiros Passos, Passos Participações S.A., Fundo de Investimento de Ações Veredas – Investimento no Exterior and/or any immediate family members and any Person, directly or indirectly, controlled by any of them; and (ii) any Person, directly or indirectly, controlled by a Permitted Holder.

“Permitted Liens” means the following types of Liens:

(1)              Liens for taxes, assessments or governmental charges or claims either (a) not delinquent or (b) contested in good faith by appropriate proceedings and as to which the Issuer, the Guarantor or any of their Subsidiaries shall have set aside on its books such reserves as may be required pursuant to GAAP;

(2)              statutory Liens of landlords and Liens of carriers, warehousemen, mechanics, suppliers, materialmen, repairmen and other Liens imposed by law or pursuant to customary reservations or retentions of title incurred in the ordinary course of business for sums not yet delinquent or being contested in good faith, if such reserve or other appropriate provision, if any, as shall be required by GAAP shall have been made in respect thereof;

(3)              Liens incurred or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security, including any Lien securing letters of credit issued in the ordinary course of business consistent with past practice in connection therewith, or to secure the performance of tenders, statutory obligations, surety and appeal bonds, bids, leases, government contracts, performance and return-of-money bonds and other similar obligations (exclusive of obligations for the payment of borrowed money);

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(4)              any judgment Lien not giving rise to an Event of Default;

(5)              easements, rights-of-way, defects, zoning restrictions and other similar charges or encumbrances in respect of real Property not interfering in any material respect with the ordinary course of the business of the Guarantor or any of its Subsidiaries;

(6)              any interest or title of a lessor under any Capitalized Lease Obligation; provided that such Liens do not extend to any Property or assets which is not leased Property subject to such Capitalized Lease Obligation;

(7)              Liens securing Purchase Money Indebtedness; provided, however, that (a) the Indebtedness shall not exceed (but may be less than) the cost (i.e., purchase price) of the Property or assets acquired, together, in the case of real Property, with the cost of the construction thereof and improvements thereto, and shall not be secured by a Lien on any Property or assets of the Guarantor or any Subsidiary of the Guarantor other than such Property or assets so acquired or constructed and improvements thereto and (b) the Lien securing such Indebtedness shall be created within 180 days of such acquisition or construction or, in the case of a Refinancing of any Purchase Money Indebtedness, within 180 days of such Refinancing; and provided, further, that, to the extent that the property or asset acquired is Share Capital, the Lien also may encumber other property or assets of the Person so acquired;

(8)              Liens upon specific items of inventory or other goods and proceeds of any Person securing such Person’s obligations in respect of bankers’ acceptances issued or created for the account of such Person to facilitate the purchase, shipment or storage of such inventory or other goods;

(9)              Liens securing reimbursement obligations with respect to commercial letters of credit which encumber documents and other Property relating to such letters of credit and products and proceeds thereof;

(10)            Liens encumbering deposits made to secure obligations arising from statutory, regulatory, contractual, or warranty requirements of the Guarantor or any of its Subsidiaries, including rights of offset and set-off;

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(11)            Liens securing Interest Swap Obligations which Interest Swap Obligations relate to Indebtedness that is otherwise permitted under this Indenture;

(12)            Liens securing Indebtedness under Currency Agreements and Commodity Agreements that are permitted under this Indenture;

(13)            Liens securing Acquired Indebtedness; provided that:

(a)              such Liens secured such Acquired Indebtedness at the time of and prior to the incurrence of such Acquired Indebtedness by the Guarantor or any of its Subsidiaries and were not granted in connection with, or in anticipation of, the incurrence of such Acquired Indebtedness by the Guarantor or any of its Subsidiaries; and

(b)              such Liens do not extend to or cover any Property or assets of the Guarantor or of any of its Subsidiaries other than the Property or assets that secured the Acquired Indebtedness prior to the time such Indebtedness became Acquired Indebtedness of the Guarantor or any of its Subsidiaries and are no more favorable to the lienholders than those securing the Acquired Indebtedness prior to the incurrence of such Acquired Indebtedness by the Guarantor or any of its Subsidiaries;

(14)            Liens existing as of the Issue Date, and any extension, renewal or replacement thereof; provided, however, that the total amount of Indebtedness so secured, if applicable, is not increased;

(15)            Liens securing the Notes and all other monetary obligations under this Indenture and the Guarantee;

(16)            Liens securing Indebtedness which is incurred to Refinance any Indebtedness which has been secured by a Lien permitted under Section 4.08; provided, however, that such Liens: (i) are no less favorable to the Holders of the Notes and are not more favorable to the lienholders with respect to such Liens than the Liens in respect of the Indebtedness being Refinanced; and (ii) do not extend to or cover any Property or assets of the Guarantor or any of its Subsidiaries not securing the Indebtedness so Refinanced;

(17)            Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation of goods;

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(18)            any rights of set-off of any person with respect to any deposit account of the Guarantor or any Subsidiary arising in the ordinary course of business and not constituting a financing transaction;

(19)            any Liens granted by the Guarantor or any Subsidiary to secure borrowings from, directly or indirectly, (a) Banco Nacional de Desenvolvimento Econômico e Social — BNDES or any other Brazilian governmental development bank or credit agency, or (b) any international or multilateral development bank, government-sponsored agency, export-import bank or official export-import credit insurer;

(20)            any Liens on inventory or receivables of the Guarantor or any Subsidiary securing the obligations of such Person under any lines of credit or working capital facility, receivables facility, securitization, factoring, discounting or similar financing transaction, or in connection with any structured export or import financing or other trade transaction; provided that the aggregate amount of inventory or receivables, as the case may be, securing Indebtedness shall not exceed 80.0% of the Guarantor’s aggregate inventory or outstanding receivables, as the case may be, from time to time;

(21)            Liens on carbon credits or certificates of emission reductions or Liens securing clean development mechanisms projects; and

(22)            Liens incurred by the Guarantor or any of its Subsidiaries with respect to obligations that do not exceed, at the time of incurrence, 15.0% of the Consolidated Total Assets of the Guarantor at any one time outstanding. 

“Person” means an individual, partnership, corporation, limited liability company, unincorporated organization, trust or joint venture, or a governmental agency or political subdivision thereof, or any other legal entity.

“Post-Consumer Recycled Packaging Usage” means the proportion of absolute post-consumer recycled plastic used in finished product plastic packaging in relation to total absolute amount of plastic packaging materials, across the product portfolio of the Issuer.

“Post-Consumer Recycled Packaging Usage Target” means Post-Consumer Recycled Packaging Usage (measured as a percentage (%)) target set forth in the Sustainability-Linked Bond Framework, which results in a Post-Consumer Recycled Packaging Usage (%) of at least equal to 25% for the year ended December 31, 2026; provided that the Issuer may from time to time in its sole and absolute discretion revise the Post-Consumer Recycled Packaging Usage Target, without the consent of the holders, to reflect a similar or more ambitious level of targets.

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“Preferred Stock” means, with respect to any Person, any Share Capital of such Person that has preferential rights to any other Share Capital of such Person with respect to dividends or redemptions or upon liquidation.

“Private Placement Legend” means the legend set forth in Exhibit C.

“Property” means, with respect to any Person, any interest of such Person in any kind of property or asset, whether real, personal or mixed, or tangible or intangible, including Share Capital in, and other securities of, any other Person. For purposes of any calculation required pursuant to this Indenture, the value of any property shall be its Fair Market Value.

“Purchase Money Indebtedness” means Indebtedness of the Guarantor and its Subsidiaries incurred for the purpose of financing all or any part of the purchase price, or the cost of installation, construction or improvement, of Property or equipment; provided that the aggregate principal amount of such Indebtedness does not exceed the lesser of the Fair Market Value of such Property or such purchase price or cost.

“QIB” means a “qualified institutional buyer” (as defined in Rule 144A).

“Rating Agency” means each of (1) Standard & Poor’s, (2) Moody’s and (3) Fitch, or their respective successors, or if S&P, Fitch or Moody’s are not making ratings of the Notes publicly available, an internationally recognized U.S. rating agency or agencies, as the case may be, selected by the Issuer, which will be substituted for S&P, Fitch or Moody’s, as the case may be. 

“Rating Decline” means that at any time within 90 days (which period shall be extended so long as the rating of the Notes is under publicly announced consideration for possible downgrade by either Rating Agency) after the date of public notice of a Change of Control, (i) in the event the Notes are assigned an Investment Grade rating by at least two of the Rating Agencies prior to such public notice, the rating of the Notes by at least two of the Rating Agencies shall be below an Investment Grade rating; or (ii) in the event the Notes are rated below an Investment Grade rating by at least two of the Rating Agencies prior to such public notice, the rating of the Notes by at least two of the Rating Agencies shall be decreased by one or more categories; provided that any such Rating Decline is in whole or in part in connection with a Change of Control.

“Record Date” means any of the Record Dates specified in the Notes, whether or not a Business Day.

“Redemption Date” means, when used with respect to any Note to be redeemed, the date fixed for redemption pursuant to this Indenture and the Notes.

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“Redemption Price” means, when used with respect to any Note to be redeemed, the price fixed for redemption pursuant to this Indenture and the Notes.

“Reference Treasury Dealer” means BofA Securities, Inc. and HSBC Securities (USA) Inc., or their respective affiliates which are primary United States government securities dealers, and two other leading primary United States government securities dealers in New York City reasonably designated by the Issuer; provided, however, that if any of the foregoing shall cease to be a primary United States government securities dealer in New York City (a “Primary Treasury Dealer”), the Issuer will substitute therefor another Primary Treasury Dealer.

“Reference Treasury Dealer Quotation” means, with respect to each Reference Treasury Dealer and any Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Independent Investment Banker by such Reference Treasury Dealer at 3:30 p.m. New York time on the third Business Day preceding such Redemption Date.

“Refinance” means, in respect of any security or Indebtedness, to refinance, extend, renew, refund, repay, prepay, redeem, defease or retire, or to issue a security or Indebtedness in exchange or replacement for, such security or Indebtedness in whole or in part.  “Refinanced” and “Refinancing” shall have correlative meanings.

“Registrar” has the meaning set forth in the preamble hereto.

“Register” is defined in Section 2.03.

“Regulation S” means Regulation S under the Securities Act.

“Regulation S Global Note” means a Global Note substantially in the form of Exhibit A hereto, bearing the Global Note Legend and the Private Placement Legend and deposited with or on behalf of and registered in the name of the Depositary or its nominee, that will be initially issued in a principal amount equal to the principal amount of the Notes initially sold in reliance on Regulation S in accordance with Section 2.01 hereof.

“Restricted Definitive Note” means a Definitive Note bearing the Private Placement Legend.

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“Restricted Global Note” means a Global Note bearing the Private Placement Legend.

“Restricted Period” means the period of one year (in the case of Notes initially sold in reliance on Rule 144A) or 40 days (in the case of Notes initially sold in reliance on Regulation S) after the later of (1) the Issue Date, and (2) the last date on which the Issuer or any of its Affiliates was the owner of such Notes or any predecessor of such Notes.

“Rule 144A” means Rule 144A promulgated under the Securities Act.

“Rule 144A Global Note” means a Global Note substantially in the form of Exhibit A hereto bearing the Global Note Legend and the Private Placement Legend and deposited with or on behalf of, and registered in the name of, the Depositary or its nominee that will be initially issued in a principal amount equal to the principal amount of the Notes initially sold in reliance on Rule 144A in accordance with Section 2.01 hereof.

“Rule 903” means Rule 903 promulgated under the Securities Act.

“Rule 904” means Rule 904 promulgated under the Securities Act.

“SBTI-approved Target” means the sustainability performance target percentage amount, which will be published in the Sustainability-Linked Bond Report for the year ended December 31, 2022, to reduce Greenhouse Gas Emissions Intensity as measured against the Greenhouse Gas Emissions Baseline calculated for the year ended December 31, 2026 that is determined by the Issuer, at its sole discretion, to be aligned with Natura &Co’s science-based greenhouse gas emissions targets that are approved by Science Based Targets Initiative and published on the website of Science Based Targets Initiative at https://sciencebasedtargets.org.

“SEC” means the U.S. Securities and Exchange Commission.

“Securities Act” means the U.S. Securities Act of 1933, as amended, and the rules and regulations of the SEC promulgated thereunder.

“Share Capital” means:

(1)              with respect to any Person that is a corporation, any and all shares, interests, participations or other equivalents (however designated and whether or not voting) of corporate stock, including each class of Common Stock and Preferred Stock of such Person;

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(2)              with respect to any Person that is not a corporation, any and all partnership, membership or other equity interests of such Person; and

(3)              any warrants, rights or options to purchase any of the instruments or interests referred to in clause (1) or (2) above.

“Significant Subsidiary” of any Person means any Subsidiary, including its subsidiaries, that would be a “significant subsidiary” of such Person within the meaning of Rule 1-02 under Regulation S-X promulgated pursuant to the Securities Act.

“Standard & Poor’s” or “S&P” means Standard & Poor’s Rating Service or any successor thereto.

“Stated Maturity Date” means May 3, 2028.

“Subsidiary” means, with respect to any Person:

(1)              any corporation of which the outstanding Share Capital having at least a majority of the votes entitled to be cast in the election of directors under ordinary circumstances shall at the time be owned, directly or indirectly, by such Person; or

(2)              any other Person of which at least a majority of the voting interest under ordinary circumstances is at the time, directly or indirectly, owned by such Person.

“Substituted Issuer” has the meaning set forth in Section 10.01.

“Surviving Entity” has the meaning set forth in Section 5.01.

“Sustainability Performance Targets” means: (1) the Greenhouse Gas Emissions Intensity Target and (2) the Post-Consumer Recycled Packaging Usage Target; provided that, for the purposes of calculating the Greenhouse Gas Emissions Intensity Target the Issuer may exclude the tCO2e in the numerator and tonnes of products billed in the denominator attributable to any business acquired or divested in a transaction or series of related acquisitions or divestitures completed since the Issue Date, directly or indirectly, by the Issuer, (y) for the purposes of calculating the Post-Consumer Intensity Target the Issuer may exclude from the numerator and the denominator the Post-Consumer Recycled Packaging Usage attributable to any business acquired or divested in a transaction or series of related acquisitions or divestitures completed since the Issue Date, directly or indirectly, by the Issuer.

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“Sustainability-Linked Bond Framework” means the Sustainability-Linked Bond Framework adopted by the Issuer in April 2021.

“Sustainability-Linked Bond Report” means the report the Issuer has committed to publish on its website each calendar year-end at least until the Issuer has reported on the performance of the Sustainability Performance Targets on the applicable date. 

“Taxes” has the meaning set forth in Section 2.06.

“Taxing Jurisdiction” has the meaning set forth in Section 2.06.

“tCO2e” means the sum of Scope 1 emissions (from direct operations), Scope 2 emissions (from acquisition of energy) and Scope 3 emissions (from all other upstream and downstream activities, excluding use phase), during a given period, measured in metric tonnes of carbon dioxide equivalent, according to GHG Protocol standards and the principles of Brazil’s ABNT NBR ISO 14064-1 standard.

“tonnes of product billed” means the sum in tonnes of products sold by the Issuer on a consolidated basis, excluding packaging.

“Transfer Agent” has the meaning specified in the preamble hereto.

“Treasury Rate” means, with respect to any Redemption Date, the rate per annum equal to the semiannual equivalent yield to maturity or interpolated maturity (on a day count basis) of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date.

“Trustee” means the party named as such in the preamble to this Indenture until a successor replaces it in accordance with the applicable provisions of this Indenture and thereafter means the successor serving hereunder.

“Trust Indenture Act” means the U.S. Trust Indenture Act of 1939, as amended, and the rules and regulations of the SEC promulgated thereunder.

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

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“United States” or “U.S.” means the United States of America, its fifty states and the District of Columbia.

“Unrestricted Global Note” means a Global Note that does not bear and is not required to bear the Private Placement Legend.

“Unrestricted Definitive Note” means a Definitive Note that does not bear and is not required to bear the Private Placement Legend.

“U.S. dollar” or “U.S.$” means the U.S. dollar, being the lawful currency of the United States of America.

“U.S. Dollar Equivalent” means, with respect to any monetary amount in a currency other than U.S. dollars, at any time of determination thereof, the amount of U.S. dollars obtained by translating such other currency involved in such computation into U.S. dollars at the spot rate for the purchase of U.S. dollars with the applicable other currency as published in U.S. dollars on the date that is two Business Days prior to the date of such determination. Notwithstanding any other provision of this Indenture, no specified amount of U.S. dollars shall be deemed to be exceeded due solely to the result of fluctuations in the exchange rates of currencies.

“Voting Stock” means Share Capital in a Person having power to vote for the election of directors or similar officials of such Person or otherwise voting with respect to actions of such Person.

Section 1.02 Incorporation by Reference of Trust Indenture Act

.  Whenever this Indenture refers to a provision of the Trust Indenture Act, such provision is incorporated by reference in, and made a part of, this Indenture. The following Trust Indenture Act terms used in this Indenture have the following meanings:

“indenture securities” means the Notes.

“indenture security holder” means a Holder.

“indenture to be qualified” means this Indenture.

“indenture trustee” or “institutional trustee” means the Trustee.

“obligor” on the Notes means the Issuer or any other obligor on the Notes.

All other Trust Indenture Act terms used in this Indenture that are defined by the Trust Indenture Act, defined by a Trust Indenture Act reference to another statute or defined by an SEC rule and not otherwise defined herein have the meanings assigned to them therein. 

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Section 1.03 Rules of Construction Unless the context otherwise requires:

(1)              a term has the meaning assigned to it;

(2)              an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP;

(3)              “or” is not exclusive;

(4)              words in the singular include the plural, and words in the plural include the singular;

(5)              “herein,” “hereof” and other words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision;

(6)              when the words “includes” or “including” are used herein, they shall be deemed to be followed by the words “without limitation”;

(7)              all references to Sections or Articles refer to Sections or Articles of this Indenture unless otherwise indicated; 

(8)              unless otherwise specified, in the computation of periods of time from a specified date to a later specified date, the word “from” shall mean “from and including,” the words “to” and “until” each shall mean “to but excluding,” and the word “through” shall mean “to and including”;

(9)              the words “may” and “might” and similar terms used with respect to the taking of an action by any Person shall reflect that such action is optional and not required to be taken by such Person;

(10)            unless otherwise expressly provided herein: (i) references to agreements (including this Indenture) and other documents shall be deemed to include all subsequent amendments and other modifications thereto, but only to the extent that such amendments and other modifications are not prohibited by this Indenture, the Notes or any other Indenture Document and (ii) references to any applicable law are to be construed as including all statutory and regulatory provisions or rules consolidating, amending, replacing, supplementing, interpreting or implementing such applicable law; and

(11)            unless otherwise defined or the context otherwise requires, terms for which meanings are provided in this Indenture shall have such meanings when used in each other Indenture Document.

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Article 2
The Notes

Section 2.01.   Form and Dating.  (a)  General.  The initial Notes and any Additional Notes and the Trustee’s certificate of authentication thereon shall be substantially in the form of Exhibit A hereto. The Notes may have notations, legends or endorsements required by law, stock exchange rule or DTC rule or usage. The Issuer shall approve the form of the Notes and any notation, legend or endorsement on them. Each Note shall be dated the date of its authentication.

The terms and provisions contained in the forms of the Notes annexed hereto as Exhibit A, shall constitute, and are hereby expressly made, a part of this Indenture and, to the extent applicable, the Issuer, the Guarantor and the Trustee, by their execution and delivery of this Indenture, expressly agree to such terms and provisions and to be bound thereby. However, to the extent any provision of a Note conflicts with the express provisions of the Indenture, the provisions of the Indenture shall govern and be controlling.

(b)            Global Notes. Notes issued in global form will be substantially in the form of Exhibit A attached hereto and shall bear the Global Note Legend thereon and the “Schedule of Increases and Decreases of Interests in the Global Note” attached thereto. Global Notes offered and sold in reliance on Rule 144A or Regulation S shall be issued substantially in the form of Exhibit A attached hereto and deposited with the Trustee as custodian for DTC, duly executed by the Issuer and authenticated by the Trustee as hereinafter provided and shall bear the Global Note Legend and the Private Placement Legend. Notes issued in definitive form will be substantially in the form of Exhibit A attached hereto (but without the Global Note Legend thereon and without the “Schedule of Increases and Decreases of Interests in the Global Note” attached thereto). Each Global Note will represent such of the outstanding Notes as will be specified therein and each shall provide that it represents the aggregate principal amount of outstanding Notes from time to time endorsed thereon and that the aggregate principal amount of outstanding Notes represented thereby may from time to time be reduced or increased, as appropriate, to reflect exchanges and redemptions. Any endorsement of a Global Note to reflect the amount of any increase or decrease in the aggregate principal amount of outstanding Notes represented thereby will be made by the Trustee or the custodian, at the direction of the Trustee, in accordance with instructions given by the Holder thereof as required by Section 2.07 hereof.

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(c)            Euroclear and Clearstream Procedures Applicable.  The provisions of the “Operating Procedures of the Euroclear System” and “Terms and Conditions Governing Use of Euroclear” and the “General Terms and Conditions of Clearstream Banking” and “Customer Handbook” of Clearstream will be applicable to transfers of beneficial interests in the Restricted Global Note and the Regulation S Global Note that are held through Euroclear or Clearstream as indirect participants in DTC.

The aggregate principal amount of any Global Note may from time to time be increased or decreased by adjustments made on the records of the Trustee as custodian for DTC or its nominee, as hereinafter provided.

The Definitive Notes shall be typed, printed, lithographed or engraved or produced by any combination of these methods or may be produced in any other manner permitted by the rules of any securities exchange on which the Notes may be listed, all as determined by the Officer executing such Notes, as evidenced by their execution of such Notes.

Section 2.02.  Execution and Authentication; Aggregate Principal Amount.

  Two Officers (who shall have been duly authorized by all requisite corporate actions) shall sign the Notes for the Issuer by manual or electronic signature.

If an Officer whose signature is on a Note was an Officer at the time of such execution but no longer holds that office or position at the time the Trustee authenticates the Note, the Note shall nevertheless be valid.

A Note shall not be valid until an authorized officer of the Trustee manually or electronically signs the certificate of authentication on the Note. The signature shall be conclusive evidence that the Note has been authenticated under this Indenture.

The Trustee shall authenticate (i) the Notes for original issue on the Issue Date in the aggregate principal amount not to exceed U.S.$1,000,000,000 and (ii) one or more series of Additional Notes in an unlimited amount in each case upon written orders of the Issuer in the form of an Officers’ Certificate. In addition, each Officers’ Certificate shall specify the amount of Notes to be authenticated and the date on which the Notes are to be authenticated, and whether the Notes are to be initial Notes or Additional Notes. All Notes issued under this Indenture shall vote and consent together on all matters as one class, and no series of Notes shall have the right to vote or consent as a separate class on any matter. The Trustee shall have the right to decline to authenticate and deliver any Additional Notes under this Section 2.02 if the Trustee reasonably determines that such action may not lawfully be taken by the Issuer or if the Trustee in good faith by a trust committee of Trust Officers shall determine that such action would expose the Trustee to personal liability to existing Holders.

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The Trustee may appoint an authenticating agent (the “Authenticating Agent”) reasonably acceptable to the Issuer to authenticate Notes. Unless otherwise provided in the appointment, an Authenticating Agent may authenticate Notes whenever the Trustee may do so. Each reference in this Indenture to authentication by the Trustee includes authentication by such Authenticating Agent. An Authenticating Agent has the same rights as an Agent to deal with the Issuer and Affiliates of the Issuer.

The Notes shall be issuable in fully registered form only, without coupons, in minimum denominations of U.S.$200,000 in principal amount and integral multiples of U.S.$1,000 in excess thereof. If such form or terms have been so established, the Trustee shall not be required to authenticate such Notes if the issue of such Notes pursuant to this Indenture will affect the Trustee’s own rights, duties or immunities under the Notes and this Indenture or otherwise in a manner which is not reasonably acceptable to the Trustee.

The Issuer may from time to time, without notice to or consent of the Holders of the Notes, create and issue an unlimited principal amount of Additional Notes of the same series as the Notes originally issued on the Issue Date, provided that if the Additional Notes are not fungible with such Notes for United States federal income tax purposes, the Additional Notes will have a different CUSIP number or numbers and will be represented by a different Global Note or Notes.

Section 2.03.   Agents. The Issuer shall at all times maintain an office or agency in The City of New York, which shall initially be the office of the Trustee in the Borough of Manhattan, The City of New York, where (a) the Notes may be presented or surrendered for registration of transfer or for exchange and (b) the Notes may be presented or surrendered for payment. The Registrar shall keep a register of the Notes and of their transfer and exchange (the “Register”). Such offices or agencies shall be initially at the Corporate Trust Office. Written notice of any change of location thereof shall be given by the Trustee to the Issuer and the Holders. In the event that no such notice of location or of change of location shall be given, presentations and demands may be made and notices (other than the type contemplated by Section 12.13) may be served at the Corporate Trust Office. The Issuer, upon prior written notice to the Trustee, may have one or more additional Transfer Agents and one or more additional Paying Agents reasonably acceptable to the Trustee. The term “Paying Agent” includes any additional Paying Agent. The Issuer or any Affiliate of the Issuer may act as Paying Agent.

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The Issuer shall enter into an appropriate agency agreement with any Agent not a party to this Indenture, which agreement shall incorporate the provisions of the Trust Indenture Act and implement the provisions of this Indenture that relate to such Agent. The Issuer shall notify the Trustee in writing, in advance, of the name and address of any such Agent and otherwise be reasonably satisfactory to the Trustee. If the Issuer fails to maintain a Transfer Agent or Paying Agent, or fails to give the foregoing notice, the Trustee shall act as such.

The Issuer hereby initially appoints The Bank of New York Mellon at its Corporate Trust Office, as the Trustee hereunder, and The Bank of New York Mellon hereby accepts such appointment. The Trustee will have the powers and authority granted to and conferred upon it in the Notes and hereby and such further powers and authority to act on behalf of the Issuer as may be mutually agreed upon by the Issuer and the Trustee, and the Trustee will keep a copy of this Indenture available for inspection during normal business hours at its Corporate Trust Office.

The Issuer initially appoints the Trustee to act as the Registrar, Transfer Agent and Paying Agent. Any Agent may resign upon thirty (30) days’ written notice to the Issuer.

The Issuer initially appoints DTC to act as Depositary with respect to the Global Notes.

Section 2.04.  Paying Agents. The Issuer shall require each Paying Agent other than the Trustee to agree in writing that such Paying Agent shall hold, for the benefit of the Holders or the Trustee, all assets held by the Paying Agent for the payment of principal of, or interest on, the Notes (whether such assets have been distributed to it by the Issuer or any other obligor on the Notes), and the Issuer and the Paying Agent shall notify the Trustee in writing of any Default by the Issuer (or any other obligor on the Notes) in making any such payment. The Issuer at any time may require a Paying Agent to distribute all assets held by it to the Trustee and account for any assets disbursed and the Trustee may at any time during the continuance of any payment Default, upon written request to a Paying Agent, require such Paying Agent to distribute all assets held by it to the Trustee and to account for any assets distributed. Upon receipt by the Trustee of all assets that shall have been delivered by the Issuer to the Paying Agent, the Paying Agent shall have no further liability for such assets.

Section 2.05.  Holder Lists. The Trustee shall preserve in as current a form as is reasonably practicable the most recent list available to it of the names and addresses of the Holders. If the Trustee is not the Registrar, the Issuer shall furnish or cause the Registrar to furnish to the Trustee before each Record Date and at such other times as the Trustee may request in writing a list as of such date and in such form as the Trustee may reasonably request of the names and addresses of the Holders, which list may be conclusively relied upon by the Trustee.

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Section 2.06.  Additional Amounts. All payments made by the Issuer or the Guarantor under, or with respect to, the Notes or the Guarantee, as the case may be, will be made free and clear of, and without withholding or deduction for or on account of, any present or future tax, duty, levy, impost, assessment or other governmental charge (including penalties, interest and other liabilities related thereto) (collectively, “Taxes”) imposed or levied by or on behalf of Brazil or any other jurisdiction in which the Issuer or the Guarantor is organized or is a resident for tax purposes or within or through which payment is made or any political subdivision or taxing authority or agency thereof or therein (each, a “Taxing Jurisdiction”) unless the Issuer or the Guarantor is required to withhold or deduct Taxes by law or by the official interpretation or administration thereof.

If the Issuer or the Guarantor is so required to withhold or deduct any amount for, or on account of, such Taxes from any payment made under or with respect to the Notes or the Guarantee, as the case may be, the Issuer or the Guarantor, as the case may be, will pay such additional amounts (“Additional Amounts”) as may be necessary so that the net amount received by each Holder or beneficial owner (including Additional Amounts) after such withholding or deduction will not be less than the amount such Holder or beneficial owner would have received if such Taxes imposed or levied by or on behalf of a Taxing Jurisdiction had not been required to be withheld or deducted; provided, however, that the foregoing obligation to pay Additional Amounts does not apply to:

(1)              any Taxes that would not have been so imposed but for the existence of any present or former connection between the relevant Holder or beneficial owner (or between a fiduciary, settlor, beneficiary, member or shareholder of, or possessor of power over the relevant Holder or beneficial owner, if the relevant Holder or beneficial owner is an estate, nominee, trust, partnership, limited liability company or corporation) and the relevant Taxing Jurisdiction (other than the mere receipt of such payment or the ownership or holding of or the execution, delivery, registration or enforcement of such Note);

(2)              any estate, inheritance, gift, sales, excise, transfer, personal property tax or similar Taxes;

(3)              any Taxes payable otherwise than by deduction or withholding from payments of principal of, premium, if any, or interest on, such Note;

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(4)              any Taxes that would not have been so imposed but for the presentation of such Notes (where presentation is required) for payment on a date more than thirty (30) days after the date on which such payment became due and payable or the date on which payment thereof is duly provided for, whichever is later, except to the extent that the Holder or beneficial owner thereof would have been entitled to Additional Amounts had the Notes been presented for payment on any date during such 30-day period;

(5)              any Taxes imposed on a note presented for payment by or on behalf of a Holder who would have been able to avoid that withholding or deduction by presenting the relevant note to another paying agent;

(6)              any Taxes that would not have been so imposed if the Holder or beneficial owner of the Note had made a declaration of non-residence or any other claim or filing for exemption to which it is entitled (provided that (a) such declaration of non-residence or other claim or filing for exemption is required by the applicable law, regulations or administrative practice of the Taxing Jurisdiction as a precondition to exemption from the requirement to deduct or withhold all or part of such Taxes and (b) at least thirty (30) days prior to the first payment date with respect to which such declaration of non-residence or other claim or filing for exemption is required under the applicable law, regulations or administrative practice of the Taxing Jurisdiction, the relevant Holder or beneficial owner at that time has been notified by the Issuer or the Guarantor or any other Person through whom payment may be made, that a declaration of non-residence or other claim or filing for exemption is required to be made);

(7)              any payment to a Holder of a Note that is a fiduciary or partnership or any Person other than the sole beneficial owner of such payment or Note, to the extent that a beneficiary or settlor with respect to such fiduciary, a member of such partnership or the beneficial owner of such payment or Note would not have been entitled to the Additional Amounts had such beneficiary, settlor, member or beneficial owner been the actual Holder of such Note;

(8)              any Taxes imposed pursuant to Sections 1471 through 1474 of the Code, any current or future regulations or official interpretations thereof, any similar law or regulation adopted pursuant to an intergovernmental agreement between a non-U.S. jurisdiction and the United States with respect to the foregoing or any agreements entered into pursuant to Section 1471(b)(1) of the Code (collectively, “FATCA”); or

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(9)              in the case of any combination of the items listed above.

Such Additional Amounts will also not be payable where, had the beneficial owner of the Note been the Holder of the Note, it would not have been entitled to payment of Additional Amounts by reason of any combination of clauses (1) to (9), inclusive, above.

The foregoing provisions will survive any termination or discharge of this Indenture and shall apply mutatis mutandis to any Taxing Jurisdiction with respect to any successor Person to the Issuer or the Guarantor, as the case may be. The Issuer or the Guarantor, as applicable, will (i) make such withholding or deduction of applicable Taxes and (ii) remit the full amount deducted or withheld to the relevant Taxing Jurisdiction in accordance with applicable law. The Issuer or the Guarantor, as applicable, will use all reasonable efforts to obtain certified copies of tax receipts evidencing the payment of any Taxes so deducted or withheld from each Taxing Jurisdiction imposing such Taxes and will furnish such certified copies to the Trustee within thirty (30) days after the date the payment of any Taxes so deducted or so withheld is due pursuant to applicable law or, if such tax receipts are not reasonably available, furnish such other documentation that provides reasonable evidence of such payment.

At least thirty (30) days prior to each date on which any payment under or with respect to the Notes or the Guarantee, as the case may be, is due and payable (unless such obligation to pay Additional Amounts arises shortly before or after the 30th day prior to such date, in which case it shall be promptly thereafter), if the Issuer or the Guarantor will be obligated to pay Additional Amounts with respect to such payment, the Issuer or the Guarantor will deliver to the Trustee an Officers’ Certificate, among other things, stating that such Additional Amounts will be payable and the amounts so payable and will set forth such other information necessary to enable the Trustee to pay such Additional Amounts to Holders of Notes on the payment date. Each such Officers’ Certificate shall be relied upon until receipt of a further Officers’ Certificate addressing such matters.

The Issuer or the Guarantor, as the case may be, will pay any present or future stamp, transfer, court or documentary taxes, or any other excise or property taxes, charges or similar levies or Taxes which arise in any jurisdiction from the initial execution, delivery or registration of the Notes, this Indenture or any other document or instrument in relation thereto or the enforcement of the Notes or the Guarantee following the occurrence and during the continuance of any Default, excluding all such Taxes, charges or similar levies imposed by any jurisdiction other than a Taxing Jurisdiction unless resulting from, or required to be paid in connection with, the enforcement of this Indenture, the Notes, the Guarantee or any other document or instrument in relation thereto following the occurrence and during the continuance of any Default with respect to the Notes or the Guarantee, and each of the Issuer and the Guarantor agrees to indemnify the Holders and beneficial owners of the Notes and the Trustee for any such Taxes, charges or similar levies paid by such Holders or beneficial owners or the Trustee.

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Whenever in this Indenture or the Notes there is any reference to the payment of principal, premium, if any, or interest, or any other amount payable under or with respect to the Notes by the Issuer or the Guarantee by the Guarantor, such reference shall be deemed to include mention of the payment of Additional Amounts to the extent that, in such context, Additional Amounts are, were or would be payable in respect thereof.

Section 2.07.  Transfer and Exchange. Subject to the provisions of Sections 2.15 and 2.16, when Notes are presented to any Transfer Agent with a request to register the transfer of such Notes or to exchange such Notes for an equal principal amount of Notes of other authorized denominations, such Transfer Agent shall register the transfer or make the exchange as requested; provided, however, that the Notes presented or surrendered for registration of transfer or exchange shall be duly endorsed or accompanied by a written instrument of transfer in form satisfactory to the Issuer and such Transfer Agent, duly executed by the Holder thereof or his or her attorney duly authorized in writing and such other documents as such Transfer Agent may reasonably require. To permit registrations of transfers and exchanges, the Issuer shall issue and the Trustee shall authenticate Notes at such Transfer Agent’s request. No service charge shall be made for any registration of transfer or exchange, but the Issuer or the Trustee may require payment of a sum sufficient to cover any transfer tax or similar governmental charge payable in connection therewith.

No Agent shall be required to register the transfer or exchange of any Note (i) during a period beginning at the opening of business fifteen (15) days before the giving of a notice of redemption of Notes and ending at the close of business on the day of such notice and (ii) selected for redemption in whole or in part pursuant to Article Three, except the unredeemed portion of any Note being redeemed in part.

Any Holder of a Global Note shall, by acceptance of such Global Note, agree that transfers of beneficial interests in such Global Note may be effected only through DTC, in accordance with this Indenture and the Applicable Procedures.

Section 2.08. Replacement Notes. If a mutilated Note is surrendered to the Trustee or if the Holder of a Note claims in writing that the Note has been lost, destroyed or wrongfully taken, then, in the absence of written notice to the Issuer upon its request or the Trustee that such Note has been acquired by a protected purchaser, the Issuer shall issue and the Trustee shall authenticate a replacement Note of like tenor and principal amount and bearing a number not contemporaneously outstanding if the Trustee’s requirements are met. Except with respect to mutilated Notes, if required by the Trustee or the Issuer, such Holder must provide an affidavit of lost certificate and an indemnity bond or other indemnity, sufficient in the judgment of both the Issuer and the Trustee to protect the Issuer, the Trustee or any Agent from any loss which any of them may suffer if a Note is replaced. The Issuer and the Trustee may charge such Holder for its reasonable out-of-pocket expenses in replacing a Note, including reasonable fees and expenses of its counsel and of the Trustee and its counsel. In case any mutilated, lost, destroyed or wrongfully taken Note has become or is about to become due and payable, the Issuer in its discretion may pay such Note instead of issuing a new Note in replacement thereof. Every replacement Note shall constitute an additional obligation of the Issuer, entitled to the benefits of this Indenture.

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Section 2.09.  Outstanding Notes. Notes outstanding at any time are all the Notes that have been authenticated by the Trustee except those cancelled by it, those delivered to it for cancellation and those described in this Section 2.09 as not outstanding. Subject to the provisions of Section 2.10, a Note does not cease to be outstanding because the Issuer or any of its Affiliates holds the Note. If a Note is replaced pursuant to Section 2.08 (other than a mutilated Note surrendered for replacement), it ceases to be outstanding unless the Trustee receives proof satisfactory to it that the replaced Note is held by a protected purchaser. A mutilated Note ceases to be outstanding upon surrender of such Note and replacement thereof pursuant to Section 2.08.

If on a Redemption Date, the Stated Maturity Date or any other Maturity Date, the Paying Agent holds an amount in U.S. dollars sufficient to pay all of the principal and interest due on the Notes payable on that date and is not prohibited from paying such money to the Holders thereof pursuant to the terms of this Indenture, then on and after that date such Notes cease to be outstanding and interest on them ceases to accrue.

Section 2.10. Treasury Notes; When Notes are Disregarded. In determining whether the Holders of the required principal amount of Notes have concurred in any direction, waiver, consent or notice, Notes owned by the Issuer or any Affiliate thereof shall be considered as though they are not outstanding, except that for the purposes of determining whether the Trustee shall be protected in relying on any such direction, waiver or consent, only Notes which a Trust Officer of the Trustee actually knows are so owned shall be so considered. Notes 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 Notes and that the pledgee is not the Issuer or any other obligor upon the Notes or any Affiliate of the Issuer or of such other obligor. The Issuer shall notify the Trustee, in writing (which notice shall constitute actual notice for purposes of the foregoing sentence), when it or any of its Affiliates repurchases or otherwise acquires Notes, of the aggregate principal amount of such Notes so repurchased or otherwise acquired.

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Section 2.11. Temporary Notes. Until definitive Notes are ready for delivery, the Issuer may prepare and execute and the Trustee shall authenticate temporary Notes upon receipt of a written order of the Issuer in the form of an Officers’ Certificate. The Officers’ Certificate shall specify the amount of temporary Notes to be authenticated and the date on which the temporary Notes are to be authenticated. Temporary Notes shall be substantially in the form of definitive Notes but may have variations that the Issuer considers appropriate for temporary Notes. Without unreasonable delay, the Issuer shall prepare and the Trustee shall authenticate upon receipt of an Officers’ Certificate of the Issuer pursuant to Section 2.02 definitive Notes in exchange for temporary Notes. Until so exchanged, the temporary Notes shall be entitled to the same benefits under this Indenture as definitive Notes.

Section 2.12. Cancellation. The Issuer at any time may deliver Notes previously authenticated hereunder which the Issuer has acquired in any lawful manner, to the Trustee for cancellation. The Agents shall forward to the Trustee any Notes surrendered to them for registration of transfer, exchange or payment. The Trustee, or at the direction of the Trustee, an Agent, and no one else, shall cancel all Notes surrendered for registration of transfer, exchange, payment or cancellation. Subject to Section 2.08, the Issuer may not issue new Notes to replace Notes that it has paid or delivered to the Trustee for cancellation. If the Issuer shall acquire any of the Notes, such acquisition shall not operate as a redemption or satisfaction of the Indebtedness represented by such Notes unless and until the same are surrendered to the Trustee for cancellation pursuant to this Section 2.12. The Trustee shall dispose of all cancelled Notes in accordance with customary procedures or, at the written request of the Issuer, shall return the same to the Issuer.

Section 2.13. CUSIP Numbers, ISIN and Common Codes. The Issuer in issuing the Notes may use “CUSIP” numbers, “ISIN” and “Common Codes” (if then generally in use) and if so, such numbers shall be printed on the Notes, and the Trustee shall use such numbers in notices of redemption, purchase or exchange as a convenience to Holders; provided that any such notice may state that no representation is made as to the correctness or accuracy of such numbers either as printed in the Notes or as contained in any notice and that reliance may be placed only on the other identification numbers printed on the Notes. The Issuer shall promptly notify the Trustee in writing of any change in such numbers.

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Section 2.14. Deposit of Moneys. Prior to 10:00 a.m. New York City time on the Business Day prior to each Interest Payment Date, the Stated Maturity Date or any other Maturity Date, the Issuer shall deposit with the Paying Agent an amount in U.S. dollars sufficient to make cash payments, if any, due on such Interest Payment Date, such Stated Maturity Date or such other Maturity Date, as the case may be.

Section 2.15. Book-Entry Provisions for Global Notes. (a)  The Global Notes initially shall (i) be registered in the name of DTC or the nominee of DTC, (ii) be delivered to the Trustee as custodian for DTC and (iii) bear legends as set forth in Exhibits B and C, as appropriate.

Members of, or participants in, DTC (“Agent Members”) shall have no rights under this Indenture with respect to any Global Note held on their behalf by DTC, or the Trustee as its custodian, or under any Global Note, and DTC may be treated by the Issuer, the Trustee, each Agent and any agent of the Issuer, the Trustee or such Agent as the absolute owner of the Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Issuer, the Trustee, each Agent or any agent of the Issuer, the Trustee or such Agent from giving effect to any written certification, proxy or other authorization furnished by DTC or impair, as between DTC and its Agent Members, the operation of customary practices governing the exercise of the rights of a Holder of any Note.

(b)            Transfers of the Global Notes shall be limited to transfers in whole, but not in part, to DTC, its successors or their respective nominees. Interests of beneficial owners in the Global Notes may be transferred or exchanged in accordance with the Applicable Procedures of DTC and the provisions of Section 2.16. In addition, Definitive Notes shall be transferred to all beneficial owners in exchange for their beneficial interests in the Global Notes if (i) DTC notifies the Issuer that it is unwilling or unable to continue as Depositary for the Global Notes and a successor Depositary is not appointed by the Issuer within ninety (90) days of such notice or (ii) the Notes have become immediately due and payable as a result of the occurrence and continuation of an Event of Default and the Transfer Agent has received a request from DTC to issue Definitive Notes.

(c)            Any beneficial interest in one of the Global Notes that is transferred to a person who takes delivery in the form of an interest in another Global Note shall, upon transfer, cease to be an interest in such Global Note and become a beneficial interest in such other Global Note and, accordingly, shall thereafter be subject to all transfer restrictions, if any, and other procedures applicable to a beneficial interest in such other Global Notes for as long as it remains such an interest.

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(d)            In connection with any transfer or exchange of any beneficial interest in the Global Note to beneficial owners pursuant to clause (b) of this Section 2.15, the Transfer Agent shall (if one or more Definitive Notes are to be issued) reflect on its books and records the date and a decrease in the principal amount of the Global Note in an amount equal to the principal amount of the beneficial interest in the Global Note to be transferred, and the Issuer shall execute, and the Trustee shall authenticate and deliver, one or more Definitive Notes of like tenor and aggregate principal amount.

(e)            In connection with the transfer of an entire Global Note to beneficial owners pursuant to clause (b) of this Section 2.15, the Global Notes shall be deemed to be surrendered to the Trustee for cancellation, and the Issuer shall execute, and the Trustee shall authenticate and deliver, to each beneficial owner identified by DTC in exchange for its beneficial interest in the Global Notes, an equal aggregate principal amount of Definitive Notes of authorized denominations.

(f)            Any Restricted Definitive Note delivered in exchange for an interest in the Global Note pursuant to clause (b) of this Section 2.15 shall, except as otherwise provided by Section 2.16, bear the Private Placement Legend.

(g)            The Holder of a Global Note may grant proxies and otherwise authorize any Person, including Agent Members and Persons that may hold interests through Agent Members, to take any action which a Holder is entitled to take under this Indenture or the Notes.

Section 2.16. Special Transfer Provisions. The following provisions shall apply with respect to any transfer of a Restricted Global Note referred to below:  

(a)            If the owner of a beneficial interest in a Rule 144A Global Note wishes to transfer such interest (or any portion thereof) to a Non-U.S. Person pursuant to Regulation S prior to the expiration of the Restricted Period therefor, subject to the Applicable Procedures, upon receipt by the Registrar of:

(i)            instructions from the Holder of the Rule 144A Global Note directing the Registrar to credit or cause to be credited a beneficial interest in the Regulation S Global Note equal to the principal amount of the beneficial interest in the Rule 144A Global Note to be transferred; and

(ii)            a certificate in the form of Exhibit D duly executed by the transferor, 

the Registrar shall increase the Regulation S Global Note and decrease the Rule 144A Global Note by such amount in accordance with the foregoing. 

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(b)            If the owner of a beneficial interest in a Regulation S Global Note wishes to transfer such interest (or any portion thereof) to a QIB pursuant to Rule 144A prior to the expiration of the Restricted Period therefor, subject to the Applicable Procedures, upon receipt by the Registrar of: 

(i)            instructions from the Holder of the Regulations S Global Note directing the Registrar to credit or cause to be credited a beneficial interest in the Rule 144A Global Note equal to the principal amount of the beneficial interest in the Regulation S Global Note to be transferred; and

(ii)            a certificate in the form of Exhibit E duly executed by the transferor,

the Registrar shall increase the Rule 144A Global Note and decrease the Regulation S Global Note by such amount in accordance with the foregoing.

(c)            The Private Placement Legend may be removed and the related restrictions on transfer shall cease and terminate with respect to any particular Restricted Global Note or Restricted Definitive Note upon the written instructions of the Issuer, in its sole discretion, upon receipt by the Issuer of evidence satisfactory to it that, as of the date of determination, such Restricted Global Note or Restricted Definitive Note has been transferred by the Holder (a) under a registration statement that has been declared effective under the Securities Act or (b) under any other available exemption from the registration requirements of the Securities Act. In the case of clause (b), the Issuer may require the delivery of an Opinion of Counsel, a certification and/or other information satisfactory to it. 

              At the request of the Holder and upon the surrender of such Restricted Global Note or Restricted Definitive Note to the Trustee or Registrar for exchange in accordance with the provisions of this Section 2.16, any Restricted Global Note or Restricted Definitive Note as to which the Private Placement Legend has been removed and the related restrictions on transfer restrictions shall have terminated in accordance with the preceding paragraph shall be exchanged for a new Unrestricted Global Note or Unrestricted Definitive Note, as applicable, of like aggregate principal amount, but without the Private Placement Legend. Any Restricted Global Note or Restricted Definitive Note as to which the Private Placement Legend shall have been removed pursuant to this paragraph (and any Note issued upon registration of transfer of, exchange for or in lieu of such Note) shall thereupon cease to be a “Restricted Global Note” or “Restricted Definitive Note” for all purposes of this Indenture. Upon the registration of transfer, exchange or replacement of Notes bearing the Private Placement Legend, the Transfer Agent shall deliver only Notes that bear the Private Placement Legend unless (i) the circumstance contemplated by this Section 2.16 exists or (ii) there is delivered to the Transfer Agent and the Issuer an Opinion of Counsel reasonably satisfactory to the Issuer to the effect that neither such legend nor the related restrictions on transfer are required in order to maintain compliance with the provisions of the Securities Act. The Transfer Agent shall not register a transfer of any Note unless such transfer complies with the restrictions on transfer of such Note set forth in this Indenture. In connection with any transfer of Notes, each Holder agrees by its acceptance of the Notes to furnish the Transfer Agent or the Issuer such certifications, legal opinions or other information as either of them may reasonably require to confirm that such transfer is being made pursuant to an exemption from, or a transaction not subject to, the registration requirements of the Securities Act; provided that the Transfer Agent shall not be required to determine (but may rely on a determination made by the Issuer with respect to) the sufficiency of any such certifications, legal opinions or other information and whether or not the relevant Restricted Period has terminated.

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(d)            The Restricted Period may be extended, in the sole discretion of the Issuer, upon written notice to the Trustee in the event of one or more issuances of Additional Notes in accordance with this Indenture.

(e)            By its acceptance of any Note bearing the Private Placement Legend, each Holder of such a Note acknowledges the restrictions on transfer of such Note set forth in this Indenture and in the Private Placement Legend and agrees that it shall transfer such Note only as provided in this Indenture.

The Transfer Agent shall retain copies of all letters, notices and other written communications received pursuant to Section 2.15 or this Section 2.16 in accordance with its customary retention policies. The Issuer shall have the right to inspect and make copies of all such letters, notices or other written communications at any reasonable time upon the giving of reasonable written notice to the Transfer Agent.

Neither the Trustee nor any Agent shall have any 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 Note (including any transfers between or among Agent Members or beneficial owners of interests in any Global Note) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by the terms of, this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof.

Neither the Trustee nor any Agent shall have any responsibility for any actions taken or not taken by the Depositary. None of the Trustee or any Agent shall have any responsibility or obligation to any beneficial owner of an interest in a Global Note, an Agent Member of, or a participant in, the Depositary or other Person with respect to the accuracy of the records of the Depositary or its nominee or of any Agent Member or participant thereof, with respect to any ownership interest in the Notes or with respect to the delivery to any Agent Member, participant, beneficial owner or other Person (other than the Depositary) of any notice (including any notice of redemption) or the payment of any amount or delivery of any Notes (or other security or property) under or with respect to such Notes.  All notices and communications to be given to the Holders and all payments to be made to Holders in respect of the Notes shall be given or made only to or upon the order of the registered Holders (which shall be the Depositary or its nominee in the case of a Global Note). The rights of beneficial owners in any Global Note shall be exercised only through the Depositary subject to the Applicable Procedures of the Depositary. The Trustee and each Agent may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its Agent Members, participants and any beneficial owners.

Section 2.17. Transfers of Global Notes and Definitive Notes. A transfer of a Global Note or a Definitive Note (including the right to receive principal and interest payable thereon) may be made only by the Registrar’s entering the transfer in the Register. Prior to such entry, the Issuer, the Trustee and each Agent shall treat the person in whose name such Note is registered as the owner of the Note for all purposes (subject to the right of the Holders as of a Record Date to receive payments of interest on the related Interest Payment Date).

Section 2.18. Open Market Purchases. The Issuer, the Guarantor or their respective Affiliates may at any time and from time to time purchase the Notes in the open market or otherwise. Any such repurchased Notes will not be resold other than in compliance with applicable requirements or exemptions under the relevant securities laws. 

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Article 3
Redemption

Section 3.01. Election to Redeem. The election of the Issuer to redeem any Notes shall be authorized by a Board Resolution of the Issuer, as evidenced by an Officers’ Certificate delivered to the Trustee at least five (5) Business Days (or such shorter period as the Trustee may agree) prior to the date notice of redemption is to be given to the Holders and setting forth the Redemption Date and the principal amount of the Notes to be redeemed and the Section of this Indenture or Paragraph of the Notes pursuant to which such redemption shall occur. In the case of any redemption of Notes prior to the expiration of any restriction on such redemption provided in the terms of such Notes or elsewhere in this Indenture, or pursuant to an election by the Issuer, which is subject to a condition specified in the terms of such Notes or elsewhere in this Indenture, the Issuer shall furnish the Trustee with an Officers’ Certificate evidencing compliance with such restriction or condition.

Section 3.02. Redemption.

(a)            Tax Redemption. The Issuer or Guarantor may, at its option, redeem the Notes, in whole but not in part, upon notice of not less than ten (10) nor more than sixty (60) days, at a Redemption Price equal to 100% of the principal amount thereof, plus accrued and unpaid interest (subject to the right of the Holders of record on the relevant Record Date to receive interest due on the relevant Interest Payment Date) and Additional Amounts, if any, to the Redemption Date, if as a result of:

(1) any amendment to, or change in, the laws or treaties (or any regulations or rulings promulgated thereunder) of a Taxing Jurisdiction; or

(2) any amendment to or change in an official interpretation or application regarding such laws, treaties, regulations or rulings (including a determination by a court of competent jurisdiction),

which amendment or change becomes effective on or after the Issue Date, (i) the Issuer or the Guarantor, as the case may be, has become or would become obligated to pay, on the next date on which any amount would be payable with respect to the Notes (and, in respect of the Obligations of the Guarantor, the Guarantor is making or will be making payments with respect to the Notes in lieu of the Issuer), any Additional Amounts in excess of those attributable to a Brazilian withholding tax rate of 15% (or in the case of any successor Person to the Issuer or the Guarantor who is a Non-Resident Holder of the Notes, the rate of withholding applicable to payments on the Notes in the jurisdiction in which such successor is resident on the date such successor replaces the Issuer or the Guarantor, as applicable), determined without regard to any interest, fees, penalties or other additions to tax and (ii) the Issuer or the Guarantor, as the case may be, determines in good faith that such obligation cannot be avoided by the use of reasonable measures available to the Issuer or the Guarantor (including, without limitation, by changing the jurisdiction from which or through which payment is made, to the extent such change would be a reasonable measure in light of the circumstances); provided that:

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(i) no such notice of redemption may be given earlier than sixty (60) days prior to the earliest date on which the Issuer or the Guarantor, as the case may be, would be obligated to pay such Additional Amounts were a payment in respect of the Notes then due and payable, and

(ii) at the time such notice is given, such obligation to pay such Additional Amounts remains in effect.

No such redemption shall be effective unless and until the Trustee receives the amount payable upon redemption as set forth above.

Immediately prior to the delivery of any notice of redemption to the Holders pursuant to this Section 3.02(a), the Issuer or the Guarantor will deliver to the Trustee:

(1) an Officers’ Certificate (A) stating that the Issuer is entitled to effect such redemption, (B) setting forth a statement of facts showing that the conditions precedent to the right of the Issuer to so redeem have occurred, and (C) stating that all governmental approvals, if any, necessary to effect such redemption have been obtained and are in full force and effect, and

(2) an Opinion of Counsel in the relevant Taxing Jurisdiction, to the effect that (A) the Issuer or the Guarantor, as the case may be, has or will become obligated to pay such Additional Amounts as a result of such amendment or change and (B) all governmental approvals, if any, necessary to effect such redemption have been obtained and are in full force and effect.

Any notice of redemption pursuant to this provision will be irrevocable.

The foregoing provisions will apply mutatis mutandis to the laws and official interpretations or applications of any jurisdiction in which any successor permitted under Section 5.01 or the Substituted Issuer (as described under Section 10.01) is organized, but only with respect to events arising after the date of succession or substitution.

(b)            Optional Redemption with Make-Whole Premium.  The Issuer or the Guarantor may, at its option, redeem the Notes, in whole or in part, at any time prior to the Par Call Date, upon not more than 60 and not fewer than ten (10) days’ notice to the Holders of the Notes. The Issuer or the Guarantor may redeem the Notes either as a whole or in part at a Redemption Price equal to the greater of (i) 100% of the principal amount of the Notes being redeemed and (ii) the sum of the present values of each remaining scheduled payment of principal and interest thereon (exclusive of any such interest accrued to the date of redemption) as if the Notes were redeemed on the Par Call Date, discounted (for purposes of determining present value) to the redemption date on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the Treasury Rate plus 50 basis points, plus accrued and unpaid interest and Additional Amounts, if any, thereon through, but excluding, the redemption date; provided that Notes in an aggregate principal amount equal to at least U.S.$100 million remain outstanding immediately after the occurrence of any partial redemption of Notes.

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The value of the accrued and unpaid interest will be calculated using the Subsequent Interest Rate, unless the Sustainability Performance Target has been satisfied and the issuer has provided the Satisfaction Notification to the trustee, in which case the Initial Rate of Interest will be used for making the calculation. 

(c)       Optional Redemption at Par.  The Issuer or the Guarantor may, at its option, redeem the Notes, in whole or in part, at any time on or after the Par Call Date. The Issuer or the Guarantor may redeem the Notes either as a whole or in part at a Redemption Price equal to100.000% of the principal amount of the Notes being redeemed plus accrued and unpaid interest and Additional Amounts, if any, on the principal amount of the Notes being redeemed to, but excluding, such redemption date; provided that Notes in an aggregate principal amount equal to at least U.S.$100 million remain outstanding immediately after the occurrence of any partial redemption of Notes.

(d)        Each Officers’ Certificate provided for in this Section 3.02 shall be accompanied by an Opinion of Counsel stating that such redemption shall comply with the conditions contained herein and in the Notes.

Section 3.03. Selection of Notes to be Redeemed. If fewer than all of the Notes are to be redeemed pursuant to Paragraph 5(B) and 5(C) of the Notes, the Notes to be redeemed shall be selected:

(1)              in compliance with the requirements of the principal securities exchange, if any, on which such Notes are listed; or

(2)              if such Notes are not then listed on a securities exchange, the Notes to be redeemed shall be selected by lot, or by the Trustee on a pro rata basis or on as nearly a pro rata basis by lot or by such method as the Trustee deems fair and appropriate in the case of Definitive Notes; provided that no partial redemption will reduce the principal amount of a Note not redeemed to less than U.S.$200,000; 

provided however, in each case, that the selection of Notes held as Global Notes shall be in accordance with the Applicable Procedures of the Depositary.

The Notes shall be selected from the Notes outstanding and not previously called for redemption and the Trustee shall promptly notify the Issuer in writing of the Notes selected for redemption and, in the case of any Note selected for partial redemption, the principal amount at maturity thereof, to be redeemed. Notes in denominations of U.S.$200,000 in principal amount at maturity may be redeemed only in whole. The Trustee may select for redemption portions (equal to U.S.$1,000 in principal amount at maturity or any integral multiple thereof) of the principal of Notes that have denominations larger than U.S.$200,000.  Provisions of this Indenture that apply to Notes called for redemption also apply to portions of Notes called for redemption. 

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If Notes are redeemed in part pursuant to Paragraph 5(B) and 5(C) of the Notes, the remaining outstanding principal amount (including any Additional Notes, but excluding any Notes held by the Company or any of its Affiliates) must be at least equal to U.S.$100.0 million. 

Section 3.04. Method, Effect and Notice of Redemption. (a) The election of the Issuer or any successor to redeem the Notes pursuant to Section 3.02(b) and Section 3.02(c) shall be evidenced by a Board Resolution. In the event that the Issuer or any Guarantor, or any successor is required to redeem, or elects for the Issuer or any Guarantor, or any successor to so redeem, the Notes pursuant to Section 3.02(b) through Section 3.02(c), it will deliver to the Trustee a certificate, signed in the name of the Issuer or the Guarantor by two of its Officers or by its attorney-in-fact in accordance with its bylaws or those of any successor, as the case may be, stating that the Issuer or the Guarantor or any successor, as the case may be, is entitled to redeem the Notes pursuant to their terms and setting forth a statement of facts showing that the condition or conditions precedent to the right of the Issuer or any Guarantor or any successor, as the case may be, to so redeem have occurred or been satisfied. 

(b)       Any redemption or Notice of any redemption of the Notes (including in connection with any transaction (or series of related transactions) or an event that constitutes a Change of Control) may, at the Issuer or the Guarantor’s discretion, as applicable, be given prior to the completion or the occurrence thereof and any such redemption or notice may, at the Issuer or the Guarantor’s discretion, as applicable, be subject to one or more conditions precedent, including, but not limited to, completion or occurrence of the transaction or event, as the case may be. 

Section 3.05.  Notice of Redemption.  In the case of a redemption of Notes pursuant to Section 3.02(b) and Section 3.02(c), notice of redemption shall be delivered electronically or mailed by the Issuer or the Guarantor first-class mail, postage prepaid, at least ten (10) but not more than sixty (60) days before the Redemption Date, in each case to each Holder of any Note to be redeemed at their respective registered addresses or otherwise in accordance with the procedures of DTC. At least five (5) Business Days prior to the date when the notice of redemption is sent to the Holders of the Notes (unless a shorter notice period shall be acceptable to the Trustee), the Issuer or the Guarantor shall notify the Trustee in writing of such proposed redemption date and the principal amount of the Notes to be redeemed. In relation to redemptions of Notes pursuant to Section 3.02(b) and Section 3.02(c), if the Notes are to be redeemed in part only, the notice of redemption will state the portion of the principal amount thereof to be redeemed.

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A new Note in a principal amount equal to the unredeemed portion thereof, if any, will be issued in the name of the Holder thereof upon cancellation of the original Note (or appropriate adjustments to the amount and beneficial interests in a global note will be made, as appropriate).

Section 3.06.  Additional Redemption Procedures.

 In addition to the requirements set forth in Sections 3.03 through 3.05 with respect to a notice of redemption, the notice shall state:

(a)              the Redemption Date;

(b)              the Redemption Price;

(c)              the name and address of the Paying Agent;

(d)              that Notes called for redemption must be surrendered to the Paying Agent to collect the Redemption Price;

(e)              that, unless the Issuer or the Guarantor Defaults in making such redemption payment or the Paying Agent is prohibited from making such payment pursuant to the terms of this Indenture, interest on Notes called for redemption ceases to accrue on and after the Redemption Date;

(f)              the Section of the Indenture pursuant to which the Notes called for redemption are being redeemed;

(g)              any conditions for redemption; and

(h)              the CUSIP or ISIN number, if any.

              At the Company’s or the Guarantor’s election and at the written request of either, the Trustee shall give the notice of redemption in the Issuer’s or the Guarantor’s name and at the Issuer’s or the Guarantor’s expense; provided that the Issuer or the Guarantor shall deliver to the Trustee, at least five (5) Business Days prior to the date when the notice of redemption is sent to the Holders (unless a shorter notice period shall be acceptable to the Trustee), an Officers’ Certificate requesting that the Trustee give such notice and providing the form of such notice setting forth the information to be stated in such notice.

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Section 3.07  Deposit of Redemption Price. By 10:00 A.M. New York City time, no later than one Business Day prior to the Redemption Date, the Company or the Guarantor shall deposit with the Paying Agent U.S. Dollars in immediately available funds sufficient to pay the Redemption Price of and accrued interest on the Notes other than Notes that have been delivered by the Company or the Guarantor to the Trustee at least 15 days prior to the Redemption Date for cancellation. The Company or the Guarantor shall require the bank through which such payment is to be made to supply to the Paying Agent by 10:00 A.M. New York City time two Business Days prior to the due date from any such payment an irrevocable confirmation (by tested telex) of its intention to make such payment.   

Section 3.08. Effect of Notice of Redemption. Notice of redemption having been given as aforesaid, the Notes shall, on the Redemption Date, become due and payable at the applicable Redemption Price (together with accrued interest, if any, to the Redemption Date) (subject to any conditions set forth in such notice), and from and after such date (except in the event of a default in the payment of the Redemption Price and accrued interest) such Notes shall cease to bear interest. Upon surrender of any such Note for redemption in accordance with such notice, such Note shall be paid by the Company at the Redemption Price, together with accrued interest, if any, to the Redemption Date; provided, however, that installments of interest whose Interest Payment Date is on or prior to the Redemption Date shall be payable to the Holders of such Notes registered as such at the close of business on the relevant Record Dates according to their terms.

If any Note to be redeemed shall not be so paid upon surrender thereof in accordance with the Company’s or the Guarantor’s instructions for redemption, the principal shall, until paid, bear interest from the Redemption Date at the rate borne by the Notes. Upon surrender to the Paying Agent, such Notes shall be paid at the applicable Redemption Price, plus accrued interest to the Redemption Date; provided, however, that installments of interest payable on or prior to the Redemption Date shall be payable to the Holders of such Notes registered as such at the close of business on the relevant Record Date according to their terms.

Section 3.09. Notes Redeemed in Part. Upon surrender of a Note that is to be redeemed in part, the Issuer shall issue and the Trustee shall authenticate for the Holder at the expense of the Issuer a new Note or Notes equal in principal amount to the unredeemed portion of the Note surrendered, or appropriate adjustments to the amount and beneficial interests in the Global Note will be made, as the case may be.

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Section 3.10. Offer to Purchase. (a) An “Offer to Purchase” means an offer by the Guarantor to purchase Notes as required by this Indenture. An Offer to Purchase must be made by written offer (the “offer”) sent to the Holders, at the address for each Holder appearing in the Register maintained by the Registrar. The Guarantor will notify the Trustee in writing at least 15 days (or such shorter period as is acceptable to the Trustee) prior to sending the offer to Holders of its obligation to make an Offer to Purchase, and the offer will be sent by the Guarantor, at the Guarantor’s written request, by the Trustee in the name and at the expense of the Guarantor.

(b) The offer must include or state the following as to the terms of the Offer to Purchase: 

(i) the provision of this Indenture pursuant to which the Offer to Purchase is being made; 

(ii) the aggregate principal amount of the outstanding Notes offered to be purchased by the Guarantor pursuant to the Offer to Purchase (including, if less than 100%, the manner by which such amount has been determined pursuant to this Indenture) (the “purchase amount”);

(iii) the purchase price, including the portion thereof representing accrued interest;

(iv) an expiration date (the “expiration date”) not less than ten (10) days or more than sixty (60) days after the date of the offer, and a settlement date for purchase (the “purchase date”) not more than five Business Days after the expiration date;

(v) information concerning the business of the Guarantor and its Restricted Subsidiaries which the Guarantor in good faith believes will enable the Holders to make an informed decision with respect to the Offer to Purchase;

(vi) a Holder may tender all or any portion of its Notes, subject to the requirement that any portion of a Note tendered must be in a multiple of $1,000 principal amount and if such Holder tenders in part that portion not tendered is equal to an authorized denomination;

(vii) the place or places where Notes are to be surrendered for tender pursuant to the Offer to Purchase;

(viii) each Holder electing to tender a Note pursuant to the offer will be required to surrender such Note at the place or places specified in the offer prior to the close of business on the expiration date (such Note being, if the Guarantor or the Trustee so requires, duly endorsed or accompanied by a duly executed written instrument of transfer);

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(ix) interest on any Note not tendered, or tendered but not purchased by the Guarantor pursuant to the Offer to Purchase, will continue to accrue;

(x) on the purchase date the purchase price will become due and payable on each Note accepted for purchase pursuant to the Offer to Purchase, and interest on Notes purchased will cease to accrue on and after the purchase date, unless payment of the purchase price is not made (and the purchase does not take place) on that date;

(xi) Holders are entitled to withdraw Notes tendered by giving notice, which must be received by the Guarantor or the Trustee not later than the close of business on the expiration date, setting forth the name of the Holder, the principal amount of the tendered Notes, the certificate number of the tendered Notes and a statement that the Holder is withdrawing all or a portion of the tender;

(xii) if Notes in an aggregate principal amount less than or equal to the purchase amount are duly tendered and not withdrawn pursuant to the Offer to Purchase, the Guarantor will purchase all such Notes, and (y) if the Offer to Purchase is for less than all of the outstanding Notes and Notes in an aggregate principal amount in excess of the purchase amount are tendered and not withdrawn pursuant to the offer, the Guarantor will purchase Notes having an aggregate principal amount equal to the purchase amount on a pro rata basis, with adjustments so that if all of a Holder’s Notes are not purchased by the Guarantor only Notes with minimum denominations of $200,000 and in multiples of $1,000 principal amount in excess thereof will remain unpurchased by the Guarantor from each Holder;

(xiii) if any Note is purchased in part, new Notes equal in principal amount to the unpurchased portion of the Note will be issued; and

(xiv) if any Note contains a CUSIP or ISIN number, no representation is being made as to the correctness of the CUSIP or ISIN number either as printed on the Notes or as contained in the offer and that the Holder should rely only on the other identification numbers printed on the Notes.

(c) Prior to the purchase date, the Guarantor will accept tendered Notes for purchase as required by the Offer to Purchase and deliver to the Trustee all Notes so accepted, together with an Officers’ Certificate specifying which Notes have been accepted for purchase. On the purchase date the purchase price will become due and payable on each Note accepted for purchase, and interest on Notes purchased will cease to accrue on and after the purchase date, unless payment of the purchase price is not made (and the purchase does not take place) on that date. The Trustee will promptly return to Holders any Notes not accepted for purchase and send to Holders new Notes equal in principal amount to any unpurchased portion of any Notes accepted for purchase in part.

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(d) The Guarantor will comply with Rule 14e-1 under the Exchange Act (to the extent applicable) and all other applicable laws in making any Offer to Purchase, and the above procedures will be deemed modified as necessary to permit such compliance. Further to the foregoing, to the extent that the provisions of any securities laws or regulations conflict with this Section 3.10, the Guarantor shall comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations under this Section 3.10 by virtue thereof.

(e) In connection with any tender offer (including any Offer to Purchase in connection with a Change of Control made in accordance with the terms of the indenture) for Notes, in the event that the Holders of not less than 85% of the aggregate principal amount of the outstanding Notes validly tender and do not withdraw the Notes in such tender offer or a third party purchases all the Notes held by such holders, the Guarantor will have the right, on not less than 10 nor more than sixty (60) days’ prior notice, given not more than thirty (30) days following such purchase date, to redeem all of the Notes that remain outstanding following such purchase at a price equal to the price paid to each other holder in such tender offer plus, to the extent not included in the purchase price, accrued and unpaid interest and Additional Amounts, if any, on the Notes that remain outstanding, to the date of redemption (subject to the right of Holders of record on the relevant Record Date to receive interest due on the relevant Interest Payment Date).

Article 4
Covenants

Section 4.01. Payment of Principal and Interest. The Issuer shall pay the principal of, premium, if any, and interest on the Notes on the dates and in the manner provided in the Notes and in this Indenture. An installment of principal of, premium, if any, and interest on the Notes shall be considered paid on the date it is due if the Trustee or Paying Agent (other than the Issuer or an Affiliate of the Issuer) holds on the Business Day prior to that date (whether or not a Business Day), an amount in U.S. dollars designated for and sufficient to pay the installment in full and shall be valid and effective to satisfy and discharge such obligations of the Issuer; provided that the liability of any Paying Agent shall not exceed any amounts paid to it by the Issuer or held by it, on behalf of the Holders under this Indenture; and provided, further, that in the event that there is a default by any Paying Agent in any payment of principal, redemption amount, Additional Amounts, interest and/or any other amount payable in respect of any Note, the Issuer, or any other person acting on its behalf, shall pay on demand such further amounts as will result in receipt by the Holder of such amounts as would have been received by it had no such default occurred (it being understood that nothing herein shall be deemed to constitute any waiver by the Issuer to the exercise of any right it may have against such Paying Agent as a consequence of such default to seek compensation for such payment and the Issuer may seek any remedy available to it under this Indenture and/or applicable law to be so compensated).  The Issuer will, to the extent permitted by applicable law, pay interest (including post-petition interest in any proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on demand at a rate that is 1% per annum in excess of the rate then in effect; and it will, to the extent permitted by applicable law, pay interest on overdue installments of interest from time to time on demand at the same rate. 

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From and including November 3, 2027 (the “Interest Rate Step Up Date”), the interest rate payable on the Notes will be increased by 65 basis points to 4.775% per annum (the “Subsequent Rate of Interest”) unless the Issuer has notified (the “Satisfaction Notification”) the Trustee in accordance with Section 12.01 in writing at least thirty (30) days prior to the Interest Rate Step Up Date (the “Notification Date”) that in respect of the year ended December 31, 2026: (i) the Sustainability Performance Targets have been satisfied in respect of the year ended December 31, 2026 and (ii) the satisfaction of each of the Sustainability Performance Targets has been confirmed by the External Verifier in accordance with its customary procedures. If as of the Notification Date (x) the Issuer fails, or is unable, to provide the Satisfaction Notification, (y) the Sustainability Performance Targets have not been satisfied or (z) the External Verifier has not confirmed satisfaction of each of the Sustainability Performance Targets, the Subsequent Rate of Interest will apply for each interest period from and including the Interest Rate Step Up Date up to, and including, the Stated Maturity Date.

Notwithstanding anything to the contrary contained in this Indenture, the Issuer and any Paying Agent may, to the extent it is required to do so by law, deduct or withhold income or other similar taxes imposed by the United States from principal or interest payments hereunder without any liability therefor.

Section 4.02. Maintenance of Office or Agency. The Issuer shall maintain the office or agency required under Section 2.03. The Issuer shall give prior written notice to the Trustee of the location, and any change in the location, of such office or agency. If at any time the Issuer 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 and the Issuer hereby appoints the Trustee as its agent to receive all such presentations, surrenders, notices and demands.

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Section 4.03. Corporate Existence. Except as otherwise permitted by Article Four and Article Five, each of the Issuer and the Guarantor shall preserve and maintain in full force and effect its existence and the existence of each of their Significant Subsidiaries in accordance with their respective organizational documents; provided that none of the Issuer nor the Guarantor shall be required to preserve the existence of any of its Significant Subsidiaries, if the maintenance or preservation thereof is no longer desirable in the conduct of the business of the Issuer, the Guarantor and their respective Subsidiaries taken as a whole.

Section 4.04.  [Reserved].

Section 4.05. Maintenance of Properties. The Issuer and the Guarantor shall cause all properties used or useful in its business or the business of any of their respective Subsidiaries to be maintained and kept in good condition, repair and working order (subject to ordinary wear and tear) that are material to the conduct of their respective businesses; provided that nothing in this Section 4.05 shall prevent the Issuer, the Guarantor or any of their respective Subsidiaries from discontinuing the use, operation or maintenance of any of such properties or disposing of any of them, if such discontinuance or disposal is, in the judgment of the Issuer, the Guarantor or the Subsidiary concerned, desirable in the conduct of the business of the Issuer, the Guarantor and their respective Subsidiaries taken as a whole.

Section 4.06. Notice of Default. Under this Indenture, the Issuer and the Guarantor will be required to provide an Officers’ Certificate to a Trust Officer of the Trustee promptly upon (and in any case within ten (10) days of) any Officer obtaining knowledge of any Event of Default that has occurred and, if applicable, describe such Event of Default and the status thereof.

If a Default or an Event of Default occurs and is continuing, and a responsible Trust Officer of the Trustee has received written notice thereof pursuant to Section 7.02(h), the Trustee shall notify each Holder as provided herein under Section 12.01 of the Event of Default within five (5) days after receiving written notice thereof; provided that except in the case of an Event of Default in payment of principal of, or premium, if any, or interest on any Notes, the Trustee may withhold the notice to the Holders if a committee of its Trust Officers in good faith determines that withholding the notice is in the interests of the Holders.

Section 4.07. Waiver of Stay, Extension or Usury Laws. Each of the Issuer and the Guarantor covenants (to the extent permitted by law) 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 or extension law or any usury law or other law that would prohibit or forgive the Issuer or the Guarantor, as applicable, from paying all or any portion of the principal of, premium, if any, or interest on the Notes as contemplated herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the performance of this Indenture; and (to the extent that it may lawfully do so) each of the Issuer and the Guarantor hereby expressly waives all benefit or advantage of any such law, and covenants that it shall not, by resort to any such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted.

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Section 4.08. Limitation on Liens. The Guarantor will not, and will not cause or permit any of its Subsidiaries (including the Issuer) to, directly or indirectly, create, incur, assume or permit or suffer to exist any Lien (the “Initial Lien”), other than a Permitted Lien, of any kind against or upon any Property or assets of the Guarantor or any of its Subsidiaries (including the Issuer) to secure Indebtedness whether owned on the Issue Date or acquired after the Issue Date, unless it has made or will make effective provision whereby (a) the Notes or the Guarantee, as the case may be, will be secured by such Lien equally and ratably with (or prior to, in the event such Indebtedness  is subordinated in right of payment to the Notes or the Guarantee) all other Indebtedness of the Guarantor or any Subsidiary (including the Issuer) secured by such Lien and (b) if such Lien secures Obligations subordinated to the Notes  or the Guarantee in right of payment, such Lien shall be subordinated to a Lien securing the Notes or the Guarantee in the same Property as that securing such Lien to the same extent as such subordinated Obligations are subordinated to the Notes and the Guarantee. Any Lien created for the benefit of the Holders pursuant to the preceding sentence shall provide by its terms that such Lien will be automatically and unconditionally released and discharged upon release and discharge of the Initial Lien.

Section 4.09. Reports to Holders. The Guarantor will provide or make available to the Trustee the following reports (and will also provide the Trustee with electronic versions or, in lieu thereof, sufficient copies of the following reports referred to in clauses (1) through (4) below for distribution, at the Guarantor’s expense, to all Holders of the Notes):

(1)              within 120 days following the end of each fiscal year of the Guarantor after the Issue Date, English language versions of the audited annual financial statements (including the notes thereto) in accordance with GAAP and accompanied by an opinion of internationally recognized independent public accountants selected by the Guarantor;

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(2)              within sixty (60) days following the end of the first three fiscal quarters in each fiscal year of the Guarantor beginning with the quarter ending after the Issue Date, English language versions of unaudited quarterly financial statements (including the notes thereto);

(3)              simultaneously with the delivery of the audited annual financial statements referred to in clause (1) above, an Officers’ Certificate from the Guarantor stating whether an Event of Default exists on the date of such certificate and, if an Event of Default exists, setting forth the details thereof and the action which the Guarantor is taking or proposes to take with respect thereto; and

(4)              for so long as the Notes are “restricted securities” within the meaning of Rule 144(a)(3) under the Securities Act, the Guarantor will furnish to any Holder or to any prospective purchaser designated by such Holder, upon request of such Holder, any financial and other information (to the extent not otherwise provided as set forth above) described in Rule 144A(d)(4) under the Securities Act with respect to the Guarantor and its Subsidiaries to the extent required in order to permit such Holder to comply with Rule 144A with respect to any resale of its Notes unless, during that time, the Guarantor is subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act, or is exempt from reporting pursuant to Rule 12g3-2(b) under the Exchange Act and no such information about the Guarantor is otherwise required pursuant to Rule 144A.

As an alternative to providing the Trustee and the Holders with the information described above, the Guarantor may post copies of such information on a website maintained by or on behalf of the Guarantor or provide substantially comparable public availability of such information. Delivery to the Trustee and the Holders of notice as provided under Section 12.01 of the availability of the information described above on a website maintained by or on behalf of the Guarantor shall constitute delivery of such information to the Holders for purposes of this Section 4.09. Delivery of the above reports (other than paragraph (4) above) to the Trustee is for informational purposes only, and the Trustee’s receipt of such reports shall not constitute actual or constructive notice of any information contained therein or determinable from information contained therein, including the Guarantor’s compliance with any of its covenants in this Indenture (as to which the Trustee is entitled to rely exclusively on Officers’ Certificates).

Section 4.10. U.S. Dollar Equivalent. For purposes of determining compliance with any covenant in this Indenture that is limited or otherwise refers to a specified amount of U.S. dollars, the amount of any item denominated in a currency other than U.S. dollars shall be the U.S. Dollar Equivalent of such item.

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Section 4.11. Purchase of Notes upon a Change of Control Event. Not later than thirty (30) days following a Change of Control that results in a Rating Decline, the Guarantor shall make an Offer to Purchase all outstanding Notes at a purchase price equal to 101% of the principal amount plus accrued interest to the date of purchase. If a Change of Control were to occur which does not result in a Rating Decline, the Guarantor would not be required to offer to repurchase the Notes.

Article 5
Successor Corporation

Section 5.01. Merger, Consolidation and Sale of Assets. The Guarantor will not, in a single transaction or series of related transactions, consolidate or merge with or into any Person, or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of the assets of the Guarantor (determined on a consolidated basis) whether as an entirety or substantially as an entirety to any Person unless:

(1)              either the Guarantor shall be the surviving or continuing corporation or the Person (if other than the Guarantor) formed by such consolidation or into which the Guarantor is merged or the Person which acquires by sale, assignment, transfer, lease, conveyance or other disposition the properties and assets of the Guarantor and of the Guarantor’s Subsidiaries, substantially as an entirety (the “Surviving Entity”):

       (a) shall be a Person organized and validly existing under the laws of Brazil, the United States of America, any state thereof or the District of Columbia, or any other country that is a member country of the European Union or of the Organisation for Economic Co-operation and Development (OECD); and 

       (b) shall expressly assume, by supplemental indenture (in form and substance reasonably satisfactory to the Trustee), executed and delivered to the Trustee, the due and punctual performance of every covenant of the Notes and this Indenture on the part of the Guarantor to be performed or observed thereunder (including the payment of Additional Amounts, subject to the same exceptions as set forth under Section 2.06);

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(2)              immediately after giving effect to such transaction and the assumption contemplated by clause (1)(b) above, no Event of Default shall have occurred or be continuing; and

(3)              the Guarantor or the Surviving Entity shall have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that such consolidation, merger, sale, assignment, transfer, lease, conveyance or other disposition and, if a supplemental indenture is required in connection with such transaction, such supplemental indenture comply with the applicable provisions of this Indenture and that all conditions precedent in this Indenture relating to such transaction have been satisfied.

Notwithstanding anything to the contrary in the foregoing, so long as no event or condition that, with the giving of notice, the lapse of time or failure to satisfy certain specified conditions, or any combination thereof, would constitute an Event of Default under this Indenture or the Notes or an Event of Default will have occurred and be continuing at the time of such proposed transaction or would result therefrom, any merger or consolidation of the Guarantor with an Affiliate organized solely for the purpose of reincorporating the Guarantor in another jurisdiction need only comply with Section 5.01(1).

The Issuer may not, and the Guarantor will not cause or permit the Issuer to (i) consolidate with or merge into any other Person or permit any other Person to consolidate with or merge into the Issuer (other than a consolidation or merger of the Guarantor or any of its Subsidiaries with or into the Issuer), or (ii) directly or indirectly, transfer, sell, lease or otherwise dispose of all or substantially all of its assets (determined on a consolidated basis of the Issuer and its Subsidiaries) to any Person (other than the Guarantor or any of its Subsidiaries), unless, in the case of each of (i) and (ii): 

(1)              in the case of a transaction in which the Issuer does not survive, the successor entity shall expressly assume, by a supplemental indenture executed and delivered to the Trustee, all of the Issuer’s obligations under the Indenture; 

(2)              if, as a result of any such transaction, property or assets of the Issuer would become subject to a Lien prohibited under Section 4.08, the Issuer or the successor entity shall have secured the Notes as described under Section 4.08; 

(3)              immediately after giving effect to such transaction, no Event of Default will have occurred and be continuing; and

(4)              the Issuer has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that such consolidation, merger, conveyance, transfer, lease or acquisition (and, if a supplemental indenture is required in connection with such transaction, such supplemental indenture) complies with this Section 5.01 and that all conditions precedent provided for in the indenture relating to such transaction have been complied with.

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Section 5.02. Successor Entity Substituted. Upon any consolidation, combination or merger or any transfer of all or substantially all of the assets of the Guarantor in accordance with the foregoing in which the Guarantor is not the surviving or the continuing corporation, the Surviving Entity shall succeed to, and be substituted for, and may exercise every right and power of, the Guarantor under this Indenture and the Notes with the same effect as if such Surviving Entity had been named as such. Upon such substitution the Guarantor shall be released from its obligations under this Indenture and the Guarantee, to the extent applicable.

Article 6
Default and Remedies

Section 6.01. Events of Default. The following events are defined as “Events of Default”:

(1)              any failure to pay the principal of or premium (including any related Additional Amounts), if any, on any Notes, when such principal becomes due and payable, at the Stated Maturity Date or any other Maturity Date, upon redemption or otherwise;

(2)              any failure to pay interest and Additional Amounts, if any, on any Notes or any other amount (other than principal for the Notes) when the same becomes due and payable, and the default continues for a period of thirty (30) days;

(3)              any failure to comply with Section 5.01;

(4)              a default in the observance or performance of any other covenant or agreement contained in this Indenture (other than the payment of the principal of, or premium, if any, or interest and Additional Amounts, if any, on any Note) which default continues for a period of sixty (60) days after the Guarantor receives written notice specifying the default (and demanding that such default be remedied) from the Trustee or the Holders of at least 25% of the outstanding principal amount of the Notes (with a copy to the Trustee if given by the Holders);

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(5)              any failure to pay at final maturity (giving effect to any applicable grace periods and any extensions thereof) the principal amount of any Indebtedness of the Guarantor or any of its Subsidiaries, or the acceleration of the final stated maturity of any such Indebtedness if the aggregate principal amount of such Indebtedness, together with the principal amount of any other such Indebtedness in default for failure to pay principal at final maturity or which has been accelerated, aggregates U.S.$125.0 million or more at any time;

(6)              one or more final and non-appealable judgments in an aggregate amount in excess of U.S.$125.0 million shall have been rendered against the Guarantor or any of its Subsidiaries (other than any judgment as to which a reputable and solvent third-party insurer has accepted full coverage) and such judgments remain undischarged, unpaid or unstayed for a period of 90 consecutive days after such judgment or judgments become final and non-appealable and amounts thereunder are due and payable;

(7)              the Issuer, the Guarantor or any Significant Subsidiary shall (a) apply for or consent to the appointment of a receiver, trustee, liquidator or similar official for all or any substantial part of the Property of the Issuer, the Guarantor or such Significant Subsidiary, (b) make a general assignment for the benefit of the creditors of the Issuer, the Guarantor or such Significant Subsidiary, (c) file a voluntary petition in bankruptcy or a petition seeking judicial reorganization (pedido de recuperação judicial), seeking extrajudicial reorganization (pedido de recuperação extrajudicial), or seeking to take advantage of any applicable insolvency law, (d) file any answer admitting the allegations of bankruptcy or insolvency of a petition filed against the Issuer, the Guarantor or such Significant Subsidiary in any bankruptcy, reorganization or insolvency proceeding, or (e) take any corporate action for the purpose of effecting any of the foregoing under Brazilian Law No. 11,101/05;

(8)              without its application, approval or consent, a proceeding shall be instituted in any court of competent jurisdiction, seeking in respect of the Issuer, the Guarantor or any Significant Subsidiary adjudication in bankruptcy (decretação de falência), dissolution, winding-up, liquidation, a composition, arrangement with creditors, readjustment of debt, the appointment of a trustee, receiver, administrator, liquidator or similar official for the Issuer, the Guarantor or such Significant Subsidiary or other like relief under any applicable bankruptcy or insolvency law; and either (a) such proceeding shall not be contested by the Issuer, the Guarantor or such Significant Subsidiary, or (b) such proceedings shall continue undismissed for any period of 120 consecutive days unless a judicial deposit is made for the claimed amounts; or

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(9)              any of the Notes, this Indenture or the Guarantee or any part thereof, shall cease to be in full force and effect or is declared to be null and void and unenforceable or inadmissible in evidence in the courts of Brazil, or is found to be invalid, or it becomes unlawful for the Issuer or the Guarantor, as the case may be, to perform any obligation thereunder, or the Issuer or the Guarantor, as the case may be, shall contest the enforceability of or deny its obligations under this Indenture or the Guarantee (other than by reason of release in accordance with the terms of this Indenture), or the Issuer shall contest the enforceability of or deny its obligations under the Notes or this Indenture.

Section 6.02. Acceleration.

(1)              If an Event of Default (other than an Event of Default specified in Section 6.01(7) or (8)) shall occur and be continuing and has not been waived, the Trustee or the Holders of at least 25% in principal amount of outstanding Notes may declare the principal of and premium, if any, accrued interest and Additional Amounts, if any, on all the Notes to be due and payable by notice in writing to the Issuer, the Guarantor and the Trustee (if given by the Holders) specifying the Event of Default and that it is a “notice of acceleration,” and the same shall become immediately due and payable. All amounts due and payable shall be paid in an amount in U.S. dollars.

(2)              If an Event of Default specified in Section 6.01(7) or (8) shall occur and be continuing, then all unpaid principal of, and premium, if any, and accrued and unpaid interest and Additional Amounts, if any, on all of the outstanding Notes shall ipso facto become and be immediately due and payable without any declaration or other act on the part of the Trustee or any Holder.

(3)              At any time after a declaration of acceleration with respect to the Notes as described in clause (1) or (2), the Holders of a majority in principal amount of the outstanding Notes may rescind and cancel such declaration and its consequences:

(a)              if the rescission would not conflict with any judgment or decree;

(b)              if all existing Events of Default have been cured or waived except nonpayment of principal, premium, if any, interest or Additional Amounts, if any, that has become due solely because of the acceleration;

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(c)              if the Issuer or the Guarantor has paid or deposited with the Trustee (to the extent the payment of such interest is lawful) interest on overdue installments of interest and overdue principal and premium, if any, and Additional Amounts, if any, which has become due otherwise than by such declaration of acceleration; and

(d)              if the Issuer or the Guarantor has paid or deposited with the Trustee compensation acceptable to the Trustee and reimbursed the documented expenses, disbursements and advances of the Trustee, its agents, and counsel under this Indenture.

No such rescission shall affect any subsequent Default or impair any right consequent thereto.

Section 6.03. Other Remedies. If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy by proceeding at law or in equity to collect the payment of principal of, premium, if any, or interest on the Notes or to enforce the performance of any provision of the Notes or this Indenture.

The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not produce any of them in the proceeding. A delay or omission by the Trustee or any Holder in exercising any right or remedy accruing upon an Event of Default shall not impair the right or remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative to the extent permitted by law.

Section 6.04. Waiver of Past Defaults. Subject to Section 2.10, Section 6.02, Section 6.07 and Section 9.02, the Holders of a majority in principal amount of the outstanding Notes may waive any existing Default or Event of Default, and its consequences, except a default in the payment of the principal of or premium, if any, interest or Additional Amounts, if any, on any Notes. When a Default or Event of Default is waived, it is cured and ceases to exist.

Section 6.05. Control by Majority. Subject to Section 2.10, the Holders of a majority in aggregate principal amount of the then outstanding Notes have the right to direct the time, method and place of conducting any proceeding for exercising any remedy available to the Trustee or exercising any trust or power conferred on the Trustee, including, without limitation, any remedies provided for in Section 6.03. Subject to Section 7.01 and Section 7.02; however, the Trustee may refuse to follow any direction (which direction, if sent to the Trustee, shall be in writing) that the Trustee reasonably believes conflicts with any applicable law or this Indenture, that the Trustee determines may be unduly prejudicial to the rights of another Holder, or that may subject the Trustee to personal liability; provided that the Trustee may take any other action deemed proper by the Trustee which is not inconsistent with such direction (which direction, if sent to the Trustee, shall be in writing).

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Section 6.06. Limitation on Suits. Except to enforce the right to receive payment of principal, premium, if any, or interest when due, no Holder may pursue any remedy with respect to this Indenture or the Notes unless:

(1)              such Holder has previously given the Trustee notice that an Event of Default is continuing;

(2)              Holders of at least 25% in aggregate principal amount of the then outstanding Notes voting as a single class have requested the Trustee to pursue the remedy;

(3)              such Holders have offered the Trustee security or indemnity satisfactory to the Trustee against any loss, liability or expense;

(4)              the Trustee has not complied with such request within sixty (60) days after the receipt of the request and the offer of security or indemnity; and

(5)              Holders of a majority in aggregate principal amount of the then outstanding Notes voting as a single class have not given the Trustee a direction inconsistent with such request within such 60-day period,

it being understood that a Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over another Holder or to enforce any right under this Indenture except in the manner herein provided and for the equal and proportionate benefit of all Holders.

Section 6.07. Rights of Holders to Receive Payment. Notwithstanding any other provision of this Indenture, the right of any Holder to receive payment of principal of, premium, if any, and interest on a Note, on or after the respective due dates expressed in such Note, or to bring suit for the enforcement of any such payment on or after such respective dates, shall not be impaired or affected without the consent of such Holder.

Section 6.08. Collection Suit by Trustee. If an Event of Default specified in Section 6.01(1) or (2) occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an express trust, in each case, against the Issuer, the Guarantor or any other obligor on the Notes for the whole amount of principal of, premium, if any, and accrued interest remaining unpaid on, the Notes, together with interest on overdue principal and, to the extent that payment of such interest is lawful, interest on overdue installments of interest at the rate set forth in Section 4.01 and 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 and its agents and counsel and any other amounts due the Trustee under Section 7.06.

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Section 6.09. Trustee May File Proofs of Claim. The Trustee is authorized 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 (including any claim for the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel) and the Holders allowed in any judicial proceedings relating to the Issuer, the Guarantor or any other obligor upon the Notes, any of their respective creditors or any of their respective property and shall be entitled and empowered to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same, and any Custodian in any such judicial proceedings 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 to 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 7.06.  The payment obligations of the Issuer under this Section 6.09 shall be secured in accordance with Section 7.06. Nothing herein contained 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 Notes 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 6.10. Priorities. If the Trustee collects any money or property pursuant to this Article Six, it shall pay out the money in the following order:

First: to the Trustee, its agents and attorneys, and the Agents for amounts due under Section 7.06 (including payment of all compensation, expenses and all liabilities incurred and all advances made by the Trustee and any Agent and the costs and expenses of collection);

Second: if the Holders pursuant to Section 6.06 proceed against the Issuer directly without the Trustee, to Holders for their collection costs;

Third: to Holders for amounts due and unpaid on the Notes for principal, premium, if any, and interest ratably, without preference or priority of any kind, according to the amounts due and payable on the Notes for principal, premium, if any, and interest, respectively; and

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Fourth: to the Issuer or any other obligor on the Notes, as their interests may appear, or as a court of competent jurisdiction may direct.

The Trustee, upon prior written notice to the Issuer, may fix a Record Date and payment date for any payment to Holders pursuant to this Section 6.10.

Section 6.11. Undertaking for Costs. All parties to this Indenture agree, and each Holder by its acceptance of its Note shall be deemed to have agreed, that in any suit for the enforcement of any right or remedy under this Indenture or in any suit by or against the Trustee for any action taken or omitted by it as Trustee a court in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys’ fees, against any party litigant in the suit, having due regard to the merits and good faith of the claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07, or a suit by a Holder or Holders of more than 10% in principal amount of the outstanding Notes.

Section 6.12. Restoration of Rights and Remedies. If the Trustee or any Holder has instituted any proceedings 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 Issuer, 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 has been instituted.

Article 7
Trustee

Section 7.01. Duties of Trustee.

(a)            If an Event of Default has occurred and is continuing, the Trustee shall exercise such rights and powers vested in it by this Indenture and use the same degree of care and skill in its exercise thereof as a prudent person would exercise or use under the circumstances in the conduct of his or her own affairs.

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(b)            Except during the continuance of an Event of Default:

(i)            the duties of the Trustee shall be determined solely by the express provisions of this Indenture and the Trustee need perform only such duties as are specifically set forth in this Indenture and no covenants or obligations shall be implied in or read into this Indenture against the Trustee; and

(ii)            in the absence of bad faith on its part, the Trustee may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture; provided, however, in case of any such certificates or opinions furnished to the Trustee which by the provisions hereof are specifically required to be furnished to the Trustee, the Trustee shall examine the certificates and opinions to determine whether or not they conform to the requirements of this Indenture.

(c)            Notwithstanding anything to the contrary herein contained, the Trustee may not be relieved from liability for its own negligent action, its own negligent failure to act, or its own willful misconduct, except that:

(i)            this clause (c) does not limit the effect of clause (b) above;

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

(iii)            the Trustee shall not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.05.

(d)            No provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any liability. The Trustee shall be under no obligation to exercise of any of its rights or powers under this Indenture at the request, order or direction of any Holders unless such Holders have offered to the Trustee security and indemnity satisfactory to the Trustee against the costs and expenses which may be incurred by it in compliance with such request, order or direction.

(e)            Whether or not therein expressly so provided, every provision of this Indenture that in any way relates to the Trustee is subject to clauses (a), (b), (c) and (d) of this Section 7.01.

(f)            The Trustee shall not be liable for interest on, or to invest, any money or assets received by it except as the Trustee may agree in writing with the Issuer. Money and assets held in trust by the Trustee need not be segregated from other funds or assets held by the Trustee except to the extent required by law.

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Section 7.02. Rights of Trustee.

(a)            The Trustee may conclusively rely and shall be fully protected in acting or refraining from acting upon any resolution, certificate, statement instrument, opinion, report, request direction, consent, order, bond, note or other paper or document believed by it to be genuine and to have been signed or presented by the proper Person.  The Trustee need not investigate any fact or matter stated in a document.

(b)            Before the Trustee acts or refrains from acting, it may consult with counsel and may require an Officers’ Certificate or an Opinion of Counsel, or both, which shall conform to Sections 12.03 and 12.04. The Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on such Officers’ Certificate or Opinion of Counsel. The written advice of the Trustee’s counsel or any Opinion of Counsel shall be full and complete authorization and protection from liability in respect of any action taken, suffered or omitted by the Trustee hereunder in good faith and in reliance thereon.

(c)            The Trustee may act through its attorneys and agents and shall not be responsible for the misconduct or negligence of any agent appointed with due care.

(d)            The Trustee shall not be liable for any action that it takes or omits to take in good faith which it reasonably believes to be authorized or within its rights or powers under this Indenture.

(e)            The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, notice, request, direction, consent, order, bond, debenture, or other paper or document, but the Trustee, in its discretion, 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, upon reasonable notice to the Issuer, to examine the books, records and premises of the Issuer, personally or by agent or attorney and to consult with the officers and representatives of the Issuer, including the Issuer’s accountants and attorneys. Except as expressly stated herein to the contrary, in no event shall the Trustee have any responsibility to ascertain whether there has been compliance with any of the covenants or provisions of Articles Four or Five hereof.

(f)            The Trustee shall not be required to give any bond or surety in respect of the performance of its powers and duties hereunder.

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(g)            Unless otherwise specifically provided in this Indenture, any demand, request, direction or notice from the Issuer shall be sufficient if signed by an Officer of the Issuer.

(h)            The Trustee shall not be deemed to have notice or be charged with knowledge of any Default or Event of Default unless a Trust Officer of the Trustee shall have received from the Issuer or any other obligor upon the Notes or from any Holder written notice thereof at its address set forth in Section 12.01 hereof, and such notice references the Notes and this Indenture.

(i)            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, each of the Agents and each other agent, custodian and other Person employed to act hereunder.

(j)            The Trustee may request that the Issuer 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 persons authorized to sign an Officers’ Certificate, including any person specified as so authorized in any such certificate previously delivered and not superseded.

(k)            The permissive right of the Trustee to take any action under this Indenture shall not be construed as an obligation or duty to so act.

(l)            The Trustee shall not be obligated to take any action with respect to any Event of Default specified in Section 6.01(7) or (8), unless it has been instructed to do so in writing by the Holders of at least 25% in principal amount of the outstanding Notes and has been offered security and indemnity satisfactory to the Trustee against the costs and expenses which may be incurred by it in compliance with such instruction.

(m)            In no event shall the Trustee be responsible or liable for special, indirect, or consequential or punitive loss or damage of any kind whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action.

(n)            Notwithstanding any provision herein to the contrary, in no event shall the Trustee be liable for any failure or delay in the performance of its obligations under this Indenture because of circumstances beyond its control, including, but not limited to, acts of God, flood, war (whether declared or undeclared), terrorism, fire, riot, strikes or work stoppages for any reason, embargo, government action, including any laws, ordinances, regulations or the like which restrict or prohibit the providing of the services contemplated by this Indenture, inability to obtain material, equipment, or communications or computer facilities, or the failure of equipment or interruption of communications or computer facilities, and other causes beyond its control whether or not of the same class or kind as specifically named above.

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(o)            The Trustee will implement the Subsequent Rate of Interest upon receipt from the Issuer of written notice of the Subsequent Rate of Interest and confirmation of the Interest Rate Step Up Date and absent such notice the Issuer shall hold harmless the Trustee. Failure by the Issuer to provide such notice shall in no way affect the Issuer’s rights with regard to the Subsequent Rate of Interest which, subject to the terms hereof, shall be deemed effective upon the Interest Rate Step Up Date.

Section 7.03. Individual Rights of Trustee. The Trustee in its individual or any other capacity may become the owner or pledgee of Notes and may otherwise deal with the Issuer, any Subsidiary of the Issuer or its respective Affiliates with the same rights it would have if it were not Trustee. Any Agent may do the same with like rights. However, the Trustee must comply with Sections 7.09 and 7.10 of this Indenture, and the Trustee is subject to Trust Indenture Act Sections 310(b) and 311.

Section 7.04. Trustee’s Disclaimer. The Trustee makes no representation as to the validity, adequacy or sufficiency of any offering materials, this Indenture, the Notes, or the Guarantee, and it shall not be accountable for the Issuer’s use of the proceeds from the Notes, and it shall not be responsible for any statement of the Issuer in this Indenture, the Notes or any other documents in connection with the issuance of the Notes other than the Trustee’s certificate of authentication, which shall be taken as the statements of the Issuer, and the Trustee assumes no responsibility for their correctness.

Section 7.05.Notice of Default. If a Default or an Event of Default occurs and is continuing and if a Trust Officer has received written notice thereof pursuant to Section 7.02(h), the Trustee shall notify the Holders in accordance with the second paragraph of Section 4.06.

Section 7.06. Compensation and Indemnity. The Issuer and the Guarantor, jointly and severally, shall pay to each of the Trustee and the Agents (each, an “Indemnified Party”) from time to time compensation for its respective services as Trustee or Agent, as the case may be, as agreed upon in writing with the Issuer. The Trustee’s compensation shall not be limited by any law on compensation of a trustee of an express trust. The Issuer and the Guarantor shall be, jointly and severally, liable to reimburse each Indemnified Party upon request for all reasonable out-of-pocket expenses incurred or made by such Indemnified Party in connection with the performance of its duties and the exercise of its rights under this Indenture, the Notes and the Guarantee. Such expenses shall include the reasonable fees and expenses of each of such Indemnified Party’s agents and counsel.

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The Issuer and the Guarantor, jointly and severally, hereby indemnify each Indemnified Party and its agents, employees, stockholders and directors and officers for, and holds each of them harmless from and against, any loss, cost, damage, claim, liability or expense (including taxes (other than taxes based upon the income of an Indemnified Party) and the fees and expenses of counsel) (collectively, “Losses”) incurred by any of them except for such Losses to the extent caused by any gross negligence, bad faith or willful misconduct on the part of such Indemnified Party, arising out of or in connection with this Indenture, the Notes, the Guarantee and/or the performance of its duties and the exercise of its rights and/or the administration of this trust, including the reasonable costs and expenses of enforcing this Indenture against the Issuer and/or the Guarantor (including this Section 7.06) and defending itself against any claim or liability in connection with the exercise or performance of any of such Indemnified Party’s rights, powers or duties hereunder or thereunder (including the reasonable fees and expenses of counsel). The Trustee shall notify the Issuer and the Guarantor promptly of any claim asserted against an Indemnified Party for which such Indemnified Party has advised the Trustee that it may seek indemnity hereunder. Failure by the Trustee to so notify the Issuer and the Guarantor shall not relieve the Issuer and the Guarantor of their respective obligations hereunder. At the Indemnified Party’s sole discretion, the Issuer and the Guarantor shall defend the claim and the Indemnified Party shall cooperate and may participate in the defense; provided that any settlement of a claim shall be approved in writing by the Indemnified Party. Alternatively, the Indemnified Party may at its option have separate counsel of its own choosing and the Issuer and the Guarantor, jointly and severally, shall be liable to pay the reasonable fees and expenses of such counsel. Neither the Issuer nor the Guarantor need pay for any settlement made without its written consent, which consent shall not be unreasonably withheld.

To secure the Issuer’s and the Guarantor’s payment obligations in this Section 7.06, each Indemnified Party shall have a Lien prior to the Notes, on and the right to set-off any amounts owed to it hereunder from, all money or property held or collected by the Trustee, in its capacity as Trustee, except assets or money held in trust to pay principal of or interest on particular Notes which have been called for redemption.

When an Indemnified Party incurs expenses or renders services after an Event of Default specified in Section 6.01 (7) or (8) occurs, such expenses (including the reasonable fees and expenses of its counsel) and the compensation for such services are intended to constitute expenses of administration under any Bankruptcy Law.

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The obligations of the Issuer and the Guarantor under this Section 7.06 shall survive the satisfaction and discharge of this Indenture, the payment of the Notes, and the resignation or removal of the Trustee.

The Trustee shall comply with the provisions of Trust Indenture Act Section 312(b)(2) to the extent applicable.

Section 7.07. Replacement of Trustee. The Trustee may resign by so notifying the Issuer and the Guarantor. The Holders of a majority in aggregate principal amount of the outstanding Notes may remove the Trustee by so notifying the Issuer and the Trustee in writing and may appoint a successor Trustee. The Issuer or the Guarantor, by a Board Resolution, may remove the Trustee if:

(1)              the Trustee fails to comply with Section 7.09;

(2)              the Trustee is adjudged bankrupt or insolvent;

(3)              a receiver or other public officer takes charge of the Trustee or its property; or

(4)              the Trustee becomes incapable of acting with respect to the Notes.

If the Trustee resigns, is removed by the Issuer or the Guarantor or by the Holders of a majority in aggregate principal amount of Notes then outstanding and the Holders do not reasonably promptly appoint a successor Trustee, or if a vacancy exists in the office of Trustee for any reason, the Issuer or the Guarantor shall notify each Holder in writing of such event and shall promptly appoint a successor Trustee. Within one year after the successor Trustee takes office, the Holders of a majority in aggregate principal amount of the outstanding Notes may appoint a successor Trustee to replace the successor Trustee appointed by the Issuer. 

A successor Trustee shall deliver a written acceptance of its appointment to the retiring Trustee and to the Issuer 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 rights, powers, trusts, duties and obligations of the retiring Trustee and shall duly assign, transfer and deliver to such successor Trustee all property and money held by such Trustee so ceasing to act hereunder subject nevertheless to its Lien, if any, provided for in Section 7.06. Upon request of the Issuer or the successor Trustee, such retiring Trustee shall at the expense of the Issuer and upon payment of the charges of the Trustee then unpaid, 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.

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If a successor Trustee does not take office within thirty (30) days after the retiring Trustee resigns or is removed, the retiring Trustee, at the Issuer’s expense, the Issuer or the Holders of at least 10% in principal amount of the outstanding Notes may petition any court of competent jurisdiction for the appointment of a successor Trustee.

If the Trustee fails to comply with Section 7.09, any Holder who satisfies the requirements of Trust Indenture Act Section 310(b) may petition any court of competent jurisdiction for the removal of the Trustee and the appointment of a successor Trustee.

The Issuer shall give notice of any resignation and any removal of the Trustee and each appointment of a successor Trustee to all Holders in writing. Each notice shall include the name of the successor Trustee and the address of its Corporate Trust Office and its notice address for purposes of Section 12.01.

Notwithstanding any resignation or replacement of the Trustee pursuant to this Section 7.07, the Issuer’s obligations under Section 7.06 shall continue for the benefit of the retiring Trustee.

Section 7.08. Successor Trustee by Merger, Etc. If the Trustee consolidates with, merges or converts into, or transfers all or substantially all of its corporate trust business (including this transaction) to, another Person, the resulting, surviving or transferee Person without any further act shall be the successor Trustee; provided, however, that such Person shall be otherwise qualified and eligible under this Article 7.

In case any Notes 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 Notes so authenticated with the same effect as if such successor Trustee had itself authenticated such Notes

Section 7.09. Eligibility; Disqualification. (a)  This Indenture shall always have a Trustee who satisfies the requirements of Trust Indenture Act Sections 310(a)(1), (2), (3) and (5).  The Trustee (or, in the case of a corporation included in a bank holding company system, the related bank holding company) shall have a combined capital and surplus of at least U.S.$50,000,000 as set forth in its most recent published annual report of condition. In addition, if the Trustee is a corporation included in a bank holding company system, the Trustee, independently of such bank holding company, shall meet the capital requirements of Trust Indenture Act Section 310(a)(2). The Trustee shall comply with Trust Indenture Act Section 310(b); provided, however, that there shall be excluded from the operation of Trust Indenture Act Section 310(b)(1) any indenture or indentures under which other securities, or certificates of interest or participation in other securities, of the Issuer are outstanding if the requirements for such exclusion set forth in Trust Indenture Act Section 310(b)(1) are met. The provisions of Trust Indenture Act Section 310 shall apply to the Issuer, as obligor of the Notes.

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(b)            If the Trustee has or acquires 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 7.10. Preferential Collection of Claims Against the Issuer. The Trustee shall comply with Trust Indenture Act Section 311(a), excluding any creditor relationship listed in Trust Indenture Act Section 311(b). A Trustee who has resigned or been removed shall be subject to Trust Indenture Act Section 311(a) to the extent indicated therein.

Section 7.11. Trustee as Agent. References to the Trustee in this Indenture, including Article 7 shall include the Trustee in its role as Registrar, Paying Agent and Transfer Agent.

Section 7.12. 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 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 Issuer or the Guarantor may be based, insofar as it relates to legal matters, upon a certificate or opinion, or representation 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 or representation by 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 Issuer or the Guarantor stating that the information with respect to such factual matters is in the possession of the Issuer or the Guarantor, unless such counsel has actual knowledge that the certificate or opinion or representations with respect to such matters are erroneous.

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. 

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Article 8
Satisfaction and Discharge of Indenture

Section 8.01. Legal Defeasance and Covenant Defeasance. (a)  The Issuer and the Guarantor may, at their option and at any time, elect to have either Section 8.01(b) or Section 8.01(c) below be applied to the outstanding Notes upon compliance with the applicable conditions set forth in Section 8.01(d).

(b)            Upon the Issuer’s and the Guarantor’s exercise under Section 8.01(a) of the option applicable to this Section 8.01(b), the Issuer and the Guarantor shall be deemed to have been released and discharged from their obligations with respect to the outstanding Notes and the Guarantee on the date the applicable conditions set forth below are satisfied (hereinafter, “Legal Defeasance”). For this purpose, such Legal Defeasance means that the Issuer  shall be deemed to have paid and discharged the entire Indebtedness represented by the outstanding Notes, which shall thereafter be deemed to be “outstanding” only for the purposes of the Sections and matters under this Indenture referred to in clauses (i), (ii) and (iii) below, and the Issuer and the Guarantor shall be deemed to have satisfied all their other obligations under such Notes and this Indenture and the Guarantee, except for the following which shall survive until otherwise terminated or discharged hereunder: (i) the rights of Holders of outstanding Notes to receive solely from the trust fund described in Section 8.01(d) and as more fully set forth in such clause, payments in respect of the principal of and premium, if any, interest and Additional Amounts, if any, on such Notes when such payments are due, (ii) obligations listed in Section 8.03, subject to compliance with this Section 8.01 and (iii) the rights, powers, trust, duties and immunities of the Trustee and Agents and the obligation of the Issuer in connection therewith. The Issuer may exercise its option under this Section 8.01(b) notwithstanding the prior exercise of its option under Section 8.01(c) below with respect to the Notes.

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(c)            Upon the Issuer’s and the Guarantor’s exercise under Section 8.01(a) of the option applicable to this clause (c), the Issuer and the Guarantor and the Guarantor’s Subsidiaries shall be released and discharged from their obligations under any covenant contained in Section 4.04, Section 4.07 through 4.09, and Section 5.01(2), with respect to the outstanding Notes on and after the date the conditions set forth below are satisfied (hereinafter, “Covenant Defeasance”), and the Notes shall thereafter be deemed to be not “outstanding” for the purpose of any direction, waiver, consent or declaration or act of Holders (and the consequences of any thereof) in connection with such covenants, but shall continue to be deemed “outstanding” for all other purposes hereunder (it being understood that such Notes shall not be deemed outstanding for accounting purposes). For this purpose, such Covenant Defeasance means that, with respect to the outstanding Notes, the Issuer and the Guarantor may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in any such covenant, whether directly or indirectly, by reason of any reference elsewhere herein to any such covenant or by reason of any reference in any such covenant to any other provision herein or in any other document and such omission to comply shall not constitute a Default or an Event of Default under Section 6.01, but, except as specified above, the remainder of this Indenture and such Notes shall be unaffected thereby. In addition, upon the Issuer’s and the Guarantor’s exercise under Section 8.01 hereof of the option applicable to this clause (c), subject to the satisfaction of the conditions set forth in clause (d) below, the events described in Sections 6.01(3) (solely with respect to Section 5.01(2), (4), (5), (6), and, solely with respect to a Significant Subsidiary, Sections 6.01(7) and (8), shall not constitute Events of Default.

(d)            The following shall be the conditions to application of either Section 8.01(b) or Section 8.01(c) above to the outstanding Notes:

(1)            The Issuer or the Guarantor shall have irrevocably deposited in trust with the Trustee, pursuant to an irrevocable trust and security agreement in form and substance reasonably satisfactory to the Trustee, in trust, for the benefit of the holders cash in U.S. dollars, non-callable U.S. government obligations, or a combination thereof, in such amounts as are sufficient, in the written opinion of a nationally recognized firm of independent public accountants delivered to the Trustee, to pay the principal of, premium, if any, interest and Additional Amounts, if any, on the outstanding Notes on the stated dates for payment thereof or on the applicable Redemption Date, as the case may be; provided, however, that the Trustee (or other qualifying trustee) shall have received an irrevocable written order from the Issuer or the Guarantor instructing the Trustee (or other qualifying trustee) to apply such proceeds of such non-callable U.S. government obligations to said payments with respect to the Notes to maturity or redemption;

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(2)            In the event the Issuer and the Guarantor elect Section 8.01(b) above, the Issuer or the Guarantor shall have delivered to the Trustee an Opinion of Counsel in the United States confirming that (a) the Issuer or the Guarantor has received from, or there has been published by, the U.S. Internal Revenue Service a ruling; or (b) since the Issue Date, there has been a change in the applicable U.S. federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders  and beneficial owners of the Notes will not recognize income, gain or loss for U.S. federal income tax purposes as a result of such Legal Defeasance contemplated hereby and will be subject to U.S. federal income tax in the same amounts, in the same manner and at the same times as would have been the case if such Legal Defeasance had not occurred;

(3)            In the event the Issuer and the Guarantor elect Section 8.01(c) above, the Issuer or the Guarantor shall have delivered to the Trustee an Opinion of Counsel in the United States confirming that the Holders and beneficial owners of the Notes will not recognize income, gain or loss for U.S. federal income tax purposes as a result of such Covenant Defeasance contemplated hereby and will be subject to U.S. federal income tax in the same amounts, in the same manner and at the same times as would have been the case if such Covenant Defeasance had not occurred;

(4)            No Event of Default shall have occurred and be continuing on the date of such deposit pursuant to clause (1) of this Section 8.01(d);

(5)                Such Legal Defeasance or Covenant Defeasance shall not result in a breach of, or constitute a default under any material agreement or instrument (other than this Indenture) to which the Guarantor or any of its Subsidiaries is a party or by which the Guarantor or any of its Subsidiaries is bound;

(6)                The Trustee shall have received an Officers’ Certificate of the Issuer and the Guarantor stating that the deposit under clause (1) of this Section 8.01(d) was not made by the Issuer or the Guarantor with the intent of preferring the Holders over any other creditors of the Issuer or the Guarantor, or with the intent of defeating, hindering, delaying or defrauding any other creditors of the Issuer, the Guarantor or others; and

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(7)                The Trustee shall have received an Officers’ Certificate of the Issuer and the Guarantor and an Opinion of Counsel, each stating that all conditions precedent provided for or relating to the Legal Defeasance or the Covenant Defeasance, as the case may be, have been complied with.

In the event all or any portion of the Notes are to be redeemed through such irrevocable trust, the Issuer must make arrangements reasonably satisfactory to the Trustee, at the time of such deposit, for the giving of the notice of such redemption or redemptions by the Trustee in the name and at the expense of the Issuer.

Section 8.02. Satisfaction and Discharge.  In addition to the Issuer’s and the Guarantor’s responsive rights under Section 8.01, the Issuer or the Guarantor may terminate all of their respective obligations under this Indenture, the Guarantee and the Notes (subject to Section 8.03), and this Indenture, the Guarantee and the Notes, shall be discharged and shall cease to be of further effect (except as to surviving rights, powers, trust, duties and immunities of the Trustee and Agents or registration of transfer or exchange of the Notes, as expressly provided for in this Indenture) as to all outstanding Notes when:

(1) either:

(a)              all the Notes theretofore authenticated and delivered (except lost, stolen or destroyed Notes which have been replaced or paid and Notes for whose payment money has theretofore been deposited in trust or segregated and held in trust by the Issuer or the Guarantor and thereafter repaid to the Issuer or the Guarantor or discharged from such trust) have been delivered to the Trustee for cancellation; or

(b)              all Notes not theretofore delivered to the Trustee for cancellation (i) have become due and payable, (ii) will become due and payable at their stated maturity within one year or (iii) are to be called for redemption within one year under arrangements reasonably satisfactory to the Trustee, and the Issuer or the Guarantor has irrevocably deposited or caused to be deposited with the Trustee funds in an amount sufficient to pay and discharge the entire Indebtedness on the Notes not theretofore delivered to the Trustee for cancellation, for principal of, premium, if any, interest and Additional Amounts, if any, on the Notes to the date of deposit (if amounts are then due and payable) or to the Redemption Date or Maturity Date together with irrevocable instructions from the Issuer or the Guarantor directing the Trustee to apply such funds to the payment thereof at maturity or redemption, as the case may be;

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(2)              no Event of Default has occurred and is continuing on the date of the deposit or will occur as a result of the deposit;

(3)              the Issuer or the Guarantor has paid all other sums payable by each under this Indenture; 

(4)              the Issuer or the Guarantor has delivered irrevocable instructions to the Trustee under this Indenture to apply the deposited money toward the payment of the Notes at maturity or the Redemption Date, as the case may be; and

(5)              the Trustee shall have received an Officers’ Certificate of the Issuer and the Guarantor and an Opinion of Counsel stating that all conditions precedent under this Indenture relating to the satisfaction and discharge of this Indenture have been complied with.

Section 8.03. Survival of Certain Obligations. Notwithstanding the satisfaction and discharge of this Indenture and of the Notes referred to in Section 8.02, the respective obligations of the Issuer, the Guarantor and the Trustee under Sections 2.03, 2.04, 2.05, 2.07, 2.08 and 2.09, Article 7 and Sections 8.05, 8.06 and 8.07 shall survive until the Notes are no longer outstanding, and thereafter the obligations of the Issuer and the Trustee under Sections 7.06, 8.04, 8.05 and 8.06 and 8.07 shall survive.

Section 8.04. Acknowledgment of Discharge by Trustee. Subject to Section 8.07, after (i) the conditions of Section 8.02 have been satisfied, (ii) the Issuer has paid or caused to be paid all other sums payable hereunder by the Issuer and (iii) the Issuer has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions precedent referred to in clause (i) above relating to the satisfaction and discharge of this Indenture have been complied with, the Trustee, upon written request, shall acknowledge in writing the discharge of the Issuer’s obligations under this Indenture except for those surviving obligations specified in Section 8.03.

Section 8.05. Application of Trust Moneys. The Trustee shall hold any amount in U.S. dollars or non-callable U.S. government obligations deposited with it in the irrevocable trust established pursuant to Section 8.01. The Trustee shall apply the deposited amount in U.S. dollars or the non-callable U.S. government obligations, together with earnings thereon, through any Paying Agent, in accordance with this Indenture and the terms of the irrevocable trust agreement established pursuant to Section 8.01, to the payment of principal of, premium, if any, interest and Additional Amounts, if any, on the Notes. Anything in this Article Eight to the contrary notwithstanding and subject to Section 7.06, the Trustee shall deliver or pay to the Issuer from time to time upon the Issuer’s request any amount in U.S. dollars or non-callable U.S. government obligations held by it as provided in Section 8.01 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 that would then be required to be deposited to effect an equivalent Legal Defeasance or Covenant Defeasance.

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Each of the Issuer and the Guarantor shall pay and indemnify, jointly and severally, the Trustee against any tax, fee or other charge imposed on or assessed against the non-callable U.S. government obligations deposited pursuant to Section 8.01 or the principal, premium, if any, 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 Notes.

Section 8.06. Repayment to the Issuer; Unclaimed Money. Subject to Sections 7.06, 8.01, 8.02 and 8.05, the Trustee and each Paying Agent shall promptly pay to the Issuer upon written request from the Issuer any excess amount in U.S. dollars or non-callable U.S. government obligations held by them at any time. The Trustee and each Paying Agent shall pay to the Issuer, upon receipt by the Trustee or such Paying Agent, as the case may be, of a written request from the Issuer, any money held by it for the payment of principal, premium, if any, or interest that remains unclaimed for two years after payment to the Holders is required, without interest thereon. After payment to the Issuer, Holders entitled to money must look solely to the Issuer for payment as general creditors unless an applicable abandoned property law designated another Person, and all liability of the Trustee or any Paying Agent with respect to such money shall thereupon cease.

Claims against the Issuer for the payment of principal, premium, if any, interest or Additional Amounts, if any, in respect of the Notes will be prescribed unless made within six years of the due date for payment of such principal, premium, if any, or interest and Additional Amounts, if any.

Section 8.07. Reinstatement. If the Trustee or Paying Agent is unable to apply any amount in U.S. dollars or non-callable U.S. government obligations in accordance with Section 8.01 or 8.02 by reason of any legal proceeding or by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the Issuer’s obligations under this Indenture and each other Indenture Document to which such person is a party shall be revived and reinstated as though no deposit had occurred pursuant to Section 8.01 or 8.02 until such time as the Trustee or Paying Agent is permitted to apply all such amount in U.S. dollars or non-callable U.S. government obligations in accordance with Section 8.01 or 8.02; provided, however, that if the Issuer has made any payment of premium, if any, or interest on or principal of any Notes because of the reinstatement of its obligations, the Issuer shall be subrogated to the rights of the Holders of such Notes to receive such payment from the money or non-callable U.S. government obligations held by the Trustee or Paying Agent. 

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Article 9
Amendments, Supplements and Waivers

Section 9.01. Modification of the Indenture Without Consent of Holders. From time to time, the Issuer, the Guarantor and the Trustee, without the consent of the Holders, may amend, modify or supplement this Indenture, the Notes and/or the Guarantee:

(1)              to cure any ambiguity, defect or inconsistency contained therein;

(2)              to provide for uncertificated Notes in addition to or in place of certificated Notes;

(3)              to provide for the assumption of (i) the Issuer’s obligations under this Indenture and under the Notes, or (ii) the Guarantor’s obligations under this Indenture and the Guarantee, in each case, in accordance with Section 5.01;

(4)              to provide for the assumption of the Issuer’s obligations under this Indenture and the Notes in accordance with Article Ten;

(5)              to allow any Subsidiary or any other Person to guarantee the Notes;

(6)              to provide for the issuance of Additional Notes in accordance with this Indenture;

(7)              to evidence the replacement of the Trustee as provided for under this Indenture;

(8)              if necessary, in connection with any addition or release of any security permitted under this Indenture;

(9)              to conform the text of this Indenture, the Notes or the Guarantee to any provision of the section of the Offering Memorandum, entitled “Description of the Notes,” to the extent that such provision in such section was intended to be a verbatim recitation of a provision of this Indenture, the Guarantee or the Notes;

(10)            to surrender any right conferred upon the Issuer or the Guarantor;

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(11)            to comply with any requirements of the SEC in connection with any qualification of this Indenture under the Trust Indenture Act; or

(12)            to make any other change that would provide any additional rights or benefits to the Holders or that does not materially and adversely affect the rights of any such Holder or beneficial owner under this Indenture, the Notes or the Guarantee.

After an amendment, modification, waiver or supplement under this Section 9.01 becomes effective, the Issuer shall give to the Holders affected thereby a notice as provided under Section 12.01 briefly describing the amendment, modification, waiver or supplement. Any failure of the Issuer to give such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such amendment, modification, waiver or supplement. 

Section 9.02. Modification of the Indenture with Consent of Holders.  The Issuer and the Guarantor, when authorized by a Board Resolution, and the Trustee, together, with the written consent of the Holder or Holders of at least a majority in aggregate principal amount of the then outstanding Notes, may amend or supplement this Indenture, the Notes and the Guarantee. The Holder or Holders of a majority in aggregate principal amount of the then outstanding Notes may waive compliance by the Issuer or the Guarantor, as the case may be, with any provision of this Indenture or the Notes. However, no amendment, supplement or waiver, including a waiver pursuant to Section 6.04, shall without the consent of each Holder affected thereby:

(1)              reduce the percentage of the principal amount of the Notes whose Holders must consent to an amendment, supplement or waiver of any provision of this Indenture or the Notes;

(2)              reduce the rate of or change or have the effect of changing the time for payment of interest, including defaulted interest, or Additional Amounts, if any, on any Notes;

(3)              reduce the principal of or change or have the effect of changing the fixed maturity of any Notes, or change the date on which any Notes may be subject to redemption or reduce the Redemption Price therefor;

(4)              after the time an Offer to Purchase is required to have been made, reduce the purchase amount or purchase price, or extend the latest expiration date or purchase date thereunder;

(5)              change the currency or place of payment in which amounts due in respect of the Notes are payable;

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(6)              make any change in provisions of this Indenture (i) protecting the contractual right of each Holder expressly set forth in this Indenture to receive payment of principal of, premium, if any, interest, and Additional Amounts, if any, on such Note on or after the due date thereof, (ii) protecting the contractual right of each Holder expressly set forth in this Indenture to bring suit to enforce such payment, or (iii) permitting Holders of a majority in outstanding principal amount of Notes to waive certain Defaults or Events of Default;

(7)              subordinate the Notes in right of payment to any other Indebtedness of the Issuer or the Guarantor or otherwise affect the ranking of the Notes or the Guarantee in a manner adverse to the Holders;

(8)              make any change in the Guarantee that would materially and adversely affect the Holders otherwise than in accordance with the terms of this Indenture;

(9)              release any security interest that may have been granted in favor of the Holders other than pursuant to the terms of such security interest;

(10)            amend or modify the provisions described under Section 2.06 or reduce the price payable pursuant to Section 3.02 of this Indenture and Paragraphs 5(A), 5(B) or 5(C) of the Notes, or an Offer to Purchase made pursuant to Section 4.11; or

(11)            make any change in the preceding amendment and waiver provisions.

The consent of the Holders is not necessary under this Indenture to approve the particular form of any proposed amendment. It is sufficient if such consent approves the substance of the proposed amendment. After an amendment to this Indenture pursuant to the preceding paragraph becomes effective, the Issuer will be required to give notice to the Holders as provided under Section 12.01 briefly describing such amendment. Any failure to give such notice to all Holders, or any defect therein, will not impair or affect the validity of such amendment.

Section 9.03. Revocation and Effect of Consents. Until an amendment, waiver or supplement becomes effective, a consent to it by a Holder is a continuing consent by the Holder and every subsequent Holder of a Note or portion of a Note that evidences the same debt as the consenting Holder’s Note, even if notation of the consent is not made on any Note. Subject to the following paragraph, any such Holder or subsequent Holder may revoke the consent as to such Holder’s Note or portion of such Note by written notice to the Trustee and the Issuer received before the date on which the Trustee receives written consents from the Holders of the requisite percentage in principal amount of the outstanding Notes or an Officers’ Certificate certifying that the Holders of the requisite principal amount of Notes have consented (and not theretofore revoked such consent) to the amendment, supplement or waiver, whichever first occurs. An amendment, waiver or supplement shall become effective upon receipt by the Trustee of written consents from the Holders of the requisite percentage in principal amount of the outstanding Notes or such Officers’ Certificate, whichever first occurs, and the execution thereof by the Trustee.

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The Issuer may, but shall not be obligated to, fix a Record Date for the purpose of determining the Holders entitled to consent to any amendment, supplement or waiver, which Record Date shall be either (i) at least thirty (30) days prior to the first solicitation of such consent or (ii) the date of the most recent list furnished to the Trustee under Section 2.05. If a Record Date is fixed, then notwithstanding the last sentence of the immediately preceding paragraph, those Persons who were Holders at such Record Date (or their duly designated proxies), and only those Persons, shall be entitled to revoke any consent previously given, whether or not such Persons continue to be Holders after such Record Date. No such consent shall be valid or effective for more than ninety (90) days after such Record Date.

After an amendment, supplement or waiver becomes effective, it shall bind every Holder unless it makes a change described in any of clauses (1) through (9) of Section 9.02, in which case, the amendment, supplement or waiver shall bind only each Holder of a Note who has consented to it and every subsequent Holder of a Note or portion of a Note that evidences the same debt as the consenting Holder’s Note; provided that any such waiver shall not impair or affect the right of any Holder to receive payment of principal of, premium, if any, and interest on a Note, on or after the respective due dates expressed in such Note, or to bring suit for the enforcement of any such payment on or after such respective dates without the consent of such Holder; and provided, further, that new Notes with such amendments or waivers will be issued to those consenting Holders.  Such new Notes shall have separate CUSIP numbers, ISINs and Common Codes from those Notes held by non-consenting Holders.

Section 9.04. Notation on or Exchange of Notes. If an amendment, supplement or waiver changes the terms of a Note, the Trustee may require the Holder of the Note to deliver the Note to the Trustee. The Trustee at the written direction of the Issuer may, but is not required to, place an appropriate notation on the Note about the changed terms and return it to the Holder and the Trustee may place an appropriate notation on any Note thereafter authenticated. Alternatively, if the Issuer or the Trustee so determines, the Issuer in exchange for the Note shall issue and the Trustee shall authenticate a new Note that reflects the changed terms. Failure to make an appropriate notation, or issue a new Note, shall not affect the validity and effect of such amendment, supplement or waiver. Any such notation or exchange shall be made at the sole cost and expense of the Issuer. Failure to make the appropriate notation or issue a new Note shall not affect the validity and effect of such amendment, supplement or waiver.

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Section 9.05. Trustee to Sign Amendments, Etc. The Trustee shall execute any amendment, supplement or waiver authorized pursuant to this Article Nine; provided that the Trustee may, but shall not be obligated to, execute any such amendment, supplement or waiver which affects the rights, duties, indemnities or immunities of the Trustee under this Indenture. The Trustee shall be entitled to receive, and shall be fully protected in relying upon, in addition to any other documents required by Section 12.03, an Opinion of Counsel and an Officers’ Certificate each stating that the execution of any amendment, supplement or waiver is authorized or permitted by this Indenture. Such Opinion of Counsel shall not be an expense of the Trustee and shall be paid for by the Issuer.

Article 10
Substitution of the Issuer

Section 10.01. Substitution of the Issuer. The Issuer may, without the consent of any Holder of the Notes, be replaced and substituted by any direct or indirect Subsidiary of the Guarantor as principal debtor in respect of the Notes (in that capacity, the “Substituted Issuer”); provided that the following conditions are satisfied:

(1)               such documents shall be executed by the Substituted Issuer, the Issuer, the Guarantor and the Trustee as may be necessary to give full effect to the substitution, including a supplemental indenture under which the Substituted Issuer assumes all of the Issuer’s obligations under this Indenture and the Notes (the “Issuer Substitution Documents”); and pursuant to which the Substituted Issuer shall undertake in favor of each Holder, the Trustee and the Agents to be bound by the terms and conditions of the Notes and the provisions of this Indenture as fully as if the Substituted Issuer had been named in the Notes and herein as the principal debtor in respect of the Notes in place of the Issuer (or any previous substitute) and pursuant to which the Guarantor shall continue to unconditionally and irrevocably guarantee in favor of each Holder the payment of all sums payable by the Substituted Issuer as such principal debtor on the same terms mutatis mutandis as the Issuer, and the covenants and Events of Default shall apply to the Substituted Issuer in respect of the Notes as if no such substitution had occurred, it being the intent that the rights of Holders in respect of the Notes shall be unaffected by such substitution;

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(2)               if Natura Cosméticos ceases to be the Issuer under this Indenture and the Notes, the Issuer Substitution Documents shall provide that Natura Cosméticos shall unconditionally and irrevocably guarantee in favor of each Holder of the Notes the payment of all sums payable by the Substituted Issuer as such principal debtor on the same terms mutatis mutandis as the Guarantor;

(3)               if the Substituted Issuer is organized in a jurisdiction other than Brazil, the Issuer Substitution Documents will contain covenants (i) to ensure that each Holder of Notes has the benefit of a covenant in terms corresponding to the obligations of the Issuer, in respect of the payment of Additional Amounts (but replacing references to Brazil in Section 2.06 with references to the other jurisdiction of organization of the Substituted Issuer); and (ii) to indemnify the Holder of Notes against all taxes or duties that arise by reason of a law or regulation in effect on the effective date of the substitution that are incurred or levied against such Holder in Brazil as a result of the substitution and that would not have been so incurred or levied had the substitution not been made;

(4)               the Issuer shall have delivered, or procured the delivery, to the Trustee of a legal opinion from a firm of lawyers in the country of incorporation of the Substituted Issuer, to the effect that the Issuer Substitution Documents constitute legal, valid and binding obligations of the Substituted Issuer;

(5)               the Issuer shall have delivered, or procured the delivery, to the Trustee of a legal opinion from a firm of Brazilian lawyers acting for the Issuer to the effect that the Issuer Substitution Documents constitute legal, valid and binding obligations of the Issuer;

(6)               the Issuer shall have delivered, or procured the delivery, to the Trustee of a legal opinion from a leading firm of New York lawyers to the effect that the Issuer Substitution Documents constitute legal, valid and binding obligations of the parties thereto under New York law;

(7)               the Substituted Issuer shall have appointed a process agent in the Borough of Manhattan, the City of New York to receive service of process on its behalf in relation to any legal action or proceedings arising out of or in connection with the Notes or the Issuer Substitution Documents;

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(8)               there shall be no outstanding Event of Default in respect of the Notes; and

(9)               the substitution shall comply with all applicable requirements under the laws of the jurisdiction of organization of the Substituted Issuer and Brazil.

Upon the execution of the Issuer Substitution Documents as referred to in paragraph (1) above, the Substituted Issuer shall be deemed to be named in the Notes as the principal debtor in place of the Issuer (or of any previous substitute under these provisions) and the Notes shall thereupon be deemed to be amended to give effect to the substitution. The execution of the Issuer Substitution Documents shall operate to release the Issuer (or such previous substitute as aforesaid) from all its obligations in respect of the Notes and this Indenture including its obligation to indemnify the Trustee and Agents under this Indenture.

The Issuer Substitution Documents shall be deposited with and held by the Trustee for so long as any Note remains outstanding and for so long as any claim made against the Substituted Issuer or the Issuer by any Holder in relation to the Notes or the Issuer Substitution Documents shall not have been finally adjudicated, settled or discharged.  

Not later than 10 Business Days after the execution of the Issuer Substitution Documents, the Substituted Issuer shall give notice thereof to the Holders in accordance with the provisions described herein.

Article 11
Guarantee

Section 11.01. Guarantee. The Guarantor hereby fully, irrevocably and unconditionally guarantees on a senior unsecured basis (such guarantee to be referred to herein as the “Guarantee”), to each of the Holders and the Trustee and their respective successors and assigns that (i) the principal of, premium, if any, interest, and Additional Amounts, if any, on the Notes shall be promptly paid in full when due, subject to any applicable grace period, whether upon an Interest Payment Date, at the Stated Maturity Date or any other Maturity Date, upon redemption pursuant to the terms of the Notes, by acceleration or otherwise, and, to the extent permitted by applicable law, interest on the overdue principal of, premium, if any, and interest on the Notes and all costs and expenses (including legal fees and expenses) incurred by Holders to enforce their rights under the Guarantee, and all other Obligations of the Issuer to the Holders and the Trustee hereunder or thereunder shall be promptly paid in full or performed, all in accordance with the terms hereof and thereof; and (ii) in case of any extension of time of payment or renewal of any of the Notes or of any such other obligations, the same shall be promptly paid in full when due or performed in accordance with the terms of the extension or renewal, subject to any applicable grace period, whether at stated maturity, by acceleration or otherwise, subject, however, in the case of clauses (i) and (ii) above, to the limitations set forth in Section 11.03.

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The Guarantee shall rank equal in right of payment with all existing and future senior unsecured obligations of the Guarantor (other than obligations preferred by statute or by operation of law) and rank senior in right of payment to all existing and future Indebtedness that is subordinated to the Guarantee of the Guarantor. The Guarantor hereby agrees that its obligations hereunder shall be unconditional, irrespective of the validity, regularity or enforceability of the Notes or this Indenture, the absence of any action to enforce the same, any waiver or consent by the Trustee or any of the Holders with respect to any provisions hereof or thereof, the recovery of any judgment against the Issuer, any action to enforce the same or any other circumstance which might otherwise constitute a legal or equitable discharge or defense of the Guarantor. The Guarantor hereby waives diligence, presentment, demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Issuer, any right to require a proceeding first against the Issuer, protest, notice and all demands whatsoever and covenants that this Guarantee shall not be discharged except by complete performance of the obligations contained in the Notes, this Indenture and in this Guarantee.

The Guarantor unconditionally and irrevocably waive any and all rights provided under Articles 333, sole paragraph, 366, 368, 821, 827, 829, 830, 832, 833, 834, 835, 837, 838 and 839 of the Brazilian Civil Code and Articles 130 and 794 of the Brazilian Civil Procedure Code.

If any Holder or the Trustee is required by any court or otherwise to return to the Issuer, the Guarantor, or any Custodian, trustee, liquidator or other similar official acting in relation to the Issuer or the Guarantor, any amount paid by the Issuer or the Guarantor to the Trustee or such Holder, this Guarantee, to the extent theretofore discharged, shall be reinstated in full force and effect. The Guarantor further agrees that, as between the Holders and the Trustee (x) the maturity of the obligations guaranteed hereby may be accelerated as provided in Article Six for the purposes of its Guarantee notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the obligations guaranteed hereby, and (y) in the event of any acceleration of such obligations as provided in Article Six, such obligations (whether or not due and payable) shall forthwith become due and payable by the Guarantor for the purpose of its Guarantee.

Section 11.02. Release of the Guarantor. The Guarantor will be automatically and unconditionally released from its Guarantee (and may subsequently dissolve) without any action required on the part of the Trustee or any Holder:

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(1)              if the Issuer or the Guarantor exercises its Legal Defeasance option or its Covenant Defeasance option as described in Section 8.01;

(2)              upon satisfaction and discharge of this Indenture in accordance with Section 8.02 or payment in full in immediately available funds of the principal of premium, if any, accrued and unpaid interest on the Notes and all other Obligations; or

The Trustee shall promptly execute and deliver an appropriate instrument evidencing such release upon receipt of a written request by the Issuer or the Guarantor accompanied by an Officers’ Certificate certifying as to compliance with this Section 11.02. If the Guarantor has not been so released, it remains liable for the full amount of its Guarantee as provided in this Article Eleven.

Section 11.03. Limitation of the Guarantor’s Liability. The Guarantor and, by its acceptance of a Note, each of the Holders hereby confirms that it is the intention of all such parties that the guarantee by the Guarantor pursuant to the Guarantee not constitute a fraudulent transfer or conveyance for purposes of any Bankruptcy Law, any applicable law relating to fraudulent conveyance or fraudulent transfer or similar laws affecting the rights of creditors generally. To effectuate the foregoing intention, the Holders and the Guarantor hereby irrevocably agree that the obligations of the Guarantor under its Guarantee shall be limited to the maximum amount as shall, after giving effect to all other contingent and fixed liabilities of the Guarantor and after giving effect to any collections from or payments made by the Guarantor under its Guarantee, result in the obligations of the Guarantor under its Guarantee not constituting such fraudulent transfer or conveyance. 

Section 11.04. Waiver of Stay, Extension or Usury Laws. The Guarantor covenants to the extent permitted by law 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 or extension law or any usury law or other law that would prohibit or forgive the Guarantor from performing its Guarantee as contemplated herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the performance of its Guarantee; and the Guarantor hereby expressly waives to the extent permitted by law all benefit or advantage of any such law, and covenants that it shall not hinder, delay or impede the execution of any power herein granted to the Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted.  

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Article 12
Miscellaneous

Section 12.01. Notices. Any notices or other communications required or permitted hereunder shall be in English and in writing, and shall be sufficiently given if made by hand delivery, overnight courier, by facsimile or electronic transmission or registered or certified mail, postage prepaid, return receipt requested, addressed as follows: 

If to the Trustee:           The Bank of New York Mellon, as Trustee
 240 Greenwich Street, Floor 7 East

                                    New York, New York 10286
Telephone: 212-815-3697
Email: gcs.specialty.glam.conv@bnymellon.com
Attention: Global Corporate Trust – Global Americas

If to the Issuer or the Guarantor:            c/o Natura &Co Holding S.A.
Avenida Alexandre Colares No. 1,188, Vila Jaguara, 05106-000, São Paulo, SP, Brazil 
Email: itamargaino@natura.net
Attention: Itamar Gaino Filho, Chief Legal and Compliance Officer

Each of the Issuer, the Guarantor and the Trustee by written notice to the other parties hereto may designate additional or different addresses for notices to such Person. Any notice or communication to the Issuer, the Guarantor or the Trustee shall be deemed to have been given or made as of the date of actual receipt thereof.

Any notice or communication mailed to a Holder of Definitive Notes shall be mailed to such Holder by first class mail, postage prepaid, or other equivalent means at such Holder’s address as it appears on the Register maintained by the Registrar and shall be sufficiently given to such Holder if so mailed within the time prescribed.  Any notice or communication given to a Holder of Global Notes shall be given to the Depositary in accordance with its Applicable Procedures. For the avoidance of doubt, notwithstanding any other provision herein, where this Indenture provides for notice of any event to any Holder of an interest in Global Notes (whether by mail or otherwise), such notice shall be sufficiently given if given to the Depositary for such Notes (or its designee), according to the Applicable Procedures of each Depositary, if any, prescribed for the giving of such notice.

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Any requirement of notice under this Indenture may be waived by the Person entitled to such notice before or after such notice is required to be given, and such waivers shall be filed with the Trustee. 

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

In respect of this Indenture, none of the Trustee nor any Agent shall have any duty or obligation to verify or confirm that the Person sending instructions, directions, reports, notices or other communications or information by electronic transmission is, in fact, a Person authorized to give such instructions, directions, reports, notices or other communications or information on behalf of the party purporting to send such electronic transmission (an “Instruction”). If the Trustee or Agent acts upon an Instruction, the Trustee’s or Agent’s, as applicable, understanding of such Instructions shall be deemed controlling. None of the Trustee nor any Agent shall have any liability for any losses, liabilities, costs or expenses incurred or sustained by any party as a result of such reliance upon or compliance with Instructions notwithstanding such Instructions conflict or are inconsistent with a subsequent written instruction. The Issuer agrees to assume all risks arising out of the use of electronic methods to submit Instructions to the Trustee and/or any Agent, including without limitation the risk of the Trustee and/or any Agent acting on unauthorized Instructions, and the risk of interception and misuse by third parties. The Issuer (i) acknowledges that it is fully informed of the protections and risks associated with the various methods of transmitting Instructions and that there may be more secure methods of transmitting Instructions than the method(s) selected by the Issuer, (ii) acknowledges that the security procedures (if any) to be followed in connection with its transmission of Instructions provide to it a commercially reasonable degree of protection in light of its particular needs and circumstances, and (iii) agrees to notify the Trustee and Agent immediately upon learning of any compromise or unauthorized use of the security procedures.  

Section 12.02. Communications by Holders with Other Holders. Holders may communicate pursuant to Trust Indenture Act Section 312(b) with other Holders with respect to their rights under this Indenture, the Notes or the Guarantee. The Issuer, the Guarantor, the Trustee, the Registrar, the Transfer Agents and any other Person shall have the protection of Trust Indenture Act Section 312(c).

Section 12.03. Certificate and Opinion as to Conditions Precedent. Upon any request or application by the Issuer or the Guarantor to the Trustee to take any action under this Indenture, the Issuer or the Guarantor, as the case may be, shall furnish to the Trustee upon request:

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(1)              an Officers’ Certificate, in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of the signers, all conditions precedent to be performed by the Issuer or the Guarantor, as the case may be, if any, provided for in this Indenture relating to the proposed action have been complied with; and

(2)              an Opinion of Counsel in form and substance reasonably satisfactory to the Trustee stating that, in the opinion of such counsel, all such conditions precedent to be performed by the Issuer or the Guarantor, as the case may be, if any, provided for in this Indenture relating to the proposed action have been complied with.

Section 12.04. Statements Required in Certificate or Opinion. Each certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture, other than the Officers’ Certificate required by Section 4.06 or delivered pursuant to Section 2.02, shall include substantially:

(1)              a statement that the Person making such certificate or opinion has read such covenant or condition;

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

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

(4)              a statement as to whether or not, in the opinion of each such Person, such condition or covenant has been complied with.

Section 12.05. Governing Law. THIS INDENTURE, THE NOTES AND THE GUARANTEE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.  

FOR THE PURPOSES OF PARAGRAPH 2 OF ARTICLE 9 OF BRAZILIAN DECREE LAW NO. 4,657, OF SEPTEMBER 4, 1942, AS AMENDED, WHICH STATES THAT THE OBLIGATIONS ARISING UNDER THIS INDENTURE ARE DEEMED UNDERTAKEN IN THE JURISDICTION IN WHICH THE PROPONENT IS DOMICILED, AND FOR NO OTHER PURPOSES WHATSOEVER, THE TRUSTEE IS THE PROPONENT OF THIS INDENTURE.

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Section 12.06. No Adverse Interpretation of Other Agreements. This Indenture may not be used to interpret another indenture, loan or debt agreement of the Issuer or any of its Subsidiaries. Any such indenture, loan or debt agreement may not be used to interpret this Indenture.

Section 12.07. No Recourse Against Others. No past, present or future director, officer, employee, incorporator, or shareholder of the Issuer or the Guarantor, as such, shall have any liability for any obligations of the Issuer or the Guarantor under the Notes, the Guarantee or this Indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting a Note waives and releases all such liability. The waiver and release are part of the consideration for the issuance of the Notes.

Section 12.08. Successors. All agreements of the Issuer and the Guarantor in this Indenture, the Notes and the Guarantee shall bind their successors. All agreements of the Trustee in this Indenture shall bind its successors.

Section 12.09. Duplicate Originals. All parties may sign any number of copies of this Indenture. Each signed copy shall be an original, but all of them together shall represent the same agreement.

Section 12.10. Entire Agreement. This Indenture, including the documents referred to herein, contains the entire understanding of the parties hereto with respect to the subject matter contained herein, and there are no promises, undertakings, representations or warranties by the parties hereto relative to the subject matter hereof not expressly specified or referred to herein.

Section 12.11. Severability. In case any one or more of the provisions in this Indenture, the Notes or the Guarantee shall be held invalid, illegal or unenforceable, in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions shall not in any way be affected or impaired thereby, it being intended that all of the provisions hereof shall be enforceable to the full extent permitted by law.

Section 12.12. Waiver of Jury Trial. EACH OF THE PARTIES HERETO AND EACH HOLDER BY PURCHASE OF THE NOTES IRREVOCABLY WAIVE, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING AMONG THE PARTIES ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES, THE GUARANTEE OR THE TRANSACTIONS CONTEMPLATED HEREBY.

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Section 12.13. Consent to Jurisdiction; Waivers; Appointment of Agent for Service of Process. (a)  Each of the parties hereto hereby irrevocably and unconditionally submits to the non-exclusive jurisdiction of the United States District Court for the Southern District of New York or of any New York State court (in either case sitting in the Borough of Manhattan, New York City), with all applicable courts of appeal therefrom, with respect to actions brought against it as a defendant, for purposes of all legal proceedings arising out of or relating to this Indenture, the Notes, the Guarantee or the transactions contemplated hereby.  Each of the parties hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, any objection that it may now or hereafter have to the laying of the venue of any such proceeding throughout in such a court, any claim that any such proceeding brought in such a court has been brought in an inconvenient forum and any objection based on place of residence or domicile.  Nothing herein shall be deemed to limit the ability of any party to this Indenture or any other Person to bring suit against the Issuer in any other permissible jurisdiction. 

(b)            Each of the Issuer and the Guarantor irrevocably appoints Cogency Global Inc., 122 East 42nd Street, 18th Floor, New York, New York 10168, United States, as its authorized agent on which any and all legal process may be served in any such action, suit or proceeding brought in the United States District Court for the Southern District of New York or in any New York State court (in either case sitting in the Borough of Manhattan, New York City).  Such appointment shall be irrevocable so long as any of the Notes or the Guarantee remain outstanding or until the irrevocable appointment of a successor agent. Each of the Issuer and the Guarantor agrees that service of process in respect of it upon such agent, together with written notice of such service sent to it in the manner provided for in Section 12.01, shall be deemed to be effective service of process upon it in any such action, suit or proceeding. Each of the Issuer and the Guarantor agrees that the failure of such agent to give notice to it of any such service of process shall not impair or affect the validity of such service or any judgment rendered in any action, suit or proceeding based thereon. If for any reason such agent shall cease to be available to act as such (including by reason of the failure of such agent to maintain an office in New York City), each of the Issuer and the Guarantor agrees promptly to designate a new agent in New York City, on the terms and for the purposes of this Section 12.13. Nothing herein shall in any way be deemed to limit the ability of the Trustee or any Holder to serve any such legal process in any other manner permitted by applicable law or to obtain jurisdiction over the Issuer or the Guarantor or bring actions, suits or proceedings against it in such other jurisdictions, and in such manner, as may be permitted by applicable law.

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(c)            To the extent that either the Issuer or the Guarantor has or hereafter may acquire any immunity from jurisdiction of any court or from any legal process (whether through service of notice, attachment prior to judgment, attachment in aid of execution or execution, on the ground of sovereignty or otherwise) with respect to itself or its Property, it hereby irrevocably waives, to the fullest extent permitted by applicable law, such immunity in respect of its obligations under this Indenture, the Notes or the Guarantee.

(d)            This Indenture, the Notes, the Guarantee and any other documents delivered pursuant hereto, and any actions taken hereunder, constitute commercial acts by the Issuer and the Guarantor. Each of the Issuer and the Guarantor irrevocably and unconditionally and to the fullest extent permitted by law, waives, and agrees not to plead or claim, any immunity from jurisdiction of any court or from any legal process (whether through service of notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) for itself of any of its property, assets or revenues wherever located with respect to its obligations, liabilities or any other matter under or arising out of or in connection with this Indenture, the Notes, the Guarantee or any document delivered pursuant hereto, in each case for the benefit of its assigns, it being intended that the foregoing waiver and agreement will be effective, irrevocable and not subject to withdrawal in any and all jurisdictions, and, without limiting the generality of the foregoing, agrees that the waivers set forth in this paragraph shall have the fullest scope permitted under the U.S. Foreign Sovereign Immunities Act of 1976 and are intended to be irrevocable for the purposes of such act.

(e)            Each of the Issuer and the Guarantor irrevocably waives, to the fullest extent permitted by applicable law, any claim that any action or proceeding relating in any way to this Indenture (or the Notes or the Guarantee) should be dismissed or stayed by reason, or pending the resolution, of any action or proceeding commenced by the Issuer relating in any way to this Indenture (or the Notes or the Guarantee) whether or not commenced earlier. To the fullest extent permitted by applicable law, the Issuer and the Guarantor shall take all measures necessary for any such action or proceeding to proceed to judgment before the entry of judgment in any such action or proceeding commenced by the Issuer.

Section 12.14. Indemnification of Judgment Currency. Each reference in this Indenture to U.S. dollars, including by use of the symbol “U.S.$”, is of the essence. The Issuer and the Guarantor shall, jointly and severally, so long as they are not prohibited to do so pursuant to any applicable law or regulation, indemnify the Trustee and any Holder against any loss incurred by it, as a result of any judgment or order being given or made for any amount expressed to be due to such person under this Indenture, such Note or the Guarantee in U.S. dollars and being expressed and paid in a currency (the “Judgment Currency”) other than U.S. dollars, and as a result of any variation between (i) the rate of exchange at which the U.S. dollar amount is converted into the Judgment Currency for the purpose of such judgment or order and (ii) the spot rate of exchange in New York City at which the Trustee or such Holder, as the case may be, on the date of payment of such judgment or order is able to purchase U.S. dollars with the amount of the Judgment Currency actually received by the Trustee or such Holder. If the amount of U.S. dollars so purchased are greater than the amount originally due to the Trustee or such Holder hereunder, the Trustee or such Holder agrees to pay to the Issuer or the Guarantor, as the case may be, an amount equal to the excess of the U.S. dollars so purchased over the amount originally due to the Trustee or such Holder hereunder. The foregoing indemnity shall constitute a separate and independent obligation from the other obligations of the Issuer and the Guarantor; shall give rise to a separate and independent cause of action; shall continue in full force and effect despite any other judgment, order, claim or proof for a liquidated amount in respect of any sum due under any Note or the Guarantee or any other judgment; and shall apply irrespective of any waiver or indulgence granted by the Trustee or any Holder. The term “spot rate of exchange” shall include any premiums and costs of exchange payable in connection with the purchase of, or conversion into, U.S. dollars. The provisions of this Section 12.14 shall survive the satisfaction and discharge of this Indenture.

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Section 12.15. Headings and Table of Contents. Section headings and the table of contents in this Indenture have been inserted for convenience of reference only and shall in no way restrict or otherwise modify any of the terms or provisions hereof.

Section 12.16. Use of English Language. Any certificate, report, request, demand, authorization, direction, notice, consent or waiver required or permitted under this Indenture shall be in the English language or accompanied by an English translation thereof, except that any published notice may be in an official language of the country of publication.

Section 12.17. USA Patriot Act. The parties hereto acknowledge that, in accordance with Section 326 of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law on October 26, 2001)) (as amended, modified or supplemented from time to time, the “USA PATRIOT Act”), the Trustee, like all financial institutions, is required to obtain, verify, and record information that identifies each person or legal entity that opens an account. The parties to this Agreement agree that they will provide the Trustee with such information as the Trustee may request in order for the Trustee to satisfy the requirements of the USA PATRIOT Act. 

Section 12.18. OFAC. The Issuer covenants and represents that neither it nor any of its subsidiaries, directors or officers nor, to the knowledge of the Issuer, any affiliates of the Issuer, are the target or subject of any sanctions enforced by the U.S. Government, (including, without limitation, the Office of Foreign Assets Control of the U.S. Department of the Treasury (“OFAC”) or the US Department of State), the United Nations Security Council, the European Union, Her Majesty’s Treasury, or other relevant sanctions authority (collectively “Sanctions”).  The Issuer covenants and represents that neither it nor any of its subsidiaries, directors or officers will use any repayments/reimbursements made pursuant the Transaction Documents, (i) to fund or facilitate any activities or business of or with any Person or in any country or territory that, at the time of such funding or facilitation, is the subject of Sanctions, or (ii) in any other manner that will result in a violation of Sanctions by any Person. 

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SIGNATURES

IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed, all as of the date first written above.

	
	
Natura Cosméticos S.A.

	
	
By:

	
/s/ João Paulo Brotto Gonçalves Ferreira

	
	
 

	
Name:

	
João Paulo Brotto Gonçalves Ferreira

	
	
 

	
Title:

	
Presidente Operacoes

	
	
 

	
 

	
 

	
	
 

	
 

	
 

	
	
By:

	
/s/ Ana Beatriz Costa

	
	
 

	
Name:

	
Ana Beatriz Costa

	
	
 

	
Title:

	
03536803773

 

 

	
	
Natura &Co Holding S.A.

	
	
By:

	
/s/ Jose Antonio de Almeida Filippo

	
	
 

	
Name:

	
Jose Antonio de Almeida Filippo

	
	
 

	
Title:

	
Conselho

	
	
 

	
 

	
 

	
	
 

	
 

	
 

	
	
By:

	
/s/ Itamar Gaino Filho

	
	
 

	
Name:

	
Itamar Gaino Filho

	
	
 

	
Title:

	
Vice Presidente Jurídico e Compliance

[Signature Page to the Indenture]

	

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THE BANK OF NEW YORK MELLON, as Trustee, Paying Agent, Registrar 
and Transfer Agent

	
 

	
 By:

	
Wanda Camacho

	
 

	
 

	Name: 	
Wanda Camacho

	
 

	
 

	Title:	
Vice President

 

[Signature Page to the Indenture]

	

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EXHIBIT A

[Insert the Global Note Legend, if applicable pursuant to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable pursuant to the provisions of the Indenture]

[Rule 144A Global Note]
[Regulation S Global Note]

[Definitive Note]

	Registered Holder: [Cede & Co]	
	
	

	
	[CUSIP:	
	1
	
	ISIN:	
	

	
	Common Code:	
	

4.125% Sustainability-Linked Notes due 2028

	No.	
	
	U.S.	2

Natura Cosméticos S.A. (the “Issuer”) was incorporated as, a corporation (sociedade anônima) incorporated under the laws of the Federative Republic of Brazil, registered under the Brazilian tax number (Cadastro Nacional da Pessoa Jurídica — CNPJ) No. 71.673.990/0001-77, and with registered office at Avenida Alexandre Colares, No. 1188, Vila Jaguara, 05106-000, São Paulo, Brazil.

The Issuer promises to pay to [Cede & Co.] or registered assigns, the principal sum of _______________ U.S. DOLLARS (or such greater or lesser amount as may from time to time be endorsed in accordance with the Indenture on the “Schedule of Increases and Decreases of Interests in the Global Note” attached hereto) on May 3, 2028.

Additional provisions set forth on the reverse of this Note shall have the same effect as if set forth in this place.

	
	

	1	For Rule 144A Global Note: CUSIP: 63883K AB1 / ISIN: US63883KAB17 / Common Code: 233897787.  For Regulation S Global Note: CUSIP: P7088C AC0 / ISIN: USP7088CAC03 / Common Code: 233897833.
	
	

	2	 For Rule 144A Global Note: U.S.$500,441,000.00.  For Regulation S Global Note: U.S.$499,559,000.00.

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Interest Payment Dates:  May 3 and November 3, commencing on November 3, 2021.

Record Dates: April 18 and October 18.

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Natura Cosméticos S.A.

	
	
By:

	
 

	
	
 

	
Name:

	
 

	
	
 

	
Title:

	
 

	
	
 

	
 

	
 

	
	
 

	
 

	
 

	
	
By:

	
 

	
	
 

	
Name:

	
 

	
	
 

	
Title:

	
 

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

THE BANK OF NEW YORK MELLON, as Trustee
certifies that this is one of the Notes issued under
the within-mentioned Indenture.

	
 

	
 

	
 

	
By:

	
 

	
 

	
Dated:

	
Authorized Signatory

	
 

	
 

	
 

	
 

	
 

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Reverse of Note

4.125% Sustainability-Linked Notes due 2028

Capitalized terms used herein have the meanings assigned to them in the Indenture referred to below unless otherwise indicated. 

(1)              INTEREST. Natura Cosméticos S.A., a corporation (sociedade anônima) incorporated under the laws of the Federative Republic of Brazil (the “Issuer”), promises to pay interest on the principal amount of this Note at the rate per annum shown above. Interest on the Note will accrue from the most recent date on which interest has been paid or, if no interest has been paid, from and including the date of issuance. The Issuer will pay interest semi-annually in arrears in immediately available funds on each Interest Payment Date, commencing on November 3, 2021.  The Issuer will, to the extent permitted by applicable law, pay interest (including post-petition interest in any proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on demand at a rate that is 1% per annum in excess of the rate then in effect; and it will, to the extent permitted by applicable law, pay interest on overdue installments of interest from time to time on demand at the same rate. 

From and including November 3, 2027 (the “Interest Rate Step Up Date”), the interest rate payable on the Notes will be increased by 65 basis points to 4.775% per annum (the “Subsequent Rate of Interest”) unless the Issuer has notified (the “Satisfaction Notification”) the Trustee in accordance with Section 12.01 in writing at least thirty (30) days prior to the Interest Rate Step Up Date (the “Notification Date”) that in respect of the year ended December 31, 2026: (i) the Sustainability Performance Targets have been satisfied in respect of the year ended December 31, 2026 and (ii) the satisfaction of each of the Sustainability Performance Targets has been confirmed by the External Verifier in accordance with its customary procedures. If as of the Notification Date (x) the Issuer fails, or is unable, to provide the Satisfaction Notification, (y) the Sustainability Performance Targets have not been satisfied or (z) the External Verifier has not confirmed satisfaction of each of the Sustainability Performance Targets, the Subsequent Rate of Interest will apply for each interest period from and including the Interest Rate Step Up Date up to, and including, the Stated Maturity Date.

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

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(2)              METHOD OF PAYMENT: The Issuer shall pay interest on the Notes (except defaulted interest) to the Persons who are the registered Holders at the close of business on the Record Date immediately preceding the Interest Payment Date even if the Notes are cancelled on registration of transfer or registration of exchange after such Record Date, and on or before such Interest Payment Date. Holders must surrender Notes to a Paying Agent to collect principal payments. The Issuer shall pay principal and interest in U.S. dollars. The Notes will be payable as to principal, premium and interest at the office or agency of the Issuer maintained for such purpose within or without the City and State of New York, or, at the option of the Issuer, payment of interest may be made by check payable in U.S. dollars mailed to the Holders at their addresses set forth in the register of Holders; provided that payment by wire transfer of immediately available funds will be required with respect to principal of, interest, and premium, if any, on all Global Notes and all other Notes the Holders of which will have provided wire transfer instructions to the Issuer or any Paying Agent.

(3)              AGENTS.  Initially, The Bank of New York Mellon, the Trustee under the Indenture, will act as Registrar, Transfer Agent and Paying Agent. 

(4)              INDENTURE. The Notes and the Guarantee were issued under an Indenture, dated as of May 3, 2021 (the “Indenture”), among the Issuer, the Guarantor named therein, the Trustee and the other parties thereto. The terms of the Notes include those stated in the Indenture. Notwithstanding anything to the contrary herein, the Notes are subject to all such terms, and Holders of Notes are referred to the Indenture for a statement of such terms. The Notes are senior unsecured obligations of the Issuer. Each Holder, by accepting a Note, agrees to be bound by all of the terms and provisions of the Indenture, as the same may be amended from time to time.

(5)              REDEMPTION AND REPURCHASE.

(A)             Redemption for Tax Reasons.  The Issuer or Guarantor may, at its option, redeem the Notes, in whole but not in part, upon notice of not less than ten (10) nor more than sixty (60) days, at a Redemption Price equal to 100% of the principal amount thereof, plus accrued and unpaid interest (subject to the right of the Holders of record on the relevant Record Date to receive interest due on the relevant Interest Payment Date) and Additional Amounts, if any, to the Redemption Date, if as a result of:

(1)              any amendment to, or change in, the laws or treaties (or any regulations or rulings promulgated thereunder) of a Taxing Jurisdiction; or

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(2)              any amendment to or change in an official interpretation or application regarding such laws, treaties, regulations or rulings (including a determination by a court of competent jurisdiction), 

which amendment or change becomes effective on or after the Issue Date, (i) the Issuer or the Guarantor, as the case may be, has become or would become obligated to pay, on the next date on which any amount would be payable with respect to the Notes (and, in respect of the Obligations of the Guarantor, the Guarantor is making or will be making payments with respect to the Notes in lieu of the Issuer), any Additional Amounts in excess of those attributable to a Brazilian withholding tax rate of 15% (or in the case of any successor Person to the Issuer or the Guarantor who is a Non-Resident Holder of the Notes, the rate of withholding applicable to payments on the Notes in the jurisdiction in which such successor is resident on the date such successor replaces the Issuer or the Guarantor, as applicable), determined without regard to any interest, fees, penalties or other additions to tax and (ii) the Issuer or the Guarantor, as the case may be, determines in good faith that such obligation cannot be avoided by the use of reasonable measures available to the Issuer or the Guarantor (including, without limitation, by changing the jurisdiction from which or through which payment is made, to the extent such change would be a reasonable measure in light of the circumstances); provided that:

(a)              no such notice of redemption may be given earlier than sixty (60) days prior to the earliest date on which the Issuer or the Guarantor, as the case may be, would be obligated to pay such Additional Amounts were a payment in respect of the Notes then due and payable, and

(b)              at the time such notice is given, such obligation to pay such Additional Amounts remains in effect.

No such redemption shall be effective unless and until the Trustee receives the amount payable upon redemption as set forth above.

Immediately prior to the delivery of any notice of redemption to the Holders pursuant to this provision, the Issuer or the Guarantor will deliver to the Trustee:

(i)              an Officers’ Certificate (A) stating that the Issuer is entitled to effect such redemption, (B) setting forth a statement of facts showing that the conditions precedent to the right of the Issuer to so redeem have occurred, and (C) stating that all governmental approvals, if any, necessary to effect such redemption have been obtained and are in full force and effect, and

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(ii)              an Opinion of Counsel in the relevant Taxing Jurisdiction, to the effect that (A) the Issuer or the Guarantor, as the case may be, has or will become obligated to pay such Additional Amounts as a result of such amendment or change and (B) all governmental approvals, if any, necessary to effect such redemption have been obtained and are in full force and effect.

Any notice of redemption pursuant to this provision will be irrevocable.

The foregoing provisions will apply mutatis mutandis to the laws and official interpretations or applications of any jurisdiction in which any successor permitted under Section 5.01 of the Indenture or the Substituted Issuer (as described under Section 10.01 of the Indenture) is organized, but only with respect to events arising after the date of succession or substitution.

(B)              Optional Redemption with Make-Whole Premium.  The Issuer or the Guarantor may, at its option, redeem the Notes, in whole or in part, at any time prior to the Par Call Date, upon not more than 60 and not fewer than ten (10) days’ notice to the Holders of the Notes. The Issuer or the Guarantor may redeem the Notes either as a whole or in part at a Redemption Price equal to the greater of (i) 100% of the principal amount of the Notes being redeemed and (ii) the sum of the present values of each remaining scheduled payment of principal and interest thereon (exclusive of any such interest accrued to the date of redemption) as if the Notes were redeemed on the Par Call Date, discounted (for purposes of determining present value) to the redemption date on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the Treasury Rate plus 50 basis points, plus accrued and unpaid interest and Additional Amounts, if any, thereon through, but excluding, the redemption date; provided that Notes in an aggregate principal amount equal to at least U.S.$100 million remain outstanding immediately after the occurrence of any partial redemption of Notes. 

The value of the accrued and unpaid interest will be calculated using the Subsequent Interest Rate, unless the Sustainability Performance Target has been satisfied and the issuer has provided the Satisfaction Notification to the trustee, in which case the Initial Rate of Interest will be used for making the calculation.

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(C)              Optional Redemption at Par.  The Issuer or the Guarantor may, at its option, redeem the Notes, in whole or in part, at any time on or after the Par Call Date. The Issuer or the Guarantor may redeem the Notes either as a whole or in part at a Redemption Price equal to100.000% of the principal amount of the Notes being redeemed plus accrued and unpaid interest and Additional Amounts, if any, on the principal amount of the Notes being redeemed to, but excluding, such redemption date; provided that Notes in an aggregate principal amount equal to at least U.S.$100 million remain outstanding immediately after the occurrence of any partial redemption of Notes.

(D)              Offer to Purchase. Notwithstanding the foregoing, in connection with any tender offer (including any Offer to Purchase in connection with a Change of Control made in accordance with the terms of the indenture) for Notes, in the event that the Holders of not less than 85% of the aggregate principal amount of the outstanding Notes validly tender and do not withdraw the Notes in such tender offer or a third party purchases all the Notes held by such holders, the Guarantor will have the right, on not less than 10 nor more than sixty (60) days’ prior notice, given not more than thirty (30) days following such purchase date, to redeem all of the Notes that remain outstanding following such purchase at a price equal to the price paid to each other holder in such tender offer plus, to the extent not included in the purchase price, accrued and unpaid interest and Additional Amounts, if any, on the Notes that remain outstanding, to the date of redemption (subject to the right of Holders of record on the relevant Record Date to receive interest due on the relevant Interest Payment Date).

There is no sinking fund or mandatory redemption applicable to this Note.

“Treasury Rate” means, with respect to any Redemption Date, the rate per annum equal to the semiannual equivalent yield to maturity or interpolated maturity (on a day count basis) of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date.

“Comparable Treasury Issue” means the United States Treasury security or securities selected by an Independent Investment Banker as having an actual or interpolated maturity comparable to the Par Call Date to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of a comparable maturity to the Par Call Date.

“Comparable Treasury Price” means, with respect to any Redemption Date, (1) the average of the Reference Treasury Dealer Quotations for such Redemption Date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than four such Reference Treasury Dealer Quotations, the average of all such quotations. 

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“Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the Issuer or the Guarantor.

“Reference Treasury Dealer” means BofA Securities, Inc. and HSBC Securities (USA) Inc., or their respective affiliates which are primary United States government securities dealers, and two other leading primary United States government securities dealers in New York City reasonably designated by the Issuer; provided, however, that if any of the foregoing shall cease to be a primary United States government securities dealer in New York City (a “Primary Treasury Dealer”), the Issuer will substitute therefor another Primary Treasury Dealer.

“Reference Treasury Dealer Quotation” means, with respect to each Reference Treasury Dealer and any Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Independent Investment Banker by such Reference Treasury Dealer at 3:30 p.m. New York time on the third Business Day preceding such Redemption Date.

(6)              NOTICE OF REDEMPTION. Notice of redemption will be given at least ten (10) days but not more than sixty (60) days before the Redemption Date to each Holder of Notes to be redeemed in accordance with Section 12.01 of the Indenture. If fewer than all of the Notes are to be redeemed, at any time, selection of Notes for redemption will be made in accordance with Section 3.03 of the Indenture; provided that no partial redemption will reduce the principal amount of a Note not redeemed to a denomination of less than U.S.$200,000.

Except as set forth in the Indenture, if monies for the redemption of the Notes called for redemption shall have been deposited with any Paying Agent for redemption on the Business Day prior to such Redemption Date sufficient to pay such Redemption Price plus accrued and unpaid interest and Additional Amounts, if any, to the Redemption Date, the Notes called for redemption will cease to bear interest from and after such Redemption Date, and the only remaining right of the Holders of such Notes will be to receive payment of the Redemption Price plus accrued and unpaid interest as of the Redemption Date upon surrender to any Paying Agent of the Notes redeemed.

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(7)              ADDITIONAL AMOUNTS. The Issuer shall pay to the Holders of Notes such Additional Amounts as may become payable under Section 2.06 of the Indenture.

(8)              DENOMINATIONS, TRANSFER, EXCHANGE. The Notes are in registered form without coupons in denominations of U.S.$200,000 and integral multiples of U.S.$1,000. A Holder shall register the transfer of or exchange of Notes in accordance with the Indenture. The Transfer Agent or Registrar may require a Holder, among other things, to furnish appropriate endorsements and transfer documents and to pay any taxes, fees or similar governmental charges payable in connection therewith as permitted by the Indenture. No Agent need register the transfer of or exchange of any Notes or portions thereof selected for redemption.

(9)              PERSONS DEEMED OWNERS. Subject to the rights of Holders as of a Record Date to receive interest on the related Interest Payment Date, the registered Holder of a Note shall be treated as the owner of it and the Notes of which it is composed for all purposes.

(10)            UNCLAIMED MONEY. If money for the payment of principal or interest remains unclaimed for two years, the Trustee and the Paying Agents shall, upon written request of the Issuer, pay the money without interest thereon back to the Issuer. After that, all liability of the Trustee and such Paying Agent with respect to such money shall cease.

(11)            DEFEASANCE; DISCHARGE PRIOR TO REDEMPTION OR MATURITY. If the Issuer or the Guarantor at any time deposits with the Trustee (a) cash in U.S. dollars, non-callable U.S. government obligations, or a combination thereof, sufficient to pay the principal of, premium, if any, interest and Additional Amounts, if any, on the outstanding Notes on the applicable Redemption Date or on the Stated Maturity Date and complies with the applicable provisions of the Indenture relating thereto, the Issuer and the Guarantor may defease its obligations with respect to the outstanding Notes or with respect to certain covenants thereunder or (b) funds in an amount sufficient to pay and discharge Indebtedness on the Notes and complies with the applicable provisions of the Indenture relating thereto, the Issuer and the Guarantor shall be deemed to have paid and discharged the entire Indebtedness represented by the outstanding Notes, in each case, except for the rights of Holders to receive payments in respect of the principal of, and premium, if any, and interest and Additional Amounts, if any, on the Notes when such payments are due from the deposits referred to above.

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(12)            AMENDMENT; SUPPLEMENT; WAIVER. Subject to certain exceptions, the Indenture, the Notes or the Guarantee may be amended or supplemented with the written consent of the Holders of at least a majority in aggregate principal amount of the Notes then outstanding, and certain existing Defaults or Events of Default or noncompliance with certain provisions may be waived with the written consent of the Holders of a majority in aggregate principal amount of the Notes then outstanding. Without consent of any Holder, the parties to the Indenture may amend or supplement the Indenture, the Notes or the Guarantee to, among other things, cure any ambiguity, defect or inconsistency, provide for uncertificated Notes or Guarantee in addition to or in place of certificated Notes or Guarantee, or comply with Section 5.01 or Article Ten of the Indenture or make any other change that does not materially and adversely affect the rights of any Holder of a Note.

(13)            COVENANTS. The Indenture imposes certain limitations on the ability of the Guarantor and any of its Subsidiaries to, among other things, merge or consolidate with any other Person, or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of its assets. These limitations are subject to important qualifications and exceptions.

(14)            SUCCESSORS. When a successor assumes, in accordance with the Indenture, all the obligations of its predecessor under the Notes, the Guarantee and the Indenture, the predecessor will be released from those obligations.

(15)            DEFAULTS AND REMEDIES. If an Event of Default occurs and is continuing, all of the Notes may be declared or shall become due and payable in the manner, at the time and with the effect provided in the Indenture. Holders of Notes may not enforce the Indenture except as provided in the Indenture. The Trustee is not obligated to enforce the Indenture or the Notes unless it has received indemnity satisfactory to it. The Indenture permits, subject to certain limitations therein provided, Holders of a majority in aggregate principal amount of the Notes then outstanding to direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders of Notes notice of any continuing Default or Event of Default (except a Default in payment of principal or interest) if it determines that withholding notice is in their interest.

(16)             THE TRUSTEE DEALINGS WITH THE ISSUER. Subject to the terms of the Indenture, the Trustee under the Indenture, in its individual or any other capacity, may become the owner or pledgee of Notes and may otherwise deal with the Issuer, the Subsidiaries or their respective Affiliates as if it were not the Trustee.

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(17)              NO RECOURSE AGAINST OTHERS. No past, present or future director, officer, employee, incorporator, or shareholder of the Issuer or the Guarantor, as such, shall have any liability for any obligations of the Issuer or the Guarantor under the Notes, the Guarantee or this Indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting a Note waives and releases all such liability. The waiver and release are part of the consideration for the issuance of the Notes.

(18)              GUARANTEE.  Payment of principal and interest and Additional Amounts, if any (including interest on overdue principal and overdue interest, if lawful), is unconditionally and irrevocably guaranteed by the Guarantor.

(19)              AUTHENTICATION. This Note shall not be valid until the Trustee or Authenticating Agent manually or electronically signs the certificate of authentication on this Note.

(20)              GOVERNING LAW. THIS NOTE, THE GUARANTEE AND THE INDENTURE, SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 

(21)              WAIVER OF JURY TRIAL. Each of the parties to the Indenture and each Holder by purchase of the Notes have irrevocably  waived, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding among the parties thereto arising out of or relating to the Indenture, the Notes, the Guarantee or the transactions contemplated hereby or thereby.

(22)              CUSIP NUMBERS, ISINS AND COMMON CODE. Pursuant to a recommendation promulgated by the Committee on Uniform Security Identification Procedures, the Issuer has caused CUSIP numbers, ISINs and Common Codes to be printed on the Notes and the Trustee may use the CUSIP numbers, ISINs and Common Codes in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers placed thereon.  

(22)              ABBREVIATIONS AND DEFINED TERMS. Customary abbreviations may be used in the name of a Holder of a Note or an assignee, such as: TEN COM (=tenants in common), TEN ENT (= tenants by the entireties), JT TEN (=joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and U/G/M/A (=Uniform Gifts to Minors Act).  

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The Issuer will furnish to any Holder of a Note upon written request and without charge a copy of the Indenture. Requests may be made to:

Natura Cosméticos S.A.
Avenida Alexandre Colares No. 1,188, Vila Jaguara, 05106-000, São Paulo, SP, Brazil
Email: itamargaino@natura.net
Attention: Itamar Gaino Filho, Chief Legal and Compliance Officer

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ASSIGNMENT FORM

To assign this Note, fill in the form below:

(1) or (we) assign and transfer this Note to:  ______________________________

(Insert assignee’s legal name)

______________________________________________________
(Insert assignee’s soc. sec. or tax I.D. no.)

______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
(Print or type assignee’s name, address and zip code)

and irrevocably appoint ______________________________________________ to transfer this Note on the books of the Issuer. The agent may substitute another to act for him.

Date:  _____________________

                                                                                         Your Signature:  ____________________________

(Sign exactly as your name appears on the face of this Note)

Signature Guarantee[*]:  ____________________

	
	

	*	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor acceptable to the Trustee).

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SCHEDULE OF INCREASES AND DECREASES OF INTERESTS 
IN THE GLOBAL NOTE3

The following increases and decreases in this Global Note have been made:

	
Date of Increase or Decrease

	
	
Amount of decrease in Principal Amount of this Global Note

	
	
Amount of increase in Principal Amount of this Global Note

	
	
Principal Amount at maturity of this Global Note following such decrease (or increase)

	
	
Signature of authorized officer of Trustee or Custodian

	
 

	
	
 

	
	
 

	
	
 

	
	
 

	
 

	
	
 

	
	
 

	
	
 

	
	
 

	
 

	
	
 

	
	
 

	
	
 

	
	
 

 

	
	

	3	This schedule should be included only if the Note is issued in global form.

 

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EXHIBIT B

GLOBAL NOTE LEGEND
 

Each Global Note will bear a legend in substantially the following form:

“UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”) TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

THIS NOTE IS A GLOBAL NOTE WITHIN THE MEANING OF THE INDENTURE REFERRED TO HEREINAFTER. THIS NOTE MAY NOT BE EXCHANGED, IN WHOLE OR IN PART, FOR A NOTE REGISTERED IN THE NAME OF ANY PERSON OTHER THAN DTC OR A NOMINEE THEREOF EXCEPT IN THE LIMITED CIRCUMSTANCES SET FORTH IN THE INDENTURE, AND MAY NOT BE TRANSFERRED, IN WHOLE OR IN PART, EXCEPT IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE. BENEFICIAL INTERESTS IN THIS NOTE MAY NOT BE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE INDENTURE.”

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EXHIBIT C

PRIVATE PLACEMENT LEGEND

Each Restricted Global Note and each Restricted Definitive Note (and all Notes issued in exchange therefor or substitution thereof) shall bear the legend in substantially the following form:

“THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN 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, SUCH REGISTRATION. THE HOLDER OF THIS SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED SECURITIES, TO OFFER, SELL OR OTHERWISE TRANSFER THIS SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION TERMINATION DATE”) THAT IS [IN THE CASE OF RULE 144A NOTES: SUCH DATE AS MAY BE DETERMINED BY THE ISSUER] [IN THE CASE OF REGULATION S NOTES: 40 DAYS OR SUCH LATER DATE AS MAY BE DETERMINED BY THE ISSUER] AFTER THE LATER OF (1) THE ORIGINAL ISSUE DATE HEREOF AND (2) THE LAST DATE ON WHICH THE ISSUER OR ANY AFFILIATE OF THE ISSUER WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF THIS SECURITY), ONLY (A) TO THE ISSUER OR NATURA &CO HOLDING S.A., (B) UNDER A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, 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 ANOTHER QUALIFIED INSTITUTIONAL BUYER AND TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) THROUGH OFFERS AND SALES THAT OCCUR OUTSIDE THE UNITED STATES IN RELIANCE UPON REGULATION S OR (E) UNDER ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE ISSUER’S AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR OTHER TRANSFER PURSUANT TO CLAUSE (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, A CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO THE ISSUER.”

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EXHIBIT D

FORM OF CERTIFICATE OF TRANSFER

The Bank of New York Mellon, as Trustee
240 Greenwich Street, Floor 7 East 
New York, NY 10286
Tel No: 212-815-3697
Email: gcs.specialty.glam.conv@bnymellon.com
Attention: Global Corporate Trust – Global Americas

Re: Natura Cosméticos – 4.125% Sustainability-Linked Notes due 2028

Reference is hereby made to the Indenture, dated as of May 3, 2021 (the “Indenture”), among Natura Cosméticos S.A., as issuer (the “Issuer”), Natura &Co Holding S.A., as guarantor (the “Guarantor”), The Bank of New York Mellon, as trustee, and the other parties thereto. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture.

This letter relates to U.S.$_____ aggregate principal amount of the Issuer’s 4.125% Sustainability-Linked Notes due 2028 (the “Notes”) [in the case of a transfer of an interest in a Rule 144A Global Note: which represent an interest in a Rule 144A Global Note (CUSIP: 63883K AB1 / ISIN: US63883KAB17 / Common Code: 233897787) beneficially owned by the undersigned (the “Transferor”) to effect the transfer of such Notes in exchange for an equivalent beneficial interest in the Regulation S Global Note (CUSIP: P7088C AC0 / ISIN: USP7088CAC03 / Common Code: 233897833). 

In connection with such request, and with respect to such Notes, the Transferor confirms that such sale has been effected pursuant to and in accordance with Regulation S under the U.S. Securities Act of 1933, as amended (“Regulation S”), and, accordingly, the Transferor represents that:

(a) the offer of the Notes was not made to a person in the United States; 

(b) either (i) at the time the buy order was originated, the transferee was outside the United States or the Transferor and any person acting on the Transferor’s behalf reasonably believed that the transferee was outside the United States or (ii) the transaction was executed in, on or through the facilities of a designated off-shore securities market and neither the Transferor nor any person acting on the Transferor’s behalf knows that the transaction has been pre-arranged with a buyer in the United States;

	
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(c) no directed selling efforts have been made in the United States in contravention of the requirements of Rule 903(b) or Rule 904(b) of Regulation S, as applicable; 

(d) the transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act; and 

(e) the Transferor is the beneficial owner of the principal amount of Notes being transferred. 

In addition, if the sale is made during a Restricted Period and the provisions of Rule 904(b)(1) or Rule 904(b)(2) of Regulation S are applicable thereto, the Transferor confirms that such sale has been made in accordance with the applicable provisions of Rule 904(b)(1) or Rule 904(b)(2) of Regulation S, as the case may be.  

You and the Issuer are entitled to rely upon this letter and are irrevocably authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official inquiry with respect to the matters covered hereby. 

Very truly yours, 

 

[Name of Transferor]

 

By:_________________________
 

____________________________

Authorized Signature

 

 

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EXHIBIT E

FORM OF CERTIFICATE OF EXCHANGE

The Bank of New York Mellon
240 Greenwich Street, Floor 7 East 
New York, New York 10286
Tel No: 212-815-3697
Email: gcs.specialty.glam.conv@bnymellon.com
Attention: Global Corporate Trust – Global Americas

Re: Natura Cosméticos – 4.125% Sustainability-Linked Notes due 2028

Reference is hereby made to the Indenture, dated as of May 3, 2028 (the “Indenture”), among Natura Cosméticos S.A., as issuer (the “Issuer”), Natura &Co Holding S.A., as guarantor (the “Guarantor”), The Bank of New York Mellon, as trustee, and the other parties thereto. Capitalized terms used but not defined herein shall have the meanings given to them in the Indenture.

This letter relates to U.S.$_____ aggregate principal amount of the Issuer’s 4.125% Sustainability-Linked Notes due 2028 (the “Notes”) [in the case of a transfer of an interest in a Regulation S Global Note: which represent an interest in a Regulation S Global Note (CUSIP: P7088C AC0 / ISIN: USP7088CAC03 / Common Code: 233897833) beneficially owned by the undersigned (the “Transferor”) to effect the transfer of such Notes in exchange for an equivalent beneficial interest in the Rule 144A Global Note (CUSIP: 63883K AB1 / ISIN: US63883KAB17 / Common Code: 233897787). 

In connection with such request, and with respect to such Notes, the Transferor does hereby certify that such Notes are being transferred in accordance with Rule 144A under the U.S. Securities Act of 1933, as amended (“Rule 144A”), to a transferee that the Transferor reasonably believes is purchasing the Notes for its own account or  an account with respect to which the transferee exercises sole investment discretion, and the transferee, as well as any such account, is a “qualified institutional buyer” within the  meaning of Rule 144A, in a transaction meeting the requirements of Rule 144A and in accordance with applicable securities laws of any state of the United States or any other jurisdiction.

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You and the Issuer are entitled to rely upon this letter and are irrevocably authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official inquiry with respect to the matters covered hereby.

 

Very truly yours, 

 

[Name of Transferor]

 

By:_________________________
 

____________________________

Authorized Signature

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EXHIBIT F

[FORM OF] NOTATION OF GUARANTEE

For value received, Natura &Co Holding S.A., as guarantor (the “Guarantor”) (which term includes any successor Person under the Indenture) has, jointly and severally, unconditionally and irrevocably guaranteed, to the extent set forth in the Indenture and subject to the provisions in the Indenture, dated as of May 3, 2021 (the “Indenture”), among Natura Cosméticos S.A., as issuer (the “Issuer”), the Guarantor, The Bank of New York Mellon, as trustee, and the other parties thereto (a) the principal of, premium, if any, interest, and Additional Amounts, if any, on the Notes  shall be promptly paid in full when due, subject to any applicable grace period, whether upon an Interest Payment Date, at the Stated Maturity Date or any other Maturity Date, upon redemption pursuant to the terms of the Notes, by acceleration or otherwise, and, to the extent permitted by applicable law, interest on the overdue principal of, premium, if any, and interest on the Notes and all costs and expenses (including legal fees and expenses) incurred by Holders to enforce their rights under the Guarantee, and all other obligations of the Issuer to the Holders and the Trustee hereunder or thereunder shall be promptly paid in full or performed, all in accordance with the terms hereof and thereof; and (b) in case of any extension of time of payment or renewal of any of the Notes or of any such other obligations, the same shall be promptly paid in full when due or performed in accordance with the terms of the extension or renewal, subject to any applicable grace period, whether at stated maturity, by acceleration or otherwise, subject, however, in the case of clauses (a) and (b) above, to the limitations set forth in Section 11.03 of the Indenture. The obligations of the Guarantor to the Holders of Notes and to the Trustee pursuant to the Guarantee and the Indenture are expressly set forth in Article 11 of the Indenture and reference is hereby made to the Indenture for the precise terms of the Guarantee. Each Holder of a Note, by accepting the same, agrees to and shall be bound by such provisions.

Capitalized terms used but not defined herein have the meanings given to them in the Indenture. 

[Signature page follows]

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            IN WITNESS WHEREOF, the Guarantor has caused this endorsement with respect to the U.S.$____________  _______% Notes Due 20___ of Natura Cosméticos S.A. to be duly executed.

 

Dated: 

 

	
	
Natura &Co Holding S.A.

	
	
 

	
 

	
	
By:

	
 

	
	
 

	
Name:

Title:

	
	
 

	
 

	
	
By:

	
 

	
	
 

	
Name:

Title:

	
	
 

	
 

 

 

	
	
Witnesses

	
	
 

	
 

	
	
By:

	
 

	
	
 

	
Name:

Title:

	
	
 

	
 

	
	
By:

	
 

	
	
 

	
Name:

Title:

 

 

	E-4Exhibit 4.13

REVOLVING CREDIT AND GUARANTY AGREEMENT
 
dated as of October 28, 2021

among 

NATURA &CO LUXEMBOURG HOLDINGS S.À R.L.,
as Borrower,

 

NATURA COSMÉTICOS S.A. and NATURA &CO HOLDING S.A.,

as Guarantors,

THE LENDERS PARTY HERETO,

as Lenders
 

 

MIZUHO BANK, LTD., 
as Administrative Agent
 

 

BANK OF AMERICA, N.A., LONDON BRANCH, CITIBANK, N.A., HSBC BANK USA, NATIONAL ASSOCIATION, ITAU BBA INTERNATIONAL PLC, JPMORGAN CHASE BANK, N.A. and MIZUHO BANK LTD. 
as Joint Bookrunners 

and

MORGAN STANLEY SENIOR FUNDING, INC.
as Arranger

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PAGE

	ARTICLE 1	

	DEFINITIONS	

	Section 1.01. Defined Terms	7
	Section 1.02. Terms Generally	33
	Section 1.03. Accounting Terms and Changes in GAAP	33
	ARTICLE 2	

	THE LOANS	

	Section 2.01. Commitments	33
	Section 2.02. Loans	34
	Section 2.03. Requests to Borrow Loans	34
	Section 2.04. Funding of Loans	35
	Section 2.05. Method of Electing Interest Periods	36
	Section 2.06. Termination or Reduction of Commitments	36
	Section 2.07. Payment at Maturity; Evidence of Indebtedness	37
	Section 2.08. Optional Prepayments	38
	Section 2.09. Fees	38
	Section 2.10. Interest	39
	Section 2.11. Increased Costs	39
	Section 2.12. Break Funding Payments	41
	Section 2.13. Taxes	41
	Section 2.14. Payments Generally; Pro Rata Treatment; Sharing of Set-offs	43
	Section 2.15. Lender’s Obligation to Mitigate	45
	Section 2.16. Replacement of Lenders	45
	Section 2.17. Loans to be Made Pro Rata by Lenders; Defaulting Lenders	45
	Section 2.18. Inability to Determine Interest Rate	46
	Section 2.19. Illegality	47
	Section 2.20. Benchmark Replacement Setting	48
	Section 2.21. Extension of Maturity Date	50
	Section 2.22. Sustainability Linked Loan Amendment	52
	ARTICLE 3	

	REPRESENTATIONS AND WARRANTIES	

	Section 3.01. Organization; Powers	52
	Section 3.02. Authorization; Enforceability	52
	Section 3.03. Governmental Approvals; No Conflicts	52
	Section 3.04. Financial Statements; No Material Adverse Change; No Default	53
	Section 3.05. Taxes	53
	Section 3.06. Properties; Intellectual Property	53
	Section 3.07. Compliance with Laws	54
	Section 3.08. Investment Company Status	54

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	Section 3.09. Disclosure	54
	Section 3.10. Ranking	54
	Section 3.11. No Immunity	55
	Section 3.12. Legal Form	55
	Section 3.13. Use Of Proceeds	55
	Section 3.14. Litigation	56
	Section 3.15. Anti-Corruption Laws, Sanctions and Anti-Money Laundering Laws	56
	Section 3.16. Beneficial Ownership Certification	56
	Section 3.17. Labor Matters	56
	Section 3.18. Margin Regulations	56
	Section 3.19. ERISA Compliance	57
	ARTICLE 4	

	CONDITIONS	

	Section 4.01. Effective Date	57
	Section 4.02. Each Borrowing	60
	ARTICLE 5	

	AFFIRMATIVE COVENANTS	

	Section 5.01. Financial Statements and Other Information	60
	Section 5.02. Existence; Conduct of Business	62
	Section 5.03. Payment of Obligations	62
	Section 5.04. Maintenance of Properties and Insurance	62
	Section 5.05. Proper Records; Rights to Inspect and Appraise	62
	Section 5.06. Compliance with Laws	63
	Section 5.07. Use of Proceeds	63
	Section 5.08. Further Assurances	63
	Section 5.09. Ranking	63
	Section 5.10. Sanctions; Anti-Money Laundering Laws; Anti-Corruption Laws	63
	ARTICLE 6	

	NEGATIVE COVENANTS	

	Section 6.01. Liens	64
	Section 6.02. Fundamental Changes	66
	Section 6.03. Restricted Payments	66
	Section 6.04. Anti-Corruption Laws, Sanctions and Anti-Money Laundering Laws	66
	Section 6.05. Restrictions on Use of Proceeds	66
	ARTICLE 7	

	EVENTS OF DEFAULT	

	Section 7.01. Events of Default	69
	Section 7.02. Application of Payments	71

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	ARTICLE 8	

	THE ADMINISTRATIVE AGENT	

	Section 8.01. Appointment and Authorization	72
	Section 8.01. Appointment and Authorization	72
	Section 8.03. Limited Duties and Responsibilities	73
	Section 8.04. Authority to Rely on Certain Writings, Statements and Advice	73
	Section 8.05. Sub-Agents and Related Parties	74
	Section 8.06. Resignation; Successor Administrative Agent	74
	Section 8.07. Credit Decisions by Lenders	75
	Section 8.08. No Other Duties	75
	Section 8.09. Erroneous Payments	76
	Section 8.10. Administrative Agent May File Proofs of Claim	77
	ARTICLE 9	

	GUARANTEE	

	Section 9.01. Guarantee	80
	Section 9.02. Guarantee Unconditional	80
	Section 9.03. Waiver by Guarantor	81
	Section 9.04. Subrogation	81
	Section 9.05. Stay of Acceleration	81
	Section 9.06. Continuing Guarantee	81
	Section 9.07. Termination	82
	ARTICLE 10	

	MISCELLANEOUS	

	Section 10.01. Notices	82
	Section 10.02. Waivers; Amendments	85
	Section 10.03. Expenses; Indemnity; Damage Waiver	87
	Section 10.04. Successors and Assigns	88
	Section 10.05. Survival	92
	Section 10.06. Counterparts; Integration; Effectiveness	93
	Section 10.07. Severability	93
	Section 10.08. Right of Set-off	93
	Section 10.09. Governing Law; Jurisdiction; Consent to Service of Process	94
	Section 10.10. Appointment of Agent For Service of Process	94
	Section 10.11. Waiver of Immunity	95
	Section 10.12. Judgment Currency	95
	Section 10.13. WAIVER OF JURY TRIAL	96
	Section 10.14. Use of English Language	96
	Section 10.15. Headings	96
	Section 10.16. Confidentiality	96
	Section 10.17. USA PATRIOT Act	97
	Section 10.18. Interest Rate Limitation	97
	Section 10.19. Payments Set Aside	97

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	Section 10.20. No Advisory or Fiduciary Responsibility	98
	Section 10.21. Acknowledgement and Consent to Bail-In of Affected Financial Institutions	98

 

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SCHEDULES: 

 

Schedule 1.01 – Administrative Agent’s Account

Schedule 2.01 – Commitments

 

EXHIBITS:

 

Exhibit A – Form of Assignment

Exhibit B – Form of Note

Exhibit C – Form of Borrowing Request
Exhibit D – Form of Amendment

 

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REVOLVING CREDIT AND GUARANTY AGREEMENT, dated as of October 28, 2021, by and among:

	(1)	NATURA &CO LUXEMBOURG HOLDINGS S.À R.L., a private limited company (société à responsabilité limitée), with registered office at 8-10, Avenue de la Gare, L-1610 Luxembourg, Grand Duchy of Luxembourg, registered with the Luxembourg Trade and Companies Register under number B 98931 (the “Borrower”);
	(2)	NATURA COSMÉTICOS S.A. (“Natura Cosméticos”) and NATURA &CO HOLDING S.A. (the “Parent”), each a company organized and incorporated under the laws of Brazil (each a “Guarantor” and collectively the “Guarantors”);
	(3)    	EACH OF THE LENDERS that is a signatory hereto under the caption “LENDERS” on the signature pages hereto (together with each other Person that becomes a “Lender” after the date hereof pursuant to Section 10.04 (the “Lenders” and each, a “Lender”); and
	(4) 	MIZUHO BANK, LTD., as administrative agent, for the Lenders (in such capacity, together with its successors and assigns in such capacity, the “Administrative Agent”).

RECITALS:

WHEREAS, the Borrower and the Guarantors have requested that the Lenders, from time to time, make Loans available to the Borrower in an aggregate principal amount outstanding at any time not exceeding $625,000,000;

WHEREAS, the Lenders are prepared to provide such Loans on and subject to the terms and conditions of this Agreement;

NOW, THEREFORE, in consideration of the mutual covenants set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the undersigned agree as follows:

ARTICLE 1
Definitions

Section 1.01.      Defined Terms.  As used in this Agreement, the following terms have the meanings specified below:

“Acquired Indebtedness” means Indebtedness of a Person or any of its Subsidiaries existing at the time such Person becomes a Subsidiary of any Loan Party or at the time it merges or consolidates with or into any Loan Party or any of its Subsidiaries or assumed in connection with the acquisition of assets from such Person and in each case not incurred by such Person in connection with, or in anticipation or contemplation of, such Person becoming a Subsidiary of such Loan Party or such acquisition, merger or consolidation and which Indebtedness is without recourse to any Loan Party or any of its Subsidiaries or to any of their respective properties or assets other than the Person or the assets to which such Indebtedness related prior to the time such Person became a Subsidiary of such Loan Party or the time of such acquisition, merger or consolidation.

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“Additional Commitment Lender” has the meaning assigned to such term in Section 2.21(d).

“Administrative Agent” has the meaning assigned to such term in the introductory paragraph of this Agreement.

“Administrative Agent’s Account” means the account of the Administrative Agent set forth on Schedule 1.01, or such other account as may be designated by the Administrative Agent to the Borrower in writing.

“Administrative Questionnaire” means an Administrative Questionnaire in a form supplied by or otherwise acceptable to the Administrative Agent.

“Affected Financial Institution” means (a) any EEA Financial Institution or (b) any UK Financial Institution.

“Affiliate” means, with respect to a specified Person, another Person that directly, or indirectly through one or more intermediaries, Controls or is Controlled by or is under common Control with the Person specified.

“Agent Parties” has the meaning assigned to such term in Section 10.01(e)(ii).

“Aggregate Commitments” means the Commitments of all the Lenders.

“Agreement” means this Revolving Credit and Guaranty Agreement.

“Anti-Corruption Laws” means the Foreign Corrupt Practices Act of 1977, as amended, and the rules and regulations thereunder, the UK Bribery Act 2010, as amended, and the rules and regulations thereunder, all Brazilian anti-corruption laws, rules and regulations and all other laws, rules, and regulations of any jurisdiction that, in each case, are applicable to any Loan Party or any of its respective Subsidiaries, from time to time, concerning or relating to bribery or corruption.

“Anti-Money Laundering Laws” means the applicable financial recordkeeping and reporting requirements of the PATRIOT Act, the Money Laundering Control Act of 1986 and the regulations and rules promulgated thereunder, as amended from time to time, the Bank Secrecy Act of 1970 and the regulations and rules promulgated thereunder, as amended from time to time, and all other anti-money laundering and anti-terrorism laws of the jurisdictions in which any Loan Party or any of its Subsidiaries operates or in which the proceeds of the Loans will be used or from which repayments of the obligations under the Loan Documents will be derived, in each case, to the extent binding on such Loan Party or any of its Subsidiaries.

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“Applicable Margin” means, for any day with respect to any LIBO Rate Loan or Base Rate Loan, the applicable rate per annum set forth below, based upon the Debt Rating applicable on such date to the Index Debt: 

	
Pricing Level

	
Debt Rating (S&P/Moody’s/Fitch)
 

	
LIBO Rate Loan (or any Benchmark Replacement)

 

	
Base Rate Loan Applicable Margin

	
1

	
BBB-, Baa3, BBB- or better

	
1.20%

	
0.20%

	
2

	
BB+, Ba1 or

BB+ 

	
1.50%

	
0.50%

	
3

	
BB, Ba2 or BB

	
1.65%

	
0.65%

	
4

	
BB-, Ba3 or BB-

	
2.00%

	
1.00%

	
5

	
B+, B1, B+ or worse

	
2.50%

	
1.50%

 

provided that in no event shall the Applicable Margin with respect to LIBO Rate Loans and Base Rate Loans be less than zero percent per annum.

“Applicable Percentage” means with respect to any Lender at any time, the percentage (carried out to the ninth decimal place) of the Aggregate Commitments represented by such Lender’s Commitment at such time.  If the Commitment of each Lender to make Loans has been terminated pursuant to Article 7 or if the Aggregate Commitments have expired, then the Applicable Percentage of each Lender shall be determined based on the Applicable Percentage of such Lender most recently in effect, giving effect to any subsequent assignments and to any Lender’s status as a Defaulting Lender at the time of determination.  The initial Applicable Percentage of each Lender is set forth opposite the name of such Lender on Schedule 2.01 or in the Assignment pursuant to which such Lender becomes a party hereto, as applicable.

“Arranger” means Morgan Stanley Senior Funding, Inc.

“Assignment” means an assignment and assumption agreement entered into by a Lender and an assignee (with the consent of any party whose consent is required by ‎Section 10.04) and accepted by the Administrative Agent in the form of Exhibit A or any other form approved by the Administrative Agent.

“Availability Period” means the period from and including the Effective Date to but excluding the Commitment Termination Date.

“Available Tenor” means, as of any date of determination and with respect to the then-current Benchmark, as applicable, (a) if the then-current Benchmark is a term rate, any tenor for such Benchmark that is or may be used for determining the length of an Interest Period or (b) otherwise, any payment period for interest calculated with reference to such Benchmark, as applicable, pursuant to this Agreement as of such date.

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“Bail-In Action” means the exercise of any Write-Down and Conversion Powers by the applicable Resolution Authority in respect of any liability of an Affected Financial Institution.

“Bail-In Legislation” means (a) with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law, regulation, rule or requirement for such EEA Member Country from time to time which is described in the EU Bail-In Legislation Schedule and (b) with respect to the United Kingdom, Part I of the United Kingdom Banking Act 2009 (as amended from time to time) and any other law, regulation or rule applicable in the United Kingdom relating to the resolution of unsound or failing banks, investment firms or other financial institutions or their affiliates (other than through liquidation, administration or other insolvency proceedings).

“Base Rate” means, for any day, a fluctuating rate per annum equal to the highest of (a) the Prime Rate in effect on such day, (b) the Federal Funds Rate in effect on such day plus 1⁄2 of 1.0% and (c) the LIBO Rate for deposits in Dollars for a one-month interest period commencing on such day (or, if such day is not a Business Day, the next preceding Business Day) plus 1.0%.  Any change in the Base Rate due to a change in the Prime Rate, the Federal Funds Rate or the LIBO Rate shall be effective from and including the effective date of such change in the Prime Rate, the Federal Funds Rate or such LIBO Rate, respectively.  If the Base Rate is being used as an alternate rate of interest pursuant to Section 2.18 hereof, then the Base Rate shall be the greater of clauses (a) and (b) above and shall be determined without reference to clause (c) above.  For the avoidance of doubt, if the Base Rate as determined pursuant to the foregoing would be less than zero, such rate shall be deemed to be zero for purposes of this Agreement.

“Base Rate Loan” means a Loan that bears interest at a rate determined by reference to the Base Rate.

“Benchmark” means, initially, USD LIBOR; provided that if a replacement of the Benchmark has occurred pursuant to Section 2.20, then “Benchmark” means the applicable Benchmark Replacement to the extent that such Benchmark Replacement has replaced such prior benchmark rate. Any reference to “Benchmark” shall include, as applicable, the published component used in the calculation thereof.

“Benchmark Replacement” means, for any Available Tenor:

(1) For purposes of Section 2.20(a), the first alternative set forth below that can be determined by the Administrative Agent:

(a) the sum of: (i) Term SOFR and (ii) 0.11448% (11.448 basis points) for an Available Tenor of one-month’s duration, 0.26161% (26.161 basis points) for an Available Tenor of three-months’ duration, and 0.42826% (42.826 basis points) for an Available Tenor of six-months’ duration, or

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(b) the sum of: (i) Daily Simple SOFR and (ii) the spread adjustment selected or recommended by the Relevant Governmental Body for the replacement of the tenor of USD LIBOR with a SOFR-based rate having approximately the same length as the interest payment period specified in Section 2.20(a); and

(2) For purposes of Section 2.20(b), the sum of (a) the alternate benchmark rate and (b) an adjustment (which may be a positive or negative value or zero), in each case, that has been selected by the Administrative Agent and the Borrower as the replacement for such Available Tenor of such Benchmark giving due consideration to any evolving or then-prevailing market convention, including any applicable recommendations made by the Relevant Governmental Body, for Dollar-denominated syndicated credit facilities at such time;

provided that, if the Benchmark Replacement as determined pursuant to clause (1) or (2) above would be less than the Floor, the Benchmark Replacement will be deemed to be the Floor for the purposes of this Agreement and the other Loan Documents.

“Benchmark Replacement Conforming Changes” means, with respect to any Benchmark Replacement, any technical, administrative or operational changes (including changes to the definition of “Base Rate,” the definition of “Business Day,” the definition of “Interest Period,” timing and frequency of determining rates and making payments of interest, timing of borrowing requests or prepayment, conversion or continuation notices, the applicability and length of lookback periods, the applicability of breakage provisions, the formula for calculating any successor rates identified pursuant to the definition of “Benchmark Replacement”, the formula, methodology or convention for applying the successor Floor to the successor Benchmark Replacement and other technical, administrative or operational matters) that the Administrative Agent decides may be appropriate to reflect the adoption and implementation of such Benchmark Replacement and to permit the administration thereof by the Administrative Agent in a manner substantially consistent with market practice (or, if the Administrative Agent decides that adoption of any portion of such market practice is not administratively feasible or if the Administrative Agent determines that no market practice for the administration of such Benchmark Replacement exists, in such other manner of administration as the Administrative Agent decides is reasonably necessary in connection with the administration of this Agreement and the other Loan Documents).

“Benchmark Transition Event” means, with respect to any then-current Benchmark other than USD LIBOR, the occurrence of a public statement or publication of information by or on behalf of the administrator of the then-current Benchmark, the regulatory supervisor for the administrator of such Benchmark, the Federal Reserve Board, the Federal Reserve Bank of New York, an insolvency official with jurisdiction over the administrator for such Benchmark, a resolution authority with jurisdiction over the administrator for such Benchmark or a court or an entity with similar insolvency or resolution authority over the administrator for such Benchmark, announcing or stating that (a) such administrator has ceased or will cease on a specified date to provide all Available Tenors of such Benchmark, permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide any Available Tenor of such Benchmark or (b) all Available Tenors of such Benchmark are or will no longer be representative of the underlying market and economic reality that such Benchmark is intended to measure and that representativeness will not be restored.

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“Beneficial Ownership Certification” means a certification regarding beneficial ownership required by the Beneficial Ownership Regulation.

“Beneficial Ownership Regulation” means 31 C.F.R. § 1010.230.

“Borrower” has the meaning assigned to such term in the introductory paragraph of this Agreement.

“Borrowing” means a borrowing of Loans under ‎Section 2.03.

“Borrowing Request” has the meaning assigned to such term in ‎Section 2.03.

“Brazilian Civil Code” means Brazilian law number 10.406, dated as of January 10, 2002, as amended from time to time.

“Brazilian Civil Procedure Code” means Brazilian law number 13.105, dated as of March 16, 2015, as amended from time to time.

“Brazilian Corporate Law” means Brazilian law number 6.404, dated as of December 15, 1976, as amended from time to time.

“Business Day” means any day that is not a Saturday, Sunday or other day on which commercial banks in New York City, United States, London, England, Luxembourg or São Paulo, Brazil are authorized or required by law to remain closed; provided that, when used in connection with a LIBO Rate Loan, the term “Business Day” shall also exclude any day on which commercial banks are not open for international business, including dealings in Dollar deposits in the London interbank market.

“Capital Lease Obligations” means, with respect to any Person, the obligations of such Person under any lease that is required to be classified and accounted for as capital lease obligations on a balance sheet prepared in accordance with GAAP and, for purposes of this definition, the amount of such obligations at any date shall be the capitalized amount of such obligations at such date, determined in accordance with GAAP.

“Change in Law” means, the occurrence, after the date of this Agreement, of any of the following: (a) the adoption or taking effect of any law, rule, regulation or treaty, (b) any change in any law, rule, regulation or treaty or in the administration, interpretation, implementation or application thereof by any Governmental Authority or (c) the making or issuance of, or compliance by any Lender (or, for purposes of ‎Section 2.11(b), by any lending office of such Lender or by such Lender’s holding company, if any) with, any request, guideline or directive (whether or not having the force of law) of any Governmental Authority made or issued; provided that (x) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, guidelines or directives thereunder or issued in connection therewith and (y) all requests, rules, guidelines or directives promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or the United States or foreign regulatory authorities, in each case pursuant to Basel III, shall in each case be deemed to be a “Change in Law,” regardless of the date enacted, adopted or issued.

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“Change of Control” means:

(1) the direct or indirect sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of the assets of the Parent and its Subsidiaries taken as a whole to any Person (including any “person” (as that term is used in Section 13(d)(3) of the Exchange Act)), other than to one or more of the Permitted Holders, and other than pursuant to (i) any such transaction in which immediately after the consummation thereof, no “person” or “group” (as such terms are used for purposes of Sections 13(d) and 14(d) of the Exchange Act) other than one or more Permitted Holders is the “beneficial owner” (as such term is used in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the total voting power of the Voting Stock of the Person to which all or substantially all of the assets of the Parent and its Subsidiaries taken as a whole are sold, leased, transferred or conveyed, or (ii) any such sale, lease, transfer or conveyance to one or more Permitted Holders if immediately after such transaction no “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act), other than one or more Permitted Holders, is the “beneficial owner” (as defined in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the voting power of the outstanding Voting Stock of such Permitted Holder; or

(2) the consummation of any transaction (including without limitation, any merger or consolidation) the result of which is that any Person (including any “person” or “group” (as such terms are used for purposes of Sections 13(d) and 14(d) of the Exchange Act)), other than one or more Permitted Holders, is or becomes the “beneficial owner” (as such term is used in Rules 13d-3 under the Exchange Act), directly or indirectly, of more than 50% of the total voting power of the Voting Stock of the Parent; or

(3) the Parent ceases to Control the Borrower or Natura Cosméticos.

For purposes of clause (2) above, any direct or indirect holding company of the Parent shall not itself be considered a “person” or “group”; provided that no “person” or “group” (other than one or more of the Permitted Holders) beneficially owns, directly or indirectly, more than 50% of the total voting power of the Voting Stock of such holding company.

For the avoidance of doubt, a Change of Control shall not occur in the event of a merger or consolidation between Subsidiaries of the Parent or a merger of the Parent or any Subsidiary thereof with or into the Parent or any Subsidiary thereof, as the case may be.

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“Code” means the U.S. Internal Revenue Code of 1986, as amended.

“Commitment” means, as to any Lender, the obligation of such Lender, if any, to make a Loan to the Borrower in a principal amount not to exceed the amount set forth under the heading “Commitment” opposite such Lender’s name on Schedule 2.01, as such amount may be reduced or increased pursuant to ‎Section 2.06 and ‎Section 10.04.  The initial aggregate amount of the Commitments of all Lenders is $625,000,000.

“Commitment Termination Date” means the earlier to occur of (i) the date that is thirty (30) days prior to the Maturity Date (except that if such date is not a Business Day, the Commitment Termination Date shall be the next preceding Business Day) and (ii) the date when all of the Commitments are terminated in full by the Borrower pursuant to Section 2.06.

“Commodity Agreement” means any hedging agreement or other similar agreement or arrangement designed to protect the Loan Parties or any of their respective Subsidiaries against fluctuations in commodity prices (excluding contracts for the purchase or sale of goods in the ordinary course of business).

“Common Stock” means, with respect to any Person, any and all shares, interests or other participations in, and other equivalents (however designated and whether voting or non-voting) of such Person’s common shares, whether outstanding on date of this Agreement or issued after the date of this Agreement, and includes, without limitation, all series and classes of such common shares.

“Communications” has the meaning assigned to such term in Section 10.01(e)(ii).

“Compliance Certificate” has the meaning assigned to such term in ‎Section 5.01(c).

“Connection Income Taxes” means Other Connection Taxes that are imposed on or measured by net income (however denominated) or that are franchise Taxes or branch profits Taxes.

“Consolidated Subsidiaries” means, as to any Person and as of any date, all Subsidiaries of such Person and other entities the accounts of which are or would be consolidated with those of such Person for financial reporting purposes as of such date, in accordance with GAAP.

“Consolidated Total Assets” means, at any date of determination, the total amount of the consolidated assets of the Parent and its Subsidiaries, as set forth on the most recent consolidated quarterly financial statements of the Parent, calculated after giving pro forma effect to any acquisition or disposition of companies, divisions, lines of businesses, operations or assets by the Parent and its Subsidiaries subsequent to such date and on or prior to the date of determination.

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“Control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of a Person, whether through the ability to exercise voting power, by contract or otherwise.

“Controlling” and “Controlled” have meanings correlative thereto.

“Currency Agreement” means any foreign exchange contract, currency swap agreement, currency option or other similar agreement or arrangement designed to protect the Loan Parties or any of their respective Subsidiaries against fluctuations in currency values.

“CVM” means the Securities and Exchange Commission of Brasil (Comissão de Valores Mobiliários).

“Daily Simple SOFR” means, for any day, SOFR, with the conventions for this rate (which will include a lookback) being established by the Administrative Agent in accordance with the conventions for this rate recommended by the Relevant Governmental Body for determining “Daily Simple SOFR” for syndicated business loans; provided, that if the Administrative Agent decides that any such convention is not administratively feasible for the Administrative Agent, then the Administrative Agent may establish another convention in its reasonable discretion.

“Debtor Relief Laws” means the Bankruptcy Code of the United States, Brazil and Luxembourg, and all other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief Laws of the United States or other applicable jurisdictions from time to time in effect.

“Debt Rating” means, as of any date of determination, the highest Index Debt rating of the Parent, as determined by at least two Rating Agencies (collectively, the “Debt Ratings”); provided that (a) if two Rating Agencies shall issue a Debt Rating, and such Debt Ratings differ by one level, then the Pricing Level for the higher of such Debt Ratings shall apply (with the Debt Rating for Pricing Level 1 being the highest and the Debt Rating for Pricing Level 5 being the lowest); (b) if two Rating Agencies shall issue a Debt Rating, and such Debt Ratings differ by more than one level, then the Pricing Level that is one level lower than the Pricing Level of the higher Debt Rating shall apply; (c) if three Rating Agencies shall issue a Debt Rating and any two or three of the Debt Ratings are the same, then the Pricing Level shall be determined by reference to such Debt Ratings; (d) if three Rating Agencies shall issue a Debt Rating and each Debt Rating is in a different Pricing Level, then the Pricing Level that is one level higher than the middle Debt Rating shall apply; (e) if the Parent has only one Debt Rating, the Pricing Level of such Debt Rating shall apply; and (f) if the Parent does not have any Debt Rating, Pricing Level 5 shall apply.

“Default” means any event or condition which constitutes an Event of Default or which upon notice, lapse of time or both would, unless cured or waived, be an Event of Default.

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“Defaulting Lender” means any Lender that (a) has failed to fund any portion of its Loans required to be funded by it hereunder within three Business Days of the date required to be funded by it hereunder (unless such failure is due to a condition precedent to funding not having been satisfied as notified by such Lender to the Administrative Agent), (b) has notified the Administrative Agent and the Borrower that it does not intend to comply with any of its funding obligations under this Agreement or has made a public statement to the effect that it does not intend to comply with its funding obligations under this Agreement, (c) has failed, within three Business Days after request by the Administrative Agent or the Borrower, to confirm that it will comply with the terms of this Agreement relating to its obligations to fund prospective Loans (unless such failure to confirm results from a good faith dispute between such Lender and the Borrower, as notified to the Administrative Agent), (d) has otherwise failed to pay over to the Administrative Agent or any other Lender any other amount required to be paid by it hereunder within three Business Days of the date when due, unless such amount is the subject of a good faith dispute, or (e) has become, or whose holding company has become, the subject of a bankruptcy, insolvency proceeding, or a Bail-In Action, or has had a receiver, conservator, trustee or custodian appointed for it, or has taken any action in furtherance of, or indicating its consent to, approval of or acquiescence in, any such proceeding or appointment; provided that (i) such Lender shall not be deemed a Defaulting Lender if the occurrence of (a) through (e) above is the result of the acquisition of controlling equity interests in such Lender by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the U.S. or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or Governmental Authority) to reject, repudiate, disavow, or disaffirm any contracts or agreements made with such Lender or (ii) if the Borrower and the Administrative Agent agree in writing that such Lender is no longer a Defaulting Lender the Administrative Agent will so notify the parties hereto, whereupon as of the effective date specified in such notice and subject to any conditions set forth therein such Lender will, to the extent applicable, purchase at par such portion of outstanding Loans of the other Lenders and make such other adjustments as the Administrative Agent may determine to be necessary to cause the Loans of the Lenders to be on a pro rata basis in accordance with their respective Commitments, whereupon such Lender will cease to be a Defaulting Lender; provided, however, that (A) no adjustments will be made retroactively with respect to fees accrued or payments made by or on behalf of the Borrower while such Lender was a Defaulting Lender and (B) except to the extent otherwise expressly agreed by the affected parties, no change hereunder from Defaulting Lender to a non-Defaulting Lender will constitute a waiver or release of any claim of any party hereunder arising from such Lender having been a Defaulting Lender.

“Determination Date” has the meaning assigned to it in Section 2.22(a).

“Disclosed Matters” means matters previously disclosed to the Administrative Agent in writing or otherwise disclosed by the Parent or any of its Subsidiaries in (i) the most recent consolidated annual or quarterly financial statements of the Parent; (ii) any fato relevante filed by the Parent or any of its Subsidiaries with the CVM, (iii) the latest Formulário de Referência filed by the Parent or any of its Subsidiaries with the CVM or (iv) any filing by the Parent Borrower or any of its Subsidiaries with the SEC.

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“Dollar Amount” means:

(i)with respect to any Commitment, the Dollar amount thereof as set forth on Schedule ‎2.01 or in the Assignment pursuant to which such Commitment (or portion thereof) has been assigned under ‎Section 10.04; and

(ii)with respect to any Loan, the principal amount of such Loan then outstanding, expressed in Dollars.

“Dollars” or “$” refers to lawful currency of the United States.

“Early Opt-In Effective Date” means, with respect to any Early Opt-in Election, the sixth (6th) Business Day after the date notice of such Early Opt-in Election is provided to the Lenders, so long as the Administrative Agent has not received, by 5:00 (five) p.m. (New York City time) on the fifth (5th) Business Day after the date notice of such Early Opt-in Election is provided to the Lenders, written notice of objection to such Early Opt-in Election from Lenders comprising the Required Lenders; provided however, the Administrative Agent and the Borrower may choose a later date as specified in such notice.

“Early Opt-In Election” means the occurrence of:

(1)    a notification by the Administrative Agent to (or the request by the Borrower to the Administrative Agent to notify) each of the other parties hereto that at least five currently outstanding Dollar-denominated syndicated credit facilities at such time contain (as a result of amendment or as originally executed) a SOFR-based rate (including SOFR, a term SOFR or any other rate based upon SOFR) as a benchmark rate (and such syndicated credit facilities are identified in such notice and are publicly available for review); and

(2)    the joint election by the Administrative Agent and the Borrower to trigger a fallback from USD LIBOR and the provision by the Administrative Agent of written notice of such election to the Lenders.

“EEA Financial Institution” means (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent.

“EEA Member Country” means any of the member states of the European Union, Iceland, Liechtenstein, and Norway.

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“EEA Resolution Authority” means any public administrative authority or any person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution.

“Effective Date” means the first date on which the conditions specified in ‎Section 4.01 are satisfied (or waived in accordance with ‎Section 10.02).

“Electronic Signature” means an electronic sound, symbol, or process attached to, or associated with, a contract or other record and adopted by a person with the intent to sign, authenticate or accept such contract or record.

“Environmental Laws” means all laws (including common laws), rules, regulations, codes, ordinances, orders, decrees, permits, judgments, injunctions, notices or binding agreements issued, promulgated or entered into by or with any Governmental Authority, relating in any way to the environment, the preservation or reclamation of natural resources, the management, generation, use, handling, transportation, storage, treatment, disposal, release or threatened release of any Hazardous Material or health and safety matters associated with exposure to Hazardous Material.

“Environmental Liability” means any liability, contingent or otherwise (including any liability for damages, costs of environmental remediation, fines, penalties or indemnities), directly or indirectly resulting from or based upon (a) any Environmental Laws, (b) the generation, use, handling, transportation, storage, treatment or disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the release or threatened release of any Hazardous Materials or (e) any contract, agreement or other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the foregoing.

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and the rules and regulations promulgated thereunder.

“ERISA Affiliate” means any trade or business (whether or not incorporated) under common control with any Loan Party within the meaning of Section 414(b) or (c) of the Code (and Sections 414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the Code or Section 302 of ERISA).

“ERISA Event” means (a) a Reportable Event with respect to a Pension Plan; (b) the failure by any Loan Party or any ERISA Affiliate to meet all applicable requirements under the Pension Funding Rules or the filing of an application for the waiver of the minimum funding standards under the Pension Funding Rules; (c) the incurrence by any Loan Party or any ERISA Affiliate of any liability pursuant to Section 4063 or 4064 of ERISA or a cessation of operations with respect to a Pension Plan within the meaning of Section 4062(e) of ERISA; (d) a complete or partial withdrawal by any Loan Party or any ERISA Affiliate from a Multiemployer Plan or notification that a Multiemployer Plan is insolvent (within the meaning of Title IV of ERISA); (e) the filing of a notice of intent to terminate a Pension Plan under, or the treatment of a Pension Plan amendment as a termination under, Section 4041 of ERISA; (f) the institution by the PBGC of proceedings to terminate a Pension Plan; (g) the determination that any Pension Plan is in at-risk status (within the meaning of Section 430 of the Code or Section 303 of ERISA) or that a Multiemployer Plan is in endangered or critical status (within the meaning of Section 432 of the Code or Section 305 of ERISA); (h) the imposition or incurrence of any liability under Title IV of ERISA, other than for PBGC premiums due but not delinquent under Section 4007 of ERISA, upon any Loan Party or any ERISA Affiliate; (i) the engagement by any Loan Party or any ERISA Affiliate in a transaction that could be subject to Section 4069 or Section 4212(c) of ERISA; (j) the imposition of a lien upon any Loan Party pursuant to Section 430(k) of the Code or Section 303(k) of ERISA; or (k) the making of an amendment to a Pension Plan that could result in the posting of bond or security under Section 436(f)(1) of the Code.

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“Erroneous Payment” has the meaning assigned to it in Section 8.09(a).

“Erroneous Payment Deficiency Assignment” has the meaning assigned to it in ‎Section 8.09(d).

“Erroneous Payment Impacted Class” has the meaning assigned to it in ‎Section 8.09(d).

“Erroneous Payment Return Deficiency” has the meaning assigned to it in ‎Section 8.09(d).

“Erroneous Payment Subrogation Rights” has the meaning assigned to it in ‎Section 8.09(f).

“EU Bail-In Legislation Schedule” means the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor person), as in effect from time to time.

“Events of Default” has the meaning assigned to such term in Article 7.

“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended, or any successor statute or statutes thereto.

“Excluded Taxes” has the meaning assigned to such term in Section 2.13(a)(i).

“Existing Maturity Date” has the meaning assigned to such term in Section 2.21(a).

“Extending Lender” has the meaning assigned to such term in Section 2.21(e).

“Extension Request Notice” has the meaning assigned to such term in Section 2.21(a).

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“Fair Market Value” means, with respect to any asset or property, the price which could be negotiated in an arm’s length, free market transaction, for cash, between a willing seller and a willing and able buyer, neither of whom is under undue pressure or compulsion to complete the transaction. Fair Market Value shall be determined by the board of directors of the Parent acting in good faith and shall be evidenced by a board resolution of the board of directors of the Parent; provided, however, that with respect to any price less than $50,000,000 only the good faith determination by the Parent’s senior management shall be required.

“FATCA” means Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor provision that is substantively comparable and not materially more onerous to comply with), and any current or future regulations or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Code and any fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among Governmental Authorities and implementing such sections of the Code.

“FCA” has the meaning assigned to such term in Section 2.20(a).

“Federal Funds Rate” means, for any day, the rate per annum calculated by the Federal Reserve Bank of New York based on such day’s federal funds transactions by depository institutions (as determined in such manner as the Federal Reserve Bank of New York shall set forth on its public website from time to time) and published on the next succeeding Business Day by the Federal Reserve Bank of New York as the federal funds effective rate; provided that if the Federal Funds Rate as so determined would be less than zero, such rate shall be deemed to be zero for purposes of this Agreement.

“Federal Reserve Board” means the Board of Governors of the Federal Reserve System of the United States.

“Fee Letters” means, collectively, (i) the fee letter, dated as of the date hereof, by and among the Loan Parties, the Administrative Agent and the Joint Bookrunners and (ii) the administrative agent fee letter, dated as of the date hereof, by and between the Borrower and the Administrative Agent.

“Financial Officer” means, with respect to any Person, the chief financial officer, principal accounting officer, treasurer, controller, head of finance and insurance or head of financial planning and analysis of such Person.

“Fiscal Quarter” means a fiscal quarter of the Parent or Natura Cosméticos, as the case may be.

“Fiscal Year” means a fiscal year of the Parent or Natura Cosméticos, as the case may be.

“Fitch” means Fitch Ratings Inc. and any successor thereto.

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“Floor” means the benchmark rate floor provided in this Agreement initially (as of the execution of this Agreement, the modification, amendment or renewal of this Agreement or otherwise) with respect to USD LIBOR. 

“Foreign Plan” means any employee pension benefit plan that is maintained or contributed to by any Loan Party or any Subsidiary thereof with respect to employees employed outside the United States (other than any governmental arrangement) and is required to be funded through a trust or other funding vehicle (other than a trust or funding vehicle maintained exclusively by a Governmental Authority).

“GAAP” means (i) International Financial Reporting Standards, (ii) accounting practices generally accepted in the United States or (iii) accounting practices prescribed by Brazilian Corporate Law and the rules and regulations issued by the CVM, in each case as in effect from time to time, in the Parent’s discretion.

“Governmental Authority” means any nation or government, any state or municipality, any multi-lateral or similar organization or any other agency, instrumentality or political subdivision thereof and any entity exercising executive, legislative, judicial, monetary, regulatory or administrative functions of or pertaining to government. 

“Guaranteed Obligations” has the meaning assigned to such term in Section 9.01(a).

“Guarantors” has the meaning assigned to such term in the introductory paragraph of this Agreement.

“Hazardous Materials” means all hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or asbestos-containing materials, polychlorinated biphenyls, radon gas, infectious or medical wastes, and all other substances or wastes of any nature regulated pursuant to, or for which liability can be imposed under, any Environmental Law, including all explosive or radioactive substances or wastes.

“IBA” has the meaning assigned to such term in Section 2.20(a).

“Indebtedness” means with respect to any Person, without  duplication:

(1)all Obligations of such Person for borrowed money;

(2)all Obligations of such Person evidenced by bonds, debentures, notes or other similar instruments;

(3)all Capital Lease Obligations of such Person;

(4)all Obligations of such Person issued or assumed as the deferred purchase price of property, all conditional sale obligations and all obligations under any title retention agreement (but excluding trade accounts payable and other accrued liabilities arising in the ordinary course of business);

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(5)all Obligations for the reimbursement of any obligor on any letter of credit transaction, excluding obligations in respect of letters of credit or bankers’ acceptances issued in  respect of trade accounts payables to the extent not drawn upon or presented, or, if drawn upon or presented, to the extent the resulting obligation of the Person is paid within 10 Business Days; 

(6)guarantees and other contingent obligations in respect of Indebtedness referred to in clauses (1) through (5) above and clause (8) below to the extent so guaranteed;

(7)all Obligations of any other Person of the type referred to in clauses (1) through (6) above that are secured by any Lien on any property or asset of such Person; and 

(8)to the extent not otherwise included in this definition, net obligations of all Interest Swap Obligations and all Obligations under Currency Agreements and Commodity Agreements.

The amount of Indebtedness of any Person will be deemed to be:

(A)with respect to contingent obligations, the maximum liability upon the occurrence of the contingency giving rise to the Obligation; 

(B)with respect to Indebtedness secured by a Lien on the property or asset of such Person but not otherwise the obligation, contingent or otherwise, of such Person, the lesser of (x) the Fair Market Value of such property or asset on the date the Lien attached and (y) the amount of such Indebtedness;

(C)with respect to any Indebtedness issued with original issue discount, the face amount of such Indebtedness less the remaining unamortized portion of the original issue discount of such Indebtedness;

(D)with respect to any Interest Swap Obligations or Obligations under Currency Agreements and Commodity Agreements, the net amount payable if such agreement or arrangement giving rise to such obligation terminated at that time due to default by such Person; and 

(E)otherwise, the outstanding principal amount thereof. 

The principal amount of any Indebtedness or other obligation that is denominated in any currency other than Dollars (after giving effect to any Interest Swap Obligations or Obligations under Currency Agreements and Commodity Agreements in respect thereof) shall be the amount thereof, as determined pursuant to the foregoing sentence, converted into Dollars at the spot rate in effect on the date of determination. 

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Notwithstanding anything to the contrary, “Indebtedness” shall not be deemed to include any obligations that do not appear on the face of the balance sheet of the Parent; provided that, for purposes of Section 7.01(e), “Indebtedness” shall be deemed to include Indebtedness of the type referred to in clause (6) above even if such obligations do not appear on the face of the balance sheet of the Parent.

“Indemnified Taxes” means (a) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by or on account of any obligation of the Loan Parties under any Loan Document and (b) to the extent not otherwise described in (a), Other Taxes.

“Indemnitee” has the meaning assigned to such term in ‎Section 10.03(b).

“Index Debt” means senior unsecured long-term indebtedness for borrowed money of the Parent, that is not guaranteed by any other Person or subject to any other credit enhancement.

“Information” has the meaning assigned to such term in ‎Section 10.16.

“Interest Determination Date” means, with respect to any Loans, the second Business Day prior to the commencement of any Interest Period relating to such Loans.

“Interest Payment Date” means, with respect to (i) each LIBO Rate Loan, (a) the last day of the Interest Period applicable to the Borrowing of which such Loan is a part and (b) with respect to any Interest Period longer than three months, the date that is three months from the first day of such Interest Period, and each three month anniversary thereafter until the last day of such Interest Period and (ii) with respect to each Base Rate Loan, the last Business Day of each of March, June, September and December and the Maturity Date.

“Interest Period” means, with respect to each Loan, (i) the period commencing on (and including) the date of borrowing specified in the applicable Borrowing Request and ending on (but excluding) the numerically corresponding day in the calendar month that is one, three or six months thereafter, as the Borrower may elect in such Borrowing Request, and (ii) for each subsequent Interest Period, the period commencing on (and including) the last date of the Interest Period then ending with respect to such Loan and ending on (but excluding) the numerically corresponding day in the calendar month that is one, three, or six months thereafter, as the Borrower may elect in a Notice of Interest Period Election;  provided that (i) if any Interest Period would end on a day which is not a Business Day, such Interest Period shall be extended to the next succeeding Business Day unless such next succeeding Business Day falls in another calendar month, in which case such Interest Period shall end on the next preceding Business Day, (ii) any Interest Period that commences on the last Business Day of a calendar month (or on a day for which there is no numerically corresponding day in the last calendar month of such Interest Period) shall end on the last Business Day of the last calendar month of such Interest Period and (iii) any Interest Period that would otherwise end after the Maturity Date shall instead end on the Maturity Date. For purposes hereof, the date of a Borrowing initially shall be the date on which such Borrowing is made and thereafter shall be the effective date of the most recent conversion or continuation of such Borrowing. If the Borrower shall have failed to select a new Interest Period as provided above, the Interest Period shall be determined in accordance with ‎Section 2.05.

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“Interest Swap Obligations” means the obligations of any Person pursuant to any arrangement with any other Person, whereby, directly or indirectly, such Person is entitled to receive from time to time periodic payments calculated by applying either a floating or a fixed rate of interest on a stated notional amount in exchange for periodic payments made by such other Person calculated by applying a fixed or a floating rate of interest on the same notional amount and shall include, without limitation, interest rate swaps, caps, floors, collars and similar agreements.

“Joint Bookrunners” means, collectively, Bank of America, N.A., London Branch, Citibank, N.A., HSBC Bank USA, National Association, Itau BBA International plc, JPMorgan Chase Bank, N.A. and Mizuho Bank Ltd. in their respective capacities as joint bookrunners.

“Judgment Currency” has the meaning ascribed to such term in Section 10.12.

 “Lender Parties” means the Lenders and the Administrative Agent.

“Lenders” has the meaning assigned to such term in the introductory paragraph of this Agreement.

“Lending Office” means, as to each Lender, its office located at its address set forth in its Administrative Questionnaire (or identified in its Administrative Questionnaire as its Lending Office) or such other office as such Lender may hereafter designate as its Lending Office by notice to the Borrower and the Administrative Agent.

“LIBO Negotiation Period” means has the meaning assigned to such term in Section 2.18(b).

“LIBO Rate” means, with respect to an Interest Period for a LIBO Rate Loan, the arithmetic average of the rates per annum which appear on the display designated as page LIBOR 01 on the Reuters Monitor Money Rates Service as determined by the ICE Benchmark Administration or any successor thereof (or such other page as may replace the LIBOR 01 page on that service for the purpose of displaying USD LIBOR) for deposits in Dollars, for a period approximately equal to such Interest Period, as of 11:00 a.m. (London time) on the date which is two Business Days prior to the commencement of such Interest Period (and rounded, if necessary, upward to the next whole multiple of 1/100th of 1.0%); provided that in no event shall such rate be less than 0.00%.

“LIBO Rate Determination Date” has the meaning assigned to such term in Section 2.18(a).

“LIBO Rate Loan” means a Loan that bears interest at a rate determined by reference to the LIBO Rate.

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“LIBO Substitute Basis” has the meaning assigned to such term in Section 2.18(b).

“Lien” means, with respect to any asset, any mortgage, deed of trust, lien, pledge, hypothecation, charge, security interest or encumbrance of any kind, in, on or of such asset, including the lien or retained security title of a conditional vendor and any easement, right of way or other encumbrance on title to real property.

“Loan” has the meaning assigned to such term in ‎Section 2.01(a).

“Loan Documents” means this Agreement, each Note, the Fee Letters and any other document issued or entered into under this Agreement and designated by the Loan Parties and the Administrative Agent as a Loan Document.

“Loan Obligations” means all advances to, and debts, liabilities, obligations, covenants and duties of, any Loan Party arising under any Loan Document or otherwise with respect to any Loan, whether direct or indirect (including those acquired by assumption), absolute or contingent, due or to become due, now existing or hereafter arising and including interest and fees that accrue after the commencement by or against any Loan Party or any Affiliate thereof of any proceeding under any Debtor Relief Laws naming such Person as the debtor in such proceeding, regardless of whether such interest and fees are allowed claims in such proceeding. Without limiting the foregoing, the Obligations include (a) the obligation to pay principal, interest, charges, expenses, fees, indemnities and other amounts payable by any Loan Party under any Loan Document, (b) the obligation of any Loan Party to reimburse any amount in respect of any of the foregoing that the Administrative Agent or any Lender, in each case in its sole discretion, may elect to pay or advance on behalf of such Loan Party and (c) the Loan Parties’ obligation to pay, discharge and satisfy Erroneous Payment Subrogation Rights. 

“Loan Parties” means, collectively, the Borrower and the Guarantors.

“Loan Party Materials” has the meaning assigned to such term in Section 10.01(f).

“Lost Promissory Note Affidavit” means an affidavit and undertaking of a Lender (i) certifying to the best of its knowledge as to the loss, theft, destruction, or mutilation of any Note and (ii) agreeing that if such Note is found or otherwise is in its custody or power it shall promptly deliver such Note to the Borrower for cancellation.

“Margin Stock” means margin stock within the meaning of Regulations T, U and X.

“Material Adverse Effect” means a material adverse effect on (a) the business, financial condition or results of operations of the Loan Parties and their Subsidiaries, taken as a whole; (b) the rights and remedies of the Lender Parties under the Loan Documents; (c) the ability of the Loan Parties, taken as a whole, to perform their payment obligations under the Loan Documents or (d) the legality, validity, binding effect or enforceability of the Loan Documents.

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“Material Indebtedness” means, with respect to any Person, Indebtedness of such Person incurred under or evidenced by a single agreement or instrument or a series of related agreements and instruments, in each case in a principal outstanding amount in excess of $125,000,000 (or its equivalent in other currencies) other than Indebtedness incurred under this Agreement and the other Loan Documents.

“Maturity Date” means the later of (a) the date falling thirty-six months after the Effective Date and (b) if the maturity is extended pursuant to Section 2.21, such extended maturity date as determined under such Section 2.21; provided, however, that, in each case, if such date is not a Business Day, the Maturity Date shall be the next preceding Business Day.

“Maximum Loan Amount” means $625,000,000.

“Maximum Rate” has the meaning assigned to such term in Section 10.

“Moody’s” means Moody’s Investors Service, Inc. and any successor thereto.

“Multiemployer Plan” means any employee benefit plan subject to Title IV of ERISA and of the type described in Section 4001(a)(3) of ERISA, to which any Loan Party or any ERISA Affiliate makes or is obligated to make contributions, during the preceding five plan years has made or been obligated to make contributions, or has any liability.

“Multiple Employer Plan” means a Plan with respect to which any Loan Party or any ERISA Affiliate is a contributing sponsor, and that has two or more contributing sponsors at least two of whom are not under common control, as such a plan is described in Section 4064 of ERISA.

“Natura Cosméticos” has the meaning assigned to such term in the introductory paragraph of this Agreement; it being understood that such term includes any of its permitted successors or assigns.

“Non-Consenting Lender” has the meaning assigned to such term in ‎‎Section 10.02(e).

“Non-Extending Lender” has the meaning assigned to such term in Section 2.21(b).

“Note” has the meaning assigned to such term in Section 2.7(b).

“Notice Date” has the meaning assigned to such term in Section 2.21(b).

“Notice of Interest Period Election” has the meaning assigned to such term in ‎Section 2.05(a).

“Obligations” means all payment obligations, whether or not contingent, for principal, premium, interest, additional amounts, penalties, fees, indemnifications, reimbursements, damages and other liabilities payable under the documentation governing any Indebtedness.

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“OFAC” means the United States Office of Foreign Assets Control of the Department of the Treasury.

“Other Connection Taxes” means, with respect to any Lender Party, Taxes imposed as a result of a present or former connection between such Lender Party and the jurisdiction imposing such Tax (other than connections arising from such Lender Party having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Loan or Loan Document).

“Other Taxes” has the meaning assigned to such term in ‎‎Section 2.13(a)(ii).

“Parent” has the meaning assigned to such term in the introductory paragraph of this Agreement; it being understood that such term includes any of its permitted successors or assigns.

“Participant Register” has the meaning assigned to such term in ‎‎Section 10.04(e).

“Participants” has the meaning assigned to such term in ‎‎Section 10.04(e).

“PATRIOT Act” means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 and the regulations and rules promulgated thereunder, as amended from time to time.

“Payment Recipient” has the meaning assigned to such term in Section 8.09(a).

“PBGC” means the Pension Benefit Guaranty Corporation.

“Pension Funding Rules” means the rules of the Code and ERISA regarding minimum funding standards and minimum required contributions (including any installment payment thereof) to Pension Plans and Multiemployer Plans and set forth in Sections 412, 430, 431, 432 and 436 of the Code and Sections 302, 303, 304 and 305 of ERISA.

“Pension Plan” means any employee pension benefit plan (including a Multiple Employer Plan, but excluding a Multiemployer Plan) that is maintained or is contributed to by any Loan Party or any ERISA Affiliate and is either covered by Title IV of ERISA or is subject to the minimum funding standards under Section 412 of the Code.

“Permitted Holders” means (i) Antonio Luiz da Cunha Seabra, Lucia Helena Rios Seabra, RM Futura Multimercado Fundo de Investimento, Kairós Fundo de Investimento em Ações – Investimento no Exterior, Guilherme Peirão Leal, Felipe Pedroso Leal, Ricardo Pedroso Leal, Vinicius Pinotti, Fabricius Pinotti, Norma Regina Pinotti, Maria Heli Dalla Colletta de Mattos, Gustavo Dalla Colletta de Mattos, Fábio Dalla Colletta de Mattos, Sirius III Multimercado Fundo de Investimento Crédito Privado Investimento no Exterior, Pedro Luiz Barreiros Passos, Passos Participações S.A., Fundo de Investimento de Ações Veredas – Investimento no Exterior and/or any immediate family members and any Person, directly or indirectly, controlled by any of them; and (ii) any Person, directly or indirectly, controlled by a Permitted Holder.

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“Person” means any natural person, corporation, limited liability company, trust, joint venture, association, company, partnership, Governmental Authority or other entity.

“Plan” means any employee benefit plan within the meaning of Section 3(3) of ERISA, and which is subject to ERISA, maintained for employees of any Loan Party or any Subsidiary thereof, or any such plan to which any Loan Party or any Subsidiary thereof is required to contribute on behalf of any of its employees or with respect to which any Loan Party has any liability.

“Platform” means Debt Domain, Intralinks, Syndtrak, DebtX or a substantially similar electronic transmission system.

“Preferred Stock” means, with respect to any Person, any Share Capital of such Person that has preferential rights to any other Share Capital of such Person with respect to dividends or redemptions or upon liquidation.

“Prime Rate” means the rate of interest per annum publicly announced from time to time by the Administrative Agent as its prime rate in effect at its principal office in the City of New York.  Each change in the Prime Rate will be effective for purposes hereof from and including the date such change is publicly announced as being effective.

“Pro Rata Share” means:

(1) when used in reference to Commitments, with respect to each Lender at any time, a fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which is the Commitment of such Lender at such time, and the denominator of which is the Commitments of all Lenders at such time; and

(2) when used in reference to Loans, with respect to each Lender at any time, a fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which is the outstanding principal amount of the Loans of such Lender at such time, and the denominator of which is the aggregate outstanding principal amount of the Loans of all Lenders at such time.

“Process Agent” has the meaning assigned to such term in ‎‎Section 10.10(a).

“Public Lender” has the meaning assigned to such term in Section 10.01(f).

“Purchase Money Indebtedness” means Indebtedness of the Loan Parties and each of their respective Subsidiaries incurred for the purpose of financing all or any part of the purchase price, or the cost of installation, construction or improvement, of property or equipment; provided that the aggregate principal amount of such Indebtedness does not exceed the lesser of the Fair Market Value of such property or such purchase price or cost.

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“Rating Agency” means each of S&P, Moody’s and Fitch.

“Refinance” means, in respect of any security or Indebtedness, to refinance, extend, renew, refund, repay, prepay, redeem, defease or retire, or to issue a security or Indebtedness in exchange or replacement for, such security or Indebtedness in whole or in part. “Refinanced” and “Refinancing” shall have correlative meanings.

“Register” has the meaning specified in ‎‎Section 10.04(c).

“Regulations T, U and X” means Regulations T, U and X, respectively, of the Federal Reserve Board (or any successor to the function thereof establishing margin requirements), as in effect from time to time and all official rulings and interpretations thereunder or thereof.

“Related Parties” means, with respect to any specified Person, such Person’s Affiliates and the respective partners, directors, officers, employees, agents, trustees, administrators, managers, representatives and advisors of such Person and its Affiliates.

“Relevant Governmental Body” means the Federal Reserve Board or the Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board or the Federal Reserve Bank of New York, or any successor thereto.

“Reportable Event” means any of the events set forth in Section 4043(c) of ERISA, other than events for which the thirty (30)-day notice period has been waived.

“Required Lenders” means, at any time, Lenders holding more than 50.0% of the aggregate outstanding Dollar Amount of the Loans or, if no Loans are outstanding, Lenders having more than 50.0% of the aggregate Dollar Amount of the Commitments as most recently in effect; provided that the Dollar Amount of the Loans and Commitments held or deemed held by any Defaulting Lender shall be excluded for purposes of making a determination of Required Lenders until such time as such Lender is no longer a Defaulting Lender.

“Resolution Authority” means an EEA Resolution Authority or, with respect to any UK Financial Institution, a UK Resolution Authority.

“Responsible Officer” means the chief executive officer, president, chief financial officer, treasurer, assistant treasurer, manager, director, legal officer or controller of a Loan Party.  Any document delivered hereunder that is signed by a Responsible Officer of a Loan Party shall be conclusively presumed to have been authorized by all necessary corporate, partnership and/or other action on the part of such Loan Party and such Responsible Officer shall be conclusively presumed to have acted on behalf of such Loan Party.

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“Restricted Payment” means any dividend or other distribution (whether in cash, securities or other property) with respect to any capital stock or other Share Capital of the Parent, or any payment (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or termination of any such capital stock or other Share Capital, or on account of any return of capital to the Parent’s stockholders, partners or members (or the equivalent Person thereof).

“S&P” means Standard & Poor’s Financial Services LLC, a subsidiary of S&P Global Inc., and any successor thereto.

“Sanctioned Country” means, at any time, a country, territory or geographical region which is itself the subject or target of country-wide or territory-wide Sanctions.

 “Sanctioned Person” means any of the following currently or in the future: (a) an entity, vessel, or individual named on the list of Specially Designated Nationals or Blocked Persons maintained by OFAC currently available at http://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx or on any other sanctions list maintained by OFAC or the U.S. Department of State, on the consolidated list of persons, groups, and entities subject to EU financial sanctions currently available at https://eeas.europa.eu/headquarters/headquarters-homepage/8442/consolidated-list-sanctions_en, or on any other sanctions list maintained or administered by any Sanctions Authority; (b) anyone 50 percent or more owned or controlled by one or more entities or individuals described in clause (a) above; (c) (i) an agency or instrumentality of, or an entity owned or controlled by, the government of a Sanctioned Country, (ii) an entity located in a Sanctioned Country, or (iii) an individual who is a citizen or resident of, or located in, a Sanctioned Country, to the extent that the agency, instrumentality, entity, or individual is the subject of sanctions program administered by OFAC, the U.S. Department of State, the European Union, the United Nations Security Council or Her Majesty’s Treasury; or (d) an entity or individual engaged in activities sanctionable under CISADA (as defined below), ITRA (as defined below), IFCA (as defined below), or any other Sanctions Laws as amended from time to time.

“Sanctions” means economic or financial sanctions, requirements or trade embargoes imposed, administered or enforced by any Sanctions Authority.

“Sanctions Authority” means (a) the United States, (b) the United Nations, (c) the United Kingdom, (d) the European Union, (e) Brazil, (f) Luxembourg, and (g) the respective governmental institutions, agencies and subdivisions of any of the foregoing, including, without limitation, the United Nations Security Council, Her Majesty’s Treasury, OFAC, and the United States Department of State.

“Sanctions Laws” means the laws, regulations, and rules promulgated or administered by OFAC or the U.S. Department of State to implement United States sanctions programs, including any enabling legislation or Executive Order related thereto, as amended from time to time; the Comprehensive Iran Sanctions, Accountability, and Divestment Act and the regulations and rules promulgated thereunder (“CISADA”), as amended from time to time; the Iran Threat Reduction and Syria Human Rights Act and the regulations and rules promulgated thereunder (“ITRA”), as amended from time to time; the Iran Freedom and Counter-Proliferation Act and the regulations and rules promulgated thereunder (“IFCA”); the sanctions and other restrictive measures applied by, and any similar sanctions laws as may be enacted from time to time in the future by any Sanctions Authority; and any similar sanctions laws as may be enacted from time to time in the future by any Sanctions Authority; and any corresponding laws of jurisdictions in which any Loan Party or its Affiliates or any Lender Party operates or in which the proceeds of the Loans will be used or from which repayments of the obligations under the Loan Documents will be derived.

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“SEC” means the United States Securities and Exchange Commission or any Governmental Authority succeeding to any of its principal functions.

“Securities Act” means the U.S. Securities Act of 1933, as amended, and the rules and regulations of the SEC promulgated thereunder.

“Share Capital” means:

(1)with respect to any Person that is a corporation, any and all shares, interests, participations or other equivalents (however designated and whether or not voting) of corporate stock, including each class of Common Stock and Preferred Stock of such Person;

(2)with respect to any Person that is not a corporation, any and all partnership, membership or other equity interests of such Person; and

(3)any warrants, rights or options to purchase any of the instruments or interests referred to in clause (1) or (2) above.

“Significant Subsidiary” of any Person means any Subsidiary, including its subsidiaries, that would be a “significant subsidiary” of such Person within the meaning of Rule 1-02 under Regulation S-X promulgated pursuant to the Securities Act.

“SOFR” means a rate per annum equal to the secured overnight financing rate for such Business Day published by the Federal Reserve Bank of New York (or a successor administrator of the secured overnight financing rate) on the website of the Federal Reserve Bank of New York, currently at http://www.newyorkfed.org (or any successor source for the secured overnight financing rate identified as such by the administrator of the secured overnight financing rate from time to time).

“Subsidiary” means, as to any Person, any corporation or other entity of which shares of stock or other ownership interests having by the terms thereof ordinary voting power to elect a majority of the board of directors or other persons having similar functions of such corporation or other entity (other than stock or other interests having such power only by reason of the happening of any contingency) are at the time directly or indirectly owned by such Person.

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“Taxes” means any and all present and future taxes, duties, levies, imposts, assessments, deductions, fees or other charges or withholdings (including back-up withholding) of any nature imposed by any Governmental Authority, including any penalties, fines or interest with respect thereto.

“Term SOFR” means, for the applicable corresponding tenor, the forward-looking term rate based on SOFR that has been selected or recommended by the Relevant Governmental Body.

“Transactions” means the execution and delivery by the Loan Parties of the Loan Documents and the initial borrowing of Loans thereunder.

“UK Financial Institution” means any BRRD Undertaking (as such term is defined under the PRA Rulebook (as amended from time to time) promulgated by the United Kingdom Prudential Regulation Authority) or any person falling within IFPRU 11.6 of the FCA Handbook (as amended from time to time) promulgated by the United Kingdom Financial Conduct Authority, which includes certain credit institutions and investment firms, and certain affiliates of such credit institutions or investment firms.

“UK Resolution Authority” means the Bank of England or any other public administrative authority having responsibility for the resolution of any UK Financial Institution.

“United States” or “U.S.” means the United States of America.

“USD LIBOR” means the London interbank offered rate for Dollars.

“Voting Stock” means Share Capital in a Person having power to vote for the election of directors or similar officials of such Person or otherwise voting with respect to actions of such Person.

“Withholding Agent” means the Loan Parties and the Administrative Agent.

“Write-Down and Conversion Powers” means (a) with respect to any EEA Resolution Authority, the write-down and conversion powers of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule and (b) with respect to the United Kingdom, any powers of the applicable Resolution Authority under the Bail-In Legislation to cancel, reduce, modify or change the form of a liability of any UK Financial Institution or any contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those powers.

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Section 1.02.      Terms Generally.  The definitions of terms herein (including those incorporated by reference to another document) shall apply equally to the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms.  The words “include”, “includes” and “including” shall be deemed to be followed by the phrase “without limitation”.  The word “will” shall be construed to have the same meaning and effect as the word “shall”.  The word “year” shall refer (i) in the case of a leap year, to a year of three hundred sixty-six (366) days and (ii) otherwise, to a year of three hundred sixty-five (365) days. Unless the context requires otherwise, (a) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications set forth herein), (b) any reference herein to any Person shall be construed to include such Person’s successors and assigns, (c) the words “herein”, “hereof” and “hereunder”, and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof, (d) all references herein to Articles, Sections, Exhibits and Schedules shall be construed to refer to Articles and Sections of, and Exhibits and Schedules to, this Agreement, (e) any reference to treaties, statutes and related regulations shall include any amendments of the same and any successor treaties, statutes and regulations (unless otherwise specified) and (f) the word “property” shall be construed to refer to any and all tangible and intangible assets and properties, including cash, securities, accounts and contract rights.  In determining any payment or other amount that is required to be made “pro rata” to or from any group of Lenders, Loans or Commitments, such amount shall be determined, unless otherwise specified, at the respective amounts of such Loans or Commitments, as applicable, or in the case of Lenders, to the Loans and/or Commitments held by them, in each case at such time.

Section 1.03.      Accounting Terms and Changes in GAAP.  Except as otherwise expressly provided herein, all terms of an accounting or financial nature shall be construed in accordance with GAAP as in effect from time to time; provided that, if the Borrower notifies the Administrative Agent that the Borrower requests an amendment of any provision hereof to eliminate the effect of any change occurring after the date hereof in GAAP or in the application thereof (or if the Administrative Agent notifies the Borrower that the Required Lenders request an amendment of any provision hereof for such purpose), regardless of whether such notice is given before or after such change in GAAP or in the application thereof, then such provision shall be applied on the basis of GAAP as in effect and applied immediately before such change shall have become effective until such notice shall have been withdrawn or such provision amended in accordance herewith.

ARTICLE 2
The Loans

Section 2.01.      Commitments.  (a) Subject to the terms and conditions set forth herein, each Lender severally agrees to make loans in Dollars (each such loan, a “Loan”) to the Borrower from time to time, on any Business Day during the Availability Period, in an aggregate principal amount not to exceed at any time outstanding the amount of such Lender’s Commitment.  Within the limits of each Lender’s Commitment and subject to the other terms and conditions set forth herein, the Borrower may borrow, prepay and re-borrow Loans that are repaid prior to the last day of the Availability Period; provided that in no event shall the aggregate outstanding Dollar Amount of all Loans exceed the Maximum Loan Amount.

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(b)               The Commitments of the Lenders are several and not joint and the failure of any Lender to make any Loan required to be made by it shall not relieve any other Lender of its obligations hereunder, and no Lender shall be responsible for any other Lender’s failure to make Loans, to purchase participations, as applicable, or to make its payment under Section 10.03(c) as and when required hereunder.

Section 2.02.      Loans.  (a) Each Loan shall be made by the Lenders ratably in accordance with their respective Commitment, as the Borrower may request (subject to ‎‎Section 2.14) in accordance herewith.

(b)At the beginning of each Interest Period for any Borrowing, the aggregate amount of such Borrowing shall be an integral multiple of $1,000,000 and not less than $5,000,000.

(c)Loans made and outstanding hereunder may not comprise more than twenty (20) separate Borrowings at any time.

(d)Notwithstanding any other provision hereof, the Borrower will not be entitled to request, or to elect to continue, any Borrowing if the Interest Period requested with respect thereto would end after the Maturity Date.

(e)The Commitment of each Lender hereunder is revolving in nature and any amounts borrowed hereunder during the Availability Period and repaid prior to the last day of the Availability Period may, subject to the terms and conditions hereof, be reborrowed.

Section 2.03.      Requests to Borrow Loans.  To request a Borrowing, the Borrower shall notify the Administrative Agent of such request in writing not later than the third Business Day before the date of the proposed Borrowing, in the form of a Borrowing Request in substantially the form of Exhibit C (a “Borrowing Request”) and signed by the Borrower.  Each such Borrowing Request shall specify the following information in compliance with ‎Section 2.02:

(i)the aggregate amount of such Borrowing;

(ii) the date of such Borrowing, which shall be a Business Day;

(iii)the initial Interest Period to be applicable thereto, which shall be a period contemplated by the definition of “Interest Period”; and

(iv)the location and number of the Borrower’s account to which funds are to be disbursed, which shall comply with the requirements of ‎Section 2.04 and the wiring instructions therefor.

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If no Interest Period with respect to a requested Borrowing of Loans is specified, the Borrower will be deemed to have selected an Interest Period of three month’s duration.  Promptly after it receives a Borrowing Request in accordance with this ‎Section 2.03 and in any event at least two (2) Business Days before the date of the Borrowing, the Administrative Agent shall advise each Lender of the details of such Borrowing Request and the amount of such Lender’s Loan to be made pursuant thereto.

Section 2.04.      Funding of Loans.  (a) Each Lender making a Loan hereunder shall wire from its Lending Office the principal amount thereof in immediately available funds by 11:00 a.m., New York City time, on the proposed date of such Loan, to the account of the Administrative Agent most recently designated by it for such purpose by notice to the Lenders.  The Administrative Agent shall make such funds available to the Borrower by promptly crediting the amounts so received, in like funds, to an account of the Borrower designated by the Borrower in the applicable Borrowing Request.

(b)               Unless the Administrative Agent shall have been notified by any Lender at least one Business Day prior to the date of a Borrowing of Loans that such Lender does not intend to make available to the Administrative Agent such Lender’s portion of the Borrowing to be made on such date, the Administrative Agent may assume that such Lender has made such amount available to the Administrative Agent on such date and the Administrative Agent may (in its sole discretion and without any obligation to do so), in reliance upon such assumption, make available to the Borrower, as provided for above, a corresponding amount.  If such corresponding amount is not in fact made available to the Administrative Agent by such Lender and the Administrative Agent has made the same available to the Borrower, the Administrative Agent shall be entitled to recover such corresponding amount from such Lender on demand.  If such Lender does not pay such corresponding amount forthwith upon the Administrative Agent’s demand therefor, the Administrative Agent shall promptly notify the Borrower and the Borrower shall immediately pay such corresponding amount to the Administrative Agent. The Administrative Agent shall also be entitled to recover on demand from such Lender or the Borrower, as the case may be, interest on such corresponding amount in respect of each day from the date such corresponding amount was made available by the Administrative Agent to the Borrower until the date such corresponding amount is recovered by the Administrative Agent, at a rate per annum equal to (i) if recovered from such Lender, the cost to the Administrative Agent of acquiring overnight funds and (ii) if recovered from the Borrower, the then applicable rate for the Loans as determined pursuant to ‎‎Section 2.10.  Nothing in this ‎Section 2.04 shall be deemed to relieve any Lender from its obligation to make any Loan hereunder or to prejudice any rights which the Borrower may have against any Lender as a result of any failure by such Lender to make any Loan hereunder.

(c)                Each Lender may, at its option, make any Loan by causing any domestic or foreign branch or Affiliate of such Lender to make such Loan; provided that (i) such domestic or foreign branch or Affiliate of such Lender shall not be incorporated, domiciled, resident or established in any jurisdiction identified as a tax haven by the Organization for Economic Co-operation and Development and/or by the Brazilian tax authorities under Normative Ruling RFB No. 1037 of June 4, 2010, (ii) such option does not result in the Loan being an arrangement involving a hybrid mismatch where the mismatch outcome is priced into the terms of the arrangement or an arrangement that has been designed to produce a hybrid mismatch outcome as meant in Council Directive (EU) 2017/952 of 29 May 2017 amending Directive (EU) 2016/1164 as regards hybrid mismatches with third countries and (iii) any exercise of such option (x) shall not affect in any manner the obligation of the Borrower to repay such Loan in accordance with the terms of this Agreement, (y) shall not modify or affect in any manner the obligation of such Lender to make Loans to the Borrower in the amount of its respective Commitment and (z) shall not result in the Borrower being required to pay any amounts pursuant to Section 2.13 greater than it would have been required to pay to such Lender on the date such Loan is made. For the avoidance of doubt, in the event that a Lender exercises its option to make any Loan through its domestic or foreign branch or Affiliate and such funds are not received by the Administrative Agent in accordance with Section 2.04(a), to the extent that the Administrative Agent shall, in any event, make available to Borrower on the proposed date of the Loan an amount equal to such Lender’s portion of the Borrowing to be made on such date, it shall subsequently be entitled to recover such funds from such Lender as set forth in Section 2.04(b).

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Section 2.05.      Method of Electing Interest Periods.  (a) The initial Interest Period for each Borrowing shall be as specified in the relevant Borrowing Request.  Thereafter, the Borrower may, from time to time, subject to Section 2.11 and Section 2.12, elect the duration of the Interest Period or Interest Periods applicable to the Loans (subject in each case to the definition of Interest Period and ‎Section 2.11 and Section 2.12).  Each such election of an Interest Period shall be made by delivering a written notice in a form approved by the Administrative Agent and signed by the Borrower (a “Notice of Interest Period Election”) to the Administrative Agent not later than 12:00 noon, New York City time, on the third Business Day before such election is to be effective.  If no such notice is timely received prior to the end of an Interest Period, the Borrower shall be deemed to have elected that all Loans having such Interest Period be continued as Loans with an Interest Period equal in length to the Interest Period then ending (in each case subject to the definition of Interest Period).

(b)               Each Notice of Interest Period Election shall specify:

(i)                 the Borrowing of Loans to which such notice applies;

(ii)               the date on which the election specified in such notice is to become effective, which shall comply with the applicable clause of subsection (a) above; and

(iii)            the duration of the new Interest Period.

Each Interest Period specified in a Notice of Interest Period Election shall comply with the provisions of the definition of Interest Period.

(c)                Promptly after receiving a Notice of Interest Period Election from the Borrower pursuant to Section 2.05(a) above, the Administrative Agent shall notify each Lender of the contents thereof and such Lender’s portion of each resulting Borrowing, and such notice shall not thereafter be revocable by the Borrower.

Section 2.06.      Termination or Reduction of Commitments.  (a) Unless previously terminated, the Commitments will automatically terminate on the Commitment Termination Date.

(b)               The Borrower may, at any time, terminate, or from time to time reduce, the Commitments; provided that (i) the amount of each reduction of the Commitments shall be an integral multiple of $1,000,000 and not less than $5,000,000 and (ii) the Borrower shall not terminate or reduce the Commitments if, after giving effect thereto and to any concurrent prepayment of Loans pursuant to ‎Section 2.08, the aggregate outstanding principal amount of Loans would exceed the total Commitments.

(c)                The Borrower shall notify the Administrative Agent of any election to terminate or reduce the Commitments under Section 2.06(b) at least three Business Days before the effective date of such termination or reduction, specifying such election and the effective date thereof.  Promptly after it receives any such notice, the Administrative Agent shall advise the Lenders of the contents thereof.  Each notice delivered by the Borrower pursuant to this ‎Section 2.06 will be irrevocable; provided that any such notice terminating the Commitments may state that it is conditioned on the effectiveness of other financing arrangements, in which case such notice may be revoked by the Borrower (by notice to the Administrative Agent on or before the specified effective date) if such condition is not satisfied.

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(d)               Any termination or reduction of the Commitments pursuant to this ‎Section 2.06 will be permanent and will be applied among the Lenders in accordance with their respective Pro Rata Shares of the Aggregate Commitments.

Section 2.07.      Payment at Maturity; Evidence of Indebtedness.  (a) The Borrower unconditionally promises to pay to the Administrative Agent on the Maturity Date, for the account of each Lender, the then-unpaid principal amount of such Lender’s Loans.

(b)               The Borrower’s obligation to pay the principal of, and interest on, the Loans made by any Lender to the Borrower shall be evidenced by a promissory note, substantially in the form of Exhibit B, with blanks appropriately completed in conformity herewith (each, a “Note”).

(c)                Each Note issued on the date of the initial Borrowing to each Lender shall (i) be duly executed and delivered by the Borrower and guaranteed by the Guarantors (por aval) in accordance with the Brazilian Civil Code, (ii) be payable to such Lender, (iii) be in a stated principal amount equal to such Lender’s Commitment and (iv) bear interest as provided in Section 2.10.

(d)               Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing the indebtedness of the Borrower to such Lender resulting from each Loan made by such Lender, including the amounts of principal and interest payable and paid to such Lender from time to time.

(e)                The Administrative Agent shall maintain accounts with respect to the Loans in which it shall record (i) the amount of each Loan made hereunder and each Interest Period (if any) applicable thereto, (ii) the amount of any principal or interest due and payable or to become due and payable from the Borrower to each Lender hereunder and (iii) the amount of any sum received by the Administrative Agent hereunder for the account of the Lenders and each Lender’s pro rata share thereof.

(f)                The payment of any part of the principal or interest of any Note shall proportionally discharge the obligation of the Borrower under this Agreement to pay the principal or interest, as the case may be, of the Loan evidenced by such Note, and the payment of any principal or interest of the Loan in accordance with the terms hereof shall proportionally discharge the obligations of the Borrower under such Note evidencing such Loan.

(g)             The entries made in the accounts maintained pursuant to subsections (d) and ‎(e) of this ‎Section 2.07 shall be prima facie evidence of the existence and amounts of the obligations recorded therein; provided that any failure by any Lender or the Administrative Agent to maintain such accounts or any error therein shall not affect the Borrower’s obligation to repay the Loans in accordance with the terms of this Agreement.

(h)               If any Note shall become mutilated, destroyed, lost or stolen, the Borrower shall, upon the written request of and at the sole expense of the holder of such Note and the receipt by the Borrower of a Lost Promissory Note Affidavit from such holder, execute and deliver in replacement thereof a new Note, payable to the same holder in the same principal amount and on the same terms and dated the same date as such Note so mutilated, destroyed, lost or stolen.

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Section 2.08.      Optional Prepayments.  (a) The Borrower will have the right, from time to time, at any time to prepay any Loan in whole or in part in amounts not less than $5,000,000 or increments of $1,000,000 in excess thereof and otherwise in accordance with the provisions of this ‎Section 2.08.  The Borrower shall notify the Administrative Agent in writing of any optional prepayment of any Borrowing hereunder, not later than 12:00 noon, New York City time, three (3) Business Days before the date of prepayment.  Each such notice shall be irrevocable and shall specify the prepayment date, the principal amount of each Borrowing or portion thereof to be prepaid; provided that, if a notice of optional prepayment is given in connection with a conditional notice of termination of the Commitments as contemplated by ‎‎Section 2.06(c), then such notice of prepayment may be revoked if such notice of termination is revoked in accordance with ‎‎Section 2.06(c).  Promptly after it receives any such notice, the Administrative Agent shall advise the Lenders of the contents thereof. 

(b)               No prepayment hereunder will be subject to any premium, penalty or fee; provided that in the event that any prepayment is made on a day other than an Interest Payment Date, such prepayment shall include any break funding costs as provided for in ‎Section 2.12.

(c)                Allocation of Prepayments.  Each prepayment of Loans pursuant to ‎Section 2.08 shall be applied ratably to all Loans included in the relevant Borrowing then outstanding and being prepaid in accordance with the respective Dollar Amounts thereof.

(d)               Accrued Interest.  Each prepayment of a Borrowing shall be accompanied by accrued interest to the extent required by ‎Section 2.10.

Section 2.09.      Fees.  (a) The Borrower shall pay to the Administrative Agent in respect of the Commitments, for the account of each Lender, a commitment fee in an amount, per annum, equal to 35.0% of the Applicable Margin multiplied by the actual daily amount by which (x) such Lender’s Commitment exceeds (y) the aggregate outstanding principal amount of such Lender’s Loans, during the period from the Effective Date to the Commitment Termination Date.  Accrued commitment fees will be payable in arrears on the last day of March, June, September and December of each year and the Commitment Termination Date, commencing on the first such day to occur after the date hereof.  All commitment fees will be computed on the basis of a year of three hundred and sixty (360) days and will be payable for the actual number of days elapsed (including the first day but excluding the last day).

(b)               The Borrower shall pay to the Administrative Agent for the account of each Lender in accordance with its Applicable Percentage, a utilization fee calculated as follows:

(i)                 0.15% per annum times the aggregate outstanding principal amount of all Loans on each day that such aggregate outstanding principal amount is greater than 33.0% and less than or equal to 66.0% of the actual daily amount of the Aggregate Commitments then in effect (or, if terminated, in effect immediately prior to such termination); and

(ii)               0.30% per annum times the aggregate outstanding principal amount of all Loans on each day that such aggregate outstanding principal amount is greater than 66.0% of the actual daily amount of the Aggregate Commitments then in effect (or, if terminated, in effect immediately prior to such termination); 

in each case, giving effect to any adjustments as provided in Section 2.17(b).  

(c)                The utilization fee shall be due and payable quarterly in arrears on the last Business Day of each March, June, September and December, commencing with the first such date to occur after the Effective Date, and on the last day of the Availability Period.  The utilization fee shall be calculated quarterly in arrears.  

(d)             The Borrower shall pay to the Administrative Agent for its own account and/or for the account of each Lender and each Joint Bookrunner, as the case may be, such fees payable in the amounts and at the times set forth in the Fee Letters.

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Section 2.10.      Interest.  (a) Each Loan shall bear interest on the outstanding principal amount thereof, for each day during each Interest Period applicable thereto, at a rate per annum equal to the sum of the LIBO Rate plus the Applicable Margin applicable to such Interest Period.  Such interest shall be payable in arrears on each Interest Payment Date and the Maturity Date; provided that (i) interest accrued pursuant to paragraph (b) of this Section shall be payable on demand and (ii) in the event of any repayment or prepayment of the Loans, accrued interest on the principal amount repaid or prepaid shall be payable on the date of such repayment or prepayment.

(b)               Notwithstanding the foregoing, any overdue amounts under the Loan Documents shall bear interest, after as well as before judgment, at a rate per annum equal to 1.0% plus the rate otherwise applicable to the Loans as provided in Section 2.10(a) (whether or not any Loans are then outstanding) to the fullest extent permitted by applicable laws.

(c)                All interest hereunder will be computed on the basis of a year of three hundred sixty (360) days, except that interest computed by reference to the Base Rate at times when the Base Rate is based on the Prime Rate shall be computed on the basis of a year of three hundred sixty-five (365) days (or three hundred sixty-six (366) days in a leap year), and, in each case, will be payable for the actual number of days elapsed (including the first day but excluding the last day).

(d)               The Administrative Agent shall determine, in accordance with the terms of this Agreement, each interest rate applicable to the Loans hereunder.  The Administrative Agent shall promptly notify the Borrower and the Lenders, of each rate of interest so determined, and its determination thereof shall, absent manifest error, be conclusive.

(e)                On each Interest Determination Date, the Administrative Agent shall determine the LIBO Rate applicable to the Loans at the commencement of the next succeeding Interest Period for such Borrowing and shall promptly notify the Borrower and the Lenders thereof.

Section 2.11.      Increased Costs.  (a) If any Change in Law shall:

(i)                 impose, modify or deem applicable any reserve, special deposit, compulsory loan, insurance charge or similar requirement against assets of, deposits with or for the account of, or credit extended or participated in by, any Lender (except any reserve requirement reflected in the LIBO Rate); or

(ii)               subject any Lender or the Administrative Agent to any Taxes (other than (A) Indemnified Taxes, (B) Taxes described in clauses (B) through (D) of the definition of Excluded Taxes and (C) Connection Income Taxes) on its Loans, Commitments, or its deposits, reserves, other liabilities or capital attributable thereto; or

(iii)            impose on any Lender or the London interbank market any other condition, cost or expense (other than Taxes) affecting this Agreement or the Loans made by such Lender or participation therein;

and the result of any of the foregoing shall be to increase the cost to such Lender or the Administrative Agent of making, converting to, continuing or maintaining any Loan (or maintaining its obligation to make any such Loan) or to reduce any amount received or receivable by such Lender or the Administrative Agent hereunder (whether of principal, interest or otherwise), then the Borrower shall pay to such Lender or the Administrative Agent such additional amount or amounts as will compensate it for such additional cost incurred or reduction suffered.

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(b)               If any Lender determines that any Change in Law affecting such Lender or any lending office of such Lender or such Lender’s holding company, if any, regarding capital or liquidity requirements has or would have the effect of reducing the rate of return on such Lender’s capital or on the capital of such Lender’s holding company, if any, as a consequence of this Agreement, the Commitments of such Lender or the Loans made by such Lender, to a level below that which such Lender or such Lender’s holding company could have achieved but for such Change in Law (taking into consideration such Lender’s policies and the policies of such Lender’s holding company with respect to capital adequacy and liquidity), then from time to time the Borrower shall pay to such Lender such additional amount or amounts as will compensate it or its holding company for any such reduction suffered.

(c)                A certificate of a Lender setting forth in reasonable detail its calculation of the amount or amounts necessary to compensate it or its holding company, as the case may be, as specified in subsection (a) or (b) of this ‎Section 2.11 shall be delivered to the Borrower and shall be conclusive absent manifest error.  In determining such amount or amounts, such Lender will act reasonably and in good faith and will use averaging and attribution methods which are reasonable.  The Borrower shall pay such Lender the amount shown as due on any such certificate within thirty (30) days after receipt thereof.

(d)               Failure or delay by any Lender to demand compensation pursuant to this ‎Section 2.11 will not constitute a waiver of its right to demand such compensation; provided that the Borrower will not be required to compensate a Lender pursuant to this ‎Section 2.11 for any increased cost or reduction incurred more than nine months before it notifies the Borrower of the Change in Law giving rise to such increased cost or reduction and of its intention to claim compensation therefor.  However, if the Change in Law giving rise to such increased cost or reduction is retroactive, then the nine month period referred to above will be extended to include the period of retroactive effect thereof.

(e)                At any time that any Loan is affected by the circumstances described in subsection (a) of this ‎Section 2.11, the Borrower may (x) cancel any Borrowing Requests by giving the Administrative Agent notice in writing of cancellation on the same date that the Borrower receives notice of such circumstance pursuant to paragraph (c) of this ‎Section 2.11, and (y) if any Loan is outstanding hereunder, upon at least three Business Days’ written notice to the Administrative Agent, (A) if, but only if, the affected Lender notifies the Borrower that use of the Base Rate would remedy such circumstances, require that the interest rate applicable to such Loan be the Base Rate in effect from time to time plus the Applicable Margin or (B) prepay such Loan pursuant to ‎Section 2.08(c); provided, however, that if more than one Lender is affected at any time by substantially similar circumstances and costs, then all affected Lenders must be treated the same pursuant to this Section 2.11(e).

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Section 2.12.      Break Funding Payments.  

(a)                If (i) any principal of any Loan is repaid on a day other than an Interest Payment Date, (ii) any LIBO Rate Loan is converted on a day other than on the last day of the Interest Period applicable thereto, (iii) the Borrower fails to borrow, convert, continue or prepay any Loan on the date specified in any notice delivered pursuant hereto or (iv) any Loan is assigned on a day other than an Interest Payment Date as a result of a request by the Borrower pursuant to ‎Section 2.16, then the Borrower shall compensate each Lender for its loss, cost and expense attributable to such event. In the case of a LIBO Rate Loan, such loss, cost or expense to any Lender shall be deemed to include an amount determined by such Lender to be the excess, if any, of (x) the amount of interest that would have accrued on the principal amount of such Loan had such event not occurred, at the LIBO Rate that would have been applicable to such Loan, for the period from the date of such event to the end of the then-current Interest Period therefor (or, in the case of a failure to borrow, convert or continue, the Interest Period that would have begun on the date of such failure), over (y) the amount of interest that would accrue on such principal amount for such period at the interest rate that such Lender would bid were it to bid, at the commencement of such period, for dollar deposits of a comparable amount and period from other banks in the London interbank Eurodollar market.

(b)               A certificate of any Lender setting forth in reasonable detail the calculation of any amount or amounts that such Lender is entitled to receive pursuant to this ‎Section 2.12 shall be delivered to the Borrower and shall be conclusive absent manifest error.  The Borrower shall pay such Lender the amount due under this ‎Section 2.12 as shown on any such certificate within thirty (30) days after receipt thereof.

Section 2.13.      Taxes.  (a) For purposes of this ‎Section 2.13, the following terms have the following meanings:

(i)                 “Excluded Taxes” means any of the following Taxes imposed on or with respect to a Lender Party or required to be withheld or deducted from a payment to a Lender Party:

(A)       Taxes imposed on or measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (1) imposed as a result of such Lender Party being organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (2) that are Other Connection Taxes;

(B)        any U.S. federal withholding Taxes imposed under FATCA; 

(C)        Taxes attributable to such Lender Party’s failure to comply with Section 2.13(f); and

(D)       with respect to a Tax imposed by Luxembourg, Taxes that become payable upon a voluntary registration made by any party if such registration is not required by any applicable law or not necessary to evidence, prove, maintain, enforce, compel or otherwise assert the rights of such party or obligations of any party under a Loan Document.

(ii)               “Other Taxes” means all present or future stamp, court or documentary, intangible, recording, filing or similar Taxes that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Loan Document; provided that Other Taxes shall not include Other Connection Taxes imposed with respect to an assignment (other than an assignment made pursuant to Section 2.15 or Section 2.16).

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(iii)            Any reference to “law” includes FATCA.

(b)               Any and all payments by any Loan Party to or for the account of any Lender or the Administrative Agent under any Loan Document shall be made free and clear of and without deduction or withholding for any Taxes except as required by applicable law; provided that, if any Withholding Agent shall be required by applicable law to withhold or deduct any Taxes from any such payments, (i) if such Tax is an Indemnified Tax, then the sum payable shall be increased as necessary so that after making all required deductions and withholdings (including deductions and withholdings applicable to additional sums payable under this ‎‎Section 2.13) such Lender or the Administrative Agent (as the case may be) receives an amount equal to the sum it would have received had no such deductions or withholdings been made, (ii) such Withholding Agent shall make such deductions or withholdings, (iii) such Withholding Agent shall pay the full amount deducted or withheld to the relevant Governmental Authority in accordance with applicable law and (iv) such Loan Party shall promptly furnish to the Administrative Agent, at its address referred to in ‎Section 10.01, the original or a certified copy of a receipt or return issued by such Governmental Authority evidencing payment thereof, (or other evidence of payment reasonably satisfactory to the Administrative Agent) within ten (10) Business Days after the date such payment is made, and the Administrative Agent shall promptly forward such receipt to the relevant Lender.

(c)                The Loan Parties shall timely pay to the relevant Governmental Authority in accordance with applicable law, or at the option of the Administrative Agent timely reimburse it for the payment of, any Other Taxes.

(d)               Each Loan Party agrees to jointly and severally indemnify each Lender Party for the full amount of Indemnified Taxes (including any Indemnified Taxes imposed or asserted on or attributable to amounts payable under this ‎Section 2.13) paid or payable by such Lender Party or required to be withheld or deducted from a payment to such Lender Party and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority.  A certificate as to the amount of such payment or liability delivered to the Loan Parties by a Lender Party (with a copy to the Administrative Agent), or by the Administrative Agent on its own behalf or on behalf of a Lender Party, shall be conclusive absent manifest error. This indemnification shall be paid within fifteen (15) days after such Lender Party makes demand therefor.

(e)                Each Lender agrees to severally indemnify the Administrative Agent, within fifteen (15) days after demand therefor, for  (i) any Indemnified Taxes attributable to such Lender (but only to the extent that the Loan Parties have not already indemnified the Administrative Agent for such Indemnified Taxes and without limiting the obligation of the Loan Parties to do so), (ii) any Taxes attributable to such Lender’s failure to comply with the provisions of ‎Section 10.04(l) relating to the maintenance of a Participant Register and (iii) any Excluded Taxes attributable to such Lender, in each case, that are payable or paid by the Administrative Agent in connection with any Loan Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to any Lender by the Administrative Agent shall be conclusive absent manifest error. Each Lender hereby authorizes the Administrative Agent to set off and apply any and all amounts at any time owing to such Lender under any Loan Document or otherwise payable by the Administrative Agent to the Lender from any other source against any amount due to the Administrative Agent under this paragraph ‎(e).

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(f)                If a Lender or the Administrative Agent is eligible for the benefits of an income tax treaty with respect to any fees payable by any Loan Party hereunder, such Lender shall provide such Loan Party, at the time or times reasonably requested by such Loan Party, with any form, document or other certification, appropriately completed, and duly legalized or apostilled, if appropriate, that are necessary for such Lender or the Administrative Agent, respectively, to be exempt from, or entitled to a reduced rate of, Tax on payments of such fees.  In addition, each Lender, upon the reasonable request of any Loan Party or the Administrative Agent, shall provide to such Loan Party or the Administrative Agent such other form, certification or similar documentation, if any, as is currently required under applicable law, in order to obtain an exemption from, or reduced rate of, deduction, payment or withholding of Taxes to which such Lender or the Administrative Agent is entitled pursuant to an applicable tax treaty or applicable law if such Loan Party shall have furnished to such Lender or the Administrative Agent copies of such documentation and notice of the entirety of such requirements together with applicable instructions; provided that a Lender shall not be required to provide such other documentation if in such Lender’s reasonable judgment, such completion, execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of such Lender.

(g)               If any party determines, in its sole discretion exercised in good faith, that it has received a refund of any Taxes as to which it has been indemnified pursuant to this Section (including by the payment of additional amounts pursuant to this Section), it shall pay to the indemnifying party an amount equal to such refund (but only to the extent of indemnity payments made under this Section with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of such indemnified party and without interest (other than any interest paid by the relevant Governmental Authority with respect to such refund). Such indemnifying party, upon the request of such indemnified party, shall repay to such indemnified party the amount paid over pursuant to this paragraph (g) (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) in the event that such indemnified party is required to repay such refund to such Governmental Authority. Notwithstanding anything to the contrary in this paragraph (g), in no event will the indemnified party be required to pay any amount to an indemnifying party pursuant to this paragraph (g) the payment of which would place the indemnified party in a less favorable net after-Tax position than the indemnified party would have been in if the Tax subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Tax had never been paid. This paragraph shall not be construed to require any indemnified party to make available its Tax returns (or any other information relating to its Taxes that it deems confidential) to the indemnifying party or any other Person.

(h)               Notwithstanding the foregoing, nothing in this ‎Section 2.13 shall interfere with the rights of any Loan Party or any Lender Party, as the case may be, to conduct its fiscal or tax affairs in such manner as it deems fit.

Section 2.14.      Payments Generally; Pro Rata Treatment; Sharing of Set-offs.  (a)The Borrower shall make each payment required to be made by it under the Loan Documents (whether of principal, interest or fees, or amounts payable under ‎Section 2.11, ‎Section 2.12 or Section 2.13 or otherwise) before the time expressly required under the relevant Loan Document for such payment (or, if no such time is expressly required, before 12:00 noon, New York City time), on the date when due, in immediately available funds, without set‐off or counterclaim.  Any amount received after 3:00 p.m., New York City time on any day may, in the discretion of the Administrative Agent, be deemed to have been received on the next succeeding Business Day for purposes of calculating interest thereon.  All such payments shall be made to the Administrative Agent at the Administrative Agent’s Account.  The Administrative Agent shall distribute any such payment received by it for the account of any other Person to the appropriate recipient promptly after receipt thereof.  If any payment under any Loan Document shall be due on a day that is not a Business Day, the date for payment will be extended to the next succeeding Business Day and, if such payment accrues interest, interest thereon will be payable for the period of such extension.  All payments hereunder shall be made in Dollars.

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(b)               Subject to Section 7.02, if at any time insufficient funds are received by and available to the Administrative Agent to pay fully all amounts of principal, interest and fees relating to the Loans and other amounts then due hereunder, such funds shall be applied (i) first, to pay fees, expenses and other amounts (other than principal of, and interest on the Loans) then due hereunder, ratably among the parties entitled thereto in accordance with the amounts then due to such parties, (ii) second, to pay accrued and unpaid interest on the Loans and (iii) third, to pay principal of Loans then due hereunder with respect to such Loans, ratably among the parties entitled thereto in accordance with the amounts of principal then due to such parties.

(c)                If any Lender shall, by exercising any right of set-off or counterclaim or otherwise, obtain payment in respect of any principal of or interest on any of its Loans or payment of any other amount under this Agreement or the other Loan Documents, resulting in such Lender receiving a percentage of the principal of or interest on the Loans or such other amounts then due under the Loan Documents in excess of such Lender’s share thereof, then the Lender receiving such greater proportion shall purchase (for cash in Dollars at face value) participations in the Loans held by other Lenders to the extent necessary so that the benefit of all such payments shall be shared by such Lenders ratably in accordance with the aggregate amount of principal of and accrued interest on their respective Loans and other amounts owing to them; provided that (i) if any such participations are purchased and all or any portion of the payment giving rise thereto is recovered, such participations shall be rescinded and the purchase price restored to the extent of such recovery, without interest, and (ii) the provisions of this subsection shall not apply to any payment made by the Borrower pursuant to and in accordance with the express terms of this Agreement (including the application of funds arising from the existence of a Defaulting Lender) or any payment obtained by a Lender as consideration for the assignment of or sale of a participation in any of its Loans to any assignee or participant, other than to the Borrower or any Subsidiary or Affiliate thereof (as to which the provisions of this subsection shall apply).  The Borrower consents to the foregoing and agrees, to the extent it may effectively do so under applicable law, that any Lender acquiring a participation pursuant to the foregoing arrangements may exercise against the Borrower rights of set-off and counterclaim with respect to such participation as fully as if such Lender were a direct creditor of the Borrower in the amount of such participation.

(d)               Unless, before the date on which any payment is due to the Administrative Agent for the account of one or more Lender Parties hereunder, the Administrative Agent receives from the Borrower notice that the Borrower will not make such payment, the Administrative Agent may assume that the Borrower has made such payment on such date in accordance herewith and may, in reliance on such assumption, distribute to each relevant Lender Party the amount due to it.  In such event, if the Borrower has not in fact made such payment, each Lender Party severally agrees to repay to the Administrative Agent forthwith on demand the amount so distributed to such Lender Party with interest thereon, for each day from and including the day such amount is distributed to it to but excluding the day it repays the Administrative Agent at the greater of (i) the Federal Funds Rate and (ii) a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation.

(e)                If any Lender fails to make any payment required to be made by it pursuant to ‎Section 2.04(b), ‎Section 2.14(c) or ‎Section 10.03(c), the Administrative Agent may, in its discretion (notwithstanding any contrary provision hereof), apply any amounts thereafter received by the Administrative Agent for the account of such Lender to satisfy such Lender’s obligations under such Sections until all such unsatisfied obligations are fully paid.

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Section 2.15.      Lender’s Obligation to Mitigate.  If any Lender requests compensation under ‎Section 2.11, or if the Borrower is required to pay any Indemnified Tax or additional amounts to any Lender or any Governmental Authority for the account of any Lender pursuant to ‎Section 2.13, or if any Lender gives notice pursuant to Section 2.19, then, at the written request of the Borrower, such Lender shall use reasonable efforts to designate a different Lending Office for funding or booking its Loans hereunder or to assign its rights and obligations hereunder to another of its offices, branches or affiliates, if, in the good faith judgment of such Lender, such designation or assignment (i) would eliminate or reduce amounts payable pursuant to ‎Section 2.11 or ‎Section 2.13, as the case may be, in the future, or eliminate the need for notice pursuant to Section 2.19 and (ii) would not subject such Lender to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender. The Borrower hereby agrees to pay all reasonable costs and expenses incurred by any Lender in connection with any such designation or assignment. 

Section 2.16.      Replacement of Lenders.  If (x) any Lender (A) requests compensation under ‎Section 2.11 and has declined or is unable to designate a different lending office in accordance with Section 2.15 or (B) becomes a Defaulting Lender or (C) becomes a Non-Consenting Lender under ‎Section 10.02, or (y) the Borrower is required to pay any Indemnified Tax or additional amounts to any Lender or any Governmental Authority for the account of any Lender pursuant to ‎Section 2.13, then the Borrower may, at its sole expense and effort, upon notice to such Lender and the Administrative Agent, require such Lender to assign, without recourse (in accordance with and subject to the restrictions contained in ‎Section 10.04), all its interests, rights (other than its existing rights to payments pursuant to Section 2.11 and Section 2.13) and obligations under this Agreement and the other Loan Documents to an assignee that meets the requirements under Section 10.04 that shall assume such obligations (which assignee may be another Lender, if a Lender accepts such assignment); provided that (a) the Borrower shall have received the prior written consent of the Administrative Agent, which consent shall not unreasonably be withheld, conditioned or delayed, (b) such Lender shall have received payment of an amount equal to the outstanding principal of its Loans, accrued interest thereon, accrued fees and all other amounts payable to it hereunder and under the other Loan Documents (including any amounts under Section 2.12), from the assignee (to the extent of such outstanding principal and accrued interest and fees) or the Borrower (in the case of all other amounts), (c) in the case of any such assignment resulting from a claim for compensation under ‎Section 2.11 or payments required to be made pursuant to ‎Section 2.13, such assignment will result in a reduction in such compensation or payments thereafter, (d) such assignment shall not conflict with applicable law and (e) in the case of any assignment resulting from a Lender becoming a Non-Consenting Lender, the applicable assignee shall have consented to the applicable amendment, waiver or consent.  A Lender shall not be required to make any such assignment if, prior thereto, as a result of a waiver by such Lender or otherwise, the circumstances entitling the Borrower to require such assignment cease to apply.

Section 2.17.      Loans to be Made Pro Rata by Lenders; Defaulting Lenders.  

(a)                The Loans under this Agreement shall be made by the Lenders pro rata on the basis of their respective Commitments. It is understood that no Lender shall be responsible for any default by any other Lender of its obligation to make any Loan on any date of the Borrowing hereunder and that each Lender shall be obligated to make the Loans provided to be made by it hereunder regardless of the failure of any other Lender to make any Loan on any date of the Borrowing hereunder.  

(b)               Notwithstanding any provision of this Agreement to the contrary, if any Lender becomes a Defaulting Lender, then the following provisions shall apply for so long as such Lender is a Defaulting Lender, to the extent permitted by applicable law: (i) commitment fees shall cease to accrue on the unfunded portion of the Commitment of such Defaulting Lender pursuant to ‎Section 2.09(a); and (ii) the Dollar Amount of such Defaulting Lender’s Loans and the Commitment of such Defaulting Lender shall not be included in determining whether the Required Lenders have taken or may take any action hereunder (including any consent to any amendment, waiver or other modification pursuant to ‎Section 10.02), except that (1) the Commitment of any Defaulting Lender may not be increased or extended, or the maturity of its Loan may not be extended, the rate of interest on its Loan may not be reduced and the principal amount of its Loan may not be forgiven, in each case without the consent of such Defaulting Lender and (2) any amendment, waiver or consent requiring the consent of all the Lenders or each affected Lender that by its terms affects any Defaulting Lender more adversely than the other affected Lenders shall require the consent of such Defaulting Lender.

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(c)                Any payment of principal, interest, fees or other amounts received by the Administrative Agent for the account of such Defaulting Lender (whether voluntary or mandatory, at maturity, pursuant to Article 7 or otherwise) or received by the  Administrative Agent from a Defaulting Lender pursuant to Section 10.08 shall be applied at such time or times as may be determined by the Administrative Agent as follows: first, to the payment of any amounts owing by such Defaulting Lender to the Administrative Agent hereunder; second, as the Borrower may request (so long as no Default or Event of Default exists), to the funding of any Loan in respect of which such Defaulting Lender has failed to fund its portion thereof as required by this Agreement, as determined by the Administrative Agent; third, if so determined by the Administrative Agent and the Borrower, to be held in a deposit account and released pro rata in order to satisfy such Defaulting Lender’s potential future funding obligations with respect to Loans under this Agreement; fourth, to the payment of any amounts owing to the Lenders as a result of any judgment of a court of competent jurisdiction obtained by any Lender against such Defaulting Lender as a result of such Defaulting Lender’s breach of its obligations under this Agreement; fifth, so long as no Default or Event of Default exists, to the payment of any amounts owing to the Borrower as a result of any judgment of a court of competent jurisdiction obtained by the Borrower against such Defaulting Lender as a result of such Defaulting Lender's breach of its obligations under this Agreement; and sixth, to such Defaulting Lender or as otherwise directed by a court of competent jurisdiction; provided that if (x) such payment is a payment of the principal amount of any Loans in respect of which such Defaulting Lender has not fully funded its appropriate share, and (y) such Loans were made at a time when the conditions set forth in Section 4.02 were satisfied or waived, such payment shall be applied solely to pay the Loans of all other Lenders on a pro rata basis prior to being applied to the payment of any Loans of such Defaulting Lender until such time as all Loans are held by the Lenders pro rata in accordance with the Commitments. Any payments, prepayments or other amounts paid or payable to a Defaulting Lender that are applied (or held) to pay amounts owed by a Defaulting Lender pursuant to this Section shall be deemed paid to and redirected by such Defaulting Lender, and each Lender irrevocably consents hereto.

Section 2.18.      Inability to Determine Interest Rate.  (a) If, on or prior to the commencement of any Interest Period for any LIBO Rate Loans outstanding hereunder, (i) the Administrative Agent determines (which determination shall be conclusive absent manifest error) that adequate and reasonable means do not exist for ascertaining the LIBO Rate for such Interest Period; (ii) the Administrative Agent determines (which determination shall be conclusive absent manifest error) that Dollar deposits are not being offered to banks in the London interbank market for the applicable amount and Interest Period for any LIBO Rate Loan (in each case with respect to clauses (i) and (ii) above, the “Impacted LIBO Rate Loans”) or (iii) the Administrative Agent is advised by the Required Lenders that the LIBO Rate for such Interest Period does not adequately and fairly reflect the cost of making or maintaining the LIBO Rate Loans for such Interest Period, then the Administrative Agent shall give notice (the “LIBO Rate Determination Notice”) thereof to the Borrower and the Lenders in writing (including by e-mail) as promptly as practicable thereafter.

(b)               During the thirty (30) day period next succeeding the date of delivery of such LIBO Rate Determination Notice (the “LIBO Negotiation Period”), (1) the Administrative Agent (in consultation with the Lenders) and the Borrower will negotiate in good faith for the purpose of agreeing upon an alternative, mutually acceptable basis (the “LIBO Substitute Basis”) for determining the rate of interest to be applicable to the LIBO Rate Loans for such Interest Period; and (2) (x) the obligation of the Lenders to make or maintain LIBO Rate Loans in the affected currency or currencies shall be suspended, (to the extent of the affected LIBO Rate Loans or Interest Periods), and (y) in the event of a determination with respect to the LIBO Rate component of the Base Rate, the utilization of the LIBO Rate component in determining the Base Rate shall be suspended.

(c)                If at the expiry of the LIBO Negotiation Period, the Required Lenders and the Borrower have agreed upon a LIBO Substitute Basis, then the LIBO Rate Loans will accrue interest at a rate per annum equal to the LIBO Substitute Basis in effect from time to time plus the Applicable Margin for LIBO Rate Loans and such substitute rate shall be retroactive to, and take effect from, the beginning of such affected Interest Period.

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(d)               If, at the expiry of the LIBO Negotiation Period, a LIBO Substitute Basis shall not have been agreed upon as aforesaid, (1) the LIBO Rate Loans will accrue interest at a rate per annum equal to the Base Rate plus the Applicable Margin for Base Rate Loans and (2) the utilization of the LIBO Rate component in determining the Base Rate shall be suspended and such substitute rate shall be retroactive to, and take effect from, the beginning of such affected Interest Period.

(e)                Upon the receipt of such LIBO Rate Determination Notice, the Borrower may revoke any pending request for a Borrowing of LIBO Rate Loans (to the extent of the affected LIBO Rate Loans or Interest Periods) or, failing that, will be deemed to have converted such request into a request for a Borrowing of Base Rate Loans in the amount specified therein.

(f)                Notwithstanding the foregoing, if the Administrative Agent has made the determination described in this section, any alternative rate of interest shall apply with respect to the Impacted LIBO Rate Loans until (1) the circumstances giving rise to such LIBO Rate Determination Notice have ceased to apply and the Administrative Agent revokes the LIBO Rate Determination Notice delivered with respect to the Impacted LIBO Rate Loans under this Section, (2) the Administrative Agent notifies the Borrower that such alternative interest rate does not adequately and fairly reflect the cost to such Lenders of funding the Impacted LIBO Rate Loans, or (3) any Lender determines that any applicable law has made it unlawful, or that any Governmental Authority has asserted that it is unlawful, for such Lender or its applicable lending affiliate to make, maintain or fund Loans whose interest is determined by reference to such alternative rate of interest or to determine or charge interest rates based upon such rate or any Governmental Authority has imposed material restrictions on the authority of such Lender to do any of the foregoing and provides the Administrative Agent and the Borrower written notice thereof.

Section 2.19.      Illegality. If any Lender determines that any law has made it unlawful, or that any Governmental Authority has asserted that it is unlawful, for any Lender or its lending office to make, maintain or fund Loans or any Governmental Authority has imposed material restrictions on the authority of such Lender to purchase or sell, or to take deposits of, Dollars in the London interbank market, then such Lender shall promptly notify the Borrower thereof (with a copy to the Administrative Agent) following which (a) such Lender’s Commitment shall be suspended until such time as such Lender may again make and maintain its Loans hereunder and (b) if such law or such restrictions shall so mandate, such Lender’s Loans shall be prepaid by the Borrower, together with accrued and unpaid interest thereon and all other amounts payable by the Borrower under this Agreement on the last day of the then current Interest Period for such Loans (or on such earlier date as shall be notified to by the Lender as being the last permissible date for such prepayment under the relevant applicable law); provided, that, in the event that such Lender has notified the Borrower that it is not unlawful for such Lender to maintain Loans accruing interest at a rate determined by reference to the Base Rate, (i) each LIBO Rate Loan held by such Lender will automatically, upon such election, convert into a Base Rate Loan and (ii) the obligation of such Lender to make or maintain LIBO Rate Loans shall be suspended, in each case until the Administrative Agent shall notify the Borrower that such Lender has determined that the circumstances causing such suspension no longer exist (of which cessation each such Lender agrees to promptly notify the Administrative Agent).

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Section 2.20.      Benchmark Replacement Setting.  Notwithstanding anything to the contrary herein or in any other Loan Document:

(a)                On March 5, 2021 the Financial Conduct Authority (“FCA”), the regulatory supervisor of USD LIBOR’s administrator (“IBA”), announced in a public statement the future cessation or loss of representativeness of overnight/Spot Next, 1-week, 1-month, 2-month, 3-month, 6-month and 12-month USD LIBOR tenor settings. On the earlier of (i) the date that all Available Tenors of USD LIBOR have either permanently or indefinitely ceased to be provided by IBA or have been announced by the FCA pursuant to public statement or publication of information to be no longer representative and (ii) the Early Opt-in Effective Date, if the then-current Benchmark is USD LIBOR, the Benchmark Replacement will replace such Benchmark for all purposes hereunder and under any Loan Document in respect of any setting of such Benchmark on such day and all subsequent settings without any amendment to, or further action or consent of any other party to this Agreement or any other Loan Document; provided that, in the Administrative Agent’s sole discretion and without obligation to do so, if the Administrative Agent determines that Term SOFR has become available and has been recommended for use by the Relevant Governmental Body, is administratively feasible for the Administrative Agent and would have been identified as the Benchmark Replacement in accordance with the foregoing if it had been so available at the time that the Benchmark Replacement then in effect was so identified, and the Administrative Agent notifies the Borrower of such availability, then, from and after the beginning of the Interest Period, relevant interest payment date or payment period for interest calculated, in each case, commencing no less than thirty (30) days after the date of such notice, the Benchmark Replacement shall be Term SOFR (giving effect to any spread adjustment to Term SOFR that is consistent with the prevailing market convention for similar U.S. dollar credit facilities). If the Benchmark Replacement is Daily Simple SOFR, all interest payments will be payable as provided in the corresponding Borrowing Notice for any such LIBO Rate Loan.

(b)               Upon the occurrence of a Benchmark Transition Event, the Benchmark Replacement will replace the then-current Benchmark for all purposes hereunder and under any Loan Document in respect of any Benchmark setting at or after 5:00 (five) p.m. on the fifth (5th) Business Day after the date notice of such Benchmark Replacement is provided to the Lenders without any amendment to, or further action or consent of any other party to, this Agreement or any other Loan Document so long as the Administrative Agent has not received, by such time, written notice of objection to such Benchmark Replacement from Lenders comprising the Required Lenders. At any time that the administrator of the then-current Benchmark has permanently or indefinitely ceased to provide such Benchmark or such Benchmark has been announced by the regulatory supervisor for the administrator of such Benchmark pursuant to public statement or publication of information to be no longer representative of the underlying market and economic reality that such Benchmark is intended to measure and that representativeness will not be restored, the Borrower may revoke any request for a borrowing of, conversion to or continuation of Loans to be made, converted or continued that would bear interest by reference to such Benchmark until the Borrower’s receipt of notice from the Administrative Agent that a Benchmark Replacement has replaced such Benchmark, and, failing that, the Borrower will be deemed to have converted any such request into a request for a borrowing of or conversion to Base Rate Loans. During the period referenced in the foregoing sentence, the component of Base Rate based upon the Benchmark will not be used in any determination of Base Rate.

(c)                In connection with the implementation and administration of a Benchmark Replacement, the Administrative Agent will have the right to make Benchmark Replacement Conforming Changes from time to time and, notwithstanding anything to the contrary herein or in any other Loan Document, any amendments implementing such Benchmark Replacement Conforming Changes will become effective without any further action or consent of any other party to this Agreement or any other Loan Document.

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(d)               The Administrative Agent will promptly notify the Borrower and the Lenders of (i) the implementation of any Benchmark Replacement and (ii) the effectiveness of any Benchmark Replacement Conforming Changes. Any determination, decision or election that may be made by the Administrative Agent or, if applicable, any Lender (or group of Lenders) pursuant to this Section, including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance or date and any decision to take or refrain from taking any action, will be conclusive and binding absent manifest error and may be made in its or their sole discretion and without consent from any other party hereto or any other Loan Document, except, in each case, as expressly required pursuant to this Section, and shall not be a basis of any claim of liability of any kind or nature by any party hereto, all such claims being hereby waived individually by each party hereto. 

(e)                At any time (including in connection with the implementation of a Benchmark Replacement), (i) if the then-current Benchmark is a term rate (including Term SOFR or USD LIBOR), then the Administrative Agent may remove any tenor of such Benchmark that is unavailable or non-representative for Benchmark (including Benchmark Replacement) settings and (ii) the Administrative Agent may reinstate any such previously removed tenor for Benchmark (including Benchmark Replacement) settings.

(f)                The Administrative Agent does not warrant or accept any responsibility for, and shall not have any liability with respect to, the administration, submission or any other matter related to USD LIBOR or with respect to any alternative, successor or replacement rate thereof (including any Benchmark Replacement), or any calculation, component definition thereof or rate referenced in the definition thereof, including, without limitation, (i) any such alternative, successor or replacement rate implemented pursuant to this Section 2.20, whether upon the occurrence of a Benchmark Transition Event or an Early Opt-In Election, and (ii) the effect, implementation or composition of any Benchmark Replacement Conforming Changes pursuant to Section 2.20(c), including without limitation, whether the composition or characteristics of any such alternative, successor or replacement reference rate will be similar to, or produce the same value or economic equivalence of, USD LIBOR or have the same volume or liquidity as did USD LIBOR prior to the discontinuance or unavailability of USD LIBOR. In addition, the discontinuation of USD LIBOR and any alternative, successor or replacement reference rate may result in a mismatch between the reference rate referenced in this Agreement and your other financial instruments, including potentially those that are intended as hedges. The Administrative Agent and its Affiliates and/or other related entities may engage in transactions that affect the calculation of any alternative, successor or replacement rate and/or any relevant adjustments thereto, in each case, with all determinations of such alternative, successor or replacement rate by the Administrative Agent to be conclusive, absent manifest error. The Administrative Agent may select information sources or services in its reasonable discretion to ascertain such alternative, successor or replacement rate, in each case pursuant to the terms of this Agreement (as amended, amended and restated, supplemented or otherwise modified from time to time), and shall have no liability to the Loan Parties, any Lender or any other person or entity for damages of any kind, including direct or indirect, special, punitive, incidental or consequential damages, costs, losses or expenses (whether in tort, contract or otherwise and whether at law or in equity), for any error or calculation of any such rate (or component thereof) provided by any such information source or service.

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Section 2.21.      Extension of Maturity Date.

(a)                The Borrower may, by notice to the Administrative Agent (who shall promptly notify the Lenders) (the “Extension Request Notice”) not earlier than three hundred and sixty days (360) days and not later than one hundred and twenty (120) days prior to the Maturity Date then in effect hereunder (the “Existing Maturity Date”), request that each Lender extend such Lender’s Maturity Date for an additional period of twelve months from the Existing Maturity Date.

(b)               Each Lender, acting in its sole and individual discretion, shall, by notice to the Administrative Agent given not later than the date (the “Notice Date”) that is sixty (60) days following the date of receipt of the Extension Request Notice, advise the Administrative Agent whether or not such Lender agrees to such extension (and each Lender that determines not to so extend its Maturity Date (a “Non-Extending Lender”) shall notify the Administrative Agent of such fact promptly after such determination (but in any event no later than the Notice Date) and any Lender that does not so advise the Administrative Agent on or before the Notice Date shall be deemed to be a Non-Extending Lender.  The election of any Lender to agree to such extension shall not obligate any other Lender to so agree.

(c)                The Administrative Agent shall promptly notify the Borrower of each Lender’s determination under Section 2.21(b) and in any event no later than the date that is five (5) Business Days following the Notice Date (or, if such date is not a Business Day, on the next preceding Business Day).

(d)               The Borrower shall have the right to replace each Non-Extending Lender with, and add as “Lenders” under this Agreement in place thereof, one or more assignees (each, an “Additional Commitment Lender”); provided that each of such Additional Commitment Lenders shall enter into an Assignment pursuant to which such Additional Commitment Lender shall, effective as of the Existing Maturity Date, undertake a Commitment (and, if any such Additional Commitment Lender is already a Lender, its Commitment shall be in addition to such Lender’s Commitment hereunder on such date).

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(e)                Effective as of the Existing Maturity Date, the Maturity Date of each Lender that has agreed to so extend its Maturity Date (each, an “Extending Lender”) and of each Additional Commitment Lender shall be extended to the date falling twelve months after the Existing Maturity Date (except that, if such date is not a Business Day, such Maturity Date as so extended shall be the next preceding Business Day) and each Additional Commitment Lender shall thereupon become a “Lender” for all purposes of this Agreement.

(f)                As a condition precedent to such extension, the Borrower shall:

(i)                 deliver to the Administrative Agent a certificate of each Loan Party dated as of the Existing Maturity Date (in sufficient copies for each Extending Lender and each Additional Commitment Lender) signed by a Responsible Officer of such Loan Party:

(A)        certifying and attaching the resolutions adopted by such Loan Party approving or consenting to such extension;  

(B)        certifying that, before and after giving effect to such extension, (1) the representations and warranties contained in Article 3 are true and correct on and as of the Existing Maturity Date, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they are true and correct as of such earlier date, and except that for purposes of this ‎Section 2.21, the representations and warranties contained in Section 3.04(a) and 3.04(b) shall be deemed to refer to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of Section 6.01, and (2) no Default exists or would result therefrom;

(ii)               on the Maturity Date of each Non-Extending Lender, prepay any Loans of such Non-Extending Lenders outstanding on such date; and

(iii)            deliver a Note to each Extending Lender and each Additional Commitment Lender in accordance with Section 2.07.

(g)               In connection with any extension of the Maturity Date, the Borrower, the Administrative Agent and each Extending Lender participating in the extension of the Existing Maturity Date may make such amendments to this Agreement as the Administrative Agent determines to be reasonably necessary to evidence the extension; provided that no fee shall be required to be paid by the Borrower to the Administrative Agent or to any Lender in connection with any extension of the Maturity Date under this Section 2.21. 

(h)               For the avoidance of doubt, no consent of any Lender (other than the Lenders participating in the extension of the Existing Maturity Date) shall be required for any extension of the Maturity Date pursuant to this Section 2.21 and this ‎Section 2.21 shall supersede any provisions in Section 10.02 to the contrary.

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Section 2.22.      Sustainability Linked Loan Amendment.  Within thirty (30) days of the date on which the Loan Parties and the Lenders have agreed upon the key performance indicators that will be required for the purposes of calculating certain adjustments that may be made to the Applicable Margin together with such other terms required in order that this Agreement may be treated as a sustainability-linked loan, the parties hereto shall use reasonable commercial efforts to enter into an amendment to this Agreement in substantially the form of Exhibit D.

ARTICLE 3
Representations and Warranties

Each Loan Party represents and warrants to the Lender Parties on the date hereof that:

Section 3.01.      Organization; Powers.  It, and each of its Significant Subsidiaries, is duly organized and validly existing and, if applicable, in good standing, under the laws of the jurisdiction of its organization.  Except where failure to do so, in the aggregate, would not reasonably be expected to result in a Material Adverse Effect, each Loan Party and each of its Significant Subsidiaries has all requisite power and authority to carry on its business as now conducted and is qualified to do business in, and is in good standing in, every jurisdiction where such qualification is relevant and required.

Section 3.02.      Authorization; Enforceability.  (a) The Transactions are within the corporate powers of each Loan Party and have been duly authorized by all necessary corporate action.  This Agreement has been duly executed and delivered by each Loan Party and constitutes, and each other Loan Document to which each Loan Party is to be a party, when executed and delivered by such Loan Party, will constitute, a legal, valid and binding obligation of such Loan Party, in each case enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium and other laws affecting creditors’ rights generally and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law.

(b)               Each Loan Party possesses all licenses, concessions, permits, consents, approvals and other authorizations issued by, and has made all declarations and filings with, the appropriate Governmental Authority, that are necessary for the ownership or lease of its properties or the conduct of its businesses and to keep all such licenses, concessions, permits, consents, approvals and other authorizations valid and in full force and effect, except to the extent that any of the foregoing would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

Section 3.03.      Governmental Approvals; No Conflicts.  The Transactions (a) do not require any consent or approval of, registration or filing with, or other action by, any Governmental Authority, except such as have been obtained or made and are in full force and effect, (b) will not violate (i) any applicable law or regulation, except to the extent any such violations would not, in the aggregate, reasonably be expected to have a Material Adverse Effect or (ii) the organizational documents of any Loan Party, (c) will not violate or result in a default under any indenture, agreement or other instrument binding upon any Loan Party or any of its properties, or give rise to a right thereunder to require any Loan Party to make any payment, except to the extent such violations or defaults would not, in the aggregate, reasonably be expected to have a Material Adverse Effect and (d) will not result in the creation or imposition of any Lien on any property of any Loan Party. 

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Section 3.04.      Financial Statements; No Material Adverse Change; No Default.  (a) English language versions of the audited annual financial statements of the Parent and its Consolidated Subsidiaries prepared on a consolidated basis in accordance with GAAP as of December 31, 2020, including statements of income, changes in equity and cash flows for the Fiscal Year then ended, reported on by PricewaterhouseCoopers Auditores Independentes, independent public accountants, all certified by its chief financial officer, present fairly, in all material respects, the financial position of the Parent and its Consolidated Subsidiaries as of such dates and their results of operations and cash flows for such periods in accordance with GAAP;

(b)               English language versions of the interim unaudited financial statements of (x) the Parent and its Consolidated Subsidiaries and (y) Natura Cosméticos, in each case, dated June 30, 2021, prepared on a consolidated basis in accordance with GAAP, including statements of income, changes in equity and cash flows for the Fiscal Quarter then ended on such date, present fairly, in all material respects, the financial position of such Person as of such dates and their results of operations and cash flows for such periods, subject to the absence of footnotes and to normal year-end audit adjustments in accordance with GAAP;

(c)                Since December 31, 2020 there has not occurred any event or condition that, individually or in the aggregate, has had or could reasonably be expected to result in a Material Adverse Effect.

(d)               No Default or Event of Default has occurred and is continuing. 

Section 3.05.      Taxes.  Each Loan Party and each of its Significant Subsidiaries has timely filed or caused to be filed all Tax returns and reports required to have been filed by or on behalf of it and has timely paid or caused to be paid all Taxes required to have been paid by it, except (i) Taxes that are being contested in good faith by appropriate proceedings diligently conducted and for which such Person has set aside on its books adequate reserves in accordance with GAAP, where applicable or (ii)  to the extent that the failure to do so would not reasonably be expected to result in a Material Adverse Effect.

Section 3.06.      Properties; Intellectual Property.  (a)  Each Loan Party and each of its Significant Subsidiaries has good title to, or valid leasehold interests in, all real and personal property material to its business, except for minor defects in title that do not interfere with its ability to conduct its business as currently conducted or to utilize such properties for their intended purposes or to the extent that any such failures would not in the aggregate reasonably be expected to have a Material Adverse Effect.

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(b)               Each of the Loan Parties and each of its Significant Subsidiaries owns, licenses or possesses the right to use all of the trademarks, tradenames, service marks, trade names, copyrights, patents, franchises, licenses and other intellectual property rights that are necessary for the operation of their respective businesses, as currently conducted, and the use thereof by any Loan Party and any Significant Subsidiary thereof does not conflict with the rights of any other Person, except to the extent that such failure to own, license or possess or such conflicts, either individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect. No claim or litigation regarding any of the foregoing is pending or, to the knowledge of such Loan Party, threatened that could reasonably be expected to be adversely determined, and, if so determined, could reasonably be expected to have a Material Adverse Effect.

Section 3.07.      Compliance with Laws.  (a) Each Loan Party and each of its Significant Subsidiaries (i) is in compliance in all respects with all applicable laws and regulations specified in Section 3.15 and (ii) is in compliance with all other applicable laws not covered by Section 3.15, except such noncompliance as could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

(b)               Each Loan Party, its Significant Subsidiaries and their respective properties and operations are in compliance with all applicable Environmental Laws, except such noncompliance as could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  

(c)                There is no Environmental Liability of or relating to any Loan Party or any of its Significant Subsidiaries, and none of the Loan Parties nor any of their respective Significant Subsidiaries have assumed any liability of any Person under any Environmental Laws, except as would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

Section 3.08.      Investment Company Status.  No Loan Party is  required to register as an “investment company” as defined in the U.S. Investment Company Act of 1940, as amended.

Section 3.09.      Disclosure.  The written materials provided by the Loan Parties to the Administrative Agent or the Lenders, taken as a whole (and as modified or supplemented by other information so furnished), do not contain any material misstatement of fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; provided that, with respect to projected financial information, the Loan Parties represent only that such information was prepared in good faith based upon assumptions believed to be reasonable at the time.

Section 3.10.      Ranking.  The payment obligations of the Loan Parties under this Agreement and the other Loan Documents constitute direct and unconditional unsecured unsubordinated obligations of the Loan Parties and will rank at least pari passu in right of payment with all other unsecured unsubordinated indebtedness of the Loan Parties.

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Section 3.11.      No Immunity.  None of the Loan Parties nor any of their respective property has any immunity from the jurisdiction of any court or from any legal process (whether through service or notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) under applicable law in respect of their obligations under the Loan Documents.

Section 3.12.      Legal Form.  Each of the Loan Documents is (or upon its coming into existence will be) in proper legal form under its governing law for the enforcement thereof against the parties thereto; provided that, in order for any Loan Document to be admissible in evidence in judicial proceedings in a court in Brazil, (a) the signatures of the parties signing such loan document outside Brazil must be notarized by a notary public qualified as such under the laws of the place of signing and, unless otherwise provided by an international treaty to which Brazil is a signatory, the signature of such notary public must be (i) authenticated by a Brazilian consular officer at the competent Brazilian consulate, or (ii) if the place of signing is a contracting party state to the Hague Convention Abolishing the Requirement of Legalization for Foreign Public Documents signed October 5, 1961, apostilled, and (b) if such Loan Document is executed in any language other than Portuguese, such Loan Document must be translated into Portuguese by a sworn translator and registered with the competent Brazilian Registry of Deeds and Documents (Registro de Títulos e Documentos). Subject to the preceding sentence, all formalities required in Brazil for the legality, validity, admissibility and enforceability (including any necessary registration, recording or filing with any court or other Governmental Authority) of each Loan Document have been accomplished, or will be accomplished within any time period permitted under applicable Brazilian law, and no Taxes are required to be paid for the validity and enforceability thereof except, in the case of enforcing any Loan Document in Brazil, the litigating party (plaintiff) that is not a resident in Brazil, does not have its head offices in Brazil, or is a foreign entity that does not have a branch regularly established in Brazil, and, further, does not own real estate property in Brazil, will have to post security or a performance bond to secure the payment of the costs of the proceeding and the fees of the opposite party’s (defendant) lawyer as required by Article 83 of the Brazilian Civil Procedure Code.  Under the applicable laws of Brazil (x) the choice of the laws of the State of New York as set forth in the loan documents is a valid choice of law, and (y) the irrevocable submission to jurisdiction and consent to service of process and appointment of the Process Agent is legal, valid, binding and effective, but any document in a foreign language (including without limitation documents relating to any foreign judgment) to be admitted in Brazilian courts or any other Brazilian public authority will have to be translated into the Portuguese language by a sworn translator and registered with the competent Brazilian Registry of Deeds and Documents (Registro de Títulos e Documentos).

Section 3.13.      Use Of Proceeds.  The Borrower shall use the proceeds of the Loans for general corporate purposes. No part of the proceeds of any Loan will be used, directly or indirectly, for any purpose that entails a violation of any of the Regulations of the Federal Reserve Board, including Regulations T, U and X.  No part of the proceeds of the Loans will be used, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of Anti-Corruption Laws.  No part of the proceeds of the Loans have been or will be used, directly or indirectly, to lend, contribute, provide, or have otherwise been or will be made available to fund, any activity or business with or related to any Sanctioned Person or Sanctioned Country, or in any other manner that will result in any violation or breach by any Person of Sanctions Laws.

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Section 3.14.      Litigation.  Except for Disclosed Matters, there are no actions, suits, investigations or proceedings, legal or administrative, pending or, to the best knowledge of any Loan Party, threatened, against such Loan Party or any of its Significant Subsidiaries, that would reasonably be expected to have a Material Adverse Effect.

Section 3.15.      Anti-Corruption Laws, Sanctions and Anti-Money Laundering Laws.  

(a)                None of the Loan Parties nor any of their respective Subsidiaries nor, to the knowledge of any Loan Party, any Affiliate thereof or any director, officer, agent, employee or other Person acting on behalf of such Loan Party or any of its Subsidiaries is in violation of Anti-Corruption Laws; and each Loan Party and each of its Subsidiaries has instituted and maintains policies and procedures designed to ensure continued compliance therewith.

(b)               None of the Loan Parties nor any of their respective Subsidiaries nor, to the knowledge of any Loan Party, any Affiliate thereof or any director, officer, agent, employee or other Person acting on behalf of such Loan Party or any of its Subsidiaries (i) is, or is owned or controlled by, one or more Sanctioned Persons, (ii) is located, incorporated, organized, or resident in a Sanctioned Country in violation of Sanctions Laws, (iii) has any business affiliation or commercial dealings with, or investments in, any Sanctioned Country or Sanctioned Person in violation of Sanctions Laws or (iv) is in breach of or is the subject of any action or investigation under any Sanctions Laws or Anti-Money Laundering Laws.

(c)                Each Loan Party and each of its Subsidiaries has instituted and maintains policies and procedures designed to ensure compliance with Sanctions Laws and Anti-Money Laundering Laws.

Section 3.16.      Beneficial Ownership Certification.  As of the Effective Date, the information included in the Beneficial Ownership Certification, if applicable, is true and correct in all respects.

Section 3.17.      Labor Matters.  Except for any Disclosed Matters or which, in the aggregate, would not reasonably be expected to have a Material Adverse Effect, there are no strikes, lockouts or other labor disputes pending or, to the knowledge of the Loan Parties, threatened against the Loan Parties.

Section 3.18.      Margin Regulations. The Borrower is not engaged and will not engage, principally or as one of its important activities, in the business of purchasing or carrying Margin Stock, or extending credit for the purpose of purchasing or carrying Margin Stock.

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Section 3.19.      ERISA Compliance.

(a)                Except as could not reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect, (i) each Plan is in compliance with the applicable provisions of ERISA, the Code and other federal or state laws and (ii) each Plan that is intended to be a qualified plan under Section 401(a) of the Code has received a favorable determination letter from the United States Internal Revenue Service to the effect that the form of such Plan is qualified under Section 401(a) of the Code and the trust related thereto has been determined by the United States Internal Revenue Service to be exempt from federal income tax under Section 501(a) of the Code, or an application for such a letter is currently being processed by the United States Internal Revenue Service, and, to the knowledge of such Loan Party, nothing has occurred that would prevent or cause the loss of such tax-qualified status.

(b)               There are no pending or, to the knowledge of such Loan Party, threatened or contemplated claims, actions or lawsuits, or action by any Governmental Authority, with respect to any Plan that, either individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. 

(c)                No ERISA Event has occurred, and no Loan Party or no ERISA Affiliate is aware of any fact, event or circumstance that, either individually or in the aggregate, could reasonably be expected to constitute or result in an ERISA Event with respect to any Pension Plan that, either individually or in the aggregate, has had or could reasonably be expected to have a Material Adverse Effect.

(d)               To the extent applicable, each Foreign Plan has been maintained in compliance with its terms and with the requirements of any and all applicable requirements of law and has been maintained, where required, in good standing with applicable regulatory authorities, except to the extent that the failure so to comply could not reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect. No Loan Party or no Subsidiary thereof has incurred any obligation in connection with the termination of or withdrawal from any Foreign Plan that could reasonably be expected to have a Material Adverse Effect.  

ARTICLE 4
Conditions

Section 4.01.      Effective Date.  The Effective Date shall occur on the first date on which each of the following conditions shall have been met to the satisfaction of the Administrative Agent (or waived in accordance with the terms of this Agreement):

(a)                The Administrative Agent (or its counsel) shall have received from each relevant party hereto, either (i) a counterpart of this Agreement and each Fee Letter signed on behalf of such party or (ii) written evidence satisfactory to the Administrative Agent (which may include scanned transmission of a signed signature page) that such party has signed a counterpart of this Agreement and each Fee Letter.

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(b)               The Administrative Agent shall have received a favorable written opinion (addressed to the Administrative Agent and the Lenders and dated the Effective Date) of each of (i) Davis Polk & Wardwell LLP, special New York counsel for the Loan Parties, regarding certain matters of New York Law, (ii) Trench, Rossi e Watanabe Advogados, special Brazilian counsel for the Loan Parties, regarding certain matters of Brazilian Law and (iii) Loyens & Loeff Luxembourg S.à r.l., special Luxembourg counsel for the Loan Parties, regarding certain matters of Luxembourg Law.  The Borrower requests such counsel to deliver such opinions.

(c)                The Administrative Agent shall have received a certificate of a Responsible Officer of each Guarantor, dated as of the Effective Date, (i) attaching its certificate of incorporation or similar documents (such as the registration form, ficha cadastral, issued by the relevant Board of Trade), (ii) attaching its memorandum and articles of association, the estatuto social, by-laws or other similar documents, if applicable, duly filed (protocolado) before the applicable Board of Trade (Junta Comercial), if applicable, (iii) attaching documents (including, if necessary, appropriate resolutions of the board of directors or similar body of each Guarantor, and, if necessary, shareholder or similar approvals) evidencing the due authorization by it of the execution of each Loan Document to which it is a party and the performance of such Loan Documents, if applicable, including evidence of the filing (protocolo) of any such documents before the applicable Board of Trade (Junta Comercial), if applicable and (iv) certifying as to the authority, incumbency and specimen signatures of the individuals who have executed the Loan Documents and other documents contemplated hereby on behalf of such Guarantor.

(d)               The Administrative Agent shall have received a certificate of a Responsible Officer of the Borrower, dated as of the Effective Date, (i) attaching (A) an up-to-date copy of the articles of association of the Borrower, (B) an electronic up-to-date extract (extrait) from the Luxembourg Companies Register dated no earlier than two (2) Business Days prior to the Effective Date, (C) an electronic up-to-date negative certificate (certificat de non-inscription d’une décision judiciaire) from the Luxembourg Companies Register in respect of the Borrower, dated no earlier than two (2) Business Days prior to the Effective Date, stating that no judicial decision has been registered with the Luxembourg Companies Register by application of article 13, items 2 to 12 and article 14 of the Luxembourg law dated December 19, 2002 relating to the register of commerce and companies and (D) documents (including a copy of the resolutions of the board of managers of the Borrower) evidencing the due authorization by it of the execution of each Loan Document to which it is a party, (ii) confirming that (A) the Borrower is not subject to bankruptcy (faillite), insolvency, voluntary or judicial liquidation (liquidation volontaire ou judiciaire), composition with creditors (concordat préventif de la faillite), controlled management (gestion contrôlée), reprieve from payment (sursis de paiement), general settlement with creditors, reorganization or similar laws affecting the rights of creditors generally, (B) no receiver, administrative receiver, administrator, trustee, custodian, sequestrator, conservator, juge délégué, commissaire, juge-commissaire, mandataire ad hoc, administrateur provisoire, liquidateur or curateur has been appointed with respect to the Company or any of its assets, and (C) the Borrower is not in cessation of payments (cessation de paiements) and has not lost its creditworthiness, and (iii) certifying as to the authority, incumbency and specimen signatures of the individuals who have executed the Loan Documents and other documents contemplated hereby on behalf of the Borrower.

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(e)                The Administrative Agent shall have received (x) a copy of a letter from the Process Agent (i) irrevocably accepting its appointment pursuant to ‎‎Section 10.10 hereof, on behalf of each Loan Party for a term through and including a date that is six (6) months after the Maturity Date and (ii) agreeing to forward any service of process to such Loan Party and (y) evidence of payment in full for each such appointment.

(f)                The Loan Parties shall have paid all fees and other amounts due and payable to the Lender Parties on or before the Effective Date, including, amounts due under the Fee Letters and to the extent invoiced to the Loan Parties at least two (2) Business Days prior to the Effective Date with reasonable documentation thereof, all out-of-pocket expenses required to be reimbursed or paid by the Loan Parties under the Loan Documents; provided that, in respect of any fees and expenses of legal counsel, the Borrower shall have made satisfactory arrangements for the payment of such fees and expenses within thirty (30) days from the Effective Date.

(g)               The Administrative Agent shall have received evidence that all approvals, authorizations or filings with any Governmental Authority required in connection with the execution, delivery and performance of this Agreement shall have been obtained.

(h)               The Administrative Agent shall have received (i) the English language versions of the audited annual financial statements of the Parent and its Consolidated Subsidiaries for the Fiscal Year ended December 31, 2020 and (ii) the English language versions of the interim unaudited financial statements of each of (x) the Parent and its Consolidated Subsidiaries and (y) Natura Cosméticos, in each case, for the Fiscal Quarter ended June 30, 2021. 

(i)                 To the extent requested by the Administrative Agent or any Lender, the Administrative Agent or such Lender, as the case may be, shall have received at least five Business Days prior to the Effective Date all documentation and other information required by regulatory authorities under the PATRIOT Act and other applicable “know your customer” and anti-money laundering rules and regulations, including, if requested by the Administrative Agent or any Lender, a Beneficial Ownership Certification in relation to each Loan Party.

Forthwith upon the occurrence thereof, the Administrative Agent shall notify the Loan Parties and the Lenders in writing of the Effective Date and such notice shall be conclusive and binding.  The Administrative Agent shall be entitled to assume that the conditions specified in this Section 4.01 have been fulfilled unless it receives written notice to the contrary from any Lender prior to the Effective Date.

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Section 4.02.      Each Borrowing.  The obligation of each Lender to make a Loan on the occasion of any Borrowing, (including any Borrowings on the Effective Date) is subject to the satisfaction of the following conditions:

(a)                The representations and warranties of the Loan Parties set forth in this Agreement shall be true and correct in all material respects on and as of the date of such Borrowing, except (i) for such representations and warranties which by their term are made as of a specified date, which shall be true and correct in all material respects as of such specified date (other than any representations and warranties that are already qualified by materiality, in which case they shall be true and correct in all respects) and (ii) that the representations and warranties contained in Sections 3.04(a) and (b) shall be deemed to refer to the most recent statements furnished pursuant to clauses (a) and (b), respectively of Section 5.01.

(b)               At the time of and immediately after giving effect to such Borrowing, no Default shall have occurred and be continuing or would result from such Borrowing.

(c)                With respect only to the initial Borrowing, the Administrative Agent shall have received the executed Notes dated the date of the initial Borrowing that complies with the provisions of ‎Section 2.07.

The acceptance of any Loans by the Borrower shall constitute a representation and warranty by the Borrower as of such date of the Borrowing to each of the Lenders extending a Loan to the Borrower that the conditions specified in Section 4.02(a) and (b) (with respect to any Borrowing) and Section 4.02(c) (with respect to the initial Borrowing) have been satisfied as of that time. 

The Administrative Agent shall be entitled to assume that the conditions specified in ‎Section 4.01 and ‎Section 4.02 have been fulfilled unless it receives written notice to the contrary from any Lender prior to the Effective Date.

ARTICLE 5
Affirmative Covenants

Until all the Commitments have expired or terminated and the principal of and interest on each Loan and all fees payable hereunder have been paid in full, each Loan Party covenants and agrees with the Administrative Agent and the Lenders that:

Section 5.01.      Financial Statements and Other Information.  The Parent will furnish to the Administrative Agent:

(a)                as soon as available and in any event within one hundred twenty (120) days after the end of each Fiscal Year, English language versions of the audited annual financial statements of the Parent and its Consolidated Subsidiaries prepared on a consolidated basis in accordance with GAAP, as of the end of such Fiscal Year, including statements of income, changes in equity and cash flows of the Parent for such Fiscal Year, setting forth in each case in comparative form the figures for the previous Fiscal Year, all reported on by independent public accountants of recognized national standing as being prepared in accordance with GAAP;

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(b)               within sixty (60) days after the end of each of the first three Fiscal Quarters of each Fiscal Year, English language versions of the interim unaudited financial statements of (x) the Parent and its Consolidated Subsidiaries and (y) Natura Cosméticos, prepared on a consolidated basis in accordance with GAAP, as of the end of such Fiscal Quarter, including statements of income, changes in equity and cash flows for the Fiscal Quarter then ended on such date and for the then-elapsed portion of such Fiscal Year, setting forth in each case in comparative form the figures for the corresponding period or periods of the previous Fiscal Year;

provided that, if the Parent makes freely available the reports mentioned herein on its internet page or in the internet page of the CVM or the SEC, the Parent will be deemed to have satisfied the reporting requirements set forth in Section 5.01(a) and Section 5.01(b) above;

(c)                within five (5) Business Days of the delivery of audited annual financial statements under clause (a) above, a certificate of a Financial Officer (a “Compliance Certificate”) (x) certifying as to whether, to the best knowledge of such Financial Officer, no Default has occurred and, if a Default has occurred, specifying the details thereof and (y) stating that such financial statements have been prepared in accordance with GAAP and present fairly in all material respects the consolidated (if applicable) financial condition of the Persons covered thereby at the date of the statements of financial condition and the consolidated (if applicable) results of the operations of such Persons for the period covered thereby;

(d)               within five (5) Business Days after obtaining knowledge thereof, a notice of the occurrence of any Default, together with a statement of a Financial Officer setting forth the details thereof and any action taken or proposed to be taken with respect thereto; 

(e)                within fifteen (15) Business Days after obtaining knowledge thereof, a notice of any litigation or governmental proceeding filed or commenced against any Loan Party or any of its Significant Subsidiaries that could reasonably be expected to be adversely determined, and, if so determined, could reasonably be expected to have a Material Adverse Effect;

(f)                promptly (but in any event within five (5) Business Days) upon the Borrower obtaining knowledge thereof, notice of any matter that has resulted or would reasonably be expected to result in a Material Adverse Effect;

(g)               from time to time, such other information as may be required by regulatory authorities under the PATRIOT Act or other applicable “know your customer” and anti-money laundering rules and regulations (including, without limitation, the Beneficial Ownership Regulation) as the Administrative Agent or any Lender may reasonably request; and

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(h)               from time to time, such other information relating to the business affairs and financial condition of the Loan Parties as the Administrative Agent or any Lender may reasonably request.

Section 5.02.      Existence; Conduct of Business.  Each Loan Party will and will cause each of its Significant Subsidiaries to (a) preserve and keep in full force and effect its legal existence and, if applicable, good standing under the laws of its jurisdiction of organization, (b) take all reasonable action to maintain all rights, privileges and licenses necessary to the conduct of its business, except to the extent that failure to take such action to maintain such rights, licenses, permits, privileges and franchises could not reasonably be expected to result in a Material Adverse Effect and (c) preserve or renew all of its registered patents, trademarks, trade names and service marks, the non-preservation of which could reasonably be expected to have a Material Adverse Effect, and, in each case, except as otherwise permitted under this Agreement.

Section 5.03.      Payment of Obligations.  Each Loan Party will, and will cause each of its Significant Subsidiaries to, pay its obligations, including tax liabilities, that, if not paid, would reasonably be expected to result in a Material Adverse Effect, before the same shall become delinquent or in default, except where (a) the validity or amount thereof is being contested in good faith by appropriate proceedings and (b) such Loan Party or such Significant Subsidiary has set aside on its books adequate reserves with respect thereto to the extent required by GAAP.

Section 5.04.      Maintenance of Properties and Insurance.  Each Loan Party will, and will cause its Significant Subsidiaries to, (a) keep all property necessary to its business in reasonably good working order and condition, ordinary wear and tear excepted and (b) maintain with financially sound and reputable insurance companies, insurance in at least such amounts, with such deductibles and against at least such risks as are customarily maintained by companies engaged in the same or similar businesses operating in the same or similar locations, except where the failure to maintain any such property or insurance would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

Section 5.05.      Proper Records; Rights to Inspect and Appraise.  Each Loan Party will, and will cause each of its Significant Subsidiaries to, keep proper books of record and account in which complete and correct entries are made of all transactions relating to its business and activities.  Upon prior reasonable notice, each Loan Party will permit any representatives designated by the Administrative Agent or any Lender, under the guidance of its officers, to visit and inspect its properties, to examine and make extracts from its books and records (except to the extent prohibited by law), and to discuss its affairs, finances and condition with its officers and independent accountants, all at such reasonable times and as often as reasonably requested; provided that, unless an Event of Default has occurred and is continuing the Administrative Agent and the Lenders shall be limited to one such visit or inspection in each Fiscal Year and such visit or inspection shall be at the sole cost and expense of the Administrative Agent or applicable Lenders (except that the Administrative Agent (on behalf of the applicable Lenders) may make one such visit during each Fiscal Year and the reasonable cost and expense thereof shall be borne by the Loan Parties).

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Section 5.06.      Compliance with Laws.  

(a)                Each Loan Party will, and will cause each of its Significant Subsidiaries to, comply with all laws, rules, regulations and orders of any Governmental Authority applicable to it or its property (including, but not limited to, all applicable Environmental Laws), except where the failure to do so, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect.

(b)               Each Loan Party will, and will cause its Subsidiaries to, comply, in all material respects, with all Sanctions Laws, Anti-Money Laundering Laws and Anti-Corruption Laws.

Section 5.07.      Use of Proceeds.  The Borrower shall use the proceeds of the Loans for general corporate purposes.  

Section 5.08.      Further Assurances.  Each Loan Party will execute and deliver any and all further documents, agreements and instruments, and take all such further actions, that may be required under any applicable law, or that the Administrative Agent or the Required Lenders may reasonably request, in order to effect the purposes of this Agreement or to protect the rights or interests of the Lender Parties under the Loan Documents.

Section 5.09.      Ranking.  The Loan Parties will take all actions as may be reasonably necessary to ensure that all payment obligations under the Loan Documents will constitute direct and unconditional unsecured unsubordinated obligations of the Loan Parties and will rank at least pari passu in right of payment with all other unsecured unsubordinated indebtedness of the Loan Parties.

Section 5.10.      Sanctions; Anti-Money Laundering Laws; Anti-Corruption Laws.

(a)                Each Loan Party shall and shall procure that each of its Subsidiaries shall maintain and enforce policies and procedures designed to ensure compliance by the Loan Parties, their Subsidiaries, and each of their respective directors, officers, employees, agents and representatives with Sanctions Laws, Anti-Corruption Laws and Anti-Money Laundering Laws.

(b)               Each Loan Party shall, and shall procure that each of its Subsidiaries shall, ensure that no funds used to pay the obligations under the Loan Documents (i) constitute the property of, or are beneficially owned, directly or indirectly, by any Sanctioned Person, (ii) are derived from any transactions or business with any Sanctioned Person or Sanctioned Country, or (iii) are derived from any unlawful activity, including activity in violation of Sanctions Laws, Anti-Money Laundering Laws or Anti-Corruption Laws.

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ARTICLE 6
Negative Covenants

Until all the Commitments have expired or terminated and the principal of and interest on each Loan and all fees payable hereunder have been paid in full, each Loan Party covenants and agrees with the Administrative Agent and the Lenders that:

Section 6.01.      Liens.  No Loan Party shall, nor shall it permit any of its Subsidiaries to, create, agree to create, incur, assume or suffer to exist any Lien upon or with respect to any of its property or assets, whether now owned or hereafter acquired; provided that nothing in this ‎Section 6.01 shall prevent the creation, agreement to create, incurrence, assumption or existence of the following Liens:

(1)               Liens for Taxes, assessments or governmental charges or claims either (a) not delinquent or (b) contested in good faith by appropriate proceedings and as to which such Loan Party or any of its Subsidiaries shall have set aside on its books such reserves as may be required pursuant to GAAP;

(2)               statutory Liens of landlords and Liens of carriers, warehousemen, mechanics, suppliers, materialmen, repairmen and other Liens imposed by law or pursuant to customary reservations or retentions of title incurred in the ordinary course of business for sums not yet delinquent or being contested in good faith, if such reserve or other appropriate provision, if any, as shall be required by GAAP shall have been made in respect thereof;

(3)               Liens incurred or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security, including any Lien securing letters of credit issued in the ordinary course of business consistent with past practice in connection therewith, or to secure the performance of tenders, statutory obligations, surety and appeal bonds, bids, leases, government contracts, performance and return-of-money bonds and other similar obligations (exclusive of obligations for the payment of borrowed money);

(4)               any judgment Lien not giving rise to an Event of Default;

(5)               easements, rights-of-way, defects, zoning restrictions and other similar charges or encumbrances in respect of real property not interfering in any material respect with the ordinary course of the business of any of the Loan Parties or any of their respective Subsidiaries;

(6)               any interest or title of a lessor under any Capital Lease Obligation; provided that such Liens do not extend to any property or assets which is not leased property subject to such Capital Lease Obligation;

(7)               Liens securing Purchase Money Indebtedness; provided, however, that (a) the Indebtedness shall not exceed (but may be less than) the cost (i.e., purchase price) of the property or assets acquired, together, in the case of real property, with the cost of the construction thereof and improvements thereto, and shall not be secured by a Lien on any property or assets of any Loan Party or any Subsidiary of any Loan Party other than such property or assets so acquired or constructed and improvements thereto and (b) the Lien securing such Indebtedness shall be created within 180 days of such acquisition or construction or, in the case of a Refinancing of any Purchase Money Indebtedness, within 180 days of such Refinancing; and provided, further, that, to the extent that the property or asset acquired is Share Capital, the Lien also may encumber other property or assets of the Person so acquired;

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(8)               Liens upon specific items of inventory or other goods and proceeds of any Person securing such Person’s obligations in respect of bankers’ acceptances issued or created for the account of such Person to facilitate the purchase, shipment or storage of such inventory or other goods;

(9)               Liens securing reimbursement obligations with respect to commercial letters of credit which encumber documents and other property relating to such letters of credit and products and proceeds thereof;

(10)           Liens encumbering deposits made to secure obligations arising from statutory, regulatory, contractual, or warranty requirements of any Loan Party or any its Subsidiaries, including rights of offset and setoff;

(11)           Liens securing Interest Swap Obligations which Interest Swap Obligations relate to Indebtedness that is otherwise permitted under this Agreement;

(12)           Liens securing Indebtedness under Currency Agreements and Commodity Agreements that are permitted under this Agreement;

(13)           Liens securing Acquired Indebtedness; provided that: (a) such Liens secured such Acquired Indebtedness at the time of and prior to the incurrence of such Acquired Indebtedness by any Loan Party or any of its Subsidiaries and were not granted in connection with, or in anticipation of, the incurrence of such Acquired Indebtedness by such Loan Party or such Subsidiary; and (b) such Liens do not extend to or cover any property or assets of any Loan Party or of any of its Subsidiaries other than the property or assets that secured the Acquired Indebtedness prior to the time such Indebtedness became Acquired Indebtedness of such Loan Party or such Subsidiary and are no more favorable to the lienholders than those securing the Acquired Indebtedness prior to the incurrence of such Acquired Indebtedness by such Loan Party or such Subsidiary;

(14)           Liens existing as of the date of this Agreement, and any extension, renewal or replacement thereof; provided, however, that the total amount of Indebtedness so secured, if applicable, is not increased;

(15)           Liens securing Indebtedness which is incurred to Refinance any Indebtedness which has been secured by a Lien permitted under this Section 6.01; provided, however, that such Liens: (i) are no less favorable to the Lenders and are not more favorable to the lienholders with respect to such Liens than the Liens in respect of the Indebtedness being Refinanced; and (ii) do not extend to or cover any property or assets of any Loan Party or any of its Subsidiaries not securing the Indebtedness so Refinanced;

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(16)           Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation of goods;

(17)           any rights of set-off of any person with respect to any deposit account of any Loan Party or any of its Subsidiaries arising in the ordinary course of business and not constituting a financing transaction;

(18)           any Liens granted by any Loan Party or any of its Subsidiaries to secure borrowings from, directly or indirectly, (a) Banco Nacional de Desenvolvimento Econômico e Social — BNDES or any other Brazilian governmental development bank or credit agency, or (b) any international or multilateral development bank, government-sponsored agency, export import bank or official export-import credit insurer;

(19)           any Liens on inventory or receivables of any Loan Party or any of its Subsidiaries securing the obligations of such Person under any lines of credit or working capital facility, receivables facility, securitization, factoring, discounting or similar financing transaction, or in connection with any structured export or import financing or other trade transaction; provided that the aggregate amount of inventory or receivables, as the case may be, securing Indebtedness shall not exceed 80.0% of the Parent’s consolidated aggregate inventory or outstanding receivables, as the case may be, from time to time;

(20)           Liens on carbon credits or certificates of emission reductions or Liens securing clean development mechanisms projects; and

(21)           Liens incurred by any Loan Party or any of its Subsidiaries with respect to obligations that do not exceed, at the time of incurrence, 15.0% of the Consolidated Total Assets of the Parent at any one time outstanding.

Section 6.02.      Fundamental Changes.  

(a)                Neither Guarantor will, in a single transaction or series of related transactions, (x) consolidate or merge with or into any Person, or (y) sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of its assets (determined on a consolidated basis) whether as an entirety or substantially as an entirety to any Person unless, in the case of each of (x) and (y): 

(i)                 either (I) such Guarantor shall be the surviving or continuing entity or (II) the Person (if other than such Guarantor) formed by such consolidation or into which such Guarantor is merged or the Person which acquires by sale, assignment, transfer, lease, conveyance or other disposition the properties and assets of such Guarantor and of such Guarantor’s Subsidiaries, substantially as an entirety:

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(A)       shall be a Person organized and validly existing under the laws of Brazil, the Grand Duchy of Luxembourg, the United States of America, any state thereof or the District of Columbia, Canada, the United Kingdom or any country that is a member country of the European Union and in respect of which the Administrative Agent and each Lender is provided with all necessary documentation and other information as the Required Lenders may reasonably require (including appropriate corporate documentation, resolutions and legal opinions in form and substance reasonably satisfactory to the Required Lenders) as to the due organization, authorization, execution, delivery, legality, validity, binding effect and enforceability of such transactions, as well as such documents as required by regulatory authorities under the PATRIOT Act and other applicable “know your customer” and anti-money laundering rules and regulations, in form and substance reasonably satisfactory to the Administrative Agent; and

(B)        expressly assumes the obligations of such Guarantor under each Loan Document to which it is a party;

(ii)               immediately after giving effect to such transaction, no Default shall have occurred or be continuing; and

(iii)            the Guarantor or such Person will have delivered to the Administrative Agent a certificate signed by a Responsible Officer of such Person stating that such consolidation, merger, sale, assignment, transfer, lease, conveyance or other disposition complies with the conditions set forth in this Section 6.02(a).

(b)               For the avoidance of doubt, any merger or consolidation of any Loan Party with an Affiliate organized solely for the purpose of reincorporating such Loan Party in another jurisdiction shall also comply with the conditions set forth in Section 6.02(a) or Section 6.02(c), as the case may be.

(c)                The Borrower may not, and each Guarantor will not cause or permit the Borrower to (x) consolidate with or merge into any other Person or permit any other Person to consolidate with or merge into the Borrower (other than a consolidation or merger of either Guarantor or any Subsidiary of either Guarantor with or into the Borrower and the Borrower is the surviving entity) or (y) directly or indirectly, transfer, sell, lease or otherwise dispose of all or substantially all of its assets (determined on a consolidated basis of the Borrower and its Subsidiaries) to any Person (other than to either Guarantor or any Subsidiary of either Guarantor), unless, in the case of each of (x) and (y):

(i)                 in the case of a transaction in which the Borrower does not survive:

(A)       the successor entity shall be (1) a Guarantor, (2) a Subsidiary of a Guarantor or (3) a Person organized and validly existing under the laws of Brazil, the Grand Duchy of Luxembourg, the United States of America, any state thereof or the District of Columbia, Canada, the United Kingdom or any country that is a member country of the European Union; 

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(B)        if the successor entity is not a Guarantor, the Administrative Agent and each Lender is provided with all necessary documentation and other information with respect to such successor entity as the Required Lenders may reasonably require (including appropriate corporate documentation, resolutions and legal opinions in form and substance reasonably satisfactory to the Required Lenders) as to the due organization, authorization, execution, delivery, legality, validity, binding effect and enforceability of such transactions, as well as such documents as required by regulatory authorities under the PATRIOT Act and other applicable “know your customer” and anti-money laundering rules and regulations, in form and substance reasonably satisfactory to the Administrative Agent; and 

(C)        the successor entity expressly assumes the obligations of the Borrower under each Loan Document to which it is party;

(ii)               immediately after giving effect to such transaction, no Default shall have occurred or be continuing; and

(iii)            the successor entity will have delivered to the Administrative Agent a certificate signed by a Responsible Officer of such Person stating that such consolidation, merger, sale, assignment, transfer, lease, conveyance or other disposition complies with the conditions set forth in this Section 6.02(c).

Section 6.03.      Restricted Payments.  The Parent will not declare or make any Restricted Payment, unless immediately before or after giving effect thereto no Event of Default shall have occurred and be continuing; provided that nothing in this Section 6.03 shall prevent the declaration or payment of minimum compulsory dividends (dividendos mínimos obrigatórios) required under the Parent’s organizational documents and/or by applicable law.

Section 6.04.      Anti-Corruption Laws, Sanctions and Anti-Money Laundering Laws.  

(a)                No Loan Party shall, nor shall it permit any of its Subsidiaries or any director, officer, agent, employee or other Person acting on behalf of such Loan Party or any of its Subsidiaries to take any action, directly or indirectly, that would result in a violation by such Person of any Anti-Corruption Laws.

(b)               No Loan Party shall, nor shall it permit any of its Subsidiaries to, (i) become a Sanctioned Person, (ii) become owned or controlled by a Sanctioned Person, (iii) become located, incorporated, organized, or resident in a Sanctioned Country, (iv) have any business affiliation or commercial dealings with, or investments in, any Sanctioned Country or Sanctioned Person in violation of applicable Sanctions Laws, or (v) become in breach of any Sanctions Laws or Anti-Money Laundering Laws.

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Section 6.05.      Restrictions on Use of Proceeds.

(a)                No part of the proceeds of any Loan will be used, directly or indirectly, for any purpose that entails a violation of any of the Regulations of the Federal Reserve Board, including Regulations T, U and X.

(b)               No part of the proceeds of the Loans shall be used, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of Anti-Corruption Laws.

(c)                No part of the proceeds of the Loans shall be used, directly or indirectly, or lent, contributed, provided, or otherwise made available to fund, any activity or business with or related to any Sanctioned Person or Sanctioned Country, or in any other manner that will result in any violation or breach by any Person of Sanctions Laws and Anti-Money Laundering Laws, or that could reasonably be expected to cause any party to the Loan Documents to become a Sanctioned Person.

ARTICLE 7
Events of Default

Section 7.01.      Events of Default.  If any of the following events (“Events of Default”) shall occur:

(a)                the Borrower shall default in the payment when due of (i) any principal of any Loan or any Note or (ii) any interest on any Loan or any Note or any other amounts owing hereunder or under any Loan Document and, solely in the case of clause (ii), such default shall continue unremedied for two (2) or more Business Days; 

(b)               any representation, warranty or certification made or deemed made by or on behalf of any Loan Party in this Agreement or in any other Loan Document or in any report, certificate, financial statement or other document furnished to any Lender or the Administrative Agent pursuant to the provisions hereof or any other Loan Document, shall prove to have been incorrect in any material respect when made or deemed made; provided that, it shall not be an Event of Default if such representation, warranty or certification is (i) capable of being cured and (ii) cured within thirty (30) days of (x) the Administrative Agent or any Lender notifying such Loan Party or (y) such Loan Party becoming aware of such inaccuracy;

(c)                any Loan Party shall fail to observe or perform any covenant or agreement contained in Sections 5.01(d), 5.01(f), 5.02, 5.07, 5.10 or Article 6;

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(d)               any Loan Party fail to observe or perform any covenant or agreement contained in any Loan Document (other than those specified in clause (a) through (c) above), and such failure shall continue unremedied for a period of sixty (60) days after (x) written notice thereof is delivered to such Loan Party by the Administrative Agent or any Lender or (y) such Loan Party becomes aware of such failure;

(e)                (i) any Loan Party shall fail to pay any principal or interest under any Material Indebtedness, when due and payable, after giving effect to any applicable grace period in the agreement or instrument evidencing such Material Indebtedness or under which such Material Indebtedness has been incurred, or (ii) any event or condition occurs that results in any Material Indebtedness becoming due and payable or to be required to be prepaid, redeemed, purchased or defeased, in each case prior to its stated maturity by reason of any default, event of default or the like (however described);

(f)                any Loan Party shall: (i) apply for or consent to the appointment of, or the taking of possession by, a receiver, custodian, trustee, examiner, administrator, liquidator, a juge délégué, expert-vérificateur, commissaire, juge-commissaire, mandataire ad hoc, administrateur provisoire, liquidateur or curateur or similar Person of itself or of all or any substantial part of its Property; (ii) make a general assignment for the benefit of its creditors; (iii) file a petition seeking bankruptcy, insolvency, reorganization in an insolvency or comparable context, recuperação judicial, recuperação extrajudicial, liquidation, falência, faillite, liquidation volontaire ou judiciaire, concordat préventif de la faillite, sursis de paiement, gestion contrôlée, dissolution, arrangement or winding up or composition or readjustment of debts; or (iv) take any corporate action for the purpose of effecting any of the foregoing;

(g)               an involuntary proceeding or case shall be commenced against any Loan Party, without its application or consent, seeking: (i) its reorganization, liquidation, dissolution, arrangement or winding up, or the composition or readjustment of its debts; (ii) the appointment of a receiver, custodian, trustee, examiner, administrator, liquidator or similar Person of it or of all or any substantial part of its Property; or (iii) similar relief in respect of it under any applicable law relating to bankruptcy, insolvency, reorganization, recuperação judicial, recuperação extrajudicial, liquidation, falência, faillite, liquidation volontaire ou judiciaire, concordat préventif de la faillite, sursis de paiement, gestion contrôlée, cessation de paiements, dissolution or winding up or composition or readjustment of debts, and either (x) such proceeding shall not be contested by such Loan Party, or (y) such proceeding shall continue undismissed for any period of sixty (60) consecutive days unless a judicial deposit is made for the claimed amounts;

(h)               one or more final non-appealable judgments by courts of competent jurisdiction or decrees shall be entered against any Loan Party involving in the aggregate a liability in excess of $125,000,000 (or its equivalent in other currencies, but in any event determined net of any amount paid or covered by a valid and binding policy of insurance issued by an insurer believed by such Loan Party to be reputable, if and to the extent that such insurer shall have been notified of, and not denied coverage for, the claim made for payment of such judgment or decree) and such judgments remain undischarged, unpaid or unstayed for a period of sixty (60) consecutive days after such judgment or judgments become final and non-appealable and amounts thereunder are due and payable;

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(i)                 (x) any Loan Document shall at any time be suspended, revoked or terminated or for any reason cease to be valid and binding or in full force and effect (other than upon expiration in accordance with the terms thereof), (y) performance by any Loan Party of any obligation under any Loan Document shall become unlawful, or any Loan Party shall so assert in writing, or (z) the validity or enforceability of any Loan Document shall be contested in writing by any Loan Party; 

(j)                 any Governmental Authority shall take any action to condemn, seize, nationalize, expropriate or appropriate all or any substantial part of the property of any Loan Party (either with or without payment of compensation); or

(k)               a Change of Control shall occur;

then, and in every such event (other than an event with respect to any Loan Party described in clause (f) or (g) above), and at any time thereafter during the continuance of such event, the Administrative Agent shall, at the written request of the Required Lenders, by written notice to the Borrower, take either or both of the following actions, at the same or different times:  (i) terminate the Commitments, and thereupon the Commitments shall terminate immediately, and (ii) declare the Loans then outstanding to be due and payable in whole (or in part, in which case any principal not so declared to be due and payable may thereafter be declared to be due and payable), and thereupon the principal of the Loans so declared to be due and payable, together with accrued interest thereon and all fees and other obligations of the Borrower accrued hereunder, shall become due and payable immediately, without presentment, demand, protest or other notice of any kind, all of which are waived by the Borrower; and in the case of any event with respect to the Borrower described in clause (f) or (g) above, the Commitments shall automatically terminate and the principal of the Loans then outstanding, together with accrued interest thereon and all fees and other obligations of the Borrower accrued hereunder, shall automatically become due and payable, without presentment, demand, protest or other notice of any kind, all of which are waived by the Borrower.  The Administrative Agent shall promptly notify the Lenders of any Event of Default pursuant to this Article 7‎.

Section 7.02.      Application of Payments.  Notwithstanding anything herein to the contrary, following the occurrence and during the continuance of an Event of Default, and notice thereof to the Administrative Agent by any Loan Party or the Required Lenders, all payments received on account of the Loan Obligations shall, subject to Section 2.17(c), shall be applied by the Administrative Agent as follows:

(a)                first, to payment of that portion of the Loan Obligations constituting fees, indemnities, expenses and other amounts (including fees and disbursements and other charges of counsel payable under Section 10.03 and amounts payable under any Fee Letter) payable to the Administrative Agent in its capacity as such;

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(b)               second, to payment of that portion of the Loan Obligations constituting fees, indemnities and other amounts (other than principal and interest) payable to the Lenders (including fees and disbursements and other charges of counsel payable under Section 10.03) arising under the Loan Documents, ratably among them in proportion to the respective amounts described in this clause (b) payable to them;

(c)                third, to payment of that portion of the Loan Obligations constituting charges and interest on the Loans, ratably among the Lenders in proportion to the respective amounts described in this clause (c) payable to them;

(d)               fourth, to payment of that portion of the Loan Obligations constituting unpaid principal of the Loans, ratably among the Lenders in proportion to the respective amounts described in this clause (d) payable to them;

(e)                fifth, to the payment in full of all other Loan Obligations, in each case ratably among the Administrative Agent and the Lenders based upon the respective aggregate amounts of all such obligations owing to them in accordance with the respective amounts thereof then due and payable; and

(f)                finally, the balance, if any, after all Loan Obligations have been indefeasibly paid in full, to the Loan Parties or as otherwise required by law.

ARTICLE 8
The Administrative Agent

Section 8.01.      Appointment and Authorization.  Each of the Lenders hereby irrevocably appoints the Administrative Agent its agent and authorizes the Administrative Agent to take such actions on its behalf and to exercise such powers as are delegated to the Administrative Agent by the terms hereof, together with such actions and powers as are reasonably incidental thereto.  Except as otherwise provided in Section 8.06(b), the provisions of this Article are solely for the benefit of the Administrative Agent and the Lenders, and no Loan Party shall have rights as a third-party beneficiary of any of such provisions. It is understood and agreed that the use of the term “agent” herein or in any other Loan Documents (or any other similar term) with reference to the Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any applicable law. Instead such term is used as a matter of market custom, and is intended to create or reflect only an administrative relationship between contracting parties.

Section 8.02.      Rights and Powers as a Lender.  Any bank serving as the Administrative Agent hereunder shall have the same rights and powers in its capacity as a Lender as any other Lender and may exercise the same as though it were not the Administrative Agent, and the term “Lender” or “Lenders” shall, unless otherwise expressly indicated or unless the context otherwise requires, include the Person serving as the Administrative Agent hereunder in its individual capacity. Such Person and its branches and its Affiliates may accept deposits from, lend money to, own securities of, act as the financial advisor or in any other advisory capacity for, and its Affiliates may accept deposits from, lend money to and generally engage in any kind of business with the Borrower or any of its Affiliates as if it were not the Administrative Agent hereunder and without any duty to account therefor to the Lenders.

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Section 8.03.      Limited Duties and Responsibilities.  The Administrative Agent shall not have any duties or obligations except those expressly set forth herein and in the other Loan Documents, and its duties hereunder shall be administrative in nature.  Without limiting the generality of the foregoing, (a) the Administrative Agent shall not be subject to any fiduciary or other implied duties, regardless of whether a Default has occurred and is continuing, (b) the Administrative Agent shall not have any duty to take any discretionary action or exercise any discretionary powers, except discretionary rights and powers expressly contemplated hereby or by the other Loan Documents that the Administrative Agent is required in writing to exercise by the Required Lenders (or such other number or percentage of the Lenders as shall be expressly provided for herein or in any other Loan Document), provided that the Administrative Agent shall not be required to take any action that, in its opinion or the opinion of its counsel, may expose the Administrative Agent to liability or that is contrary to any Loan Document or applicable law including, for the avoidance of doubt, any action that may be in violation of the automatic stay under any Debtor Relief Law or that may effect a forfeiture, modification or termination of property of a Defaulting Lender in violation of any Debtor Relief Law and (c) except as expressly set forth herein and in the other Loan Documents, the Administrative Agent shall not have any duty to disclose or any liability for any failure to disclose, any information relating to the Borrower or any of its Affiliates that is communicated to or obtained by the bank serving as the Administrative Agent or any of its branches or Affiliates in any capacity.  The Administrative Agent shall not be liable for any action taken or not taken by it with the consent or at the request of the Required Lenders (or such other number or percentage of the Lenders as shall be necessary, or as the Administrative Agent shall believe in good faith shall be necessary, under the circumstances as provided in Section 7.01 and ‎Section 10.02) or in the absence of its own gross negligence or willful misconduct as determined by a final non-appealable judgment by a court of competent jurisdiction.  The Administrative Agent shall be deemed not to have knowledge of any Default unless and until written notice thereof is given to the Administrative Agent by the Borrower or a Lender, and the Administrative Agent shall not be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty or representation made in or in connection with this Agreement or any other Loan Document, (ii) the contents of any certificate, report or other document delivered thereunder or in connection herewith or therewith, (iii) the performance or observance of any of the covenants, agreements or other terms or conditions set forth herein or therein or the occurrence of any Default, (iv) the validity, enforceability, effectiveness or genuineness of any Loan Document or any other agreement, instrument or document or (v) the satisfaction of any condition set forth in Article 4 ‎or elsewhere in any Loan Document, other than to confirm receipt of items expressly required to be delivered to the Administrative Agent.

Section 8.04.      Authority to Rely on Certain Writings, Statements and Advice.  The Administrative Agent shall be entitled to rely upon, and shall not incur any liability for relying upon, any notice, request, certificate, consent, statement, instrument, document or other writing (including any electronic message, Internet or intranet website posting or other distribution)believed by it to be genuine and to have been signed, sent or otherwise authenticated by the proper Person.  The Administrative Agent also may rely upon any statement made to it orally or by telephone and believed by it to have been made by the proper Person, and shall not incur any liability for relying thereon. In determining compliance with any condition hereunder to the making of a Loan that by its terms must be fulfilled to the satisfaction of a Lender, the Administrative Agent may presume that such condition is satisfactory to such Lender unless the Administrative Agent shall have received notice to the contrary from such Lender prior to the making of such Loan. The Administrative Agent may consult with legal counsel (who may be counsel for the Borrower), independent accountants and other experts selected by it, and shall not be liable for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts.

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Section 8.05.      Sub-Agents and Related Parties.  The Administrative Agent may perform any and all its duties and exercise its rights and powers by or through one or more sub-agents appointed by it.  The Administrative Agent and any such sub-agent may perform any and all its duties and exercise its rights and powers through their respective Related Parties.  The exculpatory provisions of the preceding Sections of this Article shall apply to any such sub-agent and to the Related Parties of the Administrative Agent and any such sub-agent, and shall apply to activities in connection with the syndication of the credit facilities provided for herein as well as activities as Administrative Agent.  The Administrative Agent shall not be responsible for the negligence or misconduct of any sub-agents except to the extent that a court of competent jurisdiction determines in a final and nonappealable judgment that the Administrative Agent acted with gross negligence or willful misconduct in the selection of such sub-agents.

Section 8.06.      Resignation; Successor Administrative Agent.

(a)                Subject to the appointment and acceptance of a successor Administrative Agent as provided in this paragraph, the Administrative Agent may resign at any time by notifying the Lenders and the Borrower.  Upon any such resignation, the Required Lenders shall have the right, in consultation with the Borrower, to appoint a successor.  If no successor shall have been so appointed by the Required Lenders and shall have accepted such appointment within thirty (30) days after the retiring Administrative Agent gives notice of its resignation, then the retiring Administrative Agent may, on behalf of the Lenders, appoint a successor Administrative Agent from among the Lenders which shall be a bank with an office in New York, New York; provided that, in no event shall any such successor Administrative Agent be a Defaulting Lender.

(b)               If the Person serving as Administrative Agent is a Defaulting Lender pursuant to clause (e) of the definition thereof, the Required Lenders may, to the extent permitted by applicable law, by notice in writing to the Borrower and such Person, remove such Person as Administrative Agent and, in consultation with the Borrower, appoint a successor. Any such removal shall become effective only upon the appointment of, and acceptance by, a successor Administrative Agent. If no such successor shall have been so appointed by the Required Lenders and shall have accepted such appointment within thirty (30) days (or such earlier day as shall be agreed by the Required Lenders), the Administrative Agent may (i) on behalf of the Lenders, appoint a successor Administrative Agent, which shall be a Lender, if any Lender shall be willing to serve and if reasonably acceptable to the Required Lenders and the Borrower or (ii) petition a court of competent jurisdiction for the appointment of a successor Administrative Agent.

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(c)                Upon acceptance of its appointment as Administrative Agent hereunder by a successor, such successor shall succeed to and become vested with all the rights, powers, privileges and duties of the retiring or replaced Administrative Agent, and the retiring or replaced Administrative Agent shall be discharged from its duties and obligations hereunder and under the other Loan Documents.  Immediately thereupon, the successor Administrative Agent shall give notice of its acceptance of its appointment as Administrative Agent to the Borrower and the Lenders.  The fees payable by the Borrower to a successor Administrative Agent shall be the same as those payable to its predecessor unless otherwise agreed by the Borrower and such successor.  After the Administrative Agent’s resignation or removal hereunder, the provisions of this Article and ‎‎Section 10.03 shall continue in effect for the benefit of such retiring or replaced Administrative Agent, its sub-agents and their respective Related Parties in respect of any actions taken or omitted to be taken by any of them while the retiring or replaced Administrative Agent was acting as Administrative Agent.

Section 8.07.      Credit Decisions by Lenders.  Each Lender acknowledges that it has, independently and without reliance on the Administrative Agent or any other Lender  or any of their Related Parties and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this Agreement.  Each Lender also acknowledges that it will, independently and without reliance on the Administrative Agent or any other Lender and based on such documents and information as it shall from time to time deem appropriate, continue to make its own decisions in taking or not taking action under or based on this Agreement, any other Loan Document or any related agreement or any document furnished hereunder or thereunder.  Each Lender represents and warrants that (i) the Loan Documents set forth the terms of a commercial lending facility set forth herein and (ii) it is engaged in making, acquiring or holding commercial loans or providing other similar facilities in the ordinary course and is entering into this Agreement as a Lender for the purpose of making, acquiring or holding commercial loans and providing other facilities set forth herein as may be applicable to such Lender, and not for the purpose of purchasing, acquiring or holding any other type of financial instrument, and each Lender agrees not to assert a claim in contravention of the foregoing. Each Lender represents and warrants that it is sophisticated with respect to decisions to make, acquire or hold commercial loans and to provide other facilities set forth herein, as may be applicable to such Lender, and either it, or the Person exercising discretion in making its decision to make, acquire or hold such commercial loans or to provide such other facilities, is experienced in making, acquiring or holding such commercial loans or providing such other facilities.

Section 8.08.      No Other Duties.  Anything herein to the contrary notwithstanding, neither the Joint Bookrunners nor the Arranger shall have any powers, duties or responsibilities under this Agreement or any of the other Loan Documents, except in their capacity, as applicable, as the Administrative Agent or a Lender hereunder.

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Section 8.09.      Erroneous Payments.  

(a)                If the Administrative Agent (x) notifies a Lender or any Person who has received funds on behalf of a Lender (any such Lender or other recipient (and each of their respective successors and assigns), a “Payment Recipient”) that the Administrative Agent has determined in its sole discretion (whether or not after receipt of any notice under immediately succeeding clause (b)) that any funds (as set forth in such notice from the Administrative Agent) received by such Payment Recipient from the Administrative Agent or any of its Affiliates were erroneously or mistakenly transmitted to, or otherwise erroneously or mistakenly received by, such Payment Recipient (whether or not known to such Lender or other Payment Recipient on its behalf) (any such funds, whether  transmitted or received as a payment, prepayment or repayment of principal, interest, fees, distribution or otherwise, individually and collectively, an “Erroneous Payment”) and (y) demands in writing the return of such Erroneous Payment (or a portion thereof), such Erroneous Payment shall at all times remain the property of the Administrative Agent pending its return or repayment as contemplated below in this Section 8.09 and held in trust for the benefit of the Administrative Agent, and such Lender shall (or, with respect to any Payment Recipient who received such funds on its behalf, shall cause such Payment Recipient to) promptly, but in no event later than two Business Days thereafter (or such later date as the Administrative Agent may, in its sole discretion, specify in writing), return to the Administrative Agent the amount of any such Erroneous Payment (or portion thereof) as to which such a demand was made, in same day funds (in the currency so received), together with interest thereon (except to the extent waived in writing by the Administrative Agent) in respect of each day from and including the date such Erroneous Payment (or portion thereof) was received by such Payment Recipient to the date such amount is repaid to the Administrative Agent in same day funds at the greater of the Federal Funds Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation from time to time in effect. A notice of the Administrative Agent to any Payment Recipient under this Section 8.09(a) shall be conclusive, absent manifest error.

(b)               Without limiting Section 8.09(a), each Lender or any Person who has received funds on behalf of a Lender (and each of its successors and assigns), agrees that if it receives a payment, prepayment or repayment (whether received as a payment, prepayment or repayment of principal, interest, fees, distribution or otherwise) from the Administrative Agent (or any of its Affiliates) (x) that is in a different amount than, or on a different date from, that specified in this Agreement or in a notice of payment, prepayment or repayment sent by the Administrative Agent (or any of its Affiliates) with respect to such payment, prepayment or repayment, (y) that was not preceded or accompanied by a notice of payment, prepayment or repayment sent by the Administrative Agent (or any of its Affiliates), or (z) that such Lender or other such recipient, otherwise becomes aware was transmitted, or received, in error or by mistake (in whole or in part), then in each such case:

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(i)                 it acknowledges and agrees that (A) in the case of immediately preceding clauses (x) or (y), an error and mistake shall be presumed to have been made (absent written confirmation from the Administrative Agent to the contrary) or (B) an error and mistake has been made (in the case of immediately preceding clause (z)), in each case, with respect to such payment, prepayment or repayment; and

(ii)               such Lender shall use commercially reasonable efforts to (and shall use commercially reasonable efforts to cause any other recipient that receives funds on its respective behalf to) promptly (and, in all events, within one Business Day of its knowledge of the occurrence of any of the circumstances described in immediately preceding clauses (x), (y) and (z)) notify the Administrative Agent of its receipt of such payment, prepayment or repayment, the details thereof (in reasonable detail) and that it is so notifying the Administrative Agent pursuant to this Section 8.09(b).

For the avoidance of doubt, the failure to deliver a notice to the Administrative Agent pursuant to this Section 8.09(b) shall not have any effect on a Payment Recipient’s obligations pursuant to Section 8.09(a) or on whether or not an Erroneous Payment has been made.

(c)                Each Lender hereby authorizes the Administrative Agent to set off, net and apply any and all amounts at any time owing to such Lender under any Loan Document, or otherwise payable or distributable by the Administrative Agent to such Lender under any Loan Document with respect to any payment of principal, interest, fees or other amounts, against any amount that the Administrative Agent has demanded to be returned under Section 8.09(a)

(d)               In the event that an Erroneous Payment (or portion thereof) is not recovered by the Administrative Agent for any reason, after demand therefor in accordance with Section 8.09(a), from any Lender that has received such Erroneous Payment (or portion thereof) (and/or from any Payment Recipient who received such Erroneous Payment (or portion thereof) on its respective behalf)  (such unrecovered amount, an “Erroneous Payment Return Deficiency”), upon the Administrative Agent’s notice to such Lender at any time, then effective immediately (with the consideration therefor being acknowledged by the parties hereto), (A) such Lender shall be deemed to have assigned its Loans (but not its Commitments) with respect to which such Erroneous Payment was made (the “Erroneous Payment Impacted Class”) in an amount equal to the Erroneous Payment Return Deficiency (or such lesser amount as the Administrative Agent may specify) (such assignment of the Loans (but not Commitments) of the Erroneous Payment Impacted Class, the “Erroneous Payment Deficiency Assignment”) (on a cashless basis and such amount calculated at par plus any accrued and unpaid interest (with the assignment fee to be waived by the Administrative Agent in such instance)), and is hereby (together with the Borrower) deemed to execute and deliver an Assignment (or, to the extent applicable, an agreement incorporating an Assignment by reference pursuant to the Platform as to which the Administrative Agent and such parties are participants) with respect to such Erroneous Payment Deficiency Assignment, (B) the Administrative Agent as the assignee Lender shall be deemed to have acquired the Erroneous Payment Deficiency Assignment, (C) upon such deemed acquisition, the Administrative Agent as the assignee Lender shall become a Lender, as applicable, hereunder with respect to such Erroneous Payment Deficiency Assignment and the assigning Lender shall cease to be a Lender, as applicable, hereunder with respect to such Erroneous Payment Deficiency Assignment, excluding, for the avoidance of doubt, its obligations under the indemnification provisions of this Agreement and its applicable Commitments which shall survive as to such assigning Lender, (D) the Administrative Agent and the Borrower shall each be deemed to have waived any consents required under this Agreement to any such Erroneous Payment Deficiency Assignment, and (E) the Administrative Agent will reflect in the Register its ownership interest in the Loans subject to the Erroneous Payment Deficiency Assignment. For the avoidance of doubt, no Erroneous Payment Deficiency Assignment will reduce the Commitments of any Lender and such Commitments shall remain available in accordance with the terms of this Agreement.

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(e)                Subject to Section 10.04 (but excluding, in all events, any assignment consent or approval requirements (whether from the Borrower or otherwise)), the Administrative Agent may, in its discretion, sell any Loans acquired pursuant to an Erroneous Payment Deficiency Assignment and upon receipt of the proceeds of such sale, the Erroneous Payment Return Deficiency owing by the applicable Lender shall be reduced by the net proceeds of the sale of such Loan (or portion thereof), and the Administrative Agent shall retain all other rights, remedies and claims against such Lender (and/or against any recipient that receives funds on its respective behalf). In addition, an Erroneous Payment Return Deficiency owing by the applicable Lender (x) shall be reduced by the proceeds of prepayments or repayments of principal and interest, or other distribution in respect of principal and interest, received by the Administrative Agent on or with respect to any such Loans acquired from such Lender pursuant to an Erroneous Payment Deficiency Assignment (to the extent that any such Loans are then owned by the Administrative Agent) and (y) may, in the sole discretion of the Administrative Agent, be reduced by any amount specified by the Administrative Agent in writing to the applicable Lender from time to time.

(f)                The parties hereto agree that (x) irrespective of whether the Administrative Agent may be equitably subrogated, in the event that an Erroneous Payment (or portion thereof) is not recovered from any Payment Recipient that has received such Erroneous Payment (or portion thereof) for any reason, the Administrative Agent shall be subrogated to all the rights and interests of such Payment Recipient (and, in the case of any Payment Recipient who has received funds on behalf of a Lender, to the rights and interests of such Lender) under the Loan Documents with respect to such amount (the “Erroneous Payment Subrogation Rights”) (provided that the Loan Parties’ Loan Obligations in respect of the Erroneous Payment Subrogation Rights shall not be duplicative of such Loan Obligations in respect of Loans that have been assigned to the Administrative Agent under an Erroneous Payment Deficiency Assignment) and (y) an Erroneous Payment shall not pay, prepay, repay, discharge or otherwise satisfy any Loan Obligations owed by any Loan Party; provided that this Section 8.09 shall not be interpreted to increase (or accelerate the due date for), or have the effect of increasing (or accelerating the due date for), the Loan Obligations of the Borrower relative to the amount (and/or timing for payment) of the Loan Obligations that would have been payable had such Erroneous Payment not been made by the Administrative Agent; provided, further, that for the avoidance of doubt, immediately preceding clauses (x) and (y) shall not apply to the extent any such Erroneous Payment is, and solely with respect to the amount of such Erroneous Payment that is, comprised of funds received by the Administrative Agent from the Borrower for the purpose of making such Erroneous Payment.

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(g)               To the extent permitted by applicable law, no Payment Recipient shall assert any right or claim to  an Erroneous Payment, and hereby waives, and is deemed to waive, any claim, counterclaim, defense or right of set-off or recoupment with respect to any demand, claim or counterclaim by the Administrative Agent for the return of any Erroneous Payment received, including, without limitation, any defense based on “discharge for value” or any similar doctrine.

(h)               Each party’s obligations, agreements and waivers under this Section 8.09 shall survive the resignation or replacement of the Administrative Agent, any transfer of rights or obligations by, or the replacement of, a Lender, the termination of the Commitments and/or the repayment, satisfaction or discharge of all Loan Obligations (or any portion thereof) under any Loan Document.

Section 8.10.      Administrative Agent May File Proofs of Claim.  In case of the pendency of any proceeding under any Debtor Relief Law or any other judicial  proceeding relative to any Loan Party, the Administrative Agent (irrespective of whether the principal of any Loan shall then be due and payable as herein expressed or by declaration or otherwise and irrespective of whether the Administrative Agent shall have made any demand on any Loan Party) shall be entitled and empowered (but not obligated) by intervention in such proceeding or otherwise:

(a)                to file and prove a claim for the whole amount of the principal and interest owing and unpaid in respect of the Loans and all other Loan Obligations that are owing and unpaid and to file such other documents as may be necessary or advisable in order to have the claims of the Lenders and the Administrative Agent (including any claim for the reasonable compensation, expenses, disbursements and advances of the Lenders and the Administrative Agent and their respective agents and counsel and all other amounts due the Lenders and the Administrative Agent under Section 10.03) allowed in such judicial proceeding; and

(b)               to collect and receive any monies 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 Lender to make such payments to the Administrative Agent and, in the event that the Administrative Agent shall consent to the making of such payments directly to the Lenders, to pay to the Administrative Agent any amount due for the reasonable compensation, expenses, disbursements and advances of the Administrative Agent and its agents and counsel, and any other amounts due the Administrative Agent under Section 10.03.

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ARTICLE 9
Guarantee

Section 9.01.      Guarantee.  

(a)                Each Guarantor hereby unconditionally, absolutely and irrevocably guarantees, on a joint and several basis, until termination of this guarantee pursuant to Section 9.07, the full and punctual payment of each and all of the obligations of the Borrower under this Agreement and under the other Loan Documents when due (whether at stated maturity, upon acceleration or otherwise) (collectively, the “Guaranteed Obligations”). If the Borrower fails to pay any Guaranteed Obligation when due (after giving effect to any applicable grace period), each Guarantor agrees that, within two (2) Business Days of such failure to pay, it will pay or cause to be paid such overdue Guaranteed Obligation at the place and in the manner specified in this Agreement or any other Loan Document, as applicable. Each Guarantor further agrees that this guarantee constitutes a guarantee of payment and not of collection.  Without limiting the generality of the foregoing, the Guaranteed Obligations shall include any such indebtedness, obligations, and liabilities which may be or hereafter become unenforceable or shall be an allowed or disallowed claim under any proceeding or case commenced by or against any Guarantor or the Borrower under any Debtor Relief Laws, and shall include interest that accrues after the commencement by or against the Borrower of any proceeding under any Debtor Relief Laws.

(b)               The obligations of each Guarantor hereunder are those of primary obligor, and not merely as surety, and are independent of the Guaranteed Obligations and the obligations of any other guarantor, and a separate action may be brought against any Guarantor to enforce this guarantee whether or not the Borrower or any other person or entity is joined as a party.

(c)                Notwithstanding anything contained herein to the contrary, the obligations of any Guarantor  hereunder at any time shall be limited to the maximum amount as will result in the obligations of such Guarantor under this Agreement not constituting a fraudulent transfer or conveyance for purposes of any Debtor Relief Law to the extent applicable to this Agreement and the obligations of such Guarantor hereunder.

Section 9.02.      Guarantee Unconditional.  The obligations of each Guarantor under this guarantee shall be unconditional and absolute and, without limiting the generality of the foregoing, shall not be released, discharged or otherwise affected by:

(a)                any extension, renewal, settlement, compromise, waiver or release in respect of any Guaranteed Obligation, or any obligation of any other guarantor or any other Person under any Loan Document by operation of law or otherwise;

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(b)               any change in the corporate existence, structure or ownership of the Borrower, any other guarantor or any other Person or any of their respective Subsidiaries, or any insolvency, bankruptcy, reorganization or other similar proceeding affecting the Borrower, any other guarantor or any other Person or any of their assets or any resulting release or discharge of any obligation of the Borrower, any other guarantor or any other Person under any Loan Document; 

(c)                the existence of any claim, set-off or other right that any Guarantor may have at any time against the Borrower, any other guarantor, any Lender Party or any other Person, whether in connection with the Loan Documents or any unrelated transactions, provided that nothing herein shall prevent the assertion of any such claim by separate suit or compulsory counterclaim;

(d)               any invalidity or unenforceability relating to or against the Borrower, any other guarantor or any other Person for any reason of any Loan Document, or any provision of applicable law or regulation purporting to prohibit the payment of any Guaranteed Obligation by the Borrower, any other guarantor or any other Person; or

(e)                any other act or omission to act or delay of any kind by the Borrower, any other guarantor, any other party to any Loan Document, any Lender Party or any other Person, or any other circumstance whatsoever that might, but for the provisions of this clause (e), constitute a legal or equitable discharge of or defense to any obligation of any Guarantor.

Section 9.03.      Waiver by Guarantor.  Each Guarantor irrevocably waives acceptance hereof, presentment, demand, protest and any notice not provided for herein, as well as any requirement that at any time any action be taken by any Lender Party against the Borrower.

Section 9.04.      Subrogation.  Payment by any Guarantor with respect to a Guaranteed Obligation hereunder shall be subrogated to the rights of the payee against the Borrower with respect to such payment; provided, however, that no Guarantor shall enforce its rights against the Borrower to any repayment by way of subrogation or by exercising its rights of contribution, indemnification, exoneration, participation or reimbursement or the right to participate in any security now or hereafter held by or for the benefit of any Lender Party until the Guaranteed Obligations have been paid in full and the Commitments have been terminated.

Section 9.05.      Stay of Acceleration.  If acceleration of the time for payment of any Guaranteed Obligation by the Borrower is stayed, all Guaranteed Obligations otherwise subject to acceleration under the terms of any Loan Documents shall nonetheless be payable by each Guarantor forthwith on demand by the Administrative Agent.

Section 9.06.      Continuing Guarantee.  This guarantee is a continuing guarantee, it shall be binding on each Guarantor and its successors and assigns, and shall be enforceable by the Administrative Agent until termination of this guarantee pursuant to Section 9.07.

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Section 9.07.      Termination.  The provisions of this Article 9 shall remain in effect until the indefeasible payment in full in cash of all Guaranteed Obligations and the Commitments have been terminated. This guarantee shall continue to be effective or be reinstated, as the case may be, if at any time any payment of the Guaranteed Obligations is rescinded or must otherwise be returned by any Lender Party upon the insolvency, bankruptcy or reorganization of the Borrower or otherwise, all as though such payment had not been made. 

ARTICLE 10
Miscellaneous

Section 10.01.  Notices.  (a) All notices and other communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by email, as follows:

(i)                 if to the Borrower, to it at:

Natura &Co Luxembourg Holdings S.à r.l.
8-10, Avenue de la Gare, L - 1610 Luxembourg
R.C.S. Luxembourg B98931
Attention: Bruno Lawaree, Head of Treasury
Email:  bruno.lawaree@thebodyshop.com

With a copy to:

Natura &Co Luxembourg Holdings S.à r.l.
8-10, Avenue de la Gare, L - 1610 Luxembourg
R.C.S. Luxembourg B98931
Attention: Itamar Gaino Filho, Chief Legal and Compliance Officer, Natura &Co Holding S.A.
Email:  itamargaino@natura.net

With a copy to (for informational purposes only and which shall not constitute notice):

Davis Polk & Wardwell LLP
450 Lexington Avenue
New York, NY 10017
Attention: Manuel Garciadiaz
Email: manuel.garciadiaz@davispolk.co

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(ii)               if to the Guarantors, to them at:

Natura &Co Holding S.A.
Avenida Alexandre Colares, No. 1188 
Room A17-Block A, Vila Jaguara, 
05106-000, Brazil 
Attention: Itamar Gaino Filho, Chief Legal and Compliance Officer
Telephone: +55 (11) 4389-7881
Email:  itamargaino@natura.net

Natura Cosméticos S.A.
Avenida Alexandre Colares, No. 1188
Vila Jaguara, 
05106-000, Brazil
Attention: Itamar Gaino Filho, Chief Legal and Compliance Officer, Natura &Co Holding S.A.
Telephone: +55 (11) 4389-7881
Email:  itamargaino@natura.net

With a copy to (for informational purposes only and which shall not constitute notice):

Davis Polk & Wardwell LLP
450 Lexington Avenue
New York, NY 10017
Attention: Manuel Garciadiaz
Email: manuel.garciadiaz@davispolk.com

(iii)            if to the Administrative Agent, to it at:

Mizuho Bank, Ltd.
Attention: Hikaru Morita
Telephone: 1 212 282 3615
Email:  Hikaru.Morita@mizuhogroup.com

Attention: Joshua Adler
Telephone: 1 212 282 3231
Email: Joshua.Adler@mizuhogroup.com

if to any other Lender, to it at its address set forth in its Administrative Questionnaire.

(b)               Notices and other communications to the Lenders hereunder may be delivered or furnished by electronic communications pursuant to procedures approved by the Administrative Agent; provided that the foregoing shall not apply to notices pursuant to Article 2 unless otherwise agreed by the Administrative Agent and the applicable Lender.  The Administrative Agent or the Borrower may, in its discretion, agree to accept notices and other communications to it hereunder by electronic communications pursuant to procedures approved by it; provided that approval of such procedures may be limited to particular notices or communications. 

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(c)                Any party hereto may change its address for notices and other communications hereunder by notice to the Administrative Agent and the Borrower.

(d)               All such notices and communications shall be effective upon receipt; provided that, unless the Administrative Agent otherwise prescribes, (i) notices and other communications sent to an e-mail address shall be deemed received upon the sender’s receipt of an acknowledgement from the intended recipient (such as by the “return receipt requested” function, as available, return e-mail or other written acknowledgement), and (ii) notices or communications posted to an Internet or intranet website shall be deemed received upon the deemed receipt by the intended recipient, at its e-mail address as described in the foregoing clause (i), of notification that such notice or communication is available and identifying the website address therefor; provided that, for both clauses (i) and (ii) above, if such notice, email or other communication is not sent during the normal business hours of the recipient, such notice or communication shall be deemed to have been sent at the opening of business on the next business day for the recipient. The Administrative Agent hereby confirms it is located at the above address.

(e)                Platform.

(i)                 Each Loan Party agrees that the Administrative Agent may, but shall not be obligated to, make the Communications (as defined below) available to the Lenders by posting the Communications on the Platform.

(ii)               The Platform is provided “as is” and “as available.” The Agent Parties (as defined below) do not warrant the adequacy of the Platform and expressly disclaim liability for errors or omissions in the Communications. No warranty of any kind, express, implied or statutory, including any warranty of merchantability, fitness for a particular purpose, non-infringement of third-party rights or freedom from viruses or other code defects, is made by any Agent Party in connection with the Communications or the Platform. In no event shall the Administrative Agent or any of its Related Parties (collectively, the “Agent Parties”) have any liability to any Loan Party, any Lender or any other Person or entity for damages of any kind, including direct or indirect, special, incidental or consequential damages, losses or expenses (whether in tort, contract or otherwise) arising out of any Loan Party’s or the Administrative Agent’s transmission of communications through the Platform. “Communications” means, collectively, any notice, demand, communication, information, document or other material provided by or on behalf of any Loan Party pursuant to any Loan Document or the transactions contemplated therein that is distributed to the Administrative Agent or any Lender by means of electronic communications pursuant to this Section, including through the Platform.

(f)                Each Loan Party hereby acknowledges that certain of the Lenders (each, a “Public Lender”) may have personnel who do not wish to receive material non-public information with respect to the Loan Parties or their respective Affiliates, or the respective securities of any of the foregoing, and who may be engaged in investment and other market-related activities with respect to such Persons’ securities. Each Loan Party hereby agrees that it will use commercially reasonable efforts to identify that portion of the materials and information provided by or on behalf of the Loan Parties hereunder and under the other Loan Documents (collectively, “Loan Party Materials”) that may be distributed to the Public Lenders and that (i) all such Loan Party Materials shall be clearly and conspicuously marked “PUBLIC,” which, at a minimum, shall mean that the word “PUBLIC” shall appear prominently on the first page thereof; (ii) by marking Loan Party Materials “PUBLIC,” each Loan Party shall be deemed to have authorized the Administrative Agent and the Lenders to treat such Loan Party Materials as not containing any material non-public information with respect to the Loan Parties or their securities for purposes of U.S. federal and state securities laws (provided, however, that to the extent that such Loan Party Materials constitute Information, they shall be subject to Section 10.16); (iii) all Loan Party Materials marked “PUBLIC” are permitted to be made available through a portion of the Platform designated “Public Side Information;” and (iv) the Administrative Agent shall be entitled to treat any Loan Party Materials that are not marked “PUBLIC” as being suitable only for posting on a portion of the Platform not designated “Public Side Information”. Each Public Lender will designate one or more representatives that shall be permitted to receive information that is not designated as being available for Public Lenders.

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Section 10.02.  Waivers; Amendments.  (a) No failure or delay by any Lender Party in exercising any right, power or privilege hereunder or under any other Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any such right, power or privilege, or any abandonment or discontinuance of steps to enforce such a right, power or privilege, preclude any other or further exercise thereof or the exercise of any other right, power or privilege.  The rights, remedies, powers and privileges of the Lender Parties hereunder and under the other Loan Documents are cumulative and are not exclusive of any rights, remedies, powers or privileges that they would otherwise have. 

(b)               Notwithstanding anything to the contrary contained herein or in any other Loan Document, the authority to enforce rights and remedies hereunder and under the other Loan Documents against the Loan Parties shall be vested exclusively in, and all actions and proceedings at law in connection with such enforcement shall be instituted and maintained exclusively by, the Administrative Agent in accordance with Section 7.01 for the benefit of all the Lenders; provided that the foregoing shall not prohibit (i) the Administrative Agent from exercising on its own behalf the rights and remedies that inure to its benefit (solely in its capacity as Administrative Agent) hereunder and under the other Loan Documents, (ii) any Lender from exercising setoff rights in accordance with Section 10.08 (subject to the terms of Section 2.14) or (iii) any Lender from filing proofs of claim or appearing and filing pleadings on its own behalf during the pendency of a proceeding relative to any Loan Party under any Debtor Relief Law; provided, further, that if at any time there is no Person acting as Administrative Agent hereunder and under the other Loan Documents, then (x) the Required Lenders shall have the rights otherwise provided to the Administrative Agent pursuant to Section 7.01 and (y) in addition to the matters set forth in clauses (ii) and (iii) of the preceding proviso and subject to Section 2.14, any Lender may, with the consent of the Required Lenders, enforce any rights or remedies available to it and as authorized by the Required Lenders. 

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(c)                No waiver of any provision of this Agreement or consent to any departure by any Loan Party therefrom shall in any event be effective unless the same shall be permitted by this subsection ‎(c), and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given.

(d)               No Loan Document or provision thereof may be waived, amended or modified except, in the case of this Agreement, by an agreement or agreements in writing entered into by the Loan Parties and the Required Lenders or, in the case of any other Loan Document, by an agreement or agreements in writing entered into by the parties thereto with the consent of the Required Lenders; provided that no such agreement shall:

(i)                 extend or increase the Commitment of any Lender without its written consent;

(ii)               reduce the principal amount of any Loan or reduce the rate of interest thereon, or reduce any fee or other amount payable hereunder or under any other Loan Document, without the written consent of each Lender Party affected thereby;

(iii)            postpone the maturity of any Loan or any date for the payment of any interest, fee or other amount payable hereunder or under any other Loan Document, or reduce the amount of, waive or excuse any such payment, or postpone the scheduled date of expiration of any Commitment, in each case, without the written consent of each Lender Party affected thereby;

(iv)             change Section 2.14(b) or (c) in a manner that would alter the pro rata sharing of payments required thereby or change Section 7.02, in each case, without the written consent of each Lender; 

(v)               waive any condition set forth in Section 4.01 without the written consent of each Lender;

(vi)             substitute or release any Loan Party other than as permitted under this Agreement without the written consent of each Lender;

(vii)           change the currency of payment of any amount under this Agreement without the written consent of each Lender affected thereby;

(viii)        change Section 10.09(a) in a manner that would alter the governing law of this Agreement without the written consent of each Lender;

(ix)             change any provision of this Section or the percentage set forth in the definition of “Required Lenders”, “Applicable Percentage” or any other provision of any Loan Document specifying the number or percentage of Lenders required to take any action thereunder, in each case, without the written consent of each Lender; or

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(x)               amend, modify or waive any provision of this Section 10.02 without the written consent of each Lender;

provided further that no such agreement shall amend, modify or otherwise affect the rights or duties of the Administrative Agent without its prior written consent.

(e)                Notwithstanding the foregoing, if any Lender does not consent to a proposed amendment, waiver, consent or release with respect to any Loan Document that requires the consent of each Lender (or all affected Lenders) and that has been approved by the Required Lenders (a “Non-Consenting Lender”), the Borrower may replace such Non-Consenting Lender in accordance with Section 2.16; provided that such amendment, waiver, consent or release can be effected as a result of the assignment contemplated by such Section 2.16 ‎‎(together with all other such assignments required by the Borrower to be made pursuant to this paragraph).

Section 10.03.  Expenses; Indemnity; Damage Waiver.  (a) The Loan  Parties shall pay (i) all reasonable and documented out‐of‐pocket expenses incurred by the Administrative Agent, including the reasonable and documented fees, charges and disbursements of legal counsel, in connection with the syndication of the credit facilities provided for herein, the preparation, negotiation, execution, delivery and administration of this Agreement and the other Loan Documents and any amendments, modifications or waivers of the provisions hereof or thereof (whether or not the transactions contemplated hereby or thereby shall be consummated) and (ii) all out-of-pocket expenses incurred by any Lender Party, including any fees, charges and disbursements of any counsel for any Lender Party, in connection with the enforcement or protection of its rights in connection with this Agreement and the other Loan Documents (including its rights under this Section), or in connection with the Loans made hereunder, including all such out-of-pocket expenses incurred during any workout, restructuring or negotiations in respect of such Loans.

(b)               The Loan Parties shall indemnify each of the Lender Parties (and any sub-agent thereof) and their respective Related Parties (each such Person being called an “Indemnitee”) against, and hold each Indemnitee harmless from, any and all losses, claims, damages, liabilities and reasonable and documented related expenses, including the fees, charges and disbursements of counsel for any Indemnitee, incurred by or asserted against any Indemnitee arising out of, in connection with, or as a result of (i) the execution or delivery of any Loan Document or any other agreement or instrument contemplated thereby, the performance by the parties hereto of their respective obligations thereunder or the consummation of the Transactions or any other transactions contemplated thereby, (ii) any Loan or the use of the proceeds therefrom, (iii) any actual or alleged presence or release of Hazardous Materials on or from any property owned, leased or operated by any Loan Party, or any Environmental Liability related in any way to any Loan Party or any Subsidiary thereof or (iv) any actual or prospective claim, litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other theory and regardless of whether any Indemnitee is a party thereto or whether brought by a third party or by any Loan Party; provided that such indemnity shall not be available to any Indemnitee to the extent that such losses, claims, damages, liabilities or related expenses have resulted from the gross negligence or willful misconduct by such Indemnitee or any of its Related Persons as determined by a final non-appealable judgment of a court of competent jurisdiction (or, in the case of any Indemnitee that is a Related Person of a Lender Party, by the related Lender Party or its Related Persons).

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(c)                To the extent that the Loan Parties fail to pay any amount required to be paid by it to the Administrative Agent (or any sub-agent thereof) or any Related Party of the foregoing under subsection (a) or (b) of this Section, each Lender severally agrees to pay to any such Person such Lender’s pro rata share (determined as of the time that the applicable unreimbursed expense or indemnity payment is sought) of such unpaid amount (including any such unpaid amount in respect of a claim asserted by such Lender); provided that the unreimbursed expense or indemnified loss, claim, damage, liability or related expense, as the case may be, was incurred by or asserted against such Person.  For purposes hereof, a Lender’s “pro rata share” shall be determined based on its share of the sum of the total outstanding principal amount of the Loans and unused Commitments at the time.

(d)               To the extent permitted by applicable law, no Loan Party shall assert, and hereby waives, any claim against any Indemnitee, on any theory of liability, for special, indirect, consequential or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement, any other Loan Document or any agreement or instrument contemplated hereby, the Transactions, any Loan or the use of the proceeds thereof.  No Indemnitee referred to in paragraph (b) above shall be liable for any damages arising from the use by unintended recipients of any information or other materials distributed by it through telecommunications, electronic or other information transmission systems in connection with this Agreement or the other Loan Documents or the transactions contemplated hereby or thereby.

(e)                All amounts due under this Section shall be payable promptly, but in no event later than fifteen (15) days, after written demand therefor.

Section 10.04.  Successors and Assigns.  (a) The provisions of this Agreement shall be binding on and inure to the benefit of the parties hereto and their respective successors and assigns permitted hereby, except that (i) no Loan Party may assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of each Lender (and any attempted assignment or transfer by such Loan Party without such consent shall be null and void) and (ii) no Lender may assign or otherwise transfer its rights or obligations hereunder except in accordance with this ‎Section 10.04.  Nothing in this Agreement, expressed or implied, shall be construed to confer upon any Person (except the parties hereto, their respective successors and assigns permitted hereby, Participants to the extent provided in paragraph (e) of this Section and, to the extent expressly provided herein, the Related Parties of the Lender Parties) any legal or equitable right, remedy or claim under or by reason of this Agreement.

(b)               Any Lender may assign to one or more assignees all or a portion of its rights and obligations under this Agreement (including all or a portion of any Commitment it has at the time and any Loans at the time owing to it); provided that:

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(i)                 the Administrative Agent must give prior written consent to any such assignment, other than an assignment of all or any portion of a Loan to a Lender, an Affiliate of a Lender or of any Commitment to an assignee that is a Lender with a Commitment immediately prior to giving effect to such assignment (which consent shall not be unreasonably withheld or delayed);

(ii)               the Borrower must give prior written consent to any such assignment (which consent shall not be unreasonably withheld and shall be considered to be given if the Borrower does not expressly notify the assigning Lenders and the Administrative Agent otherwise within ten (10) Business Days after such consent has been requested in writing from the Borrower), provided that no consent of the Borrower shall be required for an assignment to a Lender, an Affiliate of a Lender or, if an Event of Default has occurred and is continuing, any other assignee;

(iii)            each partial assignment shall be made as an assignment of a proportionate part of all the assigning Lender’s rights and obligations under this Agreement;

(iv)             unless each of the Administrative Agent and the Borrower otherwise consents (provided that no such consent of the Borrower shall be required if an Event of Default has occurred and be continuing), the amount of the Commitment or Loans of the assigning Lender subject to each such assignment (determined as of the date on which the relevant Assignment is delivered to the Administrative Agent) shall not be less than $5,000,000; provided that this clause ‎(iv) shall not apply to an assignment to a Lender or an Affiliate of a Lender or an assignment of the entire remaining amount of the assigning Lender’s Commitment or Loans;

(v)               the parties to each assignment shall execute and deliver to the Administrative Agent an Assignment, together with a processing and recordation fee of $5,000;

(vi)             the assignee, if it shall not be a Lender, shall deliver to the Administrative Agent (x) a completed Administrative Questionnaire in which the assignee designates one or more credit contacts to whom all syndicate-level information (which may contain material non-public information about the Borrower and its related parties or their respective securities) will be made available and who may receive such information in accordance with the assignee’s compliance procedures and applicable laws, including Federal and state securities laws and (y) applicable tax form(s); 

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(vii)           no such assignment shall be made to (A) any Loan Party or any of the Loan Party’s Affiliates or Subsidiaries or (B) any natural person (or a holding company, investment vehicle or trust for, or owned and operated for the primary benefit of, a natural person); and

(viii)        in connection with any assignment of rights and obligations of any Defaulting Lender hereunder, no such assignment shall be effective unless and until, in addition to the other conditions thereto set forth herein, the parties to the assignment shall make such additional payments to the Administrative Agent in an aggregate amount sufficient, upon distribution thereof as appropriate (which may be outright payment, purchases by the assignee of participations or subparticipations, or other compensating actions, including funding, with the consent of the Borrower and the Administrative Agent, the applicable ratable share of Loans previously requested but not funded by the Defaulting Lender, to each of which the applicable assignee and assignor hereby irrevocably consent), to (x) pay and satisfy in full all payment liabilities then owed by such Defaulting Lender to the Administrative Agent and each Lender hereunder (and interest accrued thereon), and (y) acquire (and fund as appropriate) its full ratable share of all Loans in accordance with its applicable percentage; provided that, notwithstanding the foregoing, in the event that any assignment of rights and obligations of any Defaulting Lender hereunder shall become effective under applicable law without compliance with the provisions of this paragraph, then the assignee of such interest shall be deemed to be a Defaulting Lender for all purposes of this Agreement until such compliance occurs.

Subject to acceptance and recording thereof pursuant to subsection ‎(d) of this Section, from and after the effective date specified in each Assignment the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment, have the rights and obligations of a Lender under this Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment, be released from its obligations under this Agreement (and, in the case of an Assignment covering all of the assigning Lender’s rights and obligations under this Agreement, such Lender shall cease to be a party hereto but shall continue to be entitled to the benefits of ‎Section 2.11, ‎‎Section 2.12, ‎Section 2.13 and ‎Section 10.03).  The assignee shall not be entitled to receive any greater amount under ‎‎Section 2.11 and ‎‎Section 2.13 than the assigning Lender would have been entitled to receive.  Any assignment or transfer by a Lender of rights or obligations under this Agreement that does not comply with this subsection shall be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and obligations in accordance with subsection ‎(e) of this ‎Section 10.04.

(c)                The Administrative Agent, acting for this purpose as agent of the Borrower, shall maintain at one of its offices in New York City a copy of each Assignment delivered to it and a register for the recordation of the names and addresses of the Lenders, their respective Commitments and the principal amounts (and stated interest) of the Loans owing to each Lender pursuant to the terms hereof from time to time (the “Register”).  The entries in the Register shall be conclusive absent manifest error, and the parties hereto shall treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender for all purposes of this Agreement, notwithstanding notice to the contrary.  The Register shall be available for inspection by any party hereto at any reasonable time and from time to time upon reasonable prior notice.

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(d)               Upon its receipt of a duly completed Assignment executed by an assigning Lender and an assignee, the assignee’s completed Administrative Questionnaire (unless the assignee shall already be a Lender hereunder), the processing and recordation fee referred to in subsection ‎(b) of this ‎‎Section 10.04 and any written consent to such assignment required by subsection ‎(b) of this Section, the Administrative Agent shall accept such Assignment and record the information contained therein in the Register.  No assignment shall be effective for purposes of this Agreement unless it has been recorded in the Register as provided in this subsection.

(e)                Any Lender may, without the consent of, or notice to, any Loan Party or any other Lender Party, sell participations to any Person (other than a natural person, or a holding company, investment vehicle or trust for, or owned and operated for the primary benefit of, a natural person, or any Loan Party or any of the Loan Parties’ Affiliates or Subsidiaries) (“Participants”) in all or a portion of such Lender’s rights or obligations under this Agreement (including all or a portion of its Commitments or the Loans owing to it); provided that (i) such Lender’s obligations under this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) the Borrower, the Administrative Agent and the other Lender Parties shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement.  For the avoidance of doubt, each Lender shall be responsible for the indemnity under Section 10.03(b) with respect to any payments made by such Lender to its Participant(s). Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce the Loan Documents and to approve any amendment, modification or waiver of any provision of the Loan Documents; provided that such agreement or instrument may provide that such Lender will not, without the consent of the Participant, agree to any amendment, modification or waiver described in the first proviso to ‎‎Section 10.02(d) that affects such Participant.  Subject to subsection ‎(f) of this Section, each Loan Party agrees that each Participant shall be entitled to the benefits of  ‎Section 2.11, ‎‎Section 2.12 and ‎Section 2.13 (subject to the requirements and limitations therein, including the requirements under Section 2.13(f) (it being understood that the documentation required under Section 2.13(f) shall be delivered to the participating Lender)) to the same extent as if it were a Lender and had acquired its interest by assignment pursuant to subsection ‎(b) of this ‎‎Section 10.04; provided that such Participant agrees to be subject to the provisions of Section 2.15 as if it were an assignee under paragraph (b) of this Section.  To the extent permitted by law, each Participant also shall be entitled to the benefits of ‎‎Section 10.08 as though it were a Lender, provided that such Participant agrees to be subject to ‎‎Section 2.14(c) as though it were a Lender.  Each Lender that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Borrower, maintain a register on which it enters the name and address of each Participant and the principal amounts (and stated interest) of each Participant’s interest in the Loans or other obligations under the Loan Documents (the “Participant Register”); provided that no Lender shall have any obligation to disclose all or any portion of the Participant Register (including the identity of any Participant or any information relating to a Participant’s interest in any Commitment, Loan or its other obligations under any Loan Document) to any Person except to the extent that such disclosure is necessary to establish that such Commitment, Loan or other obligation is in registered form under Section 5f.103-1(c) of the United States Treasury Regulations or is required by the applicable laws of Brazil.  The entries in the Participant Register shall be conclusive absent manifest error, and such Lender shall treat each Person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this Agreement notwithstanding any notice to the contrary.  For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative Agent) shall have no responsibility for maintaining a Participant Register.

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(f)                A Participant shall not be entitled to receive any greater payment under Section 2.11 or Section 2.13 with respect to any participation, than its participating Lender would have been entitled to receive, except to the extent such entitlement to receive a greater payment results from a Change in Law that occurs after the Participant acquired the applicable participation. 

(g)               Any Lender may at any time pledge or assign a security interest in all or any portion of its rights under this Agreement to secure obligations of such Lender, including any pledge or assignment to secure obligations to a Federal Reserve Bank; provided that no such pledge or assignment of a security interest shall release a Lender from any of its obligations hereunder or substitute any such pledgee or assignee for such Lender as a party hereto.

Section 10.05.  Survival.  All covenants, agreements, representations and warranties made by any Loan Party herein, in any other Loan Document and in certificates or other instruments delivered in connection with or pursuant hereto or thereto shall be considered to have been relied upon by the other parties hereto and shall survive the execution and delivery of this Agreement and of the other Loan Documents and the making of any Loans, regardless of any investigation made by any such other party or on its behalf and notwithstanding that any Lender Party may have had notice or knowledge of any Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall continue in full force and effect as long as any principal of or accrued interest on any Loan or any other Loan Obligation is outstanding and unpaid or any Commitment has not expired or terminated.  The provisions of ‎Section 2.11, ‎‎Section 2.12, ‎Section 2.13 and ‎Section 10.03, ‎‎Section 10.05, ‎‎Section 10.09, ‎‎Section 10.10, ‎‎Section 10.11, ‎Section 10.12, ‎‎Section 10.13, Section 10.16, ‎Section 10.19 and Article 8 ‎‎shall survive and remain in full force and effect regardless of the resignation or replacement of the Administrative Agent or any assignment of rights by, or the replacement of a Lender, the consummation of the Transactions, the repayment of the Loans, the expiration or termination of the Commitments or the termination of this Agreement or any provision hereof.

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Section 10.06.  Counterparts; Integration; Effectiveness.  This Agreement may be executed in counterparts (and by different parties hereto in different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract.  This Agreement, the other Loan Documents and any separate letter agreements with respect to fees payable to the Administrative Agent constitute the entire contract among the parties relating to the subject matter hereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof.  Delivery of an executed counterpart of a signature page of this Agreement by email or any other electronic means that reproduces an image of the actual executed signature page shall be effective as delivery of a manually executed counterpart of this Agreement.  The words “execution,” “signed,” “signature,” “delivery,” and words of like import in or relating to any document to be signed in connection with this Agreement, the other Loan Documents and the transactions contemplated hereby and thereby shall be deemed to include Electronic Signatures or electronic records, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature, or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.  Except as provided in Section 4.01, this Agreement shall become effective when it shall have been executed by the Administrative Agent and when the Administrative Agent shall have received counterparts hereof that, when taken together, bear the signatures of each of the other parties hereto, and thereafter shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns.

Section 10.07.  Severability.  If any provision of this Agreement or any other Loan Document is held to be invalid, illegal or unenforceable, (a) the validity, legality and enforceability of the remaining provisions of this Agreement and the other Loan Documents shall not be affected or impaired thereby and (b) the parties shall endeavor in good faith negotiations to replace the illegal, invalid or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the illegal, invalid or unenforceable provisions. The invalidity of a provision in a particular jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.  Without limiting the foregoing provisions of this Section, if and to the extent that the enforceability of any provision of this Agreement relating to Defaulting Lenders shall be limited by Debtor Relief Laws, as determined in good faith by the Administrative Agent, then such provision shall be deemed to be in effect only to the extent not so limited.

Section 10.08.  Right of Set-off.  If an Event of Default shall have occurred and be continuing, each Lender and each of its respective branches and Affiliates is hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off and apply any and all deposits (general or special, time or demand, provisional or final, in whatever currency) at any time held and other obligations at any time owing by such Lender to or for the credit or the account of any Loan Party against any obligations (in whatever currency) of such Loan Party now or hereafter existing hereunder or any other Loan Document and held by such Lender, irrespective of whether or not such Lender shall have made any demand hereunder or under any other Loan Document.  The rights of each Lender and its branches and Affiliates under this ‎Section 10.08 are in addition to other rights and remedies (including other rights of setoff) that such Lender may have.

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Section 10.09.  Governing Law; Jurisdiction; Consent to Service of Process.  (a) This Agreement and any claim, controversy, dispute or cause of action (whether in contract or tort or otherwise) based upon, arising out of or relating to this Agreement and the transactions contemplated hereby shall be governed by, and construed in accordance with, the laws of the State of New York.

(b)               Each party hereto irrevocably and unconditionally submits, for itself and its property, to the jurisdiction of the courts of the State of New York sitting in New York County and of the United States District Court of the Southern District of New York, and any appellate court from any thereof, in any action or proceeding arising out of or relating to this Agreement or any Loan Document (except as is otherwise provided in such other Loan Document), or for recognition or enforcement of any judgment with respect thereto, and each party hereto irrevocably and unconditionally agrees that all claims in respect of any such action or proceeding may be heard and determined in such New York State court or, to the extent permitted by law, in such Federal court.  Each party hereto agrees that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Nothing in this Agreement shall affect any right that the Administrative Agent or any Lender may otherwise have to bring any action or proceeding relating to this Agreement against any Loan Party or its properties in the courts of any jurisdiction.

(c)                Each party hereto hereby irrevocably and unconditionally waives, to the fullest extent permitted by applicable law, any objection which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement or any other Loan Document in any court referred to in subsection (b) of this ‎Section 10.09.  Each of the parties hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, the defense of an inconvenient forum to the maintenance of such action or proceeding in any such court.  

Section 10.10.  Appointment of Agent For Service of Process.  (a) Each Loan Party hereby irrevocably designates, appoints, authorizes and empowers as its agent for service of process, Cogency Global Inc., at its offices currently located at 122 East 42nd Street, 18th Floor, New York, New York 10168 (such agent, and any successor agent that may be appointed by the Loan Parties pursuant to the next sentence, the “Process Agent”), to receive on its behalf service of any and all process, notices or other documents that may be served in any suit, action or proceeding relating hereto in any New York State or Federal court sitting in the State of New York.  If for any reason such agent shall cease to be available to act as such, the Loan Parties agree promptly to designate a new agent satisfactory to the Administrative Agent in the Borough of Manhattan, The City of New York to receive, accept and acknowledge on its behalf service of any and all process, notices or other documents that may be served in any suit, action or proceeding relating hereto in any New York State or Federal court sitting in the State of New York.

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(b)               Each Loan Party consents to process being served in any suit, action or proceeding of the nature referred to in ‎Section 10.09 by serving a copy thereof upon the Process Agent.  Without prejudice to the foregoing, the Lenders and the Administrative Agent agree that to the extent lawful and possible, written notice of said service upon the Process Agent shall also be mailed by internationally recognized overnight courier, postage prepaid, return receipt requested, to each Loan Party at the address specified in or pursuant to ‎Section 10.01 or to any other address of which such Loan Party shall have given written notice to the Administrative Agent.  If said service upon the Process Agent shall not be possible or shall otherwise be impractical after reasonable efforts to effect the same, the applicable Loan Party consents to process being served in any suit, action or proceeding of the nature referred to in ‎Section 10.09 by the mailing of a copy thereof by registered or certified airmail, postage prepaid, return receipt requested, to the address of such Loan Party specified in or pursuant to ‎Section 10.01 or to any other address of which such Loan Party shall have given written notice to the Administrative Agent.  To the fullest extent permitted by Law, each Loan Party hereby irrevocably waives any objection to such services of process and further irrevocably waives and agrees not to plead or claim in any action or proceeding commenced hereunder that service of process was in any way invalid or ineffective.

(c)                Nothing in this ‎Section 10.10 shall affect the right of any party hereto to serve process in any manner permitted by law, or limit any right that any party hereto may have to bring proceedings against any other party hereto in the courts of any jurisdiction or to enforce in any lawful manner a judgment obtained in one jurisdiction in any other jurisdiction.

Section 10.11.  Waiver of Immunity.  To the extent that any Loan Party has or hereafter may acquire any immunity from jurisdiction of any court or from any legal process (whether through service or notice, attachment prior to judgment, attachment in aid or execution, or otherwise) with respect to itself or its property, such Loan Party hereby irrevocably waives such immunity in respect of its obligations under the Loan Documents to the extent permitted by applicable law and, without limiting the generality of the foregoing, agrees that the waivers set forth in this Section shall have effect to the fullest extent permitted under the Foreign Sovereign Immunities Act of 1976 of the United States of America and are intended to be irrevocable for purposes of such Act.

Section 10.12.  Judgment Currency.  (a) If, for the purpose of obtaining judgment in any court, it is necessary to convert a sum due hereunder in Dollars into another currency (the “Judgment Currency”), the parties hereto agree, to the fullest extent that they may legally and effectively do so, that the rate of exchange used shall be that at which in accordance with normal banking procedures the Administrative Agent could purchase Dollars with such Judgment Currency in New York, New York, on the Business Day immediately preceding the day on which final judgment is given.

(b)               The obligation of any Loan Party in respect of any sum due to any Lender hereunder in Dollars shall, to the extent permitted by applicable law, notwithstanding any judgment in a currency other than Dollars, be discharged only to the extent that on the Business Day following receipt of any sum adjudged to be so due in the Judgment Currency such Lender may in accordance with normal banking procedures purchase the Dollars in the amount originally due to such Lender with the Judgment Currency.  If the amount of Dollars so purchased is less than the sum originally due to such Lender, such Loan Party agrees, as a separate obligation and notwithstanding any such judgment, to indemnify such Lender against the resulting loss; and if the amount of Dollars so purchased is greater than the sum originally due to such Lender, such Lender agrees to repay such excess to such Loan Party.

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Section 10.13.  WAIVER OF JURY TRIAL.  EACH PARTY HERETO IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO ANY LOAN DOCUMENT OR ANY TRANSACTION CONTEMPLATED THEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

Section 10.14.  Use of English Language.  Except as provided in Section 3.12‎‎, any translation of this Agreement into another language shall have no interpretive effect.  All documents or notices to be delivered pursuant to or in connection with this Agreement (other than any Note) shall be in the English language or, if any such document or notice is not in the English language, accompanied by an English translation thereof, and the English language version of any such document or notice shall control for purposes hereof.

Section 10.15.  Headings.  Article and Section headings and the Table of Contents herein are for convenience of reference only, are not part of this Agreement and shall not affect the construction of, or be taken into consideration in interpreting, this Agreement.

Section 10.16.  Confidentiality.  Each Lender Party agrees to maintain the confidentiality of the Information (as defined below), except that Information may be disclosed (a) to its branches and its Affiliates’ and to its Related Parties (it being understood that the Persons to whom such disclosure is made will be informed of the confidential nature of such Information and instructed to keep such Information confidential), (b) to the extent required or requested by any bank examiners, auditors or accountants or to any other regulatory agency or body with proper authority over such Person and its Related Parties (including non-governmental regulatory agencies or bodies and self-regulatory agencies), (c) to the extent required by applicable laws or regulations or by any subpoena or similar legal process, (d) to any other party to this Agreement, (e) in connection with the exercise of any remedy hereunder or under any other Loan Document or any suit, action or proceeding relating to any Loan Document or the enforcement of any right thereunder, (f) subject to an agreement containing provisions substantially the same as those of this ‎Section 10.16, to (i) any actual or prospective assignee of or Participant in any of its rights or obligations under this Agreement or (ii) any actual or prospective counterparty (or its advisors) to any swap or derivative transaction relating to each Loan Party and its obligations, this Agreement or payments hereunder (g) to any insurance brokers, insurers and reinsurers (including any credit insurance providers), (h) with the consent of the Loan Parties or (i) on a confidential basis to (x) any rating agency in connection with rating any Loan Party or any Subsidiary thereof or the facility provided hereunder or (y) the CUSIP Service Bureau or any similar agency in connection with the issuance and monitoring of CUSIP numbers with respect to the facility provided hereunder, or (j) to the extent such Information either (x) becomes publicly available other than as a result of a breach of this Section or (y) becomes available to any Lender Party or any of its branches or Affiliates on a non-confidential basis from a source other than the Loan Parties.  In addition, the Administrative Agent and the Lenders may disclose the existence of this Agreement and information about this Agreement to market data collectors, similar service providers to the lending industry and service providers to the Administrative Agent or any Lender in connection with the administration of this Agreement, the other Loan Documents, and the Commitments. For the purposes of this Section, “Information” means all information received from or on behalf of any Loan Party relating to such Loan Party or its Subsidiaries, other than any such information that is available to any Lender Party on a non-confidential basis before disclosure by or on behalf of such Loan Party; provided that, in the case of information received from or on behalf of such Loan Party after the date hereof, such information is clearly identified at the time of delivery as confidential.  Any Person required to maintain the confidentiality of Information as provided in this ‎Section 10.16 shall be considered to have complied with its obligation to do so if such Person has exercised the same degree of care to maintain the confidentiality of such Information as such Person would accord to its own confidential information.

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Section 10.17.  USA PATRIOT Act.  Each Lender that is subject to the PATRIOT Act, hereby notifies each Loan Party that, pursuant to the requirements of the PATRIOT Act, it is required to obtain, verify and record information that identifies such Loan Party, which information includes the name and address of such Loan Party and other information that will allow such Lender to identify such Loan Party in accordance with the PATRIOT Act.

Section 10.18.  Interest Rate Limitation. Notwithstanding anything herein to the contrary, if at any time the interest rate applicable to any Loan or other Loan Obligation owing under this Agreement, together with all fees, charges and other amounts that are treated as interest on such Loan or other Loan Obligation under applicable law (collectively, “charges”), shall exceed the maximum lawful rate (the “Maximum Rate”) that may be contracted for, charged, taken, received or reserved by the Lender or other Person holding  such Loan or other Loan Obligation in accordance with applicable law, the rate of interest payable in respect of such Loan or other Loan Obligation hereunder, together with all charges payable in respect thereof, shall be limited to the Maximum Rate. To the extent lawful, the interest and charges that would have been paid in respect of such Loan or other Loan Obligation but were not paid as a result of the operation of this Section shall be cumulated and the interest and charges payable to such Lender or other Person in respect of other Loans or such other Loan Obligations or periods shall be increased (but not above the amount collectible at the Maximum Rate therefor) until such cumulated amount, together with interest thereon at the Federal Funds Rate for each day to the date of repayment, shall have been received by such Lender or other Person. Any amount collected by such Lender or other Person that exceeds the maximum amount collectible at the Maximum Rate shall be applied to the reduction of the principal balance of such Loan or other Loan Obligation or refunded to the Borrower so that at no time shall the interest and charges paid or payable in respect of such Loan or other Loan Obligation exceed the maximum amount collectible at the Maximum Rate.

Section 10.19.   Payments Set Aside. To the extent that any payment by or on behalf of any Loan Party is made to the Administrative Agent or any Lender, or the Administrative Agent or any Lender exercises its right of setoff, and such payment or the proceeds of such setoff or any part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required (including pursuant to any settlement entered into by the Administrative Agent or such Lender in its discretion) to be repaid to a trustee, receiver or any other party, in connection with any proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery, the obligation or part thereof originally intended to be satisfied shall be revived and continued in full force and effect as if such payment had not been made or such setoff had not occurred, and (b) each Lender severally agrees to pay to the Administrative Agent upon demand its applicable share (without duplication) of any amount so recovered from or repaid by the Administrative Agent, plus interest thereon from the date of such demand to the date such payment is made at a rate per annum equal to the Federal Funds Rate from time to time in effect.

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Section 10.20.  No Advisory or Fiduciary Responsibility.  In connection with all aspects of each transaction contemplated hereby (including in connection with any amendment, waiver or other modification hereof or of any other Loan Document), each Loan Party acknowledges and agrees that: (a) (i) no fiduciary, advisory or agency relationship among the Loan Parties and their respective Subsidiaries and any Joint Bookrunner, the Arranger, the Administrative Agent or any Lender is intended to be or has been created in respect of the transactions contemplated hereby or by the other Loan Documents, irrespective of whether any Joint Bookrunner, the Arranger, the Administrative Agent or any Lender has advised or is advising any Loan Party or any Subsidiary thereof on other matters, (ii) the arranging and other services regarding this Agreement provided by the Administrative Agent, the Joint Bookrunners, the Arranger,  and the Lenders are arm’s-length commercial transactions between each Loan Party and its Affiliates, on the one hand, and the Administrative Agent, the Joint Bookrunners, the Arranger and the Lenders, on the other hand, (ii) each Loan Party has consulted its own legal, accounting, regulatory and tax advisors to the extent it has deemed appropriate, and (iii) each Loan Party is capable of evaluating, and understands and accepts, the terms, risks and conditions of the transactions contemplated hereby and by the other Loan Documents; (b) (i) each of the Administrative Agent, each Joint Bookrunner, the Arranger and each Lender is and has been acting solely as a principal and, except as expressly agreed in writing by the relevant parties, has not been, is not, and will not be acting as an advisor, agent or fiduciary for any Loan Party or any of its Affiliates, or any other Person and (ii) none of the Administrative Agent, any Joint Bookrunner, the Arranger or any Lender has any obligation to any Loan Party or any of its Affiliates with respect to the transactions contemplated hereby except those obligations expressly set forth herein and in the other Loan Documents; and (c) the Administrative Agent, the Joint Bookrunners, the Arranger and the Lenders and their respective branches and Affiliates may be engaged, for their own accounts or the accounts of customers, in a broad range of transactions that involve interests that differ from those of the Loan Parties and their Affiliates, and none of the Administrative Agent, any Joint Bookrunner, the Arranger or any Lender has any obligation to disclose any of such interests to the Loan Parties or any of their Affiliates.  To the fullest extent permitted by law, each Loan Party hereby waives and releases any claims that it may have against the Administrative Agent, any Joint Bookrunner, the Arranger or any Lender with respect to any breach or alleged breach of agency or fiduciary duty in connection with any aspect of any transaction contemplated hereby.

Section 10.21.  Acknowledgement and Consent to Bail-In of Affected Financial Institutions.  Notwithstanding anything to the contrary in any Loan Document or in any other agreement, arrangement or understanding among the parties thereto, each party hereto acknowledges that any liability of any Affected Financial Institution arising under any Loan Document, to the extent such liability is unsecured, may be subject to the Write-Down and Conversion Powers of the applicable Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by:

(a)                the application of any Write-Down and Conversion Powers by the applicable Resolution Authority to any such liabilities arising hereunder which may be payable to it by any party hereto that is an Affected Financial Institution; and

(b)               the effects of any Bail-in Action on any such liability, including, if applicable:

(i)                 a reduction in full or in part or cancellation of any such liability;

(ii)               a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such Affected Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Loan Document; or

(iii)            the variation of the terms of such liability  in connection with the exercise of the Write-Down and Conversion Powers of the applicable Resolution Authority.

[Signature pages follow]

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

	
	NATURA &CO LUXEMBOURG HOLDINGS S.À R.L, as a Borrower
	
	

	
	
By:

	
/s/ Bruno Lawaree

	
	
 

	Name:	
Bruno Lawaree

	
	
 

	Title:	
VP Group Treasury

 

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	NATURA COSMÉTICOS S.A., as a Guarantor
	
	

	
	
By:

	
/s/ João Paulo Brotto Gonçalves Ferreira

	
	
 

	Name:	
João Paulo Brotto Gonçalves Ferreira

	
	
 

	Title:	
Chief Executive Officer/ Investor Relations Officer

	
	
	
	

	
	
	
	

	
	By:	/s/ Ana Beatriz Macedo da Costa
	
	
	Name:	Ana Beatriz Macedo da Costa
	
	
	Title:	Chief Legal Officer

  

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	NATURA &CO HOLDING S.A., as a Guarantor
	
	

	
	
By:

	
/s/ Guilherme Strano Castellan

	
	
 

	Name:	
Guilherme Strano Castellan

	
	
 

	Title:	
Chief Financial Officer

	
	
	
	

	
	
	
	

	
	By:	/s/ Itamar Gaino Filho
	
	
	Name:	Itamar Gaino Filho
	
	
	Title:	Chief Legal and Compliance Officer

  

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	ADMINISTRATIVE AGENT:
	
	

	
	MIZUHO BANK, LTD., as Administrative Agent
	
	

	
	
By:

	
/s/ Brian Caldwell

	
	
 

	Name:	
Brian Caldwell

	
	
 

	Title:	
Managing Director

  

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	LENDERS:
	
	

	
	BANK OF AMERICA, N.A. LONDON BRANCH, as Lender
	
	

	
	
By:

	
/s/ Christopher Coney

	
	
 

	Name:	
Christopher Coney

	
	
 

	Title:	
Authorized Signatory 

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	CITIBANK, N.A., as Lender
	
	

	
	
By:

	
/s/ Fábio Baptiste Ribeiro

	
	
 

	Name:	
Fábio Baptiste Ribeiro

	
	
 

	Title:	
Authorized Signatory

 

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	HSBC BANK USA, NATIONAL ASSOCIATION, as Lender
	
	

	
	
By:

	
/s/ Christopher M Samms

	
	
 

	Name:	
Christopher M Samms

	
	
 

	Title:	
Senior Vice President, #9426 

 

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	ITAU BBA INTERNATIONAL PLC, as Lender
	
	

	
	
By:

	
/s/ Paulo Lopes

	
	
 

	Name:	
Paulo Lopes

	
	
 

	Title:	
Authorized Signatory

	
	
	
	

	
	
	
	

	
	By:	/s/ João Fonseca

	
	
	Name:	João Fonseca

	
	
	Title:	Authorized Signatory

  

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	JPMORGAN CHASE BANK, N.A., as Lender
	
	

	
	
By:

	
/s/ Christophe Vohmann

	
	
 

	Name:	
Christophe Vohmann

	
	
 

	Title:	
Executive Director

 

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	MIZUHO BANK, LTD., as Lender
	
	

	
	
By:

	
/s/ Brian Caldwell

	
	
 

	Name:	
Brian Caldwell

	
	
 

	Title:	
Managing Director

 

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	MORGAN STANLEY SENIOR FUNDING, INC., as Lender
	
	

	
	
By:

	
/s/ Michael King

	
	
 

	Name:	
Michael King

	
	
 

	Title:	
Authorized Signatory

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SCHEDULE 1.01

 

Administrative Agent’s Account 

 

 

Mizuho Bank Ltd. New York Branch 

ABA 026004307 / CHPS 0430 / SWIFT MHCBUS33 

Account Name:  ISA LOAN AGENCY 

Account Number: H79-740-005344 

 

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SCHEDULE 2.01 

 

Commitments 

 

	
Lender 

	
Title 

	
Commitment 

	
Bank of America, N.A., London Branch 

	
Joint Bookrunner 

	
$100,000,000 

	
Citibank, N.A. 

	
Joint Bookrunner 

	
$100,000,000 

	
HSBC Bank USA, National Association 

	
Joint Bookrunner 

	
$100,000,000 

	
Itau BBA International plc 

	
Joint Bookrunner 

	
$100,000,000 

	
JPMorgan Chase Bank, N.A. 

	
Joint Bookrunner 

	
$100,000,000 

	
Mizuho Bank, Ltd. 

	
Joint Bookrunner 

	
$100,000,000 

	
Morgan Stanley Senior Funding, Inc. 

	
Arranger 

	
$25,000,000 

 

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EXHIBIT A 

 

Form of Assignment 

This Assignment and Assumption (this “Assignment and Assumption”) is dated as of the Effective Date set forth below and is entered into by and between [the][each]1 Assignor identified in item 1 below ([the][each, an] “Assignor”) and [the][each]2 Assignee identified in item 2 below ([the][each, an] “Assignee”).  [It is understood and agreed that the rights and obligations of [the Assignors][the Assignees]3 hereunder are several and not joint.]4  Capitalized terms used but not defined herein shall have the meanings given to them in the Credit Agreement identified below (as amended, the “Credit Agreement”), receipt of a copy of which is hereby acknowledged by [the][each] Assignee.  The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and incorporated herein by reference and made a part of this Assignment and Assumption as if set forth herein in full. 

For an agreed consideration, [the][each] Assignor hereby irrevocably sells and assigns to [the Assignee][the respective Assignees], and [the][each] Assignee hereby irrevocably purchases and assumes from [the Assignor][the respective Assignors], subject to and in accordance with the Standard Terms and Conditions and the Credit Agreement, as of the Effective Date inserted by the Administrative Agent as contemplated below (i) all of [the Assignor’s][the respective Assignors’] rights and obligations in [its capacity as a Lender][their respective capacities as Lenders] under the Credit Agreement and any other documents or instruments delivered pursuant thereto in the amount[s] and equal to the percentage interest[s] identified below of all of such outstanding rights and obligations under the respective facilities identified below (including, without limitation, any guarantees included in such facilities) and (ii) to the extent permitted to be assigned under applicable law, all claims, suits, causes of action and any other right of [the Assignor (in its capacity as a Lender)][the respective Assignors (in their respective capacities as Lenders)] against any Person, whether known or unknown, arising under or in connection with the Credit Agreement, any other documents or instruments delivered pursuant thereto or the loan transactions governed thereby or in any way based on or related to any of the foregoing, including, but not limited to, contract claims, tort claims, malpractice claims, statutory claims and all other claims at law or in equity related to the rights and obligations sold and assigned pursuant to clause (i) above (the rights and obligations sold and assigned by [the][any] Assignor to [the][any] Assignee pursuant to clauses (i) and (ii) above being referred to herein collectively as [the][an] “Assigned Interest”).  Each such sale and assignment is without recourse to [the][any] Assignor and, except as expressly provided in this Assignment and Assumption, without representation or warranty by [the][any] Assignor.

	
	

	1	 For bracketed language here and elsewhere in this form relating to the Assignor(s), if the assignment is from a single Assignor, choose the first bracketed language.  If the assignment is from multiple Assignors, choose the second bracketed language. 

	2	For bracketed language here and elsewhere in this form relating to the Assignee(s), if the assignment is to a single Assignee, choose the first bracketed language.  If the assignment is to multiple Assignees, choose the second bracketed language. 

	3	
Select as appropriate.

	4	
Include bracketed language if there are either multiple Assignors or multiple Assignees.

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	1.     	Assignor[s]:	
	

	
	
	
	
	

	
	
	
	
	

	
	2.	Assignor[s]:	
	

	
	
	
	
	

               [Assignee is [a Lender][an Affiliate of [identify Lender]]5

 

3.Borrower:  Natura &Co Luxembourg Holdings S.à r.l., 

 

4. Guarantors:  Natura Cosméticos S.A. and Natura &Co Holding S.A. 

 

5.Administrative Agent: Mizuho Bank, Ltd., as the administrative agent under the Credit Agreement 

5.Credit Agreement: Revolving Credit and Guaranty Agreement, dated as of October 28, 2021, among Natura &Co Luxembourg Holdings S.à r.l., as Borrower, Natura Cosméticos S.A. and Natura &Co Holding S.A. as Guarantors, the Lenders from time to time party thereto and Mizuho Bank, Ltd., as Administrative Agent. 

	
	

	5	For each Assignee, identify if applicable.

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6.                   Assigned Interest[s]: 

 

	
 

 

 

Assignor[s]6

 

	
 

 

 

Assignee[s]7

 

	
Aggregate 

Amount of 

Commitment/Loans 

for all Lenders8

 

	
Amount of 

Commitment

/Loans 

Assigned 

 

	
Percentage 

Assigned of 

Commitment/Loans9

 

	
 

	
 

	
$______________ 

	
$________ 

	
__________% 

	
 

	
 

	
$______________ 

	
$________ 

	
__________% 

	
 

	
 

	
$______________ 

	
$________ 

	
__________% 

	
	[7. 	Trade Date:	
	[10]	

Effective Date: __________________, 20__ [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.]

	
	

	6	List each Assignor, as appropriate.

	4	List each Assignee and, if available, its market entity identifier, as appropriate. 

	8	
Amounts in this column and in the column immediately to the right to be adjusted by the counterparties to take into account any payments or prepayments made between the Trade Date and the Effective Date. 

	9	
Set forth, to at least 9 decimals, as a percentage of the Commitment/Loans of all Lenders thereunder. 

	10	To be completed if the Assignor(s) and the Assignee(s) intend that the minimum assignment amount is to be determined as of the Trade Date. 

  

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The terms set forth in this Assignment and Assumption are hereby agreed to:

	
	ASSIGNOR
	
	
[NAME OF ASSIGNOR]

	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

 

	
	ASSIGNOR
	
	
[NAME OF ASSIGNEE]

	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

 

[Consented to and Accepted:

	
MIZUHO BANK, LTD., as

Administrative Agent

	

	
	
	
	

	By:	
	
	

	
	Name:	
	

	
	Title:	] 11	

[Consented to: 

 

	
NATURA &CO LUXEMBOURG HOLDINGS S.À R.L.], 

as Borrower under the Credit Agreement

	

	
	
	
	

	By:	
	
	

	
	Name:	
	

	
	Title:	] 12	

	
	

	11	To be added only if the consent of the Administrative Agent is required by the terms of the Credit Agreement. 

	12	To be added only if the consent of the Borrower and/or other parties is required by the terms of the Credit Agreement. 

 

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ANNEX 1 TO ASSIGNMENT AND ASSUMPTION 

 

STANDARD TERMS AND CONDITIONS FOR 

ASSIGNMENT AND ASSUMPTION 

 

 

1.                   Representations and Warranties. 

1.1.            Assignor[s].  [The][Each] Assignor (a) represents and warrants that (i) it is the legal and beneficial owner of [the][the relevant] Assigned Interest, (ii) [the][such] Assigned Interest is free and clear of any lien, encumbrance or other adverse claim, (iii) it has full power and authority, and has taken all action necessary, to execute and deliver this Assignment and Assumption and to consummate the transactions contemplated hereby and (iv) it is [not] a Defaulting Lender; and (b) assumes no responsibility with respect to (i) any statements, warranties or representations made in or in connection with the Credit Agreement or any other Loan Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value of the Loan Documents, (iii) the financial condition of the Borrower, any of its Subsidiaries or Affiliates or any other Person obligated in respect of any Loan Document or (iv) the performance or observance by the Borrower, any of its Subsidiaries or Affiliates or any other Person of any of their respective obligations under any Loan Document. 

1.2.            Assignee.  [The][Each] Assignee (a) represents and warrants that: (i) it has full power and authority, and has taken all action necessary, to execute and deliver this Assignment and Assumption and to consummate the transactions contemplated hereby and to become a Lender under the Credit Agreement; (ii) it meets all the requirements to be an assignee under Section 10.04(b) of the Credit Agreement (subject to such consents, if any, as may be required under Section 10.04(b) of the Credit Agreement); (iii) from and after the Effective Date, it shall be bound by the provisions of the Credit Agreement as a Lender thereunder and, to the extent of [the][the relevant] Assigned Interest, shall have the obligations of a Lender thereunder; (iv) it is sophisticated with respect to decisions to acquire assets of the type represented by [the][such] Assigned Interest and either it, or the Person exercising discretion in making its decision to acquire [the][such] Assigned Interest, is experienced in acquiring assets of such type; (v) it has received a copy of the Credit Agreement, and has received or has been accorded the opportunity to receive copies of the most recent financial statements delivered pursuant to Section 5.01 thereof, as applicable, and such other documents and information as it deems appropriate to make its own credit analysis and decision to enter into this Assignment and Assumption and to purchase [the][such] Assigned Interest; and (vi) it has, independently and without reliance upon the Administrative Agent or any other Lender and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this Assignment and Assumption and to purchase [the][such] Assigned Interest; and (b) agrees that (i) it will, independently and without reliance upon the Administrative Agent, [the][any] Assignor or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Loan Documents; and (ii) it will perform in accordance with their terms all of the obligations which by the terms of the Loan Documents are required to be performed by it as a Lender.;

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2.                   Payments.  From and after the Effective Date, the Administrative Agent shall make all payments in respect of [the][each] Assigned Interest (including payments of principal, interest, fees and other amounts) to [the][the relevant] Assignor for amounts which have accrued to but excluding the Effective Date and to [the][the relevant] Assignee for amounts which have accrued from and after the Effective Date.  Notwithstanding the foregoing, the Administrative Agent shall make all payments of interest, fees or other amounts paid or payable in kind from and after the Effective Date to [the][the relevant] Assignee. 

3.                   General Provisions.  This Assignment and Assumption shall be binding upon, and inure to the benefit of, the parties hereto and their respective successors and assigns.  This Assignment and Assumption may be executed in any number of counterparts, which together shall constitute one instrument.  Acceptance and adoption of the terms of this Assignment and Assumption by Electronic Signatures or electronic records or delivery of an executed counterpart of a signature page of this Assignment and Assumption by email or any other electronic means that reproduces an image of the actual executed signature page shall be effective as delivery of a manually executed counterpart of this Assignment and Assumption to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.  This Assignment and Assumption shall be governed by, and construed in accordance with, the laws of the State of New York.

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EXHIBIT B

 

Form of Note 

 

	
This Promissory Note shall be executed in

Portuguese. The English version is only for

	
Esta Nota Promissória será assinada em

português. A versão em inglês é apenas para referência.

	EXHIBIT B - FORM OF NOTE	
ANEXO B - FORMA DA NOTA

PROMISSÓRIA

	(1)  PROMISSORY NOTE	NOTA PROMISSÓRIA
	Amount: [Lender’s Commitment to be included]	Valor: [Compromisso do Credor a ser incluído]
	
MATURITY DATE: PURSUANT TO ARTICLE 34 OF DECREE 57.663 OF 24 JANUARY 1966, THE HOLDER OF THIS PROMISSORY NOTE IS AUTHORIZED TO PRESENT IT AT ANY TIME WITHIN A PERIOD OF 03 YEARS FROM THE DATE OF THIS PROMISSORY NOTE.

	
DATA DE VENCIMENTO: DE ACORDO COM O ARTIGO 34 DO DECRETO 57.663, DE 24 DE JANEIRO DE 1966, O TITULAR DESTA NOTA PROMISSÓRIA ESTÁ AUTORIZADO A APRESENTÁ-LA A QUALQUER TEMPO DENTRO DO PRAZO DE 03 ANOS A PARTIR DA DATA DESTA NOTA PROMISSÓRIA.

	
PLACE OF PAYMENT: PURSUANT TO ARTICLE 54, PARAGRAPH 2nd OF DECREE 2,044, OF 31 DECEMBER 1908, THE PLACE OF PAYMENT OF THIS PROMISSORY NOTE SHALL BE THE CITY OF SÃO PAULO OR NEW YORK CITY, AT THE DISCRETION OF THE BENEFICIARY.

	
LOCAL DE PAGAMENTO: NOS TERMOS DO ARTIGO 54, PARÁGRAFO 2o DO DECRETO 2.044, DE 31 DE DEZEMBRO DE 1908, O LOCAL DE PAGAMENTO DA PRESENTE NOTA PROMISSÓRIA SERÁ A CIDADE DE SÃO PAULO OU NOVA YORK, A CRITÉRIO DO BENEFICIÁRIO.

	
By means of this Promissory Note (the “Promissory Note”), issued in connection with and pursuant to the terms of the RCF Agreement (as defined below), NATURA &CO LUXEMBOURG HOLDINGS S.À R.L., a private limited company (société à responsabilité limitée), with registered office at [8- 10, Avenue de la Gare, L-1610 Luxembourg, Grand Duchy of Luxembourg, registered with the Luxembourg Trade and Companies Register under number B 98931 (the “Issuer”), irrevocably and unconditionally promises to pay cash, in immediately available funds, in the lawful money of the Federative Republic of Brazil or in the lawful money of the United States of America, in São

	
Por meio desta Nota Promissória (a “Nota Promissória”), emitida em conexão e de acordo com os termos do Contrato RCF (conforme definido abaixo), a NATURA &CO LUXEMBOURG HOLDINGS S.À R.L., sociedade de responsabilidade limitada (société à responsabilité limitée), com sede na [8-10, Avenue de la Gare, L- 1610 Luxemburgo, Grão-Ducado de Luxemburgo, registrada no Registro de Comércio e Empresas de Luxemburgo sob o número B 98931 (a “Emitente”), promete irrevogável e incondicionalmente pagar em dinheiro, em fundos imediatamente disponíveis, no dinheiro legítimo da República Federativa do Brasil ou no dinheiro legítimo dos Estados Unidos da

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Paulo, Brazil, or in New York City, United States of America, respectively, as designated by the Beneficiary (as defined below), at its sole and absolute discretion, to [LENDER'S CORPORATE NAME], [please include corporate qualification] (the “Beneficiary”), in its capacity as Lender under the Revolving Credit and Guaranty Agreement entered into on October 28, 2021, as amended from time to time, between, among others, the Issuer, as borrower, the Guarantors (as defined below), certain financial institutions named thereto as Lenders, and Mizuho Bank Ltd., named thereto as Administrative Agent (the "RCF Agreement"), or to its order, in the account to be designated in writing by the Beneficiary, the amount of [each of Lender’s Commitment to be included], which shall bear the interest indicated below, free of any deductions of taxes of any kind, present or future, provided that if this Promissory Note is required to be paid in Brazil, such amount shall be converted into Brazilian currency at the Conversion Rate described below, on the date of presentation of this Promissory Note for payment.

	
América, em São Paulo, Brasil, ou na Cidade de Nova York, Estados Unidos da América, respectivamente, conforme designado pelo Beneficiário (conforme definido abaixo), a seu exclusivo e absoluto critério, ao [RAZÃO SOCIAL DO CREDOR], [por favor incluir a qualificação corporativa] (o "Beneficiário"), em sua qualidade de Credor nos termos do Revolving Credit and Guaranty Agreement celebrado em 28 de outubro de 2021, conforme aditado de tempos em tempos, entre a Emitente, como devedora, os Avalistas (conforme definido abaixo), determinadas instituições financeiras designadas como Credores, e Mizuho Bank Ltd., designado como Agente Administrativo (o "Contrato RCF"), ou à sua ordem, na conta a ser designada por escrito pelo Beneficiário, o valor de [Compromisso de cada Credor deve ser incluído], no qual incidirão os juros indicados abaixo, livre de quaisquer deduções de impostos de qualquer tipo, presentes ou futuros, de modo que, caso esta Nota Promissória seja paga no Brasil, tal valor deverá ser convertido em moeda brasileira à Taxa de Conversão descrita abaixo, na data de apresentação desta Nota Promissória para pagamento.

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NATURA COSMÉTICOS S.A., a company incorporated in Brazil with company registration number 71.673.990/0001-77 whose registered office is at Avenida Alexandre Colares, no 1.188, Parque Anhanguera, ZIP Code 05106-000, São Paulo, SP, Brazil ("Natura Cosméticos") and NATURA &CO HOLDING S.A. a company incorporated in Brazil with company registration number 32.785.497/0001-97 whose registered office is at Avenida Alexandre Colares, no 1.188, room A17, block A, Parque Anhanguera, ZIP Code 05106-000, São Paulo, SP, Brazil (the “Parent” and together with Natura Cosméticos, the “Guarantors”) hereby unconditionally, absolutely and irrevocably guarantees, por aval, on joint and a several basis, as provided in Article 897 and subsequent articles of the Brazilian Civil Code, and in Article 30 and subsequent articles of the Uniform Law for Bills of Exchange and Promissory Notes, approved by Decree 57.663 of 24 January 1966, as amended, (the "Aval"), the full and punctual payment of and all of the obligations of the Borrower under the RCF Agreement and under the other Loan Documents when due (whether at stated maturity, upon acceleration or otherwise), represented hereby this Promissory Note (collectively, the “Guaranteed Obligations”).

	
NATURA COSMÉTICOS S.A., empresa constituída no Brasil, inscrita no CNPJ sob o número 71.673.990/0001-77, com sede na Avenida Alexandre Colares, n° 1.188, Parque Anhanguera, CEP 05106-000, São Paulo, SP, Brasil, ("Natura Cosméticos") e NATURA &CO HOLDING S.A., empresa constituída no Brasil, inscrita no CNPJ sob o número 32.785.497/0001-97, com sede na Avenida Alexandre Colares, n° 1.188, Sala A17, Bloco A, Parque Anhanguera, CEP 05106-000, São Paulo, SP, Brasil (a “Controladora” e, em conjunto com Natura Cosméticos, os "Avalistas”) por meio desta, garante, incondicionalmente, absolutamente e irrevogavelmente, por aval, de forma solidária entre si, nos termos do Artigo 897 e seguintes do Código Civil Brasileiro, e do Artigo 30 e seguintes da Lei Uniforme sobre Letras de Câmbio e Notas Promissórias, aprovada pelo Decreto 57.663 de 24 de janeiro de 1966, conforme alterada, (o "Aval"), o pagamento total e pontual de todas as obrigações da Emitente, nos termos do Contrato RCF e dos outros Documentos do Empréstimo, quando devido (seja no vencimento declarado, mediante aceleração ou de outra forma), representado por esta Nota Promissória (em conjunto, as “Obrigações Garantidas”).

	
Payment by any Guarantor with respect to this Promissory Note shall be subrogated to the rights of the payee against the Issuer with respect to such payment; provided, however, that no Guarantor shall enforce its rights against the Issuer to any repayment by way of subrogation or by exercising its rights of contribution, indemnification, exoneration, participation or reimbursement or the right to participate in any security now or hereafter held by or for the benefit of any Lender Party until the Guaranteed Obligations have been paid in full and the Commitments have been terminated.

	
O pagamento por qualquer Avalista com relação a esta Nota Promissória será sub-rogado nos direitos do beneficiário contra a Emitente com relação a tal pagamento; desde que, no entanto, nenhum Avalista faça cumprir seus direitos, contra a Emitente, de qualquer quitação por meio de sub-rogação ou exercendo seus direitos de contribuição, indenização, exoneração, participação ou reembolso, ou o direito de participar de qualquer título agora ou no futuro detido por ou para o benefício de qualquer Parte Credora até que as Obrigações Garantidas tenham sido pagas integralmente e os Compromissos tenham sido rescindidos.

	
As provided in the RCF Agreement, the Beneficiary is only allowed to make a demand under this Promissory Note upon the acceleration of the loans. The Beneficiary is automatically entitled, regardless of any notification or any other additional procedures whatsoever, upon simple presentation of this instrument with a statement setting out the amount due and payable under the RCF Agreement, to demand of the Issuer the full and immediate payment of this Promissory Note. 

	
Conforme previsto no Contrato RCF, o Beneficiário somente poderá fazer a cobrança desta Nota Promissória quando da aceleração dos empréstimos. O Beneficiário tem automaticamente, independentemente de qualquer notificação ou quaisquer outros procedimentos adicionais de qualquer natureza, mediante a simples apresentação deste instrumento com uma declaração estabelecendo o valor devido e a ser quitado nos termos do Contrato RCF, o direito de exigir da Emitente o pagamento total e imediato desta Nota promissória.

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(a) This Promissory Note shall bear interest on the outstanding principal amount thereof, for each day during each Interest Period applicable thereto, at a rate per annum equal to the sum of the LIBO Rate plus the Applicable Margin applicable to such Interest Period.  Such interest shall be payable in arrears on each Interest Payment Date and the Maturity Date; provided that (1) interest accrued pursuant to item (b) of this paragraph shall be payable on demand and (2) in the event of any repayment or prepayment of the Loans, accrued interest on the principal amount repaid or prepaid shall be payable on the date of such repayment or prepayment; (b) Notwithstanding the foregoing, any overdue amounts under the Loan Documents shall bear interest, after as well as before judgment, at a rate per annum equal to 1.0% plus the rate otherwise applicable to the Loans as provided in item (a) above (whether or not any Loans are then outstanding) to the fullest extent permitted by applicable laws; (c) All interest hereunder will be computed on the basis of a year of three hundred sixty (360) days, except that interest computed by reference to the Base Rate at times when the Base Rate is based on the Prime Rate shall be computed on the basis of a year of three hundred sixty-five (365) days (or three hundred sixty-six (366) days in a leap year), and, in each case, will be payable for the actual number of days elapsed (including the first day but excluding the last day); (d) The Administrative Agent shall determine, in accordance with the terms of the RCF Agreement, each interest rate applicable to the Loans thereunder. The Administrative Agent shall promptly notify the Borrower and the Lenders, of each rate of interest so determined, and its determination thereof shall, absent manifest error, be conclusive; (e) On each Interest Determination Date, the Administrative Agent shall determine the LIBO Rate applicable to the Loans at the commencement of the next succeeding Interest Period for such Borrowing and shall promptly notify the Borrower and the Lenders thereof.

	
(a) Esta Nota Promissória terá a incidência de juros sobre o valor do principal em aberto, para cada dia durante cada Período de Juros aplicável, a uma taxa por ano igual à soma da Taxa LIBO mais a Margem Aplicável aplicável para tal Período de Juros. Tais juros deverão ser pagos em cada Data de Pagamento de Juros e na Data de Vencimento; desde que (1) os juros acumulados de acordo com o item (b) deste parágrafo sejam pagáveis à vista e (2) no caso de qualquer quitação ou pagamento antecipado dos Empréstimos, os juros acumulados sobre o valor principal quitado ou pago antecipado sejam pagáveis na data de tal quitação ou pré-pagamento; (b) Não obstante o acima exposto, sobre quaisquer valores em atraso nos termos dos Documentos de Empréstimo deverão incidir juros, tanto depois como antes de um julgamento, a uma taxa anual igual a 1,0% (um por cento) mais a taxa de outra forma aplicável aos Empréstimos, conforme previsto no item (a) acima (estejam ou não quaisquer Empréstimos em aberto) em toda a extensão permitida pelas leis aplicáveis; (c) Todos os juros a seguir serão calculados com base em um ano de 360 (trezentos e sessenta) dias, exceto os juros calculados por referência à Taxa Base nos momentos em que a Taxa Base for baseada na Taxa Principal, que deverão ser calculados com base em um ano de 365 (trezentos e sessenta e cinco) dias (ou 366 (trezentos e sessenta e seis) dias em um ano bissexto), e, em cada caso, será pago pelo número real de dias decorridos (incluindo o primeiro dia, mas excluindo o último dia); (d) O Agente Administrativo deverá determinar, de acordo com os termos do Contrato RCF, cada taxa de juros aplicável aos Empréstimos nele previstos. O Agente Administrativo deverá notificar prontamente a Emitente e os Credores de cada taxa de juros assim determinada, e sua determinação, na ausência de erro manifesto, deverá ser conclusiva; (e) Em cada Data de Determinação de Juros, o Agente Administrativo deverá determinar a Taxa LIBO aplicável aos Empréstimos no início do próximo Período de Juros subsequente para tal Empréstimo e deverá notificar imediatamente a Emitente e os Credores.

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This Promissory Note is an extrajudicial execution document in accordance with the provisions of Article 784 of the Brazilian Code of Civil Procedure and the Beneficiary shall have the right, exercisable at its sole discretion to commence summary legal proceedings against the Issuer and Guarantors in Brazil.

	
Esta Nota Promissória é um documento de execução extrajudicial de acordo com as disposições do Artigo 784 do Código de Processo Civil Brasileiro e o Beneficiário terá o direito, exercível a seu exclusivo critério, de iniciar processos judiciais sumários contra a Emitente e os Avalistas no Brasil.

	
This Promissory Note may only be assigned, endorsed, or transferred to the Beneficiary’s successor under and pursuant to the terms of the RCF Agreement. Any other form of assignment, endorsement, or transfer shall be considered null and void.

	
Esta Nota Promissória só pode ser cedida, endossada ou transferida para o sucessor do Beneficiário de acordo com os termos do Contrato RCF. Qualquer outra forma de cessão, endosso ou transferência deve ser considerada nula e inválida.

	
The obligations of the Issuer and Guarantors hereunder shall be binding upon their successors and inure to the benefit of the Beneficiary and its successors at any time. 

	
As obrigações da Emitente e dos Avalistas nos termos deste documento vincularão seus sucessores e vigorarão em benefício do Beneficiário e seus sucessores a qualquer momento.

	
For the purposes of this Promissory Note, “Conversion Rate” means the exchange rate of United State Dollars in Brazil, pursuant to the index PTAX, as disclosed on the website of the Central Bank of Brazil, on the immediately preceding business day of the date of the presentation of this Promissory Note for payment. If such rate for any reason is not published on such date, the Conversion Rate shall be the exchange rate of United State Dollars (USD) to Brazilian Real (BRL) which is displayed on the public website of Thomson Reuters available at the following link (https://www.reuters.com/markets/currencies) or another appropriate online page on which Thomson Reuters may publish that rate from time to time on the date of presentation of this Promissory Note for payment. 

	
Para os fins desta Nota Promissória, “Taxa de Conversão” significa a taxa de câmbio de dólares dos Estados Unidos no Brasil, de acordo com a taxa PTAX, conforme divulgado no site do Banco Central do Brasil, no dia útil imediatamente anterior à data de apresentação desta Nota Promissória para pagamento. Se tal taxa, por qualquer motivo, não for publicada em tal data, a Taxa de Conversão será a taxa de câmbio de Dólares dos Estados Unidos (USD) para Real Brasileiro (BRL) que é exibida no site público da Thomson Reuters disponível no seguinte link (https://www.reuters.com/markets/currencies) ou outra página online apropriada na qual a Thomson Reuters pode publicar essa taxa de tempos em tempos na data de apresentação desta Nota Promissória para pagamento.

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The Issuer and Guarantors waives all protest, demand and/or notice requirements in any way with respect to this Promissory Note. 

	
A Emitente e os Avalistas renunciam a todos os requisitos de protesto, intimação e/ou aviso de qualquer forma com relação a esta Nota Promissória.

	
This Promissory Note is issued in [the City of São Paulo, State of São Paulo] / or [London, England], and will be governed by the laws of the Federative Republic of Brazil. Any suit, action, or proceeding arising out of or based upon the Promissory Note may be instituted in any court in the city of São Paulo, State of São Paulo, Brazil, including for the purposes of the second and third paragraphs of Article 784 of the Brazilian Law No. 13.105 of March 16, 2015, as amended (Brazilian Civil Procedure Code).

	
Esta Nota Promissória é emitida na [Cidade de São Paulo, Estado de São Paulo] / ou [Londres, Inglaterra], e será regida pelas leis da República Federativa do Brasil. Qualquer processo, ação ou procedimento decorrente ou baseado na Nota Promissória poderá ser instaurado em qualquer tribunal na cidade de São Paulo, Estado de São Paulo, Brasil, inclusive para os fins dos §§ 2o e 3o do artigo 784 da Lei no 13.105 de 16 de março de 2015, conforme alterada (Código de Processo Civil Brasileiro).

	
This Promissory Note is executed and issued on _____________________, 2021, in the city of [São Paulo, State of São Paulo, Brazil] / or [London, England].

	
Esta Nota Promissória é assinada e emitida em _____________________, 2021, na cidade de [São Paulo, Estado de São Paulo, Brasil] / [Londres, Inglaterra].

	
Capitalized terms used in this Promissory Note and not defined herein have the meaning assigned to them in the RCF Agreement. 

	
Os termos com letras maiúsculas usados nesta Nota Promissória e nela não definidos têm o significado que lhes é atribuído no Contrato RCF.

 
[São Paulo/ London], _____________________, 2021. 

	NATURA &CO LUXEMBOURG HOLDINGS S.À R.L.

	como emitente da Nota Promissória/ as issuer of the Promissory Note

	
	
	
	
	

	
	Nome/ Name:	
	Nome/ Name:	

	
	Cargo/ Title:	
	Cargo/ Title:	

	NATURA COSMÉTICOS S.A.
	como avalista da Nota Promissória/ as guarantor (avalista) of the Promissory Note

	
	
	
	
	

	
	Nome/ Name:	
	Nome/ Name:	

	
	Cargo/ Title:	
	Cargo/ Title:	

     

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	NATURA &CO HOLDING S.A.
	como avalista da Nota Promissória/ as guarantor (avalista) of the Promissory Note

	
	
	
	
	

	
	Nome/ Name:	
	Nome/ Name:	

	
	Cargo/ Title:	
	Cargo/ Title:	

                

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EXHIBIT C 

Form of Borrowing Request 

 

	To: Mizuho Bank, Ltd., as Administrative Agent        	 [Insert Date]13

Attention: Hikaru Morita 

Email: Hikaru.Morita@mizuhogroup.com 

 

Attention: Joshua Adler 

Email: Joshua.Adler@mizuhogroup.com 

 

Ladies and Gentlemen: 

 

The undersigned, Natura &Co Luxembourg Holdings S.à r.l., a  private limited company (société à responsabilité limitée) organized under the laws of the Grand Duchy of Luxembourg (the “Borrower”), refers to the Revolving Credit and Guaranty Agreement, dated as of October 28, 2021 (as modified, amended or supplemented from time to time, the “Agreement”), by and among the Borrower, Natura Cosméticos S.A. and Natura &Co Holding S.A. as Guarantors, the Lenders from time to time party thereto and Mizuho Bank, Ltd., as Administrative Agent, and hereby gives you notice, irrevocably, pursuant to Section 2.03 of the Agreement, that the undersigned hereby requests a Borrowing under the Agreement, and in that connection sets forth below the information relating to such Borrowing (the “Proposed Borrowing”) as required by Section 2.03 of the Agreement: 

(i)                 The aggregate principal amount of the Proposed Borrowing is $[●]; 

 

(ii)               The date of the Proposed Borrowing is [●], 20[●], which is a Business Day; 

 

(iii)             The Interest Period commencing on the date of the Proposed Borrowing, applicable to all Loans comprising such Borrowing, shall be a [one/three/six month] Interest Period; and 

 

(iv)             Pursuant to Section 2.04(a) of the Agreement, the account to which the Proposed Borrowing shall be disbursed is: 

              

Beneficiary: [●]

Account Number: [●]

ABA Number: [●]

	
	

	13	Note to Exhibit: To be dated no later than the third Business Day before the date of the Proposed Borrowing. 

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The undersigned hereby certifies to the Administrative Agent and the Lenders that as of the date hereof and as of the date of the making of the Proposed Borrowing and after giving effect thereto: 

 

 

(a)   The representations and warranties of the Loan Parties set forth in the Agreement are true and correct in all material respects, except (i) for such representations and warranties which by their term are made as of a specified date, which are true and correct in all material respects as of such specified date (other than any representations and warranties that are already qualified by materiality, in which case they are true and correct in all respects) and (ii) that the representations and warranties contained in Sections 3.04(a) and (b) are deemed to refer to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of Section 5.01. 

 

(b)   No Default or Event of Default shall have occurred and be continuing or would result from such Proposed Borrowing. 

 

Capitalized terms not otherwise defined herein have the meanings ascribed to them in the Agreement. 

Very truly yours, 

NATURA &CO LUXEMBOURG HOLDINGS S.À R.L.,  

as Borrower 

	By: 	
	

	Name:	
	

	Title:	
	

               

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EXHIBIT D 

Form of Amendment 

AMENDMENT NO. 1 TO REVOLVING CREDIT AND GUARANTY AGREEMENT 

Amendment No. 1 to the Revolving Credit and Guaranty Agreement, dated as of [●], 2021 (this “Amendment”), is made by and among:

(2)NATURA &CO LUXEMBOURG HOLDINGS S.À R.L., a private limited company (société à responsabilité limitée), with registered office at 8-10, Avenue de la Gare, L-1610 Luxembourg, Grand Duchy of Luxembourg, registered with the Luxembourg Trade and Companies Register under number B 98931 (the “Borrower”);

(3)NATURA COSMÉTICOS S.A. (“Natura Cosméticos”) and NATURA &CO HOLDING S.A. (the “Parent”), each a company organized and incorporated under the laws of Brazil (each a “Guarantor” and collectively the “Guarantors”);

(4)EACH OF THE LENDERS PARTY HERETO (the “Lenders” and each, a 

“Lender”);

(5)MIZUHO BANK, LTD., as administrative agent, for and on behalf of the Lenders (in such capacity, together with its successors and assigns in such capacity, the “Administrative Agent”); and

(6)BANK OF AMERICA, N.A., LONDON BRANCH, CITIBANK, N.A., HSBC SECURITIES (USA) INC., ITAU BBA INTERNATIONAL PLC, J.P.  MORGAN  SECURITIES  LLC  and  MIZUHO BANK, LTD. as 

sustainability structuring agents

RECITALS: 

WHEREAS, reference is made to that certain Revolving Credit and Guaranty Agreement, dated as of October 28, 2021, by and among the Borrower, the Guarantors, the Administrative Agent and the Lenders (the “Agreement”); and 

WHEREAS, in accordance with Section 2.22 of the Agreement, the parties hereto desire to amend the Agreement in accordance with the terms and conditions of this Amendment. 

NOW, THEREFORE, in consideration of the mutual covenants set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the undersigned agree as follows: 

SECTION 1. Defined Terms; References. Unless otherwise specifically defined herein, each term used herein that is defined in the Agreement has the meaning assigned to such term in the Agreement. Each reference to “hereof”, “hereunder”, “herein” and “hereby” and each other similar reference and each reference to “this Agreement” and each other similar reference contained in the Agreement shall, after this Amendment becomes effective, refer to the Agreement as amended hereby.

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SECTION 2.  Amendments. 

(a)               With effect from the date hereof, the Agreement shall be amended as follows: 

 (i) The following new definitions shall be inserted into Section 1.01 of the Agreement in the appropriate alphabetical order: 

““2028 Notes” means the $1,000,000,000 4.125% Sustainability-Linked Notes due 2028 issued by Natura Cosméticos.” 

““Determination Date” has the meaning assigned to such term in Section 2.22(a).” 

““External Verifier” means the qualified provider of third-party assurance or attestation services appointed by Natura Cosméticos from time to time in connection with the 2028 Notes, to review each KPI Metrics Report.” 

““Greenhouse Gas Emissions Intensity” means tCO2e divided by tonnes of product billed.” 

““KPI Metric I” means, with respect to any applicable Fiscal Year, Greenhouse Gas Emissions Intensity of Natura Cosméticos, as reported in the applicable KPI Metrics Report.” 

 ““KPI Metric II” means, with respect to any applicable Fiscal Year, PostConsumer Recycled Packaging Usage of Natura Cosméticos, as reported in the applicable KPI Metrics Report.” 

““KPI Metric I Applicable Margin Adjustment Amount” means, with respect to any Fiscal Year, (a) positive two and a half (2.5) basis points if the KPI Metric I for such Fiscal Year as set forth in the applicable KPI Metrics Report is less than the KPI Metric I Threshold for such Fiscal Year, (b) zero (0) basis points if the KPI Metric I for such Fiscal Year as set forth in the applicable KPI Metrics Report is more than or equal to the KPI Metric I Threshold for such Fiscal Year but less than the KPI Metric I Target for such Fiscal Year and (c) negative two and a half (2.5) basis points, if the KPI Metric I for such Fiscal Year as set forth in the applicable KPI Metrics Report is more than or equal to the KPI Metric I Target for such Fiscal Year.”  

““KPI Metric II Applicable Margin Adjustment Amount” means, with respect to any Fiscal Year, (a) positive two and a half (2.5) basis points if the KPI Metric II for such Fiscal Year as set forth in the applicable KPI Metrics Report is less than the KPI Metric II Threshold for such Fiscal Year, (b) zero (0) basis points if the KPI Metric II for such Fiscal Year as set forth in the applicable KPI Metrics Report is more than or equal to the KPI Metric II Threshold for such Fiscal Year but less than the KPI Metric II Target for such Fiscal Year and (c) negative two and a half (2.5) basis points, if the KPI Metric II for such Fiscal Year as set forth in the applicable KPI Metrics Report is more than or equal to the KPI Metric II Target for such Fiscal Year.”

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““KPI Metrics” means, collectively, KPI Metric I and KPI Metric II.” 

““KPI Metrics Report” means an annual report that sets forth the calculations for each KPI Metric for a specific Fiscal Year that has been duly confirmed by the External Verifier.” 

““KPI Metric I Target” means, with respect to any Fiscal Year, the KPI Metric I Target for such Fiscal Year as set forth in the Sustainability Table.” 

““KPI Metric I Threshold” means, with respect to any Fiscal Year, the KPI Metric I Threshold for such Fiscal Year as set forth in the Sustainability Table.” 

““KPI Metric II Target” means, with respect to any Fiscal Year, the KPI Metric II Target for such Fiscal Year as set forth in the Sustainability Table.” 

““KPI Metric II Threshold” means, with respect to any Fiscal Year, the KPI Metric II Threshold for such Fiscal Year as set forth in the Sustainability Table.” 

““Post-Consumer Recycled Packaging Usage” means the proportion of absolute post-consumer recycled plastic used in finished product plastic packaging in relation to total absolute amount of plastic packaging materials, across the product portfolio of Natura Cosméticos. 

““Pricing Certificate” means a certificate substantially in the form of Exhibit E executed by a Responsible Officer of Natura Cosméticos and attaching a true and correct copy of the KPI Metrics Report (duly confirmed by the External Verifier) for the most recently ended Fiscal Year, certifying that the KPI Metrics Report has been duly confirmed by the External Verifier, and setting forth the Sustainability Applicable Margin Adjustment for the period covered thereby and computations in reasonable detail in respect thereof.” 

““Pricing Certificate Inaccuracy” has the meaning assigned to such term in Section 2.22(e).” 

““Sustainability Applicable Margin Adjustment” means an amount (whether positive, negative or zero) determined in accordance with the KPI Metrics Report then most recently delivered pursuant to Section 5.01(i), and with reference to the Sustainability Table, expressed in basis points, equal to the sum of (a) the KPI Metric I Applicable Margin Adjustment Amount, plus (b) the KPI Metric II Applicable Margin Adjustment Amount; provided that the Sustainability Applicable Margin Adjustment shall in any case be no less than negative five (5) basis points in the aggregate and no greater than positive five (5) basis points in the aggregate.”

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““Sustainability Pricing Adjustment Period” has the meaning assigned to such term in Section 2.22(b). 

““Sustainability Review Event” means the occurrence of any of the following: 

(a)                Natura Cosméticos determines that any KPI Metric is no longer an appropriate sustainability performance target. In making such a determination, Natura Cosméticos must act reasonably, have regard to its business lines and the then current market standards and best industry practice for sustainability objectives in Brazil and provide evidence that the relevant KPI Metric is considered no longer relevant for the purpose of defining and steering the sustainability strategy of Natura Cosméticos;  

(b)               Natura Cosméticos determines that either of the KPI Metrics can no longer be measured or reported. In making such a determination, Natura Cosméticos must act reasonably, have regard to its business lines and the then current market standards and best industry practice for sustainability objectives in Brazil and provide evidence that the relevant KPI Metric(s) can no longer be measured or reported;  

(c)                Natura Cosméticos determines the methodology for calculating, assuring or reporting of the performance of any KPI Metric materially changes or the ability to report a KPI Metric is impaired by external causes.  In forming such determination, Natura Cosméticos must act reasonably and provide evidence that methodology or ability to report against the relevant KPI Metric has been altered; or 

(d)               Natura Cosméticos determines a severe weather event causing significant property damage to any property of Natura Cosméticos has occurred and such event or damage impacts its performance of a KPI Metric. In forming such determination, Natura Cosméticos must act reasonably and provide evidence of the event.” 

““Sustainability Review Event Consultation Period” has the meaning assigned to such term in Section 2.23(a). 

““Sustainability Structuring Agents” means each of Bank of America, N.A., London Branch, Citibank, N.A., HSBC Securities (USA) Inc., Itau BBA International plc, J.P. Morgan Securities LLC and Mizuho Bank, Ltd.” 

““Sustainability Table” means the Sustainability Table set forth in Exhibit F.” 

““tCO2e” means the sum of Scope 1 emissions (from direct operations), Scope 2 emissions (from acquisition of energy) and Scope 3 emissions (from all other upstream and downstream activities, excluding use phase), during a given period, measured in metric tonnes of carbon dioxide equivalent, according to GHG Protocol standards and the principles of Brazil’s ABNT NBR ISO 14064-1 standard.”

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““tonnes of product billed” means the sum in tonnes of products sold by Natura Cosméticos on a consolidated basis, excluding packaging.” 

(ii)               The definition of “Applicable Margin” in Section 1.01 shall be amended by including the following language immediately prior to the proviso at the end of such definition as follows: 

“It is understood and agreed that the Applicable Margin with respect to LIBO Rate Loans and Base Rate Loans shall be adjusted from time to time based upon the Sustainability Applicable Margin Adjustment (to be calculated and applied as set forth in Section 2.22);” 

(iii)            The definition of “Lender Parties” in Section 1.01 shall be amended so that it reads as follows: 

 ““Lender Parties” means the Lenders, the Administrative Agent and the Sustainability Agents.” 

(iv)             A new Exhibit E (Pricing Certificate) shall be inserted into the Agreement in the form of Schedule 1 to this Amendment. 

(v)               A new Exhibit F (Sustainability Table) shall be inserted into the Agreement in the form of Schedule 2 to this Amendment. 

(vi)             The final paragraph of Section 2.09(b) shall be amended so that it reads as follows: 

“in each case, giving effect to any adjustments (x) based on the applicable Sustainability Applicable Margin Adjustment pursuant to Section 2.22, and (ii) as provided in Section 2.17(b).” 

(vii)           Section 2.10(e) shall be amended and restated in its entirety so that it reads as follows: 

 “On each Interest Determination Date, the Administrative Agent shall determine the LIBO Rate applicable to the Loans at the commencement of the next succeeding Interest Period for such Borrowing (giving effect to any adjustments based on the applicable Sustainability Applicable Margin Adjustment pursuant to Section 2.21) and shall promptly notify the Borrower and the Lenders thereof.” 

(viii)        Section 2.22 of the Agreement shall be amended and restated in its entirety so that it reads as follows: 

“Section 2.22 Sustainability Adjustments. 

(a)                Following the date on which Natura Cosméticos provides a Pricing Certificate to the Administrative Agent pursuant to Section 5.01(i) in respect of the most recently ended Fiscal Year (the date of receipt by the Administrative Agent of each such Pricing Certificate, a “Determination Date”), the Applicable Margin shall be increased or decreased (or neither increased nor decreased), as applicable, pursuant to the Sustainability Applicable Margin Adjustment, as set forth in such Pricing Certificate, on the terms and conditions set forth in this Section 2.22. 

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(b)               The Sustainability Applicable Margin Adjustment shall be included in each Pricing Certificate delivered pursuant to Section 5.01(i) and determined by Natura Cosméticos based upon the KPI Metrics set forth in such Pricing Certificate and such determination shall not be conclusive or binding on the Lenders, which shall have the right, but not the obligation, to inform the Administrative Agent of any Pricing Certificate Inaccuracy in accordance with Section 2.22(e) below.  Each Sustainability Applicable Margin Adjustment resulting from a Pricing Certificate shall be effective with respect to (i) the calculation of interest pursuant to Section 2.10, for each period of twelve calendar months commencing on the first day of the Interest Period immediately succeeding (x) in the case of the first Sustainability Pricing Adjustment Period, the first Determination Date and (y) in the case of each subsequent Sustainability Pricing Adjustment Period, the last day of the immediately previous Sustainability Pricing Adjustment Period (it being understood and agreed that the Sustainability Applicable Margin Adjustment in respect of interest for such period will be based on the Pricing Certificate delivered on the most recent Determination Date) and (ii) the calculation of the commitment fee pursuant to Section 2.09, for each period of twelve calendar months commencing on the first day of the Fiscal Quarter immediately succeeding (x) in the case of the first Sustainability Pricing Adjustment Period, the first Determination Date and (y) in the case of each subsequent Sustainability Pricing Adjustment Period, the last day of the immediately previous Sustainability Pricing Adjustment Period (it being understood and agreed that the Sustainability Applicable Margin Adjustment in respect of the commitment fee for such period will be based on the Pricing Certificate delivered on the most recent Determination Date) (each such period, a “Sustainability Pricing Adjustment Period”). 

(c)                The Applicable Margin shall not be reduced or increased by more than five (5) basis points pursuant to the Sustainability Applicable Margin Adjustment during any Sustainability Pricing Adjustment Period. Any adjustment to the Applicable Margin by reason of meeting one or both KPI Metrics for any Sustainability Pricing Adjustment Period shall not be cumulative for each successive Sustainability Pricing Adjustment Period and shall apply only in respect of each applicable Sustainability Pricing Adjustment Period.  

(d)               If no such Pricing Certificate is delivered by Natura Cosméticos by the time required pursuant to Section 5.01(i), with respect to the period commencing on the day immediately following the last day of the Sustainability Pricing Adjustment Period in effect at the time in which such Pricing Certificate was required to be delivered and continuing until Natura Cosméticos delivers a Pricing Certificate to the Administrative Agent pursuant to Section 5.01(i), the Sustainability Applicable Margin Adjustment will be positive five (5) basis points.  Any adjustment to the Applicable Margin by reason of the failure by Natura Cosméticos to deliver a Pricing Certificate shall not be cumulative and shall apply only in respect of the period during which Natura Cosméticos fails to deliver such Pricing Certificate.

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(e)                In the event that (A) any Loan Party or any Lender becomes aware of any material inaccuracy in the Sustainability Applicable Margin Adjustment or the KPI Metrics as reported in a Pricing Certificate (any such material inaccuracy, a “Pricing Certificate Inaccuracy”) and, in each case, such Loan Party or Lender, as the case may be, delivers, not later than ten (10) Business Days after obtaining knowledge thereof, a written notice to the Administrative Agent describing such Pricing Certificate Inaccuracy in reasonable detail (which description shall be promptly shared with each other Lender and other Loan Party, as applicable), or (B) any Loan Party and the Lenders agree and notify the Administrative Agent that there was a Pricing Certificate Inaccuracy at the time of delivery of a Pricing Certificate then in the case of (A) or (B), Natura Cosméticos shall adjust and deliver the adjusted Pricing Certificate to the Administrative Agent (such adjustment to include corrections to the calculations of the Sustainability Applicable Margin Adjustment or the KPI Metrics, as applicable in reasonable detail) and: 

(i)                 if a correct calculation of the Sustainability Applicable Margin Adjustment or the KPI Metrics would have resulted in an increase in the Applicable Margin for any applicable period and an increase in the amount of interest and in the commitment fee payable by the Borrower for such applicable period, then commencing on the Business Day following receipt by the Administrative Agent of the adjusted Pricing Certificate, the Applicable Margin shall be adjusted to reflect the correct calculations of the Sustainability Applicable Margin Adjustment or the KPI Metrics, as applicable, and (B) the Borrower shall be obligated to pay to the Administrative Agent for the account of the Lenders, within fifteen (15) days after Natura Cosméticos has delivered the adjusted Pricing Certificate to Administrative Agent in accordance with this Section 2.22(e), an amount equal to the excess of (1) the amount of interest and/or commitment fee, as applicable, that should have been paid for such period over (2) the amount of interest and/or commitment fee actually paid for such period; or  

(ii)               if a correct calculation of the Sustainability Applicable Margin Adjustment or the KPI Metrics would have resulted in a decrease in the Applicable Margin for any applicable period and a decrease in the amount of interest and in the commitment fee payable by the Borrower for such applicable period, then, commencing on the Business Day following receipt by the Administrative Agent of the adjusted Pricing Certificate, the Applicable Margin shall be adjusted to reflect the correct calculations of the Sustainability Applicable Margin Adjustment or the KPI Metrics, as applicable.  

(f)                Any Pricing Certificate Inaccuracy with respect to any applicable period shall not constitute a Default or Event of Default unless the Borrower actually fails to make the payment pursuant to and in accordance with Section 2.21(e)(i).” (ix) A new Section 2.23 shall be inserted into the Agreement as follows:

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“Section 2.23. Sustainability Review Events.   

(a)                If a Sustainability Review Event occurs, each of the applicable Loan Parties and each of the Lenders will consult for a period of up to thirty (30) Business Days (a “Sustainability Review Event Consultation Period”) to determine if adjustments are to be made to either of the KPI Metrics or to the Sustainability Table. 

(b)               The parties agree that no increases or decreases to the Applicable Margin pursuant to any Sustainability Applicable Margin Adjustment shall apply during a Sustainability Review Event Consultation Period. 

(c)                If the necessary adjustments cannot be agreed between the Loan Parties and the Lenders by the end of the Sustainability Review Event Consultation Period, either the Loan Parties or the Lenders may, by written notice to the other parties to this Agreement, within thirty (30) Business Days after the end of the Sustainability Review Event Consultation Period, declare that no such adjustments shall be made in which case the Sustainability Review Event Consultation Period shall automatically terminate and the existing KPI Metrics shall continue to apply to this Agreement as set forth in Section 2.22(a) through (f). 

(d)               For the avoidance of doubt, the occurrence of a Sustainability Review Event is not a Default. 

(x)               Section 5.01 shall be amended by including a new paragraph (i) as follows: 

 “(i) no later than [●] of each Fiscal Year (commencing on [  ] 20[●]), a Pricing Certificate delivered by Natura Cosméticos for the most recently-ended Fiscal Year, and attaching a copy of the KPI Metrics Report for the most recently ended Fiscal Year duly confirmed by the External Verifier; provided that Natura Cosméticos may elect not to deliver a Pricing Certificate, and such election shall not constitute a Default or Event of Default; provided further that such failure to so deliver a Pricing Certificate shall result in the Sustainability Applicable Margin Adjustment being applied as set forth in Section 2.22(d).”  

(xi)             Section 8.08 shall be amended and restated in its entirety as follows: 

“Section 8.08.  No Other Duties.  Anything herein to the contrary notwithstanding, the Joint Bookrunners or Sustainability Structuring Agents shall not have any powers, duties or responsibilities under this Agreement or any of the other Loan Documents, except in their capacity, as applicable, as the Administrative Agent or a 

Lender hereunder.”

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(xii)           Section 10.20 shall be amended and restated in its entirety as follows: 

“Section 10.20.  No Advisory or Fiduciary Responsibility. In connection with all aspects of each transaction contemplated hereby (including in connection with any amendment, waiver or other modification hereof or of any other Loan Document), each Loan Party acknowledges and agrees that: (a) (i) no fiduciary, advisory or agency relationship among the Loan Parties and their respective Subsidiaries and any Joint Bookrunner, the Arranger, the Administrative Agent, any Sustainability Structuring Agent or any Lender is intended to be or has been created in respect of the transactions contemplated hereby or by the other Loan Documents, irrespective of whether any Joint Bookrunner, the Arranger, the Administrative Agent, any Sustainability Structuring Agent or any Lender has advised or is advising any Loan Party or any Subsidiary thereof on other matters, (ii) the arranging and other services regarding this Agreement provided by the Administrative Agent, the Joint Bookrunners, the Arranger, the Sustainability Structuring Agents and the Lenders are arm’s-length commercial transactions between each Loan Party and its Affiliates, on the one hand, and the Administrative Agent, the Joint Bookrunners, the Arranger, the Sustainability Structuring Agents and the Lenders, on the other hand, (ii) each Loan Party has consulted its own legal, accounting, regulatory and tax advisors to the extent it has deemed appropriate, and (iii) each Loan Party is capable of evaluating, and understands and accepts, the terms, risks and conditions of the transactions contemplated hereby and by the other Loan Documents; (b) (i) each of the Administrative Agent, each Joint Bookrunner, the Arranger, each Sustainability Structuring Agent and each Lender is and has been acting solely as a principal and, except as expressly agreed in writing by the relevant parties, has not been, is not, and will not be acting as an advisor, agent or fiduciary for any Loan Party or any of its Affiliates, or any other Person and (ii) none of the Administrative Agent, any Joint Bookrunner, the Arranger, any Sustainability Structuring Agent or any Lender has any obligation to any Loan Party or any of its Affiliates with respect to the transactions contemplated hereby except those obligations expressly set forth herein and in the other Loan Documents; and (c) the Administrative Agent, the Joint Bookrunners, the Arranger, the Sustainability Structuring Agents and the Lenders and their respective branches and Affiliates may be engaged, for their own accounts or the accounts of customers, in a broad range of transactions that involve interests that differ from those of the Loan Parties and their Affiliates, and none of the Administrative Agent, any Joint Bookrunner, the Arranger, any Sustainability Structuring Agent or any Lender has any obligation to disclose any of such interests to the Loan Parties or any of their Affiliates. To the fullest extent permitted by law, each Loan Party hereby waives and releases any claims that it may have against the Administrative Agent, any Joint Bookrunner, the Arranger, any Sustainability Structuring Agent or any Lender with respect to any breach or alleged breach of agency or fiduciary duty in connection with any aspect of any transaction contemplated hereby.”

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SECTION 3.  Accession by Sustainability Structuring Agents.   Each of the undersigned sustainability structuring agents hereby acknowledges that it has received a copy of the Agreement and acknowledges and agrees that by its execution and delivery of this Amendment it shall join and become a party to the Agreement. 

SECTION 4.  Governing Law. This Amendment and any claim, controversy, dispute or cause of action (whether in contract or tort or otherwise) based upon, arising out of or relating to this Amendment and the transactions contemplated hereby shall be governed by and construed in accordance with the laws of the State of New York. 

SECTION 5. Counterparts. This Amendment may be executed in counterparts (and by different parties hereto in different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. 

SECTION 6. Electronic Execution. Delivery of an executed counterpart of a signature page of this Amendment by email or any other electronic means that reproduces an image of the actual executed signature page shall be effective as delivery of a manually executed counterpart of this Amendment.  The words “execution,” “signed,” “signature,” “delivery,” and words of like import in or relating to any document to be signed in connection with this Amendment and the transactions contemplated hereby shall be deemed to include Electronic Signatures or electronic records, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature, or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act. 

SECTION 7. Effectiveness. This Amendment shall become effective on the date the following conditions are satisfied: (i) this Amendment shall have been executed by each of the parties hereto and (ii) the Loan Parties and the Sustainability Structuring Agents have entered into an engagement letter, in form and substance satisfactory to the Sustainability Structuring Agents, whereby the Sustainability Structuring Agents are exclusively engaged by the Loan Parties to act as sustainability structuring agents in connection with the Agreement; it being understood that no fee or any other amount shall be payable by the Loan Parties to the Sustainability Structuring Agents in connection with such engagement. 

 

[Signature page follows.]

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	NATURA &CO LUXEMBOURG HOLDINGS S.À R.L, as the Borrower
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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NATURA COSMÉTICOS S.A., as a Guarantor 

	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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NATURA &CO HOLDING S.A., as a Guarantor 

	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

            

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	ADMINISTRATIVE AGENT:
	
	
MIZUHO BANK, LTD., as Administrative Agent

	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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LENDERS14:

	
	

	14	Include signature block of each Lender as of date of Amendment. 

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SUSTAINABILITY STRUCTURING AGENTS:

	
	BANK OF AMERICA, N.A., LONDON
	
	BRANCH, as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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	CITIBANK, N.A., as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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	HSBC SECURITIES (USA) INC., as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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	ITAU BBA INTERNATIONAL PLC, as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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	J.P. MORGAN SECURITIES LLC, as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

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	MIZUHO BANK, LTD., as sustainability structuring agent
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

	
	
	
	

	
	By:	

	
	
	Name:	

	
	
	Title:	

 

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SCHEDULE 1 

 

EXHIBIT E 

FORM OF PRICING CERTIFICATE 

 

[Insert date] 

To:                Mizuho Bank, Ltd., as Administrative Agent 

Ladies and Gentlemen: 

Reference is hereby made to the Revolving Credit and Guaranty Agreement, dated October 28, 2021 (as amended, supplement or otherwise modified from time to time, the “Credit Agreement”), among, inter alios, Natura &Co Luxembourg Holdings S.à r.l., as borrower, Natura Cosméticos S.A. (“Natura Cosméticos”) and Natura &Co Holding S.A., as guarantors, the lenders from time to time party thereto and Mizuho Bank, Ltd., as administrative agent.  Capitalized terms not otherwise defined herein have the meanings ascribed to them in the Credit Agreement. 

 

The undersigned certifies as of the date hereof that he/she is the duly appointed [●]15 of Natura Cosméticos, and that, as such, he/she is a Responsible Officer authorized to execute and deliver this certificate pursuant to Section 5.01(i) of the Credit Agreement in the name and on behalf of Natura Cosméticos, and further certifies solely in such capacity (and not in his/her personal capacity) that: 

 

1.                   Attached as Annex A hereto is a true and correct copy of the KPI Metrics Report for the 20[__] Fiscal Year, duly confirmed by the External Verifier; and 

 

2.                   The Sustainability Applicable Margin Adjustment in respect of the 20[__] Fiscal Year is [+][-][__] basis points per annum, calculated as set forth on Annex B hereto.  

 

The foregoing certifications are made and delivered this [__] day of [_____], 20[__]. 

[Signature page follows]

IN WITNESS WHEREOF, the undersigned has executed this certificate as of the date first above written.

	
	

	15	Insert title of Responsible Officer. 

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	NATURA COSMÉTICOS S.A.
	
	

	
	
By:

	

	
	
 

	Name:	

	
	
 

	Title:	

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Annex A

KPI Metrics Report

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Annex B 

Sustainability Applicable Margin Adjustment 

 

 

The Sustainability Applicable Margin Adjustment for a given year is the sum of the KPI Metric I Applicable Margin Adjustment Amount and the KPI Metric II Applicable Margin Adjustment Amount, each as set forth in the below Sustainability Adjustment Table and with reference to the KPI Metrics Report (see Annex A) and the Sustainability Table.  

 

Sustainability Adjustment Table 

 

	
 

	
KPI Metric I 

 

	
KPI Metric II 

	
KPI Metric  

	
Applicable 

Margin 

Adjustment 

Amount 

	
KPI Metric 

	
Applicable 

Margin 

Adjustment 

Amount 

	
Level I* 

	
Greater than or equal to KPI 

Metric I Target 

 

	
-2.5 basis points 

	
Greater than or equal to KPI 

Metric II 

Target 

 

	
-2.5 basis points 

	
Level II** 

	
Greater than or equal to KPI Metric I 

Threshold but less than KPI 

Metric I Target 

 

	
0 basis points 

	
Greater than or equal to KPI Metric II 

Threshold but less than KPI 

Metric II 

Target 

 

	
0 basis points 

	
Level III*** 

	
Less than KPI 

Metric I 

Threshold 

 

	
+2.5 basis points 

	
Less than KPI 

Metric II 

Threshold 

 

	
+2.5 basis points 

              

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*If (x) KPI Metric I is greater than or equal to the KPI Metric I Target as applicable for such calendar year or (y) the KPI Metric II is greater than or equal to the KPI Metric II Target as applicable for such calendar year, the applicable rate adjustment for such KPI Metric is set forth in Level I. 

 

**If (x) KPI Metric I is greater than or equal to the KPI Metric I Threshold as applicable for such calendar year but less than the KPI Metric I Target as applicable for such calendar year or (y) KPI Metric II is greater than or equal to the KPI Metric II Threshold as applicable for such calendar year but less than the KPI Metric II Target as applicable for such calendar year, the applicable rate adjustment for such KPI Metric is set forth in Level II. 

 

***If (x) KPI Metric I is less than the KPI Metric I Threshold for such calendar year or (y) KPI Metric II is less than the KPI Metric II Threshold as applicable for such calendar year, the applicable rate adjustment for such KPI Metric is set forth in Level III.     

 

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	SCHEDULE 2
	EXHIBIT F
	Sustainability Table

 

	
KPI Metrics 

	
Description

	
20[ ] 

	
20[ ] 

	
20[ ] 

	
20[ ] 

	
20[ ] 

	
 

 

	
Target

	
 

	
 

	
 

	
 

	
 

	
Threshold

	
	
	
	
	

	
 

	
Target 

	
 

	
 

	
 

	
 

	
 

	
Threshold

	
	
	
	
	

 

	153

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00343-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00343-of-00352.parquet"}]]