Document:

EXHIBIT 10.5

  
 Exhibit 10.5

  
 LAND DEED OF TRUST 
  
 among 
  
 TREX COMPANY, INC., 
  
 as Debtor, 
  
 GARY P. SNYDER, 
  
 as Trustee 
  
 and 
  
 JPMORGAN CHASE BANK, N.A., 
  
 as Beneficiary 
  
 Dated as of 
  
 December 1, 2004 
  
 THIS DEED OF TRUST SECURES A CREDIT LINE TO BE USED FOR COMMERCIAL PURPOSES. 
  

			
	Prepared By:	 	Record and Return to:
		
	______________________________	 	______________________________
	Jacqueline P. Shanes	 	Gary P. Snyder
	McCarter & English, LLP	 	Watkins Ludlam Winter & Stennis, P.A.
	Four Gateway Center	 	P.O. Box 1456
	100 Mulberry Street	 	Olive Branch, Mississippi 38654
	Newark, New Jersey 07102	 	Phone: (662) 895-2996
	Phone: (973) 622-4444	 	 

			
	 	 	Indexing Instructions:
	 	 	Lot 1, Trex Subdivision – Plat Book 86 Pages 46-48
	 	 	SW Quarter, Section 14 and NW Quarter,
	 	 	Section 23, Township 1 South, Range 6 West,
	 	 	DeSoto County, Mississippi

  

  
 TABLE OF CONTENTS 

 
 (This Table of Contents is for convenience of reference only and is not a part of the Land
Deed of Trust.) 
  

					
	 	 	 	  	Page

	ARTICLE I	  	 
	DEFINITIONS	  	 
			
	Section 1.02.	 	Definitions	  	3
	Section 1.03.	 	Interpretations	  	7
	Section 1.04.	 	References, etc.	  	7
	Section 1.05.	 	Incorporation of Certain Definitions by Reference	  	7
	Section 1.06.	 	Accounting Terms and Determinations; Incorporation of UCC Definitions	  	8
		
	ARTICLE II	  	 
	RESERVED	  	 
		
	ARTICLE III	  	 
	REPRESENTATIONS AND WARRANTIES	  	 
			
	Section 3.01.	 	Warranties of Title	  	10
	Section 3.02.	 	Lien of this Deed of Trust	  	10
	Section 3.03.	 	Financings	  	10
	Section 3.04.	 	Impositions and Other Payments	  	10
	Section 3.05.	 	Incorporation of Representations and Warranties by Reference	  	11
		
	ARTICLE IV	  	 
	COVENANTS AND OBLIGATIONS OF THE DEBTOR	  	 
			
	Section 4.01.	 	Defects in Title	  	12
	Section 4.02.	 	Maintenance and Repair	  	12
	Section 4.03.	 	Incorporation of Covenants and Obligations by Reference	  	12
		
	ARTICLE V	  	 
	EVENTS OF DEFAULT; REMEDIES	  	 
			
	Section 5.01.	 	Event of Default	  	13
	Section 5.02.	 	Remedies	  	15
	Section 5.03.	 	Application of Proceeds	  	18
	Section 5.04.	 	Delivery of Possession	  	18
	Section 5.06.	 	Remedies Cumulative, Concurrent and Non-Exclusive	  	19
	Section 5.07.	 	No Conditions Precedent to Exercise of Remedies	  	19
	Section 5.08.	 	Extension, Rearrangement or Renewal of the Obligations	  	20
	Section 5.09.	 	Waiver of Redemption, Notice and Marshalling of Assets	  	20
	Section 5.10.	 	Repayment of Expenses	  	21

  

 - i - 

					
	ARTICLE VI	  	 
	SECURITY AGREEMENT	  	 
			
	Section 6.01.	 	Security Agreement	  	21
	Section 6.02.	 	Fixture Filing	  	21
	Section 6.03.	 	Security Agreement; Remedies	  	22
		
	ARTICLE VII	  	 
	ASSIGNMENT OF RENTS	  	 
			
	Section 7.01.	 	Assignment of Rents	  	24
	Section 7.02.	 	Rights of the Debtor’s Limited License	  	24
	Section 7.03.	 	Enforcement of Rents	  	24
	Section 7.04.	 	Suits and Attornment	  	25
	Section 7.05.	 	No Merger of Estates	  	25
	Section 7.06.	 	Conflict	  	25
	Section 7.07.	 	Assignment of Rents Remedies	  	26
		
	ARTICLE VIII	  	 
	ENVIRONMENTAL MATTERS	  	 
			
	Section 8.01.	 	Definitions	  	27
	Section 8.02.	 	Representations and Warranties	  	27
	Section 8.03.	 	Covenants	  	27
	Section 8.04.	 	Debtor’s Indemnification of Secured Party	  	26
	Section 8.05.	 	General	  	27
		
	ARTICLE IX	  	 
	MISCELLANEOUS PROVISIONS	  	 
			
	Section 9.01	 	Trustee Provisions	  	29
	Section 9.02.	 	No Obligation of the Secured Party	  	30
	Section 9.03.	 	Debtor’s Attorney–in–Fact	  	30
	Section 9.04.	 	Casualty Loss, Condemnation, Eminent Domain and Insurance	  	31
	Section 9.05.	 	No Waiver by the Secured Party	  	34
	Section 9.06.	 	Satisfaction	  	35
	Section 9.07.	 	Notices	  	35
	Section 9.08.	 	Amendment and Waiver	  	35
	Section 9.09.	 	Payment of Costs and Expenses of Secured Party	  	36
	Section 9.10.	 	Taxation of the Obligations and Deed of Trust	  	36
	Section 9.11.	 	No Credit for Taxes	  	36
	Section 9.12.	 	Due on Sale; Assignability	  	36
	Section 9.13.	 	Severability	  	37
	Section 9.14.	 	Governing Law	  	37
	Section 9.15.	 	Future Advances	  	37
	Section 9.16.	 	Headings	  	37
	Section 9.17.	 	Entire Agreement	  	37
	Section 9.18.	 	Time of the Essence	  	37
	Section 9.19.	 	Further Action By Debtor	  	38
	Section 9.20.	 	Advances by Secured Party	  	38
	Section 9.21.	 	Invalid Provision Disregarded	  	38
	Section 9.22.	 	Inspection and Repairs by the Secured Party	  	38
	Section 9.23.	 	No Liability of Secured Party	  	38
			
	Signatures	 	 	  	39
			
	Testimonium	 	 	  	40
		
	EXHIBIT A - Site Description	  	A-1

  

 - ii - 

  
 Exhibit 10.5

  
 LAND DEED OF TRUST 
  
 THIS LAND DEED OF TRUST (this “Deed of Trust”) dated as of December
1, 2004, is entered into among TREX COMPANY, INC., a corporation organized and existing under the laws of the State of Delaware (“Debtor”), and GARY P. SNYDER as Trustee (“Trustee”), and JPMORGAN CHASE BANK, N.A. as Beneficiary,
in its capacities as the Issuing Bank of the hereinafter defined Letter of Credit and as the Administrative Agent under the hereinafter defined Reimbursement Agreement (herein designated as “Secured Party”). 
  
 W I T N E S S E T H: 
  
 WHEREAS, in order to finance all or a portion of (i) the costs of the
acquisition, construction and equipping of solid waste disposal facilities in the City of Olive Branch, DeSoto County, Mississippi, to be used by the Debtor in connection with the manufacture of non-wood decking, railing and fencing products and
(ii) certain costs of issuance of the Bonds (as hereafter defined), the Debtor has requested that the Mississippi Business Finance Corporation (“Issuer”) issue its Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company,
Inc. Project), Series 2004, in the aggregate principal amount of $25,000,000 (“Bonds”) and loan the proceeds thereof to the Debtor (“Loan”) pursuant to the terms and conditions set forth in a Loan Agreement, dated as of December
1, 2004 (“Loan Agreement”); and 
  
 WHEREAS, in order to
enhance the marketability of the Bonds, the Debtor has requested the Secured Party to issue to the Trustee the Secured Party’s direct pay irrevocable transferable Letter of Credit in the stated amount of $25,308,220.00 (“Letter of
Credit”) to provide payment for and secure the payment of the principal of and interest on, and the purchase price of, the Bonds; and 
  
 WHEREAS, the Secured Party will issue the Letter of Credit concurrently with the issuance and delivery of the Bonds pursuant to the Reimbursement and
Credit Agreement dated as of December 1, 2004, between the Debtor and the Secured Party (“Reimbursement Agreement”), under which the Debtor will be obligated, among other things, to reimburse the Secured Party, with interest, for all
drawings under the Letter of Credit and the Loan and Reimbursement Agreement have a final maturity date of December 1, 2029; and 
  
 WHEREAS, as security for all of the Bank Payments Obligations (as defined herein), the Debtor has duly executed and delivered to the Secured Party, this
Deed of Trust. 
  
 NOW, THEREFORE, in consideration of the
existing and future Bank Payments Obligations herein recited, the Debtor hereby conveys, warrants, grants, bargains, sells, assigns, transfers and pledges unto the Trustee, in Trust, with Power of Sale, the land described in Exhibit A,
situated in the City of Olive Branch, County of DeSoto, State of Mississippi, together with all improvements and appurtenances now or hereafter erected on, and all fixtures of any and every description now or hereafter attached to, said land.
Notwithstanding any provision in this Deed of Trust or in any other agreement with the Secured Party, the Secured Party shall not have a nonpossessory security interest in, and its Collateral or Pledged Estate shall not include, any 

  

 
household goods (as defined in Federal Reserve Board Regulation AA, Subpart B), unless the household goods are identified in a security agreement and are
acquired as a result of a purchase money obligation. Such household goods shall only secure said purchase money obligation (including any refinancing thereof). 
  

THIS CONVEYANCE TO TRUSTEE, HOWEVER, IS IN TRUST WITH POWER OF SALE to secure prompt payment of all existing and future Bank Payments Obligations due
by the Debtor to the Secured Party under the provisions of the Reimbursement Agreement. If the Debtor shall pay said Bank Payments Obligations promptly when due and shall perform all covenants made by the Debtor herein, then this conveyance shall be
void and of no effect. If the Debtor shall be in default as provided in Section 5.01, then, in that event, the entire Bank Payments Obligations, together with all interest accrued thereon, shall, at the option of the Secured Party, be and become at
once due and payable without notice to the Debtor, and the Trustee shall, at the request of the Secured Party, sell the Pledged Estate conveyed, or a sufficiency thereof, to satisfy the Bank Payments Obligations at public outcry to the highest
bidder for cash. Sale of the property shall be advertised for three consecutive weeks preceding the sale in a newspaper published in the county where the Pledged Estate is situated, or if none is so published, then in some newspaper having a general
circulation therein, and by posting a notice for the same time at the courthouse of the same county. The notice and advertisement shall disclose the names of the original debtors in this Deed of Trust. The Debtor waives the provisions of Section
89-1-55 of the Mississippi Code of 1972 as amended, if any, as far as this section restricts the right of the Trustee to offer at sale more than 160 acres at a time, and the Trustee may offer the property herein conveyed as a whole, regardless of
how it is described. 
  
 If the Pledged Estate is situated in two
or more counties, or in two judicial districts of the same county, the Trustee shall have full power to select in which county or judicial district, the sale of the property is to be made and the Trustee’s selection shall be binding upon the
Debtor and the Secured Party. Should the Secured Party be a corporation or an unincorporated association, then any officer thereof may declare the Debtor to be in default as provided in Section 5.01 and request the Trustee to sell the Pledged
Estate. Secured Party shall have the same right to purchase the property at the foreclosure sale as would a purchaser who is not a party to this Deed of Trust. 
  

From the proceeds of the sale the Trustee shall first pay all costs of the sale including reasonable compensation to the Trustee; then the Bank
Payments Obligations due the Secured Party by the Debtor, including accrued interest and attorney’s fees due for collection of the debt; then any other debt secured by the Pledged Estate; and then, lastly, any balance remaining to the Debtor or
the Debtor’s transferee. 
  
 IT IS AGREED that this
conveyance is made subject to the covenants, stipulations and conditions set forth below which shall be binding upon all parties hereto. 
  

 2 

  
 ARTICLE I 
  
 DEFINITIONS 
  
 Section 1.01. Terms Defined Above. As used in this Deed of Trust, the terms defined in the preamble and recitals
hereof shall have the meanings indicated therein. 
  
 Section
1.02. Definitions. As used herein the following terms shall have the respective meanings set forth or referred to below. 
  
 “Bank Payments Obligations” means with respect to the Secured Party, any loans, advances, debts, liabilities, obligations, contingent
obligations, covenants and duties owing by the Debtor to the Secured Party of any kind or nature, present or future arising under the Letter of Credit, the Reimbursement Agreement, the Pledge Agreement or under any Financing Document. The amount of
the Bank Payments Obligations shall be established or calculated by the Secured Party from time to time and furnished to the Trustee in writing denominating the interest portion of such Bank Payments Obligations and the principal portion of such
Bank Payments Obligations, such establishment or calculation being conclusive of the amount due, absent manifest error; and with respect to a provider of an Alternate Credit Facility other than the Secured Party, such obligations as are provided in
any applicable financing document. The term includes, without limitation, all interest, charges, expenses, fees, attorneys’ fees and any other sums chargeable to the Debtor by the Secured Party under the Reimbursement Agreement and any
Financing Document. 
  
 “Bank Prime Rate” shall have the
meaning set forth in the Reimbursement Agreement. 
  
 “Business Day” means a day other than a Saturday, Sunday or a legal holiday in the State of New York or any other day on which banking institutions chartered under the laws of the State of New York or the United States of America
are authorized or required by law to close or a day on which the office of the Secured Party at which drafts are to be presented under the Letter of Credit or the corporate trust office of the Trustee is authorized to be closed, or the Federal
Reserve System is closed. 
  
 “Collateral” is defined in
Section 6.01 of this Deed of Trust. 
  
 “Debtor” is
defined in the introduction to this Deed of Trust and shall include not only the original Debtor hereunder, but also the owner (or owners, if one or more, jointly and severally) of the Pledged Estate or any part thereof, at any time or from time to
time, as the case requires. 
  
 “Default Rate” shall
have the meaning set forth in the Reimbursement Agreement. 
  

 3 

 “Environmental Indemnity Agreement” means the Environmental Compliance and Indemnity Agreement,
dated December 16, 2004, by and between the Debtor and the Secured Party. 
  
 “Event of Default” is defined in Section 5.01 hereof. 
  
 “Facility” means the Site and all Improvements, Fixtures and Personalty now or hereafter located thereon which comprises the manufacturing
facility owned and operated by the Debtor. The Facility is located on an approximately 101.80-acre site in the City of Olive Branch, County of DeSoto, State of Mississippi. 
  
 “Financing Documents” means this Deed of Trust, the Reimbursement Agreement, the Pledge Agreement, the
Environmental Indemnity Agreement, the Trust Indenture, the Loan Agreement, the Note and each of the other documents, instruments and agreements referred to therein or contemplated thereby. 
  
 “Fixtures” means all goods, fixtures, furnishings, building
materials, and equipment financed with proceeds of the Bonds and owned by the Debtor now or hereafter attached to or installed or placed in or about each and every Improvement on the Site for use as part thereof or in conjunction with the use and
occupancy of such Improvements, including, but not limited to, all materials, supplies, equipment, apparatus, tracks, ramps, loading platforms, machinery, motors, elevators, escalators, fittings, doors, windows, signs, pylons, screening, awnings,
shades, blinds, carpet, floor coverings, draperies, furnaces, boilers, gas and oil and electric burners and heaters, ducts, vents, hoods, flues and registers, hot water heaters, sinks, stoves, ovens, cabinets, countertops, refrigerators, heating,
cooling and air conditioning equipment, fans, ventilators, wiring, panels, all lighting fixtures and globes and tubes, time clocks, computer systems and other electrical equipment, all television and radio antenna systems, including satellite dish
antennas, and all plumbing and plumbing fixtures and equipment, sprinklers and sprinkler equipment, and all trees, plants, shrubs and other landscaping, all of which are and shall be deemed to be a permanent accession to the Site and Improvements
thereon, and all recreational equipment and facilities of all kinds, and water, gas, electrical, storm and sanitary sewer facilities whether or not situated in easements, together with all accessions, replacements, betterments and substitutions for
any of the foregoing and the proceeds thereof. 
  
 “Generally
Accepted Accounting Principles” means generally accepted accounting principles consistently applied and maintained throughout the period indicated and consistent with the prior financial practice of the Debtor, as reflected in the financial
statements required under the Reimbursement Agreement, except for changes permitted by the Financial Accounting Standards Board or any similar accounting authority of comparable standing. 
  
 “Governmental Authority” means any government or political subdivision or any agency, authority, bureau, central
bank, commission, department or instrumentality of either, or any court, tribunal, grand jury or arbitrator, in each case whether foreign or domestic. 
  

 4 

 “Highest Lawful Rate” means the maximum legal rate of interest which the Trustee or the Secured
Party is legally entitled to charge, contract for or receive under any law to which such interest is subject. 
  
 “Impositions” means (a) all real estate and personal property taxes, charges, assessments, excises and levies, and any interest, costs or
penalties with respect thereto, general and special, ordinary or extraordinary, foreseen and unforeseen, of any kind and nature whatsoever which at any time prior to or after the execution hereof may be assessed, levied, charged or imposed upon or
with respect to the Pledged Estate or the ownership, use, or occupancy or enjoyment thereof, or any portion thereof, or the sidewalks, streets or alleyways adjacent thereto, (b) any charges, fees, licenses, payments or other sums payable for any
easement, license or agreement maintained for the benefit of the Pledged Estate, and (c) all water, gas, sewer, electricity, telephone, garbage collection and other utility charges, rents and fees appurtenant to or used in connection with the
Pledged Estate which if unpaid, would become a lien on the Pledged Estate. 
  
 “Improvements” means all buildings and improvements of every kind and description now situated or hereafter placed or erected upon the Site including, without limitation, improvements constituting the
Facility and all additions, alterations, betterments or appurtenances thereto and all reversions and remainders therein. 
  
 “Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest or encumbrance of any kind in respect of such
asset, as well as the interest of a vendor or lessor under any conditional sales agreement, capital lease or other title retention agreement relating to such asset. 
  
 “Permitted Encumbrances” shall be defined as follows: 
  
 (a) the liens and security interests created by the Related Documents to
secure the Bonds and the Bank Payments Obligations; 
  
 (b) liens
for taxes, assessments and special assessments which are not then delinquent, or, if then delinquent, are Matters Contested in Good Faith (as defined in the Reimbursement Agreement); 
  
 (c) utility, access and other easements and rights-of-way, restrictions and exceptions which will not interfere with or
impair the operation of any portion of the Pledged Estate; 
  
 (d) any mechanic’s, laborer’s, materialman’s, supplier’s or vendor’s lien or rights in respect thereof if payment is not yet due under the contract in question or if such lien is a Matter Contested in Good Faith;

  
 (e) such minor defects and irregularities of title as
normally exist with respect to properties similar in character to the Pledged Estate which do not materially adversely affect the value of the Pledged Estate or impair the property affected thereby for the purpose for which it was acquired or is
held; 
  

 5 

 (f) any lien, easement defect or irregularities of title which are described in the title policy
furnished pursuant to Section 4.01(e)(iii) of the Reimbursement Agreement and accepted by the Secured Party; 
  
 (g) liens incurred in the ordinary course of business in connection with workers’ compensation, unemployment insurance, other forms of governmental
insurance or benefits, or to secure performance of statutory obligations; and 
  
 (h) liens approved in writing by the Secured Party. 
  
 “Person” means an individual, partnership, corporation (including a business trust), trust, unincorporated association, joint venture or other entity. 
  
 “Personalty” means all of the right, title and interest of the
Debtor in and to all refundable, returnable or reimbursable fees, license fees, deposits or other funds or evidences of credit or indebtedness to the extent funded or financed with proceeds of the Bonds deposited by or on behalf of the Debtor with
any Governmental Authority, boards, corporations, providers of utility services, public or private, including specifically, but without limitation, all refundable, returnable or reimbursable tap fees, utility deposits, commitment fees and
development costs to the extent funded with proceeds of the Bonds, and all other personal property, including furniture, furnishings, equipment, machinery, building materials and goods (other than the Fixtures) of any kind or character as defined in
and subject to the UCC and which are now or hereafter located or to be located upon, within or about the Site or the Improvements, or which are now being or may hereafter be used upon, within or about the Site or the Improvements or which are in any
way related to the ownership, use, leasing, maintenance, repair, alteration, reconstruction or operation of the Project, together with all accessions, replacements and substitutions thereto or therefor and the proceeds thereof, to the extent any of
the foregoing are purchased with proceeds of the Bonds. 
  
 “Phase I Environmental Assessment” means the Phase I Environmental Assessment prepared by Mostardi Platt Environmental, dated November 11, 2003. 
  
 “Pledge Agreement” means the Custody, Pledge and Security Agreement executed by and among the Debtor, the Trustee
and the Secured Party dated as of December 1, 2004. 
  
 “Pledged Estate” means the Facility, Site, Improvements, Fixtures, Personalty and Rents, together with all betterments, improvements, additions, alterations and appurtenances, substitutions, replacements and reversions thereof and
thereto and proceeds thereof and all reversions and remainders therein and any and all other security and collateral of every nature whatsoever, now or hereafter given for the performance and discharge of the Bank Payments Obligations. As used in
this Deed of Trust, the term Pledged Estate is expressly defined as 

  

 6 

 
meaning all or, where the context permits or requires, any portion of or interest in the Facility, Site, Improvements, Fixtures, Personalty or Rents.

  
 “Reimbursement Agreement” means the Letter of Credit
and Reimbursement Agreement, dated as of December 1, 2004, by and between the Debtor and the Secured Party. 
  
 “Rents” means all leases, oil, gas or other mineral royalties, bonuses and rental income, rentals, including, without limitation, insurance
pertaining to the Pledged Estate, and all of the Debtor’s right, title and interest in and to any awards, settlements or compensation heretofore made or hereafter to be made by any Governmental Authority for the Pledged Estate including through
eminent domain or condemnation and those from any vacation of, or any change of grade in or to any streets affecting the Site or the Improvements or which may be received or receivable by the Debtor from any hiring, using, letting, leasing,
subhiring, subletting or subleasing of or otherwise from the whole or any portion or portions of the Facility at any time while any portion of the Bank Payments Obligations secured hereby remains unpaid. 
  
 “Site” means the tract of land located in the City of Olive Branch,
County of DeSoto, Mississippi, more particularly described by metes and bounds in Exhibit A, attached hereto and incorporated herein by this reference for all purposes, together with all the rights, rights of way, easements, profits,
privileges, tenements, hereditaments and appurtenances, now or hereafter in any way appertaining or belonging thereto, and any part thereof, including any claim at law or in equity, and any after acquired title and reversion in or to each and every
part of the Site and all streets, roads, highways, alleys, strips or gores of land adjacent to or adjoining the same. 
  
 “State” means the State of Mississippi. 
  
 “UCC” means the Uniform Commercial Code in effect in the State. 
  
 Section 1.03. Interpretations. The table of contents and article and section headings of this Deed of Trust are for
reference purposes only and shall not affect its interpretation in any respect. Except where the context otherwise requires, words imparting the singular number shall include the plural number and vice versa. 
  
 Section 1.04. References, etc. Any reference in this Deed of Trust to
a document or instrument shall mean such document or instrument and all exhibits thereto, as amended or supplemented from time to time. Any reference in this Deed of Trust to any Person as a party to any document or instrument shall include its
successors and assigns to such status and in the case of the Debtor shall also include its subsidiaries, if any, which are permitted or required under Generally Accepted Accounting Principles to be consolidated with the Debtor in its financial
statements. 
  
 Section 1.05. Incorporation of Certain
Definitions by Reference. Each capitalized term used herein and not otherwise defined herein shall have the meaning provided therefor in the Reimbursement Agreement, or if not defined therein, in the Bond Indenture. 
  

 7 

 Section 1.06. Accounting Terms and Determinations; Incorporation of UCC Definitions. Unless
otherwise specified herein, all accounting terms used herein shall be interpreted, all accounting determinations hereunder shall be made, and all financial statements required to be delivered hereunder shall be prepared in accordance with Generally
Accepted Accounting Principles as in effect from time to time, applied on a consistent basis. Except as otherwise defined or indicated by the context herein, all terms which are defined in the UCC shall have their respective meanings as used in
Article 9 of the UCC. 
  

 8 

  
 ARTICLE II 
  
 [RESERVED] 
  

 9 

  
 ARTICLE III 
  
 REPRESENTATIONS AND WARRANTIES 
  
 The Debtor hereby unconditionally warrants and represents to the Secured
Party (which representations and warranties will survive the creation and performance of the Debtor’s obligations hereunder) as follows: 
  
 Section 3.01. Warranties of Title. 
  
 (a) The Debtor has good and marketable title to the Pledged Estate, free and clear of every Lien, other than the Permitted Encumbrances;

  
 (b) The Debtor is lawfully and indefeasibly
seized, in fee simple, of the real property comprising a part of the Pledged Estate hereby conveyed and has full right and power to grant, convey and pledge the Pledged Estate to the Trustee; 
  
 (c) The Debtor is the legal and equitable owner and holder
of the Pledged Estate, free of any adverse claim or Lien except those provided for in the Permitted Encumbrances; 
  
 (d) The Debtor will forever warrant and defend the title to the Pledged Estate unto the Secured Party against the claims and demands of
all Persons whomsoever except those claiming under the Permitted Encumbrances; and 
  
 (e) The Debtor has not entered into any sales agreement, option, assignment, sublease, pledge, mortgage, deed of trust, financing
statement, security agreement or any other arrangement regarding the Pledged Estate apart from the Financing Documents. 
  
 Section 3.02. Lien of this Deed of Trust. This Deed of Trust constitutes a valid and subsisting first lien on the Site and the Improvements and
Fixtures associated therewith and a valid, subsisting first priority security interest in and to the Fixtures, Personalty and Rents in accordance with the terms hereof. 
  
 Section 3.03. Financings. The only financings secured by the Pledged Estate are the Bank Payments Obligations.

  
 Section 3.04. Impositions and Other Payments. The
Debtor has filed all ad valorem tax returns required to be filed by the Debtor by all Governmental Authorities having jurisdiction over the Pledged Estate and has paid all other Impositions which have become due pursuant to such returns or pursuant
to any assessments received by the Debtor and the Debtor knows of no basis for any additional assessment against the Pledged Estate in respect of any Impositions. The Debtor shall pay all Impositions not later than their respective due dates, except
those Impositions which are matters contested in good faith and nonpayment of which 

  

 10 

 
will not materially adversely affect the Pledged Estate. Not later than ten (10) days after such due dates the Debtor shall produce to the Secured Party
receipts for the payment thereof. The Debtor has paid or will pay in full when due (except for such retainages as may be permitted or required by any Governmental Authority or by the terms of any applicable construction or related contract to be
withheld by the Debtor pending completion of the Facility or which are being contested in good faith), all sums owing for labor, material, supplies, personal property (whether or not forming a Fixture hereunder) and services of every kind and
character used, furnished or installed in or on the Pledged Estate. 
  
 Section 3.05. Incorporation of Representations and Warranties by Reference. The Debtor hereby makes to the Secured Party the same representations and warranties as are set forth in the Financing Documents, which representations and
warranties, as well as the related defined terms contained therein, are hereby incorporated by reference with the same effect as if each and every such representation and warranty and defined term were set forth herein in its entirety. No amendment
to such representations and warranties or defined terms made pursuant to the Financing Documents shall be effective to amend such representations and warranties and defined terms as incorporated by reference herein without the consent of the Secured
Party. 
  

 11 

  
 ARTICLE IV 
  
 COVENANTS AND OBLIGATIONS OF THE DEBTOR 
  
 To protect and maintain the security of this Deed of Trust, in addition to
the covenants set out in the Financing Documents, the Debtor unconditionally covenants with the Secured Party as follows, which covenants are, according to their terms, of the essence hereof and will survive the delivery of this Deed of Trust:

  
 Section 4.01. Defects in Title. The Debtor will proceed
with diligence to correct any material defect in title to the Pledged Estate, should any such defect be found to exist after the execution and delivery of this Deed of Trust, and in this connection, should it be found after the execution and
delivery of this Deed of Trust, that there exists upon the Pledged Estate any Lien (other than a Permitted Encumbrance), equal, inferior, or superior in rank or priority to the lien and security interests created by this Deed of Trust (other than
the Permitted Encumbrances), or should any such Lien hereafter arise (other than the Permitted Encumbrances), then, unless the Secured Party shall have given specific prior written consent to the creation or continuation thereof, the Debtor will
promptly discharge and remove any such Lien from the Pledged Estate. The Debtor further agrees that the Secured Party may take any action the Secured Party deems advisable to protect and preserve its interest in the Pledged Estate and, in such
event, the Debtor will indemnify the Secured Party against any and all reasonable costs, attorneys’ fees, and other expenses which the Secured Party may incur in defending against any such adverse claims after providing notice thereof to the
Debtor. 
  
 Section 4.02. Maintenance and Repair. The
Debtor shall, at its own expense, do or cause to be done all things reasonably necessary to preserve and keep in good repair, working order and efficiency, ordinary wear and tear excepted, all of the Pledged Estate, as provided in the Loan Agreement
and in the Reimbursement Agreement. 
  
 Section 4.03.
Incorporation of Covenants and Obligations by Reference. The Debtor hereby makes to the Secured Party the same covenants and agreements as set forth in the Financing Documents, which covenants and agreements, as well as the related defined
terms contained therein, are hereby incorporated by reference with the same affect as if each and every covenant and agreement and defined term were set forth herein in its entirety. No amendment to such covenants and agreements or defined terms
made pursuant to the Financing Documents shall be effective to amend such covenants and agreements and defined terms as incorporated by reference herein without the consent of the Secured Party given in accordance with the Financing Documents.

  

 12 

  
 ARTICLE V 
  
 EVENTS OF DEFAULT; REMEDIES 
  
 Section 5.01. Event of Default. 
  
 (a) Any of the following events shall be considered an Event
of Default under this Deed of Trust: 
  
 (i) the
Debtor fails to pay when due any amount specified in the Reimbursement Agreement as and when the same is due and payable; 
  
 (ii) the Debtor fails to observe or perform any of the covenants, conditions or provisions of the Reimbursement Documents (as defined in
the Reimbursement Agreement) to which it is a party (other than as specified in subparagraph (i) above) and to remedy such default within thirty (30) days after the Secured Party shall have provided the Debtor with notice of such failure;

  
 (iii) any representation or warranty made by
the Debtor in the Reimbursement Agreement or in any certificate, financial or other statement furnished by the Debtor to the Secured Party pursuant to the Reimbursement Documents or the Related Documents (as defined in the Reimbursement Agreement)
proves to have been untrue or incomplete in any material respect when made; 
  
 (iv) the Debtor fails to make the payments required under the Loan Agreement when due, except as a result of a wrongful dishonor by the Secured Party of a properly requested draw under the Letter of Credit and at the
time such payment was due under the Loan Agreement adequate funds to make such payment were available in the Reimbursement Account (as defined in the Reimbursement Agreement); 
  
 (v) the occurrence of an Event of Bankruptcy (as defined in the Reimbursement Agreement); 
  
 (vi) any provision of the Reimbursement Agreement or any of
the other Reimbursement Documents or Related Documents to which the Debtor is a party at any time for any reason ceases to be the legal, valid and binding obligation of the Debtor or ceases to be in full force and effect, or is declared to be null
and void and such result would have a Material Adverse Effect (as defined in the Reimbursement Agreement), or the validity or enforceability of any provision of the Reimbursement Agreement or any of the other Reimbursement Documents or Related
Documents is contested by the Debtor, or the Debtor renounces the same or denies that it has any further liability under the Reimbursement Agreement or thereunder; 
  
 (vii) the Debtor (a) fails to make any payment or payments of any Indebtedness (as defined in the
Reimbursement Agreement) of the Debtor when due 

  

 13 

 
(whether by scheduled maturity, required prepayment, acceleration, demand or otherwise) and such failure continues after the applicable grace period, if any,
specified in the agreement or instrument relating to such Indebtedness, except for Matters Contested in Good Faith (as defined in the Reimbursement Agreement), or (b) fails to perform or observe any term, covenant or condition on its part to be
performed or observed under any agreement or instrument (other than any failure to perform any term contemplated by sub-clause (a) hereof), except for Matters Contested in Good Faith, if, in either case, the effect of such failure to perform or
observe is to accelerate, or to permit the acceleration, mandatory redemption or tender of, the maturity of any Indebtedness of the Debtor in excess of $250,000; 
  
 (viii) an event of default has occurred and is continuing as defined in any other credit agreement under
which the Debtor is now or hereafter obligated to the Secured Party; 
  
 (ix) any party to any of the Related Documents fails duly to perform any obligation thereunder and such failure has a Material Adverse Effect; 
  
 (x) the Facility or any portion thereof is subject to any material condemnation or similar proceeding and
the Debtor fails or refuses to reasonably use the condemnation proceeds to rebuild the Facility or construct a replacement Facility; 
  
 (xi) the Facility suffers a loss by fire or other casualty and such loss is not fully insured (excluding any deductible amount permitted
under the Reimbursement Agreement) and Debtor fails to satisfy the requirements of Section 9.04 hereof; 
  
 (xii) any material permit or approval issued by any Governmental Authority (as defined in the Reimbursement Agreement) with respect to the
occupancy, operation or use of the Facility is revoked, suspended or annulled which has a Material Adverse Effect; 
  
 (xiii) a survey at any time shows that the improvements constituting the Facility encroach upon any street, easement, right of way or
adjoining property or violate any setback requirement or that any adjoining structure encroaches on the Pledged Estate to an extent that has a Material Adverse Effect; 
  
 (xiv) the Debtor or any ERISA Affiliate (as defined in the Reimbursement Agreement) shall fail to pay when
due an amount or amounts aggregating in excess of $250,000 which it shall have become liable to pay under Title IV of ERISA (as defined in the Reimbursement Agreement) or notice of intent to terminate a Material Plan (as defined in the Reimbursement
Agreement) shall be filed under Title IV of ERISA by either the Debtor, any ERISA Affiliate, any Plan (as defined in the Reimbursement Agreement) administrator or any combination of the foregoing; or the PBGC (as defined in the Reimbursement
Agreement) shall institute proceedings under Title IV of ERISA to terminate, to impose liability (other than for premiums under Section 4007 of ERISA) in respect of, or to cause a trustee to be appointed to administer any Material Plan (as defined
in the Reimbursement Agreement); or a condition shall 

  

 14 

 
exist by reason of which the PBGC would be entitled to obtain a decree adjudicating that any Plan must be terminated; or there shall occur a complete or
partial withdrawal from, or default, within the meaning of Section 4219(c)(5) of ERISA, with respect to one or more Multiemployer Plans (as defined in the Reimbursement Agreement) which could reasonably be expected to cause one or more of the
Debtor, any Subsidiary (as defined in the Reimbursement Agreement) or any ERISA Affiliate to incur a current payment obligation in excess of $250,000; 
  
 (xv) a Change of Control (as defined in the Reimbursement Agreement) shall occur; 
  
 (xvi) the loss or material impairment of any material
license which is required to operate the Facility and provided that if such reinstatement or reissuance of such license is diligently pursued, such loss or impairment shall have remained uncured for a period of fourteen (14) Business Days (as
defined in the Reimbursement Agreement); and 
  
 (xvii) any judgment involving monetary damages shall be entered against the Debtor which shall become a lien on the Debtor’s properties or assets or any portion thereof or interest therein and such execution, attachment or similar
process is not released, bonded, satisfied, vacated or stayed within thirty (30) days after its entry or levy, and said writ of execution, attachment, levy or judgment shall involve monetary damages aggregating more than $250,000.00; or a writ of
execution or attachment or any similar process shall be issued or levied against all or any part of or interest in any of the properties or assets of the Debtor or the seizure or foreclosure of any of the properties or assets of the Debtor pursuant
to process of law or by respect of legal self-help, involving monetary damages aggregating more than $250,000.00 unless said execution, attachment, seizure or foreclosure is stayed or bonded within thirty (30) days after the occurrence of same.

  
 Section 5.02. Remedies. If an Event of Default shall
occur and be continuing as provided in Section 5.01 hereof, the Secured Party, or an attorney or agent, without bringing any action or proceeding, or by a receiver to be appointed by a court in any appropriate action or proceeding, may do all or any
of the following subject to the terms of the Financing Documents: 
  
 (a) Enter upon and take exclusive possession of the Pledged Estate or any part thereof, including all books, records and accounts relating thereto; 
  
 (b) Do any and all acts which the Secured Party deems proper to protect the security hereof, including, for
the account of the Debtor, making all payments the Debtor is obligated to make under the Financing Documents; 
  
 (c) Cause the construction or completion of construction of any Improvements or any portion of the Facility in accordance with the plans
and specifications, if applicable; 
  
 (d) To the
extent permitted by law and the Financing Documents, enter into the Project without being liable for any prosecution or damages therefor and may 

  

 15 

 
dispossess the Debtor and may lease the Project or any part thereof to another party for a term which may extend beyond the term of the Financing Documents
and receive the rent therefor, upon such terms as shall be satisfactory to the Secured Party. Such entry by the Secured Party shall not operate to release the Debtor from any sums to be paid or covenants to be performed under the Financing Documents
during the full term thereof. In addition, the Debtor agrees that the receipt of rents, awards, and any other moneys or evidences thereof, and any disposition of the same by the Secured Party shall not constitute a waiver of the right of foreclosure
and sale of the Project by the Secured Party in the case of an Event of Default. For the purpose of leasing the Project to another party, the Secured Party shall be authorized to make such repairs or alterations in or to the Project as the Secured
Party may deem necessary to place the same in good order and condition. The Debtor shall be liable to the Secured Party for the cost of such repairs or alterations and all expenses of such leasing. If the sum realized or to be realized from the
leasing is insufficient to satisfy the sum payable by the Debtor under the Financing Documents, the Secured Party, at its option, may require the Debtor to pay such deficiency month by month, or may hold the Debtor liable in advance for the entire
deficiency to be realized during the term of the leasing of the Project. Notwithstanding such entry by the Secured Party, the Debtor agrees that it shall not discontinue or take any action to cause the discontinuance of any utility service
(including heat) furnished to the Project prior to such entry and the Debtor further agrees any such utility service shall continue to be furnished to the Project at the expense of the Debtor; 
  
 (e) Perform any and all conditions and undertakings of any
agreement or commitment entered into between the Debtor and any Person, including the Secured Party, provided, however, that if the Debtor retains possession of all or any part of the Pledged Estate after an Event of Default and without the Secured
Party’s prior written consent thereto, the Secured Party may invoke any and all legal remedies to dispossess the Debtor available to the Secured Party by applicable law. Nothing contained in the foregoing sentence shall, however, be construed
to impose any greater obligation or any prerequisites to acquiring possession of the Pledged Estate after an Event of Default than would have existed in the absence of such sentence; 
  
 (f) Either with or without taking possession of the Pledged Estate, either by itself or by any other Person,
in such manner, for such time and upon such terms that the Secured Party may deem to be prudent or reasonable under the circumstances (making such repairs, alterations, additions and improvements thereto and taking any and all other action with
reference thereto from time to time as the Secured Party may deem necessary or desirable), hold, lease, manage, operate or otherwise use or permit the use of the Pledged Estate and collect and receive the Rents, including accrued and unpaid Rents,
issue binding receipts therefor, and apply the same, less costs of operation and collection (including, but not limited to, the reasonable costs, expenses and fees of a receiver, if any), upon the Bank Payments Obligations secured by this Deed of
Trust. The receipt by the Secured Party of any Rents, pursuant to the foregoing, whether prior to or during the pendency of sale proceedings under this Deed of Trust, shall not cure such default, nor affect said notice or proceedings or any sale
pursuant thereto, but such Rents, less costs as aforesaid, shall be applied in reduction of the entire Bank Payments Obligations from time to time outstanding and secured hereby; and 
  

 16 

 (g) The Trustee, at the direction of the Secured Party, may commence foreclosure
proceedings on all or any portion of the real property comprising a part of the Pledged Estate, or on any interest in any part thereof it selects, by statutory power of sale or action brought in its own name as plaintiff in a court of competent
jurisdiction, in the manner provided by law, and the filing of a complaint to foreclose the same, to the extent permitted by applicable law, shall be conclusive notice of the due exercise of such option; or the Secured Party may execute and deliver
to the Debtor written notice of such breach, default or other Event of Default and of its election to cause this Deed of Trust to be foreclosed by action to be brought by the Secured Party as plaintiff in a court of competent jurisdiction in the
manner provided by law, as aforesaid; and thereafter the Secured Party shall bring such action. In case of any sale under this Deed of Trust, whether by judicial proceedings or otherwise, the Pledged Estate (and Debtor’s interest therein) may
be sold in one parcel and as an entirety or in such parcels (or interests), manner or order as the Secured Party in their sole discretion may elect. In the event of foreclosure of this Deed of Trust by action brought by the Secured Party as
aforesaid, there shall also be, and is, secured hereby, the payment of all reasonable costs and expenses, including, without limitation, cost of search or other evidence of insurance of title, for the benefit and protection of the Secured Party, and
attorneys’ fees and expenses (including attorneys’ fees and expenses on appeal or arising out of any action in bankruptcy) in a reasonable sum to be fixed by the court in any such action brought to foreclose the same, whether such
foreclosure action progresses to judgment or not; and the filing of a complaint in any such action shall render due and payable by the Debtor such cost of search or evidence of insurance of title and attorneys’ fees. 
  
 If Secured Party invokes the power of sale contained herein and directs
Trustee to foreclose on all or part of the Pledged Estate, Trustee may sell all or any part of the Pledged Estate (including any property that may be subject to the provisions of the UCC which may then be security for the debt hereby secured, which
sale may be conducted in connection with any sale of real property and fixtures and in accordance with the UCC) after giving notice of the time, place and terms of sale as required by Section 89-1-55 of the Mississippi Code of 1972, as amended, or
any successor provisions. If the Pledged Estate is located in two or more counties or in two judicial districts of the same county, whether the Pledged Estate consists of one parcel or more than one parcel, then Trustee shall have full power to
select in which county, or judicial district, the sale of all or any part of the Pledged Estate shall be made and its selection shall be binding upon Debtor and Secured Party and all persons claiming through or under them, whether by contract or by
law. Trustee shall have full power to fix the day, time, terms and place of sale and may sell the Pledged Estate in parcels or as a whole as Trustee may deem best. Debtor waives the provisions of Section 89-1-55 of the Mississippi Code of 1972, as
amended, and any successor provisions, as far as said section restricts the right of Trustee to offer at sale more than one hundred sixty (160) acres at a time, and Trustee may offer the Pledged Estate as a whole or in part and in such order as
Trustee may deem best, regardless of the manner in which it may be described. Trustee, without demand on Debtor, shall sell the Pledged Estate at public auction to the highest bidder for cash at such time and place in DeSoto County, Mississippi, as
Trustee designates in the notice of sale. Trustee may appoint an agent to conduct foreclosure proceedings and any sale thereunder, which appointment need not be recorded. Any foreclosure sale may be adjourned or continued from time to time in the
discretion of Trustee until such time 

  

 17 

 
as such sale can be validly and legally completed. At any sale made to enforce the trust herein given, Trustee shall execute a deed of conveyance or other
appropriate instrument conveying the Pledged Estate so sold, which conveyance shall be without any covenant or warranty, express or implied, and shall vest full and perfect title in such purchaser upon payment of the purchase price. The recitals in
such instrument shall be prima facie evidence of the truth of the statements made therein, and failure to give any notice to Debtor as provided herein shall not adversely affect any foreclosure sale or create any liability on the part of Trustee or
Secured Party to Debtor. Upon any sale pursuant to this Section, whether made under the power of sale herein granted or under or by virtue of judicial proceedings or of a judgment or decree of foreclosure and sale, Secured Party may bid for and
acquire the Pledged Estate or any part thereof and in lieu of paying cash therefor may make settlement for the purchase price by crediting upon the indebtedness of Debtor secured by this Deed of Trust the net sales price after deducting therefrom
the expenses of the sale and the costs of the auction and any other sums which Trustee or Secured Party is authorized to deduct under this Deed of Trust. If the Pledged Estate is sold pursuant to this Section, Debtor or any person holding possession
of the Pledged Estate through Debtor shall immediately surrender possession of the Pledged Estate to the purchaser at such sale. If possession is not surrendered, Debtor or such person shall be deemed to be a tenant at sufferance and may be removed
by writ of possession or any other lawful means. 
  
 Section 5.03.
Application of Proceeds. The proceeds of any sale of the Pledged Estate shall be applied by the Trustee to the extent that funds are so available to the following or in such order of priority that the Secured Party, in its sole discretion may
determine, subject to the requirements of State law: 
  
 (a) First, to all costs and expenses of the sale, including, but not limited to, reasonable Trustee’s and attorney’s fees and costs of title evidence and any other costs incurred in connection with the sale; 
  
 (b) Second, to all sums secured hereby; and 
  
 (c) Third, the excess, if any, to the person or persons
legally entitled thereto. 
  
 Section 5.04. Delivery of
Possession. Any sale or sales of the Pledged Estate, or any part thereof, under or by virtue of judicial proceedings, regardless of the price paid for the Pledged Estate or any part thereof, shall, to the extent permitted by applicable law,
operate to divest all right, title, interest, claim and demand whatsoever, either at law or in equity, of the Debtor of, in and to the Pledged Estate and the property sold, and shall be a perpetual bar, both at law and equity, against the Debtor,
its successors and assigns and against any and all Persons claiming or who shall thereafter claim all or any portion of the property sold from, through, or under the Debtor, its successors or assigns and the Debtor, if requested by the Secured Party
so to do, shall join in the execution and delivery of all property conveyances, assignments, and transfers of the property so sold. The rights of the Secured Party to possession or for a receiver are of the essence hereof, and shall continue during
the running of the period allowed by law for the reinstatement of the Bank Payments Obligations secured hereby and thereafter until sale of 

  

 18 

 
the Pledged Estate. The Debtor hereby expressly waives and relinquishes any and all rights the Debtor may have by statute or otherwise to the possession of
the Pledged Estate and the Rents during pendency of a sale or foreclosure of this Deed of Trust. The Debtor agrees for itself and any and all Persons claiming by, through or under the Debtor that if the Debtor shall hold possession of the Pledged
Estate or any part thereof subsequent to sale or foreclosure hereunder, the Debtor, or the parties so holding possession, shall become and be considered as tenants at will of the purchaser or purchasers of such foreclosure sale; and any such tenant
failing or refusing to surrender possession upon demand shall be guilty of forcible detainer and shall be liable to such purchaser or purchasers for reasonable rental on said Pledged Estate and shall be subject to eviction and removal, forcible or
otherwise, with or without process of law, damages which may be sustained by the Debtor or any such tenant as a result thereof being hereby expressly waived. 
  
 Section 5.05. Reserved. 
  
 Section 5.06. Remedies Cumulative, Concurrent and Non-Exclusive. The Secured Party shall have all the rights, remedies and recourses granted
herein, in the Financing Documents and as available at law or equity (including specifically those granted by the UCC), and the same: 
  
 (a) shall be cumulative and concurrent; 
  
 (b) may be pursued separately, successively or concurrently against the Debtor, or against the Pledged Estate, at the sole discretion of
the Secured Party; 
  
 (c) may be exercised as
often as occasion therefor shall arise, it being agreed by the Debtor that the failure to exercise any of same shall in no event be construed as a waiver or release thereof or of any other right, remedy or recourse of the Secured Party; and

  
 (d) are intended to be, and shall be,
non-exclusive. 
  
 Section 5.07. No Conditions Precedent to
Exercise of Remedies. The Debtor will not be relieved from the payment or fulfillment of the Bank Payments Obligations by reason of: 
  
 (a) the failure of the Secured Party to comply with any request of the Debtor, or any other Person so obligated to enforce any provisions
of the Financing Documents; 
  
 (b) the release,
regardless of consideration, of the Pledged Estate or the addition of any other property to the Pledged Estate; 
  
 (c) any agreement or stipulation between any subsequent owner of the Pledged Estate and the Secured Party extending, renewing, rearranging
or in any other way modifying the terms of the Financing Documents without first having obtained the consent of, given notice to, or paid any consideration to the Debtor, who, in such event, shall continue to be 

  

 19 

 
liable to make payment according to the terms of any such extension or modification agreement unless expressly released and discharged in writing by the
Secured Party; or 
  
 (d) any other act or
occurrence, save and except the complete payment and satisfactory fulfillment of all of the Bank Payments Obligations. 
  
 Section 5.08. Extension, Rearrangement or Renewal of the Bank Payments Obligations. It is expressly agreed that any of the Bank Payments
Obligations at any time secured hereby may be from time to time extended for any period, rearranged, modified, or renewed and that any part of the security herein described, or any other security for the Bank Payments Obligations, may be waived or
released without in any way altering, varying or diminishing the force, effect or Lien of this Deed of Trust; and the Lien and security interests granted by this Deed of Trust shall continue as a prior Lien and security on all of the Pledged Estate
not expressly so released, until all sums with interest and charges hereby secured are fully paid; and no other security now existing or hereafter taken to secure the payment of the Bank Payments Obligations or any part thereof or the performance of
any obligation or liability whatsoever shall in any manner impair or affect the security given by this Deed of Trust and all security for the payment of the Bank Payments Obligations or any part thereof and the performance of any obligation or
liability shall be taken, considered and held as cumulative. 
  
 Section 5.09. Waiver of Redemption, Notice and Marshalling of Assets. To the fullest extent permitted by applicable law, the Debtor hereby irrevocably and unconditionally waives and releases: 
  
 (a) all benefits that might accrue to the Debtor by virtue
of any present or future law exempting the Pledged Estate from attachment, levy or sale on execution or providing for any appraisement, valuation, stay of execution, exemption from civil process, redemption or extension of time for payment;

  
 (b) except as expressly provided herein or in
the Financing Documents, all notices of any Event of Default or of the Secured Party’s election to exercise or the Secured Party’s actual exercise of any right, remedy or recourse provided for under the Financing Documents; 
  
 (c) any right to a marshalling of assets, right to direct
the order in which such property, if consisting of several known lots or parcels, shall be sold, or right to a sale in inverse order of alienation; and 
  
 (d) the pleading of any statute of limitations as a defense to any and all Bank Payments Obligations secured by this Deed of Trust;

  
 and covenants not to hinder, delay or impede the execution of any power herein
granted or delegated to the Secured Party, but to suffer and permit the execution of every power as though no such law or laws had been made or enacted. 
  

 20 

 Section 5.10. Repayment of Expenses. Repayment of all expenses incurred by the Secured Party
hereunder or payments made by the Secured Party on behalf of the Debtor hereunder, or under the Financing Documents, together with interest thereon shall be secured by this Deed of Trust; following the occurrence of an Event of Default, interest
thereon shall be at the Default Rate. 
  
 ARTICLE VI 
  
 SECURITY AGREEMENT 
  
 Section 6.01. Security Agreement. To the extent that the Pledged
Estate may be subject to the UCC, this Deed of Trust shall also constitute and serve as a “security agreement” on personal property within the meaning of, and shall constitute a first and prior security interest under, the UCC with respect
to the Pledged Estate which is subject to the UCC, including without limitation, the Personalty, Fixtures and Rents associated with the Project (collectively, the “Collateral”). To this end, the Debtor has GRANTED, BARGAINED, CONVEYED,
ASSIGNED, TRANSFERRED and SET OVER and by these presents does GRANT, BARGAIN, CONVEY, ASSIGN, TRANSFER and SET OVER unto the Secured Party a security interest in all of the Debtor’s right, title and interest in to and under all of the other
Pledged Estate not constituting real property under the laws of the State to secure the full and timely payment and the full and timely performance and discharge of the Bank Payments Obligations. Upon any default of the Debtor hereunder, the Secured
Party, or if the Secured Party directs the Trustee, at the direction of the Secured Party, shall be entitled to exercise with respect to the Collateral all of the rights and remedies set forth herein and in the Financing Documents or otherwise
afforded to a secured party under the terms of the UCC, any or all of which remedies or rights may be pursued and exercised concurrently, consecutively, alternatively or otherwise. The Debtor hereby authorizes the filing and refiling of one or more
supplemental security agreements and financing statements as the Secured Party may from time to time require covering any property now or hereafter constituting a portion of the Pledged Estate securing the Bank Payments Obligations secured hereunder
and such financing statements and other and further assurances as the Secured Party may request to perfect or evidence the security interest herein created and to particularize and identify the Collateral. The Debtor hereby authorizes the Secured
Party to file such financing statement or statements pursuant to the UCC, without the signature of the Debtor, as the Secured Party may deem necessary, to perfect such interests or right in its favor. It is the intent of the Debtor and the Secured
Party that this Deed of Trust encumber all Personalty and Rents and as to all items contained in the definition of Personalty and Rents which are included in the UCC, be covered by the security interests granted in this Article VI and that all items
contained in the definition of Personalty and Rents which are excluded from the UCC be covered by the provisions of Article II and Article VII hereof. 
  
 Section 6.02. Fixture Filing. This Deed of Trust shall also constitute a UCC financing statement (the “Fixture Filing”) for all
Personalty or Fixtures, now or hereafter so affixed by or on behalf of the Debtor to the Pledged Estate so that such becomes a fixture in accordance with the UCC. Information containing the security interest herein granted may be 

  

 21 

 
obtained at the addresses set forth herein. The address of the Secured Party as the “Secured Party” and the address of the Debtor as the
“Debtor” are the addresses set forth in Section 9.07 hereof. The Debtor is a Delaware Corporation and its corporate ID number is 54-1910453. 
  
 Section 6.03. Security Agreement; Remedies. If an Event of Default shall occur, the Secured Party, or the Trustee, at the direction of the Secured
Party, may, in addition to exercising any and all other rights, remedies and recourses set forth in Article V hereof, and subject to the terms of Section 5.02 with respect to the portion of the Pledged Estate constituting real property hereof, take
any or all of the following actions without notice to the Debtor (except where expressly required below or in the Financing Documents): 
  
 (a) Declare all or part of the Bank Payments Obligations immediately due and payable in accordance with Article VIII of the Reimbursement
Agreement, and enforce payment and performance of the same by the Debtor; 
  
 (b) Proceed in the manner set forth in the applicable provision of the UCC relating to the procedure to be followed when a security agreement covers both real and personal property; 
  
 (c) Take possession of the Collateral, or at the Secured
Party’s request, the Debtor shall, at the Debtor’s cost, assemble the Collateral and make it available at a location to be specified by the Secured Party which is reasonably convenient to the Debtor and the Secured Party. In any event, the
risk of accidental loss or damage to, or diminution in value of Collateral shall be on the Debtor, and the Secured Party shall have no liability whatsoever for failure to obtain or maintain insurance, nor to determine whether any insurance ever in
force is adequate as to amount or as to risk insured; 
  
 (d) Sell, in one or more sales and in one or more parcels, or otherwise dispose of any or all of the Collateral in any commercially reasonable manner as the Secured Party may elect, in a public or private transaction, at any location as
deemed reasonable by the Secured Party either for cash or credit or for future delivery at such price as the Secured Party may deem fair, and unless prohibited by the UCC, the Secured Party may be the purchaser of any or all Collateral so sold and
may apply upon the purchase price therefor any Bank Payments Obligations secured hereby. Any sale pursuant to this paragraph (d) shall be upon at least ten days notice to the Debtor, which the Debtor agrees is reasonable. Any such sale or transfer
by the Secured Party either to itself or to any other Person shall be absolutely free from any claim or right by the Debtor, including any equity or right of redemption, stay or appraisal which the Debtor has or may have under any rule of law,
regulation or statute now existing or hereafter adopted. Upon any such sale or transfer, the Secured Party shall have the right to deliver, assign and transfer to the purchaser or transferee thereof the Collateral so sold or transferred. It shall
not be necessary that the Collateral or any part thereof be present at the location of any such sale or transfer. The Secured Party, or at the Secured Party’s direction, the Trustee may, at its discretion, provide for a public sale, and any
such public sale shall be held at such time or times within ordinary business hours and at such place or places as the Secured Party may fix in the notice of such sale. The Secured Party shall not be obligated to make any sale pursuant to any

  

 22 

 
such notice. The Secured Party may, without notice or publication, adjourn any public or private sale by announcement at any time and place fixed for such
sale, and such sale may be made at any time or place to which the same may be so adjourned. In the event any sale or transfer hereunder is not completed or is defective in the opinion of the Secured Party, such sale or transfer shall not exhaust the
rights of the Secured Party hereunder, and the Secured Party shall have the right to cause one or more subsequent sales or transfers to be made hereunder. In the event that any of the Collateral not constituting real property is sold or transferred
on credit, or is to be held by the Secured Party for future delivery to a purchaser or transferee, the Collateral so sold or transferred may be retained by the Secured Party until the purchase price or other consideration is paid by the purchaser or
transferee thereof, but in the event that such purchaser or transferee fails to pay for the Collateral so sold or transferred or to take delivery thereof, the Secured Party shall incur no liability in connection therewith. If only part of the
Collateral is sold or transferred such that the Bank Payments Obligations remain outstanding (in whole or in part), the Secured Party’s rights and remedies hereunder shall not be exhausted, waived or modified, and the Secured Party is
specifically empowered to make one or more successive sales or transfers until all the Collateral shall be sold or transferred and all the Bank Payments Obligations are paid. In addition to all of the rights and remedies set forth herein, the
Secured Party shall have all the rights and remedies of a “secured party” under the UCC; 
  
 (e) Take possession of all books and records of the Debtor pertaining to the Collateral. The Trustee shall have the authority to enter
upon any real property or improvements in order to obtain any such books or records, or any Collateral located thereon, and remove the same therefrom without liability; and 
  
 (f) Apply the proceeds of the disposition of Collateral to the Bank Payments Obligations in the manner and
priority provided in Section 5.03 of this Deed of Trust. Such application may include, without limitation, the reasonable expenses of retaking, holding, preparing for sale or other disposition, and reasonable attorneys’ fees and legal expenses
incurred by the Trustee (including attorneys’ fees on appeal or incurred in connection with any bankruptcy proceeding). 
  

 23 

  
 ARTICLE VII 
  
 ASSIGNMENT OF RENTS 
  
 Section 7.01. Assignment of Rents. For Ten and No/100 Dollars ($10.00)
and other good and valuable consideration, including the Bank Payments Obligations, the receipt and sufficiency of which are hereby acknowledged, the Debtor has GRANTED, BARGAINED, SOLD, ASSIGNED and CONVEYED and by these presents does GRANT,
BARGAIN, SELL, ASSIGN and CONVEY absolutely unto the Secured Party, the Rents subject only to the Permitted Encumbrances applicable thereto and the hereinafter referenced limited license; TO HAVE AND TO HOLD the Rents unto the Secured Party forever
and the Debtor does hereby bind itself, its successors and assigns to warrant and forever defend the title to the Rents unto the Secured Party against every Person whomsoever lawfully claiming or to claim the same or any part thereof; provided,
however, if the Debtor pays or causes to be paid the Bank Payments Obligations as and when the same shall become due and payable and shall perform and discharge or cause to be performed and discharged the Bank Payments Obligations on or before the
date the same are to be performed and discharged, then this assignment shall terminate and be of no further force and effect, and all rights, titles and interests conveyed pursuant to this assignment shall become revested in the Debtor without the
necessity of any further act or requirement by the Debtor or the Secured Party. 
  
 Section 7.02. Rights of the Debtor’s Limited License. The Secured Party hereby grants to the Debtor a limited revocable license, non-exclusive with the rights of the Secured Party reserved in Section 7.04
hereof to exercise and enjoy all incidences of ownership of the Rents, including specifically, but without limitation, the right to collect, demand, sue for, attach, levy, recover and receive the Rents and to give proper receipts, releases and
acquittances therefor, prior to any default in the payment of any Bank Payments Obligations secured hereby, to collect, deliver, disburse and use all such Rents and exercise all rights under the Rents if not otherwise restricted under the Financing
Documents. This limited license shall be automatically revoked without notice upon the occurrence of an Event of Default. 
  
 Section 7.03. Enforcement of Rents. 
  
 (a) So long as the limited license is in effect, the Debtor shall: 
  
 (i) duly and punctually perform and comply with any and all representations, warranties, covenants and
agreements expressed as binding upon the Debtor as landlord under any lease or agreement; 
  
 (ii) maintain each of the leases or agreements in full force and effect during the term thereof, unless the Debtor determines in its
reasonable judgment that it is in its best interest to terminate any such lease or agreement; 
  
 (iii) appear in and defend any action or proceeding in any manner connected with any lease or agreement; 
  

 24 

 (iv) deliver to the Secured Party such further information or estoppels, and execute and
deliver to the Secured Party such further assurances and assignments, with respect to any leases or agreements as the Secured Party may from time to time request; and 
  
 (v) notify the Secured Party immediately of any default asserted by any tenant or other party under such a
lease, agreement or contract. 
  
 (b) Without the
Secured Party’s prior written consent, the Debtor shall not: 
  
 (i) grant concessions, do or knowingly permit to be done anything to impair the value, in the aggregate, of any of the leases or agreements; 
  
 (ii) assign or grant a security interest in or to the limited license or any of the rents, leases or
agreements; or 
  
 (iii) receive or collect rents
from any tenant, subtenant, undertenant, or other occupant of any part of the Pledged Estate, more than one month in advance of the due date or in any amount greater than that permitted by law. 
  
 Section 7.04. Suits and Attornment. Upon an Event of Default, the
Secured Party hereby reserves and may exercise the right and the Debtor hereby acknowledges that the Secured Party has the right (but not the obligation) to collect, demand, sue for, attach, levy, recover and receive any Rents, to give proper
receipts, releases and acquittances therefor and, after deducting the expenses of collection, to apply the net proceeds thereof as a credit upon the Bank Payments Obligations. The Debtor hereby authorizes and directs any Person or lessee of all or
any part of the Pledged Estate to deliver any such payments to, and otherwise to attorn all other obligations under the lease or agreements directly to the Secured Party in accordance herewith. The Debtor hereby ratifies and confirms all that the
Secured Party shall do or cause to be done by virtue of this Section 7.04. 
  
 Section 7.05. No Merger of Estates. So long as any part of the Bank Payments Obligations secured hereby remain unpaid and undischarged, the fee and leasehold estates to the Pledged Estate shall not merge, but
rather shall remain separate and distinct, notwithstanding the union of such estates, either in the Debtor, the Secured Party or any other Person by purchase or otherwise. 
  
 Section 7.06. Conflict. The absolute assignment contained in this Article VII is in addition to, and not in lieu of,
Article II hereof. It is the intent of the parties that no conflict exist between the absolute assignment contained in this Article VII and the collateral conveyance contained in Article II hereof. However, if and to the extent such conflict is
perceived to exist as to the Rents, such conflict shall be resolved in favor of the absolute assignment contained in this Article VII. 
  

 25 

 Section 7.07. Assignment of Rents Remedies. Upon the occurrence of an Event of Default, the
limited license shall immediately terminate without any notice or other further action being required of the Secured Party. Thereafter, the Secured Party shall have the exclusive right, power and authority to take any and all action in connection
with the Rents, regardless of whether a foreclosure or sale of the remainder of the Pledged Estate has occurred under this Deed of Trust or whether the Secured Party has taken possession of the remainder of the Pledged Estate or attempted to do any
of the same. The Secured Party may make such expenditures, including reasonable attorneys fees, in connection therewith and each amount so paid or expended with interest at the Default Rate shall become part of the Bank Payments Obligations and be
secured hereby. The Secured Party, may, at its option, have the right to apply to a court to have all Rents paid into a court registry pending adjudication of the Secured Party’s rights to such Rents. No action referred to in this Article VII
taken by the Secured Party shall constitute an election of remedies. 
  

 26 

  
 ARTICLE VIII 
  
 ENVIRONMENTAL MATTERS 
  
 Section 8.01. Definitions. As used in this Article VIII, capitalized
terms used but not defined herein shall have the meanings as set forth in the Environmental Indemnity Agreement. 
  
 Section 8.02. Representations and Warranties. Except as set forth in Schedule 8.02, and except as disclosed in the Phase I Environmental
Assessment, the Debtor hereby makes to the Secured Party the same representations and warranties set forth in Section 1 of the Environmental Indemnity Agreement which representations and warranties, as well as the related defined terms contained
therein, are hereby incorporated by reference with the same affect as if each and every representation and warranty and defined term were set forth herein in its entirety. 
  
 Section 8.03. Covenants. The Debtor hereby makes to the Secured Party the same covenants set forth in Sections 3 and
4 of the Environmental Indemnity Agreement which covenants, as well as the related defined terms contained therein, are hereby incorporated by reference with the same affect as if each and every covenant and defined term were set forth herein in its
entirety. 
  
 Section 8.04. General. 
  
 (a) The representations, warranties, covenants and
indemnities contained in this Article VIII shall continue after and survive the execution and delivery of the Deed of Trust, the discharge of the Bonds, the discharge of the Deed of Trust, the payment in full of the Bank Payments Obligations and any
foreclosure of the Deed of Trust and any acquisition of title to the Pledged Estate by the Secured Party and they shall be deemed continuing representations, warranties, covenants and indemnities for the benefit of the Secured Party and any
successors and assigns of the Secured Party, including any transferee of the title of the Secured Party or any subsequent purchaser at a foreclosure sale, and any subsequent owner of the Pledged Estate claiming through or under the title of the
Secured Party. 
  
 (b) The representations and
warranties of the Debtor in this Article VIII are based on its investigations of the Pledged Estate, including the Phase I Environmental Assessment, and the Secured Party is entitled to rely thereon notwithstanding any independent investigations by
the Secured Party or its employees, agents, contractors or representatives. 
  
 (c) The Debtor and its successors and assigns, hereby forfeit and forever waive, release and covenant not to sue the Secured Party with respect to, any claims, rights, remedies or causes of action that the Debtor may
have now or in the future or that may arise against the Secured Party under Environmental Laws or any other theory of liability with respect to (i) any environmental matters of any kind or nature whatsoever respecting the Pledged Estate, including
without limitation any Environmental Conditions on, at, under or emanating 

  

 27 

 
from the Pledged Estate; and (ii) any of the matters described in the Article VIII, except to the extent such claim, right, remedy or cause of action arises
or results from the acts or omissions of the Secured Party or its successors or assigns either before or after any foreclosure pursuant to the terms hereof. It is expressly understood and agreed that to the extent that the Secured Party is strictly
liable under any Environmental Law or other law, statute, code, ordinance, regulation, rule or other requirement, the indemnification obligation of the Debtor to the Secured Party under this Article VIII shall likewise be without regard to fault on
the part of the Debtor with respect to any violation or condition which results in any liability to the Secured Party. 
  
 (d) The Secured Party’s rights and remedies against the Debtor under this Article VIII shall be in addition to and not in lieu of all
other rights and remedies of the Secured Party under the Deed of Trust and the other Financing Documents, at law or in equity. 
  
 (e) The provisions of this Section 8.04 shall survive the repayment of the Bank Payments Obligations and the discharge of this Deed of
Trust. 
  

 28 

  
 ARTICLE IX 
  
 MISCELLANEOUS PROVISIONS 
  
 Section 9.01. Trustee Provisions. The following provisions shall
govern with respect to the Trustee: 
  
 (a) To
the extent permitted by law, the Trustee shall not be liable for any error of judgment or act done by the Trustee in good faith, or be otherwise responsible or accountable to the Debtor under any circumstances whatsoever, nor shall the Trustee be
personally liable in case of entry by it, or anyone entering by virtue of the powers herein granted, upon the Pledged Estate for debts contracted or liability or damages incurred in the management or operation of the Pledged Estate. The Trustee
shall have the right to rely on any instrument, document or signature authorizing or supporting any action taken or proposed to be taken by it hereunder, believed by it in good faith to be genuine. The Trustee shall be entitled to reimbursement for
expenses incurred by it in the performance of its duties hereunder and to reasonable compensation for such of its services hereunder as shall be rendered. The Debtor will, from time to time, pay the compensation due to the Trustee hereunder and
reimburse the Trustee for, and save it harmless against, any and all liability and expenses which may be incurred by it in the performance of its duties. 
  
 (b) All moneys received by the Trustee shall, until used or applied as herein provided, be held in trust for the purposes for which they
were received, but need not be segregated in any manner from any other moneys (except to the extent required by law), and the Trustee shall be under no liability for interest on any money received by it hereunder. 
  
 (c) The Trustee may resign at any time with or without
notice. If the Trustee shall resign or become disqualified from acting in the execution of this trust or shall fail or refuse to execute the same when requested by the Secured Party so to do, or if, for any reason, the Secured Party shall prefer to
appoint a substitute trustee to act instead of the aforenamed Trustee, the Secured Party shall have full power to appoint a substitute trustee or trustees, either of whom may act, and, if preferred and, to the extent permitted by law, several
substitute trustees in succession who shall succeed to all the estates, rights, powers and duties of the aforenamed Trustee. 
  
 (d) Any new Trustee appointed pursuant to any of the provisions hereof shall, without any further act, deed or conveyance, become vested
with all the estates, properties, rights, powers and trusts of its predecessor in the rights hereunder with like effect as if originally named as the Trustee herein; but nevertheless, upon the written request of Secured Party or of the successor
Trustee, the Trustee ceasing to act shall execute and deliver an instrument transferring to such successor Trustee, upon the trusts herein expressed, all the estates, properties, rights, powers and trusts of the Trustee so ceasing to act, and shall
duly assign, transfer and deliver any of the property and money held by the Trustee to the successor Trustee so appointed in its place. 
  

 29 

 Section 9.02. No Obligation of the Secured Party. Neither the acceptance by the Secured Party of
the assignment granted in Section 7.01 hereof, or the security interest granted in Section 6.01 hereof, nor the granting of any other right, power, privilege or authority in this Deed of Trust, nor the exercise of any of the aforesaid, shall:

  
 (a) prior to the taking of possession of the
Pledged Estate by the Secured Party be deemed to constitute the Secured Party as a “Secured Party in Possession”; or 
  
 (b) at any time thereafter, obligate the Secured Party: 
  
 (i) to appear and defend any action or proceeding relating to the Pledged Estate; 
  
 (ii) to take any action hereunder; 
  
 (iii) to expend any money or incur any expenses to perform
or discharge any obligation, duty or liability with respect to any lease or agreement or with respect to the Personalty, Fixtures, Rents or any other portion of the Pledged Estate; 
  
 (iv) to assume any obligation or responsibility for any deposits which are not physically delivered to the
Secured Party; or 
  
 (v) for any injury or
damage to any person or property sustained in or about the Pledged Estate. 
  
 Section 9.03. Debtor’s Attorney-in-Fact. The Debtor will pay all costs of filing any financing, continuation or termination statements with respect to the security interests created by this Deed of Trust
and shall make, execute and deliver or cause to be made, executed or delivered to the Secured Party, any further instruments, mortgages, conveyances, deeds, certificates and other documents as may, in the opinion of the Secured Party, be reasonably
necessary or desirable in order to effectuate, complete, confirm, or perfect or to continue to preserve the obligation of the Debtor under the Bank Payments Obligations and the Lien of this Deed of Trust; and the Secured Party is hereby appointed as
the Debtor’s attorney-in-fact to do, at the Secured Party’s option and at the Debtor’s expense, all acts and things which the Secured Party may deem necessary to perfect and continue to perfect the lien and security interest created
by this Deed of Trust and to protect the Pledged Estate. After an Event of Default, the Secured Party may execute, sign, endorse, transfer or deliver, in the name of the Debtor, notes, checks, drafts or other instruments for the payment of money and
receipts, certificates of origin, certificates of title, applications for certificates of title, or any other documents necessary to evidence, perfect or realize upon the liens and security interests created or secured by this Deed of Trust. This
authority shall be considered a power coupled with an interest and shall be irrevocable until all the Bank Payments Obligations secured hereby shall have been paid in full. 
  

 30 

 Section 9.04. Casualty Loss, Condemnation, Eminent Domain and Insurance. 
  
 (a) If the Pledged Estate shall be wholly or partially
destroyed or damaged by fire or other casualty covered by insurance, or if the Pledged Estate shall be wholly or partially condemned, taken or injured by any person, including any person possessing the right to exercise the power of or a power in
the nature of eminent domain or transferred to such a person, by way of a conveyance in lieu of the exercise of such a power by such person, or if any part of the Pledged Estate shall be lost because of failure of title, the Debtor covenants that it
will take all actions and will do all things which may be necessary to enable recovery to be made upon such policies of insurance or on account of such taking, condemnation, conveyance, damage, injury or loss of title in order that moneys due on
account of losses suffered may be collected and paid to the Secured Party for application as provided herein. Any appraisement or adjustment of loss or damage and any settlement or payment therefor, which may be agreed upon by the Debtor and the
appropriate insurer or condemnor or person, shall be evidenced to the Secured Party by a certificate of the Debtor. The Secured Party may rely conclusively upon such certificate. 
  
 (b) (i) Subject to the provisions of subsection (iv) below, immediately after occurrence of loss or damage
covered by insurance, the Debtor shall notify in writing the Secured Party and an independent architect thereof. An independent architect promptly shall determine and advise the Secured Party and the Debtor, in writing, whether it is practicable to
repair, reconstruct or replace such damaged or destroyed or condemned or lost property and, if so, the estimated time and funds required for such repair, reconstruction or replacement; provided that no notice to or the advice of the architect shall
be required if the estimated cost of repair, reconstruction or replacement, as set forth in reasonable detail in a certificate of the Debtor delivered to the Secured Party is less than $1,000,000. The proceeds of insurance shall be applied as
provided in subsections (ii) and (iv) below. 
  
 (ii) If the proceeds of insurance are in excess of $1,000,000, such amounts shall be retained by the Secured Party for application as follows: 
  
 (A) If the independent architect shall advise to the satisfaction of the Secured Party that such repair, reconstruction or replacement is
practicable, and if, within ninety (90) days from the receipt of the independent architect’s report (or such later date as may be reasonably acceptable to the Secured Party), the Debtor delivers to the Secured Party: (1) evidence reasonably
satisfactory to the Secured Party that, based upon the Debtor’s best judgment of the net insurance proceeds anticipated, the Debtor will have sufficient funds from the net insurance proceeds (including business interruption insurance and other
available funds) and from reasonably anticipated continued operations to make the payments required of the Debtor under the Reimbursement Agreement, to satisfy the financial covenants set forth in the Reimbursement Agreement, to pay the cost of
repairing, restoring or replacing the portion of the Pledged Estate affected by such loss or damage and to pay all operating expenses until completion of the repair, reconstruction or replacement of such part of the Pledged Estate which is affected
by such loss or damage and for the first full fiscal year after such completion; (2) an executed construction contract reasonably satisfactory to the Secured Party for such work at a guaranteed maximum price or fixed price; and (3) evidence of the
availability of cash or an irrevocable letter of credit in an amount at least equal to the excess, if any, of the funds necessary for payment of the amounts due under such construction contract, over the available net 

  

 31 

 
insurance proceeds, then the Debtor shall promptly proceed to repair, reconstruct and replace such part of the Pledged Estate, including all fixtures,
furniture, equipment and affects, to its original condition insofar as possible. 
  
 (B) If the independent architect advises that such repair, reconstruction or replacement is not practicable, or if the independent
architect’s report or the other documents described in (A) above are not delivered within the required time period or are not reasonably satisfactory to the Secured Party, then the Secured Party may elect to have the Loan (as defined in the
Loan Agreement) repaid to the extent of such net proceeds and such insurance or condemnation proceeds shall be deposited in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the mandatory
redemption of the Bonds. 
  
 (iii) The moneys
required for such repair, reconstruction and replacement shall be paid by the Secured Party to the Trustee for deposit in the Project Fund established under the Indenture, which shall be reactivated and disbursed in accordance with the provisions of
the Indenture. 
  
 (iv) Notwithstanding anything
in this Section 9.04(b) to the contrary (but subject to the provisions of subsection (v) below), if the estimated cost of such repair, reconstruction or replacement is (A) less than $50,000, such amounts shall be released by the Secured Party to the
Debtor for application toward such lawful purposes as the Debtor may deem appropriate, and (B) equal to or greater than $50,000 but less than $1,000,000, the Debtor shall not be required to deliver the items referred to above, the net insurance
proceeds shall be paid to the Debtor and the Debtor shall promptly proceed with such repair, reconstruction or replacement. Any net insurance proceeds remaining after the completion of such repair, replacement or reconstruction shall promptly, at
the direction of the Debtor, be transferred to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the mandatory redemption of the Bonds. 
  
 (v) Notwithstanding anything contained in this Section to
the contrary, if an Event of Default has occurred and is continuing hereunder or under the Reimbursement Agreement, any proceeds from insurance shall, at the option of the Secured Party, be transferred by the Secured Party to the Trustee for deposit
in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the mandatory redemption of the Bonds. 
  
 (c) (i) Immediately after the commencement of any condemnation or similar proceedings by a third party in the exercise of a power of
eminent domain, or a power in the nature of eminent domain affecting the Pledged Estate, the Debtor shall notify the Secured Party in writing. 
  
 (ii) Subject to the provisions of subsection (iii) below, the proceeds of any condemnation award or other compensation paid by reason of a
conveyance in lieu of the 

  

 32 

 
exercise of such power, with respect to all or substantially all the Pledged Estate (after deducting any costs or expenses incurred by the Secured Party or
the Debtor in collecting the same, the “Net Condemnation Proceeds”) shall be paid to the Secured Party which shall transfer such amounts to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under
the Letter of Credit in connection with the mandatory redemption of the Bonds. Any Net Condemnation Proceeds received for a taking of less than substantially all of the Pledged Estate shall be applied as provided in subsections (iii), (iv) and (v)
below. 
  
 (iii) Notwithstanding anything in this
Section 9.04(c) to the contrary (but subject to the provisions of subsection (vii) below), if the estimated cost of replacing or restoring the portion of the Pledged Estate affected by such taking or conveyance is (A) less than $50,000, the Debtor
shall not be required to deliver the items referred to in subsection (iv) below and the Net Condemnation Proceeds shall be paid to the Debtor for application to such lawful purposes as the Debtor may deem appropriate, and (B) equal to or greater
than $50,000 but less than $1,000,000, the Debtor shall not be required to deliver the items referred to in subsection (iv) below, the Net Condemnation Proceeds shall be paid to the Debtor and the Debtor shall promptly proceed to replace or restore
such portion of the Pledged Estate. 
  
 (iv) If,
within ninety (90) days of receipt of such condemnation award (or by such later date as may be reasonably acceptable to the Secured Party) or other compensation which is equal to or greater than $1,000,000, the Debtor delivers to the Secured Party

  
 (A) a written report satisfactory to the
Secured Party of an independent architect stating such architect’s estimate of the cost of replacing or restoring the portion of the Pledged Estate affected by such taking or conveyance and 
  
 (B) evidence reasonably satisfactory to the Secured Party
stating that, in the Debtor’s best judgment, the Debtor will have sufficient funds from the Net Condemnation Proceeds (and from proceeds of use and occupancy insurance and other available funds and from reasonably anticipated continued
operations) to make the payments required of the Debtor under the Reimbursement Agreement, to satisfy the financial covenants set forth in the Reimbursement Agreement, to pay the cost of replacing or restoring the portion of the Pledged Estate
affected by such taking or conveyance and to pay all operating expenses until completion of the replacement or restoration of such portion of the Pledged Estate which is affected by such taking or conveyance and for the first full fiscal year after
such completion, 
  
 then: 
  
 (A) The Debtor may elect to replace or restore the portion
of the Pledged Estate affected by such taking or conveyance, in which event the Debtor shall promptly proceed to replace or restore such portion of the Pledged Estate, including any fixtures, furniture, equipment and effects, to its original
usefulness and condition insofar as possible, provided that the Debtor has delivered to the Secured Party (i) an executed construction contract reasonably satisfactory to the Secured Party for such work at a price not greater than the amount stated
in the 

  

 33 

 
independent architect’s report and (ii) evidence of the availability of cash or an irrevocable letter of credit in an amount equal to the funds, if any,
required by such independent architect’s report in excess of the available Net Condemnation Proceeds. The moneys required for such replacement or restoration shall be paid (x) from the Net Condemnation Proceeds on deposit with the Secured Party
to the Trustee for deposit in the Project Fund established under the Indenture, which shall be reactivated and disbursed in accordance with the provisions of the Indenture; and (y) to the extent that such proceeds are not sufficient, from moneys to
be provided by the Debtor; or 
  
 (B) The Debtor
may elect, with the consent of the Secured Party, to have all or part of such Net Condemnation Proceeds transferred to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in
connection with the redemption of the Bonds; or 
  
 (C) If the reports required by this subsection (iv) are not delivered within the required time period or are not reasonably satisfactory to the Secured Party, then the Net Condemnation Proceeds shall be deposited with the Secured Party and
transferred to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the redemption of the Bonds. 
  
 (v) Any Net Condemnation Proceeds remaining after the completion of such replacement or reconstruction shall
promptly at the direction of the Debtor be transferred to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the mandatory redemption of the Bonds. 
  
 (vi) Notwithstanding the foregoing, if the Debtor advises to
the reasonable satisfaction of the Secured Party that (A) the Facility can continue to operate effectively with less than full replacement or restoration of the portion of the Pledged Estate affected by such taking or conveyance and (B) the Debtor
can continue to maintain all financial covenants contained in the Reimbursement Agreement for a period of two fiscal years, then any Net Condemnation Proceeds shall be paid to the Debtor for application to such lawful purposes as the Debtor may deem
appropriate. 
  
 (vii) Notwithstanding anything
contained in this Section to the contrary, if an Event of Default has occurred and is continuing hereunder or under the Reimbursement Agreement, any Net Condemnation Proceeds shall, at the option of the Secured Party, be transferred by the Secured
Party to the Trustee for deposit in the Bond Fund and used to reimburse the Secured Party for a draw under the Letter of Credit in connection with the mandatory redemption of the Bonds. 
  
 Section 9.05. No Waiver by the Secured Party. By accepting payment of any sum secured hereby after its due date, the
Secured Party does not waive any late charge thereon not then paid or its right either to require prompt payment when due of all other sums so secured or to declare a default for the Debtor’s failure to pay when any amount is due. 

 

 34 

 Section 9.06. Satisfaction. Except for the provisions which by their express terms survive
termination of this Deed of Trust, this Deed of Trust and the lien and security interest created hereby shall be null and void and extinguished, and the Trustee shall, following the written request by, and at the sole cost and expense of the Debtor,
execute and record a satisfaction of this Deed of Trust and the Debtor shall be released from the covenants, agreements and obligations of the Debtor contained herein upon the payment and performance of all Bank Payments Obligations secured hereby
and termination of all commitments to extend credit. 
  
 The
recitals in such satisfaction of any matters or facts shall be conclusive proof against all Persons of the truthfulness thereof. The execution and recordation of a satisfaction of this Deed of Trust by the Secured Party shall be sufficient to
extinguish all interests of the Secured Party and its respective legal representatives, successors and assigns except those terms which expressly survive the termination of this Deed of Trust. 
  
 Section 9.07. Notices. All communications under or in connection with
this Deed of Trust shall be in writing and shall be mailed by certified mail, return receipt requested or by overnight express mail with notice for receipt, or otherwise sent by telex, telegram, telecopy or similar form of rapid transmission, or by
telephone confirmed by mailing (in the manner stated above) of written confirmation at substantially the same time as such rapid transmission, or personally delivered to an office of the receiving party. All such communications shall be mailed, sent
or given to the following addresses: 
  

			
	 If to the Debtor:
	  	Trex Company, Inc.
	 	  	160 Exeter Drive
	 	  	Winchester, Virginia 22603-8605
	 	  	Attention: Senior Vice President and Chief Financial Officer
		
	 If to the Trustee:
	  	Gary P. Snyder
	 	  	Watkins Ludlam Winter & Stennis, P.A.
	 	  	P.O. Box 1456
	 	  	Olive Branch, Mississippi 38654
		
	 If to the Secured Party:
	  	JPMorgan Chase Bank, N.A.
	 	  	277 Park Avenue, 22nd Floor
	 	  	New York, New York 10172
	 	  	Attention: Sandra BVW Braun, Vice President

  
 Section 9.08.
Amendment and Waiver. No amendment or waiver of any provision of this Deed of Trust nor consent to any departure by the Debtor therefrom shall in any event be effective unless the same shall be in writing and signed by the Trustee and the
Secured Party and then such waiver or consent shall be effective only in the specific instance and for the specific purpose for which given. 
  

 35 

 Section 9.09. Payment of Costs and Expenses of Secured Party. The Debtor shall promptly pay upon
demand all reasonable expenses and costs incurred by the Secured Party, including reasonable attorneys’ fees and expenses in connection with (a) any action, proceeding, litigation or claim instituted or asserted by or against the Secured Party
or in which the Secured Party become engaged, wherein it becomes necessary in the opinion of the Secured Party to defend or uphold the lien of this Deed of Trust, or the validity or effectiveness of any assignment or any claim, award, payment,
property damage insurance policy or any other right or property conveyed, encumbered or assigned by the Debtor to the Secured Party hereunder, or the priority of any of the same, and (b) the exercise or enforcement of any other rights or remedies of
the Secured Party hereunder, and in any case, all such reasonable expenses and costs may be added to and become part of the principal indebtedness of the Debtor hereunder, bear interest at the Default Rate, and be secured in all respects hereby as
if part of the principal indebtedness of the Debtor hereunder and under the Bank Payments Obligations. 
  
 Section 9.10. Taxation of the Bank Payments Obligations and Deed of Trust. If at any time before the Bank Payments Obligations hereby secured are
fully paid, any law of the State be enacted deducting from the value of the Pledged Estate for the purposes of taxation the amount of any lien thereon, or imposing upon the Secured Party the payment of the whole or any part of the Impositions herein
required to be paid by the Debtor revising or changing in any way the laws relating to the taxation of mortgages or debts secured by mortgages or the Secured Party’s interest in the Pledged Estate or the manner of collection of taxes, so as to
affect adversely this Deed of Trust or the debt hereby secured, or the owner and holder thereof in respect thereto, then, and in any such event, the Debtor upon demand by the Secured Party, shall pay such Impositions or reimburse the Secured Party
therefor; provided, however, that if, in the opinion of Counsel for the Secured Party, (a) it would be unlawful to require the Debtor to make such payment; or (b) the making of such payment might result in the imposition of interest beyond the
Highest Lawful Rate, then, in such event, the Secured Party may elect, by notice in writing given to the Debtor, to declare all of the Bank Payments Obligations secured hereby to be and become due and payable within sixty (60) days from the giving
of such notice. Notwithstanding the foregoing, it is understood and agreed that the Debtor is not obligated to pay any portion of the Secured Party’s federal or state income taxes. 
  
 Section 9.11. No Credit for Taxes. The Debtor will not claim or demand or be entitled to receive any credit or
credits on the Bank Payments Obligations, or on the interest payable thereon, for so much of the taxes assessed against said Pledged Estate as is equal to the tax rate applied to the Bank Payments Obligations due on this Deed of Trust or any part
thereof, and no deduction shall be claimed from the taxable value of said Pledged Estate by reason of this Deed of Trust. 
  
 Section 9.12. Due on Sale; Assignability. The financial stability and developmental, managerial and operational ability of the Debtor are a
substantial and material consideration to the Secured Party in its agreement to enter into the transaction evidenced by the Financing Documents. The Debtor acknowledges that the transfer of the Pledged Estate could significantly and materially
alter, impair and reduce the Secured Party’s security for the Bank 

  

 36 

 
Payments Obligations. In order, therefore, to induce the Secured Party to accept the Financing Documents, the Debtor agrees not to, directly or indirectly,
transfer the Pledged Estate, or any portion thereof, or any interest therein, without the prior written consent of the Secured Party. In the event the Debtor, or any successor in interest of the Debtor, shall transfer the Pledged Estate, or any
portion thereof, or any interest therein, to any person without complying with the terms of the Reimbursement Agreement, all Bank Payments Obligations unpaid pursuant to the Financing Documents, the payment of which is secured by this Deed of Trust
shall at the option of the Secured Party and without notice or demand, become immediately due and payable, and, in addition, upon any such prohibited transfer, such transfer shall be deemed to be an “Event of Default” hereunder. Consent to
one such transaction shall not be deemed to be a waiver of the right to require consent to future or successive transactions. As used herein, “transfer” includes the sale, transfer or conveyance of the Pledged Estate, or any portion
thereof, or any interest therein, whether voluntary, involuntary (except by eminent domain), by operation of law or otherwise. The Secured Party shall have the right to assign this Deed of Trust. All of the rights, privileges, remedies and options
given to the Secured Party hereunder shall inure to the benefit of its successors and assigns; and all the terms, conditions, promises, covenants, provisions and warranties of this Deed of Trust shall inure to the benefit of and shall bind the
representatives, successors and assigns of the Secured Party and the Debtor. 
  
 Section 9.13. Severability. Any provision of this Deed of Trust which is prohibited, unenforceable or not authorized in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such
prohibition, unenforceability or nonauthorization without invalidating the remaining provisions hereof or affecting the validity, enforceability or legality of such provision in any other jurisdiction. 
  
 Section 9.14. Governing Law. This Deed of Trust shall be governed by
and construed in accordance with the laws of the State without giving effect to conflicts of laws. 
  
 Section 9.15. Future Advances. This Deed of Trust shall secure the Bank Payments Obligations and any future or protective advances made hereunder
or under the Financing Documents. The total amount of indebtedness secured hereby may decrease or increase from time to time. 
  
 Section 9.16. Headings. Section headings in this Deed of Trust are included herein for convenience of reference only and shall not constitute a
part of this Deed of Trust for any other purpose. 
  
 Section
9.17. Entire Agreement. This Deed of Trust constitutes the entire agreement between the parties hereto with respect to the transactions contemplated hereby and supersedes and is full substitution for any and all prior agreements and
understandings between said parties related to such transactions. 
  
 Section 9.18. Time of the Essence. Time is strictly of the essence under this Deed of Trust and any amendment, modification or revision hereof. 
  

 37 

 Section 9.19 Further Action By Debtor. The Debtor shall at its expense promptly upon request of
the Secured Party do all reasonable acts and things, including, but not limited to, the execution of any further assurances deemed necessary by the Secured Party, to establish, confirm, maintain, protect and continue the lien created and intended to
be created hereby, all assignments made or intended to be made pursuant hereto and all other rights and benefits conferred or intended to be conferred on the Secured Party hereby, and the Debtor shall pay all reasonable costs incurred by the Secured
Party in connection therewith, including all filing and recording costs, cost of searches, and reasonable attorneys’ fees incurred by the Secured Party. 
  
 Section 9.20 Advances by Secured Party. The Secured Party may, but are not obligated to, pay any sum or perform any other obligation for the
account of the Debtor which the Debtor has failed to pay or perform (including, but not limited to, procuring insurance), and sums so spent by the Secured Party shall be added to the principal sum secured by this Deed of Trust and be repayable by
the Debtor on demand, and shall bear interest from the date of advance by the Secured Party equal to the Default Rate. 
  
 Section 9.21 Invalid Provision Disregarded. If any term or provision of this Deed of Trust or the application thereof to any person or circumstance
shall to any extent be invalid or unenforceable, the remainder of this Deed of Trust or the application of such term or provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected
thereby and each term and provision of this Deed of Trust shall be valid and be enforced to the fullest extent permitted by law. 
  
 Section 9.22 Inspection and Repairs by the Secured Party. The Debtor will permit the Secured Party and the Secured Party’s representatives to
enter the Pledged Estate at reasonable times to inspect the same; provided that so long as there is no uncured or unwaived Event of Default, the Secured Party shall provide the Debtor with prior notice of such inspection. Such right of access shall
include, without limitation, the right to enter upon the Pledged Estate to conduct such tests, analyses, environmental audits, inspections and borings as the Secured Party may deem necessary or advisable, in its reasonable discretion. In case of any
breach or default by the Debtor in its maintenance and repair obligations with respect to the Pledged Estate under the Reimbursement Agreement, the Secured Party may, at its option, enter the Pledged Estate to protect, restore or repair any part
thereof, but the Secured Party shall be under no obligation to do so. 
  
 Section 9.23 No Liability of Secured Party. Notwithstanding anything to the contrary contained herein, nothing herein shall cause the Secured Party to be liable for or be bound by any obligations of the Debtor under the Collateral.

  
 THE DEBTOR HEREBY DECLARES AND ACKNOWLEDGES THAT IT HAS
RECEIVED, WITHOUT CHARGE, A TRUE COPY OF THIS DEED OF TRUST. 
  

 38 

 IN WITNESS WHEREOF, this Deed of Trust has been duly executed as of the day and year first above written.

  

			
	 “Debtor”

	
	TREX COMPANY, INC.
		
	By:	 	 /s/ Paul D. Fletcher

	 	 	 Paul D. Fletcher

	 	 	 SeniorVice President, Chief Financial Officer

  

 39 

 STATE
OF                                        
 
  
 COUNTY
OF                                      
  
 Personally appeared before me, the undersigned authority in and for the said
county and state, on this              day of                     ,
2004, within my jurisdiction, the within named Paul D. Fletcher, duly identified before me, who acknowledged that he is Senior Vice President, Chief Financial Officer of Trex Company, Inc., a Delaware corporation and that for and on behalf of said
corporation, and as its act and deed, he executed the above and foregoing instrument, after first having been duly authorized by said corporation so to do. 
  

			
		
	 	 	 
	 	 	 NOTARY PUBLIC

  

	
	My Commission Expires:
	
	____________________
	(Affix official seal)

  

 40EXHIBIT 10.6

  
 Exhibit 10.6

  
 TRUST INDENTURE 
  
 BETWEEN 
  

  
 MISSISSIPPI BUSINESS FINANCE CORPORATION 
  
 AND

  
 J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION

 as Trustee 
  

  
 RELATING TO: 
  
 $25,000,000 Mississippi Business Finance Corporation 
 Variable Rate Demand Environmental Improvement Revenue Bonds 
 (Trex Company, Inc. Project), Series 2004 
  
 Dated as of December 1, 2004 
  

  
 TABLE OF CONTENTS

  

					
	 	  	 	  	Page

	 ARTICLE I DEFINITIONS
	  	2
		
	 ARTICLE II THE BONDS
	  	12
			
	 SECTION 201.
	  	 Authorized Amount of Bonds
	  	12
			
	 SECTION 202.
	  	 Issuance of Bonds
	  	12
			
	 SECTION 203.
	  	 Interest Rates on Bonds
	  	13
			
	 SECTION 204.
	  	 Conversion of Interest Rate on Bonds
	  	15
			
	 SECTION 205.
	  	 Purchase of Bonds at Option of Bondholder
	  	16
			
	 SECTION 206.
	  	 Mandatory Tender of Bonds
	  	17
			
	 SECTION 207.
	  	 Procedures for Remarketing of Bonds
	  	19
			
	 SECTION 208.
	  	 Execution; Limited Obligation
	  	21
			
	 SECTION 209.
	  	 Certificate of Authentication
	  	22
			
	 SECTION 210.
	  	 Form of Bonds
	  	22
			
	 SECTION 211.
	  	 Delivery of Bonds
	  	22
			
	 SECTION 212.
	  	 Mutilated, Lost, Stolen or Destroyed Bonds
	  	24
			
	 SECTION 213.
	  	 Exchangeability and Transfer of Bonds; Persons Treated as Owners
	  	24
			
	 SECTION 214.
	  	 Replacement Bonds
	  	26
			
	 SECTION 215.
	  	 Cancellation
	  	26
			
	 SECTION 216.
	  	 Ratably Secured
	  	26
			
	 SECTION 217.
	  	 Redemption of Bonds
	  	26
			
	 SECTION 218.
	  	 Partial Redemption of Bonds
	  	28
			
	 SECTION 219.
	  	 Notice of Redemption
	  	28
			
	 SECTION 220.
	  	 Book-Entry Only Registration of the Bonds
	  	30
			
	 SECTION 221.
	  	 CUSIP Numbers
	  	32
		
	 ARTICLE III SECURITY
	  	32
			
	 SECTION 301.
	  	 Security
	  	32
			
	 SECTION 302.
	  	 Payment of Bonds and Performance of Covenants
	  	33
			
	 SECTION 303.
	  	 Authority
	  	33
			
	 SECTION 304.
	  	 No Litigation
	  	34
			
	 SECTION 305.
	  	 Further Assurances
	  	34

  

 -i- 

  
 TABLE OF CONTENTS

 (continued) 
  

					
	 	  	 	  	Page

	 SECTION 306.
	  	 No Other Encumbrances
	  	34
			
	 SECTION 307.
	  	 No Recourse
	  	34
			
	 SECTION 308.
	  	 Letter of Credit
	  	34
		
	 ARTICLE IV FUNDS
	  	37
			
	 SECTION 401.
	  	 Establishment and Use of Bond Fund
	  	37
			
	 SECTION 402.
	  	 Establishment and Use of Project Fund
	  	40
			
	 SECTION 403.
	  	 Creation and Sources of Bond Purchase Fund
	  	40
			
	 SECTION 404.
	  	 Use of Moneys in the Bond Purchase Fund
	  	41
			
	 SECTION 405.
	  	 Deposit of Bond Proceeds
	  	43
			
	 SECTION 406.
	  	 Account Statements
	  	43
			
	 SECTION 407.
	  	 Investment of Project Fund and Bond Fund Moneys
	  	44
			
	 SECTION 408.
	  	 Arbitrage
	  	44
			
	 SECTION 409.
	  	 Rebate of Certain Arbitrage Earnings
	  	45
		
	 ARTICLE V DISCHARGE OF LIEN
	  	46
			
	 SECTION 501.
	  	 Discharge of Lien and Security Interest
	  	46
			
	 SECTION 502.
	  	 Provision for Payment of Bonds During Fixed Rate Period
	  	47
			
	 SECTION 503.
	  	 Discharge of this Indenture
	  	48
			
	 SECTION 504.
	  	 Unclaimed Moneys
	  	48
		
	 ARTICLE VI DEFAULT PROVISIONS AND REMEDIES
	  	49
			
	 SECTION 601.
	  	 Events of Default
	  	49
			
	 SECTION 602.
	  	 Acceleration
	  	50
			
	 SECTION 603.
	  	 Other Remedies; Rights of Bondholders
	  	50
			
	 SECTION 604.
	  	 Right of Bondholders and Bank to Direct Proceedings
	  	51
			
	 SECTION 605.
	  	 Discontinuance of Default Proceedings
	  	52
			
	 SECTION 606.
	  	 Waiver
	  	52
			
	 SECTION 607.
	  	 Application of Moneys
	  	52
		
	 ARTICLE VII THE TRUSTEE AND THE REMARKETING AGENT
	  	53
			
	 SECTION 701.
	  	 Appointment
	  	53
			
	 SECTION 702.
	  	 Fees, Expenses
	  	56
			
	 SECTION 703.
	  	 Intervention in Litigation
	  	57

  

 -ii- 

  
 TABLE OF CONTENTS

 (continued) 
  

					
	 	  	 	  	Page

	 SECTION 704.
	  	 Resignation; Appointment of Successor Trustee; Successor Trustee Upon Merger, Consolidation or Sale
	  	57
			
	 SECTION 705.
	  	 Removal of Trustee
	  	59
			
	 SECTION 706.
	  	 Instruments of Bondholders
	  	59
			
	 SECTION 707.
	  	 Power to Appoint Co-Trustees
	  	59
			
	 SECTION 708.
	  	 Recordation and Other Instruments
	  	61
			
	 SECTION 709.
	  	 Remarketing Agent
	  	62
			
	 SECTION 710.
	  	 Qualifications of Remarketing Agent; Resignation; Removal
	  	62
			
	 SECTION 711.
	  	 Trustee as Custodian of the Funds, Bond Registrar, Paying Agent and Tender Agent
	  	63
			
	 SECTION 712.
	  	 Several Capacities
	  	63
			
	 SECTION 713.
	  	 Representations, Warranties and Covenants of the Trustee
	  	63
		
	 ARTICLE VIII AMENDMENTS, SUPPLEMENTAL INDENTURES
	  	64
			
	 SECTION 801.
	  	 Supplemental Indentures
	  	64
			
	 SECTION 802.
	  	 Amendments to Indenture; Consent of Bondholders, the Bank and the Borrower
	  	65
			
	 SECTION 803.
	  	 Amendments to Loan Agreement Not Requiring Consent of Bondholders
	  	65
			
	 SECTION 804.
	  	 Amendments to Loan Agreement Requiring Consent of Bondholders and the Bank
	  	66
			
	 SECTION 805.
	  	 Amendments, Changes and Modifications to the Letter of Credit and the Promissory Note
	  	66
			
	 SECTION 806.
	  	 Notice to and Consent of Bondholders
	  	67
			
	 SECTION 807.
	  	 Waivers
	  	67
		
	 ARTICLE IX MISCELLANEOUS
	  	67
			
	 SECTION 901.
	  	 Limitation of Rights
	  	67
			
	 SECTION 902.
	  	 Rights of the Bank
	  	67
			
	 SECTION 903.
	  	 Severability
	  	68
			
	 SECTION 904.
	  	 Notices
	  	68
			
	 SECTION 905.
	  	 Additional Notices to Rating Agencies
	  	69
			
	 SECTION 906.
	  	 Payments Due on Non-Business Days
	  	69

  

 -iii- 

  
 TABLE OF CONTENTS

 (continued) 
  

					
	 	  	 	  	Page

	 SECTION 907.
	  	 Interest Computation
	  	70
			
	 SECTION 908.
	  	 Fees, Charges and Expenses of the Issuer
	  	70
			
	 SECTION 909.
	  	 Binding Effect
	  	70
			
	 SECTION 910.
	  	 Captions
	  	71
			
	 SECTION 911.
	  	 Governing Law
	  	71
			
	 SECTION 912.
	  	 Execution in Counterparts
	  	71
		
	 EXHIBIT A Form of Variable Rate Series 2004 Bond
	  	 
		
	 EXHIBIT B Form of Fixed Rate Series 2004 Bond
	  	 

  

 -iv- 

  
 TRUST INDENTURE

  
 THIS TRUST INDENTURE (“Indenture”) dated as of
the 1st day of December, 2004, between the MISSISSIPPI BUSINESS FINANCE CORPORATION, a public corporation
duly organized and existing under the laws of the State of Mississippi (the “Issuer”), and J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION, a national banking association organized under the laws of the United States of America, as
trustee, and its successor in trust and its assignees (the “Trustee”). 
  
 WHEREAS, the Issuer is authorized pursuant to the provisions of Section 57-10-401, et seq., Mississippi Code of 1972, as amended (the “Act”), to issue its revenue bonds to finance the acquisition,
construction and equipping of any “project” (as defined in the Act), in furtherance of the public purposes set forth in the Act; and 
  
 WHEREAS, the Issuer has agreed to issue its $25,000,000 Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company, Inc. Project), Series
2004 (the “Bonds”), and lend the proceeds of the sale thereof to Trex Company, Inc., a Delaware corporation (the “Borrower”), for the purpose of financing all or a portion of the costs of the acquisition, construction and
equipping of solid waste disposal facilities in the City of Olive Branch, DeSoto County, Mississippi, to be used by the Borrower in connection with the manufacture of non-wood decking, railing and fencing products (the “Project”), and (ii)
to pay a portion of the costs of issuance of the Bonds; and 
  
 WHEREAS, the Issuer and the Borrower will enter into a Loan Agreement, dated as of December 1, 2004 (the “Loan Agreement”), pursuant to which the Issuer will agree to lend the proceeds of the Bonds to the Borrower and the Borrower
will agree to make payments sufficient to pay the principal and Purchase Price (as hereinafter defined) of, and redemption premium, if any, and interest on, the Bonds as the same become due and payable and to pay administrative expenses in
connection with the Bonds; and 
  
 WHEREAS, as security for the
payment of the Bonds issued pursuant to this Indenture, the Issuer has agreed to assign and pledge to the Trustee, the Security (as hereinafter defined); and 
  
 WHEREAS, JPMorgan Chase Bank, N.A., a national banking association (the “Bank”), will issue a Letter of Credit (as hereinafter defined) in favor
of the Trustee, for the account of the Borrower, obligating the Bank to pay to the Trustee during the periods described therein, upon request and in accordance with the terms thereof, the amounts described therein for the purpose of making certain
payments on or with respect to the Bonds (other than Bonds pledged to the Bank, which Bonds shall not be entitled to any benefit of the Letter of Credit); and 
  

WHEREAS, all things necessary to make the Bonds, when authenticated by the Trustee and issued and delivered as in this Indenture provided, the legal,
valid, binding and enforceable limited obligations of the Issuer, according to the import thereof, and to create a valid assignment and pledge of the Security to the payment of the Bonds, have been done and performed, and the 

  

 
execution and delivery of this Indenture and the execution, issuance and delivery of the Bonds, subject to the terms hereof, have in all respects been
authorized; 
  
 NOW, THEREFORE, in consideration of the premises
and of the covenants and undertakings herein expressed, the parties hereto agree as follows: 
  
 ARTICLE I 
 DEFINITIONS 
  
 All terms used herein which are not defined herein but are defined in the Loan Agreement identified below shall have the
meanings therein set forth, which definitions are by this reference incorporated herein and made a part hereof. In addition to terms elsewhere defined in this Indenture, the following words and terms as used in this Indenture and the preambles
hereto shall have the following meanings unless the context or use clearly indicates another or different meaning or intent and such definitions shall be equally applicable to both the singular and plural forms of the terms and words herein defined:

  
 “Act” means Section 57-10-401 et seq.,
Mississippi Code of 1972, as amended. 
  
 “Act of
Bankruptcy” means the filing of a petition in bankruptcy (or the other commencement of a bankruptcy or similar proceeding) by or against the Issuer, the Borrower, or any Insider of the Borrower or the Issuer under any applicable bankruptcy,
insolvency, reorganization or similar law, now or hereafter in effect. 
  
 “Alternate Letter of Credit” means an irrevocable letter of credit authorizing drawings thereunder by the Trustee, issued by a national banking association, a bank, a trust company or other financial institution, and
satisfying the requirements of Section 308 hereof. 
  
 “Authorized Denominations” means denominations of $100,000 or any integral multiple of $5,000 in excess thereof. 
  
 “Bank” means initially JPMorgan Chase Bank, N.A., a national banking association, in its capacity as the issuer of the initial Letter of
Credit, its successors in such capacity and their assigns, and, upon the acceptance of any Alternate Letter of Credit by the Trustee, the issuer of such Alternate Letter of Credit, its successors in such capacity and their assigns. 
  
 “Beneficial Owner” means, when the Bonds are held in a
book-entry only system, the owner of a Bond or portion thereof for federal income tax purposes. 
  
 “Bond” or “Bonds” means the Bonds authorized to be issued pursuant to Sections 201 and 202 hereof. 
  
 “Bond Counsel” means Watkins Ludlam Winter & Stennis,
P.A. or other nationally recognized bond counsel selected by the Borrower and reasonably satisfactory to the Trustee. 
  
 “Bond Fund” means the fund created by Section 401 of this Indenture. 
  

 -2- 

 “Bond Purchase Agreement” means the Bond Purchase Agreement among the Underwriter, the
Issuer and the Borrower, dated December     , 2004, relating to the initial purchase of the Bonds. 
  
 “Bond Purchase Fund” means the fund created by Section 403 of this Indenture. 
  
 “Bond Register” means the books of the Issuer kept by the
Trustee to evidence the registration, transfer and exchange of Bonds. 
  
 “Bond Resolution” means the resolution adopted by the Issuer on November 17, 2004, authorizing and approving the issuance and sale of the Bonds pursuant to this Indenture. 
  
 “Bondholder” or “holder” means the
Registered Owner of any Bond. 
  
 “Borrower”
means Trex Company, Inc., a Delaware corporation. 
  
 “Borrower Bonds” means Bonds, other than Pledged Bonds, the Registered Owner or Beneficial Owner of which is the Borrower (or any affiliate of the Borrower). For purposes of this definition, (a) an “affiliate”
means any person directly or indirectly controlling or controlled by or under direct or indirect common control with the Borrower; and (b) “control” means the power to direct the management and policies of such person, directly or
indirectly, whether through the ownership of voting securities, by contract or otherwise. 
  
 “Business Day” means any day other than (i) a Saturday, (ii) a Sunday, (iii) a day on which banking institutions in the city in which the administrative trust office or the payment trust office of the
Trustee (or its bond registrar, paying agent or tender agent offices) is located or the principal office of the Remarketing Agent is located or the office of the Bank at which action is to be taken to realize moneys under the Letter of Credit are
required or authorized by law or executive order to be closed, or (iv) a day on which the New York Stock Exchange is closed. 
  
 “Cede” means Cede & Co., as nominee of the Depository. 
  
 “Code” means the Internal Revenue Code of 1986, as amended, and the rulings and regulations (including
temporary and proposed) promulgated thereunder and under the Internal Revenue Code of 1954, as amended. 
  
 “Conversion Date” means the Business Day on which the Fixed Rate on the Bonds shall be effective pursuant to Section 204 hereof.

  
 “Conversion Notice” means the notice given by
the Borrower of its intent to convert the interest rate on the Bonds to the Fixed Rate pursuant to Section 204(a)(1) hereof. 
  
 “Costs of the Project” shall have the meaning specified in the Loan Agreement. 
  
 “Counsel” means an attorney, or firm thereof, admitted to
practice law before the highest court of any state in the United States of America or the District of Columbia. 
  

 -3- 

 “Depository” means any securities depository that is a clearing agency under federal law
operating and maintaining, with its participants or otherwise, a book entry system to record ownership of book entry interests in Bonds, and to effect transfers of book entry interests in Bonds in book entry form, the use of which will not impair
the federal tax exemption of interest on the Bonds, and includes and means initially The Depository Trust Company (a limited purpose trust company), New York, New York. 
  
 “Determination of Taxability” means a determination that the interest income on any of the Bonds is
included in gross income of the Bondholder or Beneficial Owner for federal income tax purposes, which determination shall be deemed to have been made upon the occurrence of the first to occur of the following: 
  
 (a) The day on which the Borrower is advised in writing by the Commissioner
or any District Director of the Internal Revenue Service that, based upon any filings of the Borrower, or upon any review or audit of the Borrower, or upon any other grounds whatsoever, the interest on the Bonds is includable for federal income tax
purposes in the gross income of any current or former holder or Beneficial Owner thereof; 
  
 (b) The day on which the Borrower receives notice from the Trustee in writing that the Trustee has been advised in writing by any current or former holder or Beneficial Owner of a Bond that the Internal Revenue
Service has issued a statutory notice of deficiency or similar notice to such current or former holder or Beneficial Owner which asserts in effect that the interest on the Bonds received by such current or former holder or Beneficial Owner is
includable for federal income tax purposes in the gross income of such current or former holder or Beneficial Owner; 
  
 (c) The day on which the Borrower is advised in writing by the Commissioner or any District Director of the Internal Revenue Service that there has been
issued a public or private ruling of the Internal Revenue Service or a technical advice memorandum issued by the national office of the Internal Revenue Service that the interest on the Bonds is includable for federal income tax purposes in the
gross income of any current or former holder or Beneficial Owner of such Bonds; 
  
 (d) The day on which the Borrower is advised in writing that a final determination, from which no further right of appeal exists, has been made by a court of competent jurisdiction in the United States of America in a
proceeding with respect to which the Borrower has been given written notice and an opportunity to participate and defend that the interest on the Bonds is includable for federal income tax purposes in the gross income of any current or former holder
or Beneficial Owner of such Bonds; or 
  
 (e) The date specified
in a written opinion to the Borrower and the Trustee from Bond Counsel as the day on which interest on the Bonds first became or will become includable for federal income tax purposes in the gross income of any current or former holder or Beneficial
Owner of such Bonds; 
  

 -4- 

 provided, however, (i) no Determination of Taxability shall occur if the interest on any of the Bonds is included
in gross income for federal income tax purposes solely because such Bonds were held by a Person who is a Substantial User or a Related Person, and (ii) no Determination of Taxability shall occur under subparagraph (a), (b) or (c) of this paragraph
unless the Borrower has been afforded the opportunity, at its expense, to contest any such conclusion and/or assessment after furnishing the Trustee, the Issuer and the Bank, within thirty (30) days after the occurrence of an event described in
subparagraph (a), (b) or (c) of this paragraph, with an opinion of Bond Counsel to the effect that there is a reasonable likelihood that the Borrower will prevail in such contest, and, further, no Determination of Taxability shall occur until such
contest, if made, has been finally determined. The Borrower shall promptly notify the Trustee, the Bank and the Issuer of any event described in subparagraph (a), (c), (d) or (e) of this paragraph and shall further promptly notify the Trustee, the
Bank and the Issuer of any final determination if the Borrower has contested under subparagraph (a), (b) or (c) of this paragraph. The Borrower shall be deemed to have been afforded the opportunity to contest the occurrence of a Determination of
Taxability if it shall have been permitted to commence and maintain any action in the name of any current or former holder or Beneficial Owner of such Bonds to judgment and through any appeals therefrom or other proceedings related thereto.

  
 “Eligible Funds” means moneys held by the
Trustee which consist of any of the following: 
  
 (a) Moneys
representing the proceeds from the remarketing by the Remarketing Agent of Bonds tendered for purchase pursuant to Section 205 or 206 hereof to any person other than the Borrower, the Issuer, any Insider of the Borrower or the Issuer, or any other
person obligated (as guarantor or otherwise) to make payments on the Bonds or under the Loan Agreement or the Reimbursement Agreement, which in each case were at all times since their receipt by the Trustee held in a separate and segregated account
or accounts or sub-account or sub-accounts in which no moneys which were not Eligible Funds were at any time held; 
  
 (b) Amounts paid by the Bank to the Trustee under the Letter of Credit which were at all times since their receipt by the Trustee held in a separate and
segregated account or accounts or sub-account or sub-accounts in which no moneys other than those drawn under the Letter of Credit were at any time held; or 
  
 (c) Moneys with respect to which the Trustee has received an unqualified opinion of Counsel familiar with bankruptcy matters (which may assume that no
Bondholder is an Insider of the Borrower or the Issuer) to the effect that the use of such moneys to pay the principal of, premium, if any, Purchase Price or interest on the Bonds would not be avoidable as a preference under Section 547 of the
United States Bankruptcy Code in the event of the filing of a petition thereunder by or against the Issuer or the Borrower. 
  
 Notwithstanding the foregoing, (i) when used with respect to the payment of any amounts due in respect of Pledged Bonds, the term “Eligible
Funds” shall mean any moneys held by the Trustee and the proceeds from the investment thereof, except for moneys realized under the Letter of Credit and (ii) if the Bonds are not secured by a Letter of Credit during the Fixed Rate 

  

 -5- 

 
Period, the term “Eligible Funds” shall mean any moneys furnished to the Trustee and the proceeds of the investment thereof. 
  
 “Eligible Funds Account” means the account within the Bond
Fund established pursuant to Section 401 of the Indenture. 
  
 “Event of Default” means any of the events specified in Section 601 hereof. 
  
 “Favorable Opinion of Bond Counsel” means an opinion of Bond Counsel addressed to the Issuer and the Trustee to the effect that the
action proposed to be taken is not prohibited by the laws of the State or this Indenture and will not adversely affect any exclusion by the holders or Beneficial Owners from gross income for federal income tax purposes of interest on the
Bonds. 
  
 “Fixed Rate” means the interest
rate on the Bonds during the Fixed Rate Period established pursuant to Section 203(c) hereof. 
  
 “Fixed Rate Determination Date” means the date on which the Remarketing Agent determines the Fixed Rate, which shall be a Business Day not more than twenty (20) Business Days nor less than five (5)
Business Days prior to the Conversion Date. 
  
 “Fixed
Rate Period” means the period from and including the Conversion Date to and including the date of payment in full of the Bonds. 
  
 “Government Obligations” means obligations of the United States, its agencies, or United States government sponsored enterprises, or
obligations the timely payment of principal and interest on which is unconditionally guaranteed by the United States or its agencies. 
  
 “Government Obligations Fund” means a fund which is composed solely of Government Obligations and repurchase agreements secured by
Government Obligations; provided that if the Bonds are then rated, such fund must be rated by each Rating Agency then rating the Bonds at least as high as the then current rating on the Bonds at the time of such investment. 
  
 “Indenture” means this Trust Indenture dated December 1,
2004 between the Issuer and the Trustee, as amended or supplemented from time to time as permitted hereby. 
  
 “Insider” means an “insider” as defined in Title 11 of the United States Code, as amended from time to time, or any substitute
or replacement legislation (the “Bankruptcy Code”). 
  
 “Interest Payment Date” means (i) during the Variable Rate Period, the first Business Day of each month, commencing with the first Business Day of the month following the Issue Date, (ii) the Conversion Date, and (iii)
following the Conversion Date, each June 1 and December 1. 
  

 -6- 

 “Issue Date” means the date on which the Bonds are delivered to the purchaser or
purchasers thereof upon original issuance. 
  
 “Issuer” means the Mississippi Business Finance Corporation, a public corporation duly organized and existing under the laws of the State of Mississippi, or any successor to its rights and obligations under the Loan
Agreement and this Indenture. 
  
 “J.J. Kenny
Index” means, as of any date, the index of thirty (30) day yields on high grade tax-exempt municipal bonds as determined by J.J. Kenny Co., Inc. or any successor thereto and published on such date (or, if not published on such date, on the
most recent day prior thereto on which such index shall have been so published). 
  
 “Letter of Credit” means a letter of credit satisfying the requirements of Section 308 hereof, including any extensions or amendments thereto, and including any Alternate Letter of Credit delivered
pursuant to Section 308. 
  
 “Letter of Credit
Account” means the account within the Bond Fund established pursuant to Section 401 of this Indenture. 
  
 “Letter of Representations” means the blanket agreement of the Issuer to comply with the operational arrangements of The Depository Trust
Company and any similar agreements with respect to a successor Depository. 
  
 “Liquidity Drawing” means a drawing under the Letter of Credit in accordance with the terms thereof to pay the Purchase Price of tendered Bonds. 
  
 “Loan Agreement” means the Loan Agreement dated as of
December 1, 2004, between the Issuer and the Borrower, as the same may be amended or supplemented from time to time as permitted thereby. 
  
 “Loan Repayments” means all amounts required to be paid by the Borrower to the Issuer (and the Trustee as the assignee of the Issuer)
pursuant to the Promissory Note and Section 3.2 of the Loan Agreement. 
  
 “Mandatory Tender Date” means any date on which the Bonds are required to be tendered for purchase in accordance with Section 206 hereof. 
  
 “Municipal Swap Index” means the Bond Market Association Municipal Swap Index as of the most recent date
for which such index was published or such other weekly, high-grade index comprised of seven-day, tax-exempt variable rate demand notes produced by Municipal Market Data, Inc. or its successor, or otherwise designated by the Bond Market Association.

  
 “Non-Eligible Funds Account” means the
account within the Bond Fund established pursuant to Section 401 of this Indenture. 
  

 -7- 

 “Outstanding,” when used with reference to the Bonds at any date as of which the amount
of outstanding Bonds is to be determined, means all Bonds which have been authenticated and delivered by the Trustee hereunder, except: 
  
 (a) Bonds canceled or delivered for cancellation at or prior to such date; 
  
 (b) Bonds deemed to be paid in accordance with Section 502 hereof; 
  
 (c) Bonds in lieu of which others have been authenticated under Sections 212,
213 and 214 hereof; 
  
 (d) Unsurrendered Bonds; and 

 
 (e) For purposes of any consent, request, demand, authorization,
direction, notice, waiver or other action to be taken by the holders of a specified percentage of Outstanding Bonds hereunder, all Bonds held by or for the account of the Issuer or the Borrower, except that for purposes of any such consent, request,
demand, authorization, direction, notice, waiver or action the Trustee shall be obligated to consider as not being Outstanding only Bonds of which the Trustee has actual notice to be so held. 
  
 “Participant” or “Participants” means securities
brokers and dealers, banks, trust companies and clearing corporations which participate in the Depository with respect to the Bonds. 
  
 “Permitted Investments” means any of the following which are not prohibited under applicable law: 
  
 (i) Government Obligations; 
  
 (ii) Obligations of a state of the United States, the
District of Columbia or any possession of the United States, or any political subdivision thereof, which are described in Section 103(a) of the Code and are rated at the time of purchase in one of the highest three major grades as determined by at
least one national rating service or are secured, as to payments of principal and interest, by a letter of credit provided by a financial institution or insurance provided by a bond insurance company which itself or its debt is rated at the time of
purchase in one of the highest three major grades as determined by at least one national rating service; 
  
 (iii) Banker’s acceptances, commercial accounts, certificates of deposit, or depository receipts issued by a bank, trust company,
savings and loan association, savings bank, credit union or other financial institution whose deposits are, as appropriate, insured by the Federal Deposit Insurance Corporation or the National Credit Union Administration or any successor entities
and whose reported capital and surplus equal at least $40,000,000; 
  

 -8- 

 (iv) Commercial paper rated at the time of purchase within the two highest
classifications established by not less than two national rating services, and which matures within two hundred seventy (270) days after the date of issue; 
  
 (v) Repurchase agreements against obligations itemized in paragraph (i) above which must be executed by a bank or a trust company or by
members of the Association of Primary Dealers or other recognized dealers in United States securities, the market value of which must be maintained at levels at least equal to the amounts advanced and which must be held in the custody of the Trustee
or the Trustee’s agent; 
  
 (vi) Any fund or
other pooling arrangement which exclusively purchases and holds the investments itemized in (i) through (v) above, including without limitation, one or more money market mutual fund portfolios of the JPMorgan Funds or any other mutual fund for which
the Trustee or any of its affiliates serves as an investment manager, administrator, servicing agent, and/or custodian or subcustodian, notwithstanding that (A) the Trustee or an affiliate of the Trustee receives fees from such funds for services
rendered, (B) the Trustee charges and collects fees for services rendered pursuant to this Indenture, which fees are separate from the fees received from such funds, and (C) services performed for such funds and pursuant to this Indenture may at
times duplicate those provided to such funds by the Trustee or its affiliates. 
  
 (vii) An investment agreement or guaranteed investment contract with a provider whose unsecured long-term debt is rated at the time of
purchase within the two highest rating classifications established by at least one national rating service or an investment agreement or guaranteed investment contract which is guaranteed by an entity meeting the provider requirements described in
this subparagraph (vii); or 
  
 (viii) shares of
a fund registered under the Investment Company Act of 1940, as amended, whose shares are registered under the Securities Act of 1933, as amended, which shares, at the time of purchase, are rated by at least one national ratings service within the
two (2) highest rating classifications (without regard to any refinements or gradation of rating classification by numerical modifier or otherwise) assigned by such service for an obligation of that nature including without limitation, one or more
money market mutual fund portfolios of the JPMorgan Funds or any other mutual fund for which the Trustee or any of its affiliates serves as an investment manager, administrator, servicing agent, and/or custodian or subcustodian, notwithstanding that
(A) the Trustee or an affiliate of the Trustee receives fees from such funds for services rendered, (B) the Trustee charges and collects fees for services rendered pursuant to this Indenture, which fees are separate from the fees received from such
funds, and (C) services performed for such funds and pursuant to this Indenture may at times duplicate those provided to such funds by the Trustee or its affiliates. 
  
 “Pledge Agreement” means, with respect to the Letter of Credit, the agreement which governs the terms of
any Pledged Bonds, and initially shall mean the Custody, Pledge and 

  

 -9- 

 
Security Agreement dated as of December 1, 2004 among the Borrower, the Trustee and the Bank, as the same may be amended or supplemented from time to time.

  
 “Pledged Bonds” means, at the time of
determination thereof, any Bonds or beneficial interests in Bonds purchased by the Trustee with payments made under the Letter of Credit as described in Section 404 hereof and pledged to the Bank pursuant to the provisions of the Pledge Agreement.

  
 “Project” means the acquisition, construction
and equipping of solid waste disposal facilities in the City of Olive Branch, DeSoto County, Mississippi to be used by the Borrower in connection with the manufacture of non-wood decking, railing and fencing products, all as more fully described in
attached Exhibit D to the Loan Agreement. 
  
 “Project Fund” means the fund created by Section 402 of this Indenture. 
  
 “Promissory Note” means the Promissory Note given by the Borrower to the Issuer and assigned to the Trustee pursuant to the Loan
Agreement, in the form of attached Exhibit C to the Loan Agreement, as the same may be amended, modified or supplemented in accordance with the terms of the Loan Agreement. 
  
 “Proposed Conversion Date” means any date designated by the Borrower as the Conversion Date in accordance
with Section 204 of this Indenture. 
  
 “Purchase
Price” means one hundred percent (100%) of the principal amount of the Bond or Bonds (or portions thereof in Authorized Denominations) to be purchased pursuant to the provisions of Sections 205 or 206 hereof plus accrued interest, if any,
thereon to the purchase date. 
  
 “Rating Agency”
means Moody’s Investors Service and/or Standard & Poor’s Ratings Group or their successors and assigns, according to which of such rating agencies then rates the Bonds; and provided that if neither of such rating agencies then
rates the Bonds, the term “Rating Agency” shall be deemed to refer to any nationally recognized securities rating agency. 
  
 “Record Date” means with respect to each Interest Payment Date (i) on and prior to the Conversion Date, the Trustee’s close of
business on the Business Day next preceding such Interest Payment Date, and (ii) after the Conversion Date, the Trustee’s close of business on the fifteenth (15th) day of the calendar month next preceding such Interest Payment Date, regardless whether such day is a Business Day. 
  
 “Registered Owner” means the person or persons in whose name
or names a Bond is registered on the registration books of the Issuer maintained by the Trustee for that purpose in accordance with the terms of this Indenture. 
  

“Reimbursement Agreement” means with respect to each Letter of Credit, the agreement pursuant to which such Letter of Credit is
issued, including all amendments thereof and supplements thereto, and initially shall mean the Reimbursement and Credit Agreement, 

  

 -10- 

 
dated as of December 1, 2004, between the Bank and the Borrower, as the same may be amended or supplemented from time to time. 
  
 “Related Person,” with reference to any Substantial User,
means a “related person” within the meaning of Section 147(a) of the Code, 
  
 “Remarketing Agent” means the Remarketing Agent appointed and serving in such capacity under Section 709 hereof and any successors thereto. The initial Remarketing Agent shall be J.P. Morgan
Securities Inc., a Delaware corporation with an office located in Chicago, Mississippi. 
  
 “Remarketing Agreement” means the Remarketing Agreement dated as of December 1, 2004, between the Borrower and the Remarketing Agent, as from time to time supplemented and amended, and, unless the
context or use indicates another or different meaning or intent, any remarketing agreement among the Borrower and the Remarketing Agent, as from time to time supplemented and amended, which provides that it is a Remarketing Agreement for purposes of
this Indenture. 
  
 “Replacement Bonds” means
Bonds issued pursuant to Section 214 hereof. 
  
 “Security” means the revenues (including Loan Repayments), funds, rights and interests specified in Section 301 of this Indenture. 
  
 “Special Tax Counsel” means McGuire Woods LLP, or any other nationally recognized counsel expert in the law concerning tax exempt
obligations. 
  
 “State” means the State of
Mississippi. 
  
 “Stated Expiration Date” means
the date (as such date may be extended from time to time) on which the Letter of Credit is stated to expire or terminate in accordance with its terms other than by virtue of the replacement of such Letter of Credit with an Alternate Letter of Credit
in accordance with the terms of Section 308 hereof. 
  
 “Substantial User” means, with respect to any “facilities” (as the term “facilities” is used in Section 147(a) of the Code), a “substantial user” of such “facilities” within the
meaning of Section 147(a) of the Code. 
  
 “Surplus Bond
Proceeds” means all moneys transferred from the Project Fund to the Bond Fund after the Completion Date pursuant to Section 5.4 of the Loan Agreement and any investment earnings thereon. 
  
 “Trustee” means J.P. Morgan Trust Company, National
Association, acting in its capacity as the trustee under this Indenture, and any permitted successor trustee under Article VII of this Indenture. 
  

 -11- 

 “U.C.C.” means the Uniform Commercial Code of the State as now or hereafter amended,
whether or not such code is applicable to the parties or the transaction. 
  
 “Underwriter” means J.P. Morgan Securities Inc., a Delaware corporation. 
  
 “Unsurrendered Bonds” means Bonds (or portions thereof in Authorized Denominations) which are not tendered as required under the
provisions of Section 205 and Section 206 hereof, but for which there has been irrevocably deposited in the Bond Purchase Fund an amount sufficient to pay the Purchase Price thereof and of all other Bonds (if any) not tendered or deemed to be
tendered for purchase on the date specified in Section 205 hereof or on a Mandatory Tender Date. 
  
 “Variable Rate” means the interest rate on the Bonds during the Variable Rate Period established pursuant to Section 203(b) hereof.

  
 “Variable Rate Period” means the period from
and including the Issue Date to the earlier of (i) the Conversion Date or (ii) the day of payment in full of the Bonds. 
  
 ARTICLE II 
 THE BONDS 
  
 SECTION 201. Authorized Amount of Bonds. No Bonds may be issued under
the provisions of this Indenture except in accordance with this Article II. Pursuant to the Bond Resolution, the total aggregate principal amount of Bonds that may be issued and outstanding hereunder is expressly limited to an aggregate amount of
$25,000,000, subject to the provisions of Sections 212, 213 and 214 hereof. 
  
 SECTION 202. Issuance of Bonds. The Bonds (i) shall be designated “Mississippi Business Finance Corporation Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company, Inc. Project), Series
2004,” (ii) shall be dated the Issue Date, (iii) shall bear interest from the Issue Date or such later date to which interest has been paid, until paid, at the rates established pursuant to Section 203 hereof (computed on the basis of a
365/366-day year, as the case may be, on actual days elapsed prior to the Conversion Date and a 360-day year of twelve 30-day months thereafter), and (iv) shall mature, unless sooner paid, on December 1, 2029. 
  
 The Bonds shall be issued as registered bonds without coupons and shall be
issued in Authorized Denominations. The Bonds issued hereunder shall be numbered consecutively from R-1 upwards bearing numbers not then contemporaneously outstanding (in order of issuance) according to the records of the Trustee. 
  
 The principal and Purchase Price of and the redemption premium, if any, and
the interest on the Bonds shall be payable in lawful money of the United States of America. The principal of and redemption premium, if any, on the Bonds and the Purchase Price of the Bonds shall be payable at the payment trust office of the Trustee
currently located in Dallas, Texas or other designated office of the Trustee. The interest on the Bonds shall be paid by check or draft of the 

  

 -12- 

 
Trustee mailed to the Persons in whose names the Bonds are registered on the Bond Register at the close of business on the Record Date next preceding each
Interest Payment Date; provided, however, any Registered Owner of Bonds in the aggregate principal amount of $1,000,000 or more as of the close of business on the Record Date preceding any Interest Payment Date may, by prior written
instructions filed with the Trustee on or before the second (2nd) Business Day preceding such Record Date (which
instructions shall remain in effect until revoked by subsequent written instructions), instruct that interest payments for any period be made by wire transfer to any bank located in the continental United States. 
  
 If any payment of interest or principal or redemption premium on the Bonds is
due on a date not a Business Day, payment shall be made on the next succeeding Business Day with the same force and effect as if made on the date which is fixed for such payment, and no interest shall accrue on such amount for the period after such
due date so long as such amount is paid on the next succeeding Business Day. 
  
 The provisions of the Bonds shall control to the extent of any conflict with the provisions hereof. 
  
 SECTION 203. Interest Rates on Bonds. 
  
 (a) The Bonds shall bear interest as provided herein from the Issue Date to the date of payment in full of the Bonds. Interest accrued on the Bonds shall
be paid on each Interest Payment Date for the period from and including the prior Interest Payment Date to but excluding such Interest Payment Date. The interest rate on the Bonds will be determined as provided in this Section 203; provided
that (i) the Variable Rate shall not exceed the lesser of ten percent (10%) per annum or the maximum rate permitted by applicable law and (ii) the Fixed Rate shall not exceed the maximum rate permitted by applicable law. Interest on the Bonds will
be payable at the Variable Rate from the Issue Date until the earlier of the Conversion Date or the date of payment in full of the Bonds. 
  
 (b) During the Variable Rate Period, the Variable Rate shall be determined by the Remarketing Agent by 4:30 p.m. New York City time on each Wednesday (or
the immediately preceding Business Day if such Wednesday is not a Business Day) and shall be the minimum rate necessary (as determined by the Remarketing Agent based on the examination of tax-exempt obligations comparable to the Bonds known to the
Remarketing Agent to have been priced or traded under then-prevailing market conditions) for the Remarketing Agent to sell such Bonds on the effective date of such Variable Rate at their principal amount (without regard to accrued interest). The
first Variable Rate shall apply to the period beginning on the Issue Date and ending on the next Wednesday. Thereafter, each Variable Rate shall apply to the period beginning on the Thursday of the week in which such Variable Rate is set and ending
on the following Wednesday, or earlier, if ending on the Conversion Date. If no Remarketing Agent is serving hereunder, or if for any reason the Remarketing Agent has not determined the Variable Rate on a Wednesday (or the immediately preceding
Business Day if such Wednesday is not a Business Day), the Variable Rate for the Bonds shall be equal to the Municipal Swap Index; provided that if such index is no longer provided by Municipal Market Data, Inc. or its 

  

 -13- 

 
successor, the rate shall be equal to the J.J. Kenny Index or if such index is not available, such other index (or percentage of an index) deemed appropriate
for tax-exempt securities of the nature of the Bonds as the Remarketing Agent may have previously selected, or, if no rate or index is provided, the new rate shall be the same as the rate for the preceding week. The Remarketing Agent shall promptly
notify the Bondholders and the Bank by first-class mail of any change in the interest rate determination method as described in the preceding sentence. 
  
 (c) The Bonds shall bear interest at the Fixed Rate during the Fixed Rate Period. The Fixed Rate for the Bonds shall be determined by the Remarketing
Agent on the Fixed Rate Determination Date and shall be the rate determined by the Remarketing Agent on the Fixed Rate Determination Date to be the rate which, if borne by the Bonds, would, in the judgment of the Remarketing Agent having due regard
to prevailing market conditions for revenue bonds or other tax-exempt securities comparable to the Bonds, be the interest rate necessary, but would not exceed the interest rate necessary, to enable the Remarketing Agent to remarket the Bonds
tendered (or deemed to have been tendered) for purchase at a price of par (exclusive of accrued interest, if any) on the Fixed Rate Determination Date; provided, however, that the Fixed Rate shall not exceed the maximum rate permitted by
applicable law. If for any reason the Remarketing Agent fails to determine the Fixed Rate by the close of business on the fifth (5th) Business Day preceding the Proposed Conversion Date, the Bonds shall continue to bear interest at the Variable Rate as described in Section 204(b) hereof. The Fixed Rate for the Bonds shall be set forth in a written notice of the
Remarketing Agent sent by facsimile to the Borrower, the Issuer and the Trustee by the Remarketing Agent on the Fixed Rate Determination Date. 
  
 (d) The determination of the Variable Rate or the Fixed Rate by the Remarketing Agent shall be conclusive and binding upon the Issuer, the Borrower, the
Trustee, the Remarketing Agent and the Bondholders. 
  
 (e) In
determining the interest rate that the Bonds shall bear as provided in this Section 203, neither the Remarketing Agent nor the Trustee shall have any liability to the Issuer, the Borrower, the Trustee or any Bondholder except for its gross
negligence or willful misconduct. 
  
 (f) The Remarketing Agent
shall give the Trustee facsimile notice by 4:30 p.m. New York City time on the date on which a Variable Rate is set, such Variable Rate as determined pursuant to Section 203(b) hereof. The Borrower, the Issuer, the Bank or any Bondholder may request
that the Remarketing Agent identify the Variable Rate with respect to the Bonds at any time and the Remarketing Agent shall identify such Variable Rate promptly via facsimile and/or verbally if so requested. Using the interest rates provided by the
Remarketing Agent, the Trustee shall calculate the amount of interest to be paid on each Interest Payment Date. The Trustee shall notify the Borrower of the amount of interest to be paid on each Interest Payment Date during the Variable Rate Period
as soon as practicable. If the Bonds are in a book-entry only system, the Trustee shall notify the Depository of the amount of interest to be paid on each Interest Payment Date and the Remarketing Agent shall confirm such amount in accordance with
the requirements of the Letter of Representations. 
  

 -14- 

 SECTION 204. Conversion of Interest Rate on Bonds. 
  
 (a) During the Variable Rate Period, the interest rate on the Bonds, at the
option of the Borrower, shall be converted from the Variable Rate to the Fixed Rate, upon delivery by the Borrower to the Trustee, the Remarketing Agent, the Bank and the Issuer: 
  
 (1) On any Business Day during the Variable Rate Period, of a notice (the “Conversion Notice”)
stating (i) that the Borrower intends to convert the interest rate on the Bonds to the Fixed Rate and specifying the Proposed Conversion Date, which date shall be a Business Day at least forty-five (45) days after the date on which the Trustee
receives the Conversion Notice, (ii) that the Borrower has obtained the written consent of the Bank to the giving of such Conversion Notice (and attaching such written consent), and (iii) whether the Bonds will be secured by a Letter of Credit
during the Fixed Rate Period; and 
  
 (2) By
10:00 a.m. New York City time on the Proposed Conversion Date, of (i) a Favorable Opinion of Bond Counsel as to the conversion of the interest rate on the Bonds; (ii) if the Borrower elects to secure the Bonds with a Letter of Credit during the
Fixed Rate Period, an amendment to the Letter of Credit then in effect or an Alternate Letter of Credit, in either case to be effective on the Proposed Conversion Date and meeting the requirements of Section 308 hereof; and (iii) a written
undertaking by the Borrower, satisfactory in form and substance to the Remarketing Agent and the Issuer, whereby the Borrower agrees to comply with the continuing disclosure requirements of subsection (b)(5) of Rule 15c2-12 promulgated by the
Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934, as amended, as then applicable; provided, however, that the Borrower shall not be required to make such a written undertaking if the Remarketing Agent
provides the Issuer, the Trustee and the Borrower with an opinion of counsel that an exemption from compliance with Rule 15c2-12 is available and applies. 
  
 (b) If (i) the Trustee receives written notification from the Borrower by the close of business on the Fixed Rate Determination Date of the
Borrower’s decision not to elect the conversion of the interest rate on the Bonds to the Fixed Rate on the Proposed Conversion Date; (ii) the Borrower fails to satisfy the conditions of Section 204(a)(2) hereof; or (iii) the Remarketing Agent
fails to determine the Fixed Rate by the close of business on the fifth (5th) Business Day preceding the Proposed
Conversion Date, the interest rate on the Bonds shall not be converted to the Fixed Rate on the Proposed Conversion Date. In such event, the Bonds shall bear interest for the remaining portion of the current interest rate period at the Variable Rate
then in effect, or for an interest rate period at the Variable Rate in effect for the immediately preceding interest rate period, and will continue to remain outstanding in accordance with the terms of this Indenture as if no such election had been
made by the Borrower to convert the interest rate borne by the Bonds to the Fixed Rate; provided, however, that the Bonds will continue to be subject to mandatory tender on the Proposed Conversion Date pursuant to Section 206 hereof. The
Trustee shall promptly notify the Issuer by mail (and shall promptly notify the Bank and the Remarketing Agent by telephone) upon the occurrence of any of the events 

  

 -15- 

 
identified in clauses (i), (ii) or (iii) of this subsection (b) and in the event that the interest rate on the Bonds is not converted on the Proposed
Conversion Date as provided herein. 
  
 (c) No conversion of the
interest rate on the Bonds shall occur under this Section 204 if at the time of such conversion an Event of Default has occurred hereunder and is continuing with respect to the Bonds. 
  
 (d) The Bonds shall not be subject to optional or mandatory tender for purchase as provided in Sections 205 and 206 hereof
after the Conversion Date. 
  
 SECTION 205. Purchase of Bonds
at Option of Bondholder. The holder of any Bond shall have the right to tender such Bond to the Trustee as tender agent for purchase in whole or in part (in any Authorized Denomination) on any Business Day during the Variable Rate Period, but
not thereafter, at a Purchase Price equal to one hundred percent (100%) of the principal amount of Bonds (or portions thereof in Authorized Denominations) tendered plus accrued interest to the specified purchase date. In order to exercise such
option with respect to any Bond or portion thereof, the holder thereof must give to the Trustee as tender agent at its designated corporate trust office by 9:00 a.m. New York City time at such office on a Business Day at least seven (7) days
immediately preceding the proposed purchase date (i) telephonic notice of tender (which telephonic notice must be confirmed by written notice, which may be by facsimile transmission, of tender in the form provided in this Indenture or such other
form acceptable to the Trustee received by the Trustee as tender agent on a Business Day not more than two (2) Business Days after such telephonic notice) or (ii) written notice, which may be by facsimile transmission, of tender to the Trustee as
tender agent (which written notice of tender shall be in the form provided in this Indenture or shall be in such other form acceptable to the Trustee). 
  
 If the Bonds are in a book-entry only system, such notice of tender shall be given, or caused to be given, by any Beneficial Owner of Bonds (through its
Participant in the Depository) to the Trustee and delivery of Bonds shall be effected by causing such Participant to transfer its interest in the Bonds equal to such Beneficial Owner’s interest on the records of the Depository to the
Participant account of the Remarketing Agent with the Depository. The Remarketing Agent shall ascertain such information as it deems sufficient to verify the identity of such Beneficial Owners including the Participant in whose account such
Beneficial Owner’s Bonds are recorded and shall promptly confirm such notice telephonically to the Trustee as tender agent together with such Participant account information. Upon the delivery of such written notice of tender, such election to
tender shall be irrevocable and binding upon the holder (or Beneficial Owner) thereof. At or before 10:00 a.m., New York City time, on the specified purchase date, the Registered Owner or Beneficial Owner of each Bond as to which such written notice
of tender has been given shall deliver each Bond to be purchased as a whole or in part (in any Authorized Denominations) and an instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be in the
form provided on such Bond or in such other form acceptable to the Trustee) to the Trustee, as tender agent, at its designated corporate trust office, and any Bond which is not so tendered, but for which there has been irrevocably deposited in the
Bond Purchase Fund Eligible Funds in an amount sufficient to pay 

  

 -16- 

 
the Purchase Price thereof and all other Bonds tendered or deemed tendered for purchase on such specified purchase date, shall be deemed to have been
tendered by the holder thereof and purchased from such holder on the specified purchase date. If the Bonds are in a book-entry only system, the requirement for physical delivery of the Bonds in connection with a demand for purchase under this
Section 205 shall be deemed satisfied when the ownership rights in the Bonds are transferred by Participants on the records of the Depository to the Participant account of the Remarketing Agent. The Trustee shall, in its sole discretion, determine
whether, with respect to any Bond, the Registered Owner or Beneficial Owner thereof has properly exercised the option to have his Bond purchased as a whole or in part. 
  
 If any such notice of tender for purchase shall have been given to the Trustee as tender agent pursuant to this Section 205,
the Trustee as tender agent shall promptly give telephonic or telecopier notice, promptly confirmed by a written notice, to the Remarketing Agent, the Bank and the Borrower on the same date that the Trustee as tender agent receives notice of the
tender for purchase, if possible, or on the immediately following Business Day, specifying the principal amount of Bonds as to which notice of tender for purchase has been given and the proposed date of purchase. On the specified purchase date, the
Trustee as tender agent shall purchase, or cause to be purchased, all Bonds as to which written notices of tender for purchase have been received at a Purchase Price equal to the principal amount thereof plus accrued interest, if any, thereon to the
specified purchase date. Funds for payment of the Purchase Price of Bonds tendered for purchase shall be withdrawn by the Trustee as tender agent from the Bond Purchase Fund as provided in Section 404 of this Indenture. 
  
 If there have been irrevocably deposited in the Bond Purchase Fund Eligible
Funds in an amount sufficient to pay the Purchase Price of all Bonds tendered or deemed to be tendered for purchase on the specified purchase date, the holder of any Unsurrendered Bond shall not be entitled to receive interest on such Unsurrendered
Bond on and after the specified purchase date and all such Unsurrendered Bonds shall be deemed to have been tendered for purchase and purchased pursuant to this Section 205 on such specified purchase date. The Trustee shall issue a new Bond or Bonds
in the same aggregate principal amount of any Unsurrendered Bonds which are not tendered for purchase on any specified purchase date and, upon receipt of any such Unsurrendered Bonds from the holder thereof, the Trustee shall pay the Purchase Price
of such Unsurrendered Bonds plus accrued interest, if any, thereon to the specified purchase date to the holders thereof and such Unsurrendered Bonds shall be canceled as provided in Section 215 of this Indenture. If the Bonds are in a book-entry
only system and Bonds are purchased pursuant to this Section 205, the Beneficial Owner shall cause its Participant in the Depository to record the transfers of the Bonds in its books for the accounts of the Participants purchasing the same.

  
 SECTION 206. Mandatory Tender of Bonds. 
  
 (a) During the Variable Rate Period, each Bondholder shall be required to
tender its Bonds to the Trustee as tender agent for purchase on each date described below (each of the dates described below being a “Mandatory Tender Date”): 
  
 (i) On each Proposed Conversion Date; 
  

 -17- 

 (ii) On the date upon which an Alternate Letter of Credit is to be substituted for the
Letter of Credit then in effect; 
  
 (iii) On the
Interest Payment Date next preceding the Stated Expiration Date of the Letter of Credit then in effect, if the Trustee has not received at least forty-five (45) days (or such shorter period as shall be acceptable to the Trustee, but not less than
thirty (30) days) prior to the Interest Payment Date next preceding the Stated Expiration Date of the current Letter of Credit either an extension of the then existing Letter of Credit or an Alternate Letter of Credit meeting the requirements of
Section 308 hereof; and 
  
 (iv) On each optional
redemption date for which the Borrower with the written consent of the Bank has elected to purchase Bonds in lieu of an optional redemption pursuant to Section 217(a) hereof. 
  
 (b) At least twenty (20) days, but not more than forty-five (45) days, prior to each such Mandatory Tender Date, the
Trustee, at the expense of the Borrower, shall give notice of such mandatory tender by first class mail to the holders of all Bonds at their addresses appearing on the Bond Register. Any notice given in such manner shall be conclusively presumed to
have been duly given, whether or not the holders receive such notice. Such notice of mandatory tender shall (i) specify the Mandatory Tender Date and the reason for the mandatory purchase on such date, (ii) if such Mandatory Tender Date is a
Proposed Conversion Date, state that such conversion to the Fixed Rate will not occur if the conditions described in Section 204(a)(2) hereof are not satisfied but that such mandatory tender will still occur on the Proposed Conversion Date, and
(iii) state that all Bonds shall be tendered by the holders thereof for purchase at or before 10:00 a.m., New York City time, on the Mandatory Tender Date to the Trustee as tender agent at its designated payment trust office, together with an
instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be in the form provided on the Bonds or such other form acceptable to the Trustee as tender agent), and that such Bonds shall thereupon be
purchased on the Mandatory Tender Date at a Purchase Price equal to the principal amount thereof plus accrued interest, if any, to the Mandatory Tender Date, and any such Bond which is not so tendered but for which there has been irrevocably
deposited in the Bond Purchase Fund Eligible Funds in an amount sufficient to pay the Purchase Price thereof and of all other Bonds so tendered and deemed to be tendered for purchase on the Mandatory Tender Date shall be deemed to have been tendered
for purchase by the holder thereof and purchased from such holder on the Mandatory Tender Date. 
  
 (c) All Bonds shall be tendered for purchase by the holders thereof to the Trustee as tender agent at or before 10:00 a.m., New York City time, on a
Mandatory Tender Date, by delivering such Bonds to the Trustee as tender agent at its designated payment trust office, together with an instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be
in the form provided on the Bonds or such other form acceptable to the Trustee). If the Bonds are in a book-entry only system, a Beneficial Owner of Bonds shall effect delivery of Bonds in accordance with this Section 206 by causing its Participant
in the Depository to transfer its interest in the Bonds (equal to such Beneficial Owner’s interest) on the records of the Depository to the participant account of the Trustee with 

  

 -18- 

 
the Depository and the requirement for physical delivery of Bonds hereunder shall be deemed satisfied when the ownership rights in the Bonds are transferred
by Participants on the records of the Depository. On such Mandatory Tender Date the Trustee as tender agent shall purchase, or cause to be purchased, all Bonds at a Purchase Price equal to the principal amount thereof plus accrued interest, if any,
to the purchase date. Funds for payment of the Purchase Price of such Bonds shall be withdrawn by the Trustee from the Bond Purchase Fund as provided in Section 404 of this Indenture. 
  
 (d) If there have been irrevocably deposited in the Bond Purchase Fund Eligible Funds in an amount sufficient to pay the
Purchase Price of all Bonds tendered or deemed tendered for purchase on a Mandatory Tender Date, the holder of any Unsurrendered Bond shall not be entitled to receive interest on such Unsurrendered Bond on and after such Mandatory Tender Date, and
all such Unsurrendered Bonds shall be deemed to have been tendered for purchase and purchased pursuant to this Section 206 on such Mandatory Tender Date. The Trustee shall issue a new Bond or Bonds in the same aggregate principal amount for any
Unsurrendered Bonds which are not tendered for purchase on any Mandatory Tender Date and, upon receipt of any such Unsurrendered Bonds from the holders thereof, the Trustee shall pay the purchase price of such Unsurrendered Bonds plus accrued
interest, if any, to the Mandatory Tender Date to the holders thereof and such Unsurrendered Bonds shall be canceled as provided in Section 215 of this Indenture. If the Bonds are in a book-entry only system and Bonds are purchased pursuant to this
Section 206, the Beneficial Owner shall cause its Participant in the Depository to record the transfer of the Bonds in its books for the accounts of the Participants purchasing the same. 
  
 SECTION 207. Procedures for Remarketing of Bonds. Unless otherwise directed by the Borrower and the Bank in writing
not to do so, the Remarketing Agent will use its best efforts to remarket all Bonds tendered or deemed to be tendered for purchase pursuant to Section 205 or 206 hereof and, subject to the next sentence hereof, to remarket all Bonds held by the
Trustee as tender agent pursuant to Section 404 hereof at a purchase price equal to the principal amount thereof plus accrued interest, if any, thereon to the applicable purchase date; provided, however, that the Remarketing Agent shall first
select for remarketing any Pledged Bonds. The Remarketing Agent may not remarket any Bonds (other than Pledged Bonds) to the Borrower, the Issuer or any Insider thereof known to it while the Letter of Credit is in effect. The Borrower may at any
time, upon written direction to the Remarketing Agent, together with a written consent thereto from the Bank, direct the Remarketing Agent to cease or to resume the remarketing of some or all of the Bonds. Notwithstanding any provision herein to the
contrary, the Remarketing Agent shall be under no obligation to remarket Bonds (or beneficial interests therein) (i) if there shall have occurred and be continuing an Event of Default hereunder or (ii) if the Bonds have been tendered pursuant to
Section 206(a)(iii) hereof and no extension of the Letter of Credit or Alternate Letter of Credit has been delivered to the Trustee meeting the requirements of Section 308 of this Indenture. All Bonds tendered for purchase pursuant to Section 205 or
206 hereof may only be offered and sold by the Remarketing Agent at a price equal to the principal amount thereof plus accrued interest, if any, thereon to the applicable purchase date. 
  

 -19- 

 At or prior to 3:00 p.m., New York City time, on the Business Day immediately preceding the applicable
purchase date, the Remarketing Agent shall give telephonic or telecopier notice, promptly confirmed in writing, to the Trustee and the Borrower (to be received by the Trustee by 4:00 p.m., New York City time on such day), specifying or confirming
(if the Bonds are not in a book-entry only system) the names, addresses and taxpayer identification numbers of the new Registered Owners of, and the principal amount and denominations of, such Bonds, if any, remarketed by it pursuant to this Section
207. Such notice shall also specify the principal amount of Bonds to be purchased on such purchase date which it has failed to remarket (if any) and the amount of accrued interest, if any, on such Bonds. If the Bonds are in a book-entry only system,
the Trustee shall notify the Depository of the transfer instructions (i.e., the names of the tendering Participants and the principal amount of Bonds tendered by each such Participant and the names of the purchasing Participants and the principal
amount of Bonds purchased by each such purchasing Participant). The Remarketing Agent shall make appropriate settlement arrangements for the purchase of Bonds which have been remarketed pursuant to this Section 207 between the purchasers of such
remarketed Bonds and the Trustee as tender agent, and shall direct such purchasers by appropriate instructions to pay all moneys for the Purchase Price of the Bonds which have been remarketed pursuant to this Section 207 to the Trustee for deposit
in the Bond Purchase Fund pursuant to Section 403 hereof at or before 10:00 a.m., New York City time, on the purchase date. The Trustee as tender agent shall deposit the proceeds of any such remarketing in the Bond Purchase Fund pursuant to Section
403 hereof, and the Trustee as tender agent shall hold and disburse such moneys pursuant to this Section 207 and Section 404 hereof. If any purchaser of remarketed Bonds fails to pay the Purchase Price of such Bonds to the Trustee, as tender agent,
at or before 10:00 a.m., New York City time, on such purchase date, the Trustee shall promptly give notice of such failure, and of the amount thereof, by telephone (to be subsequently confirmed in writing) or by confirmed facsimile transmission to
the Borrower and the Remarketing Agent. If the Remarketing Agent fails to remarket any Bonds tendered or deemed tendered for purchase, or if any purchaser of remarketed Bonds fails to pay the Purchase Price thereof as required pursuant to the terms
hereof, the Trustee is required by Section 404(c) hereof to take action under the Letter of Credit to realize moneys thereunder to enable the Trustee to make timely payment of the Purchase Price of such Bonds and the Borrower is required by Section
3.4 of the Loan Agreement to pay to the Trustee amounts sufficient and at such times as to enable the Trustee to make timely payment of the Purchase Price of such Bonds. 
  
 At or before 2:00 p.m., New York City time, on each purchase date, the Trustee, but only to the extent it shall have
received money for such purpose, shall: 
  
 (i)
If the Bonds are not in a book-entry only system, pay the Purchase Price to each holder of a Bond (or portion thereof in Authorized Denominations) tendered for purchase in federal or other immediately available funds, or by wire transfer to the
Registered Owners thereof in the event that the Registered Owner of the aggregate principal amount of Bonds has given written notice to the Trustee directing the Trustee to make such payment of Purchase Price by wire transfer and identifying the
location and the number of the account to which such payment should be wired. If the Bonds are in a book-entry only system, the Trustee shall transfer to the Depository the amount directed 

  

 -20- 

 
by the Remarketing Agent as representing the Purchase Price of the Bonds tendered or deemed tendered in accordance with Sections 205 and 206 hereof. The
Trustee shall pay each such Purchase Price from moneys on deposit in the Bond Purchase Fund in the manner set forth in Section 404 hereof; provided, that the Trustee shall not pay or wire transfer the Purchase Price of any Unsurrendered Bond
unless and until the holder of such Unsurrendered Bond presents such Unsurrendered Bond, together with an instrument of assignment or transfer duly executed in blank, to the Trustee; and 
  
 (ii) if the Bonds are not in a book-entry only system, redeliver or cancel all such Bonds in accordance with
this Section 207 and Section 404 hereof. 
  
 Notwithstanding any
provision herein contained to the contrary, any Bond remarketed by the Remarketing Agent which has been called for prior redemption shall be redelivered with a copy of the redemption notice and any Bond as to which notice of mandatory tender has
been given pursuant to Section 206 hereof shall be redelivered with a copy of the notice of mandatory tender. 
  
 SECTION 208. Execution; Limited Obligation. 
  
 (a) The Bonds shall be executed on behalf of the Issuer with the manual or facsimile signature of its President or Executive Director and shall have
impressed or imprinted thereon the official seal of the Issuer or a facsimile thereof and shall be attested by the manual or facsimile signature of its Secretary. All authorized facsimile signatures shall have the same force and effect as if
manually signed. In case any official of the Issuer whose signature or facsimile signature shall appear on the Bonds shall cease to be such official before the delivery of such Bonds, such signature or facsimile signature shall nevertheless be valid
and sufficient for all purposes, the same as if such official had remained in office until delivery. The Bonds may be signed on behalf of the Issuer by such persons who, at the time of the execution of such Bonds, are duly authorized or hold the
appropriate office of the Issuer, although on the date of the Bonds such persons were not so authorized or did not hold such offices. 
  
 (b) THE BONDS, TOGETHER WITH INTEREST THEREON AND REDEMPTION PREMIUM WITH RESPECT THERETO, ARE SPECIAL, LIMITED OBLIGATIONS OF THE ISSUER SECURED BY THE
LOAN AGREEMENT AND THE PROMISSORY NOTE AND PAYMENTS MADE UNDER THE LETTER OF CREDIT, ARE AND SHALL ALWAYS BE PAYABLE SOLELY FROM THE REVENUES AND INCOME DERIVED FROM THE LOAN AGREEMENT AND THE PROMISSORY NOTE AND PAYMENTS MADE UNDER THE LETTER OF
CREDIT (EXCEPT TO THE EXTENT PAID OUT OF MONEYS ATTRIBUTABLE TO PROCEEDS OF THE BONDS, OR THE INCOME FROM THE TEMPORARY INVESTMENT THEREOF), AND ARE AND SHALL ALWAYS BE A VALID CLAIM OF THE OWNER THEREOF ONLY AGAINST THE REVENUES AND INCOME DERIVED
FROM THE LOAN AGREEMENT AND THE PROMISSORY NOTE AND FROM OTHER INSTRUMENTS ASSIGNED TO OR HELD BY THE TRUSTEE, WHICH REVENUES AND INCOME SHALL BE USED FOR NO OTHER PURPOSE THAN TO PAY THE PRINCIPAL INSTALLMENTS OF, REDEMPTION 

  

 -21- 

 
PREMIUM, IF ANY, AND INTEREST ON THE BONDS, EXCEPT AS MAY BE EXPRESSLY AUTHORIZED OTHERWISE IN THIS INDENTURE AND THE LOAN AGREEMENT. UNDER NO CIRCUMSTANCES
SHALL THE BONDS CONSTITUTE AN INDEBTEDNESS OR OBLIGATION OF THE STATE OF MISSISSIPPI WITHIN THE PURVIEW OF ANY CONSTITUTIONAL LIMITATION OR PROVISION, BUT SHALL BE SECURED BY THE SECURITY, AND SHALL BE PAYABLE SOLELY FROM THE REVENUES AND INCOME
DERIVED FROM THE LOAN AGREEMENT AND THE PROMISSORY NOTE AND PAYMENTS MADE UNDER THE LETTER OF CREDIT. NO OWNER OF THE BONDS SHALL HAVE THE RIGHT TO COMPEL THE EXERCISE OF THE TAXING POWER OF THE STATE OF MISSISSIPPI TO PAY ANY PRINCIPAL INSTALLMENT
OF, PREMIUM, IF ANY, OR INTEREST ON THE BONDS. THE ISSUER HAS NO POWER TO LEVY TAXES FOR ANY PURPOSE WHATSOEVER. 
  
 SECTION 209. Certificate of Authentication. No Bonds shall be secured hereby or entitled to the benefit hereof or shall be or become valid or
obligatory for any purpose unless there shall be endorsed thereon a certificate of authentication, substantially in the form as set forth in the forms of Bond attached hereto as Exhibits A and B, executed by an authorized signatory of the
Trustee; and such certificate on any Bond issued by the Issuer shall be conclusive evidence and the only competent evidence that it has been duly authenticated and delivered hereunder. 
  
 SECTION 210. Form of Bonds. 
  

(a) Prior to the Conversion Date, the Bonds, the Trustee’s certificate of authentication and the form of assignment shall be in substantially the
form set forth in Exhibit A attached hereto, with such appropriate variations, omissions, substitutions and insertions as are permitted or required hereby or are required by law and may have such letters, numbers or other marks of
identification and such legends and endorsements placed thereon as may be required to comply with any applicable laws or rules or regulations, or as may, consistently herewith, be determined by the officers executing such Bonds, as evidenced by
their execution of the Bonds. 
  
 (b) On and after the Conversion
Date, the Bonds authenticated and delivered hereunder, and the Trustee’s certificate of authentication and the form of assignment, shall be in substantially the form of the Bond set forth in Exhibit B attached hereto, with such changes
as permitted in this Section 210. 
  
 (c) The Bonds shall be in
either typewritten or printed form, as the Borrower with the consent of the Remarketing Agent shall direct, on behalf of the Issuer; provided that any expenses incurred in connection therewith shall be paid by the Borrower. 
  
 (d) The Bonds shall be issued in the form of the Bonds set forth in
Exhibits A and B, as applicable, with changes as appropriate to reflect any differences in the terms of each such series of Bonds as set forth herein and in the Loan Agreement. 
  
 SECTION 211. Delivery of Bonds. Upon the execution and delivery hereof, the Issuer shall execute the Bonds and
deliver them to the Trustee, and the Trustee shall authenticate the 

  

 -22- 

 
Bonds and deliver them to such purchaser or purchasers as shall be directed by the Issuer as hereinafter in this Section 211 provided. 
  
 Prior to or simultaneously with the authentication and delivery of the Bonds
by the Trustee, there shall be filed with the Trustee: 
  
 (a) A
copy, certified by an authorized officer of the Issuer, of all resolutions adopted and proceedings had by the Issuer authorizing the issuance of the Bonds, including the Bond Resolution; 
  
 (b) An original executed counterpart of this Indenture, the Loan Agreement, the Pledge Agreement, the Bond Purchase
Agreement, the Remarketing Agreement and the original executed Promissory Note; 
  
 (c) The executed initial Letter of Credit; 
  
 (d) An original executed counterpart of the Tax Certificate of the Borrower dated the date of closing relating to the Bonds dated the Issue Date, in form and substance satisfactory to Special Tax Counsel; 

 
 (e) Closing certificates of the Borrower, the Issuer and the Bank in form
and substance satisfactory to Bond Counsel; 
  
 (f) A copy of
completed IRS Form 8038 to be filed by or on behalf of the Issuer pursuant to Section 149(e) of the Code; 
  
 (g) An opinion of Bond Counsel addressed to the Issuer, the Trustee and the Bank to the effect that the Bonds have been duly issued pursuant to the Act
and are valid, binding and enforceable obligations under the Act and that this Indenture and the Loan Agreement have been duly authorized, executed and delivered by the Issuer and are valid and binding agreements of the Issuer; 
  
 (h) An opinion of Special Tax Counsel addressed to the Issuer, the Trustee
and the Bank to the effect that the interest on the Bonds is excludable from gross income of the holders thereof for federal income tax purposes (other than any holder who is a “substantial user” or “related person,” and other
than any interest which may be includable as a preference item or adjustment item in computing any minimum tax); 
  
 (i) An opinion or opinions of Counsel for the Borrower addressed to the Issuer and the Trustee to the effect that the Loan Agreement, the Promissory Note,
the Pledge Agreement and the Bond Purchase Agreement have been duly authorized, executed and delivered by the Borrower and are legal, valid and binding agreements of the Borrower, together with such additional matters as may be requested by Bond
Counsel; 
  

 -23- 

 (j) An opinion of Counsel for the Bank addressed to the Issuer and the Trustee to the effect that the
Letter of Credit is a legal, valid and binding obligation of the Bank, together with such additional matters as may be requested by Bond Counsel; 
  
 (k) A request and authorization to the Trustee on behalf of the Issuer and signed by a member or authorized officer of the Issuer directing the Trustee to
authenticate and deliver the Bonds in such specified denominations as permitted herein to the Underwriter upon payment to the Trustee, but for the account of the Issuer, of the aggregate principal amount of the Bonds, plus accrued interest, if any;
and 
  
 (l) Evidence satisfactory to the Trustee that the Issuer
has delivered an executed Letter of Representations to the Depository. 
  
 Upon receipt of the foregoing, the Trustee shall authenticate and deliver the Bonds as provided above. 
  
 SECTION 212. Mutilated, Lost, Stolen or Destroyed Bonds. If any Bond is mutilated, lost, stolen or destroyed, the Issuer may execute and the
Trustee may authenticate and deliver a new Bond of the same maturity, interest rate, principal amount and tenor in lieu of and in substitution for the Bond mutilated, lost, stolen or destroyed; provided that, in the case of any mutilated
Bond, such mutilated Bond shall first be surrendered to the Trustee, and in the case of any lost, stolen or destroyed Bond, there shall be first furnished to the Issuer and the Trustee evidence satisfactory to each of them of the ownership of such
Bond and of such loss, theft or destruction, together with indemnity satisfactory to the Trustee and the Issuer and compliance with such other reasonable requirements as the Issuer and Trustee may prescribe. The replacement of any Bond under this
Section 212 shall be in accordance with Mississippi law. If any such Bond shall have matured or a redemption date pertaining thereto shall have passed, instead of issuing a new Bond the Issuer may pay the same without surrender thereof. The Issuer
and the Trustee may charge the holder of such Bond with their reasonable fees and expenses in this connection. 
  
 SECTION 213. Exchangeability and Transfer of Bonds; Persons Treated as Owners. The Issuer shall cause the Bond Register to be kept by the Trustee,
which is hereby constituted and appointed the bond registrar for the Bonds. 
  
 Any holder of a Bond, in person or by his duly authorized attorney, may transfer title to his, her or its Bond on the Bond Register, upon surrender thereof at the designated corporate trust office of the Trustee,
together with a written instrument of transfer (in substantially the form of assignment attached to the Bond) executed by the holder or his, her or its duly authorized attorney. Upon surrender for registration of transfer of any Bond, the Issuer
shall execute and the Trustee shall authenticate and deliver in the name of the transferee or transferees a new Bond or Bonds of the same aggregate principal amount and tenor as the Bond surrendered and of any Authorized Denomination. 
  
 Bonds may be exchanged upon surrender thereof at the designated corporate
trust office of the Trustee with a written instrument of transfer satisfactory to the Trustee executed by the 

  

 -24- 

 
Bondholder or his, her or its attorney duly authorized in writing, for an equal aggregate principal amount of Bonds of the same aggregate principal amount
and tenor as the Bonds being exchanged and of any Authorized Denomination. The Issuer shall execute and the Trustee shall authenticate and deliver Bonds which the Bondholder making the exchange is entitled to receive, bearing numbers not
contemporaneously then outstanding. 
  
 Such registrations of
transfers or exchanges of Bonds shall be without charge to the holders of such Bonds, but any taxes or other governmental charges required to be paid with respect to the same shall be paid by the holder of the Bond requesting such registration of
transfer or exchange as a condition precedent to the exercise of such privilege. Any service charge made by the Trustee for any such registration, transfer or exchange shall be paid by the Borrower. 
  
 The Trustee shall not register any transfer of any Bond (or portion thereof)
during the fifteen (15) day period preceding the mailing of the notice of redemption of the Bonds or after notice calling such Bond (or portion thereof) for redemption or partial redemption has been given unless the holder delivers to the Trustee a
written statement acknowledging that such Bond has been called for redemption and the date of such redemption. 
  
 The Person in whose name any Bond is registered on the Bond Register shall be deemed and regarded as the absolute owner thereof for all purposes, except
that payment of or on account of either principal, premium, if any, or interest shall be made only to or upon the order of the holder of record as of the Record Date or the holder’s duly authorized attorney, but such registration may be changed
as hereinabove provided. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid. 
  
 So long as the Bonds are held in book-entry form as described in Section 220 hereof, the Issuer shall execute and the
Trustee shall authenticate a Bond to be held by the Trustee for the account of the Depository, which (i) shall be denominated in an amount equal to the aggregate principal amount of Bonds to be held by the Depository (provided that, unless
the Bonds are being issued on the Issue Date, the Trustee has received a like aggregate principal amount such Bonds for transfer in accordance with this Section 213), (ii) shall be registered in the name of the Depository or Cede, in accordance with
this Section 213, (iii) shall be held by the Trustee for the account of the Depository or pursuant to the Depository’s instructions, and (iv) shall bear a legend substantially to the effect that unless such Bond is presented by an authorized
representative of the Depository to the Issuer or its agent for registration of transfer, exchange or payment, any transfer, exchange, pledge or other use for value or otherwise is not permitted. 
  
 All Bonds issued upon any transfer or exchange of Bonds shall be valid and
binding limited obligations of the Issuer, evidencing the same debt, and entitled to the same security and benefits under this Indenture, as the Bonds surrendered upon such transfer or exchange. 
  
 In executing any Bond upon any exchange or transfer provided for in this
Section 213, the Issuer may rely conclusively on a representation of the Trustee that such execution is required. 
  

 -25- 

 SECTION 214. Replacement Bonds. The Issuer shall execute and the Trustee shall authenticate and
deliver Replacement Bonds to replace (i) Bonds outstanding upon conversion of the interest rate on the Bonds to the Fixed Rate pursuant to Section 204, in which case such Replacement Bonds shall be in substantially the form of Bond attached hereto
as Exhibit B, and (ii) Bonds tendered for purchase pursuant to Section 205 or Section 206 hereof, in which case such Replacement Bonds shall be in substantially the form of Bond attached hereto as Exhibit A and containing such terms
and provisions as are applicable to the Bonds following the purchase date and having eliminated therefrom the terms and provisions which are not so applicable. Any such Replacement Bond shall be executed and authenticated as provided in this
Indenture. The Borrower shall bear all expenses in connection with the preparation and delivery of the Replacement Bonds. 
  
 SECTION 215. Cancellation. All Bonds which have been surrendered pursuant to Section 212, 213 or 214 of this Indenture or for the purpose of
purchase upon tender as provided herein, payment upon maturity or redemption prior to maturity shall be canceled by the Trustee. All Unsurrendered Bonds shall be deemed canceled. Upon final maturity and payment in full of the Bonds, the Trustee
shall cancel all Bonds held as inventory by cremation or by otherwise destroying such Bonds. 
  
 SECTION 216. Ratably Secured. All Bonds, except for Unsurrendered Bonds, issued hereunder are and are to be, to the extent provided in this Indenture, equally and ratably secured by this Indenture without
preference, priority or distinction on account of the actual time or times of the authentication or delivery or maturity of the Bonds so that, subject as aforesaid, all Bonds at any time outstanding hereunder shall have the same right, lien and
preference under and by virtue of this Indenture and shall all be equally and ratably secured hereby with like effect as if they had all been executed, authenticated and delivered simultaneously on the date hereof, whether the same, or any of them,
shall actually be disposed of at such date, or some future date. Notwithstanding the foregoing, Pledged Bonds shall not be entitled to any benefit of the Letter of Credit. 
  
 SECTION 217. Redemption of Bonds. The Bonds shall be subject to redemption prior to maturity as follows: 

 
 (a) Optional Redemption. On or prior to the Conversion Date, the
Bonds are subject to redemption at any time prior to maturity, at the option of the Borrower, as a whole or in part in Authorized Denominations, at the redemption price of one hundred percent (100%) of the principal amount thereof to be redeemed
plus accrued interest to the date fixed for redemption, upon receipt by the Trustee not less than forty-five (45) days (or such lesser period acceptable to the Trustee) prior to such redemption date of a written direction from the Borrower stating
that it intends to exercise its option to prepay the Loan Repayments due under the Loan Agreement and thereby effect redemption of all or a portion of the Bonds. 
  
 After the Conversion Date, the Bonds are subject to redemption prior to maturity, at the option of the Borrower, on or after
the dates specified below, in whole at any time or in part in Authorized Denominations on any Interest Payment Date, at the redemption prices (expressed as 

  

 -26- 

 
percentages of principal amount) set forth in the following table plus accrued interest to the redemption date upon receipt by the Trustee not less than
forty-five (45) days (or such lesser period acceptable to the Trustee) prior to such redemption date of a written direction from the Borrower stating that it intends to exercise its option to prepay the Loan Repayments due under the Loan Agreement
and thereby effect redemption of all or a portion of the Bonds as follows: 
  

			
		
	Length of Period from the Interest Payment Date immediately succeeding the Conversion Date to the Maturity Date	  	Redemption Price as a Percentage of Principal Amount (measured from and including the Interest Payment Date immediately succeeding the Conversion Date)
		
	greater than 10 years	  	After 8 years at 102%, declining 1% annually to 100%
		
	less than or equal to 10 and greater than 7 years	  	After 5 years at 102%, declining by 1% annually to 100%
		
	less than or equal to 7 and greater than 4 years	  	After 3 years at 102%, declining by 1% annually to 100%
		
	less than or equal to 4 years	  	not subject to optional redemption

  
 At the election of the
Borrower, contained in the notice of election to convert to the Fixed Rate Period from the Borrower to the Issuer, the Trustee, the Bank and the Remarketing Agent, the Bonds bearing interest at the Fixed Rate may be subject to optional redemption on
terms different from those set forth above, if approved by the Issuer in a supplemental indenture delivered prior to the Conversion Date, and as shall be specified in such notice, but only if such notice is accompanied by a Favorable Opinion of Bond
Counsel. 
  
 During the Variable Rate Period, the Borrower shall
have the option to cause the Bonds to be subject to mandatory tender and purchase pursuant to Section 206(a)(iv) hereof in lieu of an optional redemption of Bonds pursuant to this Section 217(a). Such option may be exercised by delivery by the
Borrower to the Trustee and the Remarketing Agent on or prior to the Business Day preceding the optional redemption date of a written notice specifying that the Bonds shall not be redeemed, but instead shall be subject to mandatory tender and
purchase pursuant to Section 206 hereof. Upon delivery of such notice, the Bonds shall not be redeemed but will instead be subject to mandatory tender and purchase pursuant to Section 206 hereof at a Purchase Price equal to the price at which the
Bonds would have been redeemed on the date which would have been the optional redemption date. 
  
 (b) Mandatory Redemption Upon Determination of Taxability. The Bonds shall be subject to mandatory redemption prior to maturity, as a whole and not in part, on the earliest practicable date for which notice can
be given following the occurrence of a Determination of Taxability, at a redemption price equal to one hundred percent (100%) of the principal amount thereof plus accrued interest to the redemption date. 
  

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 (c) Mandatory Redemption Upon Expiration of Letter of Credit During Fixed Rate Period Only. If the
Bonds are secured by a Letter of Credit during the Fixed Rate Period and at least forty-five (45) days prior to the Interest Payment Date next preceding the Stated Expiration Date of the Letter of Credit then in effect the Trustee has not been
provided with an extension of such Letter of Credit or an Alternate Letter of Credit for the applicable period required by Section 308 hereof, then the Bonds will be subject to mandatory redemption on the Interest Payment Date next preceding such
Stated Expiration Date at a redemption price determined as the lesser of (i) one hundred and two percent (102%) of the principal amount thereof plus accrued interest to the redemption date, or (ii) the redemption price which would apply as of the
redemption date if the Bonds were optionally redeemed pursuant to Section 217(a) hereof. 
  
 (d) Mandatory Redemption from Insurance and Condemnation Proceeds. The Bonds are subject to mandatory redemption in whole at any time or in part (and if in part in Authorized Denominations; provided that
no Bond may be redeemed in part if the principal amount to be Outstanding following such partial redemption is not an Authorized Denomination) on any Interest Payment Date, at a redemption price equal to one hundred percent (100%) of the aggregate
principal amount of the Bonds to be redeemed plus accrued interest to the redemption date, in an amount equal to any insurance or condemnation proceeds deposited with the Trustee for the purpose of redemption pursuant to Article VII of the Loan
Agreement. During any period in which a Letter of Credit secures the Bonds, such redemption shall be effected by a drawing under the Letter of Credit and the Trustee shall use such insurance or condemnation proceeds to reimburse the Bank for such
drawing. 
  
 (e) Letter of Credit Draws for Redemption. So
long as a Letter of Credit secures the Bonds, any redemption pursuant to the provisions of this Section 217 shall be effected by a drawing under the Letter of Credit or other Eligible Funds. 
  
 SECTION 218. Partial Redemption of Bonds. If less than all the
Outstanding Bonds are called for redemption, the Trustee shall select, or arrange for the selection of, the Bonds to be redeemed by lot, in such manner as it shall in its discretion determine; provided that any such Bonds selected for
redemption shall be in multiples of $5,000 and that unredeemed portions of Bonds shall be in Authorized Denominations. Notwithstanding the foregoing, Pledged Bonds and Borrower Bonds, in that order, shall be first selected by the Trustee for
redemption before any others are selected for redemption. If less than the principal amount of a Bond is called for redemption, the Issuer shall execute and the Trustee shall authenticate and deliver, upon surrender of such Bond, without charge to
the holder thereof, in exchange for the unredeemed principal amount of such Bond, at the option of such holder, Bonds in Authorized Denominations. 
  
 SECTION 219. Notice of Redemption. Notice of redemption shall be mailed, at the expense of the Borrower, by the Trustee by first class mail at
least thirty (30) days but not more than forty-five (45) days before any redemption date to the Registered Owner of each Bond to be redeemed in whole or in part at its last address appearing on the Bond Register; provided, however, that
failure to give such notice by mailing, or any defect therein, shall not affect the validity of any proceedings for the redemption of any Bond, or portion thereof with 

  

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respect to which no such failure or defect has occurred; and provided, further, that so long as the Letter of Credit is in effect, the Trustee shall
not give notice of any redemption pursuant to Section 217(a) hereof unless the Bank has consented in writing to such redemption. In addition, the Trustee may give such other notice or notices as may be recommended in releases, letters,
pronouncements or other writings of the Securities and Exchange Commission and the Municipal Securities Rulemaking Board. No defect in or delay or failure in giving any recommended notice described in the preceding sentence shall in any manner
affect the notice of redemption described in the first sentence of this Section 219. Any notice mailed as provided in this Section 219 shall be conclusively presumed to have been duly given, whether or not the Bondholder receives the notice.

  
 All notices of redemption shall state: 
  
 (1) The redemption date, 
  
 (2) The redemption price, 
  
 (3) The identification, including complete designation and
issue date of the series of Bonds of which such Bonds are a part and the CUSIP number (and in the case of partial redemption, the respective principal amounts), interest rate and maturity date of the Bonds to be redeemed, 
  
 (4) That on the redemption date the redemption price will
become due and payable upon each such Bond, and that interest thereon shall cease to accrue from and after such date; and 
  
 (5) The name and address of the Trustee for such Bonds, including the name and telephone number of a contact person and the place where
such Bonds are to be surrendered for payment of the redemption price. 
  
 Any notice of optional redemption during the Variable Rate Period shall also state that the Borrower may elect that the Bonds be subject to mandatory tender and purchase in lieu of optional redemption at a Purchase Price equal to the
redemption price. 
  
 Any notice of optional redemption may state
that such redemption is conditioned upon the deposit of Eligible Funds with the Trustee on or prior to the date set for redemption and if such Eligible Funds are not so deposited, then such redemption shall not take place. All Bonds so called for
redemption will cease to bear interest on the specified date set for redemption, provided Eligible Funds for their redemption have been duly deposited with the Trustee. Thereafter, the holders of such Bonds called for redemption shall have no rights
in respect thereof except to receive payment of the redemption price plus accrued interest, if any, thereon to the redemption date from the Trustee and a new Bond in an Authorized Denomination for any portion not redeemed. 
  

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 SECTION 220. Book-Entry Only Registration of the Bonds. 
  
 (a) Except as provided in subparagraph (c) of this Section 220, the
Registered Owner of all of the Bonds shall be, and the Bonds shall be registered in the name of Cede. Payment of interest on any Bond, as applicable, shall be made in accordance herewith for the account of Cede on each Interest Payment Date at the
address indicated for Cede in the Bond Register. 
  
 (b) Each
series of Bonds shall be initially issued in the form of a single fully registered Bond in the aggregate principal amount of such series of Bonds. Upon initial issuance, the ownership of each such Bond shall be registered on the Bond Register in the
name of Cede, as nominee of the Depository. With respect to the Bonds so registered in the name of Cede, the Issuer, the Borrower, the Bank and the Trustee, shall have no responsibility or obligation with respect to (i) the accuracy of the records
of the Depository, Cede or any Participant or any nominee of a Beneficial Owner with respect to any beneficial ownership interest in the Bonds, (ii) the delivery to any Participant, Beneficial Owner or other person, other than the Depository, of any
notice with respect to the Bonds, including any notice of redemption, or (iii) the payment to any Participant, Beneficial Owner or other person, other than Cede, as nominee of the Depository, of any amount with respect to the principal, Purchase
Price or redemption price of, or interest on, the Bonds. The Issuer, the Borrower, the Bank and the Trustee may treat and deem Cede, as nominee of the Depository, as the absolute owner of each Bond for all purposes whatsoever, including (but not
limited to) (i) payment of the principal, Purchase Price or redemption price of, and interest on, each such Bond, (ii) giving notices of redemption and other matters with respect to such Bonds and (iii) registering transfers with respect to such
Bonds. The Trustee shall pay the principal, Purchase Price or redemption price of, and interest on, all Bonds only to or upon the order of Cede, and all such payments shall be valid and effective to fully satisfy and discharge the Issuer’s
obligations with respect to such principal, Purchase Price, redemption price and interest, to the extent of the sum or sums so paid. So long as the Bonds are book-entry-only, no person other than the Depository shall receive a Bond evidencing the
obligation of the Issuer to make payments of principal of and interest on the Bonds pursuant to the Indenture. Upon delivery by the Depository to the Trustee of written notice to the effect that the Depository has determined to substitute a new
nominee in place of Cede, and subject to the transfer provisions of this Indenture, the word “Cede” herein shall refer to such new nominee of the Depository; provided that, notwithstanding any provision of this Indenture to the
contrary, until the termination of the book-entry-only system, the Bonds may be transferred in whole, but not in part, only to a nominee of the Depository, or by a nominee of the Depository to the Depository or any nominee thereof. 
  
 (c) (1) The Depository may determine to discontinue providing its services
with respect to the Bonds at any time by giving thirty (30) days written notice to the Issuer or the Trustee and discharging its responsibilities with respect thereto under applicable law. 
  
 (2) The Issuer, at the sole discretion and written direction
of the Borrower and without the consent of any other person, may terminate the services of the Depository if the Borrower determines that the continuation of the system of book-entry-only transfer through the Depository is not in the best interests
of the Beneficial Owners of the Bonds 

  

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or is burdensome to the Issuer or the Borrower; provided, such termination shall not occur except in accordance with applicable rules promulgated by the
Depository. 
  
 (3) Upon the termination of the
services of the Depository with respect to the Bonds pursuant to subsection (c)(1) hereof, the Bonds shall no longer be restricted to being registered on the Bond Register in the name of Cede as nominee of the Depository. In such event, the Issuer
shall, at the expense of the Borrower, issue and the Trustee shall transfer and exchange Bond certificates of like principal amount, in Authorized Denominations to the Participants or the identifiable Beneficial Owners (as identified by the
Depository or the Participants) in replacement of such Beneficial Owners’ beneficial interests in the Bonds. In such event, the Trustee shall receive the names, addresses of record and taxpayer identification numbers for the Beneficial Owners.
The Trustee may rely upon the accuracy of any such information provided by such Beneficial Owners. If the Trustee registers the Bonds, the Trustee shall be provided with the names, addresses of record and taxpayer identification numbers for such
Bondholders. Notwithstanding the preceding sentence, if the Borrower designates a successor Depository, the Issuer shall issue and the Trustee shall transfer and exchange a Bond certificate, in such name as is directed by the successor Depository,
in the amount of Bonds then Outstanding and the Trustee shall take such other action as is necessary so that the beneficial ownership interests of the Beneficial Owners are properly reflected on the records of the successor Depository and its
Participants. In such event, references herein to “Cede” shall be deemed to refer to the successor Depository, or its nominee, as the context requires. 
  
 (d) The Issuer, the Trustee and the Remarketing Agent may conclusively rely on (i) a certificate of the Depository as to the
identity of the Participants in the book-entry only system, and (ii) a certificate of such Participants as to the identity of, and the respective principal amounts of Bonds beneficially owned by, the Beneficial Owners. 
  
 (e) Whenever, during the term of the Bonds, Beneficial Ownership thereof is
determined by a book-entry at the Depository, the requirements in this Indenture of holding, delivering or transferring Bonds shall be deemed modified to require the appropriate person to meet the requirements of the Depository as to registering or
transferring the book-entry to produce the same effect. 
  
 (f)
Notwithstanding anything in this Indenture to the contrary, the Issuer and the Trustee hereby agree as follows with respect to the Bonds, if and to the extent any Bond is registered in the name of Cede as nominee of the Depository: (i) the Trustee
shall give the Depository all special notices required by the Letter of Representations at the times, in the forms and by the means required by the Letter of Representations; (ii) the Trustee shall make payments to Cede at the times and by the means
specified in the Letter of Representations; (iii) Cede shall not be required to surrender Bonds which have been partially paid or prepaid to the extent permitted by the Letter of Representations; and (iv) the Trustee shall set a special record date
(and shall notify the registered owners of the Bonds thereof in writing) prior to soliciting any Bondholder consent or vote, such notice to be given not less than fifteen (15) calendar days prior to such record date (any Bond transferred by a
registered owner subsequent to the establishment 

  

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of the special record date and prior to obtaining such consent or vote shall have attached to it a copy of the notice to Bondholders by the Trustee).

  
 (g) NEITHER THE ISSUER, THE BORROWER, THE TRUSTEE, NOR THE
REMARKETING AGENT WILL HAVE ANY RESPONSIBILITY OR OBLIGATION TO PARTICIPANTS OR THE BENEFICIAL OWNERS OF THE BONDS WITH RESPECT TO (i) THE ACCURACY OF ANY RECORDS MAINTAINED BY THE DEPOSITORY OR ANY PARTICIPANT; (ii) THE PAYMENT BY THE DEPOSITORY TO
ANY PARTICIPANT OR BY ANY PARTICIPANT OF ANY AMOUNT DUE TO ANY BENEFICIAL OWNER IN RESPECT OF THE PRINCIPAL AMOUNT, PURCHASE PRICE, REDEMPTION PRICE OF OR INTEREST ON THE BONDS; (iii) THE DELIVERY OF ANY NOTICE BY THE DEPOSITORY TO ANY PARTICIPANT
OR BY ANY PARTICIPANT TO ANY BENEFICIAL OWNER THAT IS REQUIRED OR PERMITTED TO BE GIVEN TO BONDHOLDERS UNDER THE TERMS OF THIS INDENTURE; (iv) THE SELECTION OF THE BENEFICIAL OWNERS TO RECEIVE PAYMENT IN THE EVENT OF ANY PARTIAL REDEMPTION OF THE
BONDS; OR (v) ANY OTHER ACTION TAKEN BY THE DEPOSITORY OR ANY PARTICIPANT AS OWNER OF THE BONDS. 
  
 SECTION 221. CUSIP Numbers. All payments of principal, premium and interest, whether by check or draft or wire transfer, shall be accompanied by
the appropriate CUSIP number identification with appropriate dollar amounts for each CUSIP number. 
  
 ARTICLE III 
 SECURITY 
  
 SECTION 301. Security. The Bonds and the interest and any premium
thereon shall be a special, limited obligation of the Issuer as provided in Section 208 hereof, and shall be secured by and payable only from the following: 
  
 (i) All Loan Repayments received by the Issuer under the Loan Agreement (including all Loan Repayments made through drawings under the
Letter of Credit), which Loan Repayments are to be paid directly by the Borrower to the Trustee and deposited in the Bond Fund; 
  
 (ii) All moneys in the Bond Fund and the Project Fund, including the proceeds of the Bonds pending disbursement thereof; 
  
 (iii) All of the Issuer’s rights and interest in the
Promissory Note; 
  
 (iv) All of the
Issuer’s rights and interest in the Loan Agreement, except the Unassigned Rights, as defined in the Loan Agreement; and 
  
 (v) All of the proceeds of the foregoing, including, without limitation, investments thereof. 
  

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 The foregoing are collectively the “Security.” In consideration of the purchase of the Bonds and to secure
payment of the principal of, premium, if any, and interest on the Bonds and any other cost or pecuniary liability of the Issuer relating to the Bonds or any proceeding, document or certification incidental to the issuance of the Bonds, and to secure
performance and observance of all covenants, terms and conditions upon which the Bonds are to be issued, including without limitation this Indenture, the Issuer, without warranty, pursuant to law hereby conveys, assigns and pledges all of its right,
title and interest in, and grants a security interest in, the Security to the Trustee, and its successors and assigns, in trust for the benefit of the Bondholders and, to the extent the Bank is subrogated to the rights of the Registered Owners
pursuant to the terms of this Indenture, for the benefit of the Bank in satisfaction of the reimbursement obligations of the Borrower pursuant to the Reimbursement Agreement, and their successors and assigns. The Security shall not include any
moneys held in the Bond Purchase Fund or the Rebate Fund. 
  
 SECTION 302. Payment of Bonds and Performance of Covenants. The Issuer shall promptly pay, but only out of the Security, the principal of, premium, if any, and interest on the Bonds at the place, on the dates and in the manner
provided in the Bonds. The Issuer covenants that it will faithfully perform on its part at all times any and all covenants, undertakings, stipulations and provisions contained in this Indenture, in any and every Bond executed, authenticated and
delivered hereunder and in all of its proceedings pertaining thereto; provided, however, that except for the matters set forth in any documents hereof relating to payment of the Bonds, the Issuer shall not be obligated to take any action or execute
any instrument pursuant to any provision hereof until it shall have been requested to do so by the Borrower or by the Trustee, or shall have received the instrument to be executed and at the option of the Issuer shall have received from the
Borrower, assurance satisfactory to the Issuer that the Issuer shall be reimbursed for its reasonable expenses, including legal counsel fees, incurred or to be incurred in connection with taking such action or executing such instrument. 

 
 SECTION 303. Authority. The Issuer covenants that it is duly
authorized under the Constitution and the laws of the State, including particularly the Act and the Bond Resolution to issue the Bonds authorized hereby and to execute this Indenture, to grant the security interest herein provided, to assign and
pledge the Agreement and the Note (except as otherwise provided herein) and to assign and pledge the amounts hereby assigned and pledged in the manner and to the extent herein set forth, that all action on its part for the issuance of the Bonds and
the execution and delivery of this Indenture has been duly and effectively taken, and that the Bonds in the hands of the owners thereof are and will be valid and enforceable obligations of the Issuer according to the terms thereof and hereof.
Anything contained in this Indenture to the contrary notwithstanding, it is hereby understood that none of the covenants of the Issuer contained in this Indenture are intended to create a general or primary obligation of the Issuer. Subject to the
limitations on its liability as stated herein, the Issuer covenants and agrees that it has not knowingly engaged and will not knowingly engage in any activities and that it has not knowingly taken and will not knowingly take any action which might
result in any interest on the Bonds becoming includable in the gross income of the owners thereof for purposes of federal income taxation. 
  

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 SECTION 304. No Litigation. The Issuer represents and warrants that, as of the date hereof and as
of the Issue Date (i) no litigation or administrative action of any nature has been served upon the Issuer for the purpose of restraining or enjoining the issuance or delivery of the Bonds or the execution and delivery of this Indenture or the Loan
Agreement or in any manner questioning the proceedings or authority under which they have occurred, or affecting their validity or its existence or authority of its present officers; (ii) no authority or proceeding for the issuance of the Bonds or
for the payment or security thereof has been repealed, revoked or rescinded; and (iii) to the best of the knowledge of the officers of the Issuer executing this Indenture, none of the foregoing actions is threatened. 
  
 SECTION 305. Further Assurances. The Issuer covenants that it will
cooperate to the extent necessary with the Borrower, the Trustee and the Bank in their defenses of the Security against the claims and demands of all Persons, and will do, execute, acknowledge and deliver or cause to be done, such indentures
supplemental hereto and such further acts, instruments and transfers as the Trustee or the Bank may reasonably require for the better pledging of the Security, subject to Section 908 hereof. The Issuer shall not cause or permit to exist any
amendment, modification, supplement, waiver or consent with respect to the Loan Agreement or the Promissory Note without the prior written consent of the Trustee and the Bank, which consent shall be governed by Article VIII of this Indenture.

  
 SECTION 306. No Other Encumbrances. The Issuer
covenants that except as otherwise provided herein and in the Loan Agreement, it will not sell, convey, mortgage, encumber or otherwise dispose of any portion of the Security. 
  
 SECTION 307. No Recourse. No recourse shall be had for the payment of the principal of, premium, if any, or interest
on the Bonds or for any claim based thereon or upon any obligation, covenant or agreement contained in this Indenture or the Loan Agreement or the Bond Purchase Agreement, against any past, present or future member, official, officer, director or
employee of the Issuer, or any incorporator, member, officer, employee, director, trustee or successor organization, as such, either directly or through the Issuer or any successor organization, under any rule of law or equity, statute or
constitution or by the enforcement of any assessment or penalty or otherwise, and all such liability of any such member, official, officer, director, agent or employee as such is hereby expressly waived and released as a condition of and in
consideration for the execution of this Indenture and the Loan Agreement and the issuance of the Bonds. 
  
 SECTION 308. Letter of Credit. 
  
 (a) Requirements for Letter of Credit. The initial Letter of Credit will be an irrevocable letter of credit of a commercial bank providing for
direct payments to or upon the order of the Trustee of amounts up to (1) the principal of the Bonds when due, at maturity or upon acceleration, redemption, purchase pursuant to a tender or otherwise; and (2) interest on the Bonds for a period of
forty-five (45) days at the maximum rate of ten percent (10%) per annum; provided, however that if the Letter of Credit will be in effect during the Fixed Rate Period, (A) the stated coverage amount of the Letter of Credit will include
interest on the Bonds for a period 

  

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of one hundred ninety-five (195) days (or such other number of days as may be required by any Rating Agency then rating the Bonds) at the applicable Fixed
Rate and (B) the Letter of Credit will not cover any Liquidity Drawing. The Letter of Credit shall terminate no earlier than the earliest of: (i) the payment in full by the Bank of funds authorized to be drawn thereunder; (ii) the surrender of the
Letter of Credit by the Trustee to the Bank for cancellation as a result of (A) the payment in full of the Bonds pursuant to the provisions of the Indenture, or (B) the acceptance by the Trustee of an Alternate Letter of Credit, as certified by the
Trustee to the Bank; (iii) its Stated Expiration Date, which will be no earlier than fifteen (15) days after an Interest Payment Date and that is one (1) year from its date of issuance; (iv) the Business Day following the Conversion Date (except for
any Letter of Credit issued to secure Bonds during the Fixed Rate Period); or (v) the close of business on the date which is fifteen (15) days after receipt by the Trustee of a written notice from the Bank (A) specifying the occurrence of an
“event of default” under the Reimbursement Agreement and (B) directing the Trustee to accelerate the Bonds. 
  
 At least forty-five (45) days (or such shorter period as shall be acceptable to the Trustee, but not less than thirty (30) days) prior to the Interest
Payment Date next preceding the Stated Expiration Date of the current Letter of Credit, the Borrower may provide for the delivery to the Trustee of an amendment to the Letter of Credit which extends the Stated Expiration Date to a date that is not
earlier than one year from its then current Stated Expiration Date. If the Letter of Credit is so extended, the mandatory tender described in Section 206(a)(iii) hereof (or if the Fixed Rate Period is then in effect, the mandatory redemption
described in Section 217(c) hereof) shall not occur. Unless all of the conditions of this paragraph which are required to be met forty-five (45) days (or such shorter period as shall be acceptable to the Trustee, but not less than thirty (30) days)
preceding the Interest Payment Date next preceding the Stated Expiration Date of the Letter of Credit have been satisfied, the Trustee, at the expense of the Borrower, shall take all action necessary to subject the Bonds to the mandatory tender
described in Section 206(a)(iii) hereof (or if the Fixed Rate Period is then in effect, to the mandatory redemption described in Section 217(c) hereof) on the Interest Payment Date next preceding such Stated Expiration Date; provided that if
the Borrower shall have notified the Trustee in writing that it expects to meet all the conditions for the delivery of an amendment extending the existing Letter of Credit on or before the Interest Payment Date next preceding the Stated Expiration
Date of the existing Letter of Credit, then the notice of such mandatory tender (or mandatory redemption if then in the Fixed Rate Period) shall state that it is subject to rescission, and the Trustee shall rescind such notice, if such conditions
are so met (in which case such mandatory tender (or mandatory redemption if then in the Fixed Rate Period) shall not occur). 
  
 (b) Alternate Letter of Credit. The Borrower may elect to replace any Letter of Credit with a Letter of Credit conforming to the requirements of
Section 308(a) hereof. 
  
 Notwithstanding anything to the
contrary contained herein, (1) while the Bonds bear interest at the Variable Rate, they shall be secured by a Letter of Credit, and (2) if the Bonds are converted to bear interest at the Fixed Rate, they shall not be secured by a Letter of Credit
unless, immediately prior to the Conversion Date, the Remarketing Agent makes an objective determination in a certificate delivered to the Trustee that the present value of the cost of 

  

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securing the Bonds with the Letter of Credit (including the cost of paying interest on the Bonds at the expected interest rate and all fees associated with
the Letter of Credit) would be less than the cost of paying interest on the Bonds if it is not so secured (using as a discount rate the yield to maturity on the Bonds being converted to a Fixed Rate and treating the fees paid and to be paid for the
credit enhancement as interest on the Bonds). In addition, if the Fixed Rate Period is then in effect the Borrower may not furnish an Alternate Letter of Credit with a stated expiration date earlier than the Stated Expiration Date of the Letter of
Credit then in effect. 
  
 Upon delivery to the Trustee of an
Alternate Letter of Credit conforming to the requirement of this Section 308 and delivery of the opinions described in Section 308(c), then the Trustee shall accept such Alternate Letter of Credit and promptly surrender for cancellation the
previously held Letter of Credit to the issuer thereof in accordance with the terms of such Letter of Credit; provided (i) that any draw on the Letter of Credit resulting from a mandatory tender pursuant to Section 206(a)(ii) hereof shall be
a draw on the previously held Letter of Credit, and not a draw on the Alternate Letter of Credit, and such draw is satisfied, and (ii) that no delivery of such Alternate Letter of Credit shall be effective unless the Borrower has given written
notice to the Trustee (a copy of which shall be delivered to the Bank providing the current Letter of Credit) not less than forty-five (45) days prior to such delivery (or such shorter period as shall be acceptable to the Trustee but not less than
thirty (30) days) of the Borrower’s intention to provide for delivery of such Alternate Letter of Credit and the anticipated date of such delivery. During the Variable Rate Period, upon receipt of such notice, the Trustee shall take all actions
necessary to subject the Bonds to mandatory tender as described in Section 206(a)(ii) hereof on the proposed effective date of such Alternate Letter of Credit; provided (i) that any draw on the Letter of Credit resulting from a mandatory
tender pursuant to Section 206(a)(ii) hereof shall be a draw on the previously held Letter of Credit, and not a draw on the Alternate Letter of Credit and (ii) that the notice of such mandatory tender shall state that it is subject to rescission,
and the Trustee shall rescind such notice (unless the Bonds are then subject to mandatory tender as described under the Section 206(a)(iii) hereof) if all of the requirements of this Section 308 are not met on or before the date on which the Bonds
are subject to mandatory tender (in which case such mandatory tender shall not occur). During the Fixed Rate Period, the Trustee shall give at least twenty (20) days prior written notice of the proposed substitution to the Bondholders and the
Issuer. 
  
 (c) Opinion of Counsel. Any Alternate Letter of
Credit delivered to the Trustee must be accompanied by (1) a Favorable Opinion of Bond Counsel as to the delivery of the Alternate Letter of Credit; (2) an opinion of Counsel stating that delivery of the Alternate Letter of Credit is authorized
under this Indenture and complies with its terms; (3) an opinion of Counsel to the issuer of such Alternate Letter of Credit stating that such Alternate Letter of Credit is a legal, valid, binding and enforceable obligation of such issuer in
accordance with it terms; and (4) evidence satisfactory to the Trustee that the unsecured indebtedness of the new Bank (or parent company of the new Bank) is rated by a Rating Agency at least “A1/P1” unless a Favorable Opinion of Bond
Counsel is delivered with respect to a different rating. In addition, if the Borrower or any natural person, firm, association or public body related to the Borrower within the meaning of Section 147(a) of the Code grants a security interest in any
cash, securities or 

  

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investment type property to the issuer of such Alternate Letter of Credit, the Borrower must furnish the Trustee a Favorable Opinion of Bond Counsel with
respect to such grant. 
  
 (d) Rating Maintenance for Letter of
Credit Substitution During Fixed Rate Period. On or before the date of delivery of any Alternate Letter of Credit to the Trustee during the Fixed Rate Period, as a condition of acceptance of any Alternate Letter of Credit by the Trustee, the
Borrower shall furnish to the Trustee (in addition to the other requirements set forth in this Section 308): (1) written evidence from each Rating Agency then rating the Bonds (if the Bonds are then rated), to the effect that such Rating Agency has
reviewed the proposed Alternate Letter of Credit and determined that the substitution of the proposed Alternate Letter of Credit for the Letter of Credit then in effect will not, by itself, result in a reduction or withdrawal of such Rating
Agency’s then current rating on the Bonds, or (2) if the Bonds are not then rated, written evidence satisfactory to the Trustee that the unsecured long-term debt of the issuer of the Alternate Letter of Credit is not less than the rating of the
unsecured long-term debt of the issuer of the then existing Letter of Credit. 
  
 (e) Draws. Except with respect to Pledged Bonds (which Bonds shall not be entitled to any benefit of the Letter of Credit): (i) the Trustee shall draw moneys under the Letter of Credit to the extent available
in accordance with the terms thereof to the extent necessary to make timely payments of principal, premium (but only if such is permitted by the terms of the Letter of Credit) and interest coming due and payable on the Bonds (whether upon any
Interest Payment Date, at maturity, upon the date fixed for redemption or upon acceleration of the Bonds), all as contemplated by Section 401 hereof; (ii) the Trustee shall draw moneys under the Letter of Credit to the extent available in accordance
with the terms thereof on each purchase date to effect the purchase of Bonds required on such dates, except, in the case of each such date, to the extent of remarketing proceeds which are available as contemplated by clause (i) of Section 404(b)
hereof; and (iii) upon the occurrence of an Event of Default specified in Section 601(f) hereof or upon declaration of acceleration of the Bonds pursuant to any other Event of Default, the Trustee shall immediately draw on the Letter of Credit to
the extent available in an amount equal to the full unpaid principal and accrued interest on the Bonds. Notwithstanding any provision to the contrary in this Indenture, (A) in computing the amount to be drawn under the Letter of Credit on account of
the payment of the principal or Purchase Price of, or interest on the Bonds, the Trustee shall exclude any such amounts in respect of any Bonds which are Pledged Bonds or Borrower Bonds on the date such payment is due, and (B) amounts drawn by the
Trustee under the Letter of Credit shall not be applied to the payment of the principal or Purchase Price of, or interest on, any Bonds which are Pledged Bonds or Borrower Bonds on the date such payment is due. 
  
 ARTICLE IV 
 FUNDS 
  
 SECTION 401. Establishment and Use of Bond Fund. There is hereby created and established with the Trustee a special fund to be designated “Mississippi Business Finance Corporation — Trex Company, Inc. Project 2004 Bond
Fund” and within such Fund special accounts designated the “Non-Eligible Funds Account,” the “Letter of Credit Account” and the 

  

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“Eligible Funds Account.” All moneys in the Bond Fund (other than amounts deposited in the Letter of Credit Account and the Issuer’s
administrative fees referenced in Section 3.5 of the Loan Agreement) shall be deposited and held in the Non-Eligible Funds Account until such moneys become Eligible Funds. All amounts drawn by the Trustee under the Letter of Credit (other than
amounts drawn to pay the Purchase Price of a tendered Bond) shall be deposited in the Letter of Credit Account. Once the Trustee shall have been notified that moneys on deposit in the Non-Eligible Funds Account shall have become Eligible Funds, they
shall be withdrawn from the Non-Eligible Funds Account and deposited in the Eligible Funds Account until used pursuant to the terms hereof. 
  
 There shall be deposited in the applicable account in the Bond Fund (a) any accrued interest received on the sale of the Bonds; (b) all Loan Repayments
under the Loan Agreement, including all proceeds resulting from the enforcement of the Security or its realization as collateral; (c) all moneys received by the Trustee under the Loan Agreement for deposit in the Bond Fund; (d) all moneys drawn
under the Letter of Credit (other than amounts drawn to pay the Purchase Price of a tendered Bond) to pay principal of, premium (but only if the payment of premium is permitted by the terms of the Letter of Credit), if any, or interest on the Bonds;
and (e) any other moneys received by the Trustee with directions for deposit in the Bond Fund. 
  
 At all times the Trustee shall maintain adequate books and records relating to the Bond Fund (including any investment income thereon) so that the Trustee may at all times ascertain the date of deposit of the moneys
in the Non-Eligible Funds Account. The Trustee shall create separate and segregated sub-accounts in the Non-Eligible Funds Account as directed by the Borrower. Moneys received by the Trustee and deposited in the Letter of Credit Account shall not be
commingled with other moneys in the Bond Fund. 
  
 Moneys in the
Bond Fund shall be held in trust first for the Bondholders and then for the Bank subject to the provisions of Section 501 hereof. Except as otherwise expressly provided herein (including without limitation Section 607 hereof), such moneys shall be
used first solely for the payment of the interest on the Bonds and for the payment of principal of and premium, if any, on the Bonds upon maturity, whether stated or accelerated, or mandatory or optional redemption, and then, to the extent of any
moneys remaining on deposit therein, for the payment of any amounts owed by the Borrower first to the Trustee, then to the Issuer, and then to the Bank pursuant to the Borrower’s reimbursement obligation under the Reimbursement Agreement;
provided, however, that any Surplus Bond Proceeds transferred from the Project Fund to the Bond Fund as provided in Section 5.4 of the Loan Agreement may only be used by the Trustee as provided in Section 11.1 of the Loan Agreement.

  
 The Issuer hereby authorizes and directs the Trustee, and the
Trustee hereby agrees, to withdraw sufficient funds from the Bond Fund to pay the principal of, premium, if any, and interest on the Bonds as the same become due and payable, from funds derived from the following sources in the order of priority
indicated below: 
  
 (a) From the Letter of Credit Account,
amounts realized by the Trustee under the Letter of Credit for principal, premium, if provided for in the Letter of Credit, and interest on the 

  

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Bonds, provided in no event shall such moneys be used to pay for Pledged Bonds or Borrower Bonds; 
  
 (b) Eligible Funds on deposit in the Eligible Funds Account; and 

 
 (c) Any other amounts (whether or not Eligible Funds) in the Bond Fund,
including amounts received by the Trustee pursuant to the Loan Agreement. 
  
 If the Bonds are in a book-entry only system, the Trustee is hereby directed to give notice to the Depository on every Interest Payment Date occurring during a period in which Pledged Bonds are in existence that the
Depository is not to pay, and will not be receiving from the Trustee, interest on the Pledged Bonds recorded in the books of the Depository for the account of the Borrower (and identifying the principal amount of such Bonds). Interest on such
Pledged Bonds will be paid by the Borrower to the Bank pursuant to the Pledge Agreement. 
  
 On the Business Day immediately preceding the date on which any principal and/or interest shall become due on the Bonds (whether upon any Interest Payment Date, at maturity, upon the date fixed for redemption or upon
acceleration of the Bonds), the Trustee shall, without making any prior claim or demand upon the Borrower, take actions under and in accordance with the Letter of Credit so as to receive moneys on such date thereunder in an amount which, together
with moneys described in clause (a) above and available therefor, shall be equal to the amount of principal and interest (and premium, if provided for in the Letter of Credit) coming due on the Bonds on the date such payment is due; provided,
that the Trustee shall not take any action under the Letter of Credit to pay the principal of and/or interest (and premium, if provided for in the Letter of Credit) on Pledged Bonds or Borrower Bonds. If for any reason funds are not available under
the Letter of Credit for payment of principal and/or interest (and premium, if provided for in the Letter of Credit) due on the Bonds on any such date, the Trustee shall immediately request from the Borrower immediately available funds sufficient to
make all such payments of principal and/or interest and premium, if any, on the Bonds pursuant to Section 3.2 of the Loan Agreement by directing that the Borrower deposit such funds with the Trustee at its designated corporate trust office into the
Bond Fund. If the Borrower has deposited moneys with the Trustee in accordance with clause (c) above and moneys have been realized by the Trustee under the Letter of Credit for the payment of principal and/or interest (and premium, if provided for
in the Letter of Credit) on the Bonds, then the Trustee shall request a written statement from the Bank as to whether or not the Bank has been reimbursed by the Borrower for any and all such moneys. Upon written notice from the Bank that the
Borrower has not reimbursed the Bank in a certain amount, any such moneys deposited in accordance with clause (c) above to such amount shall be immediately paid to the Bank. 
  
 Any amounts remaining in the Bond Fund after payment in full of the Bonds and all other amounts required to be paid under
this Indenture or the Loan Agreement, shall be paid (i) to the Bank, to the extent of any amounts owing under the Reimbursement Agreement, or, (ii) if there are no such amounts or obligations of the Borrower existing under the Reimbursement
Agreement as certified in writing by the Bank to the Trustee, to the Borrower in accordance with 

  

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its written direction upon the expiration or sooner cancellation or termination of the term of the Loan Agreement as provided therein. 
  
 Notwithstanding anything herein to the contrary, the Issuer’s
administrative fee referenced in Section 3.5 of the Loan Agreement shall be paid by the Borrower to the Trustee and shall be deposited into the Non-Eligible Funds Account and promptly be paid by the Trustee to the Issuer. 
  
 SECTION 402. Establishment and Use of Project Fund. There is hereby
created and established with the Trustee a special fund to be designated “Mississippi Business Finance Corporation — Trex Company, Inc. Project 2004 Project Fund.” The proceeds of the Bonds, as described in Section 405 hereof, shall
be delivered to the Trustee for deposit into the Project Fund. Funds in the Project Fund shall be expended and disbursed in accordance with the provisions of the Loan Agreement. 
  
 SECTION 403. Creation and Sources of Bond Purchase Fund. 
  
 (a) There is hereby established and created with the Trustee a special fund
to be designated “Mississippi Business Finance Corporation — Trex Company, Inc. Project 2004 Bond Purchase Fund,” which shall be used to pay the Purchase Price of Bonds tendered or deemed to be tendered for purchase pursuant to
Section 205 or 206 of this Indenture. The Trustee shall hold all moneys on deposit in the Bond Purchase Fund in trust for the benefit of the Bondholders who have tendered their Bonds or who are deemed to have tendered their Bonds for purchase. The
Bondholders who have tendered or who are deemed to have tendered their Bonds for purchase pursuant to Section 205 or 206 of this Indenture and for whose benefit Eligible Funds have been deposited in the Bond Purchase Fund shall have a first lien on,
with right of payment to, such Eligible Funds. 
  
 (b) There shall
be paid into the Bond Purchase Fund, as and when received, 
  
 (i) The proceeds of the remarketing of Bonds by the Remarketing Agent pursuant to Section 207 of this Indenture (which proceeds shall at all times prior to their transfer from the Bond Purchase Fund be held by the
Trustee in a segregated account in the Bond Purchase Fund separate from all other moneys in the Bond Purchase Fund); 
  
 (ii) All payments made by the Borrower pursuant to Section 3.4 of the Loan Agreement (each of which payments shall at all times prior to
their transfer from the Bond Purchase Fund be held by the Trustee in a segregated account in the Bond Purchase Fund separate from all other moneys in the Bond Purchase Fund); 
  
 (iii) All moneys realized by the Trustee under the Letter of Credit for the purpose of paying such Purchase
Price (all of which moneys shall at all times prior to their transfer from the Bond Purchase Fund be held by the Trustee in a segregated account in the Bond Purchase Fund separate from all other moneys in the Bond Purchase Fund); and 
  

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 (iv) All other moneys received by the Trustee pursuant to this Indenture, the Loan
Agreement, or otherwise which are required or which are accompanied by directions that such moneys are to be paid into the Bond Purchase Fund (each of which payments shall at all times prior to their transfer from the Bond Purchase Fund be held by
the Trustee in a segregated account in the Bond Purchase Fund separate from all other moneys in the Bond Purchase Fund). 
  
 SECTION 404. Use of Moneys in the Bond Purchase Fund. 
  
 (a) Except as provided in this Section 404, moneys in the Bond Purchase Fund shall be used solely for the payment of the Purchase Price of Bonds tendered
or deemed to be tendered for purchase on any purchase date pursuant to Section 205 or Section 206 of this Indenture. 
  
 (b) On each purchase date, the Trustee shall pay the Purchase Price of Bonds tendered for purchase from moneys on deposit in the Bond Purchase Fund from
funds derived from the following sources in the order of priority indicated: 
  
 (i) Proceeds of the remarketing of such Bonds pursuant to Section 207 hereof which constitute Eligible Funds within the meaning of clause (a) of the definition of Eligible Funds in this Indenture; 
  
 (ii) Moneys realized under the Letter of Credit to pay the
Purchase Price of Bonds tendered or deemed to be tendered for purchase (other than Pledged Bonds or Borrower Bonds); and 
  
 (iii) Payments made by the Borrower pursuant to Section 3.4 of the Loan Agreement and all other moneys deposited in the Bond Purchase Fund
in accordance with Section 403(b)(iv) hereof. 
  
 Unless notified
to the contrary by the Remarketing Agent, the Issuer, the Company or the Bank, the Trustee shall be entitled to assume that remarketing proceeds delivered to it were remarketed to persons other than the Borrower, the Issuer, any Insider of the
Borrower or the Issuer or any other person obligated (as guarantor or otherwise) to make payments on the Bonds or under the Loan Agreement or the Reimbursement Agreement. Bonds (or portions thereof in Authorized Denominations) purchased with moneys
described in clause (i) above shall be delivered to the purchasers thereof as provided in Section 207 hereof. Bonds (or portions thereof in Authorized Denominations) purchased with moneys described in clause (ii) above shall, if the Bonds are not in
a book-entry only system, be registered in the name of the Borrower (or as otherwise provided in the Pledge Agreement), shall be referred to as Pledged Bonds, shall be held by the Trustee under the Pledge Agreement in trust for the account of the
Borrower, shall be pledged to the Bank pursuant to the Pledge Agreement securing the Borrower’s obligations thereunder and shall not be transferred or exchanged by the Trustee until the Letter of Credit has been reinstated in accordance with
its terms (pursuant to the confirmation by the Trustee to the Bank by telephonic notice that the Trustee holds in trust for the benefit of the Bank the proceeds of the remarketing of such Pledged Bonds) in the amount of the aggregate principal
amount of such Bonds and the amount originally realized under the Letter of Credit to pay the portion of the 

  

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Purchase Price equal to the accrued interest, if any, on such Bonds; and the Trustee may then release such Bonds, and register the transfer of such Bonds in
the names of the new registered owners thereof as shall be provided by the Remarketing Agent by telephone or telecopy promptly confirmed in writing, in the manner set forth in Section 207 hereof; provided, however, that Pledged Bonds which
have been held by the Trustee for a period of six (6) months and have not been remarketed shall, at the written direction of the Bank given to the Trustee, be canceled. Bonds (or portions thereof in Authorized Denominations) purchased with moneys
described in clause (iii) above shall, at the direction of the Borrower if the Bonds are not in a book-entry only system, be registered in the name of the Borrower or be canceled. 
  
 If the Bonds are in a book-entry only system, the Trustee shall instruct the Depository to record in the books of the
Depository for the account of the Borrower any Bonds (or portions thereof in Authorized Denominations) purchased with moneys described in clause (ii) above and the Trustee shall record such beneficial ownership interest of the Borrower on its books,
and such Bonds shall be referred to as Pledged Bonds, shall be deemed to be held by the Trustee in trust for account of the Bank and to the fullest extent permitted by law shall be subject to a security interest in favor of the Bank as security for
the Borrower’s obligations under the Pledge Agreement and the Reimbursement Agreement, which security interest shall be released only after the Letter of Credit has been reinstated in accordance with its terms (pursuant to the confirmation by
the Trustee to the Bank by telephonic notice that the Trustee holds in trust for the benefit of the Bank the proceeds of the remarketing of such Pledged Bonds) in the amount of the aggregate principal amount of such Bonds and the amount realized
under the Letter of Credit to pay the portion of the Purchase Price equal to the accrued interest, if any, on such Bonds; provided, however, that any such Pledged Bonds which have been recorded in the books of the Depository for the account
of the Borrower for a period of six (6) months and have not been remarketed shall, at the written direction of the Bank given to the Trustee, be canceled. In addition, during any period in which there are Pledged Bonds the Trustee shall make
appropriate arrangements with the Depository to segregate the Pledged Bonds on the books of the Depository so that payments on the Bonds resulting from drawings under the Letter of Credit are not applied to the Pledged Bonds. If the Bonds are in a
book-entry only system, the Trustee shall, with respect to any Bonds (or portions thereof in Authorized Denominations) purchased with moneys described in clause (iii) above which the Borrower does not instruct the Trustee to cancel, instruct the
Depository to record such Bonds in the books of the Depository for the account of the Trustee, and such Bonds shall be Borrower Bonds. 
  
 (c) If the funds available under clause (i) of subsection (b) above for the payment of the Purchase Price of the Bonds to be purchased pursuant to Section
205 or Section 206 of this Indenture are not sufficient to pay the Purchase Price of such Bonds in full at or before 10:00 a.m., New York City time, on such purchase date, the Trustee shall, without making any prior demand or claim upon the
Borrower, take action under the Letter of Credit prior to 11:00 a.m., New York City time, and the Bank shall make payment under the Letter of Credit to the Trustee at or before 1:30 p.m., New York City time, in immediately available funds in an
amount which will be sufficient, together with the funds available under such clause (i) of subsection (b) above, to pay the Purchase Price of such Bonds on such purchase date. If for any reason funds are not available under the Letter of Credit for
payment of the Purchase Price of such Bonds on such 

  

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purchase date, the Trustee shall immediately request from the Borrower immediately available funds sufficient to pay the Purchase Price of such Bonds by 2:00
p.m., New York City time on that date pursuant to Section 3.4 of the Loan Agreement. 
  
 (d) Notwithstanding any other provision of this Indenture to the contrary, in the event that (i) the Remarketing Agent remarkets any Bonds tendered for purchase pursuant to Section 205 or Section 206 hereof and the
proceeds of such remarketing are received by the Trustee after the Trustee has taken action under the Letter of Credit to realize moneys to pay the Purchase Price of such Bonds, pursuant to subsection (c) above, or (ii) the Remarketing Agent shall
subsequently remarket any Pledged Bonds, the Purchase Price of which Bonds were paid by the Trustee as a result of action taken under the Letter of Credit pursuant to subsection (c) above, then all proceeds of any such remarketing which necessitated
such action under the Letter of Credit (or which would otherwise be payable to the Borrower as the Registered Owner or Beneficial Owner of the Bonds) shall be paid by the Trustee to the Bank in respect of the obligations of the Borrower under the
Reimbursement Agreement. The Trustee shall immediately notify the Bank by telecopy or telephone, promptly confirmed in writing, that such proceeds are on deposit in the Bond Purchase Fund, and the Bank shall certify to the Trustee the amount of the
obligations of the Borrower under the Reimbursement Agreement. When all obligations of the Borrower to the Bank under the Reimbursement Agreement have been satisfied, then all such moneys remaining in the Bond Purchase Fund shall be paid to the
Borrower. 
  
 (e) If at any time moneys are on deposit in the Bond
Purchase Fund in excess of the amounts required to be on deposit therein because the Borrower has made payment pursuant to Section 3.4 of the Loan Agreement for the purchase of Bonds tendered or deemed tendered for purchase pursuant to Section 205
or Section 206 hereof and the proceeds of the remarketing of such Bonds pursuant to Section 207 hereof are received by the Trustee prior to the purchase of such Bonds, with the result that such Bonds are or will be purchased with moneys described in
Section 404(b)(i) hereof, such moneys so paid by the Borrower pursuant to Section 3.4 of the Loan Agreement shall be promptly returned to the Borrower by the Trustee to such extent. 
  
 SECTION 405. Deposit of Bond Proceeds. The net proceeds from the sale of the Bonds shall be deposited into the
Project Fund. 
  
 SECTION 406. Account Statements. The
Trustee shall keep and maintain adequate account statements, including receipts and statements of disbursements, deposits and investments, pertaining to the Project Fund, Bond Fund and Bond Purchase Fund. The Trustee shall provide monthly
transaction and asset statements pertaining to such Funds to the Borrower and, upon request, to the Issuer and the Bank. The Borrower shall retain the transaction and asset statements described in the preceding sentence and shall provide them to any
Person preparing the calculations or reports required pursuant to Section 409 hereof. If the Trustee is required to provide such transaction and asset statements to any Person preparing calculation or reports pursuant to Section 409 hereof, the
Trustee may charge the Borrower its expenses in retrieving such transaction and asset statements. 
  

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 SECTION 407. Investment of Project Fund and Bond Fund Moneys. Moneys held as part of the Project
Fund and Bond Fund shall be invested and reinvested at the written direction of the Borrower in Permitted Investments in accordance with the provisions of Section 5.3 of the Loan Agreement, provided, however, that (i) any moneys from a
drawing under the Letter of Credit shall remain uninvested, (ii) any moneys held by the Trustee in the Bond Purchase Fund shall remain uninvested, and (iii) any other moneys held by the Trustee in the Bond Fund may only be invested and reinvested in
Government Obligations or Government Obligations Funds. The Trustee may conclusively rely upon such instructions as to both the suitability and legality of the directed investments. In the event no such instructions are received by the Trustee, such
amounts shall be invested in Permitted Investments described in clause (viii) of the definition thereof, pending receipt of such investment instructions. The Trustee may make any and all such investments through its own investment department or that
of its affiliates or subsidiaries. Any Permitted Investments shall be held by or under the control of the Trustee and shall be deemed at all times a part of the fund and account which was used to purchase the same. All interest accruing thereon and
any profit realized from Permitted Investments shall be credited to the respective fund or account and any loss resulting from Permitted Investments shall be similarly charged. At the written direction of the Borrower, the Trustee shall cause to be
sold and reduced to cash a sufficient amount of Permitted Investments whenever the cash balance is or will be insufficient to make a requested or required disbursement from the Project Fund. The Trustee shall not be accountable for any depreciation
in the value of any Permitted Investment or for any loss resulting from such sale. Funds in the Bond Purchase Fund shall remain uninvested. Although the Issuer and the Borrower each recognize that it may obtain a broker confirmation or written
statement containing comparable information at no additional cost, the Issuer and the Borrower hereby agree that confirmations of permitted investments are not required to be issued by the Trustee for each month in which a monthly statement is
rendered. No statement need be rendered for any fund or account if no activity occurred in such fund or account during such month. 
  
 The purchase or sale of any securities may be made through the bond or investment department of the Trustee or the bond or investment department of any
affiliated entity. The Trustee, when authorized by the Borrower, may trade with itself in the purchase or sale of securities for any investment. The Issuer requires monthly confirmations of Permitted Investments. Notwithstanding any provision of
this Section 407 to the contrary, no statement need be rendered for any fund or account if no activity occurred in such fund or account during such month. 
  
 SECTION 408. Arbitrage. The Issuer recognizes that investment of the Bond proceeds will be at the written direction
of the Borrower, but agrees that it will commit no act that would cause the Bonds to be “arbitrage bonds” within the meaning of Section 148(a) of the Code. The Trustee covenants that, while recognizing that investment of Bond proceeds will
be at the written direction of the Borrower, should the Issuer file with the Trustee, or should the Trustee otherwise receive, an opinion of Bond Counsel or Special Tax Counsel, to the effect that any proposed investment or other use of proceeds of
the Bonds would cause the Bonds to become “arbitrage bonds,” then the Trustee will comply with any instructions of the 

  

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Issuer or such Bond Counsel regarding such investment or use so as to prevent the Bonds from becoming “arbitrage bonds.” The Trustee shall file a
copy of any such opinion of Bond Counsel with the Issuer, the Borrower and the Bank. The Trustee shall not be required to determine whether or not any opinion is required to be submitted. 
  
 SECTION 409. Rebate of Certain Arbitrage Earnings. 
  
 (a) Definitions. For purposes of this Section 409: 
  
 “Bond Year” means the annual period relevant to the application of Section 148(f) of the Code to the Bonds, except
that the first and last Bond Years may be less than twelve (12) months long. The last day of a Bond Year shall be the close of business on the day preceding the anniversary of the Issue Date of the Bonds unless the Borrower selects another date on
which to end a Bond Year in the manner permitted by the Code. 
  
 “Computation Date” means each date on which the Rebate Amount for an issue is required to be computed under Treasury Regulations §1.148-3(e). In the case of the Bonds, the first Computation Date shall not be later than five
(5) years after the Issue Date of the Bonds. Subsequent Computation Dates shall be not later than five (5) years after the immediately preceding Computation Date for which an installment payment of the Rebate Amount was paid. The final Computation
Date is the date the Bonds are retired. 
  
 “Rebate
Amount” means the excess of the future value, as of any date, of all receipts on nonpurpose investments acquired with gross proceeds of the Bonds over the future value, as of that date, of all payments on nonpurpose investments acquired with
gross proceeds of the Bonds, computed in accordance with Section 148(f) of the Code and Treasury Regulations. Gross proceeds that are held in a bona fide debt service fund shall not be considered gross proceeds for purposes of computing the Rebate
Amount. 
  
 All determinations made pursuant to this Section 409
shall be made in accordance with the applicable portion of Section 148(f) of the Code. 
  
 The terms “bona fide debt service fund,” “gross proceeds,” and “nonpurpose investments” have the meanings assigned to them for the applicable purposes of Section 148(f) of the Code.

  
 (b) Rebate Amount. The Trustee shall furnish
information to and the Borrower shall engage (at the expense of the Borrower) an independent certified public accounting firm or law firm or a consultant experienced in arbitrage rebate matters, to calculate, within thirty (30) days after the end of
the fifth (5th) Bond Year and every fifth (5th) Bond Year thereafter and within thirty (30) days after the retirement of all outstanding Bonds, the Rebate Amount, if any, as of the end of that Bond Year or
the date of such retirement. The Borrower shall immediately notify the Trustee of the Rebate Amount, if any, and shall deliver copies of the calculation thereof to the Trustee. Within sixty (60) days after the end of each Computation Date, the
Borrower, acting on behalf of the Issuer, shall pay to the United States in accordance with Section 148(f) of the Code, the Rebate Amount as of such Computation Date. 
  

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 On or about each Computation Date, the Trustee shall request in writing that the Borrower furnish it with
copies of the calculations made pursuant to this Section 409 and evidence of payment of the Rebate Amount to the United States, if applicable. The Trustee shall keep copies of the calculations made pursuant to this Section 409 and provided to the
Trustee. The Trustee shall be entitled to rely on the calculations made pursuant to this Section 409 and shall not be responsible for any loss or damage resulting from any action taken or omitted to be taken in reliance upon those calculations.

  
 Notwithstanding anything herein to the contrary, the Borrower
may cause the amount to be rebated to the United States in accordance with Section 148(f) of the Code to be calculated under a different method or at different times and may make such rebate payments at different times; provided that the
Borrower, the Issuer, and the Trustee shall have received a written opinion of Bond Counsel that using such method or timing of those calculations and making payments at such times will not adversely affect the exclusion of interest on the Bonds
from gross income of the holders or Beneficial Owners thereof for federal income tax purposes. The Borrower shall promptly notify the Issuer and the Trustee of its use of such other method of calculation or making payment at such other time.

  
 ARTICLE V 
 DISCHARGE OF LIEN 
  
 SECTION 501. Discharge of Lien and Security Interest. Subject to the next paragraph, upon payment in full of the Bonds, the lien of this Indenture
upon the Security shall cease, terminate and be void, and thereupon the Trustee, upon determining that all conditions precedent to the satisfaction and discharge of this Indenture have been complied with, and upon payment of the Trustee’s fees,
costs and expenses hereunder, shall (i) cancel and discharge this Indenture and the lien of this Indenture upon the Security, (ii) execute and deliver to the Issuer and the Borrower such instruments in writing which have been provided to it as shall
be required to cancel and discharge the lien of this Indenture and the Security, (iii) reconvey, as applicable, the Security to the Issuer and the Borrower, and (iv) assign and deliver to the Issuer and the Borrower so much of the Security as may be
in its possession or subject to its control, except for moneys and Government Obligations held in the Bond Fund for the purpose of paying Bonds and except for moneys held in the Bond Purchase Fund for the purpose of paying the Purchase Price of the
Bonds which have been purchased by the Trustee; provided, however, such cancellation and discharge of this Indenture shall not terminate the powers and rights granted to the Trustee with respect to the payment, transfer and exchange of the
Bonds; and provided, further, that the rights of the Issuer, the Trustee and the Remarketing Agent to indemnity and payment of all reasonable fees and expenses shall survive such cancellation and discharge. 
  
 Notwithstanding any other provision to the contrary in this Indenture and
unless otherwise agreed to by the Bank, to the extent that (i) moneys are drawn by the Trustee under the Letter of Credit which have not been reimbursed by the Borrower or the Borrower is otherwise indebted to the Bank under the Reimbursement
Agreement and (ii) the fees, costs and expenses of the Issuer and the Trustee hereunder have been paid, then: (A) the lien of this Indenture shall 

  

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not be discharged; (B) the Bank shall be subrogated to the extent of such draws on the Letter of Credit or the Borrower’s indebtedness to the Bank to
all rights of the Bondholders to enforce the payment of the Bonds from the Security and all other rights of the Bondholders under the Bonds, this Indenture and the Loan Agreement; (C) the Bank shall be entitled in its own right upon payment in full
of the principal of and interest on the Bonds to exercise all rights of enforcement and remedies set forth in Article VI hereof; (D) the Bondholders will be deemed paid to the extent of moneys drawn by the Trustee under the Letter of Credit; and (E)
the Issuer and the Trustee shall sign, execute and deliver all documents or instruments (provided the Trustee shall not be required to prepare any such documents or instruments) and do all things which may be reasonably required by the Bank to
effect the Bank’s subrogation of rights of enforcement and remedies set forth in Article VI hereof in accordance with the intent of this Article V, including without limitation a conveyance and assignment of the Security and the Promissory Note
to the Bank. 
  
 If payment or provision therefor has been made
with respect to all the Bonds, the interest of the Trustee in the Promissory Note shall cease and the Trustee shall, subject to the rights of the Bank set forth in the preceding paragraph (including, without limitation, the right to have an
assignment of such Promissory Note), cancel the Promissory Note and return the same to the Borrower. Neither the obligations nor moneys deposited with the Trustee pursuant to this Article V shall be withdrawn or used for any purpose other than, and
shall be segregated and held in trust, for the payment of the principal, premium, if any, and interest on the Bonds or for payment to the Bank in accordance with the terms of this Indenture. 
  
 SECTION 502. Provision for Payment of Bonds During Fixed Rate Period.
During the Fixed Rate Period, Bonds shall be deemed to have been paid within the meaning of Section 501 if (but subject to the provisions of the second paragraph thereof to the extent that the Bonds during the Fixed Rate Period remain secured by a
Letter of Credit): 
  
 (a) There have been irrevocably deposited
in the Bond Fund: 
  
 (i) Moneys constituting
Eligible Funds, and/or 
  
 (ii) Noncallable
Government Obligations purchased with Eligible Funds, of such maturities and interest payment dates and bearing such interest as will, without further investment or reinvestment of either the principal amount thereof or the interest earnings thereon
(such earnings to be held in trust also), be sufficient together with any moneys referred to in subsection (i) above, 
  
 for the payment at their respective maturities or redemption dates prior to maturity, of the principal thereof and the redemption premium (if any) and interest to accrue
thereon to such maturity or redemption dates, as the case may be; 
  
 (b) There have been paid all fees, costs and expenses, including without limitation, reasonable Counsel fees, of the Issuer, the Trustee and the Remarketing Agent due or to become due or there are sufficient moneys in the Bond Fund to make
such payments; 
  

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 (c) If any Bonds are to be redeemed on any date prior to their maturity, the Trustee has received in form
satisfactory to it irrevocable instructions to redeem such Bonds on such date and either evidence satisfactory to the Trustee that all redemption notices required by this Indenture have been given or irrevocable power authorizing the Trustee to give
such redemption notices has been given; and 
  
 (d) The Trustee
shall have received a written opinion of Bond Counsel to the effect that such deposit (and the payment of the Bonds therefrom) will not adversely affect the exclusion from gross income of interest on the Bonds by the holders or Beneficial Owners
thereof for federal income tax purposes. 
  
 In determining the
sufficiency of the moneys and/or Government Obligations deposited pursuant to subsection (a) of this Section 502, the Trustee shall be entitled to receive, at the expense of the Borrower, and may rely on a verification report of a firm of nationally
recognized independent certified public accountants. 
  
 Limitations elsewhere specified herein regarding the investment of moneys held by the Trustee in the Bond Fund shall not be construed to prevent the depositing and holding in the Bond Fund of the obligations described in the preceding
subparagraph (a)(ii) for the purpose of defeasing the lien of this Indenture as to Bonds which have not yet become due and payable. In addition, all moneys so deposited with the Trustee as provided in this Section 502 may also be invested and
reinvested, at the written direction of the Borrower, in Government Obligations, maturing in the amounts and times as hereinbefore set forth, and all income from all Government Obligations in the hands of the Trustee pursuant to this Section 502
which is not required for the payment of the Bonds and interest and redemption premium, if any, thereon with respect to which such moneys shall have been so deposited under this Section 502 shall be deposited in the Bond Fund as and when realized
and collected for use and application as are other moneys deposited in the Bond Fund. 
  
 SECTION 503. Discharge of this Indenture. Notwithstanding the discharge and cancellation of the lien of this Indenture upon the Security under Section 501 hereof, this Indenture and the rights granted and
duties imposed hereby, to the extent not inconsistent with such discharge and cancellation of the lien upon the Security, shall nevertheless continue and subsist after payment in full of the Bonds and all of the Borrower’s obligations to the
Bank under the Reimbursement Agreement until the Trustee shall have returned to the Borrower all funds held by the Trustee in the Bond Fund, Project Fund and the Bond Purchase Fund pursuant to Sections 401, 402 and 404 of this Indenture. 

 
 SECTION 504. Unclaimed Moneys. Any moneys deposited with the
Trustee in accordance with the terms and provisions of this Indenture, or any moneys held by any paying agent, in trust for the payment of the principal of and redemption premium, if any, or interest on the Bonds or the Purchase Price of any
Unsurrendered Bonds and remaining unclaimed by the Registered Owners of the Bonds for four (4) years after the final maturity of all Bonds issued hereunder or the redemption date of all the Bonds, as the case may be, shall, at the request of the
Borrower (and if the Borrower is not at the time to the knowledge of the Trustee 

  

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in default with respect to any covenant contained in the Loan Agreement and if the Issuer is not in default hereunder or under the Bonds) and upon provision
of adequate indemnification from the Borrower, the Trustee shall pay such amounts to the Borrower, and the Holders of the Bonds for which the deposit was made shall thereafter be limited to a claim against the Borrower. Upon any such disposition to
the Borrower, all liability of the Trustee with respect to the such funds shall cease. All moneys held by the Trustee and subject to this Section shall be held uninvested and without liability for interest thereon. However, if the escheatment laws
of the State direct a different disposition of such funds, the Trustee shall comply with such laws. The Issuer, the Bank, the Remarketing Agent and the Trustee shall have no responsibility with respect to such moneys. 
  
 ARTICLE VI 
 DEFAULT PROVISIONS AND REMEDIES 
  
 SECTION 601. Events of Default. Any one (1) of the following shall constitute an Event of Default hereunder: 
  
 (a) Default in the payment of any interest on any Bond when and as the same is due; 
  
 (b) Default in the payment of the principal of or any premium on any Bond when and as the same is due, whether at the stated
maturity or redemption date thereof or by acceleration; 
  
 (c)
Default in the payment of the Purchase Price of any Bond required to be purchased hereunder when and as the same is due; 
  
 (d) Default in the observance or performance of any other of the covenants, agreements or conditions on the part of the Issuer included in this Indenture
or in the Bonds and the continuance thereof for a period of thirty (30) days after the Trustee gives written notice to the Issuer, the Bank and the Borrower; 
  
 (e) The occurrence of an “Event of Default” as defined in the Loan Agreement; 
  
 (f) The Trustee receives a written notice from the Bank specifying the occurrence of an “event of default” under
the Reimbursement Agreement and directing the Trustee to accelerate the Bonds; or 
  
 (g) The Bank shall wrongfully dishonor any draft or other request for payment under the Letter of Credit presented in strict accordance with its terms, the Letter of Credit shall, for any reason, become unavailable to
or unenforceable by the Trustee, or the Bank (i) shall generally not pay its debts as they become due, (ii) shall admit in writing its inability to pay its debts generally, (iii) shall make a general assignment for the benefit of creditors, (iv)
shall institute any proceeding or voluntary case (A) seeking to adjudicate it a bankrupt or insolvent or (B) seeking liquidation, winding up, reorganization, arrangement, adjustment, protection, relief or composition of it or its debts under any law
relating to bankruptcy, insolvency or reorganization or relief or protection of debtors or (C) seeking the entry of an order for relief or the appointment of a receiver, trustee, custodian or other similar official for it or for any 

  

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substantial part of its property, (v) shall take any action to authorize any of the actions described above in this subsection (g), or (vi) shall have
instituted against it any proceeding (A) seeking to adjudicate it a bankrupt or insolvent or (B) seeking liquidation, winding up, reorganization, arrangement, adjustment, protection, relief or composition of it or its debts under any law relating to
bankruptcy, insolvency or reorganization or relief or protection of debtors or (C) seeking the entry of an order for relief or the appointment of a receiver, trustee, custodian or other similar official for it or for any substantial part of its
property, and, if each such proceeding is being contested by the Bank in good faith, each such proceeding shall remain undismissed or unstayed for a period of sixty (60) days, and the Borrower shall not have obtained an Alternate Letter of Credit
within sixty (60) days after receipt of notice of each such occurrence. 
  
 Any default described in Section 601(d) hereof may be waived by the Trustee with the written consent of the Bank from time to time if the Issuer (or the Borrower, on behalf of the Issuer) is proceeding with all due diligence to cure such
default and the Issuer is not otherwise in default hereunder. 
  
 SECTION 602. Acceleration. Subject to the requirement that the Bank’s consent to any acceleration must be obtained in the case of an Event of Default described in subsection (d) or (e) of Section 601 hereof, upon the occurrence
of any Event of Default hereunder, the Trustee may and upon (i) the written request of the holders of not less than a majority in aggregate principal amount of Bonds then Outstanding or (ii) the occurrence of an Event of Default under subsection (f)
of Section 601 hereof, the Trustee shall immediately, by notice in writing sent to the Issuer and Borrower, declare the principal of and any premium on all Bonds then Outstanding (if not then due and payable) and the interest accrued thereon to be
due and payable immediately, and, upon such declaration, such principal and premium, if any, and interest shall become and be immediately due and payable. Interest on the Bonds shall cease to accrue on the date of such declaration. Upon any
declaration of acceleration hereunder, the Trustee shall immediately exercise such rights as it may have under the Loan Agreement to declare all payments thereunder to be immediately due and payable and, to the extent it has not already done so and
to the extent necessary, shall immediately draw upon the Letter of Credit as provided in clause (iii) of Section 308(e) hereof. 
  
 Immediately following any such declaration of acceleration, the Trustee shall, at the expense of the Borrower, mail notice of such declaration by first
class mail to each holder of Bonds at his, her or its last address appearing on the Bond Register. Any defect in or failure to give such notice of such declaration shall not affect the validity of such declaration. 
  
 SECTION 603. Other Remedies; Rights of Bondholders. Upon the happening
and continuance of an Event of Default hereunder the Trustee may, but only with the prior written consent of the Bank (subject to the limitations described in Section 902 hereof), with or without taking action under Section 602 hereof, pursue any
available remedy to enforce the performance of or compliance with any other obligation or requirement of this Indenture, the Loan Agreement or the Promissory Note. 
  

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 Subject to Section 602 hereof and the requirement that the Bank’s consent to the exercise by the
Trustee of any such available remedy must be obtained (subject to the limitations described in Section 902 hereof), upon the happening and continuance of an Event of Default, and if requested to do so by the holders of at least a majority in
aggregate principal amount of Bonds then Outstanding and the Trustee is indemnified as provided in Section 701 hereof, the Trustee shall exercise such of the rights and powers conferred by this Section 603 and by Section 602 hereof as the Trustee,
being advised by Counsel, shall deem most effective to enforce and protect the interests of the Bondholders, except to the extent inconsistent with the interests of the Bondholders and the Bank. 
  
 No remedy by the terms of this Indenture conferred upon or reserved to the
Trustee (or to the Bondholders) is intended to be exclusive of any other remedy, but each and every such remedy shall be cumulative and shall be in addition to any other remedy given to the Trustee or to the Bondholders hereunder or now or hereafter
existing. 
  
 No delay or omission to exercise any right or power
accruing upon any default or Event of Default shall impair any such right or power or shall be construed to be a waiver of any such default or Event of Default or acquiescence therein; and every such right and power may be exercised from time to
time and as often as may be deemed expedient by the Trustee. 
  
 No waiver of any default or Event of Default hereunder, whether by the Trustee or by the Bondholders, shall extend to or shall affect any subsequent default or Event of Default or shall impair any rights or remedies consequent thereon.

  
 The Trustee, as the assignee of all right, title and interest,
but not the obligations, of the Issuer in and to the Loan Agreement (with the exception of the Unassigned Rights), shall be empowered to enforce each and every right granted to the Issuer under the Loan Agreement (with the exception of the
Unassigned Rights). 
  
 SECTION 604. Right of Bondholders and
Bank to Direct Proceedings. Anything in this Indenture to the contrary notwithstanding, and subject to the rights of the Bank to direct proceedings as provided in Sections 602 and 603 hereof, the holders of a majority in aggregate principal
amount of Bonds then Outstanding shall have the right at any time, by an instrument or instruments in writing executed and delivered to the Trustee, to direct the method and place of conducting all proceedings to be taken in connection with the
enforcement of the terms and conditions of this Indenture, or any other proceedings hereunder; provided, that such direction shall not be otherwise than in accordance with the provisions of law and of this Indenture; and provided that
the Trustee shall be indemnified to its satisfaction (except for actions required under Section 308(e)(iii) or Section 602 hereof). No Bondholder shall individually, or collectively except through the Trustee, have the right to present a draft to
the Bank to collect amounts available under the Letter of Credit. 
  
 No Bondholder shall have the right to institute any proceeding for the enforcement of this Indenture unless such Bondholder has given the Trustee and the Borrower written notice of an Event of Default, the holders of a majority in aggregate
principal amount of the Bonds then Outstanding shall have requested the Trustee in writing to institute such proceeding, the Trustee 

  

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shall have been afforded a reasonable opportunity to exercise its powers or to institute such proceeding, and there shall have been offered to the Trustee
indemnity and the Trustee shall have thereafter failed or refused to exercise such powers or to institute such proceeding within a reasonable time. Nothing in this Indenture shall affect or impair any right of enforcement conferred on any Bondholder
hereof by the Act to enforce (i) the payment of the principal of and premium (if any) and interest on Bonds at and after the maturity thereof, or (ii) the obligation of the Issuer to pay the principal of and premium (if any) and interest on Bonds to
such Bondholder at the time, place, from the source and in the manner as provided in this Indenture. 
  
 SECTION 605. Discontinuance of Default Proceedings. Prior to the drawing on the Letter of Credit pursuant to clause (iii) of Section 308(e) hereof,
in case the Trustee has proceeded to enforce any right under this Indenture by the appointment of a receiver or otherwise, and such proceedings shall have been discontinued or abandoned for any reason, or have been determined adversely, then and in
every such case the Issuer, the Bank and the Trustee shall be restored to their former positions and rights hereunder and all rights, remedies and powers of the Trustee and the Bank shall continue as if no such proceedings had been taken subject to
the limits of any adverse determination. 
  
 SECTION 606.
Waiver. To the extent not precluded by the Act and Section 10.5 of the Loan Agreement, the Trustee, with the consent of the owners of a majority in aggregate principal amount of the Outstanding Bonds and with the consent of the Bank (subject
to the limitations described in Section 902 hereof), may waive any default or Event of Default hereunder and its consequences and rescind any declaration of acceleration of maturity of principal, and shall do so upon the written request of the Bank;
provided, however, that there shall be no such waiver or rescission unless the Purchase Price and all principal, premium, if any, and interest on the Bonds in arrears together with interest thereon (to the extent permitted by law) at the
applicable rate of interest borne by the Bonds and all fees and expenses of the Trustee and the Issuer shall have been paid or provided for. The Trustee may not waive any default or Event of Default hereunder unless the amount available to be drawn
under the Letter of Credit in respect of the Purchase Price of the Outstanding Bonds (including both principal and interest, if any) and principal, premium (if covered thereby), and interest on the Outstanding Bonds has been reinstated in full and
the Trustee has received the written consent of the Bank to such waiver, the written acknowledgment of the Bank of such reinstatement, and in the case of an Event of Default under Section 601(f) hereof, the written notice of rescission by the Bank
of the prior written notice and direction of the Bank provided pursuant to such Section 601(f). 
  
 SECTION 607. Application of Moneys. All moneys received by the Trustee pursuant to any right given or action taken under the provisions of this
Article VI shall be deposited in the Bond Fund. After payment (out of moneys derived from a source other than the Letter of Credit) of (i) the cost and expenses of the proceedings resulting in the collection of such moneys and of the expenses,
liabilities and advances incurred or anticipated to be incurred or made by the Trustee, including reasonable attorneys’ fees, and all other current outstanding fees and expenses of the Trustee, and (ii) any sums due to the Issuer under the Loan

  

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Agreement (other than Loan Repayments), such moneys shall be applied in the order set forth below: 
  
 (a) To the Bondholders for the payment of the principal, premium, if any, and
interest then due and unpaid upon the Bonds, without preference or priority as between principal, premium or interest, installments of interest or Bonds, ratably according to the amounts due respectively for principal, premium and interest to the
Persons entitled thereto; 
  
 (b) To the Bank to the extent the
Bank certifies to the Trustee that the Borrower is indebted to the Bank under the Reimbursement Agreement; and 
  
 (c) To the Borrower. 
  
 Notwithstanding the foregoing, the Trustee shall apply moneys received under the Letter of Credit only to principal, premium (if covered by the Letter of
Credit) and interest on the Bonds (except Pledged Bonds and Borrower Bonds). Subject to Section 602 hereof, whenever moneys are to be applied pursuant to this Section 607, the Trustee shall fix the date of declaration of acceleration (which shall be
the earliest practical date, in the sole discretion of the Trustee, for which the requisite notice to the Issuer can be given) upon which such application is to be made and upon such date of declaration interest on the amounts of principal to be
paid on such dates shall cease to accrue. The Trustee shall give such notice as it may deem appropriate of the deposit with it of any such moneys and of the fixing of any such date. 
  
 ARTICLE VII 
 THE TRUSTEE AND THE REMARKETING AGENT 
  
 SECTION
701. Appointment. The Trustee is hereby appointed and does hereby agree to act in such capacity, and to perform the express duties of the Trustee under this Indenture, but only upon and subject to the following express terms and conditions
(and no implied covenants or other obligations shall be read into this Indenture against the Trustee): 
  
 (a) The Trustee may execute any of its trusts or powers and perform any of its duties herein by or through attorneys, agents, receivers or employees, and
shall be entitled to rely on advice of Counsel and other professionals concerning all matters of such trusts, powers and duties. The Trustee shall not be answerable for the default or misconduct of any attorney, agent, receiver or employee selected
by it with reasonable care, and may in all cases pay such Persons reasonable compensation. The Trustee shall not be answerable for the exercise of any discretion or power under this Indenture or for anything whatsoever in connection with its trusts,
powers and duties herein, except only for its gross negligence or willful misconduct. 
  
 (b) The Trustee shall not be responsible for any recital herein or in the Bonds (except with respect to the certificate of authentication of the Trustee endorsed on the Bonds), or for the validity of the execution by
the Issuer of this Indenture or of any supplements thereto or instruments of further assurance, or for the sufficiency of the Security for the Bonds. Except as otherwise provided in Sections 308(e) and 602 hereof, the Trustee shall have no
obligation to perform any of the duties of the Issuer under the Loan Agreement, and the Trustee shall not be 

  

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liable for any loss suffered in connection with any investment of funds made by it in accordance with Section 407 hereof. The Trustee shall not be
responsible for (i) the validity, priority, recording, rerecording, filing or refiling of this Indenture or any supplemental Indenture, (ii) any instrument or document of further assurance or collateral assignment, (iii) any financing statements,
amendments hereto or continuation statements, (iv) the validity of the execution by the Issuer of this Indenture, any supplemental Indenture or instruments or documents of further assurance, (v) the sufficiency of the security for the Bonds issued
hereunder or intended to be secured hereby, (vi) the value of or title to the Project, or insurance of the Project or collection of insurance moneys, or (vii) the maintenance of the Security hereof. The Trustee shall have no duty or responsibility
to examine or review and shall have no liability for the contents of any documents submitted to or delivered to any Bondholder in the nature of a preliminary or final placement memorandum, official statement, offering circular or similar disclosure
document. 
  
 (c) The Trustee shall not be accountable for the use
of any Bonds authenticated or delivered hereunder after such Bonds shall have been delivered in accordance with instructions of the Issuer or for the use by the Borrower of the proceeds of the Loan (as defined in the Loan Agreement). The Trustee may
become the owner of Bonds with the same rights as any other Bondholder. 
  
 (d) The Trustee shall be protected in acting upon opinions of Counsel and upon any notice, request, consent, certificate, order, affidavit, letter, or other paper or document believed in good faith to be genuine and correct and to have been
signed or sent by an authorized representative of such Person or Persons. Any action taken by the Trustee pursuant to this Indenture upon the request or consent of any Person who at the time of making such request or giving such consent is the owner
of any Bond (such ownership to be established as provided in Section 213 hereof), shall be conclusive and binding upon all future owners or holders of the same Bond and upon Bonds issued in exchange therefor or in place thereof. The Trustee may
conclusively rely upon a certificate furnished by the Bank as to amounts owing under the Reimbursement Agreement. 
  
 (e) The permissive right of the Trustee to do things enumerated in this Indenture or the Loan Agreement shall not be construed as duties. The Trustee
shall only be responsible for the performance of the duties expressly set forth herein and shall not be answerable for other than its gross negligence or willful misconduct in the performance of those express duties. 
  
 (f) The Trustee shall not be personally liable for any debts contracted or
for damages to Persons or to property injured or damaged, or for salaries or non-fulfillment of contracts, relating to the Project. 
  
 (g) The Trustee shall not be required to give any bond or surety in respect of the execution of its trusts and powers or otherwise hereunder. 

 
 (h) Before taking any action hereunder (except for (i) acceleration of the
Bonds as required by Section 602 hereof, (ii) for drawing on the Letter of Credit as required by Section 308(e) hereof, (iii) any payments to Bondholders as set forth herein from moneys in the possession of the Trustee, and (iv) any Mandatory Tender
of Bonds as set forth in Section 206 

  

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hereof), the Trustee may require that satisfactory security or indemnity be furnished to it for the reimbursement of all fees and expenses to which it may be
put and to protect it against all liability, except liability which is adjudicated to have resulted from its own gross negligence or willful misconduct by reason of any action so taken. 
  
 (i) All moneys received by the Trustee, until used or applied or invested as herein provided, shall be held as
special trust funds for the purposes specified in this Indenture and for the benefit and security of the holders of the Bonds and the Bank as herein provided. Such moneys need not be segregated from other funds except to the extent required by law
or herein provided, and the Trustee shall not otherwise be under any liability for interest on any moneys received hereunder. 
  
 (j) The Trustee shall not be bound to ascertain or inquire as to the performance of the obligations of the Borrower under the Loan Agreement or the Issuer
under this Indenture, and shall not be deemed to have, or required to take, notice of a Determination of Taxability or an Event of Default under this Indenture, except (i) in the event the Borrower fails to pay any Loan Repayment when due, (ii) in
the event of an insufficient amount in the Bond Fund (or any account therein) to make a principal or interest payment on the Bonds, (iii) upon written notification actually received by the Trustee of the occurrence of a Determination of Taxability
from the Borrower, the Issuer or the holder of any Bonds, (iv) upon written notification of a default actually received by the Trustee from the Issuer or the holders of not less than a majority of the principal amount of Outstanding Bonds, or (v)
upon written notification actually received by the Trustee from the Bank pursuant to Section 601(f) hereof. In the absence of such notice, the Trustee may conclusively presume there is no Determination of Taxability and no Event of Default except as
aforesaid. The Trustee may nevertheless require the Issuer and the Borrower to furnish information regarding performance of their obligations under the Loan Agreement and this Indenture, but is not obligated to do so. 
  
 (k) The Trustee may request a certificate from the Borrower that no Act of
Bankruptcy has occurred, and the Trustee may conclusively rely upon such certificate as to the matters set forth therein. 
  
 (l) The Trustee shall, prior to any Event of Default and after the curing of all Events of Default which may have occurred, perform such duties and only
such duties of the Trustee as are specifically set forth in this Indenture and the Loan Agreement. The Trustee shall, during the existence of any Event of Default (which has not been cured), exercise such of the rights and powers vested in it by
this Indenture and the Loan Agreement and use the same degree of care and skill in its exercise as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs. The foregoing shall not limit the
Trustee’s obligations under Section 308(e)(iii) or Section 602 hereof. 
  
 (m) In the event that the Trustee receives direction from Bondholders under any Section of this Indenture which permits Bondholders to direct the actions of the Trustee, the Trustee shall only be required to act
pursuant to the direction of the Bondholders which represent the largest percentage in aggregate principal amount of the Outstanding Bonds at the time such 

  

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direction is issued to the Trustee (the “Majority Direction”). The Trustee may act pursuant to other directions of Bondholders to the extent that
such direction is not inconsistent with the Majority Direction. The Trustee shall not be liable for a failure to act upon any direction except the Majority Direction when acting pursuant to this Section 701(m). Nothing in this Section 701(m) shall
be construed to modify or amend any Section hereof which requires a minimum number of Bondholders to direct the Trustee to take certain action or requires that indemnity satisfactory to the Trustee be provided before the taking of such action by the
Trustee becomes mandatory. 
  
 (n) The Trustee shall not be liable
with respect to any action taken or omitted to be taken by it in good faith in accordance with the direction of the Bank or the Bondholders relating to the time, method and place of conducting any proceeding for any remedy available to the Trustee
hereunder, or exercising any trust or power conferred upon the Trustee, under this Indenture. No provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in the performance of
any of its duties hereunder, or in the exercise of any of its rights or powers if it shall have reasonable grounds for believing that repayment of such funds or adequate indemnity against such risk or liability is not reasonably assured to it;
provided that the foregoing shall not relieve the Trustee of its duties to take actions required to be taken under Section 602 and with respect to payments to be made under the Letter of Credit and making payments on the Bonds when due. 

 
 (o) Notwithstanding any provision of this Indenture to the contrary, the
Trustee shall not be liable or responsible for the accuracy of any calculation or determination which may be required in connection with or for the purpose of complying with Section 148 of the Code, including, without limitation, the calculation of
amounts required to be paid to the United States under the provisions of Section 148 of the Code, the maximum amount which may be invested in “nonpurpose obligations” as defined in the Code and the fair market value of any investments made
hereunder, and the sole obligation of the Trustee with respect to the investments of funds hereunder shall be to invest the moneys received by the Trustee as provided herein pursuant to the written instructions of the Borrower. 
  
 (p) Affiliates of the Trustee may serve as the Remarketing Agent or as the
Bank. 
  
 (q) Whether or not therein expressly so provided, every
provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the Trustee shall be subject to the provisions of this Article. 
  
 SECTION 702. Fees, Expenses. The Trustee shall be entitled to payment and/or reimbursement for reasonable fees for
its ordinary services rendered hereunder and all advances, counsel fees and other ordinary expenses reasonably made or incurred by the Trustee in connection with such ordinary services. If it becomes necessary that the Trustee perform extraordinary
services (including services performed in connection with the occurrence of a default or an Event of Default hereunder or under the Loan Agreement), it shall be entitled to reasonable extra compensation therefor, and to reimbursement for reasonable
extraordinary expenses in connection therewith; provided, that if such 

  

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extraordinary services or extraordinary expenses are occasioned by the gross negligence or willful misconduct of the Trustee it shall not be entitled to
compensation or reimbursement therefor. 
  
 The Trustee shall also
be indemnified by the Borrower as provided in the Loan Agreement. The Trustee recognizes that all fees, charges and other compensations to which it may be entitled under this Indenture are required to be paid by the Borrower under the terms of the
Loan Agreement or from funds derived from the Project or from the proceeds of the Bonds. Accordingly, the Trustee agrees that except for moneys that the Issuer may derive from the foregoing (excluding, however, the moneys for the issuance fee,
administrative costs, taxes and other public service charges and indemnity under Sections 3.5, 8.6 and 10.4 of the Loan Agreement) the Issuer shall not be liable for any such fees, charges and other compensation to which the Trustee and the
Remarketing Agent may be entitled. Payment of all such amounts shall however, be secured by the Security (except the Letter of Credit and any moneys on deposit with the Trustee which are being held in the Bond Fund for the purpose of paying to
Bondholders principal, Purchase Price, premium, if any, or interest which has previously become payable with respect to the Bonds) as set forth herein. 
  
 As security for the payment of the Trustee’s fees, costs and expenses and for the indemnity provided in this Section 702, the Trustee shall have a
first lien on all moneys and property coming into its possession (except for any moneys on deposit with the Trustee which are being held in the Bond Fund for the purpose of paying to the Bondholders principal, Purchase Price, premiums, if any, or
interest which has previously become payable with respect to the Bonds). 
  
 When the Trustee incurs expenses or renders services after the occurrence of an Act of Bankruptcy with respect to the Issuer or the Borrower, the expenses and the compensation for the services are intended to
constitute expenses of administration under any federal or state bankruptcy, insolvency, arrangement, moratorium, reorganization or other debtor relief law. 
  
 The Borrower’s payment obligations under this Section 702 and the Loan Agreement shall survive the discharge of this Indenture and the resignation or
removal of the Trustee, and shall not be limited by any law affecting the compensation of a trustee of an express trust. 
  
 SECTION 703. Intervention in Litigation. In any judicial proceedings to which the Issuer is a party, the Trustee may intervene on behalf of
Bondholders, and shall intervene if requested in writing by the holders of at a majority of the aggregate principal amount of Bonds then Outstanding and indemnified as provided in Section 701(h) hereof. 
  
 SECTION 704. Resignation; Appointment of Successor Trustee; Successor
Trustee Upon Merger, Consolidation or Sale. (a) The Trustee and any successor Trustee may resign only upon giving sixty (60) days’ prior written notice to the Issuer, the Bank, the Borrower and the Bondholders. Such resignation shall take
effect only upon the appointment of a successor Trustee as described in Section 704(b) below and the acceptance of such appointment by the successor Trustee. If a successor Trustee is not appointed within 120 days after the Trustee has given notice
of its resignation, the Trustee, at the expense of the Borrower, shall have the right 

  

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to petition a court of competent jurisdiction to appoint a successor Trustee hereunder. Upon appointment of a successor Trustee, the resigning Trustee shall,
after payment of its fees, costs and expenses, assign all of its right, title and interest in the Security, and transfer and assign its right, title and interest in the Indenture and the Letter of Credit, pursuant to the terms of the Letter of
Credit, to the successor Trustee. The successor Trustee shall meet the requirements of Section 704(b) below and shall accept in writing its duties and responsibilities hereunder and file such acceptance with the Issuer, the Bank and the Borrower.

  
 (b) In case the Trustee shall give notice of resignation or be
removed, or be dissolved, or shall be in the course of dissolution or liquidation, or otherwise become incapable of acting hereunder, or in case it shall be taken under the control of any public office or offices, or of a receiver appointed by a
court, a successor may with the prior written consent of the Borrower (to the extent that no “Event of Default” shall have occurred and be continuing under the Loan Agreement) and the Bank, be appointed by the owners of a majority in
aggregate principal amount of Bonds then Outstanding, by an instrument or concurrent instruments in writing signed by such owners, or by their duly authorized attorneys in fact, a copy of which shall be delivered personally or sent by first class
mail, postage prepaid, to the Issuer, the retiring Trustee, the successor Trustee, the Borrower, the Bank and the Remarketing Agent. Pending such appointment by the Bondholders, the Issuer may, with the consent of the Borrower (to the extent that no
“Event of Default” shall have occurred and be continuing under the Loan Agreement) and the Bank, appoint a successor Trustee, by an instrument in writing signed by an authorized officer of the Issuer, a copy of which shall be delivered
personally or sent by first class mail, postage prepaid, to the retiring Trustee, the successor Trustee, the Borrower, the Bank and the Remarketing Agent. If the Registered Owners and the Issuer fail to so appoint a successor Trustee, hereunder
within forty-five (45) days after the Trustee has given notice of its resignation, has been removed, has been dissolved, has otherwise become incapable of acting hereunder or has been taken under control by a public officer or receiver, the Trustee
shall have the right to petition a court of competent jurisdiction to appoint a successor hereunder. Every such Trustee appointed pursuant to the provisions of this Section 704 shall (i) be a trust company or bank organized and in good standing
under the laws of Mississippi or any state or the District of Columbia or be a national banking association organized under the laws of the United States (in either case, having trust powers), and (ii) have a combined capital and surplus of not less
than $50,000,000 as set forth in its most recent published annual report of condition. 
  
 (c) Notwithstanding any of the provisions of this Article VII to the contrary concerning the resignation or removal of the Trustee or the appointment of a successor Trustee, so long as a Letter of Credit is supporting
the payment of the Bonds, no such resignation, removal or appointment shall be effective until the Bank shall have issued and delivered to the successor Trustee (i) a substitute Letter of Credit in substantially the same form as the existing Letter
of Credit, but in favor of the successor Trustee, whereupon the retiring Trustee shall simultaneously return the Letter of Credit then held by it to the Bank for cancellation, or (ii) an amendment to the existing Letter of Credit, evidencing
transfer thereof in all respects to the successor Trustee, to the extent permitted by law and by the terms of the Letter of Credit. 
  

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 (d) Any company, bank, trust company or association into which the Trustee may be merged or converted or
with or into which it may be consolidated, or to which it may sell or transfer its corporate trust business and assets as a whole or substantially as a whole, or any company, bank, trust company or association resulting from any merger, conversion,
sale, consolidation or transfer to which it is a party, provided such company shall be eligible under Section 704(b) hereof, shall be and become successor Trustee hereunder and shall be vested with all the trusts, powers, rights, obligations,
duties, remedies, immunities and privileges hereunder as was its predecessor, without the execution or filing of any instrument or any further act on the part of any of the parties hereto. 
  
 SECTION 705. Removal of Trustee. The Trustee may be removed at any
time by an instrument or concurrent instruments in writing (a) delivered to the Trustee, the Bank, the Issuer and the Borrower and signed by the owners of a majority in aggregate principal amount of Bonds then Outstanding, or (b) delivered to the
Trustee and the Issuer and signed by the Borrower and consented to by the Bank; which consent shall not be unreasonably withheld, provided that if an Event of Default has occurred and is continuing hereunder, the Trustee may not be removed
without the consent of the holders of a majority in aggregate principal amount of the Bonds then Outstanding. No removal of the Trustee and no appointment of a successor Trustee shall become effective until the successor Trustee has accepted its
appointment in the manner provided in Section 704 hereof. Upon such removal and the payment of its fees, costs and expenses, the Trustee shall assign to the successor Trustee all of its right, title and interest in the Security in the same manner as
provided in Section 704 hereof, and transfer and assign its right, title and interest in the Letter of Credit pursuant to the terms of the Letter of Credit. 
  
 SECTION 706. Instruments of Bondholders. Any instrument required by this Indenture to be executed by Bondholders may be in any number of writings
of similar tenor and may be executed by Bondholders in person or by an agent appointed in writing. Proof of the execution of any such instrument or of the writing appointing any such agent shall be sufficient for any of the purposes of this
Indenture if it is established by a certificate of any officer in any jurisdiction who by law has power to take acknowledgments within such jurisdiction that the person signing such writing acknowledged before him the execution thereof. Proof of the
ownership of Bonds shall be established by the ownership records noted in the Bond Register. 
  
 The Trustee may rely on such an instrument of Bondholders unless and until the Trustee receives notice in the form specified above that the original such instrument is no longer trustworthy. In the event that the
Trustee receives conflicting directions from two groups of Bondholders, each with combined holdings of not less than twenty-five percent (25%) of the principal amount of Outstanding Bonds, the Majority Direction shall be controlling and the Trustee
shall follow such Majority Direction as required in this Indenture. 
  
 SECTION 707. Power to Appoint Co-Trustees. At any time or times, for the purpose of meeting any legal requirements of any jurisdiction in which any part of the Project is located, the Issuer and the Trustee, with the written consent
of the Bank and the Borrower, may appoint, and, upon the request of the Trustee or of the holders of not less than a majority 

  

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of the aggregate principal amount of the Bonds then Outstanding, the Issuer shall, with the written consent of the Bank and the Borrower, join with the
Trustee in the execution, delivery and performance of all instruments and agreements necessary or proper to appoint one or more Persons approved by the Trustee either to act as co-trustee or co-trustees, jointly with the Trustee of all or any part
of the Project, or to act as separate trustee or separate co-trustees of all or any part of the Project, and to vest in such Person or Persons, in such capacity, such title to the Project or any part thereof, and such rights, powers, duties, trusts
or obligations as the Issuer and the Trustee may consider necessary or desirable, subject to the provisions of this Section 707. 
  
 The Bank shall not be required to honor a draft on the Letter of Credit from a co-trustee unless the Trustee has transferred and assigned to such
co-trustee its right, title and interest in the Letter of Credit in accordance with the terms of the Letter of Credit. 
  
 If the Issuer has not joined in such appointment within thirty (30) days after the receipt by it of a request so to do, or in case an Event of Default has
occurred and is continuing, the Trustee alone shall have the power to make such appointment. 
  
 The Issuer shall execute, acknowledge and deliver all such instruments as may be required by any such co-trustee or separate trustee for more fully confirming such title, rights, powers, trusts, duties and obligations
to such co-trustee or separate trustee. 
  
 Every co-trustee or
separate trustee shall, to the extent permitted by law or any applicable contract, be appointed subject to the following terms, namely: 
  
 (a) This Indenture shall become effective once the Bonds are authenticated and delivered, and thereupon the Trustee shall have all rights, powers, trusts,
duties and obligations by this Indenture conferred upon the Trustee in respect of the custody, control or management of moneys, papers, securities and other personal property. 
  
 (b) All rights, powers, trusts, duties and obligations conferred or imposed upon the Trustee shall be conferred or imposed
upon and exercised or performed by the Trustee, or by the Trustee and such co-trustee or co-trustees, or separate trustee or separate trustees, as shall be provided in the instrument appointing such co-trustee or co-trustees or separate trustee or
separate trustees, except to the extent that, under the law of any jurisdiction in which any particular act or acts are to be performed, the Trustee shall be incompetent or unqualified to perform such act or acts, in which event such act or acts
shall be performed by such co-trustee or co-trustees or separate trustee or separate trustees. 
  
 (c) Any request in writing by the Trustee to any co-trustee or separate trustee to take or to refrain from taking any action hereunder shall be sufficient warrant for the taking, or the refraining from taking, of such
action by such co-trustee or separate trustee. 
  
 (d) Any
co-trustee or separate trustee to the extent permitted by law may delegate to the Trustee the exercise of any right, power, trust, duty or obligation, discretionary or otherwise. 
  

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 (e) The Trustee at any time, by an instrument in writing, with the concurrence of the Issuer evidenced by
a resolution, may accept the resignation of or remove any co-trustee or separate trustee appointed under this Section 707. If an Event of Default has occurred and is continuing, the Trustee may accept the resignation of, or remove, any such
co-trustee or separate trustee without the concurrence of the Issuer. Upon the request of the Trustee, the Issuer shall join with the Trustee in the execution, delivery and performance of all instruments and agreements necessary or proper to
effectuate such resignation or removal. A successor to any co-trustee or separate trustee so resigned or removed may be appointed in the manner provided in this Section 707. 
  
 (f) No trustee hereunder shall be personally liable by reason of any act or omission of any other trustee hereunder.

  
 (g) Any demand, request, direction, appointment, removal,
notice, consent, waiver or other action in writing executed by any Bondholder and delivered to the Trustee shall be deemed to have been delivered to each such co-trustee or separate trustee. 
  
 (h) Any moneys, papers, securities or other items of personal property
received by any such co-trustee or separate trustee hereunder shall forthwith, so far as may be permitted by law, be turned over to the Trustee. 
  
 Upon the acceptance in writing of such appointment by any such co-trustee or separate trustee, it shall be vested with the security interest in the
Security and with such rights, powers, duties, trusts or obligations, as shall be specified in the instrument of appointment jointly with the Trustee (except insofar as local law makes it necessary for any such co-trustee or separate trustee to act
alone) subject to all the terms of this Indenture. Every such acceptance shall be filed with the Trustee. 
  
 In case any co-trustee or separate trustee shall die, become incapable of acting, resign or be removed, the security interest in the Security and all
rights, powers, trusts, duties and obligations of such co-trustee or separate trustee shall, so far as permitted by law, vest in and be exercised by the Trustee unless and until a successor co-trustee or separate trustee shall be appointed in the
same manner as provided for with respect to the appointment of a successor Trustee pursuant to Section 704 hereof. 
  
 SECTION 708. Recordation and Other Instruments. In order to perfect the security interest of the Trustee and to perfect the security interest in
the Note, the Issuer, to the extent permitted by law, will execute such security agreements or financing statements, naming the Trustee as assignee and pledgee of the Bonds assigned and pledged under this Indenture for the payment of the principal
of, premium, if any, and interest on the Bonds and as otherwise provided herein, and the Borrower will cause the same to be duly filed and recorded, as the case may be, in the appropriate state and county offices as required by the provisions of the
Uniform Commercial Code or other similar law as adopted in the State, as from time to time amended. To continue the security interest evidenced by such security agreements or financing statements, the Borrower, at its own expense, shall prepare and
deliver to the Trustee, and the Trustee, at the Borrower’s expense, shall file and record or cause to be filed 

  

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and recorded such necessary continuation statements or supplements thereto and other instruments from time to time as may be required pursuant to the
provisions of the said Uniform Commercial Code or other similar law to fully preserve and protect the security interest of the Trustee in the Bonds and to perfect the security interest in the Note. The Issuer, to the extent permitted by law, at the
expense of the Borrower, shall execute and cause to be executed any and all further instruments as shall be reasonably required by the Trustee or the Bank for such protection and perfection of the interests of the Trustee, the registered owners and
the Bank, and the Borrower shall file and refile or cause to be filed and refiled such instruments which shall be necessary to preserve and perfect the lien of this Indenture upon the Bonds until the principal of, premium, if any, and interest on
the Bonds issued hereunder shall have been paid or provision for their payment shall be made as herein provided. 
  
 SECTION 709. Remarketing Agent. At the request of the Borrower, J.P. Morgan Securities Inc., is hereby appointed as the initial Remarketing Agent.
The Borrower, with the consent of the Bank, which consent shall not be unreasonably withheld, shall appoint any successor Remarketing Agent for the Bonds, subject to the conditions set forth in Section 710 hereof. Any Remarketing Agent shall
designate to the Issuer and the Trustee its principal office for purposes hereof, which shall be the office of such Remarketing Agent at which all notices and other communications in connection herewith may be delivered to it. The Remarketing Agent
shall signify its acceptance of the duties and obligations imposed upon it hereunder by a written instrument of acceptance delivered to the Issuer, the Borrower, the Trustee and the Bank, under which such Remarketing Agent will agree particularly to
(i) perform its obligations under Section 203 hereof with respect to the determination of the Variable Rate and the Fixed Rate, (ii) perform its obligations under Section 207 hereof with respect to any Bond delivered or deemed to have been delivered
to the Trustee as tender agent for purchase pursuant to Section 205 or 206 hereof, and (iii) keep books and records with respect to all its activities hereunder available for inspection by the Issuer, the Trustee, the Borrower and the Bank at all
reasonable times. 
  
 SECTION 710. Qualifications of
Remarketing Agent; Resignation; Removal. The Remarketing Agent shall be a bank, trust company or member of the National Association of Securities Dealers, Inc. organized and doing business under the laws of the United States of America or any
state or the District of Columbia, shall have a combined capital stock, surplus and undivided profits of at least $15,000,000 as set forth in its most recent published annual report and shall be authorized by law to perform all the duties imposed
upon the Remarketing Agent by this Indenture and the Remarketing Agreement. The Remarketing Agent may at any time resign and be discharged of the duties and obligations created by this Indenture by giving at least thirty (30) days’ notice to
the Issuer, the Borrower, the Trustee and the Bank. The Remarketing Agent may be removed at any time, without cause, upon at least thirty (30) days’ written notice to the Remarketing Agent, at the direction of the Borrower, by an instrument
signed by the Borrower and filed with the Remarketing Agent, the Trustee, the Issuer and the Bank. In no event shall the resignation or removal of the Remarketing Agent be effective until a qualified successor has accepted appointment as such. Each
successor Remarketing Agent shall be an institution rated at least “Baa3” or “P-3” by Moody’s Investors Service, Inc. (or Moody’s Investors Service, Inc. shall have provided written evidence that the appointment of

  

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such successor Remarketing Agent would not result in a reduction or withdrawal of the rating currently applicable to the Bonds if the Bonds are then rated by
Moody’s Investors Service, Inc., and at least “BBB-” or “A-3” by Standard & Poor’s Ratings Group (or Standard & Poor’s Ratings Group shall have provided written evidence that such successor Remarketing
Agent is otherwise acceptable to Standard & Poor’s Ratings Group) if the Bonds are then rated by Standard & Poor’s Ratings Group, and authorized by law to perform all the duties imposed upon it by this Indenture. 
  
 In the event of the resignation or removal of the Remarketing Agent, the
Remarketing Agent shall pay over, assign and deliver any moneys and Bonds held by it in such capacity to its successor. Upon the resignation or removal of the Remarketing Agent, the Borrower, with the written consent of the Bank, which consent shall
not be unreasonably withheld, shall appoint a successor Remarketing Agent. The Bank may appoint a successor Remarketing Agent if the Borrower fails to do so within thirty (30) days after the resignation or removal of the prior Remarketing Agent.

  
 SECTION 711. Trustee as Custodian of the Funds, Bond
Registrar, Paying Agent and Tender Agent. The Trustee shall be custodian of the funds, bond registrar and paying agent for principal of and premium (if any) and interest on the Bonds. The Trustee shall be tender agent for the Bonds as provided
in Article II hereof. The Trustee hereby agrees that in performing its duties as tender agent referred to in Article II hereof that it is acting as the agent and representative of the Borrower and the Bondholders and not as the agent or
representative of the Issuer. In performing its duties under the Pledge Agreement, its duties as tender agent, custodian of the funds, and its duties as bond registrar and paying agent for the Bonds, J.P. Morgan Trust Company, National Association
shall be afforded the same rights, discretions, privileges and immunities as the Trustee, and the tender agent, custodian of the funds, bond registrar and paying agent may resign and/or be removed in the same manner as is provided herein for the
resignation and/or removal of the Trustee. 
  
 SECTION 712.
Several Capacities. Anything in this Indenture to the contrary notwithstanding, the same entity may serve hereunder as the Bank, the Trustee and the Remarketing Agent and in any other combination of such capacities, to the extent not
prohibited by law. 
  
 SECTION 713. Representations, Warranties
and Covenants of the Trustee. All federal, state and local governmental, public, and regulatory authority approvals, consents, notices, authorizations, registrations, licenses, exemptions, and filings that are required to have been obtained or
made by the Trustee with respect to the authorization, execution, delivery, and performance by, or the enforcement against or by, Trustee of the Indenture have been obtained and are in full force and effect and all conditions of such approvals,
consents, notices, authorizations, registrations, licenses, exemptions, and filings have been fully complied with. 
  
 The Trustee is not (i) required to qualify or obtain any certificate of authority to do business in the State of Mississippi or (ii) subject to any filing
requirement to pay any fees or 

  

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taxes required of foreign entities doing business in the State of Mississippi, in either case solely as a result of executing, delivering, or performing the
Indenture. 
  
 The Trustee has a combined capital and surplus of
at least $50,000,000 or, alternatively, a liability policy having the type of coverage and in an amount acceptable to the and the Borrower. The Trustee has an administrative group of at least four (4) experienced trust officers, with primary
responsibility for municipal bond issues. The Trustee administers at least twenty-five (25) municipal bond indentures aggregating at least $25,000,000 under its administration. 
  
 ARTICLE VIII 
 AMENDMENTS, SUPPLEMENTAL INDENTURES 
  
 SECTION
801. Supplemental Indentures. The Issuer and the Trustee, with the written consent of the Bank but without the consent of or notice to any Bondholders, may enter into an indenture or indentures supplemental to this Indenture and not
inconsistent herewith for one (1) or more of the following purposes: 
  
 (a) To cure any ambiguity or to correct or supplement any provision contained herein or in any supplemental indenture which may be defective or inconsistent with any provision contained herein or in any supplemental indenture, or to make
such other provisions in regard to matters or questions arising under this Indenture which do not adversely affect the interest of the Bondholders or the Bank; 
  

(b) To grant to or confer upon the Trustee for the benefit of the Bondholders or the Bank any additional rights, remedies, powers or authority that may
lawfully be granted to or conferred upon the Bondholders or the Trustee; 
  
 (c) To grant or pledge to the Trustee for the benefit of the Bondholders and the Bank any additional security other than that granted or pledged under this Indenture; 
  
 (d) To modify, amend or supplement this Indenture or any supplemental
indenture in such manner as to permit the qualification thereof under the Trust Indenture Act of 1939 or any similar federal statute then in effect or to permit the qualification of the Bonds for sale under the securities laws of any of the states
of the United States; 
  
 (e) To appoint a successor Trustee,
separate trustees or co-trustees in the manner provided in Article VII hereof; 
  
 (f) To make any change necessary to secure from a Rating Agency a rating on the Bonds equal to the rating on the unsecured indebtedness of the Bank other than a change requiring consent of the holders of all Bonds
then outstanding; and 
  
 (g) To make any other change which, in
the judgment of the Trustee, is not materially adverse to the Trustee or the Bondholders. 
  

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 When requested by the Issuer or the Borrower, and upon receipt of an opinion of Bond Counsel to the
effect that all conditions precedent under this Indenture have been met, the Trustee shall join the Issuer in the execution of any such supplemental indenture. A copy of all such supplemental indentures shall be promptly furnished to the Bank and
the Borrower. 
  
 SECTION 802. Amendments to Indenture; Consent
of Bondholders, the Bank and the Borrower. Exclusive of supplemental indentures covered by Section 801 hereof and subject to the terms and provisions contained in this Section 802, and not otherwise, the holders of not less than a majority in
aggregate principal amount of the Bonds then Outstanding and affected by such indenture or indentures supplemental hereto, with the written consent of the Bank, shall have the right, from time to time, anything contained in this Indenture to the
contrary notwithstanding, to consent to and direct the execution by the Trustee of such other indenture or indentures supplemental hereto as shall be consented to by the Issuer, which consent shall not be unreasonably withheld, for the purpose of
modifying, altering, amending, adding to or rescinding, in any particular, any of the terms or provisions contained in this Indenture or in any supplemental indenture; provided, however, that nothing in this Article VIII shall permit, or be
construed as permitting (a) without the consent of the holders of all Bonds then outstanding (i) an extension of the maturity of the principal of, or the mandatory redemption date of, or interest on, any Bond, or (ii) a reduction in the principal
amount of, or the premium or the rate of interest on, any Bond, (iii) a preference or priority of any Bond or Bonds over any other Bond or Bonds, (iv) the creation of a lien prior to the lien of this Indenture, (v) a reduction in the aggregate
principal amount of the Bonds required for consent to any supplemental indenture, or (vi) a modification or change which impairs the ability of a Bondholder to tender Bonds for purchase pursuant to Section 205 hereof or (b) a modification or change
in the duties of the Trustee hereunder without the consent of the Trustee. The giving of notice to and consent of the Bondholders to any such proposed supplemental indenture shall be obtained pursuant to Section 806 hereof. 
  
 Anything herein to the contrary notwithstanding, a supplemental indenture,
amendment or other document described under this Article VIII which affects any rights or obligations of the Borrower shall not become effective unless and until the Borrower consents to the execution of such supplemental indenture, amendment or
other document. 
  
 Copies of any such supplemental indentures
shall be filed with the Borrower and the Bank. 
  
 SECTION 803.
Amendments to Loan Agreement Not Requiring Consent of Bondholders. The Issuer may with the written consent of the Bank and the Trustee but without the consent of or notice to any of the Bondholders, enter into or permit any amendment of the
Loan Agreement acceptable to the Borrower as may be required (i) to cure any ambiguity or formal defect or omission which shall not adversely affect the interest of the Bondholders; (ii) to grant or pledge to the Issuer or Trustee, for the benefit
of the Bondholders or the Bank, any additional security; or (iii) in connection with any other change therein which, in the judgment of the Trustee, is not materially adverse to the Trustee or the Bondholders. 
  

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 Copies of any such amendments to the Loan Agreement shall be filed with the Trustee and the Bank.

  
 SECTION 804. Amendments to Loan Agreement Requiring Consent
of Bondholders and the Bank. Except as provided in Section 803 hereof, the Issuer shall not enter into, and the Trustee shall not consent to, any other modification or amendment of the Loan Agreement, nor shall any such modification or amendment
become effective, without the written consent of the Bank and the consent of the holders of not less than a majority of the aggregate principal amount of the Bonds at the time Outstanding, such consent to be obtained in accordance with Section 806
hereof. No such amendment may, without the consent of the holders of all the Outstanding Bonds, reduce the amounts or delay the times of payment of Loan Repayments under the Loan Agreement. 
  
 Copies of any such amendments to the Loan Agreement shall be filed with the
Trustee and the Bank. 
  
 SECTION 805. Amendments, Changes and
Modifications to the Letter of Credit and the Promissory Note. Except for Letter of Credit substitutions permitted under Section 308 hereof, subsequent to the initial issuance of Bonds and prior to payment of the Bonds in full (or provision for
the payment thereof having been made in accordance with the provisions of this Indenture), the Letter of Credit may not be amended, changed or modified without the prior written consent of the Trustee; provided, that the Stated Expiration
Date of the Letter of Credit may be extended without the consent of the Trustee. The Trustee may, without the consent of the owners of the Bonds, consent to any amendment of the Letter of Credit as may be required (a) for purposes of curing any
ambiguity, formal defect or omission or for purposes of making any other change which, in the Trustee’s judgment, does not prejudice in any material respect the interests of the Bondholders and (b) pursuant to Section 308 hereof as a result of
a conversion of the Bonds to a Fixed Rate. Except for such amendments, the Letter of Credit may be amended only with the consent of the Issuer, the Trustee and the owners of a majority in aggregate principal amount of Outstanding Bonds, except that
no such amendment may be made which would reduce the amounts required to be paid thereunder, extend the time for payment of such amounts or accelerate the Stated Expiration Date of the Letter of Credit without the written consent of the owners of
all Outstanding Bonds. 
  
 The Trustee may, with the consent of
the Borrower and the Bank but without the consent of the owners of the Bonds, consent to any amendment of the Promissory Note as may be required for purposes of curing any ambiguity, formal defect or omission or in connection with any other change
therein which, in the Trustee’s judgment, acting in reliance upon an opinion of Counsel, does not prejudice in any material respects the interests of the Bondholders. Except for such amendments, the Promissory Note may be amended only with the
consent of the Borrower, the Issuer, the Trustee, the Bank and the owners of a majority in aggregate principal amount of Outstanding Bonds, except that no such amendment may be made which would reduce the amounts required to be paid or the time for
payment of such amounts under the Promissory Note without the written consent of the owners of all the Outstanding Bonds. 
  

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 Copies of any such amendments, changes or modifications to the Promissory Note shall be filed with the
Trustee and the Bank. 
  
 SECTION 806. Notice to and Consent of
Bondholders. If consent of the Bondholders is required under the terms of this Indenture for the amendment of this Indenture, the Loan Agreement, the Letter of Credit or the Promissory Note for any other similar purpose, the Trustee shall cause
notice of the proposed execution of the amendment or supplemental indenture to be given by first class mail to the last known holders of the Outstanding Bonds then shown on the Bond Register. Such notice shall briefly set forth the nature of the
proposed amendment, supplemental indenture or other action and shall state that copies of any such amendment, supplemental indenture or other document are on file at the principal corporate trust office of the Trustee for inspection by all
Bondholders. If, within sixty (60) days or such longer period as shall be prescribed by the Trustee following the mailing of such notice, the holders of a majority or all, as the case may be, of the principal amount of the Bonds Outstanding by
instruments filed with the Trustee shall have consented to the amendment, supplemental indenture or other proposed action, then the Trustee may execute such amendment, supplemental indenture or other document or take such proposed action and the
consent of the Bondholders shall thereby be conclusively presumed. 
  
 SECTION 807. Waivers. The Trustee shall not waive on its own behalf or on behalf of the Issuer any obligation of the Borrower under the Loan Agreement without the prior written consent of the Bank and the Trustee shall do so if
directed by the Bank. 
  
 ARTICLE IX 
 MISCELLANEOUS 
  
 SECTION 901. Limitation of Rights. With the exception of rights herein expressly conferred, nothing expressed or mentioned in or to be implied from
this Indenture or the Bonds is intended or shall be construed to give to any Person other than the parties hereto, the Bondholders, the Bank and the Borrower any legal or equitable right, remedy or claim under or in respect to this Indenture or any
covenants, conditions and provisions herein contained; this Indenture and all of the covenants, conditions and provisions herein being intended to be and being for the sole and exclusive benefit of the parties hereto, the Bondholders, the Bank and
the Borrower as herein provided. 
  
 SECTION 902. Rights of the
Bank. So long as the Bank has not dishonored, which dishonor has not been cured, a proper drawing (which drawing strictly complies with, and conforms to, the terms and conditions of the Letter of Credit) under the Letter of Credit, the Bank
shall be deemed the owner of 100% of the Bonds secured by the Letter of Credit for the purposes of any action, notice, direction or consent permitted to be taken by the owners of such Bonds. Provided, all rights of the Bank under this Indenture to
consent to certain extensions, remedies, waivers, actions and amendments hereunder shall cease and become null and void (i) for so long as the Bank wrongfully dishonors any draft presented in strict conformity with the requirements of the Letter of
Credit and until it has honored a subsequent draft, if any, thereunder or (ii) if the Letter of Credit is no longer in effect and all of the Borrower’s obligations to the Bank pursuant to the Reimbursement Agreement have been paid. 

 

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 SECTION 903. Severability. If any provision of this Indenture is held to be in conflict with any
applicable statute or rule of law or is otherwise held to be unenforceable for any reason whatsoever, such circumstances shall not have the effect of rendering the provision in question inoperative or unenforceable in any other part or circumstance,
or of rendering any other provision or provisions herein contained invalid, inoperative, or unenforceable to any extent whatsoever. 
  
 The invalidity of any one or more phrases, sentences, clauses or Sections of this Indenture contained, shall not affect the remaining portions of this
Indenture, or any part thereof. 
  
 SECTION 904. Notices.
Except as otherwise specifically provided for herein, all notices required to be given hereunder or under the Loan Agreement shall be in writing. Except as otherwise provided herein, it shall be sufficient service or giving of any notice, request,
complaint, demand or other paper required by this Indenture to be given to or filed with the Issuer, the Trustee, the Bank, the Remarketing Agent, or the Borrower if the same shall be duly deposited in the United States mail and sent by first-class
mail, postage pre-paid, or delivered, in each case to the parties at the addresses set forth below or as a party may designate by notice to the other parties: 
  

			
	 If to the Issuer:
	  	 Mississippi Business Finance Corporation
 735 Riverside Drive
  
 Jackson, Mississippi 39202
  
 Attention: Executive Director
  
 Tel:     601/355-6232
  
 Fax:     601/355-3888
  

	 If to the Borrower:
	  	 Trex Company, Inc.
 160 ExeterDrive
  
 Winchester, Virginia 22603-8605
  
 Attention: Senior Vice President and Chief Financial Officer
  
 Tel:     540/542-6939
  
 Fax:
    540/542-6889
  

	 If to the Trustee’s
 Administrative Trust Office:
	  	 J.P. Morgan Trust Company, National Association
 1650 Market Street
 Suite 4700
 Philadelphia, Pennsylvania 19103
  
 Attention: Institutional Trust Services

 
 Tel:
    215/640-3414
  
 Fax:     215/640-3430

  

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	 If to the Trustee’s
 Payment Trust Office:
	  	 J.P. Morgan Trust Company, National Association
 c/o JPMorgan Chase Bank, N.A.
 2001 Bryan Street
  
 Dallas, Texas 75201
  
 Tel:     800-275-2048

	 If to the Bank:
	  	 JPMorgan Chase Bank, N.A.
 277 Park Avenue, 22nd floor
  
 New
York, New York 10172
  
 Attention:
Sandra BVW Braun, Vice President
  
 Tel:
    212-622-3622
  
 Fax:     646-534-0692

	 If to the Remarketing
 Agent:
	  	 J.P. Morgan Securities Inc.
 1 Bank One Plaza
 Mail Suite IL1-0463
  
 Chicago, Illinois 60670
  
 Attention: Municipal Bond Dept/Short Term Trading
  
 Tel:     312/732-3868
  
 Fax:     312/732-1033

  
 SECTION 905.
Additional Notices to Rating Agencies. The Trustee hereby agrees that if at any time (a) there is a change in the Trustee, the Remarketing Agent, or the Bank; (b) there are any modifications, supplements or amendments to the Indenture, Loan
Agreement, Pledge Agreement or Letter of Credit of which the Trustee has notice; (c) the Letter of Credit expires, is terminated, is extended or is substituted; (d) the Trustee receives payment in full of all of the Bonds; or (e) the interest rate
on the Bonds is converted to the Fixed Rate, then, in each case, the Trustee shall promptly give notice of any such event to each Rating Agency then maintaining a rating on the Bonds, which notice in the case of an event described in clause (b)
above shall include a copy of any such amendment, modification or supplement. 
  
 SECTION 906. Payments Due on Non-Business Days. In any case where the date of maturity of interest on or premium, if any, or principal of the Bonds or the date fixed for redemption of any Bonds shall not be a
Business Day, then payment of such interest, premium or principal need not be made on such date but shall be made on the next succeeding Business 

  

 -69- 

 
Day, with the same force and effect as if made on the date of maturity or the date fixed for redemption, and, in the case of such payment on the next
succeeding Business Day, no interest shall accrue for the period from and after such date. 
  
 SECTION 907. Interest Computation. The interest on the Bonds shall be computed on the basis of a 365/366-day year, as the case may be, on actual days elapsed prior to the Conversion Date and a 360-day year
comprised of twelve 30-day months thereafter. 
  
 SECTION 908.
Fees, Charges and Expenses of the Issuer. The Issuer shall be entitled to payment and reimbursement for reasonable fees for its services rendered hereunder and all advances, counsel fees and other expenses reasonably made or incurred by the
Issuer in connection with such services and in connection with entering into this Indenture, including any such fees and expenses incurred in connection with action taken hereunder. 
  
 The Issuer shall not be obligated to execute any documents or take any other action under or pursuant to this Indenture, the
Agreement, the Promissory Note or any other document in connection with the Bonds unless and until provision for the payment of expenses of the Issuer shall have been made. Provisions for expenses shall be deemed to have been made upon arrangement
reasonably satisfactory to the Issuer for the provision of expenses being agreed upon by the Issuer and the party requesting such execution. 
  
 SECTION 909. Binding Effect. This instrument shall inure to the benefit of and shall be binding upon the Issuer and the Trustee and their
respective successors and assigns, subject, however, to the limitations contained in this Indenture. 
  

 -70- 

 SECTION 910. Captions. The captions or headings in this Indenture are for convenience only and in
no way define, limit or describe the scope or intent of any provisions or sections of this Indenture. 
  
 SECTION 911. Governing Law. This Indenture shall be governed by and interpreted in accordance with the laws of the State, without regard to
conflict of law principles. 
  
 SECTION 912. Execution in
Counterparts. This Indenture may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. 
  
 IN WITNESS WHEREOF, the Issuer has executed this Indenture by one of its members or authorized officers and the
Trustee has caused this Indenture to be executed in its name by its duly authorized officer, all as of the day and year first above written. 
  

			
	MISSISSIPPI BUSINESS FINANCE CORPORATION, a public corporation duly organized and existing under the laws of the State of Mississippi
		
	By:	 	 /s/ Bill Barry

	 Its:
	 	 Executive Director

  

			
	 (SEAL)
  

ATTEST:

		
	By:	 	 /s/ Vernon Smith

	 Its:
	 	 Secretary

  

			
	 J.P. MORGAN TRUST COMPANY,
 NATIONAL ASSOCIATION, as Trustee

		
	By:	 	 /s/ Marvin S. Kierstead

	 Its:
	 	 Vice President

  

 -71- 

  
 EXHIBIT A 

FORM OF VARIABLE RATE SERIES 2004 BOND 
  
 R-_ 
  
 Unless this Bond is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Issuer or
its agent for registration of transfer, exchange, or payment, and any Bond issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or
to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest
herein. 
  
 UNITED STATES OF AMERICA 
 STATE OF MISSISSIPPI 
  
 $25,000,000 
  
 MISSISSIPPI BUSINESS FINANCE CORPORATION 
 VARIABLE RATE DEMAND ENVIRONMENTAL IMPROVEMENT REVENUE BOND 
 (TREX COMPANY, INC. PROJECT), 
 SERIES 2004

  

							
	 INTEREST RATE

	 	 MATURITY DATE

	 	 DATE OF ORIGINAL ISSUE

	 	 CUSIP

	 Variable
	 	December 1, 2029	 	__________, 2004	 	____________

  
 Registered Owner:
    CEDE & CO. 
  
 Principal Amount:
    Twenty-five Million and 00/100 Dollars ($25,000,000) 
  
 THIS BOND AND THE OBLIGATION TO PAY INTEREST HEREON AND REDEMPTION PREMIUMS WITH RESPECT HERETO ARE SPECIAL, LIMITED OBLIGATIONS OF THE ISSUER, SECURED AS AFORESAID AND PAYABLE SOLELY OUT OF THE REVENUES AND INCOME
DERIVED FROM THE LOAN AGREEMENT AND THE NOTE AND AS OTHERWISE PROVIDED IN THE INDENTURE OR BOND RESOLUTION AND LOAN AGREEMENT. UNDER NO CIRCUMSTANCES SHALL THIS BOND CONSTITUTE AN INDEBTEDNESS OR OBLIGATION OF THE STATE OF MISSISSIPPI WITHIN THE
PURVIEW OF ANY CONSTITUTIONAL LIMITATION OR PROVISION. NO OWNER OF THIS BOND SHALL HAVE THE RIGHT TO COMPEL THE EXERCISE OF THE TAXING POWER OF THE STATE OF MISSISSIPPI TO PAY ANY 

  

 A-1 

 
PRINCIPAL INSTALLMENT OF, PREMIUM, IF ANY, OR INTEREST ON THIS BOND. THE ISSUER HAS NO POWER TO LEVY TAXES FOR ANY PURPOSE WHATSOEVER. 
  
 FOR VALUE RECEIVED, the Mississippi Business Finance Corporation, a public
corporation duly organized and existing under the laws of the State of Mississippi (the “Issuer”) hereby promises to pay to the Registered Owner specified above, or registered assigns, upon surrender hereof, at the payment trust office or
other designated office of the Trustee named below, on the Maturity Date specified above, unless redeemed prior thereto, the Principal Amount specified above, together with interest thereon at the rates determined as set forth herein from the date
hereof or such later date to which interest has been paid, but only from the sources and in the manner hereinafter provided on each Interest Payment Date (as hereinafter defined) until the principal hereof is paid or duly provided for upon
redemption or maturity. Payment of the principal of, premium, if any, and interest on this Bond shall be made in lawful money of the United States of America which at the time of payment is legal tender for payment of public and private debts.
Unless other arrangements are made pursuant to Section 202 of the Indenture (as defined herein), interest is payable by check or draft of the Trustee mailed, when due, to the registered holder hereof at the close of business on the Record Date (as
hereinafter defined) immediately preceding any Interest Payment Date at the address of such holder as it appears on the Bond registration books of the Issuer maintained by the Trustee (the “Bond Register”). 
  
 Interest on this Bond shall be computed on the basis of a 365/366-day year,
as the case may be, on actual days elapsed prior to the Conversion Date (as hereinafter defined) and a 360-day year consisting of twelve (12) months of thirty (30) days each thereafter. 
  
 This Bond is one of a series of Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company, Inc. Project),
Series 2004 (the “Bonds”) of the Issuer in the aggregate principal amount of $25,000,000 issued under Section 57-10-401 et seq., Mississippi Code of 1972, as amended (the “Act”). The proceeds of the Bonds are being loaned to Trex
Company, Inc., a Delaware corporation (the “Borrower”), in accordance with the Loan Agreement between the Issuer and the Borrower dated as of December 1, 2004 (the “Loan Agreement”) for the purpose of financing all or a portion
of the costs of (i) the acquisition, construction and equipping of solid waste disposal facilities in the City of Olive Branch, DeSoto County, Mississippi to be used by the Borrower in connection with the manufacture of non-wood decking, railing and
fencing products (the “Project”), and (ii) to pay a portion of the costs of the issuance of the Bonds. 
  
 The Bonds are issued pursuant to and in full compliance with the Act and pursuant to a resolution of the Issuer adopted on November 17, 2004 (the
“Resolution”) and a Trust Indenture (the “Indenture”) dated as of December 1, 2004, between the Issuer and J.P. Morgan Trust Company, National Association, as trustee (the “Trustee”). Capitalized terms used herein and
not otherwise defined shall have the meanings ascribed to them in the Indenture. 
  
 The Bonds and interest due thereon shall not be a general obligation, a debt or a liability of the Issuer or an obligation, debt or liability of the State of Mississippi and do not constitute or give rise to any
pecuniary liability or charge against the general credit of the Issuer or the credit 

  

 A-2 

 
or taxing power of the State of Mississippi, but shall be special, limited obligations of the Issuer payable solely from and secured by the
“Security,” including the moneys available to be drawn by the Trustee under a certain letter of credit (the “Letter of Credit,” and together with any Alternate Letter of Credit (as defined in the Indenture) delivered to and
accepted by the Trustee in accordance with the Loan Agreement, the “Letter of Credit”), issued by JPMorgan Chase Bank, N.A. (together with the issuer of any alternate or replacement letter of credit delivered to and accepted by the Trustee
in accordance with the Indenture, the “Bank”), all as defined in and subject to limitations set forth in the Indenture, for the equal and ratable benefit of the holders, from time to time, of the Bonds (the “Bondholders”), except
as otherwise provided in the Indenture. The Issuer has no taxing power. Reference is hereby made to the Indenture for a description of the nature and extent of the Security, and to the Letter of Credit for the terms thereof. The Letter of Credit is
being issued pursuant to the terms of a Reimbursement Agreement (together with any other agreement pursuant to which a Letter of Credit is issued, the “Reimbursement Agreement”) dated as of December 1, 2004, between the Bank and the
Borrower. 
  
 The Bonds are issuable as fully registered Bonds in
the denomination of $100,000 or any integral multiple of $5,000 in excess thereof (the “Authorized Denominations”). This Bond, upon surrender hereof at the payment trust office of the Trustee with a written instrument of transfer
satisfactory to the Trustee executed by the registered holder hereof or his attorney duly authorized in writing, may, at the option of the registered holder hereof, be exchanged for an equal aggregate principal amount of Bonds of any other
Authorized Denomination. This Bond is transferable as provided in the Indenture, subject to certain limitations therein contained, only upon the Bond Register and only upon surrender of this Bond for transfer to the Trustee duly endorsed by, or
accompanied by a written instrument of transfer in form satisfactory to the Trustee duly executed by the registered holder hereof or his attorney duly authorized in writing. Thereupon, one (1) or more new Bonds of Authorized Denominations and in the
same aggregate principal amount will be issued to the designated transferee or transferees. 
  
 Any service charge made by the Trustee for any such registration, transfer or exchange hereinbefore referred to shall be paid by the Borrower. The Trustee or the Issuer may require payment by the Bondholder of a sum
sufficient to cover any tax or other governmental charge payable in connection therewith. Neither the Issuer nor the Trustee shall make any such exchange or registration of transfer of any Bond after notice calling such Bond for redemption or
partial redemption has been given and prior to such redemption unless the holder delivers to the Trustee a written statement acknowledging that such Bond has been called for redemption and the date of such redemption. 
  
 The Issuer, the Borrower, the Trustee and any other agent of the Issuer may
treat the person in whose name this Bond is registered on the Bond Register as the absolute owner hereof for all purposes, except that payment of or on account of either principal, premium, if any, or interest shall be made only to or upon the order
of the holder of record as of the Record Date or its duly authorized attorney, but such registration may be changed as provided in the Indenture. Neither the Issuer, the Borrower, the Trustee nor any other such agent shall be affected by notice to
the contrary. 
  

 A-3 

 Interest Rates on the Bonds 
  
 (a) Interest on the Bonds will be payable at the Variable Rate (as hereinafter defined) from the Date of Original Issue
until the earlier of the date on which the interest on the Bonds is converted to the Fixed Rate (the “Conversion Date”) or the date of payment in full of the Bonds (the “Variable Rate Period”). During the Variable Rate Period,
the Variable Rate shall be determined by J.P. Morgan Securities Inc., as Remarketing Agent under the Indenture (together with any successor Remarketing Agent under the Indenture, the “Remarketing Agent”), by 4:30 p.m. New York City time on
each Wednesday (or the immediately preceding Business Day if such Wednesday is not a Business Day) and shall be the minimum rate necessary (as determined by the Remarketing Agent based on the examination of tax-exempt obligations comparable to the
Tax-Exempt Bonds known to the Remarketing Agent to have been priced or traded under then-prevailing market conditions) for the Remarketing Agent to sell the Bonds on the effective date of such Variable Rate at their principal amount (without regard
to accrued interest). The first Variable Rate shall apply to the period beginning on the Issue Date and ending on the next Wednesday. Thereafter, each Variable Rate shall apply to the period beginning on the Thursday of the week in which such
Variable Rate is set and ending on the following Wednesday, or if earlier, ending on the Conversion Date. Notwithstanding the foregoing, the Variable Rate shall not exceed the lesser of ten percent (10%) per annum or the maximum rate permitted by
applicable law. If no Remarketing Agent shall be serving under the Indenture, or if for any reason the Remarketing Agent has not determined the Variable Rate on a Wednesday (or the immediately preceding Business Day if such Wednesday is not a
Business Day), the Variable Rate for the Tax-Exempt Bonds shall be equal to the Municipal Swap Index; provided that if such index is no longer provided by Municipal Market Data, Inc. or its successor, the rate shall be equal to the J.J. Kenny
Index or if such index is not available, such other index (or percentage of an index) deemed appropriate for tax-exempt securities of the nature of the Tax-Exempt Bonds as the Remarketing Agent may have previously selected, or, if no rate or index
is provided, the new rate shall be the same as the rate for the preceding week. The Trustee shall promptly notify the Bondholders by first class mail of any change in the interest rate determination method. 
  
 (b) The Bonds shall bear interest at the Fixed Rate (as hereinafter defined)
from and including the Conversion Date until the payment in full of the Bonds (the “Fixed Rate Period”). The Fixed Rate for the Bonds shall be determined by the Remarketing Agent on a date which is not more than twenty (20) Business Days
nor less than five (5) Business Days prior to the Conversion Date (the “Fixed Rate Determination Date”) and shall be the rate determined by the Remarketing Agent on the Fixed Rate Determination Date to be the rate which, if borne by the
Bonds would, in the judgment of the Remarketing Agent having due regard to prevailing market conditions for tax-exempt revenue bonds or other tax-exempt securities comparable to the Tax-Exempt Bonds, be the interest rate necessary, but would not
exceed the interest rate necessary, to enable the Remarketing Agent to remarket the Bonds or portion thereof tendered (or deemed to have been tendered) for purchase at a price of par (exclusive of accrued interest, if any) on the Fixed Rate
Determination Date; provided, however, that the Fixed Rate shall not exceed the maximum rate permitted by applicable law. If for any reason the Remarketing Agent fails to determine the Fixed Rate by the close of business on the fifth
(5th) Business Day preceding the 

  

 A-4 

 
Proposed Conversion Date, the Bonds shall continue to bear interest at the Variable Rate determined in accordance with the Indenture. 
  
 (c) The determination of the Variable Rate or the Fixed Rate by the
Remarketing Agent shall be conclusive and binding upon the Issuer, the Borrower, the Trustee, the Remarketing Agent and the Bondholders. 
  
 (d) In determining the interest rate that the Bonds shall bear as provided herein, neither the Remarketing Agent nor the Trustee shall have any liability
to the Issuer, the Borrower, the Trustee or any Bondholder except for its gross negligence or willful misconduct. 
  
 As used herein, “Business Day” means any day other than (i) a Saturday, (ii) a Sunday, (iii) a day on which banking institutions in the city in
which the administrative trust office or the payment trust office of the Trustee (or its bond registrar, paying agent or tender agent offices) is located or the principal office of the Remarketing Agent is located or the office of the Bank at which
action is to be taken to realize moneys under the Letter of Credit are required or authorized by law or executive order to be closed, or (iv) a day on which the New York Stock Exchange is closed. 
  
 As used herein, “Interest Payment Date” means, (i) during the
Variable Rate Period, the first Business Day of each month, commencing                     , (ii) the Conversion Date and (iii) following the
Conversion Date, each June 1 and December 1. 
  
 As used herein,
“Record Date” means with respect to each Interest Payment Date (i) on and prior to the Conversion Date, the Trustee’s close of business on the Business Day next preceding such Interest Payment Date, and (ii) after the Conversion Date,
the Trustee’s close of business on the fifteenth day of the calendar month next preceding such Interest Payment Date, regardless whether such day is a Business Day. 
  
 Conversion of Interest Rate on the Bonds 
  
 (a) During the Variable Rate Period, the interest rate on the Bonds, at the option of the Borrower, shall be converted from the Variable Rate to the Fixed
Rate, upon delivery by the Borrower to the Trustee, the Remarketing Agent, the Bank and the Issuer: 
  
 (1) On any Business Day during the Variable Rate Period, of a notice (the “Conversion Notice”) stating (i) that the Borrower has
elected to convert the interest rate on the Bonds to the Fixed Rate and specifying the Proposed Conversion Date, which date shall be a Business Day at least forty-five (45) days after the date on which the Trustee receives the Conversion Notice,
(ii) that the Borrower has obtained the written consent of the Bank to the giving of such Conversion Notice (and attaching such written consent) and (iii) whether the Bonds will be secured by a Letter of Credit during the Fixed Rate Period, and

  
 (2) By 10:00 a.m. New York City time on the
Proposed Conversion Date, of (i) a Favorable Opinion of Bond Counsel as to the conversion of the interest rate on the 

  

 A-5 

 
Bonds; (ii) if the Borrower elects to secure the Bonds with a Letter of Credit during the Fixed Rate Period, an amendment to the Letter of Credit then in
effect or an Alternate Letter of Credit, in either case to be effective on the Proposed Conversion Date and meeting the requirements of the Indenture; and (iii) a written undertaking by the Borrower, satisfactory in form and substance to the
Remarketing Agent and the Issuer, whereby the Borrower agrees to comply with the continuing disclosure requirements of subsection (b)(5) of Rule 15c2-12 promulgated by the Securities and Exchange Commission pursuant to the Securities Exchange Act of
1934, as amended, as then applicable; provided, however, that the Borrower shall not be required to make such a written undertaking if the Remarketing Agent provides the Issuer, the Trustee and the Borrower with an opinion of counsel that an
exemption from compliance with Rule 15c2-12 is available. 
  
 (b)
If (i) the Trustee receives written notification from the Borrower by the close of business on the Fixed Rate Determination Date of the Borrower’s decision not to elect the conversion of the interest rate on the Bonds to the Fixed Rate on the
Proposed Conversion Date, or (ii) the Borrower fails to satisfy the conditions described in paragraph (a)(2) above, or (iii) the Remarketing Agent fails to determine the Fixed Rate by the close of business on the fifth (5th) Business Day preceding the Proposed Conversion Date, the interest rate on the Bonds shall not be converted to the Fixed Rate
on the Proposed Conversion Date. In such event, the Bonds shall bear interest for the remaining portion of the current interest rate period at the Variable Rate then in effect, or for an interest rate period of the Variable Rate in effect for the
immediately preceding interest rate period, and will continue to remain outstanding in accordance with the terms of this Indenture as if no such election had been made by the Borrower to convert the interest rate borne by the Bonds to the Fixed
Rate; provided, however, that the Bonds will continue to be subject to mandatory tender on the Proposed Conversion Date pursuant to Section 206 of the Indenture. 
  
 (c) No conversion of the interest rate on the Bonds shall occur as provided herein if at the time of such conversion an
Event of Default shall have occurred under the Indenture and be continuing with respect to the Bonds. 
  
 (d) The Bonds shall not be subject to optional or mandatory tender for purchase as provided herein after the Conversion Date. 
  
 “Bond Counsel” means a firm of nationally recognized attorneys at
law acceptable to the Issuer experienced in legal work relating to the issuance of bonds the interest on which is excluded from gross income for federal income tax purposes under Section 103(a) of the Internal Revenue Code of 1986, as amended.

  
 Optional Tender of Bonds for Purchase

  
 The owner hereof shall have the right to tender this Bond or
a portion hereof (in Authorized Denominations) to the Trustee as tender agent for purchase as a whole or in part (in any Authorized Denomination) (provided the Bonds which will continue to be held by such Beneficial Owner shall be in Authorized
Denominations) on any Business Day during the 

  

 A-6 

 
Variable Rate Period, but not thereafter, at a purchase price equal to one hundred percent (100%) of the principal amount hereof tendered plus accrued
interest to the specified purchase date, in accordance with the Indenture. In order to exercise such option with respect to this Bond or any portion hereof, the owner hereof must give to the Trustee as tender agent at its designated corporate trust
office by the opening of business at such office on a Business Day which is at least seven (7) days immediately preceding the proposed purchase date (i) telephonic notice of tender (which telephonic notice must be confirmed by written notice, which
may be by facsimile transmission, of tender received by the Trustee as tender agent on a Business Day not more than two (2) Business Days after such notice) or (ii) written notice, which may be by facsimile transmission, of tender to the Trustee as
tender agent (which written notice of tender shall be in the form attached hereto or shall be in such other form acceptable to the Trustee). If the Bonds are in a book-entry only system, such notice of tender shall be given, or caused to be given,
by any Beneficial Owner of Bonds (through its Participant in the Depository, each as defined in the Indenture) to the Trustee and delivery of such Bonds shall be effected by causing such Participant to transfer its interest in the Bonds equal to
such Beneficial Owner’s interest on the records of the Depository to the participant account of the Remarketing Agent with the Depository. Upon the delivery of such written notice of tender, such election to tender shall be irrevocable and
binding upon the owner (or Beneficial Owner) hereof. At or before 10:00 a.m., New York City time, on the specified purchase date, the Registered Owner or Beneficial Owner of each Bond as to which any such notice of tender shall have been given shall
deliver his Bond and an instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be in the form provided on the Bonds or in such other form acceptable to the Trustee) to the Trustee, as tender
agent, at its designated corporate trust office and, on the specified purchase date, the Trustee as tender agent shall purchase such Bond only out of funds made available to it for such purpose, or cause such Bond to be purchased, at a purchase
price equal to the principal amount thereof plus accrued interest, if any. If the Bonds are in a book-entry only system, the requirement for physical delivery of the Bonds in connection with a demand for purchase hereunder shall be deemed satisfied
when the ownership rights in the Bonds are transferred by Participants on the records of the Depository to the participant account of the Remarketing Agent. The owners of the Bonds, by their acceptance of the Bonds, covenant and agree to tender
their Bonds in the manner and at the times aforesaid. If any Bond is not so tendered after notice of tender from the owner thereof (an “Unsurrendered Bond”), and there has been irrevocably deposited in the Bond Purchase Fund referred to in
the Indenture Eligible Funds in an amount sufficient to pay the purchase price of such Bond and all other Bonds so tendered or deemed tendered for purchase on such specified purchase date, such Bond shall be deemed to have been tendered by the owner
thereof and purchased from such owner on the specified purchase date, and the owner thereof shall not be entitled to receive interest on such Bond on and after the specified purchase date. Upon surrender of any Unsurrendered Bond to the Trustee, the
Trustee shall pay to the owner of such Unsurrendered Bond only an amount equal to the purchase price of such Unsurrendered Bond due on such purchase date. The Trustee shall, in its sole discretion, determine whether, with respect to any Bond, the
owner thereof shall have properly exercised the option to have his Bond purchased as a whole or in part. 
  

 A-7 

 Mandatory Tender of Bonds for Purchase 
  
 During the Variable Rate Period, the Registered Owner hereof shall be
required to tender this Bond to the Trustee as tender agent for purchase on each date described below (each of the dates described below being a “Mandatory Tender Date”): 
  
 (1) On each proposed Conversion Date; 
  
 (2) On the date upon which an Alternate Letter of Credit is to be substituted for the Letter of Credit then
in effect; 
  
 (3) On the Interest Payment Date
next preceding the Stated Expiration Date of the Letter of Credit then in effect, if the Trustee has not received at least forty-five (45) days (or such shorter period as shall be acceptable to the Trustee, but not less than thirty (30) days) prior
to the Interest Payment Date next preceding the Stated Expiration Date of the current Letter of Credit either an extension of the then existing Letter of Credit or an Alternate Letter of Credit meeting the requirements set forth therefor in the
Indenture; and 
  
 (4) On each optional
redemption date for which the Borrower with the written consent of the Bank has elected to purchase Bonds in lieu of an optional redemption pursuant to the Indenture. 
  
 At least twenty (20) days, but not more than forty-five (45) days, prior to each such Mandatory Tender Date, the Trustee
shall give notice of such mandatory tender by first class mail to the Registered Owner hereof at his address appearing on the Bond Register. Such notice of mandatory tender shall (i) specify the Mandatory Tender Date and the reason for the mandatory
purchase on such date, (ii) if such Mandatory Tender Date is a Proposed Conversion Date, state that such conversion to the Fixed Rate will not occur if the conditions described in paragraph (a)(2) above under the heading “Conversion of Interest
Rate on the Bonds” are not satisfied but that such mandatory tender will still occur on the Proposed Conversion Date, and (iii) state that this Bond must be tendered by the Registered Owner hereof for purchase at or before 10:00 a.m., New York
City time, on the Mandatory Tender Date to the Trustee as tender agent at its designated corporate trust office, together with an instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be in the
form provided on this Bond or such other form acceptable to the Trustee as tender agent), and that this Bond shall thereupon be purchased on the Mandatory Tender Date at a purchase price equal to the principal amount hereof plus accrued interest, if
any, and if this Bond is not so tendered (an “Unsurrendered Bond”), but there has been irrevocably deposited in the Bond Purchase Fund referred to in the Indenture Eligible Funds sufficient to pay the purchase price of this Bond and all
other Bonds so tendered or deemed tendered for purchase on the Mandatory Tender Date, this Bond shall be deemed to have been tendered for purchase by the Registered Owner hereof and purchased from such owner on the Mandatory Tender Date. 

 
 This Bond shall be tendered for purchase by the owner hereof to the
Trustee as tender agent at or before 10:00 a.m., New York City time, on each Mandatory Tender Date, by 

  

 A-8 

 
delivering this Bond to the Trustee as tender agent at its designated payment trust office, together with an instrument of assignment or transfer duly
executed in blank (which instrument of assignment or transfer shall be in the form provided on this Bond or such other form acceptable to the Trustee), and on such Mandatory Tender Date the Trustee as tender agent shall purchase this Bond, or cause
this Bond to be purchased, at a purchase price equal to the principal amount hereof, plus accrued interest, if any, and the Registered Owner of this Bond, by his acceptance hereof, hereby covenants and agrees to tender this Bond in the manner and at
the time as aforesaid. If the Bonds are in a book-entry only system, a Beneficial Owner shall effect delivery of this Bond by causing its Participant in the Depository to transfer such Participant’s interest in the Bonds equal to the Beneficial
Owner’s interest on the records of the Depository to the participant account of the Trustee with the Depository and the requirement for physical delivery of this Bond shall be deemed satisfied when the ownership rights in this Bond are
transferred by such Participant on the records of the Depository. If this Bond is not tendered at or before 10:00 a.m., New York City time, on a Mandatory Tender Date, and there has been irrevocably deposited in the Bond Purchase Fund referred to in
the Indenture an amount sufficient to pay the purchase price hereof and all other Bonds tendered or deemed tendered for purchase on such Mandatory Tender Date, this Bond shall be deemed to be tendered by the Registered Owner hereof and purchased
from such owner on such Mandatory Tender Date, and the Registered Owner hereof shall not be entitled to receive interest on this Unsurrendered Bond on and after such Mandatory Tender Date. Upon surrender after a Mandatory Tender Date of an
Unsurrendered Bond to the Trustee, the Trustee shall pay to the Registered Owner of such Unsurrendered Bond only an amount equal to the purchase price of such Unsurrendered Bond due on such Mandatory Tender Date. 
  
 REDEMPTION OF BONDS 
  
 The Bonds are not subject to redemption prior to maturity except as
hereinafter provided. 
  
 Optional
Redemption 
  
 On or prior to the Conversion Date, the Bonds
are subject to redemption at any time prior to maturity, at the option of the Borrower, as a whole or in part in Authorized Denominations (and the Bonds which continue to be held by such Beneficial Owner will be in Authorized Denominations) at a
redemption price of one hundred percent (100%) of the principal amount thereof plus accrued interest to the date fixed for redemption, upon receipt by the Trustee not less than forty-five (45) days prior to such redemption date of a written
direction from the Borrower stating that it intends to exercise its option to prepay the Loan Repayments due under the Loan Agreement and thereby effect redemption of the Bonds. 
  
 After the Conversion Date, the Bonds are subject to redemption prior to maturity, at the option of the Borrower, on or after
the dates specified in the Indenture, in whole at any time or in part in Authorized Denominations on any Interest Payment Date, at the redemption prices determined as provided in the Indenture upon receipt by the Trustee not less than forty-five
(45) days prior to such redemption date of a written direction from the Borrower stating that it intends 

  

 A-9 

 
to exercise its option to prepay the Loan Repayments due under the Loan Agreement and thereby effect redemption of the Bonds. 
  
 During the Variable Rate Period, the Borrower shall have the option to cause
the Bonds to be subject to mandatory tender and purchase in lieu of an optional redemption of Bonds as described above. Such option may be exercised by delivery by the Borrower to the Trustee and the Remarketing Agent on or prior to the Business Day
preceding the optional redemption date of a written notice specifying that the Bonds shall not be redeemed, but instead shall be subject to mandatory tender and purchase. Upon delivery of such notice, the Bonds shall not be redeemed but will instead
be subject to mandatory tender and purchase pursuant to the Indenture at a tender price equal to the price at which the Bonds would have been redeemed on the date which would have been the optional redemption date. 
  
 Mandatory Redemption Upon Determination of Taxability

  
 The Bonds shall be subject to mandatory redemption prior to
maturity, as a whole and not in part, on the earliest practicable date for which notice can be given following the occurrence of a Determination of Taxability, at a redemption price equal to one hundred percent (100%) of the principal amount thereof
plus accrued interest to the redemption date. 
  
 Mandatory Redemption from Insurance and Condemnation Proceeds 
  
 The Bonds are subject to mandatory redemption in whole at any time or in part (and if in part in Authorized Denominations; provided that no Bond may be redeemed in part if the principal amount to be outstanding
following such partial redemption is not an Authorized Denomination) on any Interest Payment Date, at a redemption price equal to one hundred percent (100%) of the aggregate principal amount of the Bonds to be redeemed plus accrued interest to the
redemption date, in an amount equal to any insurance or condemnation proceeds deposited with the Trustee for the purpose of redemption pursuant to Article VII of the Loan Agreement. Such redemption shall be effected by a drawing under the Letter of
Credit and the Trustee shall use such insurance or condemnation proceeds to reimburse the Bank for such drawing pursuant to the Reimbursement Agreement. 
  
 Partial Redemption 
  
 If less than all the outstanding Bonds are called for redemption, the Trustee shall select, or arrange for the selection of, the Bonds to be redeemed by
lot, in such manner as it shall in its discretion determine; provided that any such Bonds selected for redemption shall be in Authorized Denominations and the Bonds which will continue to be held by such Beneficial Owner will be in Authorized
Denominations. Notwithstanding the foregoing, Bonds pledged to the Bank (“Pledged Bonds”) pursuant to the Pledge Agreement (as defined in the Indenture) and Bonds held for the account of the Borrower or any affiliate of the Borrower
(“Borrower Bonds”) shall be first selected by the Trustee for redemption before any other Bonds are selected for redemption. If less than the principal amount of a Bond is called for redemption, the Issuer shall execute and the Trustee
shall authenticate and deliver, upon surrender of such Bond, without 

  

 A-10 

 
charge to the owner thereof, in exchange for the unredeemed principal amount of such Bond, at the option of such owner, Bonds in any of the Authorized
Denominations. 
  
 Notice of Redemption

  
 Notice of redemption shall be mailed by the Trustee by first
class mail at least thirty (30) days but not more than forty-five (45) days before any redemption date to the Registered Owner of each Bond to be redeemed in whole or in part at its last address appearing on the Bond Register; provided,
however, that failure to give such notice by mailing, or any defect therein, shall not affect the validity of any proceedings for the redemption of any Bond or a portion thereof with respect to which no such failure or defect has occurred; and
provided, further, that so long as the Letter of Credit is in effect, the Trustee shall not give notice of any optional redemption unless the Bank has consented in writing to such redemption. In addition, the Trustee may give such other
notice or notices as may be recommended in releases, letters, pronouncements or other writings of the Securities and Exchange Commission and the Municipal Securities Rulemaking Board. Any notice mailed as provided above shall be conclusively
presumed to have been duly given, whether or not the Bondholder receives the notice. All Bonds so called for redemption will cease to bear interest on the specified date set for redemption, provided Eligible Funds for their redemption have been duly
deposited with the Trustee pursuant to the Indenture and, thereafter, the holders of such Bonds called for redemption shall have no rights in respect thereof except to receive payment of the redemption price from the Trustee and a new Bond for any
portion not redeemed in any Authorized Denomination. 
  
 Certain Other Provisions 
  
 If provision is made
for the payment of principal of, premium, if any, and interest on this Bond in accordance with the Indenture, this Bond shall no longer be deemed outstanding under the Indenture, shall cease to be entitled to the benefits of the Indenture, and shall
thereafter be payable solely from the funds provided for payment. 
  
 Under certain circumstances as described in the Indenture, the principal of all the Bonds may be declared due and payable in the manner and with the effect provided in the Indenture. The Indenture directs the Trustee to declare an
acceleration upon the occurrence of an event of default under the Reimbursement Agreement if directed to do so by the Bank. Except in certain circumstances related to payment of principal and Purchase Price of and premium, if any, and interest on
the Bonds or the wrongful dishonor by the Bank of a draft or other request for payment under the Letter of Credit, the Trustee has the right to accelerate the outstanding balance of the Loan and the principal of the Bonds in certain events only with
the Bank’s consent, if the Letter of Credit is in effect, all as provided in more detail in the Indenture. Immediately following any such declaration of acceleration, the Trustee shall mail notice of such declaration by first class mail to each
holder of Bonds at his last address appearing on the Bond Register. Any defect in or failure to give such notice of such declaration shall not affect the validity of such declaration. 
  
 The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights
and obligations (if any) of the Issuer, the Borrower, the 

  

 A-11 

 
Bank and the holders of the Bonds at any time with the consent of the Bank and the holders of a majority in aggregate principal amount of the Bonds at the
time outstanding which are affected by such modifications. The Indenture also permits amendments and supplements to the Indenture and the Loan Agreement, without requiring the consent of any Bondholders, but with the consent of the Bank, in certain
specifically described instances. The Indenture also contains provisions permitting, subject to the Bank’s consent, holders of a majority in aggregate principal amount of the Bonds at the time outstanding, on behalf of all the holders of all
Bonds, to waive compliance by the Issuer and the Borrower with certain provisions of the Indenture and their consequences. Any such consent or waiver by the holder of this Bond shall be conclusive and binding upon such holder and on all future
holders of this Bond and of any Bond issued in lieu hereof whether or not notation of such consent or waiver is made upon this Bond. Supplements and amendments to the Indenture or the Loan Agreement may be made only to the extent and in
circumstances permitted by the Indenture. 
  
 The holder of this
Bond shall have no right to enforce the provisions of the Indenture or the Loan Agreement, or to institute action to enforce the covenants therein, or to take any action with respect to a default under the Indenture or the Loan Agreement, or to
institute, appear in or defend any suit or other proceedings with respect thereto, except as provided under certain limited circumstances described in the Indenture; provided, however, that nothing contained in the Indenture shall affect or
impair any right of enforcement conferred on the holder hereof by the Act to enforce (i) the payment of the principal of and premium (if any) and interest on this Bond at and after the maturity thereof, or (ii) the obligation of the Issuer to pay
the principal of and premium (if any) and interest on this Bond to the holder hereof at the time, place, from the source and in the manner as provided in the Indenture. 
  
 The holder of this Bond, by acceptance hereof, consents to all of the terms and provisions of the Indenture and the Loan
Agreement. 
  
 IT IS HEREBY CERTIFIED, RECITED AND DECLARED, that
all acts, conditions and things required to exist, happen and be performed precedent to the execution and delivery of the Indenture and the issuance of this Bond and the issue of which it is a part, do exist, have happened and have been timely
performed in regular form and manner as required by law, and the issuance of this Bond, together with all other obligations of the Issuer, does not exceed or violate any constitutional or statutory limitation of the Issuer. 
  
 Unless the certificate of authentication hereon has been executed by the
Trustee by manual signature of one of its authorized signers, this Bond shall not be entitled to any benefit under the Indenture, or be valid or obligatory for any purpose. 
  

 A-12 

 IN WITNESS WHEREOF, the Mississippi Business Finance Corporation has executed this Bond by the
manual or facsimile signature of one of its members or one of its authorized officers and has caused its seal (or a facsimile thereof) to be impressed or imprinted hereon, all as of the Date of Original Issue set forth above. 
  

			
	MISSISSIPPI BUSINESS FINANCE CORPORATION, a public corporation duly organized and existing under the laws of the State of Mississippi
		
	By:	 	 
	 Its:
	 	 Executive Director

  

			
	 (SEAL)

	
	 ATTEST:

		
	By:	 	 
	 Its:
	 	 Secretary

  
 TRUSTEE’S
CERTIFICATE OF AUTHENTICATION 
  
 This Bond is one of the
Bonds described in the within-mentioned Indenture. 
  

			
	 J.P. MORGAN TRUST COMPANY,
 NATIONAL ASSOCIATION, as Trustee

		
	By:	 	 
	 Its:
	 	 

  
 Authentication Date:
             
  

 A-13 

  
 [FORM OF ASSIGNMENT]

  
 For value received, the undersigned hereby sells, assigns
and transfers unto              
  

	
	 
	 
	 

 (Name and Address of Assignee) 
  
 (Taxpayer I.D. No.:
                                        
                        ) 
 the
within Bond and does hereby irrevocably constitute and appoint
                                       
                     
                                        
                                        
                                        
                                        
                                        
             , 
 attorney to transfer such Bond on the books kept for registration and
transfer of the within Bond, with full power of substitution in the premises. 
  

					
			
	 Dated:
                                     
 
	 	 	 	  
	 	 	 	 	[Signature]

  
 NOTICE: The
signature(s) to this Assignment must correspond with the name as it appears upon the face of the Bond in every particular, without alteration or enlargement or any change whatever. 
  
 Signature Guaranteed:
                                        
                     
  
 NOTICE: Signature(s) must be guaranteed by an eligible guarantor institution as defined by SEC Rule 17Ad-15 (17 CFR 240.17Ad-15) participating in a
Securities Transfer Association recognized signature guarantee program. 
  

 A-14 

  
 VALIDATION CERTIFICATE

  
 The issuance of the Bonds of which this Bond is one has been
validated and confirmed by decree of the Chancery Court of the First Judicial District of Hinds County, Mississippi, rendered on this              day of
            . 
  

	
	
	 
	Secretary, Mississippi Business Finance Corporation

  

 A-15 

  
 [FORM OF BONDHOLDER
TENDER] 
 BONDHOLDER TENDER NOTICE 
  
 The undersigned hereby elects to have the Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company, Inc. Project), Series 2004 numbered
             (the “Bond”), of the Mississippi Business Finance Corporation, a public corporation duly organized and existing under the laws of the State of Mississippi (the
“Issuer”) (or any portion thereof in any Authorized Denomination) purchased in accordance with the provisions of the Bond and the Trust Indenture (the “Indenture”) dated as of December 1, 2004, by and between the Issuer and J.P.
Morgan Trust Company, National Association, as Trustee (the “Trustee”), on              (the “Purchase Date”), which Purchase Date shall be a Business Day at
least seven (7) days immediately following the Business Day of the submission of this Bondholder Tender Notice, which may be by facsimile transmission, to the Trustee, as tender agent (unless the undersigned has given telephonic notice of its
election to tender the Bond by 9:00 a.m., prevailing time, at the Trustee’s designated payment trust office, confirmed by submission of this Bondholder Tender Notice, which may be by facsimile transmission, not more than two (2) Business Days
after such telephonic notice, in which event such Purchase Date shall be a Business Day at least seven (7) days immediately following the date of such telephonic notice), at the purchase price of one hundred percent (100%) of the principal amount
thereof being purchased plus accrued interest, if any, to the Purchase Date (the “Purchase Price”). 
  
 Pursuant to the terms of the Indenture, the Purchase Price of the Bond (or portion thereof) to be purchased shall be paid to the undersigned Registered
Owner of the Bond in immediately available funds, which may be remitted by wire transfer to any requesting Owner, as provided in the Indenture, at or before 2:00 p.m., New York City time, on the Purchase Date upon presentation of the Bond to the
Trustee, as tender agent, together with an instrument of assignment or transfer duly executed in blank (which instrument of assignment or transfer shall be in the form provided on the Bond or in such other form acceptable to the Trustee), at or
before 10:00 a.m., New York City time, on the Purchase Date, at or to 
  
 J.P. Morgan Trust Company, National Association 
 c/o J.P. Morgan Bank, N.A. 
 2001 Bryan Street 
 Dallas, Texas 75201

 Attn: Corporate Trust Department 
 Telephone: 800-275-2048 
  
 The undersigned hereby
acknowledges and agrees to such terms. 
  
 This Bondholder Tender
Notice shall not be accepted by the Trustee unless it is properly completed and received by the Trustee at its designated corporate trust office. 
  
 If the Bond is submitted for purchase in part, the undersigned hereby directs the Trustee to exchange the Bond for (i) a Bond representing the principal
amount of the Bond to be purchased, and (ii) a Bond (or Bonds of Authorized Denominations if the owner specifies the Authorized Denominations) representing the principal amount of the Bond not to be purchased. 

  

 A-16 

 
The Bond or Bonds not to be purchased shall be registered in the same name(s) as the Bond tendered for purchase. Unless the undersigned Registered Owner of
the Bond delivers instructions to the Trustee, with this Bondholder Tender Notice, specifying that said owner wishes to have the Trustee deliver more than one Bond representing the principal amount of the Bond not to be purchased, and specifying the
Authorized Denominations of such replacement Bonds, the Trustee will deliver only one replacement Bond to such owner in the principal amount of the Bond not to be purchased. 
  
 THIS ELECTION IS IRREVOCABLE AND BINDING ON THE UNDERSIGNED AND CANNOT BE WITHDRAWN. 
  
 The undersigned hereby authorizes the Trustee to accept on behalf of the
undersigned the Purchase Price of the Bond (or portion thereof) subject to this Bondholder Tender Notice. 
  

											
	Print or Type	  	 	  	 	  	 	  	 	  	 
	 
	Name(s) of Bondholder(s)	  	 	  	 	  	 	  	 	  	 
	 
	 Street
	  	City	  	 	  	State	  	 	  	Zip
	 	  	 	  	 	  	 	  	 	  	 

											
	 (            )
	  	 
	 Area Code
	  	Telephone Number

											
						
	Signature(s)	  	 	  	 	  	 	  	 	  	 
	 
	Date:	  	 	  	 	  	 	  	 	  	 
	 

  
 Note: The signature(s)
to this Bondholder Tender Notice must correspond exactly to the name(s) appearing on the registration books of the Issuer maintained by the Trustee, as bond registrar, in every particular, without alteration or enlargement or any change whatsoever.

  
 The principal amount of the Bond subject to this notice of
tender for purchase $                    . (Insert total principal amount of Bond or a portion thereof in the amount of $100,000 or any
integral multiple of $5,000 in excess thereof). 
  
 IF NO AMOUNT
IS INDICATED IN THE SPACE ABOVE, THE ABOVE SIGNED OWNER OF THE BOND SUBJECT TO THIS BONDHOLDER TENDER NOTICE WILL BE DEEMED TO HAVE TENDERED THE BOND IN ITS FULL PRINCIPAL AMOUNT FOR PURCHASE. 
  
 The principal amount of the Bond not subject to this notice of tender
for purchase is $                    . (Must be $100,000 or any integral multiple of $5,000 in excess thereof). 
  

 A-17 

  
 EXHIBIT B 

FORM OF FIXED RATE SERIES 2004 BOND 
  
 R-_ 
  
 Unless this Bond is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Issuer or
its agent for registration of transfer, exchange, or payment, and any Bond is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such
other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.

  
 UNITED STATES OF AMERICA 
 STATE OF MISSISSIPPI 
  
 MISSISSIPPI BUSINESS FINANCE CORPORATION 
  
 ENVIRONMENTAL IMPROVEMENT REVENUE BOND 
 (TREX COMPANY, INC. PROJECT), 
 SERIES 2004 
  

							
	 INTEREST RATE

	 	 MATURITY DATE

	 	 DATE OF ORIGINAL ISSUE

	 	 CUSIP

	 	 	December 1, 20    	 	__________ 2004	 	 

  
 Registered Owner: 
  
 Principal Amount: 
  
 THIS BOND DOES NOT CONSTITUTE A GENERAL OBLIGATION OF THE ISSUER, THE STATE OR ANY POLITICAL SUBDIVISION THEREOF OR A DEBT
OR PLEDGE OF THE FAITH AND CREDIT OF THE ISSUER, THE STATE OR ANY POLITICAL SUBDIVISION THEREOF. UNDER NO CIRCUMSTANCES SHALL THIS BOND CONSTITUTE AN INDEBTEDNESS OR OBLIGATION OF THE STATE OF MISSISSIPPI WITHIN THE PURVIEW OF ANY CONSTITUTIONAL
LIMITATION OR PROVISION. NO OWNER OF THIS BOND SHALL HAVE THE RIGHT TO COMPEL THE EXERCISE OF THE TAXING POWER OF THE STATE OF MISSISSIPPI TO PAY ANY PRINCIPAL INSTALLMENT OF, PREMIUM, IF ANY, OR INTEREST ON THIS BOND. THE ISSUER HAS NO POWER TO
LEVY TAXES FOR ANY PURPOSE WHATSOEVER. 
  

 B-1 

 FOR VALUE RECEIVED, the Mississippi Business Finance Corporation a public corporation duly organized and
existing under the laws of the State of Mississippi (the “Issuer”) hereby promises to pay to the Registered Owner specified above, or registered assigns, upon surrender hereof, at the payment trust office of the Trustee (currently located
in Dallas, Texas) or other designated office of the Trustee named below, on the Maturity Date specified above, unless redeemed prior thereto, the Principal Amount specified above, together with interest thereon at the interest rate specified above
from the authentication date hereof or such later date to which interest has been paid, but only from the sources and in the manner hereinafter provided on each June 1 and December 1 (each an “Interest Payment Date”) until the principal
hereof is paid or duly provided for upon redemption or maturity. Payment of the principal of, premium, if any, and interest on this Bond shall be made in lawful money of the United States of America which at the time of payment is legal tender for
payment of public and private debts. Unless other arrangements are made pursuant to Section 202 of the Indenture (as defined herein) (hereinafter defined), interest is payable by check or draft of the Trustee mailed when due to the registered holder
hereof at the close of business on the fifteenth (15th) day of the month immediately preceding any Interest Payment
Date at the address of such holder as it appears on the Bond registration books of the Issuer maintained by the Trustee (the “Bond Register”). 
  
 Interest on this Bond shall be computed on the basis of a 360-day year consisting of twelve (12) months of thirty (30) days each. 
  
 This Bond is one of an authorized series of bonds of the Issuer designated
“Variable Rate Demand Environmental Improvement Revenue Bonds (Trex Company, Inc. Project), Series 2004” (the “Bonds”), and issued in the aggregate principal amount of $25,000,000). The proceeds of the Bonds are being loaned to
Trex Company, Inc. a Delaware corporation (the “Borrower”), in accordance with the Loan Agreement between the Issuer and the Borrower dated as of December 1, 2004 (the “Loan Agreement”) for the purpose of financing all or a
portion of the costs of (i) the acquisition, construction and equipping of solid waste disposal facilities in the City of Olive Branch, DeSoto County, Mississippi to be used by the Borrower in connection with the manufacture of non-wood decking,
railing and fencing products (the “Project”), and (ii) to pay a portion of the costs of the issuance of the Bonds. 
  
 The Bonds are issued pursuant to and in full compliance with Section 57-10-401 et seq., Mississippi Code of 1972, as amended (the “Act”), and
pursuant to a resolution of the Issuer adopted on November 17, 2004 (the “Resolution”) and a Trust Indenture (the “Indenture”) dated as of December 1, 2004, between the Issuer and J.P. Morgan Trust Company, National Association,
as Trustee (the “Trustee”). Capitalized terms used herein and not otherwise defined shall have the meanings ascribed to them in the Indenture. 
  
 The Bonds and interest due thereon shall not be a general obligation, a debt or a liability of the Issuer or an obligation, debt or liability of the State
of Mississippi and do not constitute or give rise to any pecuniary liability or charge against the credit of the Issuer or the credit or taxing power of the State of Mississippi, but shall be limited special obligations of the Issuer payable solely
from and secured by the “Security,” including the moneys available to be drawn by the Trustee under a certain letter of credit (the “Letter of Credit,” and together with any Alternate 

  

 B-2 

 
Letter of Credit (as defined in the Indenture) delivered to and accepted by the Trustee in accordance with the Loan Agreement, the “Letter of
Credit”), issued by JPMorgan Chase Bank, N.A. (together with the issuer of any Alternate Letter of Credit delivered to and accepted by the Trustee in accordance with the Indenture, the “Bank”), all as defined in and subject to
limitations set forth in the Indenture, for the equal and ratable benefit of the holders, from time to time, of the Bonds (the “Bondholders”), except as otherwise provided in the Indenture. The Issuer has no taxing power. Reference is
hereby made to the Indenture for a description of the nature and extent of the Security, and to the Letter of Credit for the terms thereof. The Letter of Credit is being issued pursuant to the terms of a Reimbursement Agreement dated as of December
1, 2004 (together with any other agreement pursuant to which a Letter of Credit is issued, the “Reimbursement Agreement”), among the Bank and the Borrower. 
  
 The Bonds are issuable as fully registered Bonds in the denomination of $100,000 or any integral multiple of $5,000 in
excess thereof (the “Authorized Denominations”). This Bond, upon surrender hereof at the payment trust office of the Trustee with a written instrument of transfer satisfactory to the Trustee executed by the registered holder hereof or his
attorney duly authorized in writing, may, at the option of the registered holder hereof, be exchanged for an equal aggregate principal amount of Bonds of any other Authorized Denomination. This Bond is transferable as provided in the Indenture,
subject to certain limitations therein contained, only upon the Bond Register and only upon surrender of this Bond for transfer to the Trustee duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Trustee
duly executed by the registered holder hereof or his attorney duly authorized in writing. Thereupon, one or more new Bonds of Authorized Denominations and in the same aggregate principal amount will be issued to the designated transferee or
transferees. 
  
 Any service charge made by the Trustee for any
such registration, transfer or exchange hereinbefore referred to shall be paid by the Borrower. The Trustee or the Issuer may require payment by the Bondholder of a sum sufficient to cover any tax or other governmental charge payable in connection
therewith. Neither the Issuer nor the Trustee shall make any such exchange or registration of transfer of any Bond after notice calling such Bond for redemption or partial redemption has been given and prior to such redemption, unless the holder
delivers to the Trustee a written statement acknowledging that such Bond has been called for redemption and the date of such redemption. 
  
 The Issuer, the Borrower, the Trustee and any other agent of the Issuer may treat the person in whose name this Bond is registered on the Bond Register as
the absolute owner hereof for all purposes, except that payment of or on account of either principal, premium, if any, or interest shall be made only to or upon the order of the holder of record as of the Record Date or its duly authorized attorney,
but such registration may be changed as provided in the Indenture. Neither the Issuer, the Borrower, the Trustee nor any other such agent shall be affected by notice to the contrary. 
  

 B-3 

  
 REDEMPTION OF BONDS

  
 The Bonds are not subject to redemption prior to maturity
except as hereinafter provided. 
  
 Optional
Redemption 
  
 The Bonds are subject to redemption prior to
maturity, at the option of the Borrower, on or after the dates specified below, in whole at any time or in part in Authorized Denominations on any Interest Payment Date for which notice of redemption can be given pursuant to the Indenture, at the
redemption prices (expressed as percentages of the principal amount so redeemed) set forth in the following table plus accrued interest to the redemption date, upon receipt by the Trustee not less than forty-five (45) days prior to such redemption
date of a written direction from the Borrower stating that it intends to exercise its option to prepay the Loan Prepayments due under the Loan Agreement and thereby effect redemption of the Bonds as follows: 
  

			
	 Redemption Dates (Dates Inclusive)

	  	Redemption Prices:

	             ,             through
            ,            
	  	      %
	             ,             through
            ,            
	  	      %
	             ,             through
            ,            
	  	      %
	             ,             and thereafter
	  	100%

  
 [Complete schedule in
accordance with Section 217(a) of the Indenture.] 
  
 Mandatory Redemption Upon Determination of Taxability 
  
 The Bonds shall be subject to mandatory redemption prior to maturity, as a whole and not in part, on the earliest practicable date for which notice can be given following the occurrence of a Determination of Taxability, at a redemption
price equal to one hundred percent (100%) of the principal amount thereof plus accrued interest to the redemption date. 
  
 Mandatory Redemption Upon Expiration of Letter of Credit During the Fixed Rate Period 
  
 If the Bonds are secured by a Letter of Credit during the Fixed Rate Period
and at least forty-five (45) days prior to the Interest Payment Date next preceding the Stated Expiration Date of the Letter of Credit then in effect the Trustee has not been provided with an extension of such Letter of Credit or an Alternate Letter
of Credit for the applicable period required by the Indenture, then the Bonds will be subject to mandatory redemption on the Interest Payment Date next preceding such stated expiration date at a redemption price equal to the lesser of (a) one
hundred and two percent (102%) of the principal amount thereof plus accrued interest to the redemption date or (b) the redemption price which would apply as of the redemption date if the Bonds were optionally redeemed. 
  

 B-4 

 Mandatory Redemption from Insurance and Condemnation Proceeds. 
  
 The Bonds are subject to mandatory redemption in whole at any time or in
part (and if in part in Authorized Denominations; provided that no Bond may be redeemed in part if the principal amount to be outstanding following such partial redemption is not an Authorized Denomination) on any Interest Payment Date, at a
redemption price equal to one hundred percent (100%) of the aggregate principal amount of the Bonds to be redeemed plus accrued interest to the redemption date, in an amount equal to any insurance or condemnation proceeds deposited with the Trustee
for the purpose of redemption pursuant to Article VII of the Loan Agreement. During any period in which a Letter of Credit secures the Bonds, such redemption shall be effected by a drawing under the Letter of Credit and the Trustee shall use such
insurance or condemnation proceeds to reimburse the Bank for such drawing pursuant to the Reimbursement Agreement. 
  
 Partial Redemption 
  
 If less than all the outstanding Bonds are called for redemption, the Trustee shall select, or arrange for the selection of, the Bonds to be redeemed by
lot, in such manner as it shall in its discretion determine; provided that any such Bonds selected for redemption shall be in Authorized Denominations. Notwithstanding the foregoing, Bonds held for the account of the Borrower or any affiliate
of the Borrower (“Borrower Bonds”) shall be first selected by the Trustee for redemption before any other Bonds are selected for redemption. If less than the principal amount of a Bond is called for redemption, the Issuer shall execute and
the Trustee shall authenticate and deliver, upon surrender of such Bond, without charge to the owner thereof, in exchange for the unredeemed principal amount of such Bond, at the option of such owner, Bonds in any of the Authorized Denominations.

  
 Notice of Redemption 
  
 Notice of redemption shall be mailed by the Trustee by first class mail at
least thirty (30) days but not more than forty-five (45) days before any redemption date to the Registered Owner of each Bond to be redeemed in whole or in part at its last address appearing on the Bond Register; provided, however, that
failure to give such notice by mailing, or any defect therein, shall not affect the validity of any proceedings for the redemption of any Bond or a portion thereof with respect to which no such failure or defect has occurred; and provided,
further, that so long as the Letter of Credit is in effect, the Trustee shall not give notice of any optional redemption unless the Bank has consented in writing to such redemption. In addition, the Trustee may give such other notice or notices as
may be recommended in releases, letters, pronouncements or other writings of the Securities and Exchange Commission and the Municipal Securities Rulemaking Board. Any notice mailed as provided above shall be conclusively presumed to have been duly
given, whether or not the Bondholder receives the notice. All Bonds so called for redemption will cease to bear interest on the specified date set for redemption, provided funds for their redemption have been duly deposited with the Trustee pursuant
to the Indenture and, thereafter, the holders of such Bonds called for redemption shall have no rights in 

  

 B-5 

 
respect thereof except to receive payment of the redemption price from the Trustee and a new Bond for any portion not redeemed in any of the Authorized
Denominations. 
  
 Certain Other Provisions

  
 If provision is made for the payment of principal of,
premium, if any, and interest on this Bond in accordance with the Indenture, this Bond shall no longer be deemed outstanding under the Indenture, shall cease to be entitled to the benefits of the Indenture, and shall thereafter be payable solely
from the funds provided for payment. 
  
 Under certain
circumstances as described in the Indenture, the principal of all the Bonds may be declared due and payable in the manner and with the effect provided in the Indenture. The Indenture directs the Trustee to declare an acceleration upon the occurrence
of an event of default under the Reimbursement Agreement if directed to do so by the Bank. Except in certain circumstances related to payment of principal of, premium, if any, and interest on the Bonds or the wrongful dishonor by the Bank of a draft
or other request for payment under the Letter of Credit, the Trustee has the right to accelerate the outstanding balance of the Loan and the principal of the Bonds in certain events only with the Bank’s consent if the Letter of Credit is in
effect, all as provided in more detail in the Indenture to which reference is hereby made. Immediately following any such declaration, the Trustee shall mail notice of such declaration by first class mail to each holder of Bonds at his last address
appearing on the Bond Register. Any defect in or failure to give such notice of such declaration shall not affect the validity of such declaration. 
  
 The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations, if any, of
the Issuer, the Borrower, the Bank and the holders of the Bonds at any time with the consent of the Bank and the holders of a majority in aggregate principal amount of the Bonds at the time outstanding which are affected by such modifications. The
Indenture also permits amendments and supplements to the Indenture and the Loan Agreement, without requiring the consent of any Bondholders in certain specifically described instances. The Indenture also contains provisions permitting holders of a
majority in aggregate principal amount of the Bonds at the time outstanding, on behalf of all the holders of all Bonds, to waive compliance by the Issuer and the Borrower with certain provisions of the Indenture and their consequences. Any such
consent or waiver by the holder of this Bond shall be conclusive and binding upon such holder and on all future holders of this Bond and of any Bond issued in lieu hereof whether or not notation of such consent or waiver is made upon this Bond.
Supplements and amendments to the Indenture or the Loan Agreement may be made only to the extent and in circumstances permitted by the Indenture. 
  
 The holder of this Bond shall have no right to enforce the provisions of the Indenture or the Loan Agreement, or to institute action to enforce the
covenants therein, or to take any action with respect to a default under the Indenture or the Loan Agreement, or to institute, appear in or defend any suit or other proceedings with respect thereto, except as provided under certain limited
circumstances described in the Indenture; provided, however, that nothing contained in the Indenture shall affect or impair any right of enforcement conferred on the holder hereof by 

  

 B-6 

 
the Act to enforce (i) the payment of the principal of and premium, if any, and interest on this Bond at and after the maturity thereof, or (ii) the
obligation of the Issuer to pay the principal of and premium, if any, and interest on this Bond to the holder hereof at the time, place, from the source and in the manner as provided in the Indenture. 
  
 The holder of this Bond, by acceptance hereof, consents to all of the terms
and provisions of the Indenture and the Loan Agreement. 
  
 IT IS
HEREBY CERTIFIED, RECITED AND DECLARED, that all acts, conditions and things required to exist, happen and be performed precedent to the execution and delivery of the Indenture and the issuance of this Bond and the issue of which it is a part, do
exist, have happened and have been timely performed in regular form and manner as required by law, and the issuance of this Bond, together with all other obligations of the Issuer, does not exceed or violate any constitutional or statutory
limitation of the Issuer. 
  
 Unless the certificate of
authentication hereon has been executed by the Trustee by manual signature of one of its authorized signers, this Bond shall not be entitled to any benefit under the Indenture, or be valid or obligatory for any purpose. 
  
 IN WITNESS WHEREOF, the Mississippi Business Finance Corporation has
executed this Bond by the manual or facsimile signature of its Executive Director and has caused its seal (or a facsimile thereof) to be impressed or imprinted hereon, all as of the Date of Original Issue set forth above. 
  

			
	 MISSISSIPPI BUSINESS FINANCE
 CORPORATION, a public corporation duly
 organized and existing under the laws of the State
 of Mississippi

		
	 By:
	 	 
	 Its:
	 	 Executive Director

  

			
	 (SEAL)

	
	 ATTEST:

		
	 By:
	 	 
	 Its:
	 	 Secretary

  

 B-7 

  
 TRUSTEE’S CERTIFICATE
OF AUTHENTICATION 
  
 This Bond is one of the Bonds described
in the within-mentioned Indenture. 
  

			
	 J.P. MORGAN TRUST COMPANY,
 NATIONAL ASSOCIATION, as Trustee

		
	By:	 	 
	 Its:
	 	 

  
 Authentication Date:
                                        
                         
  

 B-8 

  
 [FORM OF ASSIGNMENT]

  
 For value received, the undersigned hereby sells, assigns
and transfers unto 
                                       
                                        
                                        
                                        
                                        
                                        
                    
                                       
                                        
                                        
                                        
                                        
                                        
                    
                                       
                                        
                                        
                                        
                                        
                                        
                    
 (Name and Address of
Assignee) 
  
 (Taxpayer I.D. No.
                                        
                                        
        ) 
 the within Bond and does hereby irrevocably constitute and appoint 
 ___________________________________________________ _____________________________________, 
 attorney to transfer such Bond on the books kept for registration and transfer of the within Bond, with full power of substitution in the premises. 
  

							
	 Dated:
	  	 	  	 	  	 
	 	  	 	  	 	  	[Signature]

  
 NOTICE: The
signature(s) to this Assignment must correspond with the name as it appears upon the face of the Bond in every particular, without alteration or enlargement or any change whatever. 
  
 Signature Guaranteed:
                                        
                                        
     
  
 NOTICE: Signature(s) must be guaranteed by an
eligible guarantor institution as defined by SEC Rule 17Ad-15 (17 CFR 240.17Ad-15) participating in a Securities Transfer Association recognized signature guarantee program. 
  

 B-9 

  
 VALIDATION CERTIFICATE

  
 The issuance of the Bonds of which this Bond is one has been
validated and confirmed by decree of the Chancery Court of the First Judicial District of Hinds County, Mississippi, rendered on this              day of
                        . 
  

	
	
	 
	 Secretary, Mississippi Business Finance
 Corporation

  

 B-10

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