Document:

Unassociated Document

    Exhibit 4.4

    
      
        	
                 

              	
                
                

              

      

    

     

    SORL
AUTO PARTS, Inc.

     

    TO

     

    [             ]

                                                           
Trustee

     

    
      
        

      

       

    

    Indenture

     

    Dated
as of  __, 200_

     

    
      
        

      

    

    
      	
              
                 

              

            	
              
                 

              

            

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    TABLE OF
CONTENTS

     

    
      
        
          
            
              	 
      	 	 
      	
                      Page

                    
	 
      
	
                      ARTICLE
      I

                    
	 
      
	
                      DEFINITIONS
      AND OTHER PROVISIONS OF GENERAL APPLICATION

                    
	 
      	 	 
      	 
      
	
                      Section
      101.

                    	 	
                      Definitions

                    	
                      1

                    
	
                      Section
      102.

                    	 	
                      Compliance
      Certificates and Opinions

                    	
                      9

                    
	
                      Section
      103.

                    	 	
                      Form
      of Documents Delivered to Trustee

                    	
                      9

                    
	
                      Section
      104.

                    	 	
                      Acts
      of Holders

                    	
                      10

                    
	
                      Section
      105.

                    	 	
                      Notices,
      Etc. to Trustee and Company

                    	
                      11

                    
	
                      Section
      106.

                    	 	
                      Notice
      to Holders; Waiver

                    	
                      11

                    
	
                      Section
      107.

                    	 	
                      Conflict
      With Trust Indenture Act

                    	
                      12

                    
	
                      Section
      108.

                    	 	
                      Effect
      of Headings and Table of Contents

                    	
                      12

                    
	
                      Section
      109.

                    	 	
                      Successors
      and Assigns

                    	
                      12

                    
	
                      Section
      110.

                    	 	
                      Separability
      Clause

                    	
                      12

                    
	
                      Section
      111.

                    	 	
                      Benefits
      of Indenture

                    	
                      12

                    
	
                      Section
      112.

                    	 	
                      Governing
      Law

                    	
                      13

                    
	
                      Section
      113.

                    	 	
                      Legal
      Holidays

                    	
                      13

                    
	
                      Section
      114.

                    	 	
                      Rules
      by Trustee and Agents

                    	
                      13

                    
	
                      Section
      115.

                    	 	
                      No
      Recourse Against Others

                    	
                      13

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      II

                    
	 
      
	
                      SECURITY
      FORMS

                    
	 
      	 	 
      	 
      
	
                      Section
      201.

                    	 	
                      Forms
      Generally

                    	
                      13

                    
	
                      Section
      202.

                    	 	
                      Form
      of Trustee’s Certificate of Authentication

                    	
                      14

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      III

                    
	 
      
	
                      THE
      SECURITIES

                    
	 
      	 	 
      	 
      
	
                      Section
      301.

                    	 	
                      Amount
      Unlimited; Issuable in Series

                    	
                      14

                    
	
                      Section
      302.

                    	 	
                      Denominations

                    	
                      19

                    
	
                      Section
      303.

                    	 	
                      Execution,
      Authentication, Delivery and Dating

                    	
                      19

                    
	
                      Section
      304.

                    	 	
                      Temporary
      Securities

                    	
                      21

                    

            

          

        

      

    

    
      
         

      

      
        i

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              	
                      Section
      305.

                    	 	
                      Registration,
      Registration of Transfer and Exchange

                    	
                      22

                    
	
                      Section
      306.

                    	 	
                      Mutilated,
      Destroyed, Lost and Stolen Securities

                    	
                      23

                    
	
                      Section
      307.

                    	 	
                      Payment
      of Interest; Interest Rights Preserved

                    	
                      24

                    
	
                      Section
      308.

                    	 	
                      Persons
      Deemed Owners

                    	
                      25

                    
	
                      Section
      309.

                    	 	
                      Cancellation

                    	
                      26

                    
	
                      Section
      310.

                    	 	
                      Computation
      of Interest

                    	
                      26

                    
	
                      Section
      311.

                    	 	
                      Global
      Securities; Exchanges; Registration and Registration of
      Transfer

                    	
                      26

                    
	
                      Section
      312.

                    	 	
                      Extension
      of Interest Payment

                    	
                      28

                    
	 
      
	
                      ARTICLE
      IV

                    
	 
      
	
                      SATISFACTION
      AND DISCHARGE

                    
	 
      	 	 
      	 
      
	
                      Section
      401.

                    	 	
                      Satisfaction
      and Discharge of Indenture

                    	
                      28

                    
	
                      Section
      402.

                    	 	
                      Application
      of Trust Money

                    	
                      29

                    
	
                      Section
      403.

                    	 	
                      Satisfaction,
      Discharge and Defeasance of Securities of Any Series

                    	
                      30

                    
	 
      
	
                      ARTICLE
      V

                    
	 
      
	
                      REMEDIES

                    
	 
      	 	 
      	 
      
	
                      Section
      501.

                    	 	
                      Events
      of Default

                    	
                      31

                    
	
                      Section
      502.

                    	 	
                      Acceleration
      of Maturity; Rescission and Annulment

                    	
                      33

                    
	
                      Section
      503.

                    	 	
                      Collection
      of Indebtedness and Suits for Enforcement by Trustee

                    	
                      34

                    
	
                      Section
      504.

                    	 	
                      Trustee
      May File Proofs of Claim

                    	
                      35

                    
	
                      Section
      505.

                    	 	
                      Trustee
      May Enforce Claims Without Possession of Securities or
    Coupons

                    	
                      35

                    
	
                      Section
      506.

                    	 	
                      Application
      of Money Collected

                    	
                      36

                    
	
                      Section
      507.

                    	 	
                      Limitation
      on Suits

                    	
                      36

                    
	
                      Section
      508.

                    	 	
                      Unconditional
      Right of Holders to Receive Principal, Premium and
Interest

                    	
                      37

                    
	
                      Section
      509.

                    	 	
                      Restoration
      of Rights and Remedies

                    	
                      37

                    
	
                      Section
      510.

                    	 	
                      Rights
      and Remedies Cumulative

                    	
                      37

                    
	
                      Section
      511.

                    	 	
                      Delay
      or Omission Not Waiver

                    	
                      37

                    
	
                      Section
      512.

                    	 	
                      Control
      by Holders

                    	
                      38

                    
	
                      Section
      513.

                    	 	
                      Waiver
      of Past Defaults

                    	
                      38

                    
	
                      Section
      514.

                    	 	
                      Undertaking
      for Costs

                    	
                      38

                    
	
                      Section
      515.

                    	 	
                      Waiver
      of Stay or Extension Laws

                    	
                      39

                    

            

          

        

      

    

    
      
         

      

      
        ii

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              	
                      ARTICLE
      VI

                    
	 
      
	
                      THE
      TRUSTEE

                    
	 
      	 	 
      	 
      
	
                      Section
      601.

                    	 	
                      Certain
      Duties and Responsibilities

                    	
                      39

                    
	
                      Section
      602.

                    	 	
                      Notice
      of Defaults

                    	
                      40

                    
	
                      Section
      603.

                    	 	
                      Certain
      Rights of Trustee

                    	
                      40

                    
	
                      Section
      604.

                    	 	
                      Not
      Responsible for Recitals or Issuance of Securities

                    	
                      42

                    
	
                      Section
      605.

                    	 	
                      May
      Hold Securities

                    	
                      42

                    
	
                      Section
      606.

                    	 	
                      Money
      Held in Trust

                    	
                      42

                    
	
                      Section
      607.

                    	 	
                      Compensation
      and Reimbursement

                    	
                      42

                    
	
                      Section
      608.

                    	 	
                      Disqualification;
      Conflicting Interests

                    	
                      43

                    
	
                      Section
      609.

                    	 	
                      Corporate
      Trustee Required; Eligibility

                    	
                      43

                    
	
                      Section
      610.

                    	 	
                      Resignation
      and Removal; Appointment of Successor

                    	
                      43

                    
	
                      Section
      611.

                    	 	
                      Acceptance
      of Appointment by Successor

                    	
                      45

                    
	
                      Section
      612.

                    	 	
                      Merger,
      Conversion, Consolidation or Succession to Business

                    	
                      46

                    
	
                      Section
      613.

                    	 	
                      Preferential
      Collection of Claims Against Company

                    	
                      46

                    
	
                      Section
      614.

                    	 	
                      Appointment
      of Authenticating Agent

                    	
                      46

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      VII

                    
	 
      
	
                      HOLDERS’
      LISTS AND REPORTS BY TRUSTEE AND COMPANY

                    
	 
      	 	 
      	 
      
	
                      Section
      701.

                    	 	
                      Company
      to Furnish Trustee Names and Addresses of Holders

                    	
                      48

                    
	
                      Section
      702.

                    	 	
                      Preservation
      of Information; Communications to Holders

                    	
                      49

                    
	
                      Section
      703.

                    	 	
                      Reports
      by Trustee

                    	
                      50

                    
	
                      Section
      704.

                    	 	
                      Reports
      by Company

                    	
                      51

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      VIII

                    
	 
      
	
                      CONSOLIDATION,
      MERGER, CONVEYANCE OR TRANSFER

                    
	 
      	 	 
      	 
      
	
                      Section
      801.

                    	 	
                      Company
      May Consolidate, Etc. Only on Certain Terms

                    	
                      52

                    
	
                      Section
      802.

                    	 	
                      Successor
      Corporation Substituted

                    	
                      52

                    
	 
      
	
                      ARTICLE
      IX

                    
	 
      	 	 
      	 
      
	
                      SUPPLEMENTAL
      INDENTURES

                    
	 
      	 	 
      	 
      
	
                      Section
      901.

                    	 	
                      Supplemental
      Indentures Without Consent of Holders

                    	
                      53

                    
	
                      Section
      902.

                    	 	
                      Supplemental
      Indentures With Consent of Holders

                    	
                      55

                    

            

          

        

      

    

    
      
         

      

      
        iii

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              	
                      Section
      903.

                    	 	
                      Execution
      of Supplemental Indentures

                    	
                      56

                    
	
                      Section
      904.

                    	 	
                      Effect
      of Supplemental Indentures

                    	
                      57

                    
	
                      Section
      905.

                    	 	
                      Conformity
      With Trust Indenture Act

                    	
                      57

                    
	
                      Section
      906.

                    	 	
                      Reference
      in Securities to Supplemental Indentures

                    	
                      57

                    
	
                      Section
      907.

                    	 	
                      Revocation
      and Effect of Consents

                    	
                      57

                    
	
                      Section
      908.

                    	 	
                      Modification
      Without Supplemental Indenture

                    	
                      58

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      X

                    
	 
      
	
                      COVENANTS

                    
	 
      	 	 
      	 
      
	
                      Section
      1001.

                    	 	
                      Payment
      of Principal, Premium and Interest

                    	
                      58

                    
	
                      Section
      1002.

                    	 	
                      Maintenance
      of Office or Agency

                    	
                      59

                    
	
                      Section
      1003.

                    	 	
                      Money
      for Securities Payments to Be Held in Trust

                    	
                      60

                    
	
                      Section
      1004.

                    	 	
                      Corporate
      Existence

                    	
                      61

                    
	
                      Section
      1005.

                    	 	
                      Defeasance
      of Certain Obligations

                    	
                      61

                    
	
                      Section
      1006.

                    	 	
                      Statement
      by Officers as to Default

                    	
                      63

                    
	
                      Section
      1007.

                    	 	
                      Waiver
      of Certain Covenants

                    	
                      63

                    
	
                      Section
      1008.

                    	 	
                      Maintenance
      of Properties

                    	
                      64

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      XI

                    
	 
      
	
                      REDEMPTION
      OF SECURITIES

                    
	 
      	 	 
      	 
      
	
                      Section
      1101.

                    	 	
                      Applicability
      of Article

                    	
                      64

                    
	
                      Section
      1102.

                    	 	
                      Election
      to Redeem; Notice to Trustee

                    	
                      65

                    
	
                      Section
      1103.

                    	 	
                      Selection
      by Trustee of Securities to Be Redeemed

                    	
                      65

                    
	
                      Section
      1104.

                    	 	
                      Notice
      of Redemption

                    	
                      65

                    
	
                      Section
      1105.

                    	 	
                      Securities
      Payable on Redemption Date

                    	
                      67

                    
	
                      Section
      1106.

                    	 	
                      Securities
      Redeemed in Part

                    	
                      67

                    
	 
      	 	 
      	 
      
	
                      ARTICLE
      XII

                    
	 
      
	
                      SINKING
      FUNDS

                    
	 
      	 	 
      	 
      
	
                      Section
      1201.

                    	 	
                      Applicability
      of Article

                    	
                      67

                    
	
                      Section
      1202.

                    	 	
                      Satisfaction
      of Sinking Fund Payments With Securities

                    	
                      68

                    
	
                      Section
      1203.

                    	 	
                      Redemption
      of Securities for Sinking Fund

                    	
                      68

                    

            

          

        

      

    

    
      
         

      

      
        iv

        
          

        

      

      
         

      

    

    

    
      
        
          
            	
                    ARTICLE
      XIII

                  
	 
      
	
                    REPAYMENT
      OF SECURITIES AT OPTION OF HOLDERS

                  
	 
      	 	 
      	 
      
	
                    Section
      1301.

                  	 	
                    Applicability
      of Article

                  	
                    68

                  
	
                    Section
      1302.

                  	 	
                    Notice
      of Repayment Date

                  	
                    68

                  
	
                    Section
      1303.

                  	 	
                    Securities
      Payable on Repayment Date

                  	
                    70

                  
	
                    Section
      1304.

                  	 	
                    Securities
      Repaid in Part

                  	
                    70

                  

          

        

      

    

    
      
         

      

      
        v

        
          

        

      

      
         

      

    

    

    INDENTURE,
dated as of [          ],
200_, between SORL AUTO PARTS, INC. a corporation duly organized and existing
under the laws of the State of Delaware (herein called the “ Company
”), and
[                 ]
(herein called the “ Trustee
”).

    

    Recitals
Of The Company

    

    The
Company has duly authorized the execution and delivery of this Indenture to
provide for the issuance from time to time of its unsecured debentures, notes or
other evidences of indebtedness (each herein called a “ Security
” or collectively the “ Securities
”), in an unlimited aggregate principal amount to be issued in one or
more series as in this Indenture provided.

     

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

     

    NOW,
THEREFORE, THIS INDENTURE WITNESSETH:

     

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

     

    ARTICLE
I

     

    DEFINITIONS AND OTHER
PROVISIONS OF GENERAL APPLICATION

     

    Section
101.           Definitions
.  For all purposes of this Indenture, except as otherwise
expressly provided or unless the context otherwise requires;

     

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

     

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

     

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

     

    (4)           the
word “or” is not exclusive; and

     

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

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    Certain
terms, used principally in Article VI, are defined in that Article.

     

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

     

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

     

    “ Authenticating
Agent ” means any Person authorized by the Trustee to act on behalf of
the Trustee to authenticate Securities.

    

    “ Authorized
Newspaper ” means a newspaper of general circulation, in an official
language of the country of publication or in the English language, customarily
published on a daily basis (including newspapers published on a daily basis
except not published on Legal Holidays, as defined in Section 113 ) in such
country.  Whenever successive weekly publications in an Authorized
Newspaper are required hereunder, they may be made (unless otherwise expressly
provided herein) on the same or different days of the week and in the same or
different Authorized Newspapers.

     

    “ Authorized
Officer ” means the Chairman of the Board, the Chief Executive Officer,
the Chief Financial Officer, the Secretary, any Assistant Secretary or any other
officer or agent of the Company duly authorized by the Board of Directors to act
in respect of matters relating to this Indenture.

     

    “ Board of
Directors ” means either the board of directors of the Company or any
duly authorized committee of that board.

     

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

     

    “ Business
Day ”, when used with respect to any Place of Payment or any other
particular location specified in the Securities or this Indenture, means each
Monday, Tuesday, Wednesday, Thursday and Friday which is not a day on which
banking institutions in that Place of Payment such other location, or the city
in which the Corporate Trust Office of the Trustee is located, are authorized or
obligated by law to close, except as may be otherwise specified as contemplated
by Section 301
.

     

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

     

    “ Commission
” means the Securities and Exchange Commission, as from time to time
constituted, created under the Securities Exchange Act of 1934, or, if at any
time after the execution of this instrument such Commission is not existing and
performing the duties now assigned to it under the Trust Indenture Act, then the
body performing such duties at such time.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

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

     

    “ Company
Request ” or “ Company
Order ” means a written request or order signed in the name of the
Company by an Authorized Officer and delivered to the Trustee.

     

    “ Corporate
Trust Office ” means the principal office of the Trustee at which at any
particular time its corporate trust business shall be administered and, with
respect to [       ], shall be located in
[             ].

     

    “ Corporation
” includes corporations, associations, joint stock companies, limited
liability companies and business trusts.

     

    “ Defaulted
Interest ” has the meaning specified in Section 307 .

     

    “ Depository
” means, with respect to any series of Securities issuable or issued in
the form of a Global Security, an entity named as such in the Indenture, or, if
no entity is so named, an entity, if any, named by the Company as such by Board
Resolution, or its successor.  The Depository is the entity which
holds a Global Security, if any, and operates the computerized book-entry system
through which ownership interests in the Securities are
recorded.  Such entity shall at all times be a registered clearing
agency under the Securities Exchange Act of 1934, as amended, and in good
standing thereunder or, in the case of an entity that holds a Global Security
issued outside of the United States, such entity shall at all times be in
compliance with any applicable registration requirements and in good standing
under application regulations.

     

    “ Dollar
” or “ $
” means a dollar or other equivalent unit in such coin or currency of the
United States as at the time shall be legal tender for the payment of public and
private debts.

     

    “ Eligible
Obligations ” means:

     

    (a) with
respect to Securities denominated in Dollars, U.S. Government Obligations;
or

     

    (b) with
respect to Securities denominated in a currency other than Dollars or in a
composite currency, such other obligations or instruments as shall be specified
with respect to such Securities, as contemplated by Section 301(24) .

     

    “ Event of
Default ” has the meaning specified in Section 501 .

     

    “ Global
Security ” means a Security, if any, issued to evidence all or a part of
a series of Securities in accordance with Section 301 .

     

    “ Holder
” means the bearer of an Unregistered Security or coupon appertaining
thereto or a Person in whose name a Registered Security is registered in the
Security Register or the Person who is the record owner of any ownership
interests in a Global Security.

     

    “ Indenture
” means this instrument as originally executed or as it may from time to
time be supplemented or amended by one or more indentures supplemental hereto
entered into pursuant to the applicable provisions hereof and shall include the
terms of particular series of Securities established as contemplated by Section 301 .

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    

    “ Indexed
Security ” means a Security the terms of which provide that the principal
amount thereof payable at Stated Maturity may be more or less than the principal
face amount thereof at original issuance.

     

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

     

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

     

    “ Maturity
”, when used with respect to any Security, means the date on which the
principal of such Security or an installment of principal becomes due and
payable as therein or herein provided, whether at the Stated Maturity or by
declaration of acceleration, upon call for redemption, exercise of repayment
option or otherwise.

     

    “ Officer’s
Certificate ” means a certificate signed by an Authorized Officer and
delivered to the Trustee.

     

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

     

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

     

    “ Outstanding
”, when used with respect to Securities, means, as of the date of
determination, all Securities theretofore authenticated and delivered under this
Indenture, except
:

     

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

     

    (b)           Securities
or portions thereof for whose payment or redemption (a) money in the necessary
amount has been theretofore deposited with the Trustee or any Paying Agent
(other than the Company) in trust or set aside and segregated in trust by the
Company (if the Company shall act as its own Paying Agent) for the Holders of
such Securities or (b) Eligible Obligations as contemplated by Sections 401 and 403 in the necessary amount
have been theretofore deposited with the Trustee, in trust, for the Holders of
such Securities (whether or not the Company’s indebtedness in respect thereof
shall be satisfied and discharged for purposes of this Indenture or otherwise),
provided that, if such
Securities are to be redeemed, notice of such redemption has been duly given
pursuant to this Indenture or provision therefor satisfactory to the Trustee has
been made; and

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

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

     

    provided , however , that in determining
whether the Holders of the requisite principal amount of the Outstanding
Securities have given any request, demand, authorization, direction, notice,
consent or waiver hereunder,

     

    (w)
Securities owned by the Company or any other obligor upon the Securities or any
Affiliate of the Company or of such other obligor (unless the Company, such
Affiliate or such obligor owns (i) all Securities Outstanding under this
Indenture or (ii) except for the purposes of actions to be taken by Holders of
more than one series or Tranche voting as a class, all Outstanding Securities of
each such series and each such Tranche, as the case may be, determined without
regard to this clause) shall be disregarded and deemed not to be Outstanding,
except that, in determining whether the Trustee shall be protected in relying
upon any such request, demand, authorization, direction, notice, consent or
waiver, only Securities which the Trustee knows to be so owned shall be so
disregarded.  Securities so owned which have been pledged in good
faith may be regarded as Outstanding if the pledgee establishes to the
satisfaction of the Trustee the pledgee’s right so to act with respect to such
Securities and that the pledgee is not the Company or any other obligor upon the
Securities or any Affiliate of the Company or of such other
obligor;

     

    (x)  in
determining whether the Holders of the requisite principal amount of Securities
of any series or Tranche have concurred in any direction, waiver or consent, the
principal amount of Original Issue Discount Securities that shall be deemed to
be outstanding shall be the amount of the principal thereof that would be due
and payable as of the date of such determination upon acceleration of the
maturity thereof pursuant to Section 502;

     

    (y)  in
the case of any Security the principal of which is payable from time to time
without presentment or surrender, the principal amount of such Security that
shall be deemed to be Outstanding at any time for all purposes of this Indenture
shall be the original principal amount thereof less the aggregate amount of
principal thereof theretofore paid; and

     

    (z)  the
principal amount of any Security which is denominated in a currency other than
Dollars or in a composite currency that shall be deemed to be Outstanding for
such purposes shall be the amount of Dollars that could have been purchased by
the principal amount (or, in the case of an Original Issue Discount Security,
the Dollar equivalent on the date determined as set forth below of the amount
determined as provided in (x) above) of such currency or composite currency
evidenced by such Security, in each such case certified to the Trustee in an
Officer’s Certificate based (i) on the average of the mean of the buying and
selling spot rates quoted by three banks which are members of the New York
Clearing House Association selected by the Company in effect at 11:00 A.M. (New
York time) in The City of New York on the fifteenth Business Day preceding any
such determination or (ii) if on such fifteenth Business Day it is not possible
or practicable to obtain such quotations from such three banks, on such other
quotations or alternative methods of determination that shall be as consistent
as practicable with the method set forth in (i) above.

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    

    “ Paying
Agent ” means any Person, including the Company, authorized by the
Company to pay the principal of (and premium, if any) or interest on any
Securities on behalf of the Company.

     

    “ Periodic
Offering ” means an offering of Securities of a series from time to time
any or all of the specific terms of which Securities, including without
limitation the rate or rates of interest, if any, thereon, the Stated Maturity
or Maturities thereof and the redemption provisions, if any, with respect
thereto, are to be determined by the Company or its agents from time to time
subsequent to the initial request for the authentication and delivery of such
Securities by the Trustee, all as contemplated in Section 301 and clause (2) of
Section 303
.

     

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

     

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

     

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

     

    “ Redemption
Date ”, when used with respect to any Security to be redeemed, means the
date fixed for such redemption by or pursuant to Section 301 of this
Indenture.

     

    “ Redemption
Price ”, when used with respect to any Security to be redeemed, means the
price at which it is to be redeemed pursuant to this Indenture, exclusive of
accrued and unpaid interest, if any.

     

    “ Registered
Security ” means any Security issued hereunder and registered by the
Security Registrar or any recorded interest in a Global Security issued
hereunder.

     

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

     

    “ Repayment
Date ”, when used with respect to any Security of any series to be repaid
or repurchased, means the date, if any, fixed for such repayment or for such
repurchase (whether at the option of the Holders or otherwise) pursuant to Section 301 of this
Indenture.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    “ Repayment
Price ”, when used with respect to any Security of any series to be
repaid, means the price, if any, at which it is to be repaid pursuant to Section 301 .

     

    “ Responsible
Officer ”, when used with respect to the Trustee, means any officer
within the corporate trust department or any other successor group of the
Trustee, including any vice president, assistant vice president, assistant
secretary or any other officer of the Trustee customarily performing functions
similar to those performed by any of the above designated officers and also
means, with respect to a particular corporate trust matter, any other officer of
the Trustee to whom such matter is referred because of his knowledge of and
familiarity with the particular subject.

     

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

     

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

     

    “ Senior
Securities ” means Securities other than Subordinated
Securities.

     

    “ series
” or “ series
of Securities ” means a series of Securities issued under this Indenture
as determined by Board Resolution or as otherwise determined under this
Indenture, and except as otherwise provided in Section 608 .

     

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

     

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

     

    “ Subordinated
Securities ” means Securities that by the terms established pursuant to
Subsection 301(10) are subordinate to any specified debt of the
Company.

     

    “ Subsidiary
” means (i) any corporation, association or other business entity of
which more than 50% of the outstanding total voting stock entitled (without
regard to the occurrence of any contingency) to vote in the election of
directors, managers or trustees thereof is at the time owned or controlled,
directly or indirectly, by the Company or by one or more other Subsidiaries, or
by the Company and one or more other Subsidiaries or (ii) any partnership the
sole general partner or the managing general partner of which is the Company or
a Subsidiary of the Company or the only general partners of which are the
Company or of one or more Subsidiaries of the Company (or any combination
thereof).  For the purposes of this definition, “voting stock” means,
in the case of a corporation, stock which ordinarily has voting power for the
election of directors, whether at all times or only so long as no senior class
of capital stock has such voting power by reason of any contingency, in the case
of an association or business entity, any and all shares, interests,
participations, rights or other equivalents (however designated) of corporate
stock, in the case of a partnership or limited liability company, partnership or
membership interests (whether general or limited), and any other interest or
participation that confers on a Person the right to receive a share of the
profits and losses of, or distributions of assets of, the issuing
Person.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    

    “ Tranche
” means a group of Securities which (a) are of the same series and (b)
have identical terms except as to principal amount or date of
issuance.

     

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

     

    “ Trust
Indenture Act ” means the Trust Indenture Act of 1939 as in force at the
date as of which this instrument was executed, except as provided in Section 905 .

    

    “ U.S.
Government Obligations ” means (a) direct obligations of the United
States for the payment of which its full faith and credit is pledged, or
obligations of a Person controlled or supervised by and acting as an agency or
instrumentality of the United States and the payment of which is unconditionally
guaranteed by the United States and (b) certificates, depositary receipts or
other instruments which evidence a direct ownership interest in obligations
described in clause (a) above or in any specific interest or principal payments
due in respect thereof; provided, however, that the
custodian of such obligations or specific interest or principal payments shall
be a bank or trust company (which may include the Trustee or any Paying Agent)
subject to federal or state supervision or examination with a combined capital
and surplus of at least $50,000,000; and provided, further , that
except as may be otherwise required by law, such custodian shall be obligated to
pay to the holders of such certificates, depositary receipts or other
instruments the full amount received by such custodian in respect of such
obligations or specific payments and shall not be permitted to make any
deduction therefrom.

     

    “ U.S.
Person ” means a citizen, national or resident of the United States, a
corporation, partnership, limited liability company, or other entity created or
organized in or under the laws of the United States or any political subdivision
thereof, or an estate or trust whose income from sources without the United
States is includible in gross income for United States federal income tax
purposes regardless of its connection with the conduct of a trade or business
within the United States.

     

    “ Unregistered
Security ” means any Security issued hereunder which is not a Registered
Security.

     

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

     

    “ Yield to
Maturity ” means the yield to maturity, calculated by the Company at the
time of issuance of a series of Securities or, if applicable, at the most recent
determination of interest on such series in accordance with accepted financial
practice.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    Section
102.           Compliance Certificates and
Opinions .  Except as otherwise expressly provided in this
Indenture upon any application or request by the Company to the Trustee to take
any action under any provision of this Indenture, the Company shall, if
requested by the Trustee, furnish to the Trustee an Officer’s Certificate
stating that all conditions precedent, if any, provided for in this Indenture
relating to the proposed action have been complied with and an Opinion of
Counsel stating that in the opinion of such counsel all such conditions
precedent, if any, have been complied with, except that in the case of any such
application or request as to which the furnishing of such documents is
specifically required by any provision of this Indenture relating to such
particular application or request, no additional certificate or opinion need be
furnished.

     

    Every
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture (other than certificates provided pursuant to
Section 704(4) ) shall
include:

     

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

     

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

     

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

     

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

     

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

     

    Any
certificate or opinion of an officer of the Company may be based, insofar as it
relates to legal matters, upon an Opinion of Counsel.  Any such
Opinion of Counsel may be based, insofar as it relates to factual matters, upon
a certificate or opinion of, or representations by, an officer or officers of
the Company stating that the information with respect to such factual matters is
in the possession of the Company.

     

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

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    

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

     

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

     

    (c)           The
amount of Unregistered Securities held by any Person executing any such
instrument or writings as the Holder thereof, and the numbers of such
Unregistered Securities, and the date of his holding the same, may be proved by
the production of such Unregistered Securities or by a certificate executed, as
depositary, by any trust company, bank, banker or member of a national
securities exchange (wherever situated), if such certificate is in form
satisfactory to the Trustee, showing that at the date therein mentioned such
Person had on deposit with such depositary, or exhibited to it, the Unregistered
Securities therein described; or such facts may be proved by the certificate or
affidavit of the Person executing such instrument or writing as the Holder
thereof, if such certificate or affidavit is in form satisfactory to the
Trustee.  The Trustee and the Company may assume that such ownership
of any Unregistered Securities continues until (1) another certificate bearing a
later date issued in respect of the same Unregistered Securities is produced, or
(2) such Unregistered Securities are produced by some other Person, or (3) such
Unregistered Securities are registered as to principal or are surrendered in
exchange for Unregistered Securities, or (4) such Unregistered Securities are no
longer Outstanding.

     

    (d)           The
fact and date of execution of any such instrument or writing and the amount and
number of Unregistered Securities held by the Person so executing such
instrument or writing may also be proved in any other manner that the Trustee
deems sufficient; and the Trustee may in any instance require further proof with
respect to any of the matters referred to in this Section.

     

    (e)           The
principal amount (except as otherwise contemplated in clause (x) of the proviso
to the definition of “Outstanding”) and serial numbers of Securities held by any
Person, and the date of holding the same, shall be proved by the Security
Register.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

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

     

    (g)           The
Company may set a record date for purposes of determining the identity of
Holders of any Securities of any series entitled to vote or consent to any
action by vote or consent authorized or permitted by Section 512 or 513 .  Such record
date shall be the later of 30 days prior to the first solicitation of such
consent or the date of the most recent list of Holders of such Securities
furnished to the Trustee pursuant to Section 701 prior to such
solicitation.

     

    (h)           If
the Company solicits from Holders any request, demand, authorization, direction,
notice, consent, waiver or other Act, the Company may, at its option, fix in
advance a record date for the determination of Holders entitled to give such
request, demand, authorization, direction, notice, consent, waiver or other Act,
but the Company shall have no obligation to do so. If such a record date is
fixed, such request, demand, authorization, direction, notice, consent, waiver
or other Act may be given before or after such record date, but only the Holders
of record at the close of business on the record date shall be deemed to be
Holders for the purposes of determining whether Holders of the requisite
proportion of the Outstanding Securities have authorized or agreed or consented
to such request, demand, authorization, direction, notice, consent, waiver or
other Act, and for that purpose the Outstanding Securities shall be computed as
of the record date.

     

    Section
105.           Notices, Etc. to Trustee and
Company .  Except as otherwise provided herein, any request,
demand, authorization, direction, notice, consent, election, waiver or Act of
Holders or other document provided or permitted by this Indenture to be made
upon, given or furnished to, or filed with,

     

    (1)           the
Trustee by any Holder or by the Company shall be sufficient for every purpose
hereunder if made, given, furnished or filed in writing to or with the Trustee
at its Corporate Trust Office,
Attention:  [               ],
[                 ],
or

    

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

     

    Section
106.           Notice to Holders; Waiver
.  Except as otherwise expressly provided herein, where this
Indenture provides for notice of any event or reports to Holders, such notice or
report shall be sufficiently given if in writing and mailed, first-class postage
prepaid, to each Holder of Registered Securities affected by such event, at the
address of such Holder as it appears in the Security Register and to addresses
filed with the Trustee or preserved on the Trustee’s list pursuant to Section 702(a) for other
Holders (and to such other addressees as may be required in the case of such
notice or report under Section 313(c) of the Trust Indenture Act), not later
than the latest date, and not earlier than the earliest date, prescribed for the
giving of such notice or report.

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    

    In any
case where notice to Holders is given by mail, neither the failure to mail such
notice, nor any defect in any notice so mailed, to any particular Holder shall
affect the sufficiency of such notice with respect to other
Holders.

     

    Notice
shall be sufficiently given to Holders of Unregistered Securities if published
in an Authorized Newspaper in each of The City of New York and, if such
Securities are listed on any stock exchange outside of the United States, in the
city in which such stock exchange is located, or in such other city or cities as
may be specified in the Securities, once in each of two different calendar
weeks, the first publication to be not earlier than the earliest date, and not
later than the last date, if any, prescribed for the giving of such
notice.

     

    Where
this Indenture provides for notice in any manner, such notice may be waived in
writing by the Person entitled to receive such notice, either before or after
the event, and such waiver shall be the equivalent of such
notice.  Waivers of notice by Holders shall be filed with the Trustee,
but such filing shall not be a condition precedent to the validity of any action
taken in reliance upon such waiver.

     

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

     

    If it is
impractical in the opinion of the Trustee or the Company to make any publication
of any notice required hereby in an Authorized Newspaper, any publication or
other notice in lieu thereof that is made or given with the approval of the
Trustee shall constitute a sufficient publication of such notice.

     

    Section
107.           Conflict With Trust
Indenture Act .  If any provision hereof limits, qualifies or
conflicts with the duties imposed by operation of subsection (c) of Section 318
of the Trust Indenture Act, the imposed duties shall control.

     

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

     

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

     

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

    

    Section
111.           Benefits of Indenture
.  Nothing in this Indenture or in the Securities, express or
implied, shall give to any Person, other than the parties hereto (including any
Paying Agent appointed pursuant to Section 1002 and
Authenticating Agent appointed pursuant to Section 614 to the extent
provided herein) and their successors hereunder and the Holders, any benefit or
any legal or equitable right, remedy or claim under this
Indenture.

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

    Section
112.            Governing Law
.  This Indenture and the Securities shall be governed by and
construed in accordance with the laws of the State of
Delaware .

     

    Section
113.           Legal Holidays
.  In any case where any Interest Payment Date, Redemption
Date, Repayment Date or Stated Maturity of any Security is not a Business Day at
any Place of Payment or the city in which the Corporate Trust Office of the
Trustee is located, then (notwithstanding any other provision of this Indenture
or of the Securities other than a provision in Securities of any series, or any
Tranche thereof, or in the Board Resolution or Officer’s Certificate that
establishes the terms of such Securities or Tranche, that specifically states
that such provision shall apply in lieu of this Section) payment of interest or
principal (and premium, if any) need not be made at such Place of Payment on
such date, but may be made on the next succeeding Business Day at such Place of
Payment with the same force and effect as if made on the Interest Payment Date
or Redemption Date, Repayment Date, or at the Stated Maturity, provided that no interest
shall accrue with respect to such payment for the period from and after such
Interest Payment Date, Redemption Date, Repayment Date or Stated Maturity, as
the case may be.

     

    Section
114.           Rules by Trustee and Agents
.  The Trustee may make reasonable rules for action by or at a
meeting of Holders of one or more series.  The Paying Agent or
Security Registrar may make reasonable rules and set reasonable requirements for
its functions.

     

    Section
115.           No Recourse Against Others
.  No past, present or future director, officer, stockholder or
employee, as such, of the Company or any successor corporation shall have any
liability for any obligation of the Company under the Securities or the
Indenture or for any claim based on, in respect of or by reason of such
obligations or their creation.  Each Holder by accepting a Security
waives and releases all such liability.  The waiver and release are
part of the consideration for the execution of this Indenture and the issue of
the Securities.

     

    ARTICLE
II

     

    SECURITY
FORMS

     

    Section
201.           Forms Generally
.  The Securities of each series and related coupons, if any,
shall be in substantially the form as shall be established by or pursuant to a
Board Resolution or in one or more indentures supplemental hereto, in each case
with such appropriate insertions, omissions, substitutions and other variations
as are required or permitted by this Indenture and may have such letters,
numbers or other marks of identification and such legends or endorsements placed
thereon as may be required to comply with the rules of any securities exchange
or as may, consistently herewith, be determined by the officers executing such
Securities, as evidenced by their execution of the Securities.  When
the form of Securities of any series is established by action taken pursuant to
a Board Resolution, a copy of an appropriate record of such action shall be
delivered to the Trustee at or prior to the delivery of the Company Order
contemplated by Section 303
for the authentication and delivery of such Securities.

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    If
required or appropriate under applicable law, Unregistered Securities and their
coupons must have the following statement on their face:  “Any United
States person who holds this obligation will be subject to limitations under the
United States income tax laws, including the limitations provided in Sections
165(j) and 1287(a) of the Internal Revenue Code”.  If required or
appropriate under applicable law, Unregistered Securities and their coupons must
have the following statement on their face:  “By accepting this
obligation, the Holder represents and warrants that it is not a U.S. Person
(other than an exempt recipient described in section 6049(b)(4) of the Internal
Revenue Code and the regulations thereunder) and that it is not acting for or on
behalf of a U.S. Person (other than an exempt recipient described in section
6049(b)(4) of the Internal Revenue Code and the regulations
thereunder).”

     

    The
definitive Securities shall be produced in such manner or combination of
manners, all as determined by the officers executing such Securities, as
evidenced by their execution of such Securities.

     

    Section
202.           Form of Trustee’s
Certificate of Authentication .  The Trustee’s certificate of
authentication shall be in substantially the following form:

     

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

     

    
      
        	
                [               ]

              
	
                as
      Trustee

              
	 
      	 
      
	
                By

              	 
      
	 
      	
                Authorized
      Officer

              

      

    

    

    ARTICLE
III

    

    THE
SECURITIES

    

    Section
301.           Amount Unlimited; Issuable
in Series .  The aggregate principal amount of Securities that
may be authenticated and delivered under this Indenture is
unlimited.

    

    The
Securities may be issued in one or more series.  There may be
Registered Securities and Unregistered Securities within a
series.  Registered and Unregistered Securities may be in temporary or
permanent global form.  Unregistered Securities may be issued with or
without coupons attached.  Unregistered Securities may be subject to
such restrictions, and contain such legends, as may be required by United States
laws and regulations.  Subject to the last paragraph of this Section,
there shall be established in or pursuant to a Board Resolution, and set forth
in an Officer’s Certificate, or established in one or more indentures
supplemental hereto, prior to the issuance of Securities of any
series,

     

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

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

    

    (2)           any
limit upon the aggregate principal amount of the Securities of the series that
may be authenticated and delivered under this Indenture (except for Securities
authenticated and delivered upon registration of transfer of, or in exchange
for, or in lieu of, other Securities of the series pursuant to Section 304 , 305 , 306 , 906 , 1107 or 1305 and except for any
Securities that, pursuant to Section 303 , are deemed never
to have been authenticated and delivered hereunder);

     

    (3)           the
price or prices (expressed as a percentage of the principal amount thereof) at
which the securities will be issued and the date or dates on which the principal
(and premium, if any) of the Securities of the series, or any Tranche thereof,
is payable;

     

    (4)           the
date or dates on which the principal of the Securities of such series, or any
Tranche thereof, is payable or any formula or other method or other means by
which such date or dates shall be determined, by reference to an index or other
fact or event ascertainable outside of this Indenture or otherwise (without
regard to any provisions for redemption, prepayment, acceleration, purchase or
extension);

     

    (5)           the
rate or rates at which the Securities of such series, or any Tranche thereof,
shall bear interest, if any (including the rate or rates at which overdue
principal shall bear interest, if different from the rate or rates at which such
Securities shall bear interest prior to Maturity, and, if applicable, the rate
or rates at which overdue premium or interest shall bear interest, if any), or
any formula or other method or other means by which such rate or rates shall be
determined, by reference to an index or other fact or event ascertainable
outside of this Indenture or otherwise; the date or dates from which such
interest shall accrue; the Interest Payment Dates on which such interest shall
be payable and the Regular Record Date, if any, for the interest payable on such
Securities on any Interest Payment Date; the right of the Company, if any, to
extend the interest payment periods and the duration of any such extension as
contemplated by Section 312
; and the basis of computation of interest, if other than as provided in
Section 310
;

     

    (6)           the
place or places where the principal of (and premium, if any) and interest, if
any, on Securities of the series, or any Tranche thereof, shall be payable, any
Registered Securities of the series, or any Tranche thereof, may be surrendered
for registration of transfer, Securities of the series, or any Tranche thereof,
may be surrendered for exchange, and where notices and demands to or upon the
Company in respect of the Securities of the series, or any Tranche thereof, and
this Indenture may be served and notices to Holders pursuant to Section 106 will be published;
the Security Registrar and any Paying Agent or Agents for such series or
Tranche; and if such is the case, that the principal of such Securities shall be
payable without presentment or surrender thereof;

     

    (7)           if
applicable, the period or periods within which, the price or prices at which and
the terms and conditions upon which Securities of the series, or any Tranche
thereof, may be redeemed, in whole or in part, at the option of the
Company;

     

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

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

    (9)           the
obligation, if any, of the Company to offer to repay or repurchase Securities of
the series, or any Tranche thereof, in circumstances described therein, and the
period or periods within which, the price or prices at which and the terms and
conditions upon which Securities of the series, or any Tranche thereof, shall be
repaid or repurchased, in whole or in part, at the option of the
Holders;

     

    (10)          the
terms, if any, on which the Securities of such series will be subordinate in
right and priority of payment to other debt of the Company;

     

    (11)          the
right, if any, of the Company to execute and deliver to the Trustee, and to
direct the Trustee to authenticate and deliver in accordance with a Company
Order, a Security of any series, or any Tranche thereof, in lieu of or in
exchange for any Securities of such series, or any Tranche thereof, cancelled
upon redemption or repayment;

     

    (12)          the
denominations in which any Registered Securities of the series, or any Tranche
thereof, shall be issuable, if other than denominations of $1,000 and any
integral multiple thereof, and the denomination or denominations in which any
Unregistered Securities of the series, or any Tranche thereof, shall be
issuable, if other than the denomination of $5,000;

     

    (13)          if
other than the principal amount thereof, the portion of the principal amount of
Securities of the series, or any Tranche thereof, that shall be payable upon
declaration of acceleration of the Maturity thereof pursuant to Section 502 ;

     

    (14)          whether
Securities of the series are to be issuable as Registered Securities,
Unregistered Securities, or both, whether Securities of the series are to be
issuable with or without coupons, whether any Securities of the series are to be
issuable initially in temporary global form (and, if so, the identity of the
depositary for such Securities) and the circumstances under which such
Securities in temporary global form may be exchanged for definitive Securities,
and whether any Securities of the series are to be issuable in permanent global
form (and, if so, the identity of the depositary for such Securities) with or
without coupons and, if so, whether beneficial owners of interests in any such
permanent Global Security may exchange such interests for Securities of such
series and of like tenor of any authorized form and denomination and the
circumstances under which any such exchanges may occur, if other than in the
manner provided in Section 311
;

     

    (15)         whether
and under what circumstances the Company will pay additional amounts on the
Securities of that series held by a person who is not a U.S. Person in respect
of taxes or similar charges withheld or deducted and, if so, whether the Company
will have the option to redeem such Securities rather than pay such additional
amounts;

     

    (16)         the
currency or currencies, including composite currencies, in which payment of the
principal of (and premium, if any) and interest, if any, on the Securities of
the series, or any Tranche thereof, shall be payable (if other than the currency
of the United States of America) and   the formula or other method or other
means by which the equivalent of any such amount in Dollars is to be determined
for any purpose, including for the purpose of determining the principal amount
of such Securities deemed to be Outstanding at any time;

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

    (17)         if
the principal of or premium, if any, or interest, if any, on the Securities of
such series, or any Tranche thereof, are to be payable, at the election of the
Company or a Holder thereof, in a coin or currency other than that in which the
Securities are stated to be payable, the period or periods within which, and the
terms and conditions upon which, such election may be made;

     

    (18)         if
the principal of or premium, if any, or interest, if any, on the Securities of
such series, or any Tranche thereof, are to be payable, or are to be payable at
the election of the Company or a Holder thereof, in securities or other
property, the type and amount of such securities or other property, or the
formula or other method or other means by which such amount shall be determined,
and the period or periods within which, and the terms and conditions upon which,
any such election may be made;

     

    (19)         if
the amount of payments of principal of (and premium, if any) or interest on the
Securities of the series may be determined with reference to an index or other
fact or event ascertainable outside of this Indenture, the manner in which such
amounts shall be determined to the extent not established pursuant to paragraph
(5) of this Section;

     

    (20)         the
form or forms of the Securities, including such legends as may be required by
United States laws or regulations, the form of any coupons or temporary Global
Security, if any, which may be issued and the forms of any certificates which
may be required hereunder or under United States laws or regulations in
connection with the offering, sale, delivery or exchange of Unregistered
Securities, if any;

     

    (21)         the
Person to whom any interest on any Registered Security of the series, or any
Tranche thereof, shall be payable, if other than the Person in whose name that
Security is registered at the close of business on the Regular Record Date for
such interest, and the manner in which, or the Person to whom, any interest on
any Unregistered Security of the series, or any Tranche thereof, shall be
payable, if otherwise than upon presentation and surrender of the coupons
appertaining thereto as they severally mature, and the extent to which, or the
manner in which, any interest payable on a temporary or permanent Global
Security on an interest payment date will be paid;

     

    (22)         any
Events of Default, in addition to those specified in Section 501 , with respect to
the Securities of such series, and any covenants of the Company for the benefit
of the Holders of the Securities of such series, or any Tranche thereof, in
addition to those set forth in Article X ;

     

    (23)         the
terms, if any, pursuant to which the Securities of such series, or any Tranche
thereof, may be converted into or exchanged for shares of capital stock or other
securities of the Company or any other Person;

    
      
         

      

      
        17

        
          

        

      

      
         

      

    

     (24)         the
obligations or instruments, if any, that shall be considered to be Eligible
Obligations in respect of the Securities of such series, or any Tranche thereof,
denominated in a currency other than Dollars or in a composite currency, and any
additional or alternative provisions for the reinstatement of the Company’s
indebtedness in respect of such Securities after the satisfaction and discharge
thereof as provided in Section
401 ;

     

    (25)         any
exceptions to Section 113
, or variation in the definition of Business Day, with respect to the
Securities of such series, or any Tranche thereof;

     

    (26)         any
collateral security, assurance or guarantee for the Securities of such
series;

     

    (27)         the
non-applicability of Section
608 to the Securities of such series or any exceptions or modifications
of Section 608 with
respect to the Securities of such series;

     

    (28)         any
rights or duties of another Person to assume the obligations of the Company with
respect to the Securities of such series (whether as joint obligor, primary
obligor, secondary obligor or substitute obligor) and any rights or duties to
discharge and release any obligor with respect to the Securities of such series
or this Indenture to the extent related to such series;

     

    (29)         if
a service charge will be made for the registration of transfer or exchange of
Securities of such series, or any Tranche thereof, the amount or terms thereof;
and

     

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

     

    All
Securities of any one series and the coupons appertaining to any Unregistered
Securities of such series shall be substantially identical except in the case of
Registered Securities as to denomination and except as may otherwise be provided
in or pursuant to such Board Resolution and set forth in such Officer’s
Certificate or in any such indenture supplemental hereto and as reasonably
acceptable to the Trustee.  Securities of different series may differ
in any respect.

    

    If the
terms and form or forms of any series of Securities are established by or
pursuant to a Board Resolution, the Company shall deliver a copy of such Board
Resolution to the Trustee at or prior to the issuance of such series with (1)
the form or forms of Security that have been approved attached thereto, or (2)
if such Board Resolution authorizes a specific officer or officers to approve
the terms and form or forms of the Securities, a certificate of such officer or
officers approving the terms and form or forms of Security with such form or
forms of Securities attached thereto.  Such Board Resolution or
certificate may provide general terms or parameters for Securities of any series
and may provide that the specific terms of particular Securities of a series may
be determined in accordance with or pursuant to the Company Order referred to in
Section 303
hereof.

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

    

    With
respect to Securities of a series subject to a Periodic Offering, the indenture
supplemental hereto or the Board Resolution that establishes such series, or the
Officer’s Certificate pursuant to such supplemental indenture or Board
Resolution, as the case may be, may provide general terms or parameters for
Securities of such series and provide either that the specific terms of
Securities of such series, or any Tranche thereof, shall be specified in a
Company Order or that such terms shall be determined by the Company or its
agents in accordance with procedures specified in a Company Order as
contemplated by the third paragraph of Section 303 .

     

    Unless
otherwise specified with respect to a series of Securities pursuant to paragraph
(2) of this Section, any limit upon the aggregate principal amount of a series
of Securities may be increased without the consent of any Holders and additional
Securities of such series may be authenticated and delivered up to the limit
upon the aggregate principal amount authorized with respect to such series as so
increased.

     

    Section
302.           Denominations
.  The Securities of each series shall be issuable in
registered or unregistered form with or without coupons in such denominations as
shall be specified as contemplated by Section 301 .  In
the absence of any such provisions with respect to the Securities of any series,
the Registered Securities of such series shall be issuable in denominations of
$1,000 and any integral multiple thereof and the Unregistered Securities of the
series shall be issuable in denominations of $5,000 and any integral multiple
thereof.

     

    Section
303.           Execution, Authentication,
Delivery and Dating .  The Securities shall be executed on
behalf of the Company by its Chairman of the Board and Chief Executive Officer,
its President, its Senior Vice President, Finance, or its Treasurer, under its
corporate seal reproduced thereon attested by its Secretary or one of its
Assistant Secretaries.  The signature of any of these officers on the
Securities may be manual or facsimile. The coupons, if any, of Unregistered
Securities shall bear the manual or facsimile signature of any one of the
officers or assistant officers referred to in the first sentence of this
Section.

     

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

     

    At any
time and from time to time after the execution and delivery of this Indenture,
the Company may deliver Securities of any series executed by the Company to the
Trustee for authentication, together with a Company Order for the authentication
and delivery of such Securities, and the Trustee in accordance with the Company
Order shall authenticate and deliver such Securities provided, however, that, with
respect to Securities of a series subject to a Periodic Offering, (a) such
Company Order may be delivered by the Company to the Trustee prior to the
delivery to the Trustee of such Securities for authentication and delivery, (b)
the Trustee shall authenticate and deliver Securities of such series for
original issue from time to time, in an aggregate principal amount not exceeding
the aggregate principal amount established for such series, all pursuant to a
Company Order or pursuant to such procedures acceptable to the Trustee as may be
specified from time to time by a Company Order, (c) the maturity date or dates,
original issue date or dates, interest rate or rates and any other terms of
Securities of such series shall be determined by Company Order or pursuant to
such procedures and (d) if provided for in such procedures, such Company Order
may authorize authentication and delivery pursuant to oral or electronic
instructions from the Company or its duly authorized agent or agents, which oral
instructions shall be promptly confirmed in writing.

    
      
         

      

      
        19

        
          

        

      

      
         

      

    

    

    In
authenticating such Securities, and accepting the additional responsibilities
under this Indenture in relation to such Securities, the Trustee shall be
entitled to receive, and (subject to Section 601 ) shall be fully
protected in relying upon, an Opinion of Counsel stating:

     

    (a)           that
such form of Securities has been established in conformity with the provisions
of this Indenture;

     

    (b)           that
such terms have been established in conformity with the provisions of this
Indenture; and

     

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

     

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

     

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

     

    Each
Registered Security shall be dated the date of its authentication and each
Unregistered Security shall be dated the date of its original
issuance.

     

    No
Security shall be entitled to any benefit under this Indenture or be valid or
obligatory for any purpose unless there appears on such Security a certificate
of authentication substantially in the form provided for herein executed by the
Trustee by manual signature and no coupon shall be valid until the Security to
which it appertains has been so authenticated, and such certificate upon any
Security shall be conclusive evidence, and the only evidence, that such Security
has been duly authenticated and delivered hereunder and is entitled to the
benefits of this Indenture.

    
      
         

      

      
        20

        
          

        

      

      
         

      

    

    

    Notwithstanding
the foregoing, until the Company has delivered an Officer’s Certificate to the
Trustee and the Security Registrar stating that, as a result of the action
described, the Company would not suffer adverse consequences under the
provisions of United States law or regulations in effect at the time of the
delivery of Unregistered Securities, the Trustee or the Security Registrar will
(i) deliver Unregistered Securities only outside the United States and its
possessions and (ii) release Unregistered Securities in definitive form to the
person entitled to physical delivery thereof only upon presentation of a
certificate in the form prescribed by the Company.

     

    Section
304.           Temporary Securities
.  Pending the preparation of definitive Registered Securities
of any series (including Global Securities), the Company may execute, and upon
Company Order the Trustee shall authenticate and deliver, temporary Registered
Securities which are printed, lithographed, typewritten, mimeographed or
otherwise produced, in any authorized denomination, substantially of the tenor
of the definitive Registered Securities in lieu of which they are issued and
with such appropriate insertions, omissions, substitutions and other variations
as the officers executing such Securities may determine, as evidenced by their
execution of such Securities. Every temporary Registered Security shall be
executed by the Company and authenticated by the Trustee, and registered by the
Security Registrar, upon the same conditions, and with like effect, as a
definitive Registered Security.

     

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

     

    Until
definitive Unregistered Securities of any series (including Global Securities)
are ready for delivery, the Company may prepare and execute and the Trustee
shall authenticate one or more temporary Unregistered Securities, which may have
coupons attached or which may be in the form of one or more temporary Global
Unregistered Securities of that series without coupons.  The temporary
Unregistered Security or Securities of any series shall be substantially in the
form approved by or pursuant to a Board Resolution and shall be delivered to one
of the Paying Agents located outside the United States and its possessions or to
such other person or persons as the Company shall direct against such
certification as the Company may from time to time prescribe by or pursuant to a
Board Resolution.  The temporary Unregistered Security or Securities
of a series shall be executed by the Company and authenticated by the Trustee
upon the same conditions, and with like effect, as a definitive Unregistered
Security of such series, except as provided herein or in the Board Resolution or
supplemental Indenture relating thereto. A temporary Unregistered Security or
Securities shall be exchangeable for definitive Unregistered Securities at the
time and on the conditions, if any, specified in the temporary
Security.

    
      
         

      

      
        21

        
          

        

      

      
         

      

    

    

    Upon any
exchange of a part of a temporary Unregistered Security of a series for
definitive Unregistered Securities of such series, the temporary Unregistered
Security shall be endorsed by the Trustee or Paying Agent to reflect the
reduction of its principal amount by an amount equal to the aggregate principal
amount of the definitive Unregistered Securities of such series so exchanged and
endorsed.

    

    Section
305.           Registration, Registration
of Transfer and Exchange .  The Company shall cause to be kept
at the Corporate Trust Office of the Trustee a register (the register maintained
in such office and in any other office or agency of the Company in a Place of
Payment being herein sometimes collectively referred to as the “ Security
Register ”) in which, subject to such reasonable regulations as it may
prescribe, the Company shall provide for the registration of Securities and of
transfers of Securities.  The Trustee is hereby appointed “ Security
Registrar ” for the purpose of registering Securities and transfers of
Securities as herein provided.

     

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

     

    If both
Registered and Unregistered Securities are authorized for a series of Securities
and the terms of such Securities permit, (i) Unregistered Securities may be
exchanged for an equal principal amount of Registered or Unregistered Securities
of the same series and date of maturity in any authorized denominations upon
delivery to the Security Registrar (or a Paying Agent (as herein defined), if
the exchange is for Unregistered Securities) of the Unregistered Security with
all unmatured coupons and all matured coupons in default appertaining thereto
and if all other requirements of the Security Registrar (or such Paying Agent)
and such Securities for such exchange are met, and (ii) Registered Securities,
other than Securities issued in the form of a Global Security (except as
provided in Section 311
), may be exchanged for an equal principal amount of Unregistered
Securities of the same series and date of maturity in any authorized
denominations (except that any coupons appertaining to such Unregistered
Securities which have matured and have been paid shall be detached) upon
delivery to the Security Registrar of the Registered Securities and if all other
requirements of the Security Registrar and such Securities for such exchange are
met.

     

    Notwithstanding
the foregoing, the exchange of Unregistered Securities for Registered Securities
or Registered Securities for Unregistered Securities will be subject to the
satisfaction of the provisions of United States law and regulations in effect at
the time of such exchange, and no exchange of Registered Securities for
Unregistered Securities will be made until the Company has notified the Trustee
in an Officer’s Certificate and the Security Registrar that, as a result of such
exchange, the Company would not suffer adverse consequences under such law or
regulations.

     

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

    
      
         

      

      
        22

        
          

        

      

      
         

      

    

    

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

     

    Unless
otherwise provided in a Board Resolution or an Officer’s Certificate pursuant to
a Board Resolution, or in an indenture supplemental hereto, with respect to
Securities of any series, or any Tranche thereof, no service charge shall be
made to the Holder for any registration of transfer or exchange of Securities,
but the Company may require payment of a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection with any
registration of transfer or exchange of Securities, other than exchanges
pursuant to Section 304
, 906 or 1106 not involving any
transfer.

     

    The
Company shall not be required (i) to issue, register the transfer of or exchange
Securities of any series during a period beginning at the opening of business 15
days before the day of the mailing of a notice of redemption of Securities of
that series selected for redemption under Section 1103 and ending at the
close of business on the day of such mailing, or (ii) to register the transfer
of or exchange any Security so selected for redemption in whole or in part,
except the unredeemed portion of any Security being redeemed in
part.  Unregistered Securities or any coupons appertaining thereto
shall be transferable by delivery thereof.

     

    Section
306.           Mutilated, Destroyed, Lost
and Stolen Securities .  If any mutilated Security or a
Security with a mutilated coupon or coupons appertaining to it is surrendered to
the Trustee, the Company shall execute and the Trustee shall authenticate and
deliver in exchange therefor a replacement Registered Security, if such
surrendered security was a Registered Security, or a replacement Unregistered
Security with coupons corresponding to the coupons appertaining to the
surrendered Security, if such surrendered Security was an Unregistered Security,
of the same series and of like tenor and principal amount and bearing a number
not contemporaneously outstanding.

     

    If there
shall be delivered to the Company and the Trustee (i) evidence to their
satisfaction of the destruction, loss or theft of any Security or any coupon or
coupons appertaining thereto, and (ii) such bond, security or indemnity as may
be required by them to save each of them and any agent of either of them
harmless, then, in the absence of actual notice to the Company or the Trustee
that such Security or any coupon or coupons appertaining thereto has been
acquired by a bona fide purchaser, the Company shall execute and upon its
request the Trustee shall authenticate and deliver, a replacement Registered
Security, if such Holder’s claim pertains to a Registered Security, or a
replacement Unregistered Security with coupons corresponding to the coupons
appertaining to the destroyed, lost or stolen Unregistered Security or the
Unregistered Security to which such destroyed, lost or stolen coupon or coupons
appertains, if such Holder’s claim pertains to an Unregistered Security, of the
same series and of like tenor and principal amount and bearing a number not
contemporaneously outstanding.

     

    In case
any such mutilated, destroyed, lost or stolen Security or any coupon or coupons
appertaining thereto has become or is about to become due and payable, the
Company in its discretion may, instead of issuing a new Security, pay such
Security or any coupon or coupons appertaining thereto.

    
      
         

      

      
        23

        
          

        

      

      
         

      

    

    

    Upon the
issuance of any new Security under this Section or any coupon or coupons
appertaining thereto, the Company may require the payment of a sum sufficient to
cover any tax or other governmental charge that may be imposed in relation
thereto and any other expenses (including the fees and expenses of the Trustee)
connected therewith.

     

    Every new
Security or any coupon or coupons appertaining thereto of any series issued
pursuant to this Section in lieu of any destroyed, lost or stolen Security or
any coupon or coupons appertaining thereto shall constitute an original
additional contractual obligation of the Company, whether or not the destroyed,
lost or stolen Security or any coupon or coupons appertaining thereto is at any
time enforceable by anyone, and shall be entitled to all the benefits of this
Indenture equally and proportionately with any and all other Securities or any
coupon or coupons appertaining thereto of that series duly issued
hereunder.

     

    The
provisions of this Section are exclusive and shall preclude (to the extent
lawful) all other rights and remedies with respect to the replacement or payment
of mutilated, destroyed, lost or stolen Securities or any coupon or coupons
appertaining thereto.

     

    Section
307.           Payment of Interest;
Interest Rights Preserved .  Unless otherwise provided as
contemplated by Section 301
with respect to the Securities of any series, or any Tranche thereof,
interest on any Registered Security that is payable, and is punctually paid or
duly provided for, on any Interest Payment Date shall be paid to the Person in
whose name that Registered Security (or one or more Predecessor Securities) is
registered at the close of business on the Regular Record Date for such
interest.  In case an Unregistered Security of any series is
surrendered in exchange for a Registered Security of such series after the close
of business (at an office or agency of the Company in a Place of Payment for
such series) on any Regular Record Date and before the opening of business (at
such office or agency) on the next succeeding Interest Payment Date, such
Unregistered Security shall be surrendered without the coupon relating to such
Interest Payment Date and interest will not be payable on such Interest Payment
Date in respect of the Registered Security issued in exchange for such
Unregistered Security, but will be payable only to the Holder of such coupon
when due in accordance with provisions of this Indenture.

     

    Any
interest on any Registered Security of any series that is payable, but is not
punctually paid or duly provided for, on any Interest Payment Date (herein
called “ Defaulted
Interest ”) shall forthwith cease to be payable to the Holder on the
relevant Regular Record Date by virtue of having been such Holder, and such
Defaulted Interest may be paid by the Company, at its election in each case, as
provided in clause (1) or (2) below:

    
      
         

      

      
        24

        
          

        

      

      
         

      

    

    (1)           The
Company may elect to make payment of any Defaulted Interest to the Persons in
whose names the Registered Securities of such series (or their respective
Predecessor Securities) are registered at the close of business on a Special
Record Date for the payment of such Defaulted Interest, which shall be fixed in
the following manner.  The Company shall notify the Trustee in writing
of the amount of Defaulted Interest proposed to be paid on each Registered
Security of such series and the date of the proposed payment, and at the same
time the Company shall deposit with the Trustee an amount of money equal to the
aggregate amount proposed to be paid in respect of such Defaulted Interest or
shall make arrangements satisfactory to the Trustee for such deposit prior to
the date of the proposed payment, such money when deposited to be held in trust
for the benefit of the Persons entitled to such Defaulted Interest as in this
clause provided.  Thereupon the Trustee shall fix a Special Record
Date for the payment of such Defaulted Interest which shall be not more than 15
days and not less than 10 days prior to the date of the proposed payment and not
less than 10 days after the receipt by the Trustee of the notice of the proposed
payment.  The Trustee shall promptly notify the Company of such
Special Record Date and, in the name and at the expense of the Company, shall
cause notice of the proposed payment of such Defaulted Interest and the Special
Record Date therefor to be mailed, first-class postage prepaid, to each Holder
of Registered Securities of such series at the address of such Holder as it
appears in the Security Register, not less than 10 days prior to such Special
Record Date.  Notice of the proposed payment of such Defaulted
Interest and the Special Record Date therefor having been so mailed, such
Defaulted Interest shall be paid to the Persons in whose names the Registered
Securities of such series (or their respective Predecessor Securities) are
registered at the close of business on such Special Record Date and shall no
longer be payable pursuant to the following clause (2).  In case an
Unregistered Security of any series is surrendered at the office or agency of
the Company in a Place of Payment for such series in exchange for a Registered
Security of such series after the close of business at such office or agency on
any Special Record Date and before the opening of business at such office or
agency on the related proposed date for payment of Defaulted Interest, such
Unregistered Security shall be surrendered without the coupon relating to such
proposed date of payment and Defaulted Interest will not be payable on such
proposed date of payment in respect of the Registered Security issued in
exchange for such Unregistered Security, but will be payable only to the Holder
of such coupon when due in accordance with the provisions of this
Indenture.

     

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

     

    Subject
to the foregoing provisions of this Section, each Registered Security delivered
under this Indenture upon registration of transfer of or in exchange for or in
lieu of any other Registered Security shall carry the rights to interest accrued
and unpaid, and to accrue, which were carried by such other Registered
Security.

     

    Subject
to the limitations set forth in Section 1002 , the Holder of
any coupon appertaining to an Unregistered Security shall be entitled to receive
the interest payable on such coupon upon presentation and surrender of such
coupon on or after the Interest Payment Date of such coupon at an office or
agency maintained for such purpose pursuant to Section 1002 .

     

    Section
308.           Persons Deemed Owners
.  Prior to due presentment of a Registered Security for
registration of transfer, the Company, the Trustee and any agent of the Company
or the Trustee may treat the Person in whose name such Registered Security is
registered as the owner of such Registered Security for the purpose of receiving
payment of principal of (and premium, if any) and (subject to Section 301 and Section 307 ) interest, if
any, on such Registered Security and for all other purposes whatsoever, whether
or not such Registered Security be overdue, and neither the Company, the Trustee
nor any agent of the Company or the Trustee shall be affected by notice to the
contrary.

    
      
         

      

      
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    Ownership
of Registered Securities of a series shall be proved by the computerized
book-entry system of the Depository in the case of Registered Securities issued
in the form of a Global Security.  Ownership of Unregistered
Securities may be proved by the production of such Unregistered Securities or by
a certificate or affidavit executed by the person holding such Unregistered
Securities or by a depository with whom such Unregistered Securities were
deposited, if the certificate or affidavit is satisfactory to the Trustee and
the Company.  The Company, the Trustee and any agent of the Company
may treat the bearer of any Unregistered Security or coupon and the person in
whose name a Registered Security is registered as the absolute owner thereof for
all purposes.

     

    None of
the Company, the Trustee, any Paying Agent or the Security Registrar will have
any responsibility or liability for any aspect of the records relating to or
payments made on account of beneficial ownership interests of a Global Security
or for maintaining, supervising or reviewing any records relating to such
beneficial ownership interests.

    

    Section
309.           Cancellation
.  Except as otherwise specified as contemplated by Section 301 for Securities of
any series, all Securities and coupons surrendered for payment, redemption,
registration of transfer or exchange or for credit against any sinking fund
payment shall, if surrendered to any Person other than the Trustee, be delivered
to the Trustee and, if not theretofore cancelled, shall be promptly cancelled by
it.  Except as otherwise specified as contemplated by Section 301 for Securities of
any series, the Company may at any time deliver to the Trustee for cancellation
any Securities or coupons previously authenticated and delivered hereunder that
the Company may have acquired in any manner whatsoever or that the Company has
not issued and sold, and all Securities or coupons so delivered shall be
promptly cancelled by the Trustee.  No Securities shall be
authenticated in lieu of or in exchange for any Securities or coupons cancelled
as provided in this Section, except as expressly permitted by this
Indenture.  All cancelled Securities or coupons held by the Trustee
shall be destroyed and the Trustee shall furnish an affidavit to the Company
(setting forth the serial numbers of such Securities) attesting to such
destruction unless by a Company Order the Company shall direct that the
cancelled Securities or coupons be returned to it.

     

    Section
310.           Computation of Interest
.  Except as otherwise specified as contemplated by Section 301 for Securities of
any series, interest on the Securities of each series shall be computed on the
basis of a year of twelve 30-day months.

     

    Section
311.           Global Securities;
Exchanges; Registration and Registration of Transfer .   If
specified as contemplated by Section 301 , the Securities
may be issued in the form of one or more Global Securities, which shall be
deposited with the Depository, and, unless otherwise specified in the form of
Global Security adopted pursuant to Section 301 , be registered in
the name of the Depository’s nominee.

    
      
         

      

      
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    Except as
otherwise specified as contemplated by Section 301 , any permanent
Global Security shall be exchangeable only as provided in this
paragraph.  If the beneficial owners of interests in a permanent
Global Security are entitled to exchange such interests for Securities of such
series of like tenor and principal amount of another authorized form, as
specified as contemplated by Section 301 , then without
unnecessary delay but in any event not later than the earliest date on which
such interests may be so exchanged, the Company shall deliver to the Trustee
definitive Securities of that series in aggregate principal amount equal to the
principal amount of such permanent Global Security, executed by the
Company.  On or after the earliest date on which such interests may be
so exchanged, such permanent Global Security shall be surrendered from time to
time in accordance with instructions given to the Trustee and the Depository
(which instructions shall be in writing but need not comply with Section 102 or be accompanied
by an Opinion of Counsel) by the Depository or such other depository as shall be
specified in the Company Order with respect thereto to the Trustee, as the
Company’s agent for such purpose, to be exchanged, in whole or in part, for
definitive Securities of the same series without charge and the Trustee shall
authenticate and deliver, in exchange for each portion of such permanent Global
Security, a like aggregate principal amount of definitive Securities of the same
series of authorized denominations and of like tenor as the portion of such
permanent Global Security to be exchanged which, unless the Securities of the
series are not issuable both as Unregistered Securities and as Registered
Securities, as specified as contemplated by Section 301 , shall be in the
form of Unregistered Securities or Registered Securities, or any combination
thereof, as shall be specified by the beneficial owner thereof; provided , however , that no such
exchanges may occur during the periods specified by Section 305 ; and provided , further , that no
Unregistered Security delivered in exchange for a portion of a permanent Global
Security shall be mailed or otherwise delivered to any location in the United
States unless the Company has complied with the fourth paragraph of Section 305
.  Promptly following any such exchange in part, such permanent
Global Security shall be returned by the Trustee, to the Depository or such
other depository referred to above, in accordance with the instructions of the
Company referred to above.

     

    The
Global Security may be transferred to another nominee of the Depository, or to a
successor Depository selected by the Company, and upon surrender for
registration of transfer of the Global Security to the Trustee, the Company
shall execute, and the Trustee shall authenticate and deliver, in the name of
the designated transferee, a new Global Security in the same aggregate principal
amount.  If at any time the Depository notifies the Company that it is
unwilling or unable to continue as Depository and a successor Depository
satisfactory to the Company is not appointed within 90 days after the Company
receives such notice, the Company will execute, and the Trustee will
authenticate and deliver, Securities in definitive form to the Depository in
exchange for the Global Security.  In addition, if at any time the
Company determines that it is not in the best interest of the Company or the
beneficial owners of Securities to continue to have a Global Security
representing all of the Securities held by a Depository, the Company may, at its
option, execute, and the Trustee will authenticate and deliver, Securities in
definitive form to the Depository in exchange for all or a portion of the Global
Security. Promptly after any such exchange of Securities in definitive form for
all or a portion of the Global Security pursuant to this paragraph, the Company
shall promulgate regulations governing registration of transfers and exchanges
of Securities in definitive form, which regulations shall be reasonably
satisfactory to the Trustee and shall thereafter bind every Holder of such
Securities.

    
      
         

      

      
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    Section
312.           Extension of Interest
Payment .  The Company shall have the right at any time, so
long as the Company is not in default in the payment of interest on the
Securities of any series hereunder, to extend interest payment periods on all
Securities of one or more series, if so specified as contemplated by Section 301 with respect to
such Securities and upon such terms as may be specified as contemplated by Section 301 with respect to
such Securities.  If the Company ever so extends any such interest
payment period, the Company shall promptly notify the Trustee.

     

    ARTICLE
IV

     

    SATISFACTION AND
DISCHARGE

     

    Section
401.           Satisfaction and Discharge
of Indenture .  (a)  This Indenture shall upon
Company Request cease to be of further effect (except as to any surviving rights
of registration of transfer or exchange of Securities herein expressly provided
for), and the Trustee, at the expense of the Company, shall execute proper
instruments acknowledging satisfaction and discharge of this Indenture,
when

     

    (1)           either

     

    (A)          all
Securities theretofore authenticated and delivered (other than (i) Securities
which have been destroyed, lost or stolen and which have been replaced or paid
as provided in Section 306
and (ii) Securities that are deemed paid and discharged pursuant to Section 403 ) have been
delivered to the Trustee for cancellation; or

     

    (B)           all
such Securities not theretofore delivered to the Trustee for
cancellation

     

    (i)        have
become due and payable, or

     

    (ii)       will
become due and payable at their Stated Maturity within one year, or

     

    (iii)      are
to be called for redemption pursuant to Article XI hereof under
arrangements satisfactory to the Trustee for the giving of notice of redemption
by the Trustee in the name, and at the expense, of the Company, or

     

    (iv)      are
deemed paid and discharged pursuant to Section 403 , as
applicable,

     

    and the
Company, in the case of clause (i), (ii) or (iii) above, has deposited or caused
to be deposited with the Trustee as trust funds in trust for such purpose an
amount of (a) money, or (b) (I) Eligible Obligations which through the payment
of interest and principal in respect thereof in accordance with their terms will
provide on or before the Stated Maturity or Redemption Date, as the case may be,
money in an amount, or (II) a combination of money or Eligible Obligations as
provided in clause (I) above, in each case sufficient, in the opinion of a
nationally recognized firm of independent certified public accountants expressed
in a written certification thereof delivered to the Trustee, to pay and
discharge the entire indebtedness on such Securities not theretofore delivered
to the Trustee for cancellation, for principal (and premium, if any) and
interest, if any, to the date of such deposit (in the case of Securities that
have become due and payable) or to the Stated Maturity or Redemption Date, as
the case may be;

    
      
         

      

      
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    (2)           the
Company has paid or caused to be paid all other sums payable hereunder by the
Company; and

     

    (3)           the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel, each stating that all conditions precedent herein provided for relating
to the satisfaction and discharge of this Indenture have been met.

     

    Notwithstanding
the satisfaction and discharge of this Indenture, the obligations of the Company
to the Trustee under Section
607 , the obligations of the Trustee to any Authenticating Agent under
Section 614 and, if
money or Eligible Obligations have been deposited with the Trustee pursuant to
subclause (B) of clause (1) of this Section or if money or Eligible Obligations
shall have been deposited with or received by the Trustee pursuant to Section 403 , the obligations
of the Trustee under Section
402 and the last paragraph of Section 1003 shall
survive.

     

    (b)  Upon
satisfaction and discharge of this Indenture as provided in this Section 401 , the Trustee
shall assign, transfer and turn over to the Company, subject to the lien
provided by Section 607
, any and all money, securities and other property then held by the
Trustee for the benefit of the Holders of the Securities other than money and
Eligible Obligations held by the Trustee pursuant to Section 402 .

     

    Section
402.          Application of Trust Money
.  (a)  Neither the Eligible Obligations nor the
money deposited with the Trustee pursuant to Section 403(e) , nor the
principal or interest payments on any such Eligible Obligations, shall be
withdrawn or used for any purpose other than, and shall be held in trust for,
the payment of the principal of and premium, if any, and interest, if any, on
the Securities or portions of principal amount thereof in respect of which such
deposit was made, all subject, however, to the provisions of Section 1003 ; provided, however , that, so
long as there shall not have occurred and be continuing an Event of Default, any
cash received from such principal or interest payments on such Eligible
Obligations deposited with the Trustee, if not then needed for such purpose,
shall, to the extent practicable, be invested in Eligible Obligations of the
type described in Section
403(e)(2)(A) maturing at such times and in such amounts as shall be
sufficient to pay when due the principal of and premium, if any, and interest,
if any, due and to become due on such Securities or portions thereof on and
prior to the Maturity thereof, and interest earned from such reinvestment shall
be paid over to the Company as received by the Trustee, free and clear of any
trust, lien or pledge under this Indenture except the lien provided by Section 607 ; and provided, further , that, so
long as there shall not have occurred and be continuing an Event of Default, any
moneys held by the Trustee in accordance with this Section on the Maturity of
all such Securities in excess of the amount required to pay the principal of and
premium, if any, and interest, if any, then due on such Securities shall be paid
over to the Company free and clear of any trust, lien or pledge under this
Indenture except the lien provided by Section 607 .

    
      
         

      

      
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    (b)           The
Company shall pay and shall indemnify the Trustee against any tax, fee or other
charge imposed on or assessed against Eligible Obligations deposited pursuant to
Section 401 , 403 or 1007 or the interest and
principal received in respect of such obligations other than any payable by or
on behalf of Holders.

     

    Section
403.           Satisfaction, Discharge and
Defeasance of Securities of Any Series .  The Company shall be
deemed to have paid and discharged the entire indebtedness on all the
Outstanding Securities of any series or Tranche, or any portion of the principal
amount thereof, on the 91st day after the date of the deposit referred to in
subparagraph (e) hereof, and the provisions of this Indenture, as it relates to
such Outstanding Securities of such series, shall be satisfied and discharged
and shall no longer be in effect (and the Trustee, at the expense of the
Company, shall at Company Request execute proper instruments acknowledging the
same), except as to:

     

    (a)           the
rights of Holders of Securities of such series to receive, solely from the trust
funds described in subparagraph (e) hereof, (i) payment of the principal of (and
premium, if any) and each installment of principal of (and premium, if any) or
interest, if any, on the Outstanding Securities of such series, or portions
thereof, on the Stated Maturity of such principal or installment of principal or
interest or to and including the Redemption Date irrevocably designated by the
Company pursuant to subparagraph (k) hereof and (ii) the benefit of any
mandatory sinking fund payments applicable to the Securities of such series on
the day on which such payments are due and payable in accordance with the terms
of this Indenture and the Securities of such series;

     

    (b)           the
obligations of the Company and the Trustee with respect to such Securities of
such series under Sections 304,
305 , 306, 614, 1002,
1003 and 1203 and, if the Company shall have irrevocably designated a
Redemption Date pursuant to subparagraph (k) hereof, Sections 1104 and 1106 ; and

     

    (c)           the
Company’s obligations with respect to the Trustee under Section 607;

     

    provided that, the following
conditions shall have been satisfied:

     

    (d)           the
Company has deposited or caused to be irrevocably deposited (except as provided
in Section 402 ) with
the Trustee as trust funds in trust, specifically pledged as security for, and
dedicated solely to, the benefit of the Holders of the Securities of such
series, (i) money in an amount, or (ii) (A) Eligible Obligations which through
the payment of interest and principal in respect thereof in accordance with
their terms will provide on or before the due date of any payment referred to in
clause (x) or (y) of this subparagraph (e) money in an amount or (B) a
combination thereof, sufficient, in the opinion of a nationally recognized firm
of independent certified public accountants expressed in a written certification
thereof delivered to the Trustee, to pay and discharge (x) the principal of (and
premium, if any) and each installment of principal (and premium, if any) and
interest, if any, on such Securities on the Stated Maturity of such principal or
installment of principal or interest or to and including the Redemption Date
irrevocably designated by the Company pursuant to subparagraph (k) hereof and
(y) any mandatory sinking fund payments applicable to the Securities of such
series on the day on which such payments are due and payable in accordance with
the terms of this Indenture and of the Securities of such
series;

    
      
         

      

      
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    (e)           such
deposit will not result in a breach or violation of, or constitute a default
under, this Indenture or any other agreement or instrument to which the Company
is a party or by which it is bound;

     

    (f)           such
provision would not cause any Outstanding Securities of such series then listed
on the New York Stock Exchange or other securities exchange to be delisted as a
result thereof;

     

    (g)           no
Event of Default or event that with notice or lapse of time would become an
Event of Default with respect to the Securities of such series has occurred and
is continuing on the date of such deposit or during the period ending on the
91st day after such date;

     

    (h)           the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel to the effect that (x) the Company has received from, or there has been
published by, the Internal Revenue Service a ruling or (y) there has been a
change in law or regulation occurring after the date hereof, to the effect that
Holders of the Securities of such series will not recognize income, gain or loss
for federal income tax purposes as a result of such deposit, defeasance and
discharge and will be subject to federal income tax on the same amount and in
the same manner and at the same times, as would have been the case if such
deposit, defeasance and discharge had not occurred;

     

    (i)           the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel, each stating that all conditions precedent provided for relating to the
defeasance contemplated by this Section have been complied with;
and

     

    (j)           if
the Company has deposited or caused to be deposited money or Eligible
Obligations to pay or discharge the principal of (and premium, if any) and
interest on the Outstanding Securities of a series to and including a Redemption
Date pursuant to subparagraph (e) hereof, such Redemption Date shall be
irrevocably designated by a Board Resolution delivered to the Trustee on or
prior to the date of deposit of such money or Eligible Obligations, and such
Board Resolution shall be accompanied by an irrevocable Company Request that the
Trustee give notice of such redemption in the name and at the expense of the
Company not less than 30 nor more than 60 days prior to such Redemption Date in
accordance with Section 1104
.

     

    ARTICLE
V

     

    REMEDIES

     

    Section
501.            Events of Default
.  “ Event of
Default ”, wherever used herein with respect to Securities of any series,
means any one of the following events:

    
      
         

      

      
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    (1)           default
in the payment of any interest upon any Security of that series when it becomes
due and payable, and continuance of such default for a period of 30 days; provided, however , that a
valid extension of the interest payment period by the Company as contemplated in
Section 312 shall not
constitute a failure to pay interest for this purpose; or

     

    (2)           default
in the payment of the principal of (or premium, if any, on) any Security of that
series at its Maturity; or

     

    (3)           default
in the deposit of any sinking fund payment, when and as due by the terms of a
Security of that series; or

     

    (4)           default
in the performance, or breach, of any covenant or warranty of the Company in
this Indenture (other than a covenant or warranty a default in whose performance
or whose breach is elsewhere in this Section specifically dealt with or which
has expressly been included in this Indenture solely for the benefit of one or
more series of Securities other than that series), and continuance of such
default or breach for a period of 60 days after there has been given, by
registered or certified mail, to the Company by the Trustee or to the Company
and the Trustee by the Holders of at least 25% in aggregate principal amount of
the Outstanding Securities of such series a written notice specifying such
default or breach and requiring it to be remedied and stating that such notice
is a “ Notice
of Default ” hereunder; or

     

    (5)           the
entry by a court having jurisdiction in the premises of (A) a decree or order
for relief in respect of the Company in an involuntary case or proceeding under
any applicable federal or state bankruptcy, insolvency, reorganization or other
similar law or (B) a decree or order adjudging the Company a bankrupt or
insolvent, or approving as properly filed a petition seeking reorganization,
arrangement, adjustment or composition of or in respect of the Company under any
applicable federal or state law, or appointing a custodian, receiver,
liquidator, assignee, trustee, sequestrator or other similar official of the
Company or of any substantial part of its property, or ordering the winding up
or liquidation of its affairs, and the continuance of any such decree or order
for relief or any such other decree or order unstayed and in effect for a period
of 60 consecutive days; or

     

    (6)           the
commencement by the Company of a voluntary case or proceeding under any
applicable federal or state bankruptcy, insolvency, reorganization or other
similar law or of any other case or proceeding to be adjudicated a bankrupt or
insolvent, or the consent by it to the entry of a decree or order for relief in
respect of the Company in an involuntary case or proceeding under any applicable
federal or state bankruptcy, insolvency, reorganization or other similar law or
to the commencement of any bankruptcy or insolvency case or proceeding against
it, or the filing by it of a petition or answer or consent seeking
reorganization or relief under any applicable federal or state law, or the
consent by it to the filing of such petition or to the appointment of or taking
possession by a custodian, receiver, liquidator, assignee, trustee, sequestrator
or similar official of the Company or of any substantial part of its property,
or the making by it of an assignment for the benefit of creditors, or the
admission by it in writing of its inability to pay its debts generally as they
become due, or the taking of corporate action by the Company in furtherance of
any such action; or

    
      
         

      

      
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    (7)           any
other Event of Default provided with respect to Securities of such series as
contemplated by Sections 301
and 901(3)
.

    

    Section
502.           Acceleration of Maturity;
Rescission and Annulment .  If an Event of Default with respect
to any series or Tranche of Senior Securities at the time Outstanding occurs and
is continuing, then, unless the principal of and interest on such series or
Tranche of Senior Securities has already become due and payable, either the
Trustee or the Holders of a majority in aggregate principal amount of such
series or Tranche of Senior Securities then outstanding, by notice in writing to
the Company (and to the Trustee if given by such Holders), may declare the
principal of and interest on all the Senior Securities of such series or Tranche
(or if any of the Senior Securities are Original Issue Discount Securities or
Indexed Securities, such portion of the principal amount of such Securities as
may be specified in the terms thereof) to be due and payable immediately and
upon any such declaration the same shall become immediately due and payable,
anything in this Indenture or in the Senior Securities of such series or Tranche
contained to the contrary notwithstanding; provided , however , that if an Event of
Default has occurred and is continuing with respect to more than one series or
Tranche of Senior Securities, the Trustee or the Holders of a majority in
aggregate principal amount of the Outstanding Senior Securities (or if any of
the Senior Securities are Original Issue Discount Securities or Indexed
Securities, such portion of the principal amount of such Securities as may be
specified in the terms thereof) of all such series or Tranches (voting as one
class) may make such declaration of acceleration, and not the Holders of the
Senior Securities of any one of such series or Tranches.

     

    If an
Event of Default with respect to any series or Tranche of Subordinated
Securities at the time Outstanding occurs and is continuing, then, unless the
principal of and interest on such series or Tranche of Subordinated Securities
has already become due and payable, either the Trustee or the Holders of a
majority in aggregate principal amount of the Subordinated Securities of such
series or Tranche then outstanding, by notice in writing to the Company (and to
the Trustee if given by such Holders), may declare the principal of and interest
on all the Subordinated Securities of such series or Tranche (or if any of the
Subordinated Securities are Original Issue Discount Securities or Indexed
Securities, such portion of the principal amount of such Securities as may be
specified in the terms thereof) to be due and payable immediately and upon any
such declaration the same shall become immediately due and payable, anything in
this Indenture or in the Subordinated Securities of such series contained to the
contrary notwithstanding; provided , however , that if an Event of
Default has occurred and is continuing with respect to more than one series or
Tranche of Subordinated Securities, the Trustee or the Holders of a majority in
aggregate principal amount of the Outstanding Subordinated Securities (or if any
of the Subordinated Securities are Original Issue Discount Securities or Indexed
Securities, such portion of the principal amount of such Securities as may be
specified in the terms thereof) of all such series or Tranche (voting as one
class) may make such declaration of acceleration, and not the Holders of the
Subordinated Securities of any one of such series or Tranches.

     

    In the
case of any declaration of acceleration of the Stated Maturity of any Original
Issue Discount Securities or Indexed Securities of a series, the Company shall
furnish the Trustee with an Officer’s Certificate stating the amount of
principal to be paid to a Holder of $1,000 principal amount of such
Securities.

    
      
         

      

      
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    At any
time after such a declaration of acceleration with respect to Securities of any
series has been made and before a judgment or decree for payment of the money
due has been obtained by the Trustee as hereinafter in this Article provided,
the Event or Events of Default giving rise to such declaration of acceleration
shall, without further act, be deemed to have been waived, and such declaration
and its consequences shall, without further act, be deemed to have been
rescinded and annulled, if

     

    (1)           the
Company has paid or deposited with the Trustee a sum sufficient to
pay

     

    (A)           all
overdue interest on all Securities of any such series,

     

    (B)           the
principal of (and premium, if any, on) any Securities of such series that have
become due otherwise than by such declaration of acceleration and interest
thereon at the rate or rates prescribed therefor in such
Securities,

     

    (C)           to
the extent that payment of such interest is lawful, interest upon overdue
interest at the rate or rates prescribed therefor in such Securities,
and

     

    (D)           all
amounts due to the Trustee under Section 607 ;

     

    and

     

    (2)           all
Events of Default with respect to Securities of that series, other than the
non-payment of the principal of Securities of that series that have become due
solely by such declaration of acceleration, have been cured or waived as
provided in Section 513
.

     

    No such
rescission shall affect any subsequent Event of Default or impair any right
consequent thereon.

     

    Section
503.           Collection of Indebtedness
and Suits for Enforcement by Trustee .  If an Event of Default
described in clause (1) or (2) of Section 501 has occurred and
is continuing, the Company shall, upon demand of the Trustee, pay to it, for the
benefit of the Holders of the Securities of the series with respect to which
such Event of Default has occurred, the whole amount then due and payable on
such Securities for principal (and premium, if any) and interest, if any, and,
to the extent that payment of such interest shall be legally enforceable,
interest on any overdue principal (and premium, if any) and on any overdue
interest, at the rate or rates prescribed therefor in such Securities, and, in
addition thereto, such further amount as shall be sufficient to cover any
amounts due to the Trustee under Section 607 .

     

    If the
Company fails to pay such amounts forthwith upon such demand, the Trustee, in
its own name and as trustee of an express trust, may institute a judicial
proceeding for the collection of the sums so due and unpaid, may prosecute such
proceeding to judgment or final decree and may enforce the same against the
Company or any other obligor upon such Securities and collect the moneys
adjudged or decreed to be payable in the manner provided by law out of the
property of the Company or any other obligor upon such Securities, wherever
situated.

    
      
         

      

      
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    If an
Event of Default with respect to Securities of any series occurs and is
continuing, the Trustee may in its discretion proceed to protect and enforce its
rights and the rights of the Holders of Securities of such series by such
appropriate judicial proceedings as the Trustee deems most effectual to protect
and enforce any such rights, whether for the specific enforcement of any
covenant or agreement in this Indenture or in aid of the exercise of any power
granted herein, or to enforce any other proper remedy.

     

    Section
504.           Trustee May File Proofs of
Claim .  In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment,
composition or other judicial proceeding relative to the Company or any other
obligor upon the Securities or the property of the Company or of such other
obligor or their creditors, the Trustee (irrespective of whether the principal
of the Securities shall then be due and payable as therein expressed or by
declaration or otherwise and irrespective of whether the Trustee shall have made
any demand on the Company for the payment of overdue principal or interest)
shall be entitled and empowered, by intervention in such proceeding or
otherwise,

     

    (i)           to
file and prove a claim for the whole amount of principal (and premium, if any)
and interest, if any, owing and unpaid in respect of the Securities and to file
such other papers or documents as may be necessary or advisable in order to have
the claims of the Trustee (including any claim for amounts due to the Trustee
under Section 607 and of
the Holders allowed in such judicial proceeding, and

     

    (ii)           to
collect and receive any moneys or other property payable or deliverable on any
such claims and to distribute the same;

     

    and any
custodian, receiver, assignee, trustee, liquidator, sequestrator or other
similar official in any such judicial proceeding is hereby authorized by each
Holder to make such payments to the Trustee and, if the Trustee consents to the
making of such payments directly to the Holders, to pay to the Trustee any
amount due it under Section 607
.

     

    Nothing
herein contained shall be deemed to authorize the Trustee to authorize or
consent to or accept or adopt on behalf of any Holder any plan of
reorganization, arrangement, adjustment or composition affecting the Securities
or the rights of any Holder thereof or to authorize the Trustee to vote in
respect of the claim of any Holder in any such proceeding.

     

    Section
505.           Trustee May Enforce Claims
Without Possession of Securities or Coupons .  All rights of
action and claims under this Indenture or the Securities or coupons may be
prosecuted and enforced by the Trustee without the possession of any of the
Securities or coupons or the production thereof in any proceeding relating
thereto, and any such proceeding instituted by the Trustee shall be brought in
its own name as trustee of an express trust, and any recovery of judgment shall,
after provision for the payment of the amounts due to the Trustee under Section 607 , be for the
ratable benefit of the Holders of the Securities and coupons in respect of which
such judgment has been recovered.

    
      
         

      

      
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    Section
506.           Application of Money
Collected .  Any money collected by the Trustee pursuant to
this Article shall be applied in the following order, at the date or dates fixed
by the Trustee, and, in case of the distribution of such money on account of
principal (or premium, if any) or interest, if any, upon presentation of the
Securities in respect of which or for the benefit of which such money shall have
been collected and the notation thereon of the payment if only partially paid
and upon surrender thereof if fully paid:

     

    FIRST:  To
the payment of all amounts due the Trustee under Section 607 ;

     

    SECOND:  To
the payment of the amounts then due and unpaid for principal of (and premium, if
any) and interest, if any, on the Securities in respect of which or for the
benefit of which such money has been collected, ratably, without preference or
priority of any kind, according to the amounts due and payable on such
Securities for principal (and premium, if any) and interest, if any,
respectively; and

     

    THIRD:  The
balance, if any, to the Company.

     

    The
Trustee may fix a record date (with respect to Registered Securities) and
payment date for any such payment to Holders of Securities.

     

    Section
507.           Limitation on Suits
.  No Holder of any Security of any series shall have any right
to institute any proceeding, judicial or otherwise, with respect to this
Indenture, or for the appointment of a receiver or trustee, or for any other
remedy hereunder, unless

     

    (1)           such
Holder has previously given written notice to the Trustee of a continuing Event
of Default with respect to the Securities of that series;

     

    (2)           the
Holders of not less than a majority in aggregate principal amount of the
Outstanding Securities of all series of Senior Securities in respect of which an
Event of Default has occurred and is continuing, considered as one class, shall
have made written request to the Trustee to institute proceedings in respect of
such Event of Default in its own name as Trustee hereunder if such holder is a
Holder of Senior Securities or the Holders of not less than a majority in
aggregate principal amount of the Outstanding Securities of all series of
Subordinated Securities in respect of which an Event of Default has occurred and
is continuing, considered as one class, shall have made written request to the
Trustee to institute proceedings in respect of such Event of Default in its own
name as Trustee hereunder if such  Holder is a Holder of Subordinated
Securities;

     

    (3)           such
Holder or Holders have offered to the Trustee indemnity against the reasonable
costs, expenses and liabilities to be incurred in compliance with such
request;

     

    (4)           the
Trustee for 60 days after its receipt of such notice, request and offer of
indemnity has failed to institute any such proceeding; and

    
      
         

      

      
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    (5)           no
direction inconsistent with such written request has been given to the Trustee
during such 60-day period by the Holders of a majority in aggregate principal
amount of the Outstanding Securities of all series;

     

    it being
understood and intended that (subject to Section 508 ) no one or more
of such Holders shall have any right in any manner whatever by virtue of, or by
availing of, any provision of this Indenture to affect, disturb or prejudice the
rights of any other of such Holders, or to obtain or to seek to obtain priority
or preference over any other of such Holders or to enforce any right under this
Indenture, except in the manner herein provided and for the equal and ratable
benefit of all of such Holders.

     

    Section
508.          Unconditional Right of
Holders to Receive Principal, Premium and Interest . Notwithstanding any
other provision in this Indenture, the Holder of any Security shall have the
right, which is absolute and unconditional, to receive payment of the principal
of (and premium, if any) and (subject to Section 307 ) interest, if
any, on such Security on the Stated Maturity or Maturities expressed in such
Security (or, in the case of redemption, on the Redemption Date, or, in the case
of repayment at the option of the Holder, on the Repayment Date) and to
institute suit for the enforcement of any such payment, and such rights shall
not be impaired without the consent of such Holder.

     

    Section
509.          Restoration of Rights and
Remedies . If the Trustee or any Holder has instituted any proceeding to
enforce any right or remedy under this Indenture and such proceeding has been
discontinued or abandoned for any reason, or has been determined adversely to
the Trustee or to such Holder, then and in every such case, subject to any
determination in such proceeding, the Company, the Trustee and such Holder shall
be restored severally and respectively to their former positions hereunder and
thereafter all rights and remedies of the Trustee and such Holder shall continue
as though no such proceeding had been instituted.

     

    Section
510.          Rights and Remedies
Cumulative . Except as otherwise provided with respect to the replacement
or payment of mutilated, destroyed, lost or stolen Securities in the last
paragraph of Section 306
, no right or remedy herein conferred upon or reserved to the Trustee or
to the Holders is intended to be exclusive of any other right or remedy, and
every right and remedy shall, to the extent permitted by law, be cumulative and
in addition to every other right and remedy given hereunder or now or hereafter
existing at law or in equity or otherwise. The assertion or employment of any
right or remedy hereunder, or otherwise, shall not prevent the concurrent
assertion or employment of any other appropriate right or remedy.

     

    Section
511.          Delay or Omission Not Waiver
. No delay or omission of the Trustee or of any Holder of any Securities
to exercise any right or remedy accruing upon any Event of Default shall impair
any such right or remedy or constitute a waiver of any such Event of Default or
an acquiescence therein.  Every right and remedy given by this Article
or by law to the Trustee or to the Holders may be exercised from time to time,
and as often as may be deemed expedient, by the Trustee or by the Holders, as
the case may be.

    

    
      
         

      

      
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    Section
512.          Control by Holders .
If an Event of Default shall have occurred and be continuing in respect of a
series of Securities, the Holders of a majority in aggregate principal amount of
the Outstanding Securities of such series shall have the right to direct the
time, method and place of conducting any proceeding for any remedy available to
the Trustee, or exercising any trust or power conferred on the Trustee, with
respect to the Securities of such series or Tranche; provided, however, that if an
Event of Default has occurred and is continuing with respect to more than one
series of Senior Securities, the Holders of a majority in aggregate principal
amount of the Outstanding Securities of all such series, considered as one
class, shall have the right to make such direction, an not the Holders of the
Senior Securities of any one of such series, and if an Event of Default has
occurred and is continuing with respect to more than one series of Subordinated
Securities, the Holders of a majority in aggregate principal amount of all such
series, considered as one class, shall have the right to make such direction,
and not the Holders of the Subordinated Securities of any one of such series;
provided, further
that

     

    (1)           such
direction shall not be in conflict with any rule of law or with this Indenture,
and

     

    (2)           the
Trustee may take any other action deemed proper by the Trustee which is not
inconsistent with such direction.

     

    Section
513.          Waiver of Past Defaults
. The Holders of not less than a majority in aggregate principal amount
of the Outstanding Securities of any series may on behalf of the Holders of all
the Securities of such series waive any past default hereunder with respect to
such series and its consequences; provided that if any such
past default has occurred with respect to more than one series of Senior
Securities, the Holders of a majority in aggregate principal amount of the
Outstanding Securities of all such series, considered as one class, may make
such waiver, and not the Holders of any one of such series; provided further that if any
such past default has occurred with respect to more than one series of
Subordinated Securities, the Holders of a majority in aggregate principal amount
of the Outstanding Securities of all such series, considered as one class, may
make such waiver, and not the Holders of any one of such series, in each case
except a default

     

    (1)           in
the payment of the principal of (or premium, if any) or interest, if any, on any
Security of such series, or

     

    (2)           in
respect of a covenant or provision hereof that under Section 902 cannot be modified
or amended without the consent of the Holder of each Outstanding Security of
such series affected.

     

    Upon any
such waiver, such default shall cease to exist, and any Event of Default arising
therefrom shall be deemed to have been cured, for every purpose of this
Indenture; but no such waiver shall extend to any subsequent or other default or
impair any right consequent thereon.

     

    Section
514.          Undertaking for Costs
. All parties to this Indenture agree, and each Holder of any Security by
his acceptance thereof shall be deemed to have agreed, that any court may in its
discretion require, in any suit for the enforcement of any right or remedy under
this Indenture, or in any suit against the Trustee for any action taken,
suffered or omitted by it as Trustee, the filing by any party litigant in such
suit of an undertaking to pay the costs of such suit, and that such court may in
its discretion assess reasonable costs, including reasonable attorneys’ fees,
against any party litigant in such suit, having due regard to the merits and
good faith of the claims or defenses made by such party litigant; but the
provisions of this Section shall not apply to any suit instituted by the
Company, to any suit instituted by the Trustee, to any suit instituted by any
Holder, or group of Holders, holding in the aggregate more than 10% in aggregate
principal amount of the Outstanding Securities of all series in respect of which
such suit may be brought, considered as one class, or to any suit instituted by
any Holder for the enforcement of the payment of the principal of (or premium,
if any) or interest, if any, on any Security on or after the Stated Maturity or
Maturities expressed in such Security (or, in the case of redemption, on or
after the Redemption Date, or, in the case of repayment at the option of the
Holder, on or after the Repayment Date).

    

    
      
         

      

      
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    Section
515.          Waiver of Stay or Extension
Laws . The Company covenants (to the extent that it may lawfully do so)
that it will not at any time insist upon, or plead, or in any manner whatsoever
claim or take the benefit or advantage of, any stay or extension law wherever
enacted, now or at any time hereafter in force, which may affect the covenants
or the performance of this Indenture; and the Company (to the extent that it may
lawfully do so) hereby expressly waives all benefit or advantage of any such law
and covenants that it will not hinder, delay or impede the execution of any
power herein granted to the Trustee, but will suffer and permit the execution of
every such power as though no such law had been enacted.

     

    ARTICLE
VI

     

    THE
TRUSTEE

     

    Section
601.          Certain Duties and
Responsibilities . (a)  Except during the continuance of an
Event of Default with respect to Securities of any series,

     

    (1)          the
Trustee undertakes to perform, with respect to Securities of such series, such
duties and only such duties as are specifically set forth in this Indenture, and
no implied covenants or obligations shall be read into this Indenture against
the Trustee; and

     

    (2)          in
the absence of bad faith on its part, the Trustee may, with respect to
Securities of such series, conclusively rely, as to the truth of the statements
and the correctness of the opinions expressed therein, upon certificates or
opinions furnished to the Trustee and conforming to the requirements of this
Indenture; but in the case of any such certificates or opinions which by any
provision hereof are specifically required to be furnished to the Trustee, the
Trustee shall be under a duty to examine the same to determine whether or not
they conform to the requirements of this Indenture.

     

    (b)          If
an Event of Default with respect to Securities of any series has occurred and is
continuing, the Trustee shall exercise, with respect to Securities of such
series, such of the rights and powers vested in it by this Indenture, and use
the same degree of care and skill in their exercise, as a prudent man would
exercise or use under the circumstances in the conduct of his own
affairs.

     

    (c)          No
provision of this Indenture shall be construed to relieve the Trustee from
liability for its own negligent action, its own negligent failure to act, or its
own wilful misconduct, except
that

    

    
      
         

      

      
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    (1)           this
subsection shall not be construed to limit the effect of sub-section (a) of this
Section;

     

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

     

    (3)           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 Holders of a
majority in aggregate principal amount of the Outstanding Securities of any one
or more series, as provided herein, relating to the time, method and place of
conducting any proceeding for any remedy available to the Trustee, or exercising
any trust or power conferred upon the Trustee, under this Indenture with respect
to the Securities of such series; and

     

    (4)           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
has reasonable grounds for believing that repayment of such funds or adequate
indemnity against such risk or liability is not reasonably assured to
it.

     

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

     

    Section
602.         Notice of Defaults .
Within 90 days after the occurrence of any default hereunder with respect to the
Securities of any series, the Trustee shall transmit by mail to all Holders of
Securities of such series entitled to receive reports pursuant to Section 704(3) (and, if
Unregistered Securities of that series are outstanding, shall cause to be
published at least once in an Authorized Newspaper in The City of New York and,
if Securities of that series are listed on any stock exchange outside of the
United States, in the city in which such stock exchange is located) notice of
such default hereunder known to the Trustee, unless such default shall have been
cured or waived; provided
, however ,
that, except in the case of a default in the payment of the principal of (or
premium, if any) or interest, if any, on any Security of such series or in the
payment of any sinking fund installment with respect to Securities of such
series, the Trustee shall be protected in withholding such notice if and so long
as the board of directors, the executive committee or a trust committee of
directors or Responsible Officers of the Trustee in good faith determine that
the withholding of such notice is in the interest of the Holders of Securities
of such series; and provided,
further, that in the case of any default of the character specified in
Section 501(4) with
respect to Securities of such series, no such notice to Holders shall be given
until at least 75 days after the occurrence thereof.  For the purpose
of this Section, the term “ default
” means any event that is, or after notice or lapse of time or both would
become, an Event of Default with respect to Securities of such
series.

     

    Section
603.          Certain Rights of Trustee
. Subject to the provisions of Section 601 and to the
applicable provisions of the Trust Indenture Act:

    
      
         

      

      
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    (a)           the
Trustee may rely and shall be protected in acting or refraining from acting upon
any resolution, certificate, statement, instrument, opinion, report, notice,
request, direction, consent, order, bond, debenture, note, other evidence of
indebtedness or other paper or document reasonably believed by it to be genuine
and to have been signed or presented by the proper party or
parties;

     

    (b)           any
request or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order, or as otherwise expressly
provided herein, and any resolution of the Board of Directors may be
sufficiently evidenced by a Board Resolution;

     

    (c)           whenever
in the administration of this Indenture the Trustee shall deem it desirable that
a matter be proved or established prior to taking, suffering or omitting any
action hereunder, the Trustee (unless other evidence be herein specifically
prescribed) may, in the absence of bad faith on its part, rely upon an Officer’s
Certificate or a certificate of an officer or officers delivered pursuant to
Section 301 and such
Officer’s Certificate or certificate of an officer or officers, in the absence
of negligence or bad faith on the part of the Trustee, shall be full warrant to
the Trustee for any action taken, suffered or omitted by it under the provisions
of this Indenture upon the faith thereof;

     

    (d)           the
Trustee may consult with counsel and the written advice of such counsel or any
Opinion of Counsel shall be full and complete authorization and protection in
respect of any action taken, suffered or omitted by it hereunder in good faith
and in reliance thereon;

     

    (e)           the
Trustee shall be under no obligation to exercise any of the rights or powers
vested in it by this Indenture at the request or direction of any of the Holders
pursuant to this Indenture, unless such Holders shall have offered to the
Trustee reasonable security or indemnity against the costs, expenses and
liabilities that might be incurred by it in compliance with such request or
direction;

     

    (f)           the
Trustee shall not be bound to make any investigation into the facts or matters
stated in any resolution, certificate, statement, instrument, opinion, report,
notice, request, direction, consent, order, bond, debenture, note, other
evidence of indebtedness or other paper or document, but the Trustee, in its
discretion, may make such further inquiry or investigation into such facts or
matters as it may see fit, and, if the Trustee shall determine to make such
further inquiry or investigation, it shall (subject to applicable legal
requirements) be entitled to examine, during normal business hours, the books,
records and premises of the Company, personally or by agent or attorney;
and

     

    (g)           the
Trustee may execute any of the trusts or powers hereunder or perform any duties
hereunder either directly or by or through agents or attorneys and the Trustee
shall not be responsible for any misconduct or negligence on the part of any
agent or attorney appointed with due care by it hereunder; no Depository or
Paying Agent shall be deemed an agent of the Trustee and the Trustee shall not
be responsible for any act or omission by any of them.

    
      
         

      

      
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    Section
604.          Not Responsible for Recitals
or Issuance of Securities . The recitals contained herein and in the
Securities, except the Trustee’s certificate of authentication, shall be taken
as the statements of the Company, and the Trustee or any Authenticating Agent
assumes no responsibility for their correctness.  The Trustee makes no
representations as to the validity or sufficiency of this Indenture or of the
Securities of any series or any coupons.  The Trustee or any
Authenticating Agent shall not be accountable for the use or application by the
Company of Securities or the proceeds thereof.  The Trustee shall not
be responsible for and makes no representations as to the Company’s ability or
authority to issue the Unregistered Securities or the lawfulness
thereof.

     

    Section
605.          May Hold Securities .
The Trustee, any Authenticating Agent, any Paying Agent, any Security Registrar
or any other agent of the Company or the Trustee, in its individual or any other
capacity, may become the owner or pledgee of Securities and, subject to Sections 608 and 613 , may otherwise deal with
the Company with the same rights it would have if it were not Trustee,
Authenticating Agent, Paying Agent, Security Registrar or such other
agent.

     

    Section
606.          Money Held in Trust .
Money held by the Trustee or by any Paying Agent (other than the Company if the
Company shall act as Paying Agent) in trust hereunder need not be segregated
from other funds except to the extent required by law. Neither the Trustee nor
any Paying Agent shall be liable for interest on any money received by it
hereunder except as expressly provided herein or otherwise agreed with the
Company.

     

    Section
607.          Compensation and
Reimbursement . The Company agrees

     

    (1)           to
pay to the Trustee from time to time reasonable compensation for all services
rendered by it hereunder (which compensation shall not be limited by any
provision of law in regard to the compensation of a trustee of an express
trust);

     

    (2)           except
as otherwise expressly provided herein, to reimburse the Trustee upon its
request for all reasonable expenses, disbursements and advances incurred or made
by the Trustee in accordance with any provision of this Indenture (including the
reasonable compensation and the expenses and disbursements of its agents and
counsel), except any such expense, disbursement or advance as may be
attributable to its negligence, wilful misconduct or bad faith; and

     

    (3)           to
indemnify the Trustee for, and to hold it harmless against, any loss, liability
or expense reasonably incurred without negligence, wilful misconduct or bad
faith on its part, arising out of or in connection with the acceptance or
administration of the trust or trusts hereunder or performance of its duties
hereunder, including the costs and expenses of defending itself against any
claim or liability in connection with the exercise or performance of any of its
powers or duties hereunder.

     

    As
security for the performance of the obligations of the Company under this
Section, the Trustee shall have a claim prior to the Securities and any coupons
upon all property and funds held or collected by the Trustee as such, except
property and funds held in trust for the payment of principal of (and premium,
if any) or interest, if any, on particular Securities or any
coupons.

    
      
         

      

      
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    Section
608.           Disqualification;
Conflicting Interests . If the Trustee has or acquires any conflicting
interest within the meaning of the Trust Indenture Act with respect to the
Securities of any series, it shall either eliminate such conflicting interest or
resign to the extent, in the manner and with the effect, and subject to the
conditions, provided in the Trust Indenture Act and this Indenture. For purposes
of Section 310(b)(1) of the Trust Indenture Act and to the extent permitted
thereby, the Trustee, in its capacity as trustee in respect of the equally
ranked and unsecured Securities of any series, shall not be deemed to have a
conflicting interest arising from its capacity as trustee in respect of the
equally ranked and unsecured Securities of any other series under this Indenture
or any securities issued under the Indenture dated as of [  ] between
the Company and the Trustee [specifically describe other
outstanding indentures with the Trustee] .

     

    Section
609.           Corporate Trustee Required;
Eligibility . There shall at all times be a Trustee hereunder that shall
be a corporation organized and doing business under the laws of the United
States of America, any State thereof or the District of Columbia (or such other
Person as may be permitted to act as Trustee by the Commission), authorized
under such laws to exercise corporate trust powers, having a combined capital
and surplus of at least $50,000,000, subject to supervision or examination by
federal or state authority and qualified and eligible under this Article, provided that, neither the
Company nor any Affiliate of the Company may serve as Trustee of any
Securities.  If such corporation publishes reports of condition at
least annually, pursuant to law or to the requirements of said supervising or
examining authority, then for the purposes of this Section, the combined capital
and surplus of such corporation shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so
published.  If at any time the Trustee ceases to be eligible in
accordance with the provisions of this Section, it shall resign immediately in
the manner and with the effect hereinafter specified in this
Article.

     

    Section
610.           Resignation and Removal;
Appointment of Successor . (a)  No resignation or removal of
the Trustee and no appointment of a successor Trustee pursuant to this Article
shall become effective until the acceptance of appointment by the successor
Trustee in accordance with the applicable requirements of Section 611 .

     

    (b)           The
Trustee may resign at any time with respect to the Securities of one or more
series by giving written notice thereof to the Company.  If the
instrument of acceptance by a successor Trustee required by Section 611 has not been
delivered to the Trustee within 30 days after the giving of such notice of
resignation, the resigning Trustee may petition any court of competent
jurisdiction for the appointment of a successor Trustee with respect to the
Securities of such series.

     

    (c)           The
Company may at any time by a Board Resolution remove the Trustee with respect to
the Securities of any or all series.

     

    (d)           The
Trustee may be removed at any time with respect to the Securities of any series
by Act of the Holders of a majority in aggregate principal amount of the
Outstanding Securities of such series, delivered to the Trustee and to the
Company.

     

    (e)           If
at any time:

    
      
         

      

      
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    (1)           the
Trustee fails to comply with Section 608 with respect to
the Securities of any series, after written request therefor by the Company or
by any Holder who has been a bona fide Holder of a Security of such series for
at least six months, or

     

    (2)           the
Trustee ceases to be eligible under Section 609 and fails to
resign after written request therefor by the Company or by any such Holder,
or

     

    (3)           the
Trustee becomes incapable of acting or becomes adjudged a bankrupt or insolvent
or a receiver of the Trustee or of its property is appointed or any public
officer takes charge or control of the Trustee or of its property or affairs for
the purpose of rehabilitation, conservation or liquidation,

     

    then, in
any such case, subject to Section 514 , any Holder who
has been a bona fide Holder of a Security for at least six months may, on behalf
of himself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Trustee with respect to all Securities and
the appointment of a successor Trustee or Trustees.

     

    (f)           If
the Trustee resigns, is removed or becomes incapable of acting, or if a vacancy
shall occur in the office of Trustee for any cause, with respect to the
Securities of one or more series, the Company, by a Board Resolution, shall
promptly appoint a successor Trustee or Trustees with respect to the Securities
of that or those series (it being understood that any such successor Trustee may
be appointed with respect to the Securities of one or more or all of such series
and that at any time there shall be only one Trustee with respect to the
Securities of any particular series) and shall comply with the applicable
requirements of Section 611
.  If, within one year after such resignation, removal or
incapability, or the occurrence of such vacancy, a successor Trustee with
respect to the Securities of any series is appointed by Act of the Holders of a
majority in aggregate principal amount of the Outstanding Securities of such
series delivered to the Company and the retiring Trustee, the successor Trustee
so appointed shall, forthwith upon its acceptance of such appointment in
accordance with the applicable requirements of Section 611 , become the
successor Trustee with respect to the Securities of such series and to that
extent supersede the successor Trustee appointed by the Company.  If
no successor Trustee with respect to the Securities of any series has been so
appointed by the Company or the Holders and accepted appointment in the manner
required by Section 611
, any Holder who has been a bona fide Holder of a Security of such series
for at least six months may, subject to Section 514 , on behalf of
himself and all others similarly situated, petition any court of competent
jurisdiction for the appointment of a successor Trustee with respect to the
Securities of such series.

     

    (g)           The
Company shall give notice of each resignation and each removal of the Trustee
with respect to the Securities of any series and each appointment of a successor
Trustee with respect to the Securities of any series by mailing written notice
of such event by first-class mail, postage prepaid, to all Holders of Securities
of such series entitled to receive reports pursuant to Section 704(3) and, if any
Unregistered Securities are outstanding, by publishing notice of such event once
in an Authorized Newspaper in The City of New York and, if any Unregistered
Securities are listed on any stock exchange outside of the United States, in the
city in which such stock exchange is located.  Each notice shall
include the name of the successor Trustee with respect to the Securities of such
series and the address of its Corporate Trust Office.

    
      
         

      

      
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    (h)           All
provisions of this Section except subparagraph (d) and Section 611(b) (except for the
last clause, after omitting the words “after deducting all amounts owed to the
retiring Trustee pursuant to Section 607 ,” which shall
apply) shall apply also to any Paying Agent located outside the United States
and its possessions.

     

    Section
611.           Acceptance of Appointment by
Successor . (a)  In case of the appointment hereunder of a
successor Trustee with respect to the Securities of all series, every such
successor Trustee so appointed shall execute, acknowledge and deliver to the
Company and to the retiring Trustee an instrument accepting such appointment,
and thereupon the resignation or removal of the retiring Trustee shall become
effective and such successor Trustee, without any further act, deed or
conveyance, shall become vested with all the rights, powers, trusts and duties
of the retiring Trustee; but, on the request of the Company or the successor
Trustee, such retiring Trustee shall, upon payment of its charges, execute and
deliver an instrument transferring to such successor Trustee all the rights,
powers and trusts of the retiring Trustee and shall duly assign, transfer and
deliver to such successor Trustee all property and money held by such retiring
Trustee hereunder, subject nevertheless to its lien provided for in Section 607 .

     

    (b)           In
case of the appointment hereunder of a successor Trustee with respect to the
Securities of one or more (but not all) series, the Company, the retiring
Trustee and each successor Trustee with respect to the Securities of one or more
series shall execute and deliver an indenture supplemental hereto wherein each
successor Trustee shall accept such appointment and which (1) shall contain such
provisions as shall be necessary or desirable to transfer and confirm to, and to
vest in, each successor Trustee all the rights, powers, trusts and duties of the
retiring Trustee with respect to the Securities of that or those series to which
the appointment of such successor Trustee relates, (2) if the retiring Trustee
is not retiring with respect to all Securities, shall contain such provisions as
shall be deemed necessary or desirable to confirm that all the rights, powers,
trusts and duties of the retiring Trustee with respect to the Securities of that
or those series as to which the retiring Trustee is not retiring shall continue
to be vested in the retiring Trustee, and (3) shall add to or change any of the
provisions of this Indenture as shall be necessary to provide for or facilitate
the administration of the trusts hereunder by more than one Trustee, it being
understood that nothing herein or in such supplemental indenture shall
constitute such Trustees co-trustees of the same trust and that each such
Trustee shall be trustee of a trust or trusts hereunder separate and apart from
any trust or trusts hereunder administered by any other such Trustee; and upon
the execution and delivery of such supplemental indenture the resignation or
removal of the retiring Trustee shall become effective to the extent provided
therein and each such successor Trustee, without any further act, deed or
conveyance, shall become vested with all the rights, powers, trusts and duties
of the retiring Trustee with respect to the Securities of that or those series
to which the appointment of such successor Trustee relates; but, on request of
the Company or any successor Trustee, such retiring Trustee shall duly assign,
transfer and deliver to such successor Trustee, after deducting all amounts owed
to the retiring Trustee pursuant to Section 607 , all property and
money held by such retiring Trustee hereunder with respect to the Securities of
that or those series to which the appointment of such successor Trustee
relates.

     

    (c)           Upon
request of any such successor Trustee, the Company shall execute any and all
instruments for more fully and certainly vesting in and confirming to such
successor Trustee all such rights, powers and trusts referred to in paragraph
(a) or (b) of this Section, as the case may be.

    
      
         

      

      
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    (d)           No
successor Trustee shall accept its appointment unless at the time of such
acceptance such successor Trustee shall be qualified and eligible under this
Article.

     

    Section
612.           Merger, Conversion,
Consolidation or Succession to Business . Any corporation into which the
Trustee may be merged or converted or with which it may be consolidated, or any
corporation resulting from any merger, conversion or consolidation to which the
Trustee shall be a party, or any corporation succeeding to all or substantially
all the corporate trust business of the Trustee, shall be the successor of the
Trustee hereunder, provided
such corporation shall be otherwise qualified and eligible under this
Article, without the execution or filing of any paper or any further act on the
part of any of the parties hereto.  In case any Securities shall have
been authenticated, but not delivered, by the Trustee then in office, any
successor by merger, conversion or consolidation to such authenticating Trustee
may adopt such authentication and deliver the Securities so authenticated with
the same effect as if such successor Trustee had itself authenticated such
Securities.  In case any Securities shall not have been authenticated
by such predecessor Trustee, any such successor Trustee may authenticate and
deliver such Securities, in either its own name or that of its predecessor
Trustee, with the full force and effect which this Indenture provides for the
certificate of authentication of the Trustee.

     

    Section
613.           Preferential Collection of
Claims Against Company . The Trustee shall comply with TIA § 311(a),
excluding any creditor relationship listed in TIA § 311(b).  A
Trustee who has resigned or been removed shall be subject to TIA § 311(a)
to the extent indicated therein.

     

    Section
614.           Appointment of
Authenticating Agent . At any time when any of the Securities remain
Outstanding the Trustee may appoint an Authenticating Agent or Agents (which may
include any Person that owns, directly or indirectly, all of the capital stock
of the Trustee or a corporation that is a wholly-owned subsidiary of the Trustee
or of such other Person) with respect to one or more series of Securities, or
any Tranche thereof, that shall be authorized to act on behalf of the Trustee to
authenticate Securities of such series or Tranche issued upon original issuance,
exchange, registration of transfer or partial redemption thereof or pursuant to
Section 306 , and
Securities so authenticated shall be entitled to the benefits of this Indenture
and shall be valid and obligatory for all purposes as if authenticated by the
Trustee hereunder.  The Trustee shall mail written notice of such
appointment by first-class mail, postage prepaid, to all Holders of Securities
of the series or Tranche with respect to which such Authenticating Agent will
serve, and which are entitled to receive reports pursuant to Section 704(3) and, if any
Unregistered Securities are outstanding, by publishing notice of such event once
in an Authorized Newspaper in The City of New York and, if any Unregistered
Securities are listed on any stock exchange outside of the United States, in the
city in which such stock exchange is located.  Wherever reference is
made in this Indenture to the authentication and delivery of Securities by the
Trustee or the Trustee’s certificate of authentication, such reference shall be
deemed to include authentication and delivery on behalf of the Trustee by an
Authenticating Agent and a certificate of authentication executed on behalf of
the Trustee by an Authenticating Agent.  Each Authenticating Agent
shall be acceptable to the Company and shall at all times be a corporation
organized and doing business under the laws of the United States of America, any
state thereof or the District of Columbia, authorized under such laws to act as
Authenticating Agent, having a combined capital and surplus of not less than
$1,000,000 and subject to supervision or examination by federal or state
authority.  If such Authenticating Agent publishes reports of
condition at least annually, pursuant to law or to the requirements of said
supervising or examining authority, then for the purposes of this Section, the
combined capital and surplus of such Authenticating Agent shall be deemed to be
its combined capital and surplus as set forth in its most recent report of
condition so published.  If at any time an Authenticating Agent ceases
to be eligible in accordance with the provisions of this Section, such
Authenticating Agent shall resign immediately in the manner and with the effect
specified in this Section.

    
      
         

      

      
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    Any
corporation into which an Authenticating Agent may be merged or converted or
with which it may be consolidated, or any corporation resulting from any merger,
conversion or consolidation to which such Authenticating Agent shall be a party,
or any corporation succeeding to the corporate agency or corporate trust
business of an Authenticating Agent, shall continue to be an Authenticating
Agent, provided such
corporation shall be otherwise eligible under this Section, without the
execution or filing of any paper or any further act on the part of the Trustee
or the Authenticating Agent.

     

    An
Authenticating Agent may resign with respect to one or more series of Securities
at any time by giving written notice thereof to the Trustee and to the
Company.  The Trustee may at any time terminate the agency of an
Authenticating Agent with respect to one or more series of Securities by giving
written notice thereof to such Authenticating Agent and to the Company. Upon
receiving such a notice of resignation or upon such a termination, or in case at
any time such Authenticating Agent ceases to be eligible in accordance with the
provisions of this Section, the Trustee may appoint a successor Authenticating
Agent that is acceptable to the Company and shall provide notice of such
appointment to all Holders of Securities of the series or Tranche with respect
to which such Authenticating Agent will serve, as provided in paragraph (a) of
this Section.  Any successor Authenticating Agent upon acceptance of
its appointment hereunder shall become vested with all the rights, powers and
duties of its predecessor hereunder, with like effect as if originally named as
an Authenticating Agent.  No successor Authenticating Agent shall be
appointed unless eligible under the provisions of this Section.  An
Authenticating Agent appointed pursuant to this Section shall be entitled to
rely on Sections 111 ,
308 , 604 and 605 hereunder.

     

    The
Trustee agrees to pay to each Authenticating Agent from time to time reasonable
compensation for its services under this Section, and the Trustee shall be
entitled to be reimbursed for such payments, subject to the provisions of Section 607 .

     

    If an
appointment with respect to the Securities of one or more series, or any Tranche
thereof, is made pursuant to this Section, the Securities of such series or
Tranche may have endorsed thereon, in addition to the Trustee’s certificate of
authentication, an alternate certificate of authentication in the following
form:

    
      
         

      

      
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    This is
one of the Securities of the series designated pursuant to and issued under the
within-mentioned Indenture.

     

    
      
        	
                [

              	
                                   ]

              
	 
      	
                As
      Trustee

              
	 
      	 
      
	
                By

              	 
      
	 
      	
                As
      Authenticating Agent on behalf of the Trustee

              
	 
      	 
      
	
                By

              	 
      
	 
      	
                Authorized
      Officer of Authenticating
Agent

              

      

    

    

    Dated:______________

    

    If all of
the  Securities of a series may not be originally issued at one time,
and if the Trustee does not have an office capable of authenticating Securities
upon original issuance located in a Place of Payment where the Company wishes to
have Securities of such series authenticated upon original issuance, the
Trustee, if so requested by the Company in writing (which writing need not
comply with Section 102
and need not be accompanied by an Opinion of Counsel), shall appoint, in
accordance with this Section and in accordance with such procedures as shall be
acceptable to the Trustee, an Authenticating Agent (which, if so requested by
the Company, may be an Affiliate of the Company) having an office in a Place of
Payment designated by the Company with respect to such series of
Securities.

     

    ARTICLE
VII

     

    HOLDERS’ LISTS AND REPORTS
BY TRUSTEE AND COMPANY

     

    Section
701.           Company to Furnish Trustee
Names and Addresses of Holders . The Company will furnish or cause to be
furnished to the Trustee

     

    (a)           semi-annually,
not later than the 15th day after each Regular Record Date for each series of
Registered Securities at the time Outstanding or on June 30 and December 31 of
each year with respect to each series of Securities for which there are no
Regular Record Dates, a list, in such form as the Trustee may reasonably
require, containing all the information in the possession or control of the
Company, or any of its Paying Agents other than the Trustee, of the names and
addresses of the Holders of Registered Securities of such series, including
Holders of interests in Global Securities, as of such preceding Regular Record
Date or on June 15 or December 15, as the case may be, or, in the case of a
series of non-interest bearing Securities, on a date to be determined as
contemplated pursuant to Section 301 ,
and

    
      
         

      

      
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    (b)           at
such other times as the Trustee may request in writing, within 30 days after the
receipt by the Company of any such request, a list of similar form and content
as of a date not more than 15 days prior to the time such list is
furnished;

     

    excluding from any such list
names and addresses received by the Trustee in its capacity as Security
Registrar for Registered Securities other than Global Securities.

     

    Section
702.           Preservation of Information;
Communications to Holders . (a)  The Trustee shall preserve, in
as current a form as is reasonably practicable, the names and addresses of
Holders of Registered Securities contained in the most recent list furnished to
the Trustee as provided in Section 701 and the names and
addresses of Holders of Registered Securities received by the Trustee in its
capacity as Security Registrar or Paying Agent.  The Trustee may
destroy any list furnished to it as provided in Section 701 upon receipt of a
new list so furnished.

     

    (b)           If
three or more Holders (herein referred to as “applicants”) apply in writing to
the Trustee, and furnish to the Trustee reasonable proof that each such
applicant has owned a Security for a period of at least six months preceding the
date of such application, and such application states that the applicants desire
to communicate with other Holders with respect to their rights under this
Indenture or under the Securities and is accompanied by a copy of the form of
proxy or other communication that such applicants propose to transmit, then the
Trustee shall, within five business days after the receipt of such application,
at its election, either

     

               (i)
afford such applicants access to the information preserved at the time by the
Trustee in accordance with Section 702(a) ,
or

     

               (ii)
inform such applicants as to the approximate number of Holders whose names and
addresses appear in the information preserved at the time by the Trustee in
accordance with Section 702(a)
, and as to the approximate cost of mailing to such Holders the form of
proxy or other communication, if any, specified in such
application.

     

    If the
Trustee elects not to afford such applicants access to such information, the
Trustee shall, upon the written request of such applicants, mail to each Holder
whose name and address appear in the information preserved at the time by the
Trustee in accordance with Section 702(a) a copy of the
form of proxy or other communication that is specified in such request, with
reasonable promptness after a tender to the Trustee by the applicants of the
material to be mailed and of payment, or provision for the payment, of the
reasonable expenses of mailing, unless within five days after such tender the
Trustee shall mail to such applicants and file with the Commission, together
with a copy of the material to be mailed, a written statement to the effect
that, in the opinion of the Trustee, such mailing would be contrary to the best
interest of the Holders or would be in violation of applicable
law.  Such written statement shall specify the basis of such
opinion.  If the Commission, after opportunity for a hearing upon the
objections specified in the written statement so filed, enters an order refusing
to sustain any of such objections or if, after the entry of an order sustaining
one or more of such objections, the Commission finds, after notice and
opportunity for hearing, that all the objections so sustained have been met and
enters an order so declaring, the Trustee shall mail copies of such material to
all such Holders with reasonable promptness after the entry of such order and
the renewal of such tender by such applicants; otherwise the Trustee shall be
relieved of any obligation or duty to such applicants respecting their
application.

    
      
         

      

      
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    (c)           Every
Holder of Securities or coupons, by receiving and holding the same, agrees with
the Company and the Trustee that neither the Company nor the Trustee nor any
agent of either of them shall be held accountable by reason of the disclosure of
any such information as to the names and addresses of the Holders in accordance
with Section 702(b) ,
regardless of the source from which such information was derived, and that the
Trustee shall not be held accountable by reason of mailing any material pursuant
to a request made under Section
702(b) .

     

    Section
703.           Reports by Trustee .
(a)  Within 60 days after May 15 of each year commencing with the year
200_, the Trustee shall transmit by mail to all Holders of Registered Securities
of any series, as their names and addresses appear in the Security Register and
to all other Holders who are entitled to receive reports pursuant to Section 704(3) , a brief
report dated as of such May 15 with respect to any of the following events which
may have occurred within the previous 12 months (but if no such event has
occurred within such period no report need be transmitted):

     

    (1)           any
change to its eligibility under Section 609 and its
qualifications under Section
608 ;

     

    (2)           the
creation of or any material change to a relationship specified in paragraphs (1)
through (10) of Section 310(b)
of the Trust Indenture Act;

     

    (3)           the
character and amount of any advances (and if the Trustee elects so to state, the
circumstances surrounding the making thereof) made by the Trustee (as such)
which remain unpaid on the date of such report, and for the reimbursement of
which it claims or may claim a lien or charge, prior to that of the Securities
of such series or any related coupons, on any property or funds held or
collected by it as Trustee, except that the Trustee shall not be required (but
may elect) to report such advances if such advances so remaining unpaid
aggregate not more than one-half of 1% of the principal amount of the Securities
of such series Outstanding on the date of such report;

     

    (4)           the
amount, interest rate and maturity date of all other indebtedness owing by the
Company (or by any other obligor on the Securities of such series) to the
Trustee in its individual capacity, on the date of such report, with a brief
description of any property held as collateral security therefor, except an
indebtedness based upon a creditor relationship arising in any manner described
in paragraphs (2) ,
(3) , (4) or (6) of Section 311(b) of the Trust
Indenture Act;

     

    (5)           any
change to the property and funds, if any, physically in the possession of the
Trustee as such on the date of such report;

     

    (6)           any
additional issue of Securities which the Trustee has not previously reported;
and

     

    (7)           any
action taken by the Trustee in the performance of its duties hereunder which it
has not previously reported and which in its opinion materially affects the
Securities of such series, except action in respect of a default, notice of
which has been or is to be withheld by the Trustee in accordance with Section 602 .

    
      
         

      

      
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    (b)           The
Trustee shall transmit by mail to all Holders of Registered Securities of any
series, as their names and addresses appear in the Security Register and to all
Holders who are entitled to receive reports pursuant to Section 704(3) , a brief
report with respect to the character and amount of any advances (and if the
Trustee elects so to state, the circumstances surrounding the making thereof)
made by the Trustee (as such) since the date of the last report transmitted
pursuant to subsection (a) of this Section (or if no such report has yet been so
transmitted, since the date of execution of this instrument) for the
reimbursement of which it claims or may claim a lien or charge, prior to that of
the Securities of such series, on property or funds held or collected by it as
Trustee and which it has not previously reported pursuant to this subsection,
except that the Trustee shall not be required (but may elect) to report such
advances if such advances remaining unpaid at any time aggregate 10% or less of
the principal amount of the Securities of such series Outstanding at such time,
such report to be transmitted within 90 days after such time.

     

    (c)           A
copy of each such report shall, at the time of such transmission to Holders, be
filed by the Trustee with each stock exchange upon which any Securities are
listed, with the Commission and with the Company. The Company will notify the
Trustee in writing when any Securities are listed on any stock
exchange.

     

    Section
704.           Reports by Company .
The Company shall:

     

    (1)           file
with the Trustee, within 45 days after the Company is required to file the same
with the Commission, copies of the annual reports and of the information,
documents and other reports (or copies of such portions of any of the foregoing
as the Commission may from time to time by rules and regulations prescribe) that
the Company may be required to file with the Commission pursuant to Section 13
or Section 15(d) of the Securities Exchange Act of 1934; or, if the Company is
not required to file information, documents or reports pursuant to either of
said Sections, then it shall file with the Trustee and the Commission, in
accordance with rules and regulations prescribed from time to time by the
Commission, such of the supplementary and periodic information, documents and
reports that may be required pursuant to Section 13 of the Securities Exchange
Act of 1934 in respect of a security listed and registered on a national
securities exchange as may be prescribed from time to time in such rules and
regulations;

     

    (2)           file
with the Trustee and the Commission, in accordance with rules and regulations
prescribed by the Commission, such additional information, documents and reports
with respect to compliance by the Company with the conditions and covenants of
this Indenture as may be required from time to time by such rules and
regulations; and

    
      
         

      

      
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    (3)           transmit
by mail to all Holders of Registered Securities, as their names and addresses
appear in the Security Register, to such Holders of Unregistered Securities as
have, within the two years preceding such transmission, filed their names and
addresses with the Trustee for that purpose and to each Holder whose name and
address is then preserved on the Trustee’s list pursuant to the first sentence
of Section 702(a) ,
within 30 days after the filing thereof with the Trustee, such summaries of any
information, documents and reports required to be filed by the Company pursuant
to paragraphs (1) and (2) of this Section as may be required by rules and
regulations prescribed from time to time by the Commission.

     

    ARTICLE
VIII

     

    CONSOLIDATION, MERGER,
CONVEYANCE OR TRANSFER

     

    Section
801.           Company May Consolidate,
Etc. Only on Certain Terms . The Company shall not consolidate with or
merge into any other corporation or convey, transfer or lease all or
substantially all of its properties and assets to any Person,
unless:

     

    (1)           the
corporation formed by such consolidation or into which the Company is merged or
the Person that acquires by conveyance, transfer or lease the properties and
assets of the Company substantially as an entirety shall be a Person organized
and existing under the laws of the United States of America, any State thereof
or the District of Columbia and shall expressly assume, by an indenture
supplemental hereto, executed and delivered to the Trustee, in form satisfactory
to the Trustee, the due and punctual payment of the principal of (and premium,
if any) and interest, if any, on all the Outstanding Securities and the
performance of every covenant of this Indenture on the part of the Company to be
performed or observed;

     

    (2)           immediately
after giving effect to such transaction, no Event of Default and no event that,
after notice or lapse of time or both, would become an Event of Default, shall
have occurred and be continuing;

     

    (3)           the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel, each stating that such consolidation, merger, conveyance, transfer or
lease and such supplemental indenture comply with this Article and that all
conditions precedent herein provided for relating to such transaction have been
met.

     

    Section
802.           Successor Corporation
Substituted . Upon any consolidation or merger or any conveyance,
transfer or lease of all or substantially all the properties and assets of the
Company in accordance with Section 801 , the successor
corporation formed by such consolidation or into which the Company is merged or
to which such conveyance, transfer or lease is made shall succeed to, and be
substituted for, and may exercise every right and power of, the Company under
this Indenture with the same effect as if such successor corporation had been
named as the Company herein and thereafter, in the case of  a
conveyance, transfer or lease of properties and assets of the Company
substantially as an entirety, such conveyance, transfer or lease shall have the
effect of releasing the Person named as the “Company” in the first paragraph of
this instrument or any successor corporation which shall theretofore have become
such in the manner prescribed in this Article from its liability as obligor and
maker on any of the Securities.

    
      
         

      

      
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    ARTICLE
IX

     

    SUPPLEMENTAL
INDENTURES

     

    Section
901.           Supplemental Indentures
Without Consent of Holders . Without the consent of any Holders, the
Company and the Trustee, at any time and from time to time, may enter into one
or more indentures supplemental hereto, in form satisfactory to the Trustee, for
any of the following purposes:

     

    (1)           to
evidence the succession of another Person to the Company and the assumption by
any such successor of the covenants of the Company herein and in the Securities;
or

     

    (2)           to
add to the covenants of the Company for the benefit of the Holders of all or any
series of Securities, or any Tranche thereof (and if such covenants are to be
for the benefit of less than all series of Securities, stating that such
covenants are expressly being included solely for the benefit of such series),
or to surrender any right or power herein conferred upon the Company;
or

     

    (3)           to
add any additional Events of Default with respect to all or any series of
Securities Outstanding hereunder; or

     

    (4)           to
add to or change any of the provisions of this Indenture to such extent as shall
be necessary to permit or facilitate the issuance of Securities in bearer form,
registrable or not registrable as to principal, and with or without interest
coupons; or

     

    (5)           to
change or eliminate any of the provisions of this Indenture, or to add any new
provision to this Indenture, in respect of one or more series or Tranches of
Securities; provided ,
however , that any such
change, elimination or addition (A) shall neither (i) apply to any Security
Outstanding on the date of such indenture supplemental hereto nor (ii) modify
the rights of the Holder of any such Security with respect to such provision in
effect prior to the date of such indenture supplemental hereto or (B) shall
become effective only when no Security of such series or Tranche remains
Outstanding; or

     

    (6)           to
secure the Securities pursuant to the requirements of any covenant on liens in
respect of such series of Securities or otherwise; or

     

    (7)           to
establish for the issuance of and establish the form or terms and conditions of
Securities of any series or Tranche as permitted by Section 301 , and to establish
the form of any certificates required to be furnished pursuant to the terms of
this Indenture or any series of Securities; or

     

    (8)           to
provide for uncertificated Securities in addition to or in place of all, or any
series or Tranche of, certificated Securities; or

    
      
         

      

      
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    (9)           to
evidence and provide for the acceptance of appointment hereunder by a separate
or successor Trustee or co-trustee with respect to the Securities of one or more
series and to add to or change any of the provisions of this Indenture as shall
be necessary to provide for or facilitate the administration of the trusts
hereunder by more than one Trustee, pursuant to the requirements of Section 611(b) ;
or

     

    (10)         to
change any place or places where (a) the principal of or premium, if any, or
interest, if any, on all or any series of Securities, or any Tranche thereof,
shall be payable, (b) all or any series of Securities, or any Tranche thereof,
may be surrendered for registration or transfer, (c) all or any series of
Securities, or any Tranche thereof, may be surrendered for exchange and (d)
notices and demands to or upon the Company in respect of all or any series of
Securities, or any Tranche thereof, and this Indenture may be
served;

     

    (11)         to
cure any ambiguity, to correct or supplement any provision herein that may be
defective or inconsistent with any other provision herein, provided such action shall
not adversely affect the interests of the Holders of Securities of any series or
Tranche in any material respect; or

     

    (12)         to
make any other provisions with respect to matters or questions arising under
this Indenture, provided
such action shall not adversely affect the interests of the Holders of
any Securities of any series or Tranche Outstanding on the date of such
indenture supplemental hereto.

     

    Without
limiting the generality of the foregoing, if the Trust Indenture Act as in
effect at the date of the execution and delivery of this Indenture or at any
time thereafter becomes amended and

     

    (x)           if
any such amendment requires one or more changes to any provisions hereof or the
inclusion herein of any additional provisions, or by operation of law is deemed
to effect such changes or incorporate such provisions by reference or otherwise,
this Indenture shall be deemed to have been amended so as to conform to such
amendment to the Trust Indenture Act, and the Company and the Trustee may,
without the consent of any Holders, enter into an indenture supplemental hereto
to effect or evidence such changes or additional provisions; or

     

    (y)           if
any such amendment permits one or more changes to, or the elimination of, any
provisions hereof that, at the date hereof or at any time thereafter, are
required by the Trust Indenture Act to be contained herein (or if it is no
longer required by the TIA for the Indenture to contain one or more provisions),
this Indenture shall be deemed to have been amended to effect such changes or
elimination, and the Company and the Trustee may, without the consent of any
Holders, enter into an indenture supplemental hereto to evidence such amendment
hereof; or

     

    (z)           if,
by reason of any such amendment, it shall be no longer necessary for this
Indenture to contain one or more provisions that, at the date of the execution
and delivery hereof, are required by the Trust Indenture Act to be contained
herein, the Company and the Trustee may, without the consent of any Holders,
enter into an indenture supplemental hereto to effect the elimination of such
provisions.

    
      
         

      

      
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    Section
902.           Supplemental Indentures With
Consent of Holders . (a)  Except as set forth in paragraph (c)
below, with the consent  of the Holders of not less than a majority in
aggregate principal amount of the Senior Securities of all series then
Outstanding (considered as one class), the Company, when authorized by a
resolution of its Board of Directors (which resolution may provide general terms
or parameters for such action and may provide that the specific terms of such
action may be determined in accordance with or pursuant to a Company Order), and
the Trustee may, from time to time and at any time, enter into an indenture or
indentures supplemental hereto for the purpose of adding any provisions to or
changing in any manner or eliminating any of the provisions of this Indenture or
of any supplemental indenture or of modifying in any manner the rights of the
Holders of the Securities of each such series or Tranche or of the Coupons
appertaining to such Securities or of modifying in any manner the rights of the
Holders of Securities of such series or Tranche under this Indenture; provided, however, that if
there are Senior Securities of more than one series Outstanding hereunder and if
a proposed supplemental indenture shall directly affect the rights of the
Holders of Senior Securities of one or more, but less than all, of such series,
then the consent only of the Holders of a majority in aggregate principal amount
of the Outstanding Securities of all series so directly affected, considered as
one class, shall be required; and provided, further, that if
the Securities of any series have been issued in more than one Tranche and if
the proposed supplemental indenture shall directly affect the rights of the
Holders of Senior Securities of one or more, but less than all, of such
Tranches, then the consent only of the Holders of a majority in aggregate
principal amount of the Outstanding Securities of all Tranches so directly
affected, considered as one class, shall be required.

     

    (b)           Except
as set forth in paragraph (c) below, with the consent of the Holders of not less
than a majority in aggregate principal amount of the Subordinated Securities of
all series then Outstanding (considered as one class), the Company, when
authorized by a resolution of its Board of Directors (which resolution may
provide general terms or parameters for such action and may provide that the
specific terms of such action may be determined in accordance with or pursuant
to a Company Order), and the Trustee may, from time to time and at any time,
enter into an indenture or indentures supplemental hereto for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Indenture or of any supplemental indenture or of modifying in
any manner the rights of the Holders of the Securities of each such series or of
the Coupons appertaining to such Securities or of modifying in any manner the
rights of the Holders of Securities of such series or Tranche under this
Indenture; provided, however,
that if there are Subordinated Securities of more than one series
Outstanding hereunder and if a proposed supplemental indenture shall directly
affect the rights of the Holders of Subordinated Securities of one or more, but
less than all, of such series, then the consent only of the Holders of a
majority in aggregate principal amount of the Outstanding Securities of all
series so directly affected, considered as one class, shall be required; and
provided, further, that
if the Securities of any series have been issued in more than one Tranche and if
the proposed supplemental indenture shall directly affect the rights of the
Holders of Subordinated Securities of one or more, but less than all, of such
Tranches, then the consent only of the Holders of a majority in aggregate
principal amount of the Outstanding Securities of all Tranches so directly
affected, considered as one class, shall be required.

     

    (c)           
No such supplemental indenture or waiver shall, without the consent of the
Holder of each Outstanding Security affected thereby,

    
      
         

      

      
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    (1)           change
the Stated Maturity of the principal of, or any installment of principal of or
interest on, any Security, or reduce the principal amount thereof or the rate of
interest thereon (or the amount of any installment of interest thereon) or any
premium payable upon the redemption thereof, or change the method of calculating
the rate of interest thereon, or reduce the amount of the principal of an
Original Issue Discount Security that would be due and payable upon a
declaration of acceleration of the Maturity thereof pursuant to Section 502 , or change the
coin or currency (or other property) in which, any Security or any premium or
the interest thereon is payable, or impair the right to institute suit for the
enforcement of any such payment on or after the Stated Maturity thereof (or, in
the case of redemption, on or after the Redemption Date, or, in the case of
repayment at the option of the Holders, on or after the Repayment Date), or
modify any provisions of this Indenture with respect to the conversion or
exchange of the Securities into Securities of another series or into any other
debt or equity securities in a manner adverse to the Holders, or

     

    (2)           reduce
the percentage in principal amount of the Outstanding Securities of any series,
or any Tranche thereof, the consent of whose Holders is required for any such
supplemental indenture, or the consent of whose Holders is required for any
waiver of compliance with certain provisions of this Indenture or certain
defaults hereunder and their consequences provided for in this indenture,
or

     

    (3)           modify
any of the provisions of this Section, Section 513 or Section 1007 , except to
increase any such percentage or to provide that certain other provisions of this
Indenture cannot be modified or waived without the consent of the Holder of each
Outstanding Security affected thereby, provided , however , that this clause
shall not be deemed to require the consent of any Holder with respect to changes
in the references to “the Trustee” and concomitant changes in this Section and
Section 1007 , or the
deletion of this proviso, in accordance with the requirements of Sections 611(b) and 901(9) .

     

    A
supplemental indenture that changes or eliminates any covenant or other
provision of this Indenture that has expressly been included solely for the
benefit of one or more particular series of Securities, or one or more Tranches
thereof, or that modifies the rights of the Holders of Securities of such series
or Tranches with respect to such covenant or other provision, shall be deemed
not to affect the rights under this Indenture of the Holders of Securities of
any other series or Tranche.

     

    It shall
not be necessary for any Act of Holders under this Section to approve the
particular form of any proposed supplemental indenture, but it shall be
sufficient if such Act shall approve the substance thereof.  A waiver
by a Holder of such Holder’s rights to consent under this Section shall be
deemed to be a consent of such Holder.

     

    Section
903.           Execution of Supplemental
Indentures . In executing, or accepting the additional trusts created by,
any supplemental indenture permitted by this Article or the modifications
thereby of the trusts created by this Indenture, the Trustee shall be entitled
to receive, and (subject to Section 601 ) shall be fully
protected in relying upon, an Opinion of Counsel stating that the execution of
such supplemental indenture is authorized or permitted by this
Indenture.  The Trustee may, but shall not be obligated to, enter into
any such supplemental indenture that affects the Trustee’s own rights, duties or
immunities under this Indenture or otherwise.

    
      
         

      

      
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    Section
904.           Effect of Supplemental
Indentures . Upon the execution of any supplemental indenture under this
Article, this Indenture shall be modified in accordance therewith, and such
supplemental indenture shall form a part of this Indenture for all purposes; and
every Holder of Securities theretofore or thereafter authenticated and delivered
hereunder shall be bound thereby.  Any supplemental indenture
permitted by this Article may restate this Indenture in its entirety, and, upon
the execution and delivery thereof, any such restatement shall supersede this
Indenture as theretofore in effect for all purposes.

     

    Section
905.           Conformity With Trust
Indenture Act . Every supplemental indenture executed pursuant to this
Article shall conform to the requirements of the Trust Indenture Act as then in
effect.

     

    Section
906.           Reference in Securities to
Supplemental Indentures . Securities of any series, or any Tranche
thereof, authenticated and delivered after the execution of any supplemental
indenture pursuant to this Article may, and shall if required by the Trustee,
bear a notation in form approved by the Trustee as to any matter provided for in
such supplemental indenture.  If the Company so determines, new
Securities of any series, or any Tranche thereof, and any appertaining coupons
so modified as to conform, in the opinion of the Trustee and the Company, to any
such supplemental indenture may be prepared and executed by the Company and
authenticated and delivered by the Trustee in exchange for Outstanding
Securities of such series or Tranche and any appertaining coupons.

     

    Section
907.           Revocation and Effect of
Consents . Until an amendment or waiver becomes effective, a consent to
it by a Holder of a Security is a continuing consent by the Holder and every
subsequent Holder of a Security or portion of a Security that evidences the same
debt as the consenting Holder’s Security, even if notation of the consent is not
made on any Security.  However, any such Holder or subsequent Holder
may revoke the consent as to his Security or portion of a Security if the
Trustee receives the notice of revocation before the date on which the Trustee
receives an Officer’s Certificate certifying that the Holders of the requisite
principal amount of Securities have consented to the amendment or waiver. After
an amendment or waiver becomes effective, it shall bind every Holder of each
series of Securities affected by such amendment or waiver.

     

    The
Company may, but shall not be obligated to, fix a record date for the purpose of
determining the Holders entitled to consent to any amendment or
waiver.  If a record date is fixed, then notwithstanding the
provisions of the immediately preceding paragraph, those persons who were
Holders at such record date (or their duly designated proxies), and only those
persons, shall be entitled to consent to such amendment or waiver or to revoke
any consent previously given, whether or not such persons continue to be Holders
after such record date.

     

    After an
amendment or waiver becomes effective it shall bind every Holder, unless it is
of the type described in any of clauses (1) through (3) of Section 902(c) .  In
such case, the amendment or waiver shall bind each Holder of a Security who has
consented to it and every subsequent Holder of a Security that evidences the
same debt as the consenting Holder’s Security.

    
      
         

      

      
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    Section
908.           Modification Without
Supplemental Indenture . If the terms of any particular series of
Securities have been established in a Board Resolution or an Officer’s
Certificate as contemplated by Section 301 , and not in an
indenture supplemental hereto, additions to, changes in or the elimination of
any of such terms may be effected by means of a supplemental Board Resolution or
Officer’s Certificate, as the case may be, delivered to, and accepted by, the
Trustee; provided, however
, that such supplemental Board Resolution or Officer’s Certificate shall
not be accepted by the Trustee or otherwise be effective unless all conditions
set forth in this Indenture that would be required to be satisfied if such
additions, changes or elimination were contained in a supplemental indenture
shall have been appropriately satisfied.  Upon the acceptance thereof
by the Trustee, any such supplemental Board Resolution or Officer’s Certificate
shall be deemed to be a “supplemental indenture” for purposes of Sections 904 and 906 .

     

    ARTICLE
X

     

    COVENANTS

     

    Section
1001.         Payment of Principal,
Premium and Interest . Subject to the following provisions, the Company
will pay to the Trustee the amounts, in such coin or currency as is at the time
legal tender for the payment of public or private debt, in the manner, at the
times and for the purposes set forth herein and in the text of the Securities
for each series, and the Company hereby authorizes and directs the Trustee from
funds so paid to it to make or cause to be made payment of the principal of and
premium, if any, and interest, if any, on the Securities and coupons of each
series as set forth herein and in the text of such Securities and
coupons.  Unless otherwise provided in the Securities of a series, the
Trustee will arrange directly with any Paying Agents for the payment, or the
Trustee will make payment, from funds furnished by the Company, of the principal
of and premium, if any, and interest, if any, on the Securities and coupons of
each series by check or draft.

     

    Unless
otherwise provided in the Securities of a series, interest, if any, on
Registered Securities of a series shall be paid by check or draft on each
Interest Payment Date for such series to the Holder thereof at the close of
business on the relevant record dates specified in the Securities of such
series.  The Company may pay such interest by check or draft mailed to
such Holder’s address as it appears on the register for Securities of such
series.  Unless otherwise provided in the Securities of a series,
principal of Registered Securities shall be payable by check or draft and only
against presentation and surrender of such Registered Securities at the office
of the Paying Agent, unless the Company shall have otherwise instructed the
Trustee in writing.

    
      
         

      

      
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    Unless
otherwise provided in the Securities of a series, (i) interest, if any, on
Unregistered Securities shall be paid by check or draft and only against
presentation and surrender of the coupons for such interest installments as are
evidenced thereby as they mature and (ii) original issue discount (as defined in
Section 1273 of the Code), if any, on Unregistered Securities shall be paid by
check or draft and only against presentation and surrender of such Securities,
in either case at the office of a Paying Agent located outside of the United
States and its possessions, unless the Company has otherwise instructed the
Trustee in an Officer’s Certificate.  Unless otherwise provided in the
Securities of a series, principal of and premium, if any, of Unregistered
Securities shall be paid by check or draft and only against presentation and
surrender of such Securities as provided in the Securities of a
series.  If at the time a payment of principal of and premium, if any,
or interest, if any, or original issue discount, if any, on an Unregistered
Security or coupon becomes due and the payment of the full amount so payable at
the office or offices of all the Paying Agents outside the United States and its
possessions is illegal or effectively precluded because of the imposition of
exchange controls or other similar restrictions on the payment of such amount in
United States currency, then the Company may instruct the Trustee in an
Officer’s Certificate to make such payments at the office of a Paying Agent
located in the United States.  The Company hereby covenants and agrees
that it shall not so instruct the Trustee with respect to payment in the United
States if such payment would cause such Unregistered Security to be treated as a
“registration-required obligation” under United States law and
regulations.

     

    At the
election of the Company, any payments by the Company provided for in this
Indenture or in any of the Securities may be made by electronic funds
transfer.

     

    Section
1002.         Maintenance of Office or
Agency . The Company will maintain in each Place of Payment for any
series of Securities, or any Tranche thereof, an office or agency where
Registered Securities, or any Tranche thereof, of that series may be surrendered
for registration of transfer or exchange and a Place of Payment where (subject
to Sections 305 and
307 ) Securities may be
presented for payment or exchange and where notices and demands to or upon the
Company in respect of the Securities of that series and this Indenture may be
served.  Unless otherwise specified pursuant to Section 301 with respect to
any such series, the Company shall maintain such offices or agencies in
connection with each series in the Borough of Manhattan, The City of New York,
State of New York.  With respect to any series of Securities issued in
whole or in part as Unregistered Securities, the Company shall maintain one or
more Paying Agents located outside the United States and its possessions and
shall maintain such Paying Agents for a period of one year after the principal
of such Unregistered Securities has become due and payable.  During
any period thereafter for which it is necessary in order to conform to United
States tax law or regulations, the Company will maintain a Paying Agent outside
the United States and its possessions to which the Unregistered Securities or
coupons appertaining thereto may be presented for payment and will provide the
necessary funds therefor to such Paying Agent upon reasonable
notice.  The Security Registrar shall keep a register with respect to
each series of Securities issued in whole or in part as Registered Securities
and to their transfer and exchange.  The Company may appoint one or
more co-Security Registrars acceptable to the Trustee and one or more additional
Paying Agents for each series of Securities, and the Company may terminate the
appointment of any co-Security Registrar or Paying Agent at any time upon
written notice.  The term “Security Registrar” includes any
co-Security Registrar.  The term “Paying Agent” includes any
additional Paying Agent.  The Company shall notify the Trustee of the
name and address of any Agent not a party to this Indenture.  Subject
to Section 305 , if the
Company fails to maintain a Security Registrar or Paying Agent, the Trustee
shall act as such.  The Company will give prompt written notice to the
Trustee of the location, and any change in the location, of such office or
agency.  If at any time the Company fails to maintain any such
required office or agency or fails to furnish the Trustee with the address
thereof, such presentations, surrenders, notices and demands may be made or
served at the Corporate Trust Office of the Trustee, and the Company hereby
appoints the Trustee as its agent to receive all such presentations, surrenders,
notices and demands.

    
      
         

      

      
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    The
Company may also from time to time designate one or more other offices or
agencies where the Securities of one or more series may be presented or
surrendered for any or all such purposes and may from time to time rescind such
designations; provided
, however , that
no such designation or rescission shall in any manner relieve the Company of its
obligation to maintain an office or agency in each Place of Payment for
Securities of any series for such purposes.  The Company will give
prompt written notice to the Trustee of any such designation or rescission and
of any change in the location of any such other office or agency.

     

    In the
case of Original Issue Discount Securities of a series, the Company shall, prior
to any Redemption Date or any Repayment Date applicable thereto, furnish the
Trustee with an Officer’s Certificate stating the amount of principal to be paid
to a Holder of $1,000 principal amount of such Securities.

     

    Anything
herein to the contrary notwithstanding, any office or agency required by this
Section may be maintained at any office of the Company in which event the
Company shall perform all functions to be performed at such office or
agency.

     

    Section
1003.         Money for Securities
Payments to Be Held in Trust . If the Company at any time acts as its own
Paying Agent with respect to any series of Securities, or any Tranche thereof,
it will, on or before each due date of the principal of (and premium, if any) or
interest, if any, on any of such Securities, segregate and hold in trust for the
benefit of the Persons entitled thereto a sum sufficient to pay the principal
(and premium, if any) or interest so becoming due until such sums are paid to
such Persons or otherwise disposed of as herein provided and will promptly
notify the Trustee of its action or failure so to act.

     

    Whenever
the Company has one or more Paying Agents for any series of Securities, it will,
on or prior to (and if on, then before 11:00 a.m. (New York City time)) each due
date of the principal of (and premium, if any) or interest, if any, on such
Securities, deposit with a Paying Agent a sum sufficient (in immediately
available funds, if payment is made on the due date) to pay the principal (and
premium, if any) or interest so becoming due, such sum to be held in trust for
the benefit of the Persons entitled to such principal, premium or interest, and
(unless such Paying Agent is the Trustee) the Company will promptly notify the
Trustee of its action or failure so to act.

     

    The
Company will cause each Paying Agent for any series of Securities, or any
Tranche thereof, other than the Trustee, to execute and deliver to the Trustee
an instrument in which such Paying Agent shall agree with the Trustee, subject
to the provisions of this Section, that such Paying Agent will:

     

    (1)           hold
all sums held by it for the payment of the principal of (and premium, if any) or
interest, if any, on Securities of such series or Tranche in trust for the
benefit of the Persons entitled thereto until such sums are paid to such Persons
or otherwise disposed of as herein provided;

    
      
         

      

      
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    (2)           give
the Trustee notice of any default by the Company (or any other obligor upon the
Securities of such series or Tranche) in the making of any payment of principal
(and premium, if any) or interest, if any, on the Securities of such series or
Tranche; and

     

    (3)           at
any time during the continuance of any such default, upon the written request of
the Trustee, forthwith pay to the Trustee all sums so held in trust by such
Paying Agent.

     

    The
Company may at any time, for the purpose of obtaining the satisfaction and
discharge of this Indenture or for any other purpose, pay, or by Company Order
direct any Paying Agent to pay, to the Trustee all sums held in trust by the
Company or such Paying Agent, such sums to be held by the Trustee upon the same
trusts as those upon which such sums were held by the Company or such Paying
Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying
Agent shall be released from all further liability with respect to such
money.

     

    Any money
deposited with the Trustee or any Paying Agent, or received by the Trustee in
respect of Eligible Obligations deposited with the Trustee pursuant to Section 401 , 403 or 1007 , or then held by the
Company, in trust for the payment of the principal of (and premium, if any) or
interest, if any, on any Security of any series and remaining unclaimed for two
years (or such shorter period for the return of such moneys to the Company under
applicable abandoned property laws) after such principal (and premium, if any)
or interest has become due and payable shall be paid to the Company on Company
Request, or (if then held by the Company) shall be discharged from such trust;
and the Holder of such Security shall thereafter, as an unsecured general
creditor, look only to the Company for payment thereof, and all liability of the
Trustee or such Paying Agent with respect to such trust money, and all liability
of the Company as trustee thereof, shall thereupon cease; provided , however , that the Trustee or
such Paying Agent, before being required to make any such repayment, may at the
expense of the Company cause to be published once, in a newspaper published in
the English language, customarily published on each Business Day and of general
circulation in the Borough of Manhattan, The City of New York, notice that such
money remains unclaimed and that, after a date specified therein, which shall
not be less than 30 days from the date of such publication, any unclaimed
balance of such money then remaining will be repaid to the Company.

     

    Section
1004.         Corporate Existence .
Subject to Article VIII
, the Company will do or cause to be done all things necessary to
preserve and keep in full force and effect its corporate existence, rights
(charter and statutory) and franchises; provided, however , that the
Company shall not be required to preserve any such right or franchise if, in the
judgment of the Company, the preservation thereof is no longer desirable in the
conduct of the business of the Company and the loss thereof is not
disadvantageous in any material respect to the Holders of Securities of any
series or Tranche in any material respect.

     

    Section
1005.         Defeasance of Certain
Obligations . The Company may omit to comply with its obligations under
the covenants contained in Sections 1002, 1004 (except
with respect to maintaining its corporate existence), 1006, 1008 and Article VIII with respect to
any Security or Securities of any series or Tranche or any portion of the
principal amount thereof (and in respect of any term, provision or condition set
forth in the covenants or restrictions specified for such Securities pursuant to
Section 301 , in any
supplemental indenture, Board Resolution or Officer’s Certificate establishing
such Security), provided
that the following conditions shall have been satisfied:

    
      
         

      

      
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    (1)           With
reference to this Section, the Company has deposited or caused to be irrevocably
deposited (except as provided in Section 402 ) with the Trustee
as trust funds in trust, specifically pledged as security for, and dedicated
solely to, the benefit of the Holders of such Securities or portions thereof,
(i) money in an amount, or (ii) if Securities of such series are not subject to
repayment at the option of Holders, (A) Eligible Obligations which through the
payment of interest and principal in respect thereof in accordance with their
terms will provide not later than one day before the due date of any payment
referred to in clause (x) or (y) of this subparagraph (1) money in an amount, or
(B) a combination thereof, sufficient, in the opinion of a nationally recognized
firm of independent certified public accountants expressed in a written
certification thereof delivered to the Trustee, to pay and discharge (x) the
principal of (and premium, if any) and each installment of principal (and
premium, if any) and interest, if any, on the Outstanding Securities of such
series or portions thereof on the Stated Maturity of such principal or
installment of principal or premium or interest or to and including the
Redemption Date irrevocably designated by the Company pursuant to subparagraph
(7) of this Section and (y) any mandatory sinking fund payments applicable to
the Securities of such series or portions thereof on the day on which such
payments are due and payable in accordance with the terms of the Indenture and
of such Securities or portions thereof;

     

    (2)           Such
deposit shall not, as specified in an Opinion of Counsel, cause the Trustee with
respect to the Securities of such series to have a conflicting interest as
defined in Section 608
and for purposes of the Trust Indenture Act with respect to the
Securities of such series;

     

    (3)           Such
deposit will not result in a breach or violation of, or constitute a default
under, this Indenture or any other agreement or instrument to which the Company
is a party or by which it is bound;

     

    (4)           No
Event of Default or event which with notice or lapse of time would become an
Event of Default with respect to the Securities of such series shall have
occurred and be continuing on the date of such deposit and no Event of Default
specified in Section 501(6)
or (7) shall have
occurred at any time from the date of such deposit to the 91st calendar day
thereafter (it being understood that this condition to defeasance may not be
satisfied until such 91st calendar day after the date of deposit);

     

    (5)           The
Company shall have delivered to the Trustee an Opinion of Counsel to the effect
that Holders of the Securities of such series will not realize income, gain or
loss for federal income tax purposes as a result of such deposit and defeasance
of certain obligations and will be subject to federal income tax on the same
amount and in the same manner and at the same times, as would have been the case
if such deposit and defeasance had not occurred;

    
      
         

      

      
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    (6)           The
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of
Counsel, each stating that all conditions precedent herein provided for relating
to the defeasance contemplated by this Section have been met; and

     

    (7)           If
the Company has deposited or caused to be deposited money or Eligible
Obligations to pay or discharge the principal of (and premium, if any) and
interest, if any, on the Outstanding Securities of such series or portion
thereof to and including a Redemption Date pursuant to subparagraph (1) of this
Section, such Redemption Date shall be irrevocably designated by a Board
Resolution delivered to the Trustee on or prior to the date of deposit of such
money or Eligible Obligations, and such Board Resolution shall be accompanied by
an irrevocable Company Request that the Trustee give notice of such redemption
in the name and at the expense of the Company not less than 30 nor more than 60
days prior to such Redemption Date in accordance with Section 1104 .

     

    Section
1006.         Statement by Officers as to
Default . The Company will deliver to the Trustee, within 120 days after
the end of each fiscal year of the Company ending after the date hereof, a
written statement, which need not comply with Section 102 , signed by the
principal executive officer, the principal financial officer or the principal
accounting officer of the Company stating, as to each signer thereof,
that

     

    (1)           a
review of the activities of the Company during such year and of performance
under this Indenture has been made under his supervision, and

     

    (2)           to
the best of his knowledge, based on such review, the Company has fulfilled all
its obligations under this Indenture throughout such year, or, if there has been
a default in the fulfillment of any such obligation, specifying each such
default known to him and the nature and status thereof.

     

    Section
1007.         Waiver of Certain Covenants
. (a)  The Company may omit in any particular instance to
comply with any term, provision or condition set forth in (i) any additional
covenants or restrictions specified with respect to the Senior Securities of any
series, or any Tranche thereof, as contemplated by Section 301 if before the time
for such compliance the Holders of not less than a majority in aggregate
principal amount (or such larger proportion as may be required in respect of
waiving a past default of any such additional covenant or restriction) of the
Outstanding Securities of all series and Tranches with respect to which such
covenant or restriction was so specified, considered as one class, by Act of
such Holders, either waives such compliance in such instance or generally waive
compliance with such term, provision or condition and (ii) Sections 1002, 1004, 1006 and
1008 and Article VIII if before the
time for such compliance the Holders of at least a majority in principal amount
of Senior Securities Outstanding under this Indenture by Act of such Holders,
either waives such compliance in such instance or generally waive compliance
with such term, provision or condition; but, in the case of (i) or (ii) of this
paragraph (a), no such waiver shall extend to or affect such term, provision or
condition except to the extent so expressly waived,   and, until such waiver
becomes effective, the obligations of the Company and the duties of the Trustee
in respect of any such term, provision or condition shall remain in full force
and effect.

    
      
         

      

      
        63

        
          

        

      

      
         

      

    

     

    (b)          The
Company may omit in any particular instance to comply with any term, provision
or condition set forth in (i) any additional covenants or restrictions specified
with respect to the Subordinated Securities of any series, or any Tranche
thereof, as contemplated by Section 301 if before the time
for such compliance the Holders of not less than a majority in aggregate
principal amount (or such larger proportion as may be required in respect of
waiving a past default of any such additional covenant or restriction) of the
Outstanding Securities of all series and Tranches with respect to which such
covenant or restriction was so specified, considered as one class, by Act of
such Holders, either waives such compliance in such instance or generally waive
compliance with such term, provision or condition and (ii) Sections 1002, 1004, 1006 and
1008 and Article VIII if before the
time for such compliance the Holders of at least a majority in principal amount
of Subordinated Securities Outstanding under this Indenture by Act of such
Holders, either waives such compliance in such instance or generally waive
compliance with such term, provision or condition; but, in the case of (i) or
(ii) of this paragraph (b), no such waiver shall extend to or affect such term,
provision or condition except to the extent so expressly waived,   and, until such waiver
becomes effective, the obligations of the Company and the duties of the Trustee
in respect of any such term, provision or condition shall remain in full force
and effect.

     

    Section
1008.         Maintenance of Properties
. The Company shall cause (or, with respect to property owned in common
with others, make reasonable effort to cause) all its properties used or useful
in the conduct of its business to be maintained and kept in good condition,
repair and working order and shall cause (or, with respect to property owned in
common with others, make reasonable effort to cause) to be made all necessary
repairs, renewals, replacements, betterments and improvements thereof, all as,
in the judgment of the Company, may be necessary so that the business carried on
in connection therewith may be properly conducted; provided, however , that
nothing in this Section shall prevent the Company from discontinuing, or causing
the discontinuance of, the operation and maintenance of any of its properties
if, in the judgment of the Company, such discontinuance (i) is desirable in the
conduct of its business and (ii) will not adversely affect the interests of the
Holders of Securities of any series or Tranche in any material
respect.

     

    ARTICLE
XI

     

    REDEMPTION OF
SECURITIES

     

    Section
1101.         Applicability of Article
. Securities of any series, or any Tranche thereof, that are redeemable
before their Stated Maturity (or, if the principal of the Securities of any
series is payable in installments, the Stated Maturity of the final installment
of the principal thereof) shall be redeemable in accordance with their terms and
(except as otherwise specified as contemplated by Section 301 for Securities of
any series or Tranche) in accordance with this Article.

    
      
         

      

      
        64

        
          

        

      

      
         

      

    

     

    Section
1102.         Election to Redeem; Notice
to Trustee . The election of the Company to redeem any Securities shall
be evidenced by a Board Resolution or an Officer’s Certificate.  In
case of any redemption at the election of the Company of less than all the
Securities of any series, the Company shall, at least 45 days prior to the
Redemption Date fixed by the Company (unless a shorter notice is satisfactory to
the Trustee), notify the Trustee of such Redemption Date and of the principal
amount of Securities of such series or Tranche to be redeemed.  In the
case of any redemption of Securities (a) prior to the expiration of any
restriction on such redemption provided in the terms of such Securities or
elsewhere in this Indenture, or (b) pursuant to an election of the Company
that is subject to a condition specified in the terms of such Securities the
Company shall furnish the Trustee with an Officer’s Certificate evidencing
compliance with such restriction.

     

    Section
1103.         Selection by Trustee of
Securities to Be Redeemed . If less than all the Securities of any
series, or any Tranche thereof, are to be redeemed, the particular Securities to
be redeemed shall be selected by the Trustee not more than 45 days prior to the
Redemption Date by the Trustee, from the Outstanding Securities of such series
or Tranche not previously called for redemption, by such method as is provided
for any particular series, or, in the absence of any such provision, by such
method as the Trustee deems fair and appropriate and which may provide for the
selection for redemption of portions (equal to the minimum authorized
denomination for Securities of that series or Tranche or any integral multiple
thereof) of the principal amount of Securities of such series or Tranche of a
denomination larger than the minimum authorized denomination for Securities of
that series or Tranche; provided , however , that if, as
indicated in an Officer’s Certificate, the Company has offered to purchase all
or any principal amount of the Securities then Outstanding of any series, or any
Tranche thereof, and less than all of such Securities as to which such offer was
made have been tendered to the Company for such purchase, the Trustee, if so
directed by Company Order, shall select for redemption all or any principal
amount of such Securities that have not been so tendered.

     

    The
Trustee shall promptly notify the Company and the Security Registrar in writing
of the Securities selected for redemption and, in the case of any Securities
selected for partial redemption, the principal amount thereof to be
redeemed.

     

    For all
purposes of this Indenture, unless the context otherwise requires, all
provisions relating to the redemption of Securities shall relate, in the case of
any Securities redeemed or to be redeemed only in part, to the portion of the
principal amount of such Securities that has been or is to be
redeemed.

     

    Section
1104.         Notice of Redemption
. Unless otherwise specified as contemplated by Section 301 with respect to
any series of Securities, notice of redemption shall be given by first-class
mail, postage prepaid, mailed not less than 30 nor more than 60 days prior to
the Redemption Date, to each Holder of Securities to be redeemed, at his address
appearing in the Security Register.

     

    If
Unregistered Securities are to be redeemed, notice of redemption shall be
published in an Authorized Newspaper in The City of New York and, if such
Securities to be redeemed are listed on any stock exchange outside of the United
States, in the city in which such stock exchange is located, or in such other
city or cities as may be specified in the Securities, once in each of two
different calendar weeks, the first publication to be not less than 30 nor more
than 90 days before the redemption date.

    
      
         

      

      
        65

        
          

        

      

      
         

      

    

     

    All
notices of redemption shall state:

     

    (1)           the
Redemption Date,

     

    (2)           the
Redemption Price, or the formula pursuant to which the Redemption Price is to be
determined if the Redemption Price cannot be determined at the time of notice is
given,

     

    (3)           if
less than all the Outstanding Securities of any series or Tranche are to be
redeemed, the identification (and, in the case of partial redemption, the
principal amounts) of the particular Securities to be redeemed, and the portion
of the principal amount of any Security to be redeemed in part and, in the case
of any such Security of such series to be redeemed in part, that, on and after
the Redemption Date, upon surrender of such Security, a new Security or
Securities of such series in principal amount equal to the remaining unpaid
principal amount thereof will be issued as provided in Section 1106 ,

     

    (4)           that
on the Redemption Date the Redemption Price will become due and payable upon
each such Security to be redeemed and, if applicable, that interest thereon will
cease to accrue on and after said date,

     

    (5)           the
place or places where such Securities and all unmatured coupons are to be
surrendered for payment of the Redemption Price and accrued interest, if
any,

     

    (6)           that
the redemption is for a sinking fund, if such is the case,

     

    (7)           the
CUSIP numbers, if any, assigned to such Securities; provided however , that such
notice may state that no representation is made as to the correctness of CUSIP
numbers, and the redemption of such Securities shall not be affected by any
defect in or omission of such number, and

     

    (8)           such
other matters as the Company shall deem  desirable or
appropriate.

     

    Unless
otherwise specified with respect to any Securities in accordance with Section 301 , with respect to
any notice of redemption of Securities at the election of the Company, unless,
upon the giving of such notice, such Securities are deemed to have been paid in
accordance with Section 401
, such notice may state that such redemption shall be conditional upon
the receipt by the Paying Agent or Agents for such Securities, on or prior to
the date fixed for such redemption, of money sufficient to pay the principal of
and premium, if any, and interest, if any, on such Securities and that if such
money has not been so received such notice shall be of no force or effect and
the Company shall not be required to redeem such Securities. In the event that
such notice of redemption contains such a condition and such money is not so
received, the redemption shall not be made and within a reasonable time
thereafter notice shall be given, in the manner in which the notice of
redemption was given, that such money was not so received and such redemption
was not required to be made, and the Paying Agent or Agents for the Securities
otherwise to have been redeemed shall promptly return to the Holders thereof any
of such Securities that had been surrendered for payment upon such
redemption.

    
      
         

      

      
        66

        
          

        

      

      
         

      

    

     

    Notice of
redemption of Securities to be redeemed at the election of the Company, and any
notice of non-satisfaction of a condition for redemption as aforesaid, shall be
given by the Company or, at the Company’s request, by the Security Registrar in
the name and at the expense of the Company. Notice of mandatory redemption of
Securities shall be given by the Security Registrar in the name and at the
expense of the Company.

     

    Section
1105.         Securities Payable on
Redemption Date .  Notice of redemption having been given as
aforesaid, and the conditions, if any, set forth in such notice having been
satisfied, the Securities or portions thereof so to be redeemed shall, on the
Redemption Date, become due and payable at the Redemption Price therein
specified, and from and after such date (unless the Company defaults in the
payment of the Redemption Price and accrued interest, if any) such Securities,
or portions thereof, if interest-bearing, shall cease to bear
interest.  Upon surrender of any such Security for redemption in
accordance with said notice, such Security or portion thereof together with all
unmatured coupons, if any, shall be paid by the Company at the Redemption Price,
together with accrued interest, if any, to the Redemption Date but in the case
of Unregistered Securities installments of interest due on or prior to the
Redemption Date will be payable to the bearers of the coupons for such interest
by check or draft upon surrender of such coupons; provided, however , that
installments of interest whose Stated Maturity is on or prior to the Redemption
Date shall be payable to the Holders of such Securities, or one or more
Predecessor Securities, registered as such at the close of business on the
relevant Regular Record Dates according to their terms and the provisions of
Section 307
.

     

    If any
Security called for redemption shall not be so paid upon surrender thereof for
redemption, the principal (and premium, if any) shall, until paid, bear interest
from the Redemption Date at the rate prescribed therefor in the
Security.

     

    Section
1106.         Securities Redeemed in Part
.  Any Security that is to be redeemed only in part shall be
surrendered at a Place of Payment therefor (with, if the Company or the Trustee
so requires, due endorsement by, or a written instrument of transfer in form
satisfactory to the Company and the Trustee duly executed by, the Holder thereof
or his or her attorney duly authorized in writing), and the Company shall
execute, and the Trustee shall authenticate and deliver to the Holder of such
Security without service charge, a new Security or Securities of the same
series, of any authorized denomination as requested by such Holder, and of like
tenor and in aggregate principal amount equal to and in exchange for the
unredeemed portion of the principal of the Security so surrendered.

     

    ARTICLE
XII

     

    SINKING
FUNDS

     

    Section
1201.         Applicability of Article
.  The provisions of this Article shall be applicable to any sinking
fund for the retirement of Securities of any series, or any Tranche thereof,
except as otherwise specified as contemplated by Section 301 for Securities of
such series or Tranche.

     

    The
minimum amount of any sinking fund payment provided for by the terms of
Securities of any series, or any Tranche thereof, is herein referred to as a
“mandatory sinking fund payment”, and any payment in excess of such minimum
amount provided for by the terms of Securities of any series, or any Tranche
thereof, is herein referred to as an “optional sinking fund
payment”.  If provided for by the terms of Securities of any series,
or any Tranche thereof, the cash amount of any sinking fund payment may be
subject to reduction as provided in Section 1202 .  Each
sinking fund payment shall be applied to the redemption of Securities of the
series or Tranche in respect of which it was made as provided for by the terms
of Securities of such series.

    
      
         

      

      
        67

        
          

        

      

      
         

      

    

     

    Section
1202.         Satisfaction of Sinking Fund
Payments With Securities .  The Company (1) may deliver Outstanding
Securities of a series or Tranche (other than any previously called for
redemption) together, in the case of Unregistered Securities, with all unmatured
coupons appertaining thereto, in respect of which a mandatory sinking fund
payment is to be made and (2) may apply as a credit Securities of such series or
Tranche that have been redeemed either at the election of the Company pursuant
to the terms of such Securities or through the application of permitted optional
sinking fund payments pursuant to the terms of such Securities, in each case in
satisfaction of all or any part of any sinking fund payment with respect to the
Securities of such series required to be made pursuant to the terms of such
Securities as provided for by the terms of such series, provided that such Securities
have not been previously so credited.  Such Securities shall be
received and credited for such purpose by the Trustee at the Redemption Price
specified in such Securities for redemption through operation of the sinking
fund and the amount of such sinking fund payment shall be reduced
accordingly.

     

    Section
1203.         Redemption of Securities for
Sinking Fund .  Not less than 45 days prior to each sinking fund
payment date for any series of Securities, or any Tranche thereof, the Company
will deliver to the Trustee an Officer’s Certificate specifying the amount of
the next ensuing sinking fund payment for that series or Tranche pursuant to the
terms of that series, the portion thereof, if any, which is to be satisfied by
payment of cash and the portion thereof, if any, which is to be satisfied by
delivering and crediting Securities of that series pursuant to Section 1202 and will also
deliver to the Trustee any Securities to be so delivered. If  the
Company has not delivered such Officer’s Certificate and, to the extent
applicable, all such Securities, the next succeeding sinking fund payment for
such series or Tranche shall be made entirely in cash in the amount of the
mandatory sinking fund payment.  Not less than 30 days before each
such sinking fund payment date the Trustee shall select the Securities to be
redeemed upon such sinking fund payment date in the manner specified in Section 1103 and cause notice
of the redemption thereof to be given in the name of and at the expense of the
Company in the manner provided in Section 1104 .  Such
notice having been duly given, the redemption of such Securities shall be made
upon the terms and in the manner stated in Sections 1105 and 1106 .

     

    ARTICLE
XIII

     

    REPAYMENT OF SECURITIES AT
OPTION OF HOLDERS

     

    Section
1301.         Applicability of Article
.  Securities of any series or Tranche that are repayable before
their Stated Maturity at the option of the Holders shall be repayable in
accordance with their terms and (except as otherwise specified as contemplated
by Section 301 for
Securities of any series) in accordance with this Article.

     

    Section
1302.         Notice of Repayment Date
.  Notice of any Repayment Date with respect to Securities of any
series or Tranche thereof shall be given by the Company not less than 45 nor
more than 60 days prior to such Repayment Date (or at such other times as may be
specified for such repayment or repurchase pursuant to Section 301 of this Indenture)
to each Holder of Securities of such series in accordance with Section 106 .

    
      
         

      

      
        68

        
          

        

      

      
         

      

    

     

    The
notice as to the Repayment Date shall state (unless otherwise specified for such
repayment or repurchase pursuant to Section 301 of this
Indenture):

     

    (1)           the
Repayment Date, which date shall be no earlier than 30 days and no later than 60
days from the date on which such notice is mailed;

     

    (2)           the
principal amount of the Securities required to be repaid or repurchased and the
Repayment Price (or the formula pursuant to which the Repayment Price is to be
determined if the Repayment Price cannot be determined at the time the notice is
given);

     

    (3)           the
place or places where such Securities are to be surrendered for payment of the
Repayment Price, and accrued interest, if any, and the date by which Securities
must be so surrendered in order to be repaid or repurchased;

     

    (4)           that
any Security not tendered or accepted for payment shall continue to accrue
interest;

     

    (5)           that,
unless the Company defaults in making such payment or the Paying Agent is
prohibited from paying such money to the Holders on that date pursuant to the
terms of this Indenture, Securities accepted for payment pursuant to any such
offer of repayment or repurchase shall cease to accrue interest after the
Repayment Date;

     

    (6)           that
Holders electing to have a Security repaid or purchased pursuant to such offer
may elect to have all or any portion of such Security purchased;

     

    (7)           that
Holders electing to have a Security repaid or repurchased pursuant to any such
offer shall be required to surrender the Security, with such customary documents
of surrender and transfer as the Company may reasonably request, duly completed,
or transfer by book-entry transfer, to the Company or the Paying Agent at the
address specified in the notice at least two Business Days prior to the
Repayment Date;

     

    (8)           that
Holders shall be entitled to withdraw their election if the Company or the
Paying Agent, as the case may be, receives, not later than the expiration of the
offer to repay or repurchase, a telegram, facsimile transmission or letter
setting forth the name of the Holder, the principal amount of the Security the
Holder delivered for purchase and a statement that such Holder is withdrawing
its election to have such Security purchased;

     

    (9)           that,
in the case of a repayment or repurchase of less than all Outstanding Securities
of a series or Tranche thereof, the method of selection of Securities to be
repaid or repurchased to be applied by the Trustee if the principal amount of
properly tendered Securities exceeds the principal amount of the Securities to
be repaid or repurchased;

     

    (10)         that
Holders whose Securities are purchased only in part shall be issued new
Securities of the same series or Tranche thereof equal in principal amount to
the unpurchased portion of the Securities surrendered (or transferred by
book-entry transfer); and

    
      
         

      

      
        69

        
          

        

      

      
         

      

    

     

    (11)         the
CUSIP or other identification number, if any, printed on the Securities being
repurchased and that no representation is made as to the correctness or accuracy
of the CUSIP or other identification number, if any, listed in such notice or
printed on the Securities.

     

    Section
1303.         Securities Payable on
Repayment Date . The form of option to elect repurchase or repayment
having been delivered as specified in the form of Security for such series, the
Securities of such series or Tranche so to be repaid (after application of the
method of selection described pursuant to clause (9) of Section 1302 , if the
principal amount of properly tendered Securities exceeds the principal amount of
the Securities to be repaid or repurchased) shall, on the Repayment Date, become
due and payable at the Repayment Price applicable thereto and from and after
such date (unless the Company defaults in the payment of the Repayment Price and
accrued interest) such Securities shall cease to bear interest.  Upon
surrender of any such Security for repayment in accordance with said notice,
such Security shall be paid by the Company at the Repayment Price together with
accrued interest, if any, to the Repayment Date; provided, however , that if a
Security is repaid or repurchased on or after a Record Date but on or prior to
the Stated Maturity of any installments of interest, then any accrued and unpaid
interest due on such Stated Maturity shall be payable to the Holders of such
Securities, or one or more Predecessor Securities, registered as such at the
close of business on the relevant Record Dates according to their terms and the
provisions of Section 307
.

     

    If any
Security is not paid upon surrender thereof for repayment, the principal (and
premium, if any) shall, until paid, bear interest from the Repayment Date at the
rate prescribed therefor in such Security.

     

    Section
1304.         Securities Repaid in Part
. Any Security that by its terms may be repaid in part at the option of
the Holder and that is to be repaid only in part shall be surrendered at any
office or agency of the Company designated for that purpose pursuant to Section 1002 (with, if the
Company or the Trustee so requires, due endorsement by, or a written instrument
of transfer in form satisfactory to the Company and the Trustee duly executed
by, the Holder thereof or his or her attorney duly authorized in writing), and
the Company shall execute, and the Trustee shall authenticate and deliver to the
Holder of such Security without service charge, a new Security or Securities of
the same series, as provided in Section 305 , of any
authorized denomination as requested by such Holder, in aggregate principal
amount equal to and in exchange for the unrepaid portion of the principal of the
Security so surrendered.

    

    
      
         

      

      
        70

        
          

        

      

      
         

      

    

     

      
        

      

    

     

    This
instrument may be executed in any number of counterparts, each of which so
executed shall be deemed to be an original, but all such counterparts shall
together constitute but one and the same instrument.

    
      
         

      

      
        71

        
          

        

      

      
         

      

    

     

    IN
WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly
executed, and their respective corporate seals to be hereunto affixed and
attested, all as of the date first above written.

    

    
      	 
      	 
      	
              SORL
      AUTO PARTS, INC.

            
	 
      	 
      	 
      	 
      
	
              [CORPORATE
      SEAL]

            	 
      	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
              By

            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
              Chief
      Executive Officer

            
	 
      	 
      	 
      	 
      
	
              Attest:

            	 
      	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      
	
              Secretary

            	 
      	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
              [                       ]

            
	 
      	 
      	 
      	 
      
	 
      	 
      	
              By 

            	 
      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
              STATE
      OF
[         ]

            	
              )

            
	 
      	
              )  ss:

            
	
              CITY
      OF [         ] AND COUNTY OF
      [               ])

            	 
      

    

     

    On
the            day
of [         ] 200_, before me
personally came _______, to me known, who, being by me duly sworn, did depose
and say that he is Secretary of SORL AUTO PARTS, INC., one of the corporations
described in and which executed the foregoing instrument; that he knows the seal
of said corporation; that the seal affixed to said instruments is such corporate
seal; that it was so affixed by authority of the By-Laws of said corporation,
and that he signed his name thereto by authority of the Board of Directors of
said corporation.

    

    ____________________________________

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Sorl
Auto Parts, Inc.

    Reconciliation
and tie between Trust Indenture Act of 1939 and

    Indenture,
dated as of  __, 200_

    

    
      	
              Trust Indenture
       

            	
              Indenture
      Sections

            
	
              Act Section
       

            	 
      
	 
      	 
      
	
              §
      310

            	
              (a)(1)

            	
              609

            
	 
      	
              (a)(2)

            	
              609

            
	 
      	
              (a)(3)

            	
              Not
      Applicable

            
	 
      	
              (a)(4)

            	
              Not
      Applicable

            
	 
      	
              (a)(5)

            	
              609

            
	 
      	
              (b)

            	
              608

            
	 
      	 
      	
              610

            
	
              §
      311

            	
              (a)

            	
              613(a)

            
	 
      	
              (b)

            	
              613(b)

            
	 
      	
              (b)(2)

            	
              703(a)(2)

            
	 
      	 
      	
              703(b)

            
	
              §
      312

            	
              (a)

            	
              701

            
	 
      	 
      	
              702(a)

            
	 
      	
              (b)

            	
              702(b)

            
	 
      	
              (c)

            	
              702(c)

            
	
              §
      313

            	
              (a)

            	
              703(a)

            
	 
      	
              (b)

            	
              703(b)

            
	 
      	
              (c)

            	
              703(a),
      703(b)

            
	 
      	
              (d)

            	
              703(c)

            
	
              §
      314

            	
              (a)

            	
              704

            
	 
      	
              (b)

            	
              Not
      Applicable

            
	 
      	
              (c)(1)

            	
              102

            
	 
      	
              (c)(2)

            	
              102

            
	 
      	
              (c)(3)

            	
              Not
      Applicable

            
	 
      	
              (d)

            	
              Not
      Applicable

            
	 
      	
              (e)

            	
              102

            
	
              §
      315

            	
              (a)

            	
              601(a)

            
	 
      	
              (b)

            	
              602

            
	 
      	 
      	
              703(a)(7)

            
	 
      	
              (c)

            	
              601(b)

            
	 
      	
              (d)

            	
              601(c)

            
	 
      	
              (d)(l)

            	
              601(a)(1)

            
	 
      	
              (d)(2)

            	
              601(c)(2)

            
	 
      	
              (d)(3)

            	
              601(c)(3)

            
	 
      	
              (e)

            	
              514

            
	
              § 316

            	
              (a)

            	
              101

            
	 
      	
              (a)(1)(A)

            	
              502

            
	 
      	 
      	
              512

            
	 
      	
              (a)(1)(B)

            	
              513

            

    

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	 
      	
              (a)(2)

            	
              Not
      Applicable

            
	 
      	
              (b)

            	
              508

            
	 
      	
              (c)

            	
              104(g)

            
	
              § 317

            	
              (a)(l)

            	
              503

            
	 
      	
              (a)(2)

            	
              504

            
	 
      	
              (b)

            	
              1003

            
	
              §
      318

            	
              (a)

            	
              107

            

    

     

      
        

      

    

     

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

    Exhibit
10.1

     

    STOCK
SUBSCRIPTION AGREEMENT

     

    This
STOCK SUBSCRIPTION AGREEMENT (this “Agreement”) is made and entered into as of
December 31, 2009 by and among (a) China Medicine Corporation, a Nevada
corporation (the “Company”), (b) Mr. Yang Senshan, (the “Executive
Shareholder”), and (c) OEP CHME Holdings, LLC, a Delaware limited liability
company (“Investor”).

     

    WITNESSETH

     

    WHEREAS,
Investor desires to make an investment in the Company through the purchase of
certain common shares of the Company, par value US$0.0001 per share (the “Common
Shares”) and certain preferred shares of the Company, par value US$0.0001 per
share as described in the Certificate of Designation, Rights and Preferences
(the “Certificate of Designation”) in substantially the form attached hereto as
Exhibit A (the “Redeemable Convertible Preferred Shares”);

     

    WHEREAS,
the Company desires to issue and sell to Investor, and Investor desires to
purchase from the Company, pursuant to the terms and conditions of this
Agreement, 4,000,000 Common Shares at US$3.00 per share (the “Purchased Common
Shares”) and 1,920,000 Redeemable Convertible Preferred Shares at US$30.00 per
share (the “Purchased Preferred Shares”, together with the Purchased Common
Shares, the “Purchased Shares”), for a total aggregate purchase price of
US$69,600,000; and

     

    WHEREAS,
the investments contemplated by this Agreement will be made in reliance upon the
provisions of Regulation D (“Regulation D”) of the Securities Act of 1933, as
amended (the “Securities Act”), and the rules and regulations promulgated
thereunder, or upon such other exemption from the registration requirements of
the Securities Act as may be available with respect to any or all of the
transactions to be made hereunder.

     

    NOW,
THEREFORE, in consideration of the foregoing and the mutual representations,
warranties and covenants herein contained, the parties hereto agree as
follows:

     

    ARTICLE
I.

    DEFINITIONS

     

    Section
1.1           Definitions.  In
addition to the terms defined elsewhere in this Agreement, for all purposes of
this Agreement, the following terms have the meanings indicated in this Section
1.1:

     

    “Affiliate”
means, with respect to any Person (the “subject Person”), any other Person
(a) that directly or indirectly through one or more intermediaries controls
or is controlled by, or is under direct or indirect common control with, the
subject Person, or (b) that directly or indirectly beneficially owns or holds
ten percent (10%) or more of any class of voting equity of the subject
Person.  For the purposes of this definition, “control” when used with
respect to any Person means the power to direct the management and policies of
such Person, directly or indirectly, whether through the ownership of voting
securities or through representation on such Person’s board of directors or
other management committee or group or otherwise.

     

    “Board of
Directors” means the Company’s board of directors.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    “Business
Day” means any day other than a Saturday, a Sunday or a day on which the OTCBB
or Principal Market is closed or on which banks in the City of New York, the PRC
or Hong Kong Special Administrative Region are required or authorized by law to
be closed.

     

    “Certificate
for the Receipt of Foreign Exchange for Transfer of Shares” means the
certificate for the receipt of foreign exchange for transfer of shares (转股收汇证明) to be
issued by the local SAFE confirming the Company has paid to the Executive
Shareholder, Ms. Liu Minhua and Mr. Liu Junhua the purchase price for 49% of the
shares in Konzern pursuant to the Share Transfer Agreement dated December 5,
2005 by and among the Executive Shareholder, Ms. Liu Minhua, Mr. Liu Junhua and
Lounsberry Holdings III, Inc., the predecessor of the Company, as supplemented
or amended.

     

    “CMC
Group” means the Company and all of its Subsidiaries.

     

    “Company
Subsidiary” means a Subsidiary of the Company.

     

    “Company’s
Knowledge” means the actual knowledge of the CMC Group and the knowledge of the
CMC Group after due and reasonable inquiry.

     

    “Commission”
means the Securities and Exchange Commission.

     

    “Contract”
means any written agreement, arrangement, bond, commitment, franchise,
indemnity, indenture, instrument, lease, license or binding
understanding.

     

    “Co-Win”
means Guangzhou Co-Win Bioengineering Co., Ltd. (广州科仁生物工程有限公司), a
company incorporated under PRC laws.

     

    “EBITDA”
means, for any period, for the Company and its Subsidiaries on a consolidated
basis, an amount equal to the sum of (a) Consolidated Net Income,
(b) Consolidated Net Interest, (c) the amount of taxes, based on or
measured by income, used or included in the determination of such Consolidated
Net Income, and (d) the amount of depreciation and amortization expense deducted
in determining such Consolidated Net Income.  For the purposes of
determining EBITDA, “Consolidated Net Income” means, for the relevant period,
net income of the Company and its Subsidiaries from continuing operations after
extraordinary items (excluding gains or losses from dispositions of assets) for
such period.  For the purposes of determining EBITDA, “Consolidated
Net Interest” means, for the relevant period, for the Company and its
Subsidiaries on a consolidated basis, the sum of (a) all interest income from
cash, cash equivalents and restricted cash, (b) all interest, premium payments,
fees, charges and related expenses of the Company and its Subsidiaries in
connection with borrowed money (including capitalized interest) or in connection
with the deferred purchase price of assets, in each case to the extent treated
as interest in accordance with GAAP, and (c) the portion of rental expense
of the Company and its Subsidiaries with respect to such period under capital
leases that is treated as interest in accordance with GAAP.

     

    EBITDA
shall be based on audited financial statements for the applicable period
prepared by the Company in accordance with GAAP.  Notwithstanding
anything to the contrary in the foregoing, EBITDA shall not
include:

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    (a)
Income or expense arising from the change in the fair value of financial
instruments, include (i) the negative goodwill from the acquisition of LifeTech;
(ii) the outstanding warrant liabilities from Series A and Series B Warrants;
and (ii) implied financing or interest costs (both cash and non-cash) from the
Purchased Shares to be issued to the Investor;

     

    (b) Gain
or loss from disposal of, and impairment of properties, plant and equipment and
intangible assets;

     

    (c) Gain
from reversal of reserves in the prior financial periods (such as accounts
receivable);

     

    (d)
Government subsidies;

     

    (e)
Non-pharmaceutical revenue, except for medical instruments and any other
non-pharmaceutical revenues that the Company and its Subsidiaries generate
during the normal course of business;

     

    (f) Share
based compensation for the 8% management incentive as set out in Section 4.10 of
this Agreement;

     

    (g)
Non-recurring revenue or income from rADTZ formulas, patents, know-how or
licensing;

     

    (h)
Non-recurring revenue or income from disposal of drug patents, manufacturing
know-how, medical formulas or drug licenses;

     

    (i)
Non-operating expenses including a non-recurring write-down of value of land use
rights or other intangible assets; and/or

     

    (j)
One-time transactional costs and expenses arising from the transaction
contemplated by this Agreement, including the commission paid to the placement
agent and due diligence fees and professional fees payable by the
Company.

     

    “Environmental
Law” means any federal, state, provincial, local or foreign law, statute, code
or ordinance, principle of common law, rule or regulation, as well as any
permit, order, decree, judgment or injunction issued, promulgated, approved or
entered thereunder, relating to pollution or the protection, cleanup or
restoration of the environment or natural resources, or to the public health or
safety, or otherwise governing the generation, use, handling, collection,
treatment, storage, transportation, recovery, recycling, discharge or disposal
of hazardous materials.

     

    “Equity
Securities” means (i) any Common Shares, (ii) any other equity security of the
Company, including without limitation shares of preferred stock, (iii) any other
security of the Company which by its terms is convertible into or exchangeable
or exercisable for any equity security of the Company, or (iv) any option,
warrant or other right to subscribe for, purchase or otherwise acquire any such
security described in the foregoing clauses (i) through (iii).

     

    “Escrow
Agreement” means the Escrow Agreement in the form attached hereto as Exhibit
B.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    “Escrow
Funds” has the meaning as defined under the Escrow Agreement.

     

    “Exchange
Act” means the Securities Exchange Act of 1934, as amended (or any successor
act), and the rules and regulations thereunder (or respective successors
thereto).

     

    “Exempt
Issuance” means the issuance of Equity Securities: (i) pursuant to a bona fide
firm underwritten public offering of the Company’s securities, (ii) other than
for cash, in connection with a strategic merger, acquisition, or consolidation
provided that the issuance of such securities in connection with such strategic
merger, acquisition or consolidation has been approved in advance by the
Investor, (iii) in connection with bona fide strategic license agreements or
other partnering arrangements so long as such issuances are not for the purpose
of raising capital and provided that the issuance of such securities in
connection with such bona fide strategic license, agreements or other partnering
arrangements has been approved in advance by the Investors, and (iv) to the
Investor.

     

    “FINRA”
means the Financial Industry Regulatory Authority.

     

    “Fully
Diluted Basis” means (i) the number of Common Shares which would be outstanding
if all securities convertible into or exchangeable for Common Shares held by all
Person were converted or exchanged in full and (ii) as applied to a particular
Person, the number of Common Shares which would be held by such Person if all
securities convertible into, exchangeable for or exercisable for Common Shares
held by such Person were converted or exchanged or exercised in
full.

     

    “GAAP”
means generally accepted accounting principles, applied on a consistent basis,
as set forth in (i) opinions of the Accounting Principles Board of the American
Institute of Certified Public Accountants, (ii) statements of the Financial
Accounting Standards Board and (iii) interpretations of the Commission and the
staff of the Commission.  Accounting principles are applied on a
“consistent basis” when the accounting principles applied in a current period
are comparable in all material respects to those accounting principles applied
in a preceding period.

     

    “Government
Officer” means (a) any employee or official of any government, including by any
employee or official of any entity owned or controlled by a government,
(b) any employee or official of a political party, (c) any candidate for
political office or his employee, or (d) any employee or official of an
international organization.

     

    “Governmental
Authority” means any nation or government, any federal, state, provincial, local
or political subdivision thereof, and any department, commission, board, court,
agency or any other instrumentality thereof and any entity exercising executive,
legislative, judicial, regulatory or administrative functions of or pertaining
to government, including without limitation any stock exchange, securities
market or self-regulatory organization.

     

    “Governmental
Requirement” means any law, statute, code, ordinance, order, rule, regulation,
judgment, decree, injunction, franchise, license or other directive or
requirement of any Governmental Authority, and the notices, orders, decisions,
injunctions, judgments, awards and decrees of or agreements with any
Governmental Authority.

     

    “Guangdong Jiangmen” means Guangdong Jiangmen Center for Biotech Development Co.,
Ltd.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    “HSR Act” means the Hart-Scott-Rodino Antitrust
Improvements Act of 1976, as amended.

     

    “Independent
Director” means an individual who satisfies the independence requirements of
Nasdaq Global Select Market and the New York Stock Exchange, and is not an
Affiliate, partner, director, officer or employee of a party hereto or an
Affiliate of any party hereto or a relative of any of the
foregoing.

     

    “Intellectual
Property” means any U.S. or foreign patents, patent rights, patent applications,
trademarks, trade names, service marks, brand names, logos and other trade
designations (including unregistered names and marks), trademark and service
mark registrations and applications, copyrights and copyright registrations and
applications, inventions, invention disclosures, protected formulae,
formulations, processes, methods, trade secrets, computer software, computer
programs and source codes, manufacturing research and similar technical
information, engineering know-how, customer and supplier information, assembly
and test data drawings or royalty rights.

     

    “Investor
Ownership Percentage” means, as of the time of determination, the percentage
determined by dividing the number of Common Shares then held by Investor on a
Fully Diluted Basis by the total number of issued and outstanding Common Shares
on a Fully Diluted Basis.

     

    “Jiangmen
Acquisition” means the proposed acquisition of all or substantially all of the
assets or equity interests of Guangdong Jiangmen.

     

    “Key
Employees” means the members of the board of directors of any company of the CMC
Group, and the key employees named in Schedule II attached herein, which may be
amended from time to time by Investor.

     

    “Konzern”
means Guangzhou Konzern Medicine Co., Ltd. (广州康采恩医药有限公司), a
WFOE and a wholly owned Subsidiary of the Company.

     

    “Konzern
Bio-Tech” means Guangzhou Konzern Bio-Technology Co., Ltd. (广州康采恩生物科技有限公司), a
wholly owned Subsidiary of Konzern.

     

    “License”
means all licenses, permits, privileges, exclusive rights, certificates of
authority, authorizations, approvals, registrations, franchises and similar
consents granted or issued by any Governmental Authority or any permits,
distributorships, privileges, exclusive rights, certificates, franchises and
similar consents granted by any third parties, that are used in the business of
the CMC Group as presently conducted and as presently proposed to be conducted
and in the products purchased, stored, distributed or manufactured by the CMC
Group.

     

    “Lien”
means, with respect to any Property, any mortgage, pledge, hypothecation,
assignment, deposit arrangement, security interest, tax lien, financing
statement, pledge, charge, or other lien, charge, easement, encumbrance,
preference, priority or other security agreement or preferential arrangement of
any kind or nature whatsoever on or with respect to such Property (including,
without limitation, any conditional sale or other title retention agreement
having substantially the same economic effect as any of the
foregoing).

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    “LifeTech”
means LifeTech Pharmaceuticals. Co., Ltd. (广州莱泰制药有限公司), a
wholly owned Subsidiary of Konzern.

     

    “LifeTech
P&T” means, Guangzhou LifeTech Pharmaceutical & Technological Ltd.
(广州莱泰医药科技有限公司), a
wholly owned Subsidiary of Konzern.

     

    “Market
Price” means, as of a particular date, the arithmetic average of the daily VWAP
of each of the five (5) consecutive Trading Days occurring immediately prior to
(but not including) such date.

     

    “Management
Incentive Shares” means, collectively, the Common Shares issuable pursuant to
the Incentive Plan.

     

    “Material
Adverse Effect” means an effect or effects, individually or in the aggregate,
that is material and adverse to (i) the business, properties, assets,
operations, results of operations, financial condition or prospects of the CMC
Group, (ii) the ability of the Company to perform on a timely basis in any
material respect any of its obligations under this Agreement or the other
Transaction Documents, (iii) legality, validity or enforceability of any
Transaction Document or (iv) the rights or benefits of Investor as contemplated
by the Transaction Documents and the Articles of Incorporation and By-laws of
the Company.

     

    “MOFCOM”
means the Ministry of Commerce or, with respect to any matter to be submitted
for examination and approval by the Ministry of Commerce, any government entity
which is similarly competent to examine and approve such matter under the laws
of the PRC.

     

    “NASD”
means the National Association of Securities Dealers, Inc.

     

    “OTCBB”
means the FINRA Over-the-Counter Bulletin Board.

     

    “Peak
Capital” means Peak Capital Advisory Limited.

     

    “Person”
means any individual, corporation, trust, association, company, partnership,
joint venture, limited liability company, joint stock company, Governmental
Authority or other entity.

     

    “Private
Placement Investors” means, collectively, Barron Partners L.P., Ray and Amy
Rivers, JTROS, Steve Mazur and William M. Denkin.

     

    “PRC”
means People’s Republic of China, and for the purpose of this Agreement, does
not include Hong Kong Special Administrative Region, Macao Special
Administrative Region or Taiwan.

     

    “Preferred
Stock Purchase Agreement” means the Preferred Stock Purchase Agreement dated
February 8, 2006, by and among the Company and the Private Placement
Investors.

     

    “Principal
Market” means the principal exchange or market on which the Common Shares are
listed, quoted or traded.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    “Property”
means property and assets of all kinds, whether real, personal or mixed,
tangible or intangible (including, without limitation, all rights relating
thereto).

     

    “Representative”
means, with respect to any Person, the officers, directors, employees, agents,
accountants, advisors, bankers and other representatives of such
Person.

     

    “SAIC”
means the State Administration for Industry and Commerce of the PRC or, with
respect to the issuance of any business license or filing or registration to be
effected with or by the State Administration for Industry and Commerce, any
government entity which is similarly competent to issue such business license or
accept such filing or registration under the laws of the PRC.

     

    “SAFE”
means the State Administration of Foreign Exchange of the PRC, and any
governmental body that is a successor thereof.

     

    “Share
Pledge Agreement” means the Share Pledge Agreement in the form attached hereto
as Exhibit C, among the Executive Shareholder and Investor pursuant to which the
Executive Shareholder shall pledge his Equity Securities to Investor to secure
such Executive Shareholder’s obligations under Section 4.12 hereof.

     

    “Shareholders
Agreement” means the Shareholders Agreement dated the date hereof and attached
hereto as Exhibit D.

     

     “Subsidiary”
means, with respect to any Person, any corporation or other entity of which at
least a majority of the outstanding shares of stock or other ownership interests
having by the terms thereof ordinary voting power to elect a majority of the
board of directors (or Persons performing similar functions) of such corporation
or entity (regardless of whether or not at the time, in the case of a
corporation, stock of any other class or classes of such corporation shall have
or might have voting power by reason of the happening of any contingency) is at
the time directly or indirectly owned or controlled by such Person or one or
more of its Affiliates or by such Person and one or more of its
Affiliates.

     

    “Tax”
(and, with correlative meaning, “Taxes” and “Taxable”) means any and all taxes,
assessments, charges, duties, fees, levies  or other governmental
charges including, without limitation, (i) any federal, state, local, foreign
and other income, alternative or add-on minimum tax, gross income, gross
receipts, sales, use, ad valorem, transfer, franchise, profits, value added, net
worth, license, withholding, payroll, employment, excise, severance, stamp,
occupation, premium, property, environmental, capital gains, capital stock,
social security or windfall profit tax, custom, duty, governmental fee or other
like assessment or charge, or other tax of any kind whatsoever (whether payable
directly or by withholding and whether or not requiring the filing at a Tax
Return), together with any estimated taxes, deficiency assessments, interest or
any penalty, addition to tax or additional amount imposed by any Tax Authority,
(ii) any liability for the payment of any amounts of the type described in (i)
as a result of being a member of an Affiliate, consolidated, combined or unitary
group for any taxable period or as the result of being a transferee or successor
thereof and (iii) any liability for the payment of any amounts of the type
described in (i) or (ii) as a result of any express or implied obligation to
indemnify any other Person.

     

    “Tax
Authority” means any federal, state, local or foreign Governmental Authority or
regulatory body responsible for the imposition of any Taxes, including, without
limitation, such authorities in the United States, any state of the United
States, the PRC and Hong Kong Special Administrative Region.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    “Tax
Return” means any return, declaration, report, form, claim for refund,
information return or similar statement filed or required to be filed with
respect to any Taxes, including any schedule, election, declaration, disclosure,
estimate, information or attachment thereto, and including any amendment
thereof.

     

    “Trading
Day” means any day on which the Common Shares are purchased and sold on the
Principal Market.

     

    “Transaction
Documents” means, collectively, this Agreement, the Escrow Agreement, the Share
Pledge Agreement, the Shareholders Agreement and all other agreements, documents
and other instruments contemplated hereby and thereby, including those which are
executed and delivered by or on behalf of the Company on the date
hereof.

     

    “VWAP”
means the volume weighted average price of the Common Shares for a Trading Day
on the Principal Market as reported by Bloomberg Financial Markets or, if
Bloomberg Financial Markets is not then reporting such prices, by a comparable
reporting service of national reputation selected by Investor.  If the
VWAP cannot be calculated for the Common Shares on such Trading Day on any of
the foregoing bases, then the Company shall submit such calculation to an
independent investment banking firm of national reputation reasonably acceptable
to Investor, and shall cause such investment banking firm to perform such
determination and notify the Company and Investor of the results of
determination no later than two (2) Business Days from the time such calculation
was submitted to it by the Company.  All such determinations shall be
appropriately adjusted for any stock dividend, stock split or other similar
transaction during such period.

     

    “WFOE”
means a wholly foreign owned enterprise established pursuant to PRC Wholly
Foreign Owned Enterprise Law, as amended.

     

    Section
1.2           Other Definitional
Provisions.  All definitions contained in this Agreement are
equally applicable to the singular and plural forms of the terms
defined.  The words “hereof,” “herein” and “hereunder” and words of
similar import referring to this Agreement refer to this Agreement as a whole
and not to any particular provision of this Agreement.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    Section
1.3           Terms defined elsewhere in
this Agreement.  The following terms are defined in this
Agreement as follows:

     

    
      
        
          
            	
                    Term

                  	 
      	
                    Location

                  	 
      	
                    Page

                  
	 	 	 	 	 
	
                    2010
      Actual EBITDA

                  	 
      	
                    Section
      4.9(a)

                  	 
      	
                    29

                  
	
                    2010
      Additional Shares

                  	 
      	
                    Section
      4.9(a)

                  	 
      	
                    29

                  
	
                    2010
      Target EBITDA

                  	 
      	
                    Section
      4.9(a)

                  	 
      	
                    29

                  
	
                    2011
      Actual EBITDA

                  	 
      	
                    Section
      4.9(b)

                  	 
      	
                    30

                  
	
                    2011
      Additional Shares

                  	 
      	
                    Section
      4.9(b)

                  	 
      	
                    30

                  
	
                    2011
      Target EBITDA

                  	 
      	
                    Section
      4.9(b)

                  	 
      	
                    30

                  
	
                    Action

                  	 
      	
                    Section
      3.2(k)

                  	 
      	
                    16

                  
	
                    Agreement

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Certificate
      of Designation

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Closing
      Date

                  	 
      	
                    Section
      2.2

                  	 
      	
                    10

                  
	
                    Closing

                  	 
      	
                    Section
      2.2

                  	 
      	
                    10

                  
	
                    Code

                  	 
      	
                    Section
      3.2(gg)(ii)

                  	 
      	
                    23

                  
	
                    Common
      Shares

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Common
      Shares Purchase Price

                  	 
      	
                    Section
      2.1

                  	 
      	
                    10

                  
	
                    Company

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Consenting
      Parties

                  	 
      	
                    Section
      3.2(e)

                  	 
      	
                    13

                  
	
                    Customers

                  	 
      	
                    Section
      3.2(p)(i)

                  	 
      	
                    19

                  
	
                    DOJ

                  	 
      	
                    Section
      4.4

                  	 
      	
                    28

                  
	
                    Escrow
      Agent

                  	 
      	
                    Section
      2.3

                  	 
      	
                    10

                  
	
                    Evaluation
      Date

                  	 
      	
                    Section
      3.2(hh)

                  	 
      	
                    26

                  
	
                    Executive
      Shareholder

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Expenses

                  	 
      	
                    Section
      6.2

                  	 
      	
                    39

                  
	
                    FTC

                  	 
      	
                    Section
      4.4

                  	 
      	
                    28

                  
	
                    Group
      Property

                  	 
      	
                    Section
      3.2(n)

                  	 
      	
                    19

                  
	
                    Incentive
      Plan

                  	 
      	
                    Section
      4.10

                  	 
      	
                    31

                  
	
                    Incentives

                  	 
      	
                    Section
      3.2(gg)(iv)

                  	 
      	
                    24

                  
	
                    Indemnifiable
      Losses

                  	 
      	
                    Section
      4.12(b)

                  	 
      	
                    33

                  
	
                    Indemnified
      Party

                  	 
      	
                    Section
      4.12(b)

                  	 
      	
                    33

                  
	
                    Indemnifying
      Party

                  	 
      	
                    Section
      4.12(b)

                  	 
      	
                    33

                  
	
                    Investment
      Company Act

                  	 
      	
                    Section
      3.2(ff)

                  	 
      	
                    23

                  
	
                    Investor

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Latest
      Closing Date

                  	 
      	
                    Section
      5.1(d)

                  	 
      	
                    36

                  
	
                    Material
      Contracts

                  	 
      	
                    Section
      3.2(ll)

                  	 
      	
                    27

                  
	
                    Overlap
      Period

                  	 
      	
                    Section
      4.12(i)

                  	 
      	
                    35

                  
	
                    Performance
      Milestones

                  	 
      	
                    Section
      4.10

                  	 
      	
                    31

                  
	
                    Pre-Closing
      Period

                  	 
      	
                    Section
      3.2(gg)(i)

                  	 
      	
                    23

                  
	
                    Preferred
      Shares Purchase Price

                  	 
      	
                    Section
      2.1

                  	 
      	
                    10

                  
	
                    Purchase
      Price

                  	 
      	
                    Section
      2.1

                  	 
      	
                    10

                  
	
                    Purchased
      Common Shares

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Purchased
      Preferred Shares

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Purchased
      Shares

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Qualified
      Capital Market

                  	 
      	
                    Section
      4.8

                  	 
      	
                    29

                  
	
                    Redeemable
      Convertible Preferred Shares

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Redemption
      Amount

                  	 
      	
                    Section
      4.11

                  	 
      	
                    32

                  
	
                    Regulation
      D

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Related
      Parties

                  	 
      	
                    Section
      3.2(p)(iii)

                  	 
      	
                    20

                  
	
                    Remuneration
      Committee

                  	 
      	
                    Section
      4.10

                  	 
      	
                    31

                  
	
                    SAFE
      Release

                  	 
      	
                    Section
      4.11

                  	 
      	
                    32

                  
	
                    SEC
      Documents

                  	 
      	
                    Section
      3.2(d)

                  	 
      	
                    12

                  
	
                    Securities
      Act

                  	 
      	
                    Preamble

                  	 
      	
                    1

                  
	
                    Social
      Insurance Funds

                  	 
      	
                    Section
      3.2(s)

                  	 
      	
                    20

                  
	
                    Tax
      Indemnified Party

                  	 
      	
                    Section
      4.12(c)

                  	 
      	
                    33

                  
	
                    Waiver

                  	 
      	
                    Section
      5.1(d)

                  	 
      	
                    36

                  

          

        

      

    

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    

    ARTICLE
II.

    PURCHASE
AND SALE

     

    Section
2.1           Sale and Purchase of
Purchased Shares.  Upon the terms and subject to the conditions
set forth herein, at the Closing, the Company agrees to sell to Investor, and
Investor agrees to purchase from the Company, 4,000,000 Common Shares and
1,920,000 Redeemable Convertible Preferred Shares, which represent no less than
54.0% of all of the issued and outstanding Common Shares on a Fully Diluted
Basis as of date hereof and as of the Closing Date.  The purchase
price for each Purchased Common Share is US$3.00 and the purchase price for each
Purchased Preferred Share is US$30.00, subject to adjustment as provided
herein.  The aggregate purchase price for the Purchased Common Shares
is $12,000,000 (the “Common Shares Purchase Price”) and the aggregate purchase
price for the Purchased Preferred Shares is $57,600,000 (the “Preferred Shares
Purchase Price”).  The total aggregate purchase price for the
Purchased Shares is US$69,600,000 (the “Purchase Price”).

     

    Section
2.2           Closing.  The
closing of the sale to, and purchase by, Investor of the Purchased Shares (the
“Closing”) shall occur at the office of Orrick, Herrington & Sutcliffe, 43rd
Floor Gloucester Tower, the Landmark, 15 Queen’s Road Central, Hong Kong, or at
such other time and place as the Company and Investor may mutually agree in
writing (the “Closing Date”), but in no event later than 15 days following the
satisfaction or waiver by Investor or the Company of the conditions to Closing
set forth in Article V hereof.  At the Closing, the Company shall
deliver to Investor, certificates evidencing the Purchased Common Shares and the
Purchased Preferred Shares, in such denominations and registered in the name of
Investor as set forth in Schedule I hereto as supplemented or amended from time
to time prior to the Closing, against payment of the Common Shares Purchase
Price to the Company by wire transfer of immediately available funds and
delivery of the Preferred Shares Purchase Price.

     

    Section
2.3           Escrow of Preferred Shares
Purchase Price.  Investor and the Company shall appoint
JPMorgan Chase Bank, N.A. on the Closing Date (the “Escrow Agent”) to hold in
escrow the Preferred Shares Purchase Price in accordance with the Escrow
Agreement.  The Escrow Agent shall release the Preferred Shares
Purchase Price pursuant to and upon satisfaction of the conditions set forth in
such Escrow Agreement.

     

    ARTICLE
III.

    REPRESENTATIONS
AND WARRANTIES

     

    Section
3.1           Investor.  Investor
represents and warrants to the Company as of the date of this Agreement and as
of the Closing that:

     

    (a)           Organization.  Investor
is validly existing and in good standing under the laws of its jurisdiction of
incorporation, and has all requisite corporate power and authority to enter into
the Transaction Documents to which it is a party and to consummate the
transactions contemplated hereby and thereby.

     

    (b)           Validity.  The
execution, delivery and performance of the Transaction Documents to which it is
a party, and the consummation of the transactions contemplated hereby and
thereby, have been duly authorized by all necessary action, corporate or
otherwise, on the part of Investor.  The Transaction Documents to
which Investor is a party have been duly executed and delivered by Investor and
constitute valid and binding obligations of Investor enforceable against it in
accordance with their terms, subject to (i)
applicable bankruptcy, insolvency, fraudulent transfer, moratorium,
reorganization or other similar laws of general application relating to or
affecting the enforcement of creditors’ rights generally and (ii) as limited by
laws relating to the availability of specific performance, injunctive relief or
other equitable remedies and (iii) insofar as indemnification and contribution
provisions may be limited by applicable law.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    (c)           Brokers.  All
negotiations relating to this Agreement and the transactions contemplated hereby
have been carried out without the intervention of any Person acting on behalf of
Investor in such manner as to give rise to any valid claim against Investor for
any brokerage or finder’s commission, fee or similar compensation.

     

    (d)           Purchase for
Investment.  Investor is acquiring the Purchased Shares for
investment and not with a view toward any resale or distribution thereof except
in compliance with the Securities Act.  Investor hereby acknowledges
that the Purchased Shares have not been registered pursuant to the Securities
Act and may not be transferred in the absence of such registration or an
exemption therefrom under the Securities Act.  Investor has sufficient
knowledge and experience in financial and business matters so as to be capable
of evaluating the merits and risks of its investment in the Purchased Shares and
is capable of bearing the economic risks of the transactions contemplated by
this Agreement.

     

    Section
3.2           Company.  The
Company and the Executive Shareholder jointly and severally represent and
warrant to Investor as of the date of this Agreement and as of the date of the
Closing that:

     

    (a)           Organization, Good Standing
and Qualification.  The Company is duly organized, validly
existing and in good standing under the laws of the State of Nevada and has all
requisite corporate power and authority to carry on its business as now
conducted.  The Company is a holding company of all of its
Subsidiaries and has never engaged in any operations or business with any third
parties or its Affiliates, nor has it incurred any liabilities relating to any
operations, including operations of any of the Subsidiaries of the
Company.  All of the Subsidiaries of the Company are set forth in
Section 3.2(a) of Schedule III attached hereto.  Except as set forth in Section 3.2(a) of Schedule III, the Company owns, directly or indirectly, all of
the capital stock or other equity interests of each Subsidiary of the Company
free and clear of any Liens, and all the issued and outstanding shares of
capital stock of each Subsidiary of the Company are validly issued and are fully
paid, non-assessable and free of preemptive and similar rights to subscribe for
or purchase securities. Each of the Subsidiaries of the Company is an entity
duly incorporated or otherwise organized, validly existing and in good standing
under the laws of the jurisdiction of its incorporation or organization (as
applicable), with the requisite corporate power and authority to own and use its
properties and assets and to carry on its business as currently
conducted.  The re-organization procedures of Konzern and LifeTech
from state-owned entities to privately-owned entities have been in compliance
with all PRC laws and such procedures have been duly completed. Each of the
Company and its Subsidiaries is duly qualified to conduct business and is in
good standing as a foreign corporation or other entity in each jurisdiction in
which the nature of the business conducted or Property owned by it makes such
qualification necessary, except where the failure to be so qualified or in good
standing, as the case may be, could not have or reasonably be expected to result
in a Material Adverse Effect and no proceeding has been instituted in any such
jurisdiction revoking, limiting or curtailing or seeking to revoke, limit or
curtail such power and authority or qualification.

     

    Section
3.2(a) of Schedule III includes a chart setting forth each of the Company and
all of its Subsidiaries and lists the issued and outstanding share capital or
equity interests of each such entity, the name of each equity holder of such
entities and the number of shares or equity interest held by such equity holder,
the form of legal entity of each such entity, the location/jurisdiction where
each such entity was organized, each jurisdiction in which each such entity is
required to be licensed to do business as a foreign Person.

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    Except in
respect of any interest held in any of the Subsidiaries of the Company, neither
the Company nor any its Subsidiaries owns or controls, directly or indirectly,
any interest in any other corporation, partnership, trust, joint venture,
association or other entity. None of the Company or its Subsidiaries maintains
any offices or any branches.  The legally authorized registered
capital of each Subsidiary in the PRC, as set forth in Section 3.2(a) of
Schedule III, has been paid-in in full in accordance with applicable
law.  Each such capital contribution has been duly verified by a
certified accountant registered in the PRC and the accounting firm employing
such accountant, and the report of the certified accountant evidencing such
verification has been registered with SAIC in PRC or its local bureau, all in
accordance with applicable law.  Each reduction of the registered
capital of any of the Company Subsidiaries located in PRC has been conducted in
accordance with applicable Governmental Requirements.

     

    (b)           Authorization;
Consents.  The Company has the requisite corporate power and
authority to enter into and perform its obligations under the Transaction
Documents, to issue and sell the Purchased Shares to Investor in accordance with
the terms hereof and thereof.  The execution and delivery of each of
the Transaction Documents by the Company and the consummation by it of the
transactions contemplated thereby have been duly authorized by all necessary
action on the part of the Company and no further action is required by the
Company, its shareholders, its Board of Directors, any Governmental Authority or
organization, or any other Person or entity (pursuant to any rule of the
Principal Market or otherwise) except for reports required to be filed under the
Exchange Act and filings required under applicable state securities
laws.

     

    (c)           Enforcement.  This
Agreement has been and, at or prior to the Closing, each other Transaction
Document to be delivered at the Closing will be, duly executed and delivered by
the Company and the Executive Shareholder.  This Agreement constitutes
and, upon the execution and delivery thereof by the Company and the Executive
Shareholder, each other Transaction Document will constitute, the valid and
legally binding obligation of the Company and the Executive Shareholder,
enforceable against it in accordance with its terms, subject to (i) applicable
bankruptcy, insolvency, fraudulent transfer, moratorium, reorganization or other
similar laws of general application relating to or affecting the enforcement of
creditors’ rights generally and (ii) as limited by laws relating to the
availability of specific performance, injunctive relief or other equitable
remedies and (iii) insofar as indemnification and contribution provisions
may be limited by applicable law.

    
      
         

      

      
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    (d)           SEC Documents; Financial
Statements; Other Information.  The Company is subject to the
reporting requirements of the Exchange Act and has filed with the Commission all
reports, schedules, registration statements and definitive proxy statements and
all exhibits attached thereto or incorporated therein by reference, that the
Company was required to file with or furnish to the Commission on or after
February 14, 2006 (collectively, the “SEC Documents”).  The Company is
not aware of any event occurring or expected to occur on or prior to the Closing
Date (other than the transactions effected hereby) that would require the filing
of, or with respect to which the Company intends to file, a Form 8-K within four
(4) Business Days after the Closing; provided however, if any unanticipated
event occurs which requires the filing of a Form 8-K, the fact that a Form 8-K
was filed shall not by itself be deemed to be a breach of this Section
3.2(d).  Each SEC Document, as of the date of the filing thereof with
the Commission (or if amended or superseded by a filing prior to the date
hereof, then on the date of such amending or superseding filing), complied with
the requirements of the Securities Act or Exchange Act, as applicable, and the
rules and regulations promulgated thereunder and, as of the date of such filing
(or if amended or superseded by a filing prior to the date hereof, then on the
date of such filing), such SEC Document (including all exhibits and schedules
thereto and documents incorporated by reference therein) did not contain an
untrue statement of material fact or omit to state a material fact required to
be stated therein or necessary to make the statements therein, in light of the
circumstances under which they were made, not misleading. All documents required
to be filed as exhibits to the SEC Documents have been filed as required or the
Company has received a valid extension of time to file.  Except as set
forth in the most recent audited financial statements in the SEC Documents, the
Company has no liabilities, contingent or otherwise, other than liabilities
incurred in the ordinary course of business which, under GAAP, are not required
to be reflected in the financial statements included in the SEC Documents and
which, individually or in the aggregate, are not material to the consolidated
business or financial condition of the CMC Group taken as a whole. As of their
respective dates, the financial statements of the Company included in the SEC
Documents complied as to form with applicable accounting requirements and the
published rules and regulations of the Commission with respect
thereto.  Such financial statements have been prepared in accordance
with GAAP consistently applied at the times and during the periods involved
(except (i) as may be otherwise indicated in such financial statements or the
notes thereto, or (ii) in the case of unaudited interim statements, to the
extent they may exclude footnotes or may be condensed or summary statements) and
fairly present respects the financial position of the Company as of the dates
thereof and the results of its operations and cash flows for the periods then
ended (subject, in the case of unaudited statements, to normal year-end
adjustments).

     

    (e)           Filings, Consents and
Approvals.  The Company is not required to obtain any consent,
waiver, authorization or order of, give any notice to, or make any filing or
registration with, any court or other federal, state, local or other
Governmental Authority or other Person in connection with the execution,
delivery and performance by the Company of the Transaction Documents, other than
(i) filings required pursuant to the HSR Act, (ii) application(s) to the
Principal Market and the Qualified Market for the listing of the Shares for
trading thereon, and (iii) the consent from the parties set forth in Section
3.2(e) of Schedule III, whose approval, acknowledgement or consent is required
to consummate the transactions contemplated herein due to the change of control
of the Company upon Closing (the “Consenting Parties”).

     

    (f)           Compliance.

     

    (i)          
Neither the Company nor any of its Subsidiaries is in violation of or default
under (and no event has occurred which, with notice or lapse of time or both,
would constitute a default), nor has the Company or any of its Subsidiaries
received notice of a claim that it is in default under or that it is in
violation of (a) any of the provisions of its respective certificate or articles
of incorporation, by-laws or other organizational or charter document, or (b)
any provision of any material instrument or contract to which it is a party or
by which it or any of its Property is bound (whether or not such default or
violation has been waived), except where, in the case of clause (b) only, such
violation or default of provisions of any material instrument or contract would
not reasonably be expected to have a Material Adverse Effect.

     

    (ii)           Each
of the Company and its Subsidiaries, is and to the Company’s Knowledge, at all
times has been, in full compliance with all Governmental
Requirements.

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    

      (iii)          To
the Company’s Knowledge, no event has occurred and no circumstance exists that
(with or without notice or lapse of time) (a) may constitute or reasonably be
expected to result in a violation by the Company or any of its Subsidiaries of,
or a failure on the part of the Company or any of its Subsidiaries to comply
with, any Governmental Requirements, or (b) may give rise to any obligation
on the part of the Company or any of its Subsidiaries to undertake, or to bear
all or any portion of the cost of, any remedial action of any
nature.

       

      (iv)          None
of the Company or any of its Subsidiaries has received at any time during the 12
months period prior to the date of this Agreement, any notice or other
communication (whether oral or written) from any Governmental Authority
regarding (a) any actual, alleged, possible, or potential violation of, or
failure to comply with, any Governmental Requirements, or (b) any actual,
alleged, possible, or potential obligation on the part of the Company or any of
its Subsidiaries to undertake, or to bear all or any portion of the cost of, any
remedial action of any nature.

       

      (v)           The
Key Employees and each of the Company and its Subsidiaries have fully complied
with Governmental Requirements in connection with establishment of each the
Company and its Subsidiaries, including without limitation any registration
required under procedures mandated by SAFE.

       

      (vi)          The
Provisions on Mergers and Acquisition of Domestic Enterprises by Foreign
Investors effective on September 8, 2006 (关於外国投资者并购境内企业的规定)
do not apply to the transactions contemplated by this Agreement.

       

      (g)           No
Conflict.  The execution, delivery and performance of this
Agreement and the other Transaction Documents and the consummation of the
transactions contemplated hereby and thereby (including without limitation, the
issuance of the Purchased Shares) will not result in any violation of, be in
conflict with or constitute (with or without the passage of time and giving of
notice) a default of or accelerate the rights under (i) any of the provisions of
the certificate or articles of incorporation, by-laws or other organizational or
charter documents of the Company or any of its Subsidiaries, (ii) any provision
of any material instrument or contract to which the Company or any of its
Subsidiaries is a party or by which the Company or its Subsidiary or any of
Property of the Company or its Subsidiary is bound (whether or not such default
or violation has been waived), or (iii) any law, statute, rule or regulation of
any Governmental Authority, except in the case of (ii) or (iii) would not
reasonably be expected to have a Material Adverse Effect.

       

      (h)           Due Authorization; Valid
Issuance.  The Purchased Shares are duly authorized and
reserved for issuance and, when issued in accordance with the terms of this
Agreement, will be duly and validly issued, fully paid and non-assessable, free
and clear of any Liens imposed by or through the Company other than restrictions
on transfer provided for in the Transaction Documents.

       

      
        
          
          

        

        
          14

          
            

          

        

        
          
          

        

      

       

      (i)         
  Capitalization.  The
capitalization of the Company, including its authorized capital stock, the
number of shares issued and outstanding, the number of shares issuable and
reserved for issuance pursuant to the Company’s stock option plans and
agreements, the number of shares issuable and reserved for issuance pursuant to
securities exercisable for, or convertible into or exchangeable for any shares
of Common Shares, is as set forth in Section 3.2(i) of Schedule
III.  All outstanding shares of capital stock of the Company have been
validly issued, fully paid and non-assessable.  No shares of the
capital stock of the Company are subject to preemptive rights or any other
similar rights of the shareholders of the Company or any Liens created by or
through the Company.  Except (i) as provided in the Transaction
Documents, (ii) for securities to be issued pursuant to employee stock option
plans or employee stock purchase plans and (iii) the right of first refusal by
the Private Placement Investors pursuant to Section 6.14 of the Preferred Stock
Purchase Agreement, there are no outstanding options, warrants, scrip, rights to
subscribe to, calls or commitments of any character whatsoever relating to, or
securities or rights convertible into or exercisable or exchangeable for, any
shares of capital stock of the Company or any of its Subsidiaries, or
arrangements by which the Company or any of its Subsidiaries is or may become
bound to issue additional shares of capital stock of the Company or any of its
Subsidiaries (whether pursuant to anti-dilution, “reset” or other similar
provisions).  Except as provided in the Transaction Documents, as set
forth in Section 3.2(i) of Schedule III, and except the right of first refusal
by the Private Placement Investors pursuant to Section 6.14 of the Preferred
Stock Purchase Agreement, there are no outstanding options, warrants, rights
(including conversion or preemptive rights and rights of first refusal), proxy
or shareholders agreements or agreements of any kind for the purchase or
acquisition from the Company or any of its Subsidiaries of any
securities.  None of the Company or any of its Subsidiaries is subject
to any obligation (contingent or otherwise) to purchase or otherwise acquire or
retire any equity interest held by its shareholders or to purchase or otherwise
acquire or retire any of its other outstanding securities.  The
execution and delivery of and performance of the obligations contained in this
Agreement or the other Transaction Documents shall not result in the
acceleration, modification or triggering of additional rights or obligations
under any outstanding options, warrants or other rights relating to the capital
stock of the Company.

       

      Except as
disclosed in Section 3.2(i) of Schedule III, as of the date hereof, (a) the
Executive Shareholder holds good and valid title to Common Shares of the
Company, free and clear of all restrictions on transfer or other encumbrances,
(b) the Common Shares owned by the Executive Shareholder were duly issued in
compliance with, and are valid under, all Governmental Requirements, including
those promulgated by SAFE and those regulating the offer, sale or issuance of
securities generally, and (c) there are no outstanding options or rights for the
purchase or acquisition by the Company or any of its Subsidiaries of such Common
Shares.

       

      (j)        
   Financial
Condition.  The financial condition of the Company and each of
its Subsidiaries (except LifeTech) is as described in the most recent financial
statements included in the SEC Documents, and the financial condition of
LifeTech is as described in the financial statements set forth in Section 3.2(f)
of Schedule III (which include LifeTech’s audited financial statements dated as
of and for the eight months ended August 31, 2009, and management accounts for
each of September, October and November of 2009), in each case, except for
changes in the ordinary course of business and normal year-end adjustments that
are not, in the aggregate, materially adverse to the consolidated business or
financial condition of the Company and its Subsidiaries taken as a whole. Since
the date of the Company’s most recent financial statements contained in the SEC
Documents and except as disclosed in the SEC Documents or shown in the financial
statements of LifeTech set forth in Section 3.2(f) of Schedule III, there has
been no (i) event, occurrence or development that has had or that resulted in a
Material Adverse Effect, (ii) liabilities incurred by the Company or any of its
Subsidiaries (contingent or otherwise) other than trade payables and accrued
expenses incurred in the ordinary course of business consistent with past
practice, (iii) change by the Company in its accounting principles, policies and
methods except as required by changes in GAAP, (iv) dividend or distribution of
cash or other Property (or its securities) declared or made to the Company’s
shareholders, (v) repurchase, redemption or agreements made to repurchase or
redeem any securities of the Company’s capital stock, or (vi) issuance of any
Equity Securities to any Person (including to any officer, director or
Affiliate), except the exercise by the option holders and warrant holders of the
outstanding options and warrants, all of which have been listed in Section
3.2(i) of Schedule III. The Company does not have pending before the Commission
any request for confidential treatment of information.

       

      
        
          
          

        

        
          15

          
            

          

        

        
          
          

        

      

       

      (k)           Litigation.  There
is no action, suit, inquiry, notice of violation, proceeding or investigation
pending or, to the Company’s Knowledge, threatened against or affecting the
Company, any of its Subsidiaries or any of their respective properties before or
by any court, arbitrator, governmental or administrative agency or regulatory
authority (federal, state, county, local or foreign, including but not limited
to the Internal Revenue Service, the taxing authorities of any state or local
jurisdiction, the Commission, FINRA, NASD, any state securities commission or
other Governmental Authority) (collectively, an “Action”).  Neither
the Company nor any of its Subsidiaries, nor any director or officer thereof, is
or has been the subject of any Action involving a claim of violation of or
liability under federal or state securities laws, a claim of breach of fiduciary
duty or a claim relating to the employment of such director or
officer.  There has not been, and to the Company’s Knowledge, there is
no pending or contemplated investigation by the Commission involving the Company
or any current or former director or officer of the Company.  No facts
or circumstances exist or have in the past existed that could be the basis for
any Action. The Commission has not issued any stop order or other order
suspending the effectiveness of any registration statement filed by the Company
or any of its Subsidiaries under the Exchange Act or the Securities
Act.

       

      (l)         
  Licenses

       

        (i)         
   Section 3.2(l) of Schedule III contains a true and complete
list of all Licenses that are necessary for CMC Group to conduct the business as
presently conducted and as presently proposed to be conducted and, with respect
to each of its present business domiciles, to own and operate its assets and
properties.  Section 3.2(l) of Schedule III shall also set forth
the owner, the function and the expiration and renewal date of each such
License.  The Licenses set forth in Section 3.2(l) of Schedule
III include but are not limited to all Licenses necessary for CMC Group to
engage in current and proposed activities relating to the research and
development, clinical trial, manufacturing, purchase, distribution and storage
of medical products, health care products, medical or health care
equipments.  Prior to the execution of this Agreement, the Company has
delivered to Investor true and complete copies of all such Licenses or the
supporting documents thereof.

       

        (ii)          
 Each of the Company and its Subsidiaries owns or validly holds all
Licenses that are necessary to conduct its business as presently conducted and
as presently proposed to be conducted and with respect to each of its present
business domiciles and to own and operate its assets and
properties.

       

        (iii)           Each
License listed in Section 3.2(l) of Schedule III is valid, binding and in full
force and effect.

       

        (iv)           None
of the Company or its Subsidiaries is or has at any time been, or has received
any notice in writing that it is or has at any time been, in default (or with
the giving of notice or lapse of time or both, would be in default) under any
such License.

       

      
        
          
          

        

        
          16

          
            

          

        

        
          
          

        

      

       

       (v)           Without
limiting the generality of paragraph (i) above, all Licenses required under
applicable Governmental Requirements in the PRC for the due and proper
establishment and operation of each Company Subsidiary located in the PRC and
the consummation of the transactions contemplated hereby have been duly obtained
from the relevant Governmental Authority and are in full force and
effect.  All filings and registrations with the relevant Governmental
Authority of the PRC required in respect of each Company Subsidiary located in
the PRC and each of its operations and businesses, including without limitation,
registration with MOFCOM, SAIC and SAFE have been duly and timely completed in
accordance with the relevant laws in the PRC.  The consummation of the
transactions contemplated under the Transaction Documents will not reasonably be
expected to result in a termination or revocation of any of the
Licenses.  Each of the Company and its Subsidiaries is in compliance
with applicable requirements of the relevant Tax bureau and relevant
Governmental Authorities to which it or its business is subject.

       

      (m)           Intellectual
Property.

       

        (i)         
   Section 3.2(m) of Schedule III contains a true, complete and
accurate list of all Intellectual Property owned by, and used in the conduct of
the business of the Company and its Subsidiaries. The CMC Group owns, free and
clear of claims or rights or any other Person, with full right to use, sell,
license, sublicense, dispose of, and bring Actions for infringement of, or, to
the Company’s Knowledge, has acquired licenses or other rights to use, all
Intellectual Property necessary for the conduct of its respective business as
presently conducted (other than with respect to software which is generally
commercially available and not used or incorporated into the Company’s products
and open source software which may be subject to one or more “general public”
licenses).

       

        (ii)           The
business of the Company as presently conducted and the production, marketing,
licensing, use and servicing of any products or services of the Company do not,
to the Company’s Knowledge, infringe or conflict with any patent, trademark,
copyright, or trade secret rights of any third parties or any other Intellectual
Property of any third parties in any material respect.  The Company
has not received written notice from any third party challenging the Company’s
or its Subsidiaries’ ownership, use or license of any Intellectual Property the
Company or any of its Subsidiaries purports to own, is using or has licensed,
and, to the Company’s Knowledge, there is no valid basis for any such challenge
(whether or not pending or threatened).

       

        (iii)           No
claim is pending or, to the Company’s Knowledge, threatened against the Company
or its Subsidiaries nor has the Company or any of its Subsidiaries received any
written notice or other written claim from any Person asserting that any of the
Company or its Subsidiary’s present activities infringe or may infringe in any
material respect any Intellectual Property of such Person, and none of the
Company or the Company’s Subsidiary is aware of any infringement by any other
Person of any material rights of the Company or its Subsidiaries under any
Intellectual Property rights.

       

        (iv)           All
licenses or other agreements under which the Company and its Subsidiaries are
granted Intellectual Property (excluding licenses to use software utilized in
the Company’s or its Subsidiary’s internal operations and which is generally
commercially available) are in full force and effect and, to the Company and the
Company’s Knowledge, there is no material default by any party
thereto.  The Company and its Subsidiaries have no reason to believe
that the licensors under such licenses and other agreements do not have and did
not have all requisite corporate power and authority to grant the rights to the
Intellectual Property purported to be granted thereby.

       

      
        
          
          

        

        
          17

          
            

          

        

        
          
          

        

      

       

       (v)           All
licenses or other agreements under which the Company or its Subsidiary has
granted rights to Intellectual Property to others (including all end-user
agreements) are (i) in full force and effect, (ii) not subject to material
default by the Company or any of its Subsidiaries, and (iii) to the Company’s
Knowledge, not subject to material default by any other party
thereto.

       

       (vi)           The
Company and its Subsidiaries have taken all steps required in accordance with
commercially reasonable business practice to establish and preserve their
ownership in their owned Intellectual Property and to keep confidential all
material technical information developed by or belonging to the Company or its
Subsidiaries which has not been patented or copyrighted.  To the
Company’s Knowledge, none of the Company or its Subsidiaries is making any
unlawful use of any Intellectual Property of any other Person, including,
without limitation, any former employer of any past or present employees of the
Company and its Subsidiaries.  To the Company’s Knowledge, neither the
Company, any of its Subsidiaries nor any of their respective employees has any
agreements or arrangements with former employers of such employees relating to
any Intellectual Property of such employers, which materially interfere or
conflict with the performance of such employee’s duties for the Company or its
Subsidiary or result in any former employers of such employees having any rights
in, or claims on, the Company’s or any of its Subsidiary’s Intellectual
Property. Each Key Employee of the Company and of each of its Subsidiaries has
executed agreements regarding confidentiality, proprietary information and
assignment of inventions and copyrights to the Company or its Subsidiaries, each
independent contractor or consultant of the Company and of each of the
Subsidiaries of the Company has executed agreements regarding confidentiality
and proprietary information, and neither the Company nor any of its Subsidiaries
has received written notice that any employee, consultant or independent
contractor is in violation of any agreement or in breach of any agreement or
arrangement with former or present employers relating to proprietary information
or assignment of inventions. Without limiting the foregoing: (i) the Company and
each of its Subsidiaries has taken reasonable security measures to guard against
unauthorized disclosure or use of any of its Intellectual Property that is
confidential or proprietary; and (ii) none of the Company or any of its
Subsidiaries has any reason to believe that any Person (including, without
limitation, any former employee or consultant of the Company or of any of its
Subsidiaries) has unauthorized possession of any of its Intellectual Property,
or any part thereof, or that any Person has obtained unauthorized access to any
of its Intellectual Property.  The Company and each of its
Subsidiaries has complied in all material respects with its respective
obligations pursuant to all material agreements relating to Intellectual
Property rights that are the subject of licenses granted by third parties,
except for any non-compliance that has not had or would not reasonably be
expected to have a Material Adverse Effect.

       

      
        
          
          

        

        
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      (n)           Property.  Section
3.2(n) of Schedule III sets forth all the land, buildings and premises currently
owned by the Company and its Subsidiaries (the “Group Property”).  The
Company and its Subsidiaries have land use rights and good and marketable title
(including, where relevant, land use rights and building ownership rights) to
the Group Property, in each case, free and clear of all mortgages, pledges,
Liens, security interests, claims, restrictions or encumbrances of any kind
except such as (i) described in Section 3.2(n) of Schedule III or (ii) do not
materially affect the value of such Group Property and do not interfere with the
use made and proposed to be made of such Property by the Company or any of its
Subsidiaries.  The Company and its Subsidiaries are able to transfer,
sell, mortgage or otherwise dispose of the Group Property pursuant to the
applicable laws of the PRC except to the extent the Group Property is encumbered
by a Lien as set forth in Section 3.2(n) of Schedule III. All of the leases and
subleases material to the business of the Company and its Subsidiaries,
considered as one enterprise, and under which the Company or any of its
Subsidiaries holds properties described in Section 3.2(n) of Schedule III, are
in full force and effect, and neither the Company nor any of its Subsidiaries
has any notice of any material claim of any sort that has been asserted by
anyone adverse to the rights of the Company or any of its Subsidiaries under any
of the leases or subleases mentioned above, or affecting or questioning the
rights of the Company or any of its Subsidiaries thereof to the continued
possession of the leased or subleased premises under any such lease or
sublease.

       

      (o)           Insurance.  The
Company and its Subsidiaries are insured by insurers of recognized financial
responsibility against such losses and risks and in such amounts as are prudent
and customary in the businesses in which the Company and its Subsidiaries are
engaged.  As of the date hereof and as of the Closing Date, no notice
of cancellation has been received for any of such policies and the Company is in
compliance in all material respects with all of the terms and conditions
thereof.  The Company has no reason to believe that it will not be
able to renew its existing insurance coverage as and when such coverage expires
or to obtain similar coverage from similar insurers as may be necessary to
continue to conduct its business as currently conducted without a significant
increase in cost.  At the Closing Date, the Company shall have purchased
director’s and officer’s insurance for each of the members of the Board of
Directors and the Key Employees, in an amount not less than US$10 million for
each covered occurrence.

       

      (p)           Customers.

       

       (i)        
    None of the distributors, wholesalers, retailers or any
other customers of the products of the Company and its Subsidiaries (the
“Customers”) purchased any products of the Company and its Subsidiaries without
intending to sell the products to its customers.

       

       (ii)         
  None of the Customers entered into any buy-back arrangement or any
arrangement with the Company other than the payment of purchase price based on
the invoice issued to it.

       

       (iii)           Except
for small quantities for personal use, none of the Company and its Subsidiaries,
and none of their shareholders, directors, senior management and the companies
directly or indirectly owned or controlled by any of them (collectively, the
“Related Parties”), purchased any products from any of the
Customers.

       

       (iv)           None
of the Company, its Subsidiaries and the Related Parties are involved in any
re-distribution of inventory or unsold products held by the
Customers.

       

       (v)         
  None of the Company, its Subsidiaries or the Related Parties was or
is an Affiliate of the Customers.

       

      
        
          
          

        

        
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       (vi)
          None of the
Customers received any commission or other kind of fees (salary, service fees or
otherwise) from any of the Company, its Subsidiaries or the Related
Parties.

       

      (q)           Entire
Business.  There are no material assets or properties shared
with any other entity, which are used in connection with the business conducted
by the Companies and its Subsidiaries, and all of the facilities, services,
assets or properties owned by the Companies and its Subsidiaries are sufficient
to conduct their business as proposed to be conducted.

       

      (r)           Transactions with Related
Parties and Employees.  Except as set forth in the SEC
Documents, none of the Related Parties and the employees of the Company is
presently a party to any transaction with the Company or any of its Subsidiaries
(other than for services as an employee, officer or director), including any
contract, agreement or other arrangement providing for the furnishing of
services to or by, providing for rental of real or personal Property to or from,
or otherwise requiring payments to or from any such Related Parties and
employees of the Company or, to the Company’s Knowledge, any entity in which any
Related Parties and the employees of the Company has a substantial interest or
is an officer, director, trustee or partner, in each case in excess of
US$120,000 other than (i) for payment of salary or consulting fees for services
rendered, (ii) reimbursement for expenses incurred on behalf of the Company and
(iii) for other employee benefits, including stock option agreements under any
stock option plan of the Company.

       

      (s)          Employee
Matters.  There is no strike, labor dispute or union
organization activities pending or, to the Company’s Knowledge, threatened
between it and its employees.  No employee of the Company belongs to
any union or collective bargaining unit except as required by the relevant laws
of the PRC.  The Company has complied in all material respects with
all applicable federal and state equal opportunity and other laws related to
employment.  None of the Key Employees has vacated, or intends to
vacate, his or her office in circumstances where the operations of the Company
and its Subsidiaries may be materially and adversely affected by such
vacancy.  Except as disclosed in Section 3.2(s) of Schedule III, no
contributions are being or have been made by any member of the CMC Group to any
pension, retirement, provident fund or death or disability benefit scheme or
arrangement other than the social insurance funds set forth in Section 3.2(s) of
Schedule III (the “Social Insurance Funds”).  No member of the CMC
Group participates in, or has participated in, or is liable to contribute to,
any pension, retirement, provident fund or death or disability benefit scheme or
arrangement in respect of past or present employees or directors of the Group
other than the Social Insurance Funds.

       

      (t)           Environment.  Except
as disclosed in the SEC Documents, the Company has no liabilities under any
Environmental Law, nor, to the Company’s Knowledge, do any facts or
circumstances exist that are reasonably likely to give rise to any such
liability, affecting any of the properties owned or leased by the Company that,
individually or in the aggregate, has had or would reasonably be expected to
have a Material Adverse Effect.  Neither the Company nor any of its
Subsidiaries has violated any Environmental Law applicable to it now or
previously in effect, other than such violations or infringements that,
individually or in the aggregate, have not had and would not reasonably be
expected to have a Material Adverse Effect.

       

      
        
          
          

        

        
          20

          
            

          

        

        
          
          

        

      

       

      (u)           Dividends.  Except
for the Certificate for the Receipt of Foreign Exchange for Transfer of Shares,
no other document is required by SAFE for the Company or any of its Subsidiaries
to pay dividends or make any other distribution to their respective shareholders
other than those specifically required for under the applicable laws of the PRC,
and there does not exist any requirements, restrictions or conditions imposed by
any Governmental Authority or otherwise, which may adversely affect the
Company’s or any of its Subsidiaries’ ability to pay dividends or make any other
distribution to their respective shareholders.

       

      (v)           Fees.  The
Company is not obligated to pay any brokers, finders or financial advisory fees
or commissions to any underwriter, broker, agent or other representative in
connection with the transactions contemplated hereby other than as contemplated
by the engagement letters between the Company and Peak Capital.  The
Company will indemnify and hold harmless Investor from and against any claim by
any Person or entity alleging that Investor is obligated to pay any such
compensation, fee, cost or related expenditure on behalf of the Company in
connection with the transactions contemplated hereby, except for claims
resulting from any agreements to which the Company is not a party or are between
the Investor and any underwriter, broker, agent or other
representative.

       

      (w)          Foreign Corrupt Practices
Act.  None of the Company, any of its Subsidiaries, or any Key
Employee, director, agent, employee or any other Person acting for or on behalf
of the Company or any of its Subsidiaries, has directly or indirectly (a) made
any unlawful contribution, gift, bribe, payoff, influence payment, kickback, or
any other fraudulent payment in any form, whether in money, Property, or
services to any Person, including but not limited to any staff member at any
hospital or center for disease control or any Government Officer (i) to obtain
favorable treatment in securing business for the Company or any of its
Subsidiaries, (ii) to pay for favorable treatment for business secured, (iii) to
obtain special concessions or for special concessions already obtained, for or
in respect of the Company or any of its Subsidiaries, or (iv) in violation of
any applicable anticorruption law, including the Foreign Corrupt Practices Act
of 1977, as amended, the Laws of the PRC Against Unfair Competition, the
Provisional Regulation on Prohibition of Commercial Bribery, Pharmaceutical
Administration Law of PRC and other applicable laws of the PRC, or
(b) established or maintained any fund or assets in which the Company or
any of its Subsidiaries has proprietary rights that have not been recorded in
the books and records of the Company or any of its Subsidiaries. Each
transaction is properly and accurately recorded in all material respects on the
books and records of the Company and its Subsidiaries, and each document upon
which entries such books and records are based is complete and accurate in all
material respects.  The Company and its Subsidiaries maintain a system
of internal accounting controls reasonably designed to ensure that the Company
and its Subsidiaries maintain no off-the-books accounts and the assets of the
Company and its Subsidiaries are used only in accordance with the Company’s
management directives.

       

      (x)       
    Intentionally Omitted

       

      (y)           Disclosure to
Investor.  The representations, warranties and written
statements contained in this Agreement and the other Transaction Documents and
in the certificates, exhibits and schedules delivered to Investor by the Company
pursuant to this Agreement and the other Transaction Documents and in connection
with Investor’s due diligence investigation of the Company, do not contain any
untrue statement of a material fact, and do not omit to state a material fact
required to be stated therein or necessary in order to make such
representations, warranties or statements not misleading in light of the
circumstances under which they were made.  Following the issuance of a
press release in accordance with Section 4.5 of this Agreement, to the Company’s
Knowledge, Investor will not possess any material non-public information
concerning the Company that was provided to Investor by the Company or its
agents or representatives.  The Company acknowledges that Investor is
relying on the representations, acknowledgments and agreements made by the
Company in this Section 3.2 and elsewhere in this Agreement in making investment
or trading and other decisions concerning the Company’s securities.

       

      
        
          
          

        

        
          21

          
            

          

        

        
          
          

        

      

       

      (z)           Solicitation; Other
Issuances of Purchased Shares.  Neither the Company nor any of
its Subsidiaries or Affiliates, nor any Person acting on its or their behalf,
(i) has engaged in any form of general solicitation or general advertising
(within the meaning of Regulation D) in connection with the offer or sale of the
Purchased Shares, or (ii) has, directly or indirectly, made any offers or sales
of any security or the right to purchase any security, or solicited any offers
to buy any security or any such right, under circumstances that would require
registration of the Purchased Shares under the Securities Act.

       

      (aa)          Registration Rights; Rights
of Participation.  Other than pursuant to the Preferred Stock
Purchase Agreement and that certain Registration Rights Agreement, dated
February 8, 2006, by and among the Company and the Private Placement Investors,
the Company has not granted or agreed to grant to any Person or entity any
rights (including “piggy-back” registration rights) to have any securities of
the Company registered with the Commission or any other Governmental Authority
which has not been satisfied in full prior or waived to the date
hereof.

       

      (bb)         No General
Solicitation.  Neither the Company nor any Person acting on
behalf of the Company has offered or sold any of the Purchased Shares by any
form of general solicitation or general advertising.  The Company has
offered the Purchased Shares for sale only to Investor.

       

      (cc)         Absence of
Manipulation.  Neither the Company nor any Affiliate of the
Company has taken, nor will the Company or any Affiliate take, directly or
indirectly, any action which is designed to or which has constituted or which
would be expected to cause or result in stabilization or manipulation of the
price of any security of the Company to facilitate the sale or resale of the
Purchased Shares.

       

      (dd)         Exchange Act
Registration.  The Company’s Common Shares are registered
pursuant to Section 12(g) of the Exchange Act and are quoted on the
OTCBB.  The Company currently meets the continuing eligibility
requirements for quotation on the OTCBB and has not received, and no facts or
circumstances exist or have in the past existed that could result in the receipt
of any notice from such market, FINRA or the NASD that it does not satisfy such
requirements or that such continued quotation is in any way
threatened.  Except as set forth herein, the Company has taken no
action designed to, or which, to the Company’s Knowledge, would reasonably be
expected to have the effect of, terminating the registration of the Common
Shares under the Exchange Act or disqualifying the Common Shares from quotation
on the OTCBB.

       

      (ee)         Private
Placement.  Assuming the accuracy of Investor representations
and warranties set forth in Section 3.1, no registration under the Securities
Act is required for the offer and sale of the Purchased Shares by the Company to
Investor as contemplated hereby.  The issuance and sale of the
Purchased Shares hereunder does not contravene the rules and regulations of the
Principal Market.

       

      
        
          
          

        

        
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      (ff)           Investment Company
Status.  The Company is not, and immediately after receipt of
payment for the Shares issued under this Agreement will not be, an “investment
company” or an entity “controlled” by an “investment company” within the meaning
of the Investment Company Act of 1940, as amended (the “Investment Company
Act”), and shall conduct its business in a manner so that it will not become
subject to the Investment Company Act.

       

      (gg)         Taxation.

       

        (i)       
    Each of the Company and its Subsidiaries has timely
filed all Tax Returns required pursuant to applicable law to be filed by, or
with respect to, the Company and its Subsidiaries with any Tax Authority, all
such Tax Returns are accurate, complete and correct in all respects and comply
with all requirements of the Governmental Authorities. Each of the Company and
its Subsidiaries has timely paid or accrued, set aside and fully provided for in
accordance with GAAP, and adequately disclosed on the most recent financial
statements of the Company included in the SEC Document, the books and records of
the Company or a schedule attached hereto, all Taxes and Tax liabilities due by
or with respect to the income, assets or operations of the Company and its
Subsidiaries for all taxable years or other taxable periods that end on or
before the Closing Date and, with respect to any taxable year or other taxable
period beginning on or before and ending after the Closing Date, the portion of
such taxable year or period ending on and including the Closing Date
(“Pre-Closing Period”).  Since their respective dates of
incorporation, none of the Company or its Subsidiaries has incurred any Taxes or
assessments other than in the ordinary course of business.  Since
their respective date of incorporation, each of the Company and its Subsidiaries
has made, in accordance with GAAP, adequate provisions on its respective books
and account for all actual and contingent Taxes with respect to its consolidated
business, properties and operations for such period.  Each of the
Company and its Subsidiaries (i) has timely, properly and accurately withheld
and collected, from payments made to any employee, independent contractor,
creditor, shareholder or any other applicable Person, the amount of Taxes
required to be withheld or collected therefrom and (ii) has timely paid the same
to the proper Tax Authority.

       

        (ii)       
    None of the Company’s Subsidiaries believes it is, nor
currently expects for the foreseeable future to become, (a) a passive foreign
investment company as described in Section 1297 of the United States Internal
Revenue Code of 1986, as amended (the “Code”) or (b) an “investment company” as
such term is defined under the Investment Company Act.

       

        (iii)           As
of the Closing Date, neither the Executive Shareholder, the Company, nor any of
its Subsidiaries (A) is presently contesting the Tax liability of the Company or
any of its Subsidiaries before any court, tribunal or agency, (B) has granted a
power-of-attorney relating to Tax matters to any person, or (D) has applied for
and/or received a ruling or determination from a taxing authority regarding a
past or prospective transaction of the Company or any of its
Subsidiaries.

       

      
        
          
          

        

        
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        (iv)           Section
3.2(gg)(iv) of Schedule III lists each jurisdiction in which any of the Company
or its Subsidiaries benefit from Incentives and describes the details of such
Incentives. Each of the Company or its Subsidiaries listed in Section 3.2(a) of
Schedule III is in full compliance with all terms and conditions of any
agreement or order relating to such Incentives in such jurisdictions where such
Incentives are available, and has received no written notice from any
Governmental Authority claiming that such Incentives were not, or will not in
the future, be available.  To the extent of the Company’s Knowledge,
the consummation of the transactions contemplated by this Agreement will not
have any adverse effect on the continued validity and effectiveness of any such
Incentives, nor will it cause any such Incentive to lapse nor result in a
requirement to repay any Incentives already received.  For purposes of
this Agreement, the term “Incentives” means exemptions from taxation, Tax
holidays, reduction in Tax rate or similar Tax relief and other financial
grants, subsidies or similar incentives granted by a Governmental Authority,
whether or not relating to Taxes.

       

        (v)           The
Company has made available to Investor true and correct copies of all income Tax
Returns and other material Tax Returns filed by the Company and its Subsidiaries
for the fiscal years starting from 2006.  Each of the Company or its
Subsidiaries has delivered to Investor copies of all examination or audit
reports, and statements of deficiencies assessed against or agreed to by any of
the Company or its Subsidiaries received since 2006, and each of the Company and
its Subsidiaries will deliver to Investor all materials with respect to the
foregoing for all matters arising after the date hereof through the Closing
Date.

       

        (vi)           Neither
the Company nor any of its Subsidiaries has been the subject of any audit,
Action, suit, proceeding, investigation or claim relating to Taxes or any Tax
Returns of the Company or its Subsidiaries (or in which the Company or its
Subsidiaries are included). There are no federal, state, local or foreign
audits, Actions, suits, proceedings, investigations or claims relating to Taxes
or any Tax Returns of the Company or its Subsidiaries (or in which the Company
or its Subsidiaries are included) now pending, and none of the Company or its
Subsidiaries has received any written notice, or has otherwise knowledge of any
threatened or proposed Tax audit, examination, refund litigation, investigation,
claim, administrative proceeding or adjustment in controversy with respect to
any of the Company or its Subsidiaries. There is no agreement in effect to waive
or extend the period of limitations for the assessment or collection of any Tax
for which each the Company or its Subsidiaries may be liable.

       

        (vii)          No
written claim, or to the Company’s Knowledge, other claims, which remain
unresolved, have ever been made by any authority in any jurisdiction where none
of the Company and its Subsidiaries files Tax Returns that the Company or its
Subsidiaries is required to file Tax Returns or that it is or may be subject to
taxation by that jurisdiction.

       

        (viii)       
None of the Company or its Subsidiaries (A) is a party to a tax sharing
allocation, indemnification or similar agreement with any Person other than each
of the Company and its Subsidiaries, or (B) has any liability (including
potential liability) for any Tax or any portion of a Tax (or any amount
calculated with reference to any portion of a Tax) of any Person other than each
of the Company and its Subsidiaries as transferee or successor, by contract,
inter-company account system or otherwise.

       

        (ix)           None
of the Company or its Subsidiaries has filed an election pursuant to Section
7701 of the Code and the Treasury regulations issued thereunder to treat any of
the Company’s Subsidiaries as other than a corporation for U.S. federal income
Tax purposes.

       

        (x)           
No stock transfer or other taxes (other than income taxes) are required to be
paid in connection with the issuance and sale of any of the Purchased Shares,
other than such taxes for which the Company has established appropriate reserves
and intends to pay in full on or before the Closing.

       

      
        
          
          

        

        
          24

          
            

          

        

        
          
          

        

      

       

        (xi)           Neither
the Company nor any of its Subsidiaries has been included in any “consolidated,”
“unitary” or “combined” Tax Return provided for under the law of the United
States, any foreign jurisdiction or any state or locality with respect to Taxes
for any taxable period.

       

        (xii)           Neither
the Company nor any of its Subsidiaries has applied for, been granted, or agreed
to any accounting method change for which it will be required to take into
account any adjustment under Section 481 of the Code or any similar provision of
the Code or the corresponding tax laws of any nation, state or locality; neither
the Company nor any of its Subsidiaries has any knowledge that the IRS or any
other taxing authority has proposed or purported to require any such adjustment
or change in accounting method, and the Company has no knowledge or belief that
any such adjustment under Section 481 of the Code or the corresponding tax laws
of any nation, state or locality will be required of the Company or its
subsidiaries upon the completion of, or by reason of, the transaction
contemplated by this Agreement.

       

        (xiii)         Neither
the Company nor any of its Subsidiaries is a party to any agreement that would
require the Company or any of its Subsidiaries or any affiliate thereof to make
any payment that would constitute an “excess parachute payment” for purposes of
Sections 280G and 4999 of the Code or that would not be deductible pursuant to
Section 162(m) of
the Code.

       

        (xiv)         There
are no security interests on any of the assets of the Company or any Subsidiary
that arose in connection with any failure (or alleged failure) to pay any Taxes,
other than any Taxes that are being contested in good faith and for which
adequate reserves have been provided for in accordance with GAAP.

       

        (xv)          No
indebtedness of the Company or any of its Subsidiaries consists of “corporate
acquisition indebtedness” within the meaning of Section 279 of the
Code.

       

        (xvi)         Neither
the Company nor any of its Subsidiaries is a “United States real property
holding corporation” within the meaning of Section 897(c)(2) of the
Code.

       

        (xvii)        The
Subsidiaries of the Company that are created or organized in, or under the laws
of, a jurisdiction other than the United States or any State
thereof  (A) are not, and have not been or deemed to be, engaged in
the conduct of a trade or business within the United States within the meaning
of Section 864 of the Code and the U.S. Treasury Regulations issued thereunder
and (B) do not have in the current taxable year, and have not had in any prior
taxable year, more than a de
minimis amount (as defined in Section 954(b)(3) of the Code and the U.S.
Treasury Regulations issued thereunder) of “subpart F income” (as defined in
Sections 952 of the Code and the U.S. Treasury Regulations issued
thereunder).

       

       (xviii)      
The amount of Konzern’s earnings invested in United States property (including,
without limitation, its adjusted tax basis for U.S. federal income tax purposes
in the stock of  Konzern US Holding Corporation) within the meaning of
Section 956 of the Code and the U.S. Treasury Regulations issued thereunder
currently is approximately $200,000.

       

      
        
          
          

        

        
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      (hh)         Sarbanes-Oxley Act; Internal
Controls and Procedures.  Except as set forth in the SEC
Documents, the Company is in compliance with any and all applicable requirements
of the Sarbanes-Oxley Act of 2002 and any and all applicable rules and
regulations promulgated by the Commission thereunder that are effective as of
the date hereof.  Except as set forth in the SEC Documents, the
Company maintains internal accounting controls, policies and procedures, and
such books and records as are reasonably designed to provide reasonable
assurance that (i) all transactions to which the Company or any of its
Subsidiaries is a party or by which its Properties are bound are effected by a
duly authorized employee or agent of the Company, supervised by and acting
within the scope of the authority granted by the Company’s senior management;
(ii) the recorded accounting of the Company’s consolidated assets is compared
with existing assets at regular intervals; and (iii) all transactions to which
the Company or any of its Subsidiaries is a party, or by which its Properties
are bound, are recorded (and such records maintained) in accordance with all
Governmental Requirements applicable to the Company and as may be necessary or
appropriate to ensure that the financial statements of the Company are prepared
in accordance with GAAP.  The Company has established disclosure
controls and procedures (as defined in Exchange Act Rules 13a-15(e) and
15d-15(e)) for the Company and designed such disclosure controls and procedures
to ensure that information required to be disclosed by the Company in the
reports it files or submits under the Exchange Act is recorded, processed,
summarized and reported, within the time periods specified in the Commission’s
rules and forms.  The Company’s certifying officers have evaluated the
effectiveness of the Company’s disclosure controls and procedures as of the end
of the period covered by the Company’s most recently filed periodic report under
the Exchange Act (such date, the “Evaluation Date”).  The Company
presented in its most recently filed periodic report under the Exchange Act the
conclusions of the certifying officers about the effectiveness of the disclosure
controls and procedures based on their evaluations as of the Evaluation
Date.  Since the Evaluation Date, there have been no changes in the
Company’s internal control over financial reporting (as such term is defined in
the Exchange Act) that has materially affected, or is reasonably likely to
materially affect, the Company’s internal control over financial
reporting.

       

      (ii)           Accountants.  The
Company’s accountants that rendered their opinion with respect to the financial
statements included in the Company’s Annual Report on Form 10-K for the year
ended December 31, 2008, are, to the Company’s Knowledge, independent
accountants as required by the Securities Act.

       

      (jj)           No Other
Agreements.  The Company has not, directly or indirectly,
entered into any agreement with or granted any right to any Persons relating to
the terms or conditions of the transactions contemplated by the Transaction
Documents, except as expressly set forth in the Transaction
Documents.

       

      (kk)         No
Integration.  Assuming the accuracy of Investor’s
representations and warranties set forth in Section 3.1 of this Agreement,
neither the Company, nor to the Company’s Knowledge, any of its Affiliates, nor
any Person acting on its or their behalf has, directly or indirectly, made any
offers or sales of any security or solicited any offers to buy any security,
under circumstances that would cause this offering of the Purchased Shares to be
integrated with prior offerings by the Company for purposes of the Securities
Act.

      
        
           

        

        
          26

          
            

          

        

        
           

        

      

    (ll)           Material
Contracts

     

    Section
3.2(ll) of Schedule III lists each Contract to which any Company Subsidiary is a
party or to which any Company Subsidiary or any of its respective properties is
subject to or by which any thereof is bound that are material to the business of
the Company and its Subsidiaries, considered as one enterprise (the “Material
Contracts”).

     

    (i)           True
and complete copies of each of the Material Contract, including any amendments
and supplements thereof, have been delivered to the Investor or its
Representatives.

     

    (ii)          Each
of the Material Contracts was entered into in the ordinary course of business
and in an arm’s length.

     

    (iii)         Each
Material Contract and the execution, delivery and performance by the applicable
Company Subsidiary of such Material Contract are in compliance with all
applicable laws of the PRC, and each Company Subsidiary has obtained all
Licenses necessary to perform its obligations under applicable Material Contract
to which it is a party.

     

    ARTICLE
IV.

    COVENANTS
OF THE COMPANY AND INVESTOR.

     

    Section
4.1           Existence and
Compliance.  The Company agrees that it will and will cause its
Subsidiaries to, for so long as Investor holds at least 10% of the issued and
outstanding Common Stock of the Company on a Fully Diluted Basis at the time of
determination:

     

    (a)           carry
on its business in the ordinary course in substantially the same manner in which
it previously has been conducted and, to the extent consistent with such
business, use its commercially reasonable efforts to preserve intact its present
business organization and to preserve its relationships with customers,
suppliers and others having business dealings with it;

     

    (b)           provide
Investor with copies of all materials sent to its shareholders at the same time
as such materials are delivered to such shareholders;

     

    (c)           timely
file (subject to valid extensions of such time to file pursuant to the Exchange
Act) with the Commission all reports required to be filed pursuant to the
Exchange Act and shall not terminate its status as an issuer required by the
Exchange Act to file reports thereunder even if the Exchange Act or the rules or
regulations thereunder would permit such termination;

     

    (d)           make
reasonable efforts to maintain adequate insurance coverage (including directors
and officers insurance) for the Company; and

     

    (e)           maintain
its books of account and records in its usual, regular and ordinary
manner.

    
      
         

      

      
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    Section
4.2           Compliance with Laws of the
PRC.  For so long as Investor holds at least 10% of the issued
and outstanding Common Stock of the Company on a Fully Diluted Basis at the time
of determination, the Company shall and shall cause its Subsidiaries to use
commercially reasonable efforts to ensure that the CMC Group shall be in
compliance with all laws of the PRC and shall ensure that all Licenses set forth
in Section 3.2(l) of Schedule III are and will at all times following the
Closing, and any Licenses obtained subsequent to the Closing will, remain in
full force and effect for so long as Investor owns any Common
Shares.

     

    Section
4.3           State Law
Exemptions.  The Company shall take such action as the Company
reasonably determines upon the advice of counsel is necessary to qualify the
Common Shares for sale under applicable state or “blue-sky” laws or obtain an
exemption therefrom, and shall promptly provide evidence of any such action to
Investor at Investor’s request.

     

    Section
4.4           Closing.  Subject
to the terms and conditions of this Agreement, each party shall use its
commercially reasonable efforts to cause the Closing to occur, provided that
such efforts shall not require Investor or the Company or any of their
respective Affiliates to make any material monetary expenditure except as
already contemplated herein, or commence or be a plaintiff in any litigation or
other proceeding or offer or grant any material accommodation (financial or
otherwise) to any Person.

     

    Each of
the Company and appropriate Affiliate(s) of Investor shall file as promptly as
practicable with the United States Federal Trade Commission (the “FTC”) and the
Antitrust Division of the United States Department of Justice (the “DOJ”), in
each case pursuant to the HSR Act:  (i) the notification
and report form, if any, required for the transactions contemplated hereby,
which form shall be filed not later than 10 Business Days following the
execution and delivery of this Agreement, and (ii) any supplemental
information requested in connection therewith, which information shall be filed
as promptly as practicable.  Any such notification and report form and
supplemental information shall be in substantial compliance with the
requirements of the HSR Act.

     

    Investor
and the Company shall furnish to the other party such necessary information and
reasonable assistance as the other party may request in connection with its
preparation of any filing that is necessary under the HSR
Act.  Investor and the Company shall keep each other apprised of the
status of any communications with, and any inquiries or requests for additional
information from, the FTC and the DOJ and any other Governmental Authority and
shall comply promptly with any such inquiry or request.  Each of
Investor and the Company shall use its commercially reasonable efforts to obtain
any clearance required under the HSR Act.

     

    Section
4.5           Press
Release.  As soon as practicable following the execution of
this Agreement (but in no event later than 8:30 a.m. (New York City time) on the
fourth Business Day following the date hereof), issue a press release disclosing
the material terms of this Agreement and the other Transaction Documents and the
transactions contemplated hereby and thereby, and (ii) on or prior to 5:00 p.m.
(New York City time) on the fourth Business Day following the date hereof, file
with the Commission a current report on Form 8-K disclosing the material terms
of this Agreement and the other Transaction Documents and the transactions
contemplated hereby and thereby; provided, however, that Investor shall have
approved in writing such press release or Form 8-K prior to the issuance or
filing thereof.  Thereafter, the Company shall timely file any filings
and notices required by the Commission or applicable Governmental Requirements
with respect to the transactions contemplated hereby.

    
      
         

      

      
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    Section
4.6           Transactions with
Affiliates.  The Company agrees that any transaction or
arrangement between it or any of its Subsidiaries and any Affiliate or employee
of the Company shall be effected on an arms’ length basis unless approved by the
Company’s Independent Directors.

     

    Section
4.7           Use of Investor
Name.  Except as may be required by applicable Governmental
Requirements and/or this Agreement, the Company shall not use (and shall cause
its Subsidiaries not to use), directly or indirectly, Investor’s name or the
name of any of Investor’s Affiliates in any advertisement, announcement, press
release or other similar communication unless (i) the Company shall have
received the prior written consent of Investor for the specific use
contemplated, (ii) as otherwise required by applicable Governmental Requirements
or regulation and (iii) a statement or description of the Company’s capital
structure after the Closing in any registration statement in connection with a
public offering of its securities.

     

    Section
4.8           Listing.  The
Company shall use its best efforts to qualify for and list its Common Shares on
a national exchange such as the Nasdaq Capital Market, the Nasdaq Global Market,
the Nasdaq Global Select Market, NYSE Amex or the New York Stock Exchange or
such other stock exchange that is agreeable to Investor (the “Qualified Capital
Market”) within 12 months from the Closing Date.  Upon such listing,
for so long as Investor holds at least 10% of the
issued and outstanding Common Stock of the Company on a Fully Diluted Basis at
the time of determination, the Company shall (i) use its best efforts to
include all of the Purchased Shares, the 2010
Additional Shares and the 2011 Additional Shares, if any (without regard
to any limitation on such conversion or exercise) for listing on the Qualified
Capital Market, and (ii) shall use its reasonable best efforts to maintain the
designation and quotation, or listing, of the Common Shares on the Qualified
Capital Market for a minimum of five (5) years following the initial listing on
a Qualified Capital Market.

     

    Section
4.9           Additional Issuance of
Common Shares.

     

    (a)           The
Company is expected to achieve EBITDA of US$25,000,000 (assuming the Jiangmen Acquisition is
consummated during the 2010 fiscal year) or US$22,000,000 (assuming the Jiangmen
Acquisition is not consummated during the 2010 fiscal year) (as applicable, the
“2010 Target EBITDA”).  The 2010 Target EBITDA however, shall
be adjusted upwards to account for expected returns from utilization of all or a
part of the Escrow Funds during 2010 fiscal year and such adjusted EBITDA shall
become the new 2010 Target EBITDA.  Furthermore, the 2010 Target
EBITDA is subject to a downward adjustment of US$1,000,000 if Closing occurs
after January 31, 2010.  If the actual EBITDA of the Company for the
2010 fiscal year (“2010 Actual EBITDA”) is less than 90% of the applicable 2010
Target EBITDA, Investor may require the Company to issue to Investor that number
of Common Shares equal to X (the “2010 Additional Shares”), where:

     

    X =
((A*B) – C)/(1 – A)

     

    Where:

     

    X = 2010
Additional Shares

     

    A = 2010
Target EBITDA / 2010 Actual EBITDA * Investor Ownership
Percentage

    
      
         

      

      
        29

        
          

        

      

      
         

      

    

     

    B = Total
number of Equity Securities of the Company issued and outstanding on a Fully
Diluted Basis, at the time of determination but prior to the issuance of 2010
Additional Shares

     

    C = Total
number of Common Shares on a Fully Diluted Basis, at the time of determination
but prior to the issuance of any 2010 Additional Shares

     

    The
purchase price for the 2010 Additional Shares shall equal the product of the
number of 2010 Additional Shares and the par value of each 2010 Additional
Share.

     

    (b)           The
Company is expected to achieve EBITDA of US$39,000,000 (assuming the Jiangmen Acquisition is
consummated during the 2010 or 2011 fiscal year) or US$30,000,000 (assuming the
Jiangmen Acquisition is not consummated during the 2010 or 2011 fiscal year),
(as applicable, the “2011 Target EBITDA”).  The 2011 Target
EBITDA however, shall be adjusted upwards to account for expected returns from
utilization of all or a part of the Escrow Funds during 2010 or 2011 fiscal year
and such adjusted EBITDA shall become the new 2011 Target EBITDA.  If
the actual EBITDA of the Company for the 2011 fiscal year (“2011 Actual EBITDA”)
is less than 95% of the applicable 2011 Target EBITDA, Investor may require the
Company to issue to Investor that number of Common Shares equal to Y (the “2011
Additional Shares”), where:

     

    Y =
((D*E) – F)/(1 – D)

     

    Where:

     

    Y = 2011
Additional Shares

     

    D = 2011
Target EBITDA / 2011 Actual EBITDA * Investor Ownership Percentage

     

    E = Total
number of Equity Securities of the Company issued and outstanding at the time of
determination but prior to the issuance of any 2011 Additional
Shares

     

    F = Total
number of Common Shares on a Fully Diluted Basis, at the time of determination
but prior to the issuance of any 2011 Additional Shares

     

    The
purchase price for the 2011 Additional Shares shall equal the product of the
number of 2011 Additional Shares and the par value of each 2011 Additional
Share.

     

    (c)           In
the event Section 4.9(a) or Section 4.9(b) would result in the issuance of that
number of Common Shares to Investor which would result in the Investor Ownership
Percentage being greater than 75%, the number of Common Shares required to be
issued pursuant to Section 4.9(a) or Section 4.9(b) shall be reduced so that the
Investor Ownership Percentage shall equal 75% less one (1) Common
Share.

    
      
         

      

      
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    (d)           If
(A) the exercise of any warrant or option by any shareholder of the Company or
any of its Subsidiaries, or the issuance of any Equity Security by the Company
or any of its Subsidiaries, except for an Exempt Issuance, would result in
Investor holding, directly or indirectly, less than 50.1% of all securities
entitled to vote at a meeting of shareholders of the Company or any of its
Subsidiaries and (B) prior to such exercise or issuance the Investor held more
than 50.1% of all securities entitled to vote at a meeting of shareholders of
the Company or any of its Subsidiaries, Investor may require the Company to
issue such number of Common Shares of the Company as may be required for
Investor to hold more than 50.1% of all securities entitled to vote at a meeting
of shareholders of the Company and all of its Subsidiaries.  The
Company shall not set a record date for any meeting of shareholders until and
unless Investor holds more than 50.1% of all securities entitled to vote at a
meeting of shareholders of the Company or any of its Subsidiaries or waived its
rights under this Section 4.9.  The purchase price for all such Common
Shares shall equal the product of the number of such Common Shares and an amount
equal to the Market Price. Investor shall inform the Company of whether it
elects to subscribe for additional shares under this Section within thirty (30)
days after the date the Company provides notice to Investor that its rights
under this Section have been triggered.

     

    (e)           In
the event the Company or any of its Subsidiaries requires additional capital for
its operations, Investor may require the Company to issue to Investor certain
number of Common Shares in consideration of Investor’s additional investment in
the Company.  The number of the Common Shares to be issued to Investor
shall equal G divided by H where:

     

    G =
amount of capital required

     

    H =
Market Price

     

    Section
4.10           Management Incentive
Plan.  The Board of Directors may, at its sole and absolute
discretion, establish a committee (the “Remuneration Committee”) for the purpose
of determining appropriate remuneration of its directors and
officers.  The Remuneration Committee shall be comprised of three
members of the Board of Directors, one of which shall be the member nominated by
Investor, one of which shall be the member nominated by the Executive
Shareholder and one of which shall be an Independent Director agreed to by the
Board of Directors.  The Remuneration Committee shall establish a
management incentive plan (the “Incentive Plan”) which shall provide for the
award of Common Shares to management upon the achievement of certain milestones
(the “Performance Milestones”) for each of the 2010, 2011, 2012 and 2013 fiscal
years.  Satisfaction of the Performance Milestones for 2010 shall
permit the issuance of up to 429,514 Common Shares, which is equal to
approximately 1% of the Common Shares of the Company on a Fully Diluted Basis as
of the Closing Date.  Satisfaction of the Performance Milestones for
2011 shall permit the issuance of up to 859,027 Common Shares, which is equal to
approximately 2% of the Common Shares of the Company on a Fully Diluted Basis as
of the Closing Date.  Satisfaction of the Performance Milestones for
2012 shall permit the issuance of up to 859,027 Common Shares, which is equal to
approximately 2% of the Common Shares of the Company on a Fully Diluted Basis as
of the Closing Date.  Satisfaction of the Performance Milestones for
2013 shall permit the issuance of up to 1,288,542 Common Shares, which is equal
to approximately 3% of the Common Shares of the Company on a Fully Diluted Basis
as of the Closing Date. The Remuneration Committee shall grant Executive
Shareholder the power to reallocate the Management Incentive Shares among the
management, to the extent such reallocation is reasonable. The issuance of the
Management Incentive Shares shall be subject to the requirements of Section
4.9(d).  The Board of Directors may accelerate the issuance of the
Management Incentive Shares once the Investor holds less than 10% of the issued
and outstanding Common Stock on a Fully Diluted Basis at the time of
determination.

    
      
         

      

      
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    Section
4.11           Redemption of Purchased
Preferred Shares.

     

    If, (A) by the date which is
twenty-eight (28) months after the date of the Closing, the Escrow Agent
continues to hold any Escrow Funds other than due to Investor having made a
claim for such funds, whether for indemnification or otherwise pursuant to an
Escrow Release Request as defined in the Escrow Agreement, (B) before the date
that the Escrow Agreement is terminated, an event occurs or circumstances exist
which is reasonably likely to cause a Material Adverse Effect, or (C) by the
date which is six (6) months after the date of the Closing, the Executive
Shareholder and Ms. Liu Minhua and Mr. Liu Junhua shall not have obtained the
Certificate for the Receipt of Foreign Exchange for Transfer of Shares (a “SAFE
Release”), Investor may elect to require the Escrow Agent to disburse
immediately all or any portion of the Escrow Funds (the “Redemption Amount”) to
Investor, provided however, Investor shall not be entitled to a SAFE Release
with respect to US$8 million of the Escrow Funds if a good faith effort has been
exerted to obtain such certificate and the Company and Investor believe that
such certificate is forthcoming.  Upon receipt of the Redemption
Amount, Investor shall surrender to the Company that number of Purchased
Preferred Shares equal to X, where:

     

    X = Y /
Z

     

    Where:

     

    X = the
number of Purchased Preferred Shares to be delivered to the Company by
Investor

     

    Y = the
Redemption Amount

     

    Z =
((1.042)a * US$30)
where “a” is a fraction, the numerator of which is the number of days passed
from Closing to date of determination and the denominator of which is
365.

     

    Upon
receipt of the surrendered certificates or certificates, the Redeemable
Convertible Preferred Shares represented by such certificate or certificates
shall be deemed to have been redeemed by the Company and the Company shall
cancel such certificate or certificates. The shares of such cancelled Purchased
Preferred Shares shall have the status of authorized but unissued shares of
preferred stock of the Company.

     

    In the
event Escrow Funds are disbursed to Investor pursuant to a SAFE Release,
Investor agrees to reimburse the Company for one-half the Company’s cash
expenses relating to the transaction contemplated by this Agreement (including
fees and expenses of Peak Capital), provided that the maximum amount to be
reimbursed by Investor pursuant to this provision shall be
US$375,000.

     

    Section
4.12          Indemnification of
Investor.

     

    (a)           Survival.  Notwithstanding
any examination made for or on behalf of any of the parties hereto, all
representations and warranties contained in this Agreement or in any document
delivered pursuant hereto shall be deemed to be material and to have been relied
upon by the parties hereto. The representations, warranties, covenants and
agreements contained in this Agreement or in any document delivered pursuant
hereto shall survive the Closing and shall be fully effective and enforceable
until the date which is twenty-eight (28) months following the Closing Date;
provided, however, that the representations and warranties contained in Section
3.2(a) “Organization, Good Standing and Qualification”, Section 3.2(b)
“Authorization; Consents”, Section 3.2(c) “Enforcement”, Section 3.2(e)
“Filings, Consents and Approvals”, Section 3.2(h) “Due Authorization; Valid
Issuance” and Section 3.2(i) “Capitalization” shall survive indefinitely;
Section 3.2(t) “Environment”, Section 3.2(w) “Foreign Corrupt Practices Act”,
Section 3.2(cc) “Absence of Manipulation”, Section 3.2(dd) “Exchange Act
Registration”, Section 3.2(gg) “Taxation” and Section 3.2(hh) “Sarbanes-Oxley
Act; Internal Controls and Procedures” shall survive until 90 days after the
expiration of the applicable statute of limitations period.  If a claim for
indemnification has been timely made pursuant to this Section 4.12, such
representation, warranty, covenant or agreement shall continue to survive and be
fully effective and enforceable until a final and non-appealable order or
judgment of a court of competent jurisdiction.

    
      
         

      

      
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    (b)           General
Indemnification. Except as provided in Section 4.12(c) below with respect
to Taxes, the Company and the Executive Shareholder (each, an “Indemnifying
Party” and together “Indemnifying Parties”), jointly and severally, hereby agree
to indemnify and hold Investor and its Affiliates, directors, managers,
officers, shareholders, members, partners, employees, advisors and agents (each,
an “Indemnified Party”) harmless from any and all losses, liabilities,
obligations, claims, contingencies, damages, costs and expenses, including all
judgments, amounts paid in settlements, court costs and reasonable attorneys’
fees and costs of investigation that an Indemnified Party may suffer or incur
(the “Indemnifiable Losses”) as a result of or relating to (i) any misstatement,
material omission, or breach of any of the representations, warranties,
covenants or agreements made by the Company or any of its Affiliates or the
Executive Shareholder in any Transaction Document; and (ii) any Action
instituted against Investor, or any of its Affiliates, by any shareholder of the
Company who is not an Affiliate of Investor, with respect to any of the
transactions contemplated by the Transaction Documents (unless such Action is
based upon a breach of Investor’s representation, warranty or covenant under the
Transaction Documents or any violation by Investor of state or federal
securities laws or any conduct by Investor which constitutes fraud, gross
negligence, willful misconduct or malfeasance).

     

    (c)           Indemnification of Investor
for Taxes.  Notwithstanding anything to the contrary contained
in this Agreement, the Company and the Executive Shareholder hereby agree to,
jointly and severally, indemnify and hold harmless the Investor and its
Affiliates, directors, managers, officers, shareholders, members, partners,
employees, advisors and agents and, at the option of the Investor, the Executive
Shareholder (a “Tax Indemnified Party”), jointly and severally, agree to
indemnify and hold harmless the Company and its Subsidiaries, in each case, from
(i) all Taxes, losses, claims and expenses resulting from, arising out of, or
incurred with respect to, any claims that may be asserted by any party based
upon, attributable to, or resulting from the failure of any representation and
warranty made by the Company or any of its Affiliates or the Executive
Shareholder pursuant to Section 3.2(gg) of this Agreement to be true or correct
as of the Closing Date; (ii) all Taxes imposed on or asserted against the
properties, income or operations of the Company or its Subsidiaries, or for
which the Company or any of its Subsidiaries may otherwise be liable for all
Pre-Closing Periods, except to the extent that such Taxes have been accrued and
fully provided for in accordance with GAAP on the most recent financial
statements of the Company included in the SEC Documents, and adequately
disclosed in such financial statements, the books and records of the Company or
a schedule attached hereto, (iii) all Taxes imposed on the Company or any of its
Subsidiaries, or for which the Company or any of its Subsidiaries may be liable,
as a result of any transaction contemplated by this Agreement, and (iv) all
Taxes imposed on the Company or any of its Subsidiaries as a result of the
provisions of Treasury Regulations Section 1.1502-6 or the analogous provisions
of any state, local or foreign law.  For purposes of Section 4.12, any
party that is (x) indemnified by another party pursuant to this Section 4.12(c)
shall be treated as an Indemnified Party, and (y) required to indemnify another
party pursuant to this Section 4.12(c) shall be treated as an Indemnifying
Party.  For the avoidance of doubt, if a Tax Indemnified Party would
be entitled to indemnification under more than one clause of this Section
4.12(c) for a single loss, such Tax Indemnified Party shall not be entitled to
duplicate payments for such loss.

    
      
         

      

      
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    (d)           If
any Action shall be brought against or shall involve any Indemnified Party in
respect of which indemnity may be sought pursuant to this Agreement, such
Indemnified Party shall promptly notify the Indemnifying Parties in writing, and
the Indemnifying Parties shall, in the case of an indemnification pursuant to
Section 4.12(b) or (c) of this Agreement, have the right to assume the defense
thereof with counsel of its own choosing, subject only to the consent of such
Indemnified Party.  An Indemnified Party shall have the right to
employ separate counsel in any such Action and participate in the defense
thereof, but the fees and expenses of such counsel shall be at the expense of
such Indemnified Party except to the extent that (i) the employment thereof has
been specifically authorized by any Indemnifying Party in writing, (ii) an
Indemnifying Party has failed after a reasonable period of time following such
Indemnified Party’s written request that it do so, to assume such defense and to
employ counsel or (iii) in such Action there is, in the reasonable opinion of
such separate counsel, a material conflict on any material issue between the
position of the Indemnifying Parties and the position of such Indemnified
Party.

     

    (e)           The
Indemnifying Parties will not be liable to any Indemnified Party under Section
4.12(b) or (c) of this Agreement (i) for any settlement by an Indemnified Party
effected without the any of the Indemnifying Party’s prior written consent,
which shall not be unreasonably withheld or delayed, or (ii) in the case of
Section 4.12(b), to the extent, but only to the extent that the Indemnifiable
Losses are attributable to such Indemnified Party’s wrongful actions or
omissions, or gross negligence or to such Indemnified Party’s breach of any of
the representations, warranties, covenants or agreements made by Investor in
this Agreement or in the other Transaction Documents.

     

    (f)           Notwithstanding
anything in this Agreement to the contrary, in no event shall the aggregate
amount of indemnification to be paid by (x) the Company under Section 4.12(b)
exceed the aggregate purchase price of the Purchased Shares and (y) the
Executive Shareholder under Section 4.12(b) exceed the lesser of (A) the sum of
the Common Shares Purchase Price and that portion of the Preferred Shares
Purchase Price actually received by the Company until the time such
indemnification payment is made by the Executive Shareholder and (B) the total
Market Price of the Common Shares pledged by the Executive Shareholder as of the
Closing Date.

     

    (g)           In
the event the Indemnified Party or any of its Affiliates or Representatives has
any knowledge (whether constructive or imputed) at or prior to the date of this
Agreement of any breach by an Indemnifying Party or any of its Subsidiaries or
Affiliates of any representation, warranty or covenant in this Agreement, such
knowledge shall not constitute a waiver of any available remedy by the
Indemnified Party under this Section 4.12 and the Indemnified Party shall not be
precluded or prejudiced for any claim or recourse against the Indemnifying
Parties or any of their Affiliates or the Escrow Funds with respect to such
breach, under this Section 4.12 or otherwise.  Knowledge of any
Indemnifying Party or any of its Affiliates or Representatives shall not be
considered for purposes of determining the knowledge of the Indemnified Party or
any of its Affiliates or Representatives for the purpose of this
Agreement.  Investor confirms that as of the date hereof, Investor
does not have knowledge of any breach by an Indemnifying Party or any of its
Subsidiaries or Affiliates of any representation, warranty or covenant in this
Agreement.

    
      
         

      

      
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    (h)           Notwithstanding
anything in this Agreement to the contrary, an Indemnified Party may assert a
claim against the Escrow Funds for indemnification of the Indemnifiable
Losses.

     

    (i)           All
Taxes and Tax liabilities with respect to the income, property or operations of
the Company or any of its Subsidiaries that relate to taxable periods beginning
on or before the Closing Date and ending after the Closing Date (the “Overlap
Period”) shall be apportioned between the Pre-Closing Period and any period
ending after the Closing Date as follows: (i) in the case of Taxes other than
income, sales and use and withholding Taxes, on a per diem basis, and (ii) in
the case of income, sales and use and withholding Taxes, as determined from the
books and records of the Company and its Subsidiaries as though the taxable year
of the Company or any relevant Subsidiary terminated at the close of business on
the Closing Date.

     

    Section
4.13           Waiver.  The
Company shall exert commercially reasonable efforts to obtain the Waiver as soon
as practicable after the date hereof.  The Company covenants that upon
execution by the Private Placement Investors, the Waiver shall be effective and
enforceable against the Private Placement Investors.  The Company
covenants that the Waiver shall be obtained without the payment of cash or other
consideration to the Private Placement Investors without the prior written
consent of OEP.

     

    Section
4.14           Non-Public
Information.  The Company covenants and agrees that neither it
nor any other Person acting on its behalf will provide Investor or its agents or
counsel with any information that the Company believes constitutes material
non-public information, unless prior thereto Investor shall have executed a
written agreement regarding the confidentiality and use of such
information.  The Company understands and confirms that Investor shall
be relying on the foregoing representations in effecting transactions in
securities of the Company.

     

    Section
4.15           Supplements to Disclosure
Schedules.  From time to time prior to the Closing, the Company
shall amend or supplement any schedule hereto by delivery of a written amendment
or supplement thereto to Investor.  Any such amendment or supplement
shall only be effective to modify such representations and warranties for the
purpose of determining the fulfillment of the conditions precedent set forth in
Section 5.1(a), unless Investor promptly objects to any such amendment or
supplement.  No such amendment or supplement shall be effective to
modify the representations and warranties made by the Company and the Executive
Shareholder on the date hereof for purposes of the Indemnifying Party’s
indemnification obligations under this Agreement.

     

    Section
4.16           Pre-Closing
Covenant.  Prior to Closing, the Company shall comply with the
sections headed “Information Rights” and “Access” under Annex A of the
Shareholders Agreement, and shall not take any action set forth under the
section headed “Consent of OEP” without the prior written consent of
Investor.

    
      
         

      

      
        35

        
          

        

      

      
         

      

    

    ARTICLE
V.

    CONDITIONS
TO CLOSING.

     

    Section
5.1           Conditions to Investor’s
Obligations at the Closing.  Investor’s obligations to effect
the Closing, including without limitation its obligation to purchase the
Purchased Shares at Closing, are conditioned upon the fulfillment (or waiver by
Investor in its sole and absolute discretion) of each of the following events as
of the Closing Date:

     

    (a)           the
representations and warranties of the Company and the Executive Shareholder
shall be true and correct in all respects, if qualified by materiality, and
shall be true and correct in all material respects, if not qualified by
materiality, at and as of the Closing with the same effect as though made at and
as of such time (except that those representations and warranties that are made
as of a specific date shall be correct only as of such date);

     

    (b)           the
Company shall have duly performed and complied in all material respects with all
covenants contained herein required to be performed or complied with by it in
connection with the consummation of the transactions contemplated hereby and by
the other Transaction Documents at or before the Closing;

     

    (c)           the
Company shall have obtained all approvals, acknowledgements and consents, as
applicable, from the relevant parties, including the Board of Directors, the
Consenting Parties and any Governmental Authorities;

     

    (d)           the
Company shall have obtained a written waiver (the “Waiver”)”) in substantially
the form attached hereto as Exhibit E from the Private Placement Investors with
respect to the waiver of their right of first refusal under Section 6.14 of the
Preferred Stock Purchase Agreement;

     

    (e)           the
Closing Date shall not be a date which is later than March 17, 2010, or such
other date as the parties may agree in writing (the “Latest Closing
Date”);

     

    (f)           the
Company shall have delivered or caused to be delivered to Investor at the
Closing:

     

    (i)           duly
executed certificates evidencing the Purchased Shares in such denominations and
registered in the name of Investor as set forth Schedule I hereto as
supplemented or amended from time to time prior to the Closing;

     

    (ii) 
        a certificate, signed by the
Chief Executive Officer and Chief Financial Officer of the Company and dated as
of the Closing Date, certifying that all the closing conditions specified in
this Section 5.1 are satisfied as of the Closing, it being understood that
Investor may rely on such certificate as a representation and warranty of the
Company made herein;

     

    (iii)         the
Company shall have delivered to Investor a certificate, signed by the Chief
Executive Officer or the Secretary of the Company and dated as of the Closing
Date, attaching (i) the Articles of Incorporation and By-Laws of the Company,
and (ii) resolutions passed by its Board of Directors and shareholders of the
Company authorizing the transactions contemplated hereby and by the other
Transaction Documents, and certifying that such documents are true and complete
copies of the originals and that such resolutions have not been amended or
superseded, it being understood that Investor may rely on such certificate as a
representation and warranty of the Company made herein;

    
      
         

      

      
        36

        
          

        

      

      
         

      

    

    (iv)        the
Company shall have delivered to Investor a certificate, signed by the Chief
Executive Officer that the Certificate of Designation has been adopted and
filed;

     

    (v)         legal
opinions of New York counsel and Nevada counsel for the Company or a legal
opinion covering both New York and Nevada matters from Pryor Cashman LLP, dated
as of the Closing Date, in forms reasonably satisfactory to
Investor;

     

    (vi)        a
legal opinion of the PRC counsel for the Company, dated as of the Closing Date,
in a form satisfactory to Investor;

     

    (vii)       an
Escrow Agreement duly executed by the Company and the Escrow Agent;
and

     

    (viii)      the
Share Pledge Agreement executed by the Executive Shareholder;

     

    (g)          there
shall not exist any condition or have occurred any change since the date of the
Company’s most recent financial statements contained in the SEC Documents that
would reasonably likely to result in a Material Adverse Effect;

     

    (h)          the
Company shall have entered into an employment agreement with each of the Key
Employees in substantially the form attached hereto as Exhibit F;

     

    (i)           the
Certificate of Designation has been adopted by the Company and filed with the
Secretary of the State of the State of Nevada;

     

    (j)           the
Company shall continue to meet its eligibility requirements for the quotation of
its Common Shares on the OTCBB;

     

    (k)          the
Company shall be in compliance, in all material respects, with each of the
FINRA, NASD and SEC rules applicable to the OTCBB and the Company shall not have
received any notice from OTCBB, FINRA, NASD or SEC that the Company may not be
in such compliance, and there shall be no facts or circumstances existing that
could be the basis for any non-compliance or notice of any
non-compliance;

     

    (l)           as
of the Closing, the lease agreement between Konzern and  No. 76171
Force of People's Liberation Army  in relation to the warehouse
located at No. 67, Shahe Road, Tianhe District, Guangzhou for the purpose of the
storage of medicine and other medical products shall have been renewed and the
GSP license granted to Konzern with respect to such warehouse shall not have
been affected by the expiry and renewal of the lease;

     

    (m)         Konzern
shall have obtained the approvals from the Governmental Authorities in the PRC
for the increase of registered capital or total investment of Konzern for an
amount no less than the Common Shares Purchase Price;

     

    (n)          the
approval for environmental impact inspection reports, examination report of
environmental protection on the completion of the construction project, and
waste discharge permit issued by local environmental protection bureau regarding
the construction and expansion of all of LifeTech’s plants have been obtained
and all of the waste discharge fees have been paid up;

    
      
         

      

      
        37

        
          

        

      

      
         

      

    

    (o)          there
shall be no injunction, restraining order or decree of any nature of any court
or Government Authority of competent jurisdiction that is in effect that
restrains or prohibits the consummation of the transactions contemplated hereby
and by the other Transaction Documents;

     

    (p)          the
waiting period under the HSR Act with respect to the transactions contemplated
by this Agreement shall have expired or been terminated;

     

    (q)          the
terms and conditions of any agreements between Peak Capital and the Company
shall have amended to such terms and conditions as have been agreed to by
Investor in writing; and

     

    (r)           the
Company shall have furnished to the Investors a certificate stating that the
Company is not a “United States real property holding corporation” within the
meaning of Section 897(c)(2) of the Code.

     

    Section
5.2           Conditions to Company’s
Obligations at the Closing.  The Company’s obligations to
effect the Closing with Investor are conditioned upon the fulfillment (or waiver
by the Company in its sole and absolute discretion) of each of the following
events as of the Closing Date:

     

    (a)          the
representations and warranties of Investor shall be true and correct in all
respects, if qualified by materiality, and shall be true and correct in all
material respects, if not qualified by materiality, at and as of the Closing
with the same effect as though made at and as of such time (except that those
representations and warranties that are made as of a specific date shall be
correct only as of such date);

     

    (b)          Investor
shall have duly performed and complied in all material respects with all
covenants contained herein required to be performed or complied with by it in
connection with the consummation of the transactions contemplated hereby at or
before the Closing;

     

    (c)          there
shall be no injunction, restraining order or decree of any nature of any court
or Governmental Authority of competent jurisdiction that is in effect that
restrains or prohibits the consummation of the transactions contemplated hereby
and by the other Transaction Documents;

     

    (d)          the
waiting period under the HSR Act with respect to the transactions contemplated
by this Agreement shall have expired or been terminated;

     

    (e)          Investor
shall have delivered the Escrow Agreement duly executed by
Investor;

     

    (f)           Investor
shall have delivered the Share Pledge Agreement duly executed by Investor;
and

     

    (g)          Investor
shall have tendered to the Company the Common Shares Purchase Price and to the
Escrow Agent the Preferred Shares Purchase Price, in each case, by wire transfer
of immediately available funds.

    
      
         

      

      
        38

        
          

        

      

      
         

      

    

    ARTICLE
VI.

    MISCELLANEOUS

     

    Section
6.1           Termination.  This
Agreement may be terminated by:

     

    (a)           Investor,
as to its obligations hereunder, by written notice to the Company, if the
Company shall have breached any of its obligations under any of the Transaction
Documents;

     

    (b)           the
Company, as to its obligations hereunder, by written notice to Investor, if
Investor shall have breached any of its obligations under any of the Transaction
Documents; or

     

    (c)           either
the Company or Investor, by written notice to the other party, if the Closing
has not been consummated on or before Latest Closing Date; provided, however,
that no such termination or the late exercise of the right to terminate will
affect the right set forth under Section 6.2 herein.  Notwithstanding
any other provision in this Agreement to the contrary, upon termination of this
Agreement by Investor or the Company pursuant to Section 6.1(a) or (b), the
breaching party will remain liable to the other party for any breach of this
Agreement by such breaching party existing at the time of such termination, and
the other party may seek such remedies, including damages and fees of attorneys,
against the breaching party with respect to any such breach as are provided in
this Agreement or as are otherwise available at law or in equity.

     

    Section
6.2           Fees and
Expenses.  All consulting, legal and other reasonable
out-of-pocket expenses, including due diligence expenses relating to the
investment contemplated herein, together with any costs for the enforcement of
such expenses (the “Expenses”) shall be paid for by the
Company.  Expenses attributable to Investor relating to the investment
and due diligence for the investment contemplated herein will be subject to a
fee cap of US$750,000.  The Company’s obligation to pay the Expenses
is absolute, without regard to whether Closing is consummated and payable upon
demand from Investor.  Fees incurred by Investor above the fee cap
shall be borne by Investor.  Notwithstanding the foregoing, each of
Investor and the Company shall be responsible for paying 50% of all filing fees
in connection with filings required by the HSR Act.

     

    Section
6.3           Notices.  All
notices, requests, demands and other communications hereunder shall be in
writing and shall be deemed to have been duly given if: (a) delivered
personally, (b) sent by registered or certified mail in the United States,
return receipt requested, (c) sent by reputable overnight air courier (such as
DHL or Federal Express) or (d) sent by fax, as follows:

    
      
         

      

      
        39

        
          

        

      

      
         

      

    

     

    
      
        
          
            
              	
                      if
      to the Company, at:

                       

                      China
      Medicine Corporation

                      Guangri
      Tower, Suite 702

                      No.
      8 Siyou South 1st Street

                      Yuexiu
      District

                      Guangzhou,
      China 510600

                      Fax:  +86 20 8737 9184

                      Attention:  Senshan
      Yang

                      Email:  Konzern01@163.com

                       

                      with
      a copy to:

                       

                      Pryor
      Cashman LLP

                      7
      Times Square

                      New
      York, NY 10036-6569

                      Fax:  (212)
      798-6366

                      Attention:  Elizabeth
      Fei Chen, Esq.

                      Email:  echen@pryorcashman.com

                    	
                      if
      to Investor, at:

                       

                      OEP
      CHME Holdings, LLP

                      c/o
      One Equity Partners

                      Chater
      House, 20F, 8 Connaught Road Central

                      Fax:
      +852 2167 8517

                      Attention:  Ryan
      Shih

                      Email:  ryan.jh.shih@oneequity.com

                       

                      with
      a copy to:

                       

                      One
      Equity Partners

                      320
      Park Avenue

                      18th
      Floor

                      New
      York, NY  10022

                      Fax:  (212)
      277-1572

                      Attention:  Bradley
      J. Coppens

                      Email:  bradley.j.coppens@oneequity.com

                       

                      and
      to:

                    
	 
      	 
      
	
                      if
      to Mr. Yang Senshan, at:

                       

                      China Medicine Corporation

                      Guangri Tower, Suite 702

                      No. 8 Siyou South 1st Street

                      Yuexiu District

                      Guangzhou, China 510600

                      Fax: +86 20 8737 9184

                      Email:  Konzern01@163.com

                    	
                      Orrick,
      Herrington & Sutcliffe

                      43rd
      Floor Gloucester Tower

                      The
      Landmark

                      15
      Queen’s Road Central

                      Hong
      Kong

                      Fax:  +852
      2218 9200

                      Attention:  Mark
      J. Lee, Esq.

                      Email:  mjlee@orrick.com

                    

            

          

        

      

    

     

    or to
such other address or to such other Person as either party hereto shall have
last designated by notice to the other party.

    All such
notices, requests, demands and other communications shall be deemed to have been
received (w) if by personal delivery, on the next Business Day after such
delivery, (x) if by registered or certified mail in the United States return
receipt requested, on the seventh (7) Business Day after the mailing thereof,
(y) if by reputable overnight air courier, on the next Business Day after the
mailing thereof or (z) if by fax, on the next Business Day following the day on
which such fax was sent, provided that a copy is also sent by registered or
certified mail, return receipt requested.

     

    Section
6.4          Amendments;
Waivers.  This Agreement may be amended or modified only by a
written instrument executed by each of the parties hereto.  Any of the
terms and conditions of this Agreement may be waived in writing at any time by
the party entitled to the benefits thereof.  This Agreement is the
entire agreement of the parties with respect to the subject matter hereof and
supersedes all other prior agreements and understandings, oral or written,
express or implied, between the parties hereto and their respective Affiliates,
representatives and agents in respect of the subject matter hereof, other than
the provisions therein relating to the confidentiality provisions of the letter
agreement dated September 17, 2009 between One Equity Partners III L.P. and the
Company.

     

    Section
6.5           Certain
Limitations.  It is the explicit intent and understanding of
each of the parties hereto that neither party nor any of its Affiliates,
representatives or agents is making any representation or warranty whatsoever,
oral or written, express or implied, other than those expressly set forth in
this Agreement and in the certificates delivered pursuant to this Agreement and
neither party is relying on any statement, representation or warranty, oral or
written, express or implied, made by the other party or such other party’s
Affiliates, representatives or agents, except for the representations and
warranties set forth in this Agreement.  The parties agree that this
is an arm’s length transaction in which the parties’ undertakings and
obligations are limited to the performance of their obligations under this
Agreement.  The parties have participated jointly in the negotiating
and drafting of this Agreement

     

    
      
        
        

      

      
        40

        
          

        

      

      
        
        

      

    

     

    Section
6.6           Headings.  The
headings herein are for convenience only, do not constitute a part of this
Agreement and shall not be deemed to limit or affect any of the provisions
hereof.  The language used in this Agreement will be deemed to be the
language chosen by the parties to express their mutual intent, and no rules of
strict construction will be applied against any party.

     

    Section
6.7           Successors and
Assigns.  This Agreement shall be binding upon and inure to the
benefit of the parties and their successors and permitted
assigns.  The Company may not assign this Agreement or any rights or
obligations hereunder without the prior written consent of
Investor.  Investor may assign any or all of its rights under this
Agreement to any Person to whom Investor assigns or transfers any Purchased
Shares, provided such transferee agrees in writing to be bound, with respect to
the transferred Purchased Shares, by the provisions hereof that apply to
Investor.

     

    Section
6.8           No Third-Party
Beneficiaries.  This Agreement is intended for the benefit of
the parties hereto and their respective successors and permitted assigns and is
not for the benefit of, nor may any provision hereof be enforced by, any other
Person.

    Section
6.9           Rights Cumulative and
Non-waiver of Remedies.  Except as expressly provided in this
Agreement, and to the extent permitted by law, any remedies described in this
Agreement are cumulative and not alternative to any other remedies available at
law or in equity.  Notwithstanding anything to the contrary contained
herein, the failure or neglect of a party to enforce any remedy available by
reason of the failure of the other party to observe or perform a term or
condition set forth in this Agreement shall not constitute a waiver of any term
or condition or any available remedy hereof by such party and shall not preclude
or prejudice the claim of breach of any terms and conditions set forth
therein.  A waiver by a party (i) shall not affect any term or
condition other than the one specified in such waiver, and (ii) shall waive a
specified term or condition only for the time and in a manner specifically
stated in the waiver.

     

    Section
6.10         Governing
Law.  This Agreement shall be construed, performed and enforced
in accordance with the laws of the State of New York without giving effect to
its principles or rules of conflict of laws to the extent such principles or
rules would require or permit the application of the laws of another
jurisdiction.

     

    Section
6.11         Consent to
Jurisdiction

     

    (a)           Each
of the parties hereto hereby irrevocably and unconditionally submits, for itself
and its Property, to the exclusive jurisdiction of any New York State court or
Federal court of the United States of America sitting in New York City, and any
appellate court from any thereof, in any Action or proceeding arising out of or
relating to this Agreement or the transactions contemplated hereby or for
recognition or enforcement of any judgment relating thereto, and each of the
parties hereto hereby irrevocably and unconditionally agrees that all claims in
respect of any such Action or proceeding may be heard and determined in such New
York State court or, to the extent permitted by law, in such Federal
court.  Each of the parties hereto agrees that a final judgment in any
such Action or proceeding shall be conclusive and may be enforced in other
jurisdictions by suit on the judgment or in any other manner provided by
law.

     

    
      
        
        

      

      
        41

        
          

        

      

      
        
        

      

    

     

    (b)           Each
of the parties hereto hereby irrevocably and unconditionally waives, to the
fullest extent it may legally and effectively do so, any objection which it may
now or hereafter have to the laying of venue of any Action or proceeding arising
out of or relating to this Agreement or the transactions contemplated hereby in
any New York State or Federal court.  Each of the parties hereto
hereby irrevocably waives, to the fullest extent permitted by law, the defense
of an inconvenient forum to the maintenance of such Action or proceeding in any
such court.

     

    (c)           Each
party to this Agreement irrevocably consents to service of process in the manner
provided for notices in Section 6.3.  Nothing in this Agreement will
affect the right of any party to this Agreement to serve process in any other
manner permitted by law.

     

    Section
6.12           Waiver of Punitive and Other
Damages and Jury Trial.

     

    (a)           THE
PARTIES TO THIS AGREEMENT EXPRESSLY WAIVE AND FOREGO ANY RIGHT TO RECOVER
PUNITIVE, EXEMPLARY OR SIMILAR DAMAGES IN ANY ARBITRATION, LAWSUIT, LITIGATION
OR PROCEEDING ARISING OUT OF OR RESULTING FROM ANY CONTROVERSY OR CLAIM ARISING
OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY.

    (b)           EACH
PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY OR CLAIM WHICH MAY ARISE OUT
OF OR RELATE TO THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT
ISSUES, AND THEREFORE IT HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT
IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR
INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY.

     

    (c)           EACH
PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY
OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER
PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE EITHER OF SUCH
WAIVERS, (ii) IT UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF SUCH
WAIVERS, (iii) IT MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) IT HAS BEEN INDUCED
TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND
CERTIFICATIONS IN THIS SECTION 6.12.

     

    Section
6.13           Counterparts.  This
Agreement may be executed in two or more counterparts, all of which when taken
together shall be considered one and the same agreement and shall become
effective when counterparts have been signed by each party and delivered to the
other party, it being understood that both parties need not sign the same
counterpart.  In the event that any signature is delivered by
facsimile transmission, such signature shall create a valid and binding
obligation of the party executing (or on whose behalf such signature is
executed) with the same force and effect as if such facsimile signature page
were an original thereof.

     

    
      
        
        

      

      
        42

        
          

        

      

      
        
        

      

    

     

    Section
6.14           Severability.  If
any provision of this Agreement is held to be invalid or unenforceable in any
respect, the validity and enforceability of the remaining terms and provisions
of this Agreement shall not in any way be affected or impaired thereby and the
parties will attempt to agree upon a valid and enforceable provision that is a
reasonable substitute therefor, and upon so agreeing, shall incorporate such
substitute provision in this Agreement.

     

    Section
6.15           Rescission and Withdrawal
Right.  Notwithstanding anything to the contrary contained in
(and without limiting any similar provisions of) the Transaction Documents,
whenever Investor exercises a right, election, demand or option under a
Transaction Document and the Company does not timely perform its related
obligations within the periods therein provided, then Investor may rescind or
withdraw, in its sole discretion from time to time upon written notice to the
Company, any relevant notice, demand or election in whole or in part without
prejudice to its future actions and rights.

     

    Section
6.16           Replacement of Purchased
Shares.  If any certificate or instrument evidencing any
Purchased Shares is mutilated, lost, stolen or destroyed, the Company shall
issue or cause to be issued in exchange and substitution for and upon
cancellation thereof, or in lieu of and substitution therefor, a new certificate
or instrument, but only upon receipt of evidence reasonably satisfactory to the
Company of such loss, theft or destruction and customary and reasonable
indemnity, if requested.  The applicants for a new certificate or
instrument under such circumstances shall also pay any reasonable third-party
costs associated with the issuance of such replacement Purchased
Shares.

    Section
6.17           Remedies.  In
addition to being entitled to exercise all rights provided herein or granted by
law, including recovery of damages, Investor will be entitled to specific
performance under the Transaction Documents.  The parties agree that
monetary damages may not be adequate compensation for any loss incurred by
reason of any breach of obligations described in the foregoing sentence and
hereby agrees to waive in any action for specific performance of any such
obligation the defense that a remedy at law would be adequate.

     

    Section
6.18           Further
Actions.  Each party shall execute and deliver such
certificates and other documents and take such other actions as may reasonably
be requested by the other party in order to consummate or implement the
transactions contemplated by any of the Transaction Documents.

     

    Section
6.19           Construction.  The
parties agree that each of them and/or their respective counsel has reviewed and
had an opportunity to revise the Transaction Documents and, therefore, the
normal rule of construction to the effect that any ambiguities are to be
resolved against the drafting party shall not be employed in the interpretation
of the Transaction Documents or any amendments hereto.

     

    [Signature Pages
Follow]

     

    
      
         

      

      
        43

        
          

        

      

      
         

      

    

    IN
WITNESS WHEREOF, the undersigned has caused this Stock Subscription Agreement to
be duly executed by their respective authorized signatories as of the date first
indicated above.

     

    
      
        	
                CHINA
      MEDICINE CORPORATION

              
	 
      	 
      
	
                By:

              	
                /s/ Yang Senshan

              	 
      
	 
      	
                Name:
      Yang Senshan

              
	 
      	
                Title:
      Chief Executive Officer

              

      

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    IN
WITNESS WHEREOF, the undersigned has caused this Stock Subscription Agreement to
be duly executed by their respective authorized signatories as of the date
first
indicated above.

     

    OEP
CHME HOLDINGS, LLC

    

    By: One
Equity Partners III, L.P.,

    its
Manager

    

    By: OEP
General Partner III, L.P.,

    its
General Partner

    

    By: OEP
Holding Corporation,

    its
General Partner

     

    
      
        	
                By:

              	
                /s/  Bradley J
      Coppens

              	 
      
	
                Name:

              	
                Bradley
      J Coppens

              
	
                Title:

              	
                Vice
      President

              

      

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    IN
WITNESS WHEREOF, the undersigned has duly executed this Stock Subscription
Agreement as of the date first indicated above.

     

    Mr.
Yang Senshan

     

    
      
        	
                /s/  Yang Senshan

              	 
      

      

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
A

     

    CERTIFICATE
OF DESIGNATION

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
B

     

    FORM
OF ESCROW AGREEMENT

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
C

     

    FORM
OF SHARE PLEDGE AGREEMENT

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
D

     

    SHAREHOLDERS
AGREEMENT

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
E

     

    WAIVER
OF RIGHT OF FIRST REFUSAL

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
F

     

    FORM
OF EMPLOYMENT AGREEMENT

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}]]