Document:

Exhibit 10.1

 

SPX CORPORATION,

 

as Issuer

 

and

 

APV NORTH AMERICA, INC.

FLAIR CORPORATION

KAYEX CHINA HOLDINGS, INC.

SPX COOLING TECHNOLOGIES, INC.

SPX HEAT TRANSFER INC.

TCI INTERNATIONAL, INC.

THE MARLEY-WYLAIN COMPANY

WAUKESHA ELECTRIC SYSTEMS, INC.

XCEL ERECTORS, INC.

MARLEY ENGINEERED PRODUCTS LLC

MCT SERVICES LLC

SPX PRECISION COMPONENTS LLC

THE MARLEY COMPANY LLC

 

as

 

Initial Subsidiary Guarantors

 

and

 

U.S. BANK NATIONAL ASSOCIATION

 

as Trustee

 

 

Indenture

 

Dated as of August 16, 2010

 

 

6.875% Senior Notes due 2017

 

 

CROSS-REFERENCE TABLE

 

	
  TIA
  Sections

  	
   

  	
  Indenture Sections

  
	
   

  	
   

  	
   

  
	
  § 310(a)(1)

  	
   

  	
  7.10

  
	
   (a)(2)

  	
   

  	
  7.10

  
	
   (b)

  	
   

  	
  7.03; 7.08

  
	
  §
  311 (a)

  	
   

  	
  7.03

  
	
   (b)

  	
   

  	
  7.03

  
	
  §
  312 (a)

  	
   

  	
  2.04

  
	
   (b)

  	
   

  	
  11.02

  
	
   (c)

  	
   

  	
  11.02

  
	
  §
  313 (a)

  	
   

  	
  7.06

  
	
   (b)(2)

  	
   

  	
  7.07

  
	
   (c)

  	
   

  	
  7.05; 7.06; 11.02

  
	
   (d)

  	
   

  	
  7.06

  
	
  § 314
  (a)

  	
   

  	
  4.11; 11.02

  
	
   (a)(4)

  	
   

  	
  4.10; 11.02

  
	
   (c)(1)

  	
   

  	
  11.03

  
	
   (c)(2)

  	
   

  	
  11.03

  
	
   (e)

  	
   

  	
  4.10; 11.04

  
	
  §
  315 (a)

  	
   

  	
  7.02

  
	
   (b)

  	
   

  	
  7.05; 11.02

  
	
   (c)

  	
   

  	
  7.01

  
	
   (d)

  	
   

  	
  7.02

  
	
   (e)

  	
   

  	
  6.11

  
	
  § 316
  (a)(1)(A)

  	
   

  	
  6.05

  
	
   (a)(1)(B)

  	
   

  	
  6.04

  
	
   (b)

  	
   

  	
  6.07

  
	
   (c)

  	
   

  	
  9.03

  
	
  § 317
  (a)(1)

  	
   

  	
  6.08

  
	
   (a)(2)

  	
   

  	
  6.09

  
	
   (b)

  	
   

  	
  2.05

  
	
  § 318
  (a)

  	
   

  	
  11.01

  
	
   (c)

  	
   

  	
  11.01

  

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE ONE

  
	
  DEFINITIONS
  AND INCORPORATION BY REFERENCE

  
	
   

  	
   

  	
   

  
	
  SECTION 1.01.

  	
  Definitions

  	
  1

  
	
   

  	
   

  	
   

  
	
  SECTION 1.02.

  	
  Incorporation by Reference of Trust Indenture Act

  	
  15

  
	
   

  	
   

  	
   

  
	
  SECTION 1.03.

  	
  Rules of Construction

  	
  16

  
	
   

  	
   

  	
   

  
	
  ARTICLE TWO

  
	
  THE NOTES

  
	
   

  	
   

  	
   

  
	
  SECTION 2.01.

  	
  Form and Dating

  	
  16

  
	
   

  	
   

  	
   

  
	
  SECTION 2.02.

  	
  Restrictive Legends

  	
  17

  
	
   

  	
   

  	
   

  
	
  SECTION 2.03.

  	
  Execution, Authentication and Denominations

  	
  19

  
	
   

  	
   

  	
   

  
	
  SECTION 2.04.

  	
  Registrar and Paying Agent

  	
  20

  
	
   

  	
   

  	
   

  
	
  SECTION 2.05.

  	
  Paying Agent to Hold Money in Trust

  	
  20

  
	
   

  	
   

  	
   

  
	
  SECTION 2.06.

  	
  Transfer and Exchange

  	
  21

  
	
   

  	
   

  	
   

  
	
  SECTION 2.07.

  	
  Book-Entry Provisions for Global Notes

  	
  22

  
	
   

  	
   

  	
   

  
	
  SECTION 2.08.

  	
  Special Transfer Provisions

  	
  23

  
	
   

  	
   

  	
   

  
	
  SECTION 2.09.

  	
  Replacement Notes

  	
  26

  
	
   

  	
   

  	
   

  
	
  SECTION 2.10.

  	
  Outstanding Notes

  	
  26

  
	
   

  	
   

  	
   

  
	
  SECTION 2.11.

  	
  Temporary Notes

  	
  27

  
	
   

  	
   

  	
   

  
	
  SECTION 2.12.

  	
  Cancellation

  	
  27

  
	
   

  	
   

  	
   

  
	
  SECTION 2.13.

  	
  CUSIP Numbers

  	
  27

  
	
   

  	
   

  	
   

  
	
  SECTION 2.14.

  	
  Defaulted Interest

  	
  27

  
	
   

  	
   

  	
   

  
	
  SECTION 2.15.

  	
  Issuance of Additional Notes

  	
  28

  

 

i

 

	
  ARTICLE THREE

  
	
  REDEMPTION

  
	
   

  	
   

  	
   

  
	
  SECTION 3.01.

  	
  Right of Redemption

  	
  28

  
	
   

  	
   

  	
   

  
	
  SECTION 3.02.

  	
  Notices to Trustee

  	
  28

  
	
   

  	
   

  	
   

  
	
  SECTION 3.03.

  	
  Selection of Notes to Be Redeemed

  	
  28

  
	
   

  	
   

  	
   

  
	
  SECTION 3.04.

  	
  Notice of Redemption

  	
  29

  
	
   

  	
   

  	
   

  
	
  SECTION 3.05.

  	
  Effect of Notice of Redemption

  	
  30

  
	
   

  	
   

  	
   

  
	
  SECTION 3.06.

  	
  Deposit of Redemption Price

  	
  30

  
	
   

  	
   

  	
   

  
	
  SECTION 3.07.

  	
  Payment of Notes Called for Redemption

  	
  30

  
	
   

  	
   

  	
   

  
	
  SECTION 3.08.

  	
  Notes Redeemed in Part

  	
  30

  
	
   

  	
   

  	
   

  
	
  ARTICLE FOUR

  
	
  COVENANTS

  
	
   

  	
   

  	
   

  
	
  SECTION 4.01.

  	
  Payment of Notes

  	
  30

  
	
   

  	
   

  	
   

  
	
  SECTION 4.02.

  	
  Maintenance of Office or Agency

  	
  31

  
	
   

  	
   

  	
   

  
	
  SECTION 4.03.

  	
  Limitation on Liens

  	
  31

  
	
   

  	
   

  	
   

  
	
  SECTION 4.04.

  	
  Limitation on Sale-Leaseback Transactions

  	
  34

  
	
   

  	
   

  	
   

  
	
  SECTION 4.05.

  	
  Repurchase of Notes upon a Change of Control

  	
  34

  
	
   

  	
   

  	
   

  
	
  SECTION 4.06.

  	
  Existence

  	
  35

  
	
   

  	
   

  	
   

  
	
  SECTION 4.07.

  	
  Payment of Taxes and Other Claims

  	
  35

  
	
   

  	
   

  	
   

  
	
  SECTION 4.08.

  	
  Maintenance of Properties and Insurance

  	
  35

  
	
   

  	
   

  	
   

  
	
  SECTION 4.09.

  	
  Notice of Defaults

  	
  36

  
	
   

  	
   

  	
   

  
	
  SECTION 4.10.

  	
  Compliance Certificates

  	
  36

  
	
   

  	
   

  	
   

  
	
  SECTION 4.11.

  	
  Commission Reports and Reports to Holders.

  	
  36

  
	
   

  	
   

  	
   

  
	
  SECTION 4.12.

  	
  Waiver of Stay, Extension or Usury Laws

  	
  36

  
	
   

  	
   

  	
   

  
	
  SECTION 4.13.

  	
  Issuance of Subsidiary Guarantees

  	
  36

  
	
   

  	
   

  	
   

  
	
  SECTION 4.14.

  	
  Additional Interest Notice

  	
  37

  

 

ii

 

	
  ARTICLE FIVE

  
	
  SUCCESSOR
  CORPORATION

  
	
   

  	
   

  	
   

  
	
  SECTION 5.01.

  	
  When Company or Guarantors May Merge, Etc.

  	
  37

  
	
   

  	
   

  	
   

  
	
  SECTION 5.02.

  	
  Successor Substituted

  	
  38

  
	
   

  	
   

  	
   

  
	
  ARTICLE SIX

  
	
  DEFAULT
  AND REMEDIES

  
	
   

  	
   

  	
   

  
	
  SECTION 6.01.

  	
  Events of Default

  	
  38

  
	
   

  	
   

  	
   

  
	
  SECTION 6.02.

  	
  Acceleration

  	
  39

  
	
   

  	
   

  	
   

  
	
  SECTION 6.03.

  	
  Other Remedies

  	
  40

  
	
   

  	
   

  	
   

  
	
  SECTION 6.04.

  	
  Waiver of Past Defaults

  	
  40

  
	
   

  	
   

  	
   

  
	
  SECTION 6.05.

  	
  Control by Majority

  	
  40

  
	
   

  	
   

  	
   

  
	
  SECTION 6.06.

  	
  Limitation on Suits

  	
  41

  
	
   

  	
   

  	
   

  
	
  SECTION 6.07.

  	
  Rights of Holders to Receive Payment

  	
  41

  
	
   

  	
   

  	
   

  
	
  SECTION 6.08.

  	
  Collection Suit by Trustee

  	
  41

  
	
   

  	
   

  	
   

  
	
  SECTION 6.09.

  	
  Trustee May File Proofs of Claim

  	
  42

  
	
   

  	
   

  	
   

  
	
  SECTION 6.10.

  	
  Priorities

  	
  42

  
	
   

  	
   

  	
   

  
	
  SECTION 6.11.

  	
  Undertaking for Costs

  	
  42

  
	
   

  	
   

  	
   

  
	
  SECTION 6.12.

  	
  Restoration of Rights and Remedies

  	
  43

  
	
   

  	
   

  	
   

  
	
  SECTION 6.13.

  	
  Rights and Remedies Cumulative

  	
  43

  
	
   

  	
   

  	
   

  
	
  SECTION 6.14.

  	
  Delay or Omission Not Waiver

  	
  43

  
	
   

  	
   

  	
   

  
	
  ARTICLE SEVEN

  
	
  TRUSTEE

  
	
   

  	
   

  	
   

  
	
  SECTION 7.01.

  	
  General

  	
  43

  
	
   

  	
   

  	
   

  
	
  SECTION 7.02.

  	
  Certain Rights of Trustee

  	
  43

  
	
   

  	
   

  	
   

  
	
  SECTION 7.03.

  	
  Individual Rights of Trustee

  	
  45

  
	
   

  	
   

  	
   

  
	
  SECTION 7.04.

  	
  Trustee’s Disclaimer

  	
  45

  

 

iii

 

	
  SECTION 7.05.

  	
  Notice of Default

  	
  45

  
	
   

  	
   

  	
   

  
	
  SECTION 7.06.

  	
  Reports by Trustee to Holders

  	
  46

  
	
   

  	
   

  	
   

  
	
  SECTION 7.07.

  	
  Compensation and Indemnity

  	
  46

  
	
   

  	
   

  	
   

  
	
  SECTION 7.08.

  	
  Replacement of Trustee

  	
  47

  
	
   

  	
   

  	
   

  
	
  SECTION 7.09.

  	
  Successor Trustee by Merger, Etc.

  	
  48

  
	
   

  	
   

  	
   

  
	
  SECTION 7.10.

  	
  Eligibility

  	
  48

  
	
   

  	
   

  	
   

  
	
  SECTION 7.11.

  	
  Money Held in Trust

  	
  48

  
	
   

  	
   

  	
   

  
	
  ARTICLE EIGHT

  
	
  DISCHARGE
  OF INDENTURE

  
	
   

  	
   

  	
   

  
	
  SECTION 8.01.

  	
  Termination of Company’s Obligations

  	
  48

  
	
   

  	
   

  	
   

  
	
  SECTION 8.02.

  	
  Defeasance and Discharge of Indenture

  	
  49

  
	
   

  	
   

  	
   

  
	
  SECTION 8.03.

  	
  Defeasance of Certain Obligations

  	
  51

  
	
   

  	
   

  	
   

  
	
  SECTION 8.04.

  	
  Application of Trust Money

  	
  53

  
	
   

  	
   

  	
   

  
	
  SECTION 8.05.

  	
  Repayment to Company

  	
  53

  
	
   

  	
   

  	
   

  
	
  SECTION 8.06.

  	
  Reinstatement

  	
  53

  
	
   

  	
   

  	
   

  
	
  ARTICLE NINE

  
	
  AMENDMENTS,
  SUPPLEMENTS AND WAIVERS

  
	
   

  	
   

  	
   

  
	
  SECTION 9.01.

  	
  Without Consent of Holders

  	
  53

  
	
   

  	
   

  	
   

  
	
  SECTION 9.02.

  	
  With Consent of Holders

  	
  54

  
	
   

  	
   

  	
   

  
	
  SECTION 9.03.

  	
  Revocation and Effect of Consent

  	
  56

  
	
   

  	
   

  	
   

  
	
  SECTION 9.04.

  	
  Notation on or Exchange of Notes

  	
  56

  
	
   

  	
   

  	
   

  
	
  SECTION 9.05.

  	
  Trustee to Sign Amendments, Etc.

  	
  56

  
	
   

  	
   

  	
   

  
	
  SECTION 9.06.

  	
  Conformity with Trust Indenture Act

  	
  57

  
	
   

  	
   

  	
   

  
	
  ARTICLE TEN

  
	
  GUARANTEE
  OF NOTES

  
	
   

  	
   

  	
   

  
	
  SECTION 10.01.

  	
  Note Guarantee

  	
  57

  

 

iv

 

	
  SECTION 10.02.

  	
  Obligations Unconditional

  	
  59

  
	
   

  	
   

  	
   

  
	
  SECTION 10.03.

  	
  Release of Note Guarantees

  	
  59

  
	
   

  	
   

  	
   

  
	
  SECTION 10.04.

  	
  Notice to Trustee

  	
  60

  
	
   

  	
   

  	
   

  
	
  SECTION 10.05.

  	
  This Article Not to Prevent Events of Default

  	
  60

  
	
   

  	
   

  	
   

  
	
  ARTICLE ELEVEN

  
	
  MISCELLANEOUS

  
	
   

  	
   

  	
   

  
	
  SECTION 11.01.

  	
  Trust Indenture Act of 1939

  	
  60

  
	
   

  	
   

  	
   

  
	
  SECTION 11.02.

  	
  Notices

  	
  60

  
	
   

  	
   

  	
   

  
	
  SECTION 11.03.

  	
  Certificate and Opinion as to Conditions Precedent

  	
  61

  
	
   

  	
   

  	
   

  
	
  SECTION 11.04.

  	
  Statements Required in Certificate or Opinion

  	
  62

  
	
   

  	
   

  	
   

  
	
  SECTION 11.05.

  	
  Rules by Trustee, Paying Agent or Registrar

  	
  62

  
	
   

  	
   

  	
   

  
	
  SECTION 11.06.

  	
  Payment Date Other Than a Business Day

  	
  62

  
	
   

  	
   

  	
   

  
	
  SECTION 11.07.

  	
  Governing Law

  	
  62

  
	
   

  	
   

  	
   

  
	
  SECTION 11.08.

  	
  No Adverse Interpretation of Other Agreements

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.09.

  	
  No Recourse Against Others

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.10.

  	
  Successors

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.11.

  	
  Duplicate Originals

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.12.

  	
  Separability

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.13.

  	
  Table of Contents, Headings, Etc.

  	
  63

  
	
   

  	
   

  	
   

  
	
  SECTION 11.14.

  	
  Force Majeure

  	
  63

  

 

v

 

	
  EXHIBIT A

  	
  Form of
  Note

  	
  A-1

  
	
  EXHIBIT B
  

  	
  Form of
  Certificate to Be Delivered in Connection with Transfers of Temporary
  Regulation S Global Notes

  	
  B-1

  
	
  EXHIBIT C
  

  	
  Form of
  Certificate to Be Delivered in Connection with Transfers Pursuant to Non-QIB
  Accredited Investors

  	
  C-1

  
	
  EXHIBIT D
  

  	
  Form of
  Certificate to Be Delivered in Connection with Transfers Pursuant to
  Regulation S

  	
  D-1

  

 

vi

 

INDENTURE,
dated as of August 16, 2010 between SPX CORPORATION, a Delaware
corporation (the “Company”), the Initial Subsidiary Guarantors (as
defined herein), and U.S. Bank National Association, a national banking
association, as trustee (the “Trustee”).

 

RECITALS

 

The
Company has duly authorized the execution and delivery of this Indenture to
provide for the issuance initially of up to $600,000,000 aggregate principal
amount of the Company’s 6.875% Senior Notes due 2017 (the “Notes”)
issuable as provided in this Indenture. 
All things necessary to make this Indenture a valid agreement of the
Company and the Initial  Subsidiary
Guarantors, in accordance with its terms, have been done, and the Company has
done all things necessary to make the Notes, when executed by the Company and
authenticated and delivered by the Trustee hereunder and duly issued by the
Company, valid obligations of the Company as hereinafter provided.

 

This
Indenture is subject to, and shall be governed by, the provisions of the Trust
Indenture Act of 1939, as amended, that are required to be a part of and to
govern indentures qualified under the Trust Indenture Act of 1939, as amended.

 

AND THIS INDENTURE FURTHER WITNESSETH

 

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

 

ARTICLE ONE

DEFINITIONS AND INCORPORATION BY REFERENCE

 

SECTION 1.01.                 Definitions.

 

“Affiliate”
means, as applied to any Person, any other Person directly or indirectly
controlling, controlled by, or under direct or indirect common control with,
such Person.  For purposes of this
definition, “control” (including, with correlative meanings, the terms “controlling,”
“controlled by” and “under common control with”), as applied to
any Person, means the possession, directly or indirectly, of the power to
direct or cause the direction of the management and policies of such Person,
whether through the ownership of voting securities, by contract or otherwise.

 

“Agent”
means any Registrar, Co-Registrar, Paying Agent or authenticating agent.

 

“Agent
Members” has the meaning provided in Section 2.07(a).

 

“Applicable
Premium” means, at any Redemption Date, the greater of (1) 1.0% of the
principal amount of such Note and (2) the present value at such Redemption
Date of all required remaining scheduled interest payments due (excluding
accrued but unpaid interest to the Redemption Date) on such Note through the
Maturity Date, computed using a discount rate equal to the Treasury Rate plus
50 basis points; and, as calculated by the Company or on behalf of the 

 

 

Company
by such Person as the Company shall designate; provided that such calculation
shall not be a duty or obligation of the Trustee.

 

“Attributable Debt” in respect of any Sale and Leaseback
Transaction, means, as of the time of determination, the total obligation
(discounted to present value at the rate per annum equal to the discount rate
which would be applicable to a capital lease obligation with like term in
accordance with GAAP) of the lessee for rental payments (other than amounts
required to be paid on account of property taxes, maintenance, repairs,
insurance, water rates and other items which do not constitute payments for
property rights) during the remaining portion of the initial term of the lease
included in such Sale and Leaseback Transaction.

 

“Board
of Directors” means, with respect to any Person, the Board of Directors of
such Person or any duly authorized committee of such Board of Directors.

 

“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” means any day except a Saturday, Sunday or other day on which
commercial banks in The City of New York or in the city of the Corporate Trust
Office of the Trustee are authorized by law to close.

 

“Capital
Stock” means, with respect to any Person, any and all shares, interests,
participations or other equivalents (however designated, whether voting or
non-voting) in equity of such Person, whether outstanding on the Closing Date
or issued thereafter, including, without limitation, all common stock and
preferred stock.

 

“Change
of Control” means such time as:

 

(i)                                     the direct or indirect sale,
transfer, conveyance or other disposition (other than by way of merger or
consolidation), in one or a series of related transactions, of all or
substantially all of the properties or assets of the Company and its
Subsidiaries, taken as a whole, to any “person” (as that term is used in Section 13(d)(3) of
the Exchange Act) other than the Company or a Subsidiary;

 

(ii)                                  a “person” or “group”
(within the meaning of Sections 13(d) and 14(d)(2) of the Exchange
Act) becomes the ultimate “beneficial owner” (as defined in Rule 13d-3
under the Exchange Act) of more than 50% of the total voting power of the
Voting Stock of the Company on a fully diluted basis;

 

(iii)                               the adoption of a plan
relating to the liquidation or dissolution of the Company;

 

(iv)                              individuals who on the
Closing Date constitute the Board of Directors (together with any new directors
whose election by the Board of Directors or whose nomination by the Board of
Directors for election by the Company’s stockholders was approved by a vote of
at least a majority of the members of the Board of Directors then in office who
either were members of the Board of Directors on the Closing Date or whose 

 

2

 

election or nomination for election was previously so approved) cease
for any reason to constitute a majority of the members of the Board of
Directors then in office; or

 

(v)                                 the Company consolidates
with, or merges with or into, any Person or any Person consolidates with, or
merges with or into the Company, in any such event pursuant to a transaction in
which any of the outstanding Voting Stock of the Company or such other Person
is converted into or exchanged for cash, securities or other property, other
than any such transaction where (a) the Voting Stock of the Company
outstanding immediately prior to such transaction is converted into or
exchanged for Voting Stock of the surviving or transferee Person constituting a
majority of the outstanding shares of such Voting Stock of such surviving or
transferee Person (immediately after giving effect to such issuance) and (b) immediately
after such transaction, no “person” or “group” (as such terms are used in Section 13(d) and
14(d) of the Exchange Act) becomes, directly or indirectly, the “beneficial
owner” of 50% or more of the voting power of the Voting Stock of the surviving
or transferee Person.

 

“Closing
Date” means the date on which the Notes are originally issued under this
Indenture.

 

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

 

“Company”
means the party named as such in the first paragraph of this Indenture until a
successor replaces it pursuant to Article Five of this Indenture and
thereafter means the successor.

 

“Company
Order” means a written request or order signed in the name of the Company (i) by
its Chairman, a Vice Chairman, its President or a Vice President and (ii) by
its Treasurer, an Assistant Treasurer, its Secretary or an Assistant Secretary
and delivered to the Trustee; provided,
however, that such written request or order may be signed by any two
of the officers or directors listed in clause (i) above in lieu of being
signed by one of such officers or directors listed in such clause (i) and
one of the officers listed in clause (ii) above.

 

“Consolidated
Assets” means the total amount of assets of the Company and its
Subsidiaries, as set forth on the most recently available quarterly or annual
consolidated balance sheet of the Company and its Subsidiaries, prepared in
conformity with GAAP, in each case, giving pro forma effect to any Material
Asset Sale or Material Asset Acquisition, that shall have occurred since the
end of such fiscal quarter.

 

“Consolidated
Cash Flow Available for Fixed Charges” means, with respect to any Person
for any period:

 

(i) the sum of, without duplication, the
amounts for such period, taken as a single accounting period, of:

 

(a)                                  Consolidated Net Income;

 

3

 

(b)                                 Consolidated Non-cash
Charges;

 

(c)                                  Consolidated Interest
Expense;

 

(d)                                 Consolidated Income Tax
Expense (other than income tax expense (either positive or negative)
attributable to extraordinary gains or losses);

 

(e)                                  the write-off or
amortization of deferred financing fees and any premium actually paid in
connection with the prepayment or retirement of any Indebtedness); and

 

(ii) less non-cash items increasing
Consolidated Net Income for such period, other than (a) the accrual of
revenue consistent with past practice, and (b) reversals of prior accruals
or reserves for cash items previously excluded in the calculation of
Consolidated Non-cash Charges.

 

In
calculating “Consolidated Cash Flow Available for Fixed Charges” for any
period, if any Material Asset Sale or Material Asset Acquisition (whether
pursuant to a stock or an asset transaction) shall have occurred since the
first day of any twelve month period for which the “Consolidated Cash Flow
Available for Fixed Charges” is being calculated, such calculation shall give
pro forma effect to such Material Asset Sale or Material Asset Acquisition.

 

“Consolidated
Income Tax Expenses” means, with respect to any Person for any period the
provision for federal, state, local and foreign income taxes of such Person and
its Subsidiaries for such period as determined on a consolidated basis in
accordance with GAAP.

 

“Consolidated
Interest Expense” means, with respect to any Person for any period, without
duplication, the sum of:

 

(i)                                     the interest expense of such
Person and its Subsidiaries for such period as determined on a consolidated
basis in accordance with GAAP, including, without limitation (to the extent
reflected as interest expense in accordance with GAAP):

 

(a)                                  any amortization of debt
discount and debt issuance costs;

 

(b)                                 the cash cost under any
Interest Rate Protection Obligations;

 

(c)                                  the interest portion of any
deferred payment obligation;

 

(d)                                 all commissions, discounts
and other fees and charges owed with respect to letters of credit, bankers’
acceptance financing or similar activities;

 

(e)                                  the interest expense on
Indebtedness of another Person that is Guaranteed by the Company or one of its
Subsidiaries or secured by a Mortgage on assets of the Company or one of its
Subsidiaries;

 

(f)                                    costs associated with
hedging obligations related to Indebtedness (including amortization thereof);

 

4

 

(g)           the
cash contributions to employee stock ownership plan or similar trust to the
extent such contributions are used by such plan or trust to pay interest or
fees to any Person (other than the Company) in connection with Indebtedness
incurred by such plan or trust;

 

(h)           all
accrued interest;

 

(i)            interest
expense, amortization or write-off of debt discount and debt issuance costs and
commissions, discounts and other premiums, fees and charges associated with
Indebtedness or any receivables financing, whether in connection with the
incurrence, prepayment, redemption, termination or wind-down thereof or
otherwise associated with Indebtedness or any receivables financing (including
the Credit Agreements, letters of credit, bankers’ acceptances and net costs under
hedging agreements); and

 

(ii)           the
interest component of capital lease obligations paid, accrued and/or scheduled
to be paid or accrued by such Person and its Subsidiaries during such period
determined on a consolidated basis in accordance with GAAP.

 

“Consolidated
Net Income” means, with respect to any Person, for any period, the
consolidated net income (or loss) of such Person and its Subsidiaries for such
period as determined in accordance with GAAP, adjusted, to the extent included
in calculating such net income, by excluding, without duplication:

 

(i)            all
extraordinary gains or losses (net of fees and expenses relating to the
transaction giving rise thereto);

 

(ii)           the
portion of net income of such Person and its Subsidiaries allocable to minority
interests in unconsolidated Persons to the extent that cash dividends or
distributions have not actually been received by such Person or one of its
Subsidiaries;

 

(iii)          gains
or losses in respect of any sales of capital stock or asset sales outside the
ordinary course of business by such Person or one of its Subsidiaries (net of
fees and expenses relating to the transaction giving rise thereto), on an
after-tax basis;

 

(iv)          any
gain or loss realized as a result of the cumulative effect of a change in accounting
principles;

 

(v)           any
fees and expenses paid in connection with the issuance of the Notes or other
Indebtedness;

 

(vi)          non-cash
compensation expense incurred with any grant of or issuance or repricing of
equity interests to an employee of such Person or any Subsidiary;

 

(vii)         nonrecurring
or unusual gains or losses;

 

(viii)        the
net after-tax effects of adjustments in the inventory, property and equipment,
goodwill, intangible assets, deferred revenue and debt line items in such 

 

5

 

Person’s consolidated financial statements pursuant to GAAP resulting
from the application of purchase accounting or the amortization or write-off of
any amounts thereof;

 

(ix)           any
fees and expenses incurred during such period, or any amortization thereof for
such period, in connection with any acquisition, investment, asset sale,
issuance or repayment of Indebtedness, issuance of stock, stock options or
other equity-based awards, refinancing transaction or amendment or modification
of any debt instrument (including without limitation any such transaction
undertaken but not completed);

 

(x)          any
gain or loss recorded in connection with the designation of a discontinued
operation (exclusive of its operating income or loss);

 

(xi)           any
non-cash compensation or other non-cash expenses or charges arising from the
grant of or issuance or repricing of stock, stock options or other equity-based
awards or any amendment, modification, substitution or change of any such
stock, stock options or other equity-based awards; and

 

(xii)          any
non-cash impairment, restructuring or special charge or asset write-off or
write-down, and the amortization or write-off of intangibles.

 

“Consolidated
Non-cash Charges” means, with respect to any Person for any period, the
aggregate depreciation, amortization (including amortization of goodwill and
other intangibles) and other non-cash expenses (including stock option expenses
and any goodwill impairment charges) of such Person and its Subsidiaries
reducing Consolidated Net Income of such Person and its Subsidiaries for such
period, determined on a consolidated basis in accordance with GAAP (excluding
any such charges constituting an extraordinary item or loss or any charge which
requires an accrual of or a reserve for cash charges for any future period).

 

“Corporate
Trust Office” means the designated office of the Trustee at which the
corporate trust business of the Trustee shall, at any particular time, be
administered, which office is, at the date of this Indenture, located at Hearst
Tower - 214 N. Tryon Street, 27th Floor, Charlotte, NC 28202; Attention:  Katherine A. Esber, CCTS.

 

“Credit
Agreement” means the credit agreement, dated as of September 21,
2007,  as amended, among SPX Corporation
and other borrowers party thereto from time to time, as Borrowers, the lenders
party thereto from time to time, Bank of America, N.A. as Administrative Agent,
Deutsche Bank AG Deutschlandgёschaft Branch as Foreign Trade Facility
Agent, JPMorgan Chase Bank, N.A. as Syndication Agent, Citibank, N.A. and The
Bank of Nova Scotia as Co-Documentation Agents, Banc of America Securities LLC
and Deutsche Bank AG Deutschlandgёschaft Branch as Joint Lead Arrangers,
Banc of America Securities LLC, Deutsche Bank AG Deutschlandgёschaft
Branch and J.P. Morgan Securities Inc., together with any agreements,
instruments, security agreements, guaranties and other documents executed or
delivered pursuant to or in connection with such credit agreement, as such
credit agreement or such agreements, instruments, security agreements,
guaranties or other documents may be amended, supplemented, extended, restated,
renewed or otherwise modified from time to time

 

6

 

and
any successive refundings, refinancings, replacements or substitutions thereof
or therefor, whether with the same or different lenders.

 

“Credit
Facilities” means one or more debt facilities (including, without
limitation, the Credit Agreement), commercial paper facilities or indentures,
in each case with banks or other institutional lenders or a trustee, providing
for revolving credit loans, term loans, receivables financing (including
through the sale of receivables to such lenders or to special purpose entities
formed to borrow from such lenders against such receivables), letters of credit
or issuances of notes, in each case, as amended, restated, modified, renewed,
refunded, replaced or refinanced in whole or in part from time to time.

 

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

 

“Depositary”
means The Depository Trust Company, its nominees, and their respective
successors.

 

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

 

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

 

“Exchange
Notes” means (i) any securities of the Company containing terms
identical to the Notes (except that such Exchange Notes shall be registered
under the Securities Act) that are issued and exchanged for the Notes pursuant
to the Registration Rights Agreement and this Indenture or (ii) any
securities of the Company containing terms identical to the Notes except for
the removal of restricted legends, which such security has been exchanged for
Notes that become freely tradable under the Securities Act.

 

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

 

“fair
market value” means the price that would be paid in an arm’s-length
transaction between an informed and willing seller under no compulsion to sell
and an informed and willing buyer under no compulsion to buy, as determined in
good faith by the Company.

 

“Foreign
Subsidiary” means any Subsidiary of the Company that is an entity which is
a controlled foreign corporation under Section 957 of the Internal Revenue
Code and does not guarantee or otherwise provide direct credit support for any
Indebtedness of the Company or any Subsidiary Guarantor.

 

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

 

“Funded
Debt” means all Indebtedness having a maturity of more than 12 months from
the date as of which the determination is made or having a maturity of 12
months or less but by its terms being renewable or extendable beyond 12 months
from such date at the option of the borrower, but excluding any such
Indebtedness owed to the Company or a Subsidiary of the Company.

 

7

 

“GAAP”
means generally accepted accounting principles in the United States set forth
in the opinions and pronouncements of the Accounting Principles Board of the
American Institute of Certified Public Accountants and statements and
pronouncements of the Financial Accounting Standards Board or in such other
statements by such other entity as have been approved by a significant segment
of the accounting profession which are in effect on the Closing Date.

 

“Global
Notes” has the meaning provided in Section 2.01.

 

“Guarantee”
means any obligation, contingent or otherwise, of any Person directly or
indirectly guaranteeing any Indebtedness of any other Person and, without
limiting the generality of the foregoing, any obligation, direct or indirect,
contingent or otherwise, of such Person (1) to purchase or pay (or advance
or supply funds for the purchase or payment of) such Indebtedness of such other
Person (whether arising by virtue of partnership arrangements, or by agreements
to keep-well, to purchase assets, goods, securities or services (unless such
purchase arrangements are on arm’s-length terms and are entered into in the
ordinary course of business), to take-or-pay, or to maintain financial
statement conditions or otherwise) or (2) entered into for purposes of
assuring in any other manner the obligee of such Indebtedness of the payment
thereof or to protect such obligee against loss in respect thereof (in whole or
in part); provided that the term “Guarantee”
shall not include endorsements for collection or deposit in the ordinary course
of business; supplier, purchaser or customer arrangements in the ordinary
course of business; representations, warranties, covenants and indemnities
entered into by the Company or any Subsidiary which are reasonably customary in
sale, factoring or securitization of receivables financings; or “comfort”
letters delivered to auditors in connection with statutory audits.  The term “Guarantee” used as a verb has a
corresponding meaning.

 

“Holder”
or “Noteholder” means the registered holder of any Note.

 

“Indebtedness”
means indebtedness for borrowed money. For the avoidance of doubt, (a) a
letter of credit and (b) a foreign credit instrument (as contemplated by
the Credit Agreement) and analogous instruments do not constitute Indebtedness,
until, in each case, it has been drawn upon.

 

“Indenture”
means this Indenture as originally executed or as it may be amended or
supplemented from time to time by one or more indentures supplemental to this
Indenture entered into pursuant to the applicable provisions of this Indenture.

 

“Initial
Subsidiary Guarantors” means each of the Company’s existing domestic
Subsidiaries and future domestic Subsidiaries that guarantees obligations under
the Company’s Credit Agreement.

 

“Institutional
Accredited Investor” means an institution that is an “accredited investor”
as that term is defined in Rule 501(a)(1), (2), (3) or (7) under
the Securities Act.

 

“Interest
Payment Date” means each semiannual interest payment date on March 1
and September 1 of each year, commencing March 1, 2011.

 

8

 

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

 

“Interest
Rate Protection Obligations” means the obligations of any Person pursuant
to any Interest Rate Protection Agreements.

 

“Investment
Grade” means (1) BBB- or above, in the case of S&P (or its
equivalent under any successor Rating Categories of S&P) and Baa3 or above,
in the case of Moody’s (or its equivalent under any successor Rating Categories
of Moody’s) or (2) the equivalent in respect of the Rating Categories of
any Rating Agencies.

 

“Material
Asset Acquisition” means any acquisition of property or series of related
acquisitions of property that (a) constitutes all or substantially all of
the assets of a business, unit or division of a Person or constitutes all or
substantially all of the common stock (or equivalent) of a Person and
(b) involves consideration in excess of $25,000,000.

 

“Material
Asset Sale” means any disposition of property or series of related
dispositions of property that (a) involves all or substantially all of the
assets of a business, unit or division of a Person or constitutes all or
substantially all of the common stock (or equivalent) of a Subsidiary and
(b) yields gross proceeds to the Company or any of its Subsidiaries in
excess of $25,000,000.

 

“Maturity
Date” means September 1, 2017.

 

“Moody’s”
means Moody’s Investors Service, Inc. or its successors.

 

“Mortgage”
means, with respect to any property or assets, any mortgage or deed of trust,
pledge, hypothecation, assignment, security interest, lien, encumbrance, or any
other security arrangement of any kind or nature whatsoever on or with respect
to such property or assets (including any conditional sale or other title
retention agreement having substantially the same economic effect as any of the
foregoing).

 

“Net
Cash Proceeds” means the proceeds of such issuance or sale in the form of
cash or cash equivalents, including payments in respect of deferred payment
obligations (to the extent corresponding to the principal, but not interest,
component thereof) when received in the form of cash or cash equivalents and
proceeds from the conversion of other property received when converted to cash
or cash equivalents, net of attorney’s fees, accountants’ fees, underwriters’
or placement agents’ fees, discounts or commissions and brokerage, consultant
and other fees incurred in connection with such issuance or sale and net of
taxes paid or payable as a result thereof.

 

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

 

9

 

“Note
Guarantee” means a Guarantee of the obligations of the Company under this
Indenture and the Notes by any Subsidiary Guarantor.

 

“Notes”
means any of the securities, as defined in the first paragraph of the recitals
hereof, that are authenticated and delivered under this Indenture.  For all purposes of this Indenture, the term “Notes”
shall include the Notes initially issued on the Closing Date, any Exchange
Notes to be issued and exchanged for any Notes pursuant to the Registration
Rights Agreement and this Indenture and any other Notes issued after the
Closing Date under this Indenture.  For
purposes of this Indenture, all Notes shall vote together as one series of Notes
under this Indenture.

 

“Offer
to Purchase” means an offer by the Company to purchase Notes from the
Holders commenced by mailing a notice to the Trustee and each Holder stating:

 

(i)            that
all Notes validly tendered will be accepted for payment on a pro rata basis;

 

(ii)           the
purchase price and the date of purchase (which shall be a Business Day no
earlier than 30 days nor later than 60 days from the date such notice is
mailed) (the “Payment Date”);

 

(iii)          that
any Note not tendered will continue to accrue interest pursuant to its terms;

 

(iv)          that,
unless the Company defaults in the payment of the purchase price, any Note
accepted for payment pursuant to the Offer to Purchase shall cease to accrue
interest on and after the Payment Date;

 

(v)           that
Holders electing to have a Note purchased pursuant to the Offer to Purchase
will be required to surrender the Note, together with the form entitled “Option
of the Holder to Elect Purchase” on the reverse side of the Note completed, to
the Paying Agent at the address specified in the notice prior to the close of
business on the Business Day immediately preceding the Payment Date;

 

(vi)          that
Holders will be entitled to withdraw their election if the Paying Agent
receives, not later than the close of business on the third Business Day
immediately preceding the Payment Date, a telegram, facsimile transmission or
letter setting forth the name of such Holder, the principal amount of Notes
delivered for purchase and a statement that such Holder is withdrawing his
election to have such Notes purchased; and

 

(vii)         that
Holders whose Notes are being purchased only in part will be issued new Notes
equal in principal amount to the unpurchased portion of the Notes surrendered; provided that each Note purchased and each
new Note issued shall be in a principal amount of $2,000 or integral multiples
of $1,000 in excess thereof.

 

On
the Payment Date, the Company shall (a) accept for payment on a pro rata
basis (with such adjustments as needed so that no Notes purchased in part shall
be in an unauthorized denomination) Notes or portions thereof tendered pursuant
to an Offer to Purchase; (b) deposit 

 

10

 

with
the Paying Agent money sufficient to pay the purchase price of all Notes or
portions thereof so accepted; and (c) deliver, or cause to be delivered,
to the Trustee all Notes or portions thereof so accepted together with an
Officers’ Certificate specifying the Notes or portions thereof accepted for
payment by the Company.  The Paying Agent
shall promptly mail to the Holders of Notes so accepted payment in an amount
equal to the purchase price, and the Trustee shall promptly authenticate and
mail to such Holders a new Note equal in principal amount to any unpurchased
portion of the Note surrendered; provided
that each Note purchased and each new Note issued shall be in a principal
amount of $2,000 or integral multiples of $1,000 in excess thereof.  The Company will publicly announce the
results of an Offer to Purchase as soon as practicable after the Payment
Date.  The Trustee shall act as the
Paying Agent for an Offer to Purchase. 
The Company will comply with Rule 14e-1 under the Exchange Act and
any other securities laws and regulations thereunder to the extent such laws
and regulations are applicable, in the event that the Company is required to
repurchase Notes pursuant to an Offer to Purchase.

 

“Officer”
means, with respect to the Company, (i) the Chairman of the Board, any
Vice Chairman of the Board, the Chief Executive Officer, the President, any
Vice President or the Chief Financial Officer, and (ii) the Treasurer or
any Assistant Treasurer, or the Secretary or any Assistant Secretary.

 

“Officers’
Certificate” means a certificate signed by two officers of the Company or a
Subsidiary Guarantor, as applicable, one of whom must be the principal
executive officer, the principal financial officer or the principal accounting
officer of the Company or such Subsidiary Guarantor, as applicable. Each
Officers’ Certificate (other than certificates provided pursuant to TIA
Section 314(a)(4)) shall include the statements provided for in TIA Section 314(e).

 

“Offshore
Global Note” has the meaning provided in Section 2.01.

 

“Offshore
Physical Notes” has the meaning provided in Section 2.01.

 

“Opinion
of Counsel” means a written opinion signed by legal counsel reasonably
acceptable to the Trustee, who may be an employee of or counsel to the Company,
that meets the requirements of Section 11.04.  Each such Opinion of Counsel shall include
the statements provided for in TIA Section 314(e).

 

“Paying
Agent” has the meaning provided in Section 2.04, except that, for the
purposes of Article Eight, the Paying Agent shall not be the Company or a
Subsidiary of the Company or an Affiliate of any of them.  The term “Paying Agent” includes its
successors and assigns and any additional Paying Agent.

 

“Paying
Agent Office” means the designated office of the Trustee at which the
corporate trust paying agent office of the Trustee shall, at any particular
time, be administered, which office is, at the date of this Indenture, located
at Hearst Tower - 214 N. Tryon Street, 27th Floor, Charlotte, NC 28202;
Attention: Katherine A. Esber, CCTS, Vice President & Account Manager.

 

“Payment
Date” has the meaning provided in the definition of Offer to Purchase.

 

11

 

“Permitted
Mortgages” means  (1) Mortgages
imposed by law for taxes that are not yet due or are being contested in good
faith and for which adequate reserves are being maintained, to the extent
required by GAAP; (2) carriers’, warehousemen’s, mechanics’, materialmen’s,
repairmen’s and other like Mortgages imposed by law, arising in the ordinary
course of business and securing obligations that are not overdue by more than
90 days or are being contested in good faith and for which adequate reserves
are being maintained, to the extent required by GAAP; (3) pledges and
deposits made in the ordinary course of business in compliance with workers’
compensation, unemployment insurance and other social security laws or
regulations; (4) deposits to secure the performance of bids, trade
contracts, leases, statutory obligations, surety, indemnity, release and appeal
bonds, performance or warranty bonds and other obligations of a like nature,
and guarantees or reimbursement or related obligations thereof, in each case in
the ordinary course of business; (5) deposits securing liabilities to
insurance carriers under insurance or self-insurance arrangements; (6) judgment
(including pre-judgment attachment) Mortgages not giving rise to an Event of
Default; (7) banker’s Mortgages, rights of set-off or similar rights and
remedies as to deposit accounts or other funds maintained with a depositary
institution; provided that (a) such
deposit account is not a dedicated cash collateral account and is not subject
to restrictions against access by the Company or any Subsidiary in excess of
those set forth by regulations promulgated by any applicable governmental
authority and (b) such deposit account is not intended by the Company or
any Subsidiary to provide collateral to the depositary institution; (8) Mortgages
arising from UCC financing statement filings regarding operating leases or
consignments entered into by the Company and any Subsidiary in the ordinary
course of business; (9) customary restrictions imposed on the transfer of
copyrighted or patented materials or other intellectual property and customary
provisions in agreements that restrict the assignment of such agreements or any
rights thereunder; (10) easements, leases, subleases, ground leases,
zoning restrictions, building codes, rights-of-way, minor defects or
irregularities in title and similar encumbrances on real property imposed by
law or arising in the ordinary course of business that do not secure any
monetary obligations and do not materially detract from the value of the
affected property or interfere with the ordinary conduct of business of the
Company or any Subsidiary; (11) Mortgages existing on the date of this
Indenture or any extension, renewal, replacement or refunding, in whole or in
part, of any Indebtedness secured by a Mortgage existing on that date of this
Indenture or referred to in the foregoing clauses or Mortgages created in
connection with any amendment, consent or waiver relating to such Indebtedness;
provided that any such extension, renewal, replacement or refunding of such
Indebtedness shall be created within 360 days or repaying the Indebtedness
secured by the Mortgage referred to in the foregoing clauses and the principal
amount of the Indebtedness secured thereby and not otherwise authorized by the
foregoing clauses shall not exceed the principal amount of Indebtedness, plus
any premium or fee payable in connection with any such extension, renewal,
replacement or refunding so secured at the time of such extension, renewal,
replacement or refunding; and (12) customary unperfected Mortgages incurred in
the ordinary course of business that secure current trade payables incurred in
the ordinary course of business and payable in accordance with customary
practices; provided that such Mortgages encumber
only the assets related to such current trade payables. For the avoidance of
doubt, the enumeration of items in this Permitted Mortgages definition does not
mean that the items secured by Permitted Mortgages are Funded Debt or
Indebtedness.

 

“Person”
means any individual, corporation, partnership, joint venture, trust,
unincorporated organization or government or any agency or political
subdivision thereof.

 

12

 

“Physical
Notes” has the meaning provided in Section 2.01.

 

“principal”
of a debt security, including the Notes, means the principal amount due on the
Stated Maturity as shown on such debt security.

 

“Private
Placement Legend” means the legend initially set forth as the first legend
on the Notes in the form set forth in Section 2.02.

 

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

 

“Rating
Agencies” means (1) S&P and Moody’s or (2) if S&P or
Moody’s or both of them are not making ratings publicly available, a nationally
recognized U.S. rating agency or agencies, as the case may be, selected by the
Company, which will be substituted for S&P or Moody’s or both, as the case
may be.

 

“Rating
Category” means (1) with respect to S&P, any of the following
categories (any of which may include a “+” or “-”: AAA, AA, A, BBB, BB, B, CCC,
CC, C and D (or equivalent successor categories), (2) with respect to
Moody’s, any of the following categories: 
Aaa, Aa, A, Baa, Ba, B, Caa, Ca, C and D (or equivalent successor
categories) and (3) the equivalent of any such categories of S&P or
Moody’s used by another Rating Agency, if applicable.

 

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

 

“Redemption
Price” means, when used with respect to any Note to be redeemed, the price
at which such Note is to be redeemed pursuant to this Indenture.

 

“Registrar”
has the meaning provided in Section 2.04.

 

“Registration
Rights Agreement” means that certain registration rights agreement, dated
as of the date of this Indenture, by and among the Company, the Initial
Subsidiary Guarantors and the initial purchasers set forth therein.

 

“Registration
Statement” has the meaning provided in the Registration Rights Agreement.

 

“Regular
Record Date” for the interest payable on any Interest Payment Date means
the February 15 or August 15 (whether or not a Business Day), as the
case may be, next preceding such Interest Payment Date.

 

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

 

“Responsible
Officer,” when used with respect to the Trustee, means any officer of the
Trustee in its Corporate Trust Office, including any vice president, assistant
vice president, assistant treasurer, assistant secretary, trust officer or any
other officer of the Trustee who customarily performs functions similar to
those performed by the Persons who at the time shall be such officers,
respectively, with direct responsibility for the administration of this
Indenture

 

13

 

and
also means, with respect to a particular corporate trust matter, any other
officer to whom such matter is referred because of his or her knowledge of and
familiarity with the particular subject.

 

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

 

“Sale
and Leaseback Transaction” means any arrangement with any Person providing
for the leasing to the Company or any Subsidiary of the Company of any property
or assets, which property or assets has been or is to be sold or transferred by
the Company or any Subsidiary of the Company to such Person.

 

“Securities
Act” means the Securities Act of 1933, as amended.

 

“Security
Register” has the meaning provided in Section 2.04.

 

“Shelf
Registration Statement” has the meaning provided in the Registration Rights
Agreement.

 

“Significant
Subsidiary” means, at any date of determination, any Subsidiary that would
constitute a “significant subsidiary” within the meaning of Article 1 of
Regulation S-X of the Securities Act as in effect on the Closing Date; provided that all references to 10% in the definition of “significant
subsidiary” in Article 1 of Regulation S-X of the Securities Act shall be
deemed to be 5.0%.

 

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

 

“Subsidiary”
means any corporation of which at least a majority of the outstanding stock
having by the terms thereof ordinary voting power for the election of directors
of such corporation (irrespective of whether or not at the time 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 by the Company, or by one or more other Subsidiaries of the
Company, or by the Company and one or more other Subsidiaries of the Company.

 

“Subsidiary Guarantor” means any Initial Subsidiary Guarantor
and any other Subsidiary of the Company which provides a Note Guarantee of the
Company’s obligations under this Indenture and the Notes, until such Note
Guarantee is released in accordance with the terms of this Indenture.

 

“S&P”
means Standard & Poor’s, a division of The McGraw-Hill Companies or
its successors.

 

“TIA” or “Trust Indenture Act” means the Trust Indenture
Act of 1939 (15 U.S. Code §§ 77aaa-77bbbb), as in effect on the date this
Indenture was executed, except as provided in Section 9.06.

 

14

 

“Treasury Rate” means, with respect to a Redemption Date, the
yield to maturity at the time of computation of United States Treasury
securities with a constant maturity (as compiled and published in the most recent
Federal Reserve Statistical Release H. 15(5 19) that has become publicly
available at least two Business Days prior to such Redemption Date (or, if such
Statistical Release is no longer published, any publicly available source of
similar market data)) most nearly equal to the period from such Redemption Date
to September 1, 2017; provided, however, that if the period from the Redemption Date to such
date is not equal to the constant maturity of a United States Treasury security
for which a weekly average yield is given, the Treasury Rate shall be obtained
by linear interpolation (calculated to the nearest one-twelfth of a year) from
the weekly average yields of United States Treasury securities for which such
yields are given, except that if the period from the Redemption Date to such
date is less than one year, the weekly average yield on actually traded United
States Treasury securities adjusted to a constant maturity of one year shall be
used.

 

“Trustee”
means the party named as such in the first paragraph of this Indenture until a
successor replaces it in accordance with the provisions of Article Seven
of this Indenture and thereafter means such successor.

 

“United
States Bankruptcy Code” means the Bankruptcy Reform Act of 1978, as amended
and as codified in Title 11 of the United States Code, as amended from time to
time hereafter, or any successor federal bankruptcy law.

 

“U.S.
Global Notes” has the meaning provided in Section 2.01.

 

“U.S.
Government Obligations” means securities that are (1) direct obligations
of the United States of America for the payment of which its full faith and
credit is pledged or (2) obligations of a Person controlled or supervised
by and acting as an agency or instrumentality of the United States of America
the payment of which is unconditionally guaranteed as a full faith and credit
obligation by the United States of America, which, in either case, are not
callable or redeemable at the option of the issuer thereof at any time prior to
the Stated Maturity of the Notes, and shall also include a depository receipt
issued by a bank or trust company as custodian with respect to any such U.S.
Government Obligation or a specific payment of interest on or principal of any
such U.S. Government Obligation held by such custodian for the account of the
holder of a depository receipt; provided
that (except as required by law) such custodian is not authorized to make any
deduction from the amount payable to the holder of such depository receipt from
any amount received by the custodian in respect of the U.S. Government
Obligation or the specific payment of interest on or principal of the U.S.
Government Obligation evidenced by such depository receipt.

 

“U.S.
Physical Notes” has the meaning provided in Section 2.01.

 

“Voting
Stock” means with respect to any Person, Capital Stock of any class or kind
ordinarily having the power to vote for the election of directors, managers or
other voting members of the governing body of such Person.

 

SECTION 1.02.                 Incorporation by Reference of Trust Indenture
Act.  Whenever this Indenture refers
to a provision of the TIA, the provision is incorporated by 

 

15

 

reference in and made a part of this Indenture.  The following TIA terms used in this
Indenture have the following meanings:

 

“indenture
securities” means the Notes;

 

“indenture
security holder” means a Holder or a Noteholder;

 

“indenture
to be qualified” means this Indenture;

 

“indenture
trustee” or “institutional trustee” means the Trustee; and

 

“obligor”
on the indenture securities means the Company or any other obligor on the
Notes.

 

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

 

SECTION 1.03.                 Rules of Construction.  Unless the
context otherwise requires:

 

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

 

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

 

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

 

(iv)                              all references to “including “ shall have the meaning of “including
without limitation”;

 

(v)                                 all ratios and computations based on GAAP contained in this Indenture
shall be computed in accordance with the definition of GAAP set forth in Section 1.01;
and

 

(vi)                              all references to Sections or Articles refer to Sections or Articles of
this Indenture unless otherwise indicated.

 

ARTICLE TWO

THE NOTES

 

SECTION 2.01.                 Form and Dating.  The
Notes and the Trustee’s certificate of authentication shall be substantially in
the form annexed hereto as Exhibit A with such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by
this Indenture.  The Notes may have
notations, legends or endorsements required by law, stock exchange agreements
to which the Company or any Subsidiary Guarantor is subject or 

 

16

 

usage.
The Company shall approve the form of the Notes and any notation, legend or
endorsement on the Notes.  Each Note
shall be dated the date of its authentication.

 

The
terms and provisions contained in the form of the Notes annexed hereto as Exhibit A
shall constitute, and are hereby expressly made, a part of this Indenture.  To the extent applicable, the Company, each
Subsidiary Guarantor and the Trustee, by their execution and delivery of this
Indenture, expressly agree to such terms and provisions and to be bound
thereby.

 

Notes
offered and sold in reliance on Rule 144A shall be issued initially in the
form of one or more permanent Global Notes in registered form in substantially
the form set forth in Exhibit A (the “U.S. Global Notes”),
registered in the name of the nominee of the Depositary, deposited with the
Trustee, as custodian for the Depositary, duly executed by the Company and
authenticated by the Trustee as hereinafter provided.  The aggregate principal amount of the U.S.
Global Notes may from time to time be increased or decreased by adjustments
made on the records of the Trustee, as custodian for the Depositary or its
nominee, in accordance with the instructions given by the Holder thereof, as
hereinafter provided.

 

Notes
offered and sold in offshore transactions in reliance on Regulation S shall be
issued initially in the form of one or more temporary Global Notes in
registered form in substantially the form set forth in Exhibit A (the “Offshore
Global Notes”), registered in the name of the nominee of the Depositary,
deposited with the Trustee, as custodian for the Depositary, duly executed by
the Company and authenticated by the Trustee as hereinafter provided.  The aggregate principal amount of the Offshore
Global Notes may from time to time be increased or decreased by adjustments
made on the records of the Trustee, as custodian for the Depositary or its
nominee, in accordance with the instructions given by the Holder thereof, as
hereinafter provided.

 

Notes
transferred to Institutional Accredited Investors pursuant to Section 2.08(a) of
this Indenture shall be issued in the form of permanent certificated Notes in
registered form in substantially the form set forth in Exhibit A (the “U.S.
Physical Notes”).  Notes issued
pursuant to Section 2.07 in exchange for interests in the Offshore Global
Notes shall be in the form of permanent certificated Notes in registered form
substantially in the form set forth in Exhibit A (the “Offshore
Physical Notes”).

 

The
Offshore Physical Notes and U.S. Physical Notes are sometimes collectively
herein referred to as the “Physical Notes.”  The U.S. Global Notes and the Offshore Global
Notes are sometimes referred to herein as the “Global Notes.”

 

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

 

SECTION 2.02.                 Restrictive Legends. 
Unless and until a Note is exchanged for an Exchange Note or sold in
connection with an effective Registration Statement pursuant to the
Registration Rights Agreement, (i) each U.S. Global Note and each U.S.
Physical Note shall bear the legend set forth below on the face thereof and (ii) each
Offshore Physical Note and each 

 

17

 

Offshore
Global Note shall bear the legend set forth below on the face thereof until at
least the 41st day after the Closing Date and receipt by the Company and the
Trustee of a certificate substantially in the form of Exhibit B hereto.

 

THIS SECURITY HAS NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION.  NEITHER THIS SECURITY NOR ANY INTEREST OR
PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED,
PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH
REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO, SUCH
REGISTRATION.  THE HOLDER OF THIS
SECURITY, BY ITS ACCEPTANCE HEREOF, AGREES ON ITS OWN BEHALF AND ON BEHALF OF
ANY INVESTOR ACCOUNT FOR WHICH IT HAS PURCHASED SECURITIES, TO OFFER, SELL OR
OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE RESTRICTION
TERMINATION DATE”) THAT IS [IN THE CASE OF RULE 144A NOTES:  ONE YEAR] [IN THE CASE OF REGULATION S
NOTES:  40 DAYS] AFTER THE LATER OF THE
ORIGINAL ISSUE DATE HEREOF AND THE LAST DATE ON WHICH THE ISSUER OR ANY
AFFILIATE OF THE ISSUER WAS THE OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF
SUCH SECURITY), ONLY (A) TO THE ISSUER OR ANY SUBSIDIARY THEREOF, (B) PURSUANT
TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE
SECURITIES ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE
PURSUANT TO RULE 144A UNDER THE SECURITIES ACT, TO A PERSON IT REASONABLY
BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE
SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS
BEING MADE IN RELIANCE ON RULE 144A IN A TRANSACTION MEETING THE REQUIREMENTS
OF RULE 144A, (D) PURSUANT TO OFFERS AND SALES TO A “NON-U.S. PERSON” AS
DEFINED IN REGULATION S UNDER THE SECURITIES ACT THAT OCCUR OUTSIDE THE UNITED
STATES WITHIN THE MEANING OF, AND IN COMPLIANCE WITH, REGULATION S UNDER THE
SECURITIES ACT, OR (E) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE ISSUER’S AND
THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO
CLAUSES (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL,
CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM.  THIS LEGEND WILL BE REMOVED UPON THE REQUEST
OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION DATE.

 

THE HOLDER OF THIS SECURITY
WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS SECURITY
FROM IT OF THE RESALE RESTRICTIONS REFERRED TO ABOVE.

 

18

 

Each
Global Note, whether or not an Exchange Note, shall also bear the following
legend on the face thereof:

 

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

 

TRANSFERS
OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF CEDE & CO. OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S
NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED TO
TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN SECTION 2.08
OF THE INDENTURE.

 

SECTION 2.03.                 Execution, Authentication and Denominations. 
Subject to Article Four and applicable law, the aggregate principal
amount of Notes which may be authenticated and delivered under this Indenture
is unlimited.  The Notes shall be
executed by two Officers of the Company. 
The signature of these Officers on the Notes may be by facsimile or
manual signature in the name and on behalf of the Company.

 

If
an Officer whose signature is on a Note no longer holds that office at the time
the Trustee or authenticating agent authenticates the Note, the Note shall be
valid nevertheless.

 

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

 

At
any time and from time to time after the execution of this Indenture, the
Trustee or an authenticating agent shall upon receipt of a Company Order
authenticate for original issue Notes in the aggregate principal amount
specified in such Company Order; provided
that the Trustee shall be entitled to receive an Officers’ Certificate and an
Opinion of Counsel of the Company in connection with such authentication of
Notes.  Such Company Order shall specify
the amount of Notes to be authenticated and the date on which the original
issue of Notes is to be authenticated and, in case of an issuance of Notes
pursuant to Section 2.15, shall certify that such issuance is in
compliance with Article Four.

 

19

 

The
Trustee may appoint an authenticating agent to authenticate Notes.  An authenticating agent may authenticate
Notes whenever the Trustee may do so. 
Each reference in this Indenture to authentication by the Trustee
includes authentication by such authenticating agent.  An authenticating agent has the same rights
as an Agent to deal with the Company or any Subsidiary Guarantor or an
Affiliate of the Company or any Subsidiary Guarantor.

 

The
Notes shall be issuable only in registered form without coupons and only in
denominations of $2,000 in principal amount and multiples of $1,000 in excess
thereof.

 

SECTION 2.04.                 Registrar and Paying Agent.  The
Company shall maintain an office or agency where Notes may be presented for
registration of transfer or for exchange (the “Registrar”), an office or
agency where Notes may be presented for payment (the “Paying Agent”) and
an office or agency where notices and demands to or upon the Company in respect
of the Notes and this Indenture may be served. 
The Company shall cause the Registrar to keep a register of the Notes
and of their transfer and exchange (the “Security Register”).  The Security Register shall be in written
form or any other form capable of being converted into written form within a
reasonable time.  The Company may have
one or more co-Registrars and one or more additional Paying Agents.

 

The
Company shall enter into an appropriate agency agreement with any Agent not a
party to this Indenture.  The agreement
shall implement the provisions of this Indenture that relate to such
Agent.  The Company shall give prompt
written notice to the Trustee of the name and address of any such Agent and any
change in the address of such Agent.  If
the Company fails to maintain a Registrar, Paying Agent and/or agent for
service of notices and demands, the Company shall appoint the Trustee to act
as, and the Trustee shall act as, such Registrar, Paying Agent and/or agent for
service of notices and demands.  The
Company may remove any Agent upon written notice to such Agent and the Trustee;
provided that no such removal
shall become effective until (i) the acceptance of an appointment by a
successor Agent to such Agent as evidenced by an appropriate agency agreement
entered into by the Company and such successor Agent and delivered to the
Trustee or (ii) notification to the Trustee that the Trustee shall serve
as such Agent until the appointment of a successor Agent in accordance with
clause (i) of this proviso.  The
Company, any Subsidiary of the Company, or any Affiliate of any of them may act
as Paying Agent, Registrar or co-Registrar, and/or agent for service of notice
and demands.

 

The
Company hereby initially appoints the Trustee as Registrar, Paying Agent,
authenticating agent and agent for service of notice and demands.  The Trustee shall preserve in as current a
form as is reasonably practicable the most recent list available to it of the
names and addresses of Holders and shall otherwise comply with
TIA § 312(a).  If the Trustee
is not the Registrar, the Company shall furnish to the Trustee as of each
Regular Record Date and at such other times as the Trustee may reasonably
request the names and addresses of Holders as they appear in the Security
Register, including the aggregate principal amount of Notes held by each
Holder.

 

SECTION 2.05.                 Paying Agent to Hold Money in Trust.  Not
later than 11:00 a.m. (New York City time) on each due date of the
principal, premium, if any, and interest on any Notes, the Company shall
deposit with the Paying Agent money in immediately available funds sufficient
to pay such principal, premium, if any, and interest so becoming due.  The 

 

20

 

Company
shall require each Paying Agent other than the Trustee to agree in writing that
such Paying Agent shall hold in trust for the benefit of the Holders or the
Trustee all money held by the Paying Agent for the payment of principal of,
premium, if any, and interest on the Notes (whether such money has been paid to
it by the Company or any other obligor on the Notes), and such Paying Agent
shall promptly notify the Trustee of any default by the Company (or any other
obligor on the Notes) in making any such payment.  The Company at any time may require a Paying
Agent to pay all money held by it to the Trustee and account for any funds
disbursed, and the Trustee may at any time during the continuance of any
payment default, upon written request to a Paying Agent, require such Paying
Agent to pay all money held by it to the Trustee and to account for any funds
disbursed.  Upon doing so, the Paying
Agent shall have no further liability for the money so paid over to the
Trustee.  If the Company or any
Subsidiary of the Company or any Affiliate of any of them acts as Paying Agent,
it will, on or before each due date of any principal of, premium, if any, or
interest on the Notes, segregate and hold in a separate trust fund for the
benefit of the Holders a sum of money sufficient to pay such principal,
premium, if any, or interest so becoming due until such sum of money shall be
paid to such Holders or otherwise disposed of as provided in this Indenture,
and will promptly notify the Trustee of its action or failure to act.

 

SECTION 2.06.                 Transfer and Exchange.  The
Notes are issuable only in registered form. 
A Holder may transfer a Note only by written application to the
Registrar stating the name of the proposed transferee and otherwise complying
with the terms of this Indenture.  No
such transfer shall be effected until, and such transferee shall succeed to the
rights of a Holder only upon, final acceptance and registration of the transfer
by the Registrar in the Security Register. 
Prior to the registration of any transfer by a Holder as provided
herein, the Company, the Trustee, and any agent of the Company shall treat the
person in whose name the Note is registered as the owner thereof for all
purposes whether or not the Note shall be overdue, and neither the Company, the
Trustee, nor any such agent shall be affected by notice to the contrary.  Furthermore, any Holder of a Global Note
shall, by acceptance of such Global Note, agree that transfers of beneficial
interests in such Global Note may be effected only through a book entry system
maintained by the Holder of such Global Note (or its agent) and that ownership
of a beneficial interest in the Note shall be required to be reflected in a
book entry.  When Notes are presented to
the Registrar or a co-Registrar with a request to register the transfer or to
exchange them for an equal principal amount of Notes of other authorized
denominations (including an exchange of Notes for Exchange Notes), the
Registrar shall register the transfer or make the exchange as requested if its
requirements for such transactions are met (including that such Notes are duly
endorsed or accompanied by a written instrument of transfer in form
satisfactory to the Trustee and Registrar duly executed by the Holder thereof
or by an attorney who is authorized in writing to act on behalf of the Holder);
provided that no exchanges of
Notes for Exchange Notes shall occur until a Registration Statement shall have
been declared effective by the Commission, the Trustee shall have received
notice of such effectiveness by the Company and provided further that any Notes
that are exchanged for Exchange Notes shall be cancelled by the Trustee.  To permit registrations of transfers and
exchanges, the Company shall execute and the Trustee shall authenticate Notes
at the Registrar’s request.  No service
charge shall be made for any registration of transfer or exchange or redemption
of the Notes, but the Company may require payment of a sum sufficient to cover
any transfer tax or similar governmental charge payable in connection therewith
(other than any such transfer taxes or other similar governmental charge
payable upon exchanges pursuant to Section 2.11, 3.08 or 9.04).

 

21

 

The
Registrar shall not be required (i) to issue, register the transfer of or
exchange any Note during a period beginning at the opening of business 15 days
before the day of the mailing of a notice of redemption of Notes selected for
redemption under Section 3.03 and ending at the close of business on the
day of such mailing, or (ii) to register the transfer of or exchange any
Note so selected for redemption in whole or in part, except the unredeemed
portion of any Note being redeemed in part.

 

SECTION 2.07.                 Book-Entry Provisions for Global Notes.  The
U.S. Global Notes and Offshore Global Notes initially shall (i) be
registered in the name of the Depositary for such Global Notes or the nominee
of such Depositary, (ii) be delivered to the Trustee as custodian for such
Depositary and (iii) bear legends as set forth in Section 2.02.

 

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

 

(b)                                 Transfers of a Global Note shall be limited to transfers of such Global
Note in whole, but not in part, to the Depositary, its successors or their
respective nominees. Interests of beneficial owners in Global Notes may be
transferred in accordance with the rules and procedures of the Depositary
and the provisions of Section 2.08. 
In addition, U.S. Physical Notes and Offshore Physical Notes shall be
transferred to all beneficial owners in exchange for their beneficial interests
in the U.S. Global Notes or the Offshore Global Notes, as the case may be, if (i) the
Depositary notifies the Company that it is unwilling or unable to continue as
Depositary for the U.S. Global Notes or the Offshore Global Notes, as the case
may be, and a successor depositary is not appointed by the Company within 90
days of such notice, (ii) an Event of Default has occurred and is
continuing and the Registrar has received a written request from the Depositary
or (iii) in accordance with the rules and procedures of the
Depositary and the provisions of Section 2.08.

 

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

 

(d)                                 In connection with any transfer of a portion of the beneficial interests
in a Global Note to beneficial owners pursuant to paragraph (b) of this Section 2.07,
the Registrar shall reflect on its books and records the date and a decrease in
the principal 

 

22

 

amount
of the Global Note in an amount equal to the principal amount of the beneficial
interest in the Global Note to be transferred, and the Company shall execute,
and the Trustee shall authenticate and deliver, one or more U.S. Physical Notes
or Offshore Physical Notes, as the case may be, of like tenor and amount.

 

(e)                                  In connection with the transfer of the U.S. Global Notes or the Offshore
Global Notes, in whole, to beneficial owners pursuant to paragraph (b) of
this Section 2.07, the U.S. Global Notes or Offshore Global Notes, as the
case may be, shall be deemed to be surrendered to the Trustee for cancellation,
and the Company shall execute, and the Trustee shall authenticate and deliver,
to each beneficial owner identified by the Depositary in exchange for its
beneficial interest in the U.S. Global Notes or Offshore Global Notes, as the
case may be, an equal aggregate principal amount of U.S. Physical Notes or
Offshore Physical Notes, as the case may be, of authorized denominations.

 

(f)                                    Any U.S. Physical Note delivered in exchange for an interest in the U.S.
Global Notes pursuant to paragraph (b), (d) or (e) of this Section 2.07
shall, except as otherwise provided by paragraph (f) of Section 2.08,
bear the legend regarding transfer restrictions applicable to the U.S. Physical
Note set forth in Section 2.02.

 

(g)                                 Any Offshore Physical Note delivered in exchange for an interest in the
Offshore Global Notes pursuant to paragraph (b), (d) or (e) of this Section 2.07
shall, except as otherwise provided by paragraph (f) of Section 2.08,
bear the legend regarding transfer restrictions applicable to the Offshore
Physical Note set forth in Section 2.02.

 

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

 

SECTION 2.08.                 Special Transfer Provisions.  Unless
and until a Note is exchanged for an Exchange Note or sold in connection with
an effective Shelf Registration Statement pursuant to the Registration Rights
Agreement, the following provisions shall apply:

 

(a)                                  Transfers to Non-QIB Institutional Accredited Investors.  The following provisions shall
apply with respect to the registration of any proposed transfer of a Note to
any Institutional Accredited Investor which is not a QIB (excluding Non-U.S.
Persons):

 

(i)                                     The Registrar shall register the transfer of any Note, whether or not
such Note bears the Private Placement Legend, if (x) the requested
transfer is after the time period referred to in Rule 144(d) under
the Securities Act or (y) the proposed transferee has delivered to the
Registrar (A) a certificate substantially in the form of Exhibit C
hereto and (B) if the aggregate principal amount of the Notes being
transferred is less than $100,000, an opinion of counsel acceptable to the
Company that such transfer is in compliance with the Securities Act.

 

(ii)                                  If the proposed transferor is an Agent Member holding a beneficial
interest in the U.S. Global Notes, upon receipt by the Registrar of (x) the

 

23

 

documents,
if any, required by paragraph (i) above and (y) instructions given in
accordance with the Depositary’s and the Registrar’s procedures, the Registrar
shall reflect on its books and records the date and a decrease in the principal
amount of the U.S. Global Notes in an amount equal to the principal amount of
the beneficial interest in the U.S. Global Notes to be transferred, and the
Company shall execute, and the Trustee shall authenticate and deliver, one or
more U.S. Physical Notes of like tenor and amount.

 

(b)                                 Transfers to QIBs.  The following provisions shall apply with
respect to the registration of any proposed transfer of U.S. Physical Notes or
an interest in U.S. Global Notes to a QIB (excluding Non-U.S. Persons):

 

(i)                                     If the Note to be transferred consists of (x) either Offshore
Physical Notes prior to the removal of the Private Placement Legend or U.S.
Physical Notes, the Registrar shall register the transfer if such transfer is
being made by a proposed transferor who has checked the box provided for on the
form of Note stating, or has otherwise advised the Company and the Registrar in
writing, that the sale has been made in compliance with the provisions of Rule 144A
to a transferee who has signed the certification provided for on the form of
Note stating, or has otherwise advised the Company and the Registrar in
writing, that it is purchasing the Note for its own account or an account with
respect to which it exercises sole investment discretion and that it and any
such account is a QIB within the meaning of Rule 144A and is aware that
the sale to it is being made in reliance on Rule 144A and acknowledges
that it has received such information regarding the Company as it has requested
pursuant to Rule 144A or has determined not to request such information
and that it is aware that the transferor is relying upon its foregoing
representations in order to claim the exemption from registration provided by Rule 144A
or (y) an interest in the U.S. Global Notes, the transfer of such interest
may be effected only through the book entry system maintained by the
Depositary.

 

(ii)                                  If the proposed transferee is an Agent Member, and the Note to be
transferred consists of U.S. Physical Notes, upon receipt by the Registrar of
the documents referred to in paragraph (i) above and instructions given in
accordance with the Depositary’s and the Registrar’s procedures, the Registrar
shall reflect on its books and records the date and an increase in the
principal amount of U.S. Global Notes in an amount equal to the principal
amount of the U.S. Physical Notes to be transferred, and the Trustee shall
cancel the U.S. Physical Notes so transferred.

 

(c)                                  Transfers of Interests in the Offshore Global Notes or Offshore Physical
Notes.  The
following provisions shall apply with respect to any transfer of interests in
the Offshore Global Notes or Offshore Physical Notes:

 

(i)                                     Prior to the removal of the Private Placement Legend from an Offshore
Global Note or Offshore Physical Note pursuant to Section 2.02, the 

 

24

 

Registrar
shall refuse to register such transfer unless such transfer complies with Section 2.08(b) or
Section 2.08(d), as the case may be; and

 

(ii)                                  After such
removal, the Registrar shall register the transfer of any such Note without
requiring additional certification.

 

(d)                                 Transfers to Non-U.S. Persons at Any Time.  The following provisions shall apply with
respect to any transfer of a Note to a Non-U.S. Person:

 

(i)                                     The Registrar shall register any proposed transfer to any Non-U.S. Person
if the Note to be transferred is a U.S. Physical Note or an interest in U.S.
Global Notes, upon receipt of a certificate substantially in the form of
Exhibit D hereto from the proposed transferor.

 

(ii)                                  (a) If the proposed transferor is an Agent Member holding a
beneficial interest in the U.S. Global Notes, upon receipt by the Registrar of (x) the
documents, if any, required by paragraph (i) and (y) instructions in
accordance with the Depositary’s and the Registrar’s procedures, the Registrar
shall reflect on its books and records the date and a decrease in the principal
amount  of the U.S. Global Notes in an
amount equal to the principal amount of the beneficial interest in the U.S.
Global Notes to be transferred, and (b) if the proposed transferee is an
Agent Member, upon receipt by the Registrar of instructions given in accordance
with the Depositary’s and the Registrar’s procedures, the Registrar shall
reflect on its books and records the date and an increase in the principal
amount of the Offshore Global Notes in an amount equal to the principal amount
of the U.S. Physical Notes or the U.S. Global Notes, as the case may be, to be
transferred, and the Trustee shall cancel the Physical Note, if any, so
transferred or decrease the amount of the U.S. Global Notes.

 

(e)                                  Private Placement Legend.  Upon the transfer, exchange or replacement of
Notes not bearing the Private Placement Legend, the Registrar shall deliver
Notes that do not bear the Private Placement Legend. Upon the transfer,
exchange or replacement of Notes bearing the Private Placement Legend, the
Registrar shall deliver only Notes that bear the Private Placement Legend
unless (i) the Private Placement Legend is no longer required by Section 2.02,
(ii) the circumstances contemplated by paragraph (a)(i)(x) of this Section 2.08
exist or (iii) there is delivered to the Registrar an Opinion of Counsel
reasonably satisfactory to the Company and the Trustee to the effect that
neither such legend nor the related restrictions on transfer are required in
order to maintain compliance with the provisions of the Securities Act.

 

(f)                                    General.  By its acceptance of any Note bearing the
Private Placement Legend, each Holder of such a Note acknowledges the
restrictions on transfer of such Note set forth in this Indenture and in the
Private Placement Legend and agrees that it will transfer such Note only as
provided in this Indenture. The Registrar shall not register a transfer of any
Note unless such transfer complies with the restrictions on transfer of such
Note set forth in this Indenture. In connection with any transfer of Notes,
each Holder agrees by its acceptance of the Notes to furnish the Registrar or
the Company 

 

25

 

such
certifications, legal opinions or other information as either of them may
reasonably require to confirm that such transfer is being made pursuant to an
exemption from, or a transaction not subject to, the registration requirements
of the Securities Act; provided that
the Registrar shall not be required to determine (but may rely on a
determination made by the Company with respect to) the sufficiency of any such
certifications, legal opinions or other information.

 

The
Registrar shall retain copies of all letters, notices and other written
communications received pursuant to Section 2.07 or this Section 2.08.
The Company, at its sole cost and expense, shall have the right to inspect and
make copies of all such letters, notices or other written communications at any
reasonable time upon the giving of reasonable written notice to the Registrar.

 

SECTION 2.09.                 Replacement Notes.  If a
mutilated Note is surrendered to the Trustee or if the Holder claims that the
Note has been lost, destroyed or wrongfully taken, then, in the absence of
written notice to the Company or the Trustee that such Note has been acquired
by a protected purchaser, the Company shall issue and the Trustee shall
authenticate a replacement Note of like tenor and principal amount and bearing
a number not contemporaneously outstanding; provided
that the requirements of this Section 2.09 are met.  If required by the Trustee or the Company, an
indemnity bond must be furnished that is sufficient in the judgment of both the
Trustee and the Company to protect the Company, the Trustee or any Agent from
any loss that any of them may suffer if a Note is replaced.  The Company may charge such Holder for its
expenses and the expenses of the Trustee in replacing a Note.  In case any such mutilated, lost, destroyed
or wrongfully taken Note has become or is about to become due and payable, the
Company in its discretion may pay such Note instead of issuing a new Note in
replacement thereof.

 

Every
replacement Note is an additional obligation of the Company and each Subsidiary
Guarantor and shall be entitled to the benefits of this Indenture.

 

SECTION 2.10.                 Outstanding Notes.  Notes
outstanding at any time are all Notes that have been authenticated by the
Trustee except for those cancelled by it, those delivered to it for cancellation
and those described in this Section 2.10 as not outstanding.

 

If
a Note is replaced pursuant to Section 2.09, it ceases to be outstanding
unless and until the Trustee and the Company receive proof satisfactory to them
that the replaced Note is held by a protected purchaser.

 

If
the Paying Agent (other than the Company or an Affiliate of the Company) holds
on the Maturity Date money sufficient to pay Notes payable on that date, then
on and after that date such Notes cease to be outstanding and interest on them
shall cease to accrue.

 

A
Note does not cease to be outstanding because the Company or one of its
Affiliates holds such Note, provided,
however, that in determining whether the Holders of the requisite
principal amount of the outstanding Notes have given any request, demand,
authorization, direction, notice, consent or waiver hereunder, Notes owned by
the Company or any other obligor upon the Notes or any Affiliate of the Company
or of such other obligor shall 

 

26

 

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 Notes which
the Trustee has actual knowledge to be so owned shall be so disregarded.  Notes so owned which have been pledged in
good faith may be regarded as outstanding if the pledgee establishes to the
satisfaction of the Trustee the pledgee’s right so to act with respect to such
Notes and that the pledgee is not the Company or any other obligor upon the
Notes or any Affiliate of the Company or of such other obligor.

 

SECTION 2.11.                 Temporary Notes.  Until
definitive Notes are ready for delivery, the Company may prepare and execute
and the Trustee shall authenticate temporary Notes.  Temporary Notes shall be substantially in the
form of definitive Notes but may have insertions, substitutions, omissions and
other variations determined to be appropriate by the Officers executing the
temporary Notes, as evidenced by their execution of such temporary Notes.  If temporary Notes are issued, the Company
will cause definitive Notes to be prepared without unreasonable delay.  After the preparation of definitive Notes,
the temporary Notes shall be exchangeable for definitive Notes upon surrender
of the temporary Notes at the office or agency of the Company designated for
such purpose pursuant to Section 4.02, without charge to the Holder.  Upon surrender for cancellation of any one or
more temporary Notes, the Company shall execute and the Trustee shall
authenticate and deliver in exchange therefor a like principal amount  of definitive Notes of authorized
denominations.  Until so exchanged, the
temporary Notes shall be entitled to the same benefits under this Indenture as
definitive Notes.

 

SECTION 2.12.                 Cancellation.  The
Company, at any time, may deliver to the Trustee for cancellation any Notes
previously authenticated and delivered hereunder which the Company may have
acquired in any manner whatsoever, and may deliver to the Trustee for
cancellation any Notes previously authenticated hereunder.  The Registrar and the Paying Agent shall
forward to the Trustee any Notes surrendered to them for transfer, exchange or
payment.  The Trustee shall cancel all
Notes surrendered for transfer, exchange, payment or cancellation and shall
destroy them in accordance with its normal procedure.

 

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

 

SECTION 2.14.                 Defaulted Interest.  If
the Company defaults in a payment of interest on the Notes, it shall pay, or
shall deposit with the Paying Agent money in immediately available funds
sufficient to pay, the defaulted interest, plus (to the extent lawful) any
interest payable on the defaulted interest, to the Persons who are Holders on a
subsequent special record date.  A
special record date, as used in this Section 2.14 with respect to the
payment of any defaulted interest, shall mean the 15th day
next preceding the date fixed by the Company for the payment of defaulted
interest, whether or not such day is a Business Day.  At least 15 days before the subsequent special
record date, the Company shall mail to each Holder 

 

27

 

and
to the Trustee a notice that states the subsequent special record date, the
payment date and the amount of defaulted interest to be paid.

 

SECTION 2.15.                 Issuance of Additional Notes.  The
Company may, subject to Article Four of this Indenture and applicable law,
issue Additional Notes under this Indenture. 
The Notes issued on the Closing Date and any Additional Notes
subsequently issued shall be treated as a single class for all purposes under
this Indenture. The Additional Notes may be issued in private or public
transactions and will contain relevant legends.

 

ARTICLE THREE

REDEMPTION

 

SECTION 3.01.                 Right of Redemption. 
Except as pursuant to this Section 3.01 the Company may not redeem
the Notes prior to the Maturity Date. The Company may redeem the Notes in whole
or in part at any time prior to the Maturity Date, at a Redemption Price equal
to 100% of the principal amount thereof plus the Applicable Premium as of the
Redemption Date, plus accrued and unpaid interest, if any, to the Redemption
Date (subject to the right of Holders of record on the relevant record date to
receive interest due on the relevant interest payment date).

 

At
any time prior to September 1, 2013, the Company may redeem up to 35% of
the aggregate principal amount of the Notes (including any Additional Notes)
with the Net Cash Proceeds of one or more sales of common stock of the Company
at any time as a whole or from time to time in part, at a Redemption Price
(expressed as a percentage of principal amount) of 106.875%, plus accrued and
unpaid interest thereon, if any, to the Redemption Date (subject to the rights
of Holders of record on the relevant Regular Record Date that is prior to the
Redemption Date to receive interest due on an Interest Payment Date); provided that (i) at least 65% of the
aggregate principal amount of Notes (including any Additional Notes) remains
outstanding after each such redemption and (ii) notice of any such
redemption is mailed within 60 days after each such sale of common stock.

 

SECTION 3.02.                 Notices to Trustee.   If
the Company elects to redeem Notes pursuant to Section 3.01, it shall
notify the Trustee in writing of the Redemption Date and the principal amount
of Notes to be redeemed and the clause of this Indenture pursuant to which
redemption shall occur.

 

The
Company shall give each notice provided for in this Section 3.02 in an
Officers’ Certificate at least 45 days before the Redemption Date (unless a
shorter period shall be satisfactory to the Trustee).

 

SECTION 3.03.                 Selection of Notes to Be Redeemed.  If
less than all of the Notes are to be redeemed at any time, the Trustee shall
select the Notes to be redeemed in compliance with the requirements, as
certified to it by the Company, of the principal national securities exchange,
if any, on which the Notes are listed or, if the Notes are not listed on a
national securities exchange or automated quotation system on a pro rata basis,
by lot or by such other method as the Trustee in its sole discretion shall deem
fair and appropriate; provided
that no Note of $2,000 in principal amount or less shall be redeemed in part.

 

28

 

The
Trustee shall make the selection from the Notes outstanding and not previously
called for redemption.  Notes in
denominations of $2,000 in principal amount may only be redeemed in whole.  The Trustee may select for redemption portions
(equal to $2,000 in principal amount or multiples of $1,000 in excess thereof)
of Notes that have denominations larger than $2,000 in principal amount.  Provisions of this Indenture that apply to
Notes called for redemption also apply to portions of Notes called for
redemption.  The Trustee shall notify the
Company and the Registrar promptly in writing of the Notes or portions of Notes
to be called for redemption.

 

SECTION 3.04.                 Notice of Redemption.  With
respect to any redemption of Notes pursuant to Section 3.01, at least 30
days but not more than 60 days before a Redemption Date, the Company shall mail
a notice of redemption by first-class mail to each Holder whose Notes are to be
redeemed.

 

The
notice shall identify the Notes to be redeemed and shall state:

 

(i)                                     the Redemption Date;

 

(ii)                                  the Redemption Price;

 

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

 

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

 

(v)                                 that, unless the Company defaults in making the redemption payment,
interest on Notes called for redemption ceases to accrue on and after the
Redemption Date and the only remaining right of the Holders is to receive
payment of the Redemption Price plus accrued interest to the Redemption Date
upon surrender of the Notes to the Paying Agent;

 

(vi)                              that, if any Note is being redeemed in part, the portion of the principal
amount (equal to $2,000 in principal amount or any integral multiple thereof)
of such Note to be redeemed and that, on and after the Redemption Date, upon
surrender of such Note, a new Note or Notes in principal amount equal to the
unredeemed portion thereof will be reissued; and

 

(vii)                           that, if any Note contains a CUSIP or ISIN number as provided in
Section 2.13, no representation is being made as to the correctness of the
CUSIP or ISIN number either as printed on the Notes or as contained in the
notice of redemption and that reliance may be placed only on the other
identification numbers printed on the Notes.

 

At
the Company’s request (which request may be revoked by the Company at any time
prior to the time at which the Trustee shall have given such notice to the
Holders), made in writing to the Trustee at least 45 days (or such shorter
period as shall be satisfactory to the Trustee) before a Redemption Date, the
Trustee shall give the notice of redemption in the name and at the expense of
the Company.  If, however, the Company
gives such notice to the Holders, 

 

29

 

the
Company shall concurrently deliver to the Trustee an Officers’ Certificate
stating that such notice has been given.

 

SECTION 3.05.                 Effect of Notice of Redemption.  Once
notice of redemption is mailed, Notes called for redemption become due and
payable on the Redemption Date and at the Redemption Price.  Upon surrender of any Notes to the Paying
Agent, such Notes shall be paid at the Redemption Price, plus accrued interest,
if any, to the Redemption Date.

 

Notice
of redemption shall be deemed to be given when mailed, whether or not the
Holder receives the notice.  In any event,
failure to give such notice, or any defect therein, shall not affect the
validity of the proceedings for the redemption of Notes held by Holders to whom
such notice was properly given.

 

SECTION 3.06.                 Deposit of Redemption Price.  On or
prior to 11:00 a.m., New York City time, on any Redemption Date, the
Company shall deposit with the Paying Agent (or, if the Company is acting as
its own Paying Agent, shall segregate and hold in trust as provided in Section 2.05)
money sufficient to pay the Redemption Price of and accrued interest on all
Notes to be redeemed on that date other than Notes or portions thereof called
for redemption on that date that have been delivered by the Company to the
Trustee for cancellation.

 

SECTION 3.07.                 Payment of Notes Called for Redemption.  If
notice of redemption has been given in the manner provided above, the Notes or
portion of Notes specified in such notice to be redeemed shall become due and
payable on the Redemption Date at the Redemption Price stated therein, together
with accrued interest to such Redemption Date, and on and after such date
(unless the Company shall default in the payment of such Notes at the
Redemption Price and accrued interest to the Redemption Date, in which case the
principal, until paid, shall bear interest from the Redemption Date at the rate
prescribed in the Notes), such Notes shall cease to accrue interest.  Upon surrender of any Note for redemption in
accordance with a notice of redemption, such Note shall be paid and redeemed by
the Company at the Redemption Price, together with accrued interest, if any, to
the Redemption Date; provided
that installments of interest whose Stated Maturity is on or prior to the
Redemption Date shall be payable to the Holders registered as such at the close
of business on the relevant Regular Record Date.

 

SECTION 3.08.                 Notes Redeemed in Part.  Upon
surrender of any Note that is redeemed in part, the Company shall execute and
the Trustee shall authenticate and deliver to the Holder without service
charge, a new Note equal in principal amount to the unredeemed portion of such
surrendered Note.

 

ARTICLE FOUR

COVENANTS

 

SECTION 4.01.                 Payment of Notes.  The
Company shall pay the principal of, premium, if any, and interest on the Notes
on the dates and in the manner provided in the Notes and this Indenture.  An installment of principal, premium, if any,
or interest shall be considered paid on the date due if the Trustee or Paying
Agent (other than the Company, a Subsidiary of the Company, or any Affiliate of
any of them) holds on that date money designated 

 

30

 

for
and sufficient to pay the installment. 
If the Company or any Subsidiary of the Company or any Affiliate of any
of them acts as Paying Agent, an installment of principal, premium, if any, or
interest shall be considered paid on the due date if the entity acting as
Paying Agent complies with the last sentence of Section 2.05.  As provided in Section 6.09, upon any
bankruptcy or reorganization procedure relative to the Company, the Trustee
shall serve as the Paying Agent, if any, for the Notes.

 

The
Company shall pay interest on overdue principal and premium, if any, and
interest on overdue installments of interest, to the extent lawful, at the rate
per annum specified in the Notes.

 

SECTION 4.02.                 Maintenance of Office or Agency.  The
Company shall maintain an office or agency where Notes may be surrendered for
registration of transfer or exchange or for presentation for payment and where
notices and demands to or upon the Company in respect of the Notes and this
Indenture may be served.  The Company
will give prompt written notice to the Trustee of the location, and any change
in the location, of such office or agency. 
If at any time the Company shall fail to maintain any such required
office or agency or shall fail to furnish the Trustee with the address thereof,
such presentations, surrenders, notices and demands may be made or served at
the address of the Trustee set forth in Section 11.02.

 

The
Company may also from time to time designate one or more other offices or
agencies where the Notes may be presented or surrendered for any or all such
purposes and may from time to time rescind such designations; provided that no such designation or
rescission shall in any manner relieve the Company of its obligation to
maintain an office or agency for such purposes. 
The Company shall 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.

 

The
Company hereby initially designates the Paying Agent Office of the Trustee, as
such office or agency of the Company where Notes may be surrendered for
registration of transfer or exchange or for presentation for payment.

 

The
Company hereby initially designates the Corporate Trust Office of the Trustee,
as such office where notices and demands to or upon the Company in respect of
the Notes and this Indenture may be served.

 

SECTION 4.03.                 Limitation
on Liens.  The Company will not, and will not permit any
of its Significant Subsidiaries to, create, incur, issue, assume or guarantee
any Funded Debt secured by a Mortgage upon any of its properties or assets,
whether owned on the Closing Date or thereafter acquired, without effectively
providing concurrently that the Notes are secured equally and ratably with or,
at the Company’s option, prior to such Indebtedness so long as such
Indebtedness shall be so secured.

 

The
foregoing restriction shall not apply to, and there shall be excluded from
Indebtedness in any computation under such restriction, Indebtedness
secured by:

 

(i)                                     Permitted Mortgages;

 

31

 

(ii)                                  Mortgages on any property or assets existing at the time of the
acquisition thereof by the Company or any Significant Subsidiary;

 

(iii)                               Mortgages securing only the Notes;

 

(iv)                              Mortgages on property or assets of a Person existing at the time such
Person is merged into or consolidated with the Company or any of its
Significant Subsidiaries or at the time of a sale, lease or other disposition
of the properties and assets of such Person (or a division thereof) as an
entirety or substantially as an entirety to the Company or any of its
Significant Subsidiaries; provided that
any such Mortgage does not extend to any property or assets owned by the
Company or any of its Significant Subsidiaries immediately prior to such
merger, consolidation, sale, lease or disposition;

 

(v)                                 Mortgages on property or assets of a Person existing at the time such
Person becomes a Significant Subsidiary of the Company;

 

(vi)                              Mortgages in favor of the Company or any of its Subsidiaries;

 

(vii)                           Mortgages (including in connection with capital leases) on property or
assets (including shares of Capital Stock of any Subsidiary formed to acquire,
construct, develop or improve such property) to secure all or part of the cost
of acquisition, construction, development or improvement of such property or
assets, or to secure Indebtedness incurred to provide funds for any such
purpose; provided that the commitment of the
creditor to extend the credit secured by any such Mortgage shall have been
obtained no later than 360 days after the later of (a) the completion of
the acquisition, construction, development or improvement of such property or
assets or (b) the placing in operation of such property or assets; provided further that such Mortgage shall not extend to any
other property or assets (including shares of Capital Stock of any Subsidiary
formed to acquire, construct, develop or improve such property) other than
those so acquired, constructed, developed or improved;

 

(viii)                        Mortgages to secure obligations under Credit Facilities in an aggregate
principal amount not to exceed the greatest of (A) $1,750 million, (B) the
sum of the amounts equal to (x) 70% of the consolidated book value of the
inventory of the Company and its Subsidiaries and (y) 90% of the
consolidated book value of the accounts receivable of the Company and its
Subsidiaries, in each case as of the Company’s most recently ended fiscal
quarter for which financial statements are available, in each case, giving pro
forma effect to any asset sale or asset acquisition, that shall have occurred
since the end of such fiscal quarter, and (C) an amount that does not
cause the ratio of Indebtedness secured by Mortgages of the Company and its
Subsidiaries to Consolidated Cash Flow Available for Fixed Charges for the most
recently ended twelve month period of the Company for which financial
statements are available to exceed 2.75:1.0;

 

(ix)                                Mortgages on property or assets of Foreign Subsidiaries to secure Funded
Debt of such Foreign Subsidiary incurred in the ordinary course of business;
and

 

(x)                                   Mortgages existing on the date of this Indenture or any extension,
renewal, replacement or refunding, in whole or in part, of any Indebtedness
secured by a Mortgage 

 

32

 

existing
on the date of this Indenture or referred to in the foregoing clauses of this Section 4.03
or Mortgages created in connection with any amendment, consent or waiver
relating to such Indebtedness; provided that
any such extension, renewal, replacement or refunding of such Indebtedness
shall be created within 360 days of repaying the Indebtedness secured by the
Mortgage referred to in the foregoing clauses of this Section 4.03, and
the principal amount of the Indebtedness secured thereby and not otherwise
authorized by the foregoing clauses of this Section 4.03 shall not exceed
the principal amount of Indebtedness, plus any premium or fee payable in
connection with any such extension, renewal, replacement or refunding, so
secured at the time of such extension, renewal, replacement or refunding.

 

For
purposes of determining compliance of any non-U.S. dollar-denominated
Indebtedness with this Section 4.03, the amount outstanding under any U.S.
dollar-equivalent principal amount of Indebtedness denominated in a foreign
currency shall at all times be calculated based on the relevant currency
exchange rate in effect on the date such Indebtedness was incurred, in the case
of term Indebtedness, or first committed, in the case of revolving credit
Indebtedness; provided, however,
that if such Indebtedness is incurred to refinance other Indebtedness
denominated in the same or different currency, and such refinancing would cause
the applicable U.S. dollar-denominated restriction to be exceeded if calculated
at the relevant currency exchange rate in effect on the date of such
refinancing, such U.S. dollar-denominated restriction shall be deemed not to have
been exceeded so long as the principal amount of such refinancing Indebtedness
does not exceed the principal amount of such Indebtedness being refinanced.

 

For
purposes of determining what category of excluded Mortgages in the foregoing
clauses or the next paragraph in which any Mortgage shall be included, the
Company in its sole discretion may classify such Mortgage on the date of its
incurrence and later reclassify all or a portion of such Mortgage in any manner
that complies with this Section 4.03.

 

Notwithstanding
the restrictions described above, the Company and any of its Significant
Subsidiaries may create, incur, issue, assume or guarantee Indebtedness secured
by Mortgages without equally and ratably securing the Notes, if at the time of
such creation, incurrence, issuance, assumption or guarantee, after giving
effect thereto and to the retirement of any Indebtedness which is concurrently
being retired, the aggregate amount of all such Indebtedness secured by
Mortgages which would otherwise be subject to such restrictions (other than any
Indebtedness secured by Mortgages permitted as described in clauses (i) through
(x) of this Section 4.03) plus all Attributable Debt of the Company
and any of its Significant Subsidiaries in respect of Sale and Leaseback
Transactions (with the exception of such transactions which are permitted under
clauses (i) through (iv) of Section 4.04) does not exceed 10% of
Consolidated Assets. For avoidance of doubt, the provisions in the foregoing
sentence may be used concurrently in connection with one or more of the
Mortgages permitted as described in clauses (i) through (x) of this Section 4.03
in any single transaction and may be effectively deemed to have occurred after
such other basket clause is used.

 

At
the Company’s option, the Company may treat the entire commitment of a
revolving credit facility to be fully drawn on the date such agreement is
executed, and thereafter

 

33

 

the
amount of such commitment shall be deemed to be fully borrowed at all times for
the purposes of the foregoing covenant.

 

SECTION 4.04.                 Limitation on Sale and Leaseback Transactions.  The
Company will not, and will not permit any of its Significant Subsidiaries to,
enter into any Sale and Leaseback Transaction unless:

 

(i)                                     the Sale and
Leaseback Transaction is solely with the Company or any of its Subsidiaries;

 

(ii)                                  the lease is
for a period not in excess of 36 months, including renewals;

 

(iii)                               the Company or
such Significant Subsidiary would (at the time of entering into such
arrangement) be entitled as described in clauses (i) through (x) of Section 4.03,
without equally and ratably securing the Notes then outstanding under this
Indenture, to create, incur, issue, assume or guarantee Indebtedness secured by
a Mortgage on such property or assets in the amount of the Attributable Debt
arising from such Sale and Leaseback Transaction;

 

(iv)                              the Company or
such Significant Subsidiary within 360 days after the sale of property or
assets in connection with such Sale and Leaseback Transaction is completed,
applies an amount equal to the greater of (A) the net proceeds of the sale
of such property or assets or (B) the fair market value of such property
or assets to (i) the retirement of Notes, other Funded Debt of the Company
ranking on a parity with the Notes or Funded Debt of a Subsidiary or (ii) the
acquisition of different property, facilities or equipment or the expansion of
the Company’s existing business, including the acquisition of other businesses
or capital expenditures; or

 

(v)                                 the
Attributable Debt of the Company and its Significant Subsidiary in respect of
such Sale and Leaseback Transaction and all other Sale and Leaseback
Transactions entered into after the Closing Date (other than any such Sale and
Leaseback Transaction as would be permitted as described in clauses (i) through
(iv) of this Section 4.04), plus the aggregate principal amount of
Indebtedness secured by Mortgages then outstanding (not including any such
Indebtedness secured by Mortgages described in clauses (i) through (x) of
Section 4.03) which do not equally and ratably secure the Notes (or secure
Notes on a basis that is prior to other Indebtedness secured thereby), would
not exceed 10% of Consolidated Assets.

 

SECTION 4.05.                 Repurchase of Notes upon a Change of Control.  The
Company must commence, within 30 days of the occurrence of a Change of Control,
and consummate an Offer to Purchase for all Notes then outstanding, at a
purchase price equal to 101% of their principal amount, plus accrued interest,
if any, to the Payment Date.  The Company
will not be required to make an Offer to Purchase upon the occurrence of a
Change of Control pursuant to this Section 4.05, if (i) a third party
makes an Offer to Purchase the Notes in the manner, at the times and otherwise
in compliance with this Indenture applicable to an Offer to Purchase for a
Change of Control and purchases all Notes properly tendered and not withdrawn
in such Offer to Purchase upon a Change of Control, or (ii) a notice of
redemption has 

 

34

 

been
given pursuant to Section 3.04 this Indenture unless and until there is a
default in payment of the applicable redemption price. An Offer to Purchase
upon the occurrence of a Change of Control may be made in advance of a Change
of Control if a definitive agreement to effect the Change of Control is in
place at the time such Offer to Purchase is made and the Offer to Purchase is effected
upon the consummation of the Change of Control, and such Offer to Purchase may
be conditional on the Change of Control.

 

SECTION 4.06.                 Existence.  Subject to
Articles Four and Five of this Indenture, the Company shall do or cause to be
done all things reasonably necessary to preserve and keep in full force and
effect its existence and the existence of each of its Subsidiary Guarantors in
accordance with the respective organizational documents of the Company and each
of its Subsidiary Guarantors and the material rights (whether pursuant to
charter, certificate of formation, article of incorporation, partnership
certificate, agreement, statute or otherwise), licenses and franchises of the
Company and each of its Subsidiary Guarantors; provided
that the Company shall not be required to preserve any such right, license or
franchise, or the existence of any Subsidiary Guarantor, if the maintenance or
preservation thereof is no longer desirable in the Company’s judgment for the
conduct of the business of the Company and its Subsidiary Guarantors taken as a
whole.

 

SECTION 4.07.                 Payment of Taxes and Other Claims.  The
Company shall pay or discharge and shall cause each of its Subsidiary
Guarantors to pay or discharge, or cause to be paid or discharged, before the
same shall become delinquent (i) all material taxes, assessments and
governmental charges levied or imposed upon (a) the Company or any such
Subsidiary Guarantor, (b) the income or profits of any such Subsidiary
Guarantor which is a corporation or (c) the property of the Company or any
such Subsidiary Guarantor and (ii) all material lawful claims for labor,
materials and supplies that, if unpaid, might by law become a lien upon the
property of the Company or any such Subsidiary Guarantor; provided that the Company shall not be
required to pay or discharge, or cause to be paid or discharged, any such tax,
assessment, charge or claim the amount, applicability or validity of which is
being contested in good faith by appropriate proceedings and for which adequate
reserves have been established.

 

SECTION 4.08.                 Maintenance of Properties and Insurance.  The
Company shall cause all properties used or useful in the conduct of its
business or the business of any of its Subsidiary Guarantors to be maintained
and kept in good condition, repair and working order and supplied with all
necessary equipment and will cause to be made all necessary repairs, renewals,
replacements, betterments and improvements thereof, all as in the judgment of
the Company may be necessary so that the business carried on in connection
therewith may be properly and advantageously conducted at all times; provided that nothing in this Section 4.08
shall prevent the Company or any Subsidiary Guarantor from discontinuing the
use, operation or maintenance of any of such properties or disposing of any
property or assets, if such discontinuance or disposal is, in the judgment of
the Company, desirable for the Company on a consolidated basis.

 

The
Company will provide or cause to be provided, for itself and its Subsidiary
Guarantors, insurance (including appropriate self-insurance) in amounts and
with such deductions and covering such risks as it reasonably deems adequate,
with recognized, financially sound insurers or with the government of the
United States of America, or an agency or 

 

35

 

instrumentality
thereof, in such amounts, with such deductibles and by such methods as shall be
customary for corporations similarly situated in the industry in which the
Company or any such Subsidiary Guarantors, as the case may be, is then
conducting business.

 

SECTION 4.09.                 Notice of Defaults.  In
the event that any Officer becomes aware of any Default or Event of Default,
the Company shall deliver to the Trustee an Officers’ Certificate, within 15
days of becoming aware of such Default or Event of Default, specifying such
Default or Event of Default, its status and what action the Company is taking
or proposes to take with respect thereto.

 

SECTION 4.10.                 Compliance Certificates.  The
Company shall deliver to the Trustee, within 90 days after the end of the last
fiscal quarter of each year, an Officers’ Certificate stating whether or not
the signers know of any Default or Event of Default that occurred during such
fiscal year.  Such certificate shall
contain a certification from the principal executive officer, principal
financial officer or principal accounting officer of the Company that a review
has been conducted of the activities of the Company and its Subsidiary Guarantors
and the Company’s and its Subsidiary Guarantor’s performance under this
Indenture and that the Company has complied with all conditions and covenants
under this Indenture.  If any of the
officers of the Company signing such certificate has knowledge of such a
Default or Event of Default, the certificate shall describe any such Default or
Event of Default and its status.  The
first certificate to be delivered pursuant to this Section 4.10 shall be
for the fiscal year beginning 2010.

 

SECTION 4.11.                 Commission Reports and Reports to Holders. 
Whether or not the Company is required to file reports with the
Commission, to the extent permitted by the Commission, the Company shall file
with the Commission all such reports and other information as it would be
required to file with the Commission by Section 13(a) or
15(d) under the Exchange Act if it were subject thereto within 30 days
after the time periods specified by the Commission’s rules and
regulations.  For as long as the Notes
are outstanding, the Company shall supply the Trustee and each Holder who so
requests or shall supply to the Trustee for forwarding to each such Holder,
without cost to such Holder, copies of such reports and other information.

 

SECTION 4.12.                 Waiver of Stay, Extension or Usury 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 or any usury law or
other law that would prohibit or forgive the Company from paying all or any
portion of the principal of, premium, if any, or interest on the Notes as
contemplated herein, wherever enacted, now or at any time hereafter in force,
or that may affect the covenants or the performance of this Indenture; and (to
the extent that it may lawfully do so) the Company 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.

 

SECTION 4.13.                 Issuances of Subsidiary Guarantees.  The
Company shall cause each domestic Subsidiary of the Company that Guarantees
Indebtedness of the Company 

 

36

 

under
the Credit Agreement to execute and deliver a supplemental indenture to this
Indenture providing for a Note Guarantee by such Subsidiary pursuant to
Article Ten.

 

SECTION 4.14                    Additional
Interest Notice.  In the event
that the Company is required to pay interest to holders of Notes at an
increased rate pursuant to the terms of the Notes, the Company will provide
written notice (“Additional Interest Notice”) to the Trustee of its
obligation to pay interest at an increased rate no later than fifteen days
prior to the proposed payment date for the interest, and the Additional
Interest Notice shall set forth the amount of interest to be paid by the
Company on such payment date. The Trustee shall not at any time be under any
duty or responsibility to any holder of Notes to determine the interest, or
with respect to the nature, extent, or calculation of the amount of interest
owed, or with respect to the method employed in such calculation of the
interest.

 

ARTICLE FIVE

SUCCESSOR CORPORATION

 

SECTION 5.01.                 When Company or Subsidiary Guarantors May Merge, Etc. The Company will not consolidate with, merge
with or into, or sell, convey, transfer, lease or otherwise dispose of all or
substantially all of its property and assets (as an entirety or substantially
an entirety in one transaction or a series of related transactions) to, any
Person or permit any Person to merge with or into it unless:

 

(i)                                     it shall be the continuing Person, or the Person (if other than it)
formed by such consolidation or into which it is merged or that acquired or
leased such property and assets (the “Surviving Person”), shall be a
corporation, limited liability company, trust or limited partnership organized
and validly existing under the laws of the United States of America or any
jurisdiction thereof and shall expressly assume, by a supplemental indenture,
executed and delivered to the Trustee, all of the Company’s obligations under
this Indenture and the Notes;

 

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

 

(iii)                               it delivers to the Trustee an Officers’ Certificate stating that such
consolidation, merger or transfer and such supplemental indenture complies with
this Section 5.01 and that all conditions precedent provided for herein
relating to such transaction have been complied with; and

 

(iv)                              each Subsidiary Guarantor, unless such Subsidiary Guarantor is the Person
with which the Company has entered into a transaction under this Section 5.01,
shall have by amendment to its Note Guarantee confirmed that its Note Guarantee
shall apply to the obligations of the Company or the Surviving Person in
accordance with the Notes and this Indenture.

 

Each
Subsidiary Guarantor (other than any Subsidiary Guarantor whose Note Guarantee
is to be released in accordance with the terms of its Note Guarantee and this
Indenture, in connection with the sale, exchange or transfer to any Person
(other than an Affiliate

 

37

 

of
the Company) of all of the Capital Stock of such Subsidiary Guarantor) will
not, and the Company will not cause or permit any Subsidiary Guarantor to,
consolidate with or merge with or into any Person other than the Company or any
other Subsidiary Guarantor unless:

 

(i)                                     such Subsidiary Guarantor is the surviving corporation or the Person
formed by or surviving any such consolidation or merger (if other than the
Subsidiary Guarantor) is a corporation organized and existing under the laws of
the United States or any State thereof and such Person assumes by supplemental
indenture all of the obligations of the Subsidiary Guarantor on its Note
Guarantee; and

 

(ii)                                  immediately after giving effect to such transaction, no Default or Event
of Default shall have occurred and be continuing.

 

SECTION 5.02.                 Successor Substituted.  Upon
any consolidation or merger, or any sale, conveyance, transfer, lease or other
disposition of all or substantially all of the property and assets of the
Company or any Subsidiary Guarantor in accordance with Section 5.01 of
this Indenture, the successor Person formed by such consolidation or into which
the Company or any Subsidiary Guarantor is merged or to which such sale,
conveyance, transfer, lease or other disposition is made shall succeed to and
be substituted for, and may exercise every right and power of, the Company or
such Subsidiary Guarantor under this Indenture with the same effect as if such
successor Person had been named as the Company or such Subsidiary Guarantor
herein; provided that the Company
shall not be released from its obligation to pay the principal of, premium, if
any, or interest on the Notes and such Subsidiary Guarantor shall not be
released from its Note Guarantee in the case of a lease of all or substantially
all of its property and assets.

 

ARTICLE SIX

DEFAULT AND REMEDIES

 

SECTION 6.01.                 Events of Default.  The
following events will be defined as “Events of Default” in this Indenture:

 

(a)                                  default in the payment of principal of (or premium, if any, on) any Note
when the same becomes due and payable at maturity, upon acceleration,
redemption or otherwise;

 

(b)                                 default in the payment of interest on any Note when the same becomes due
and payable, and such default continues for a period of 30 days;

 

(c)                                  (1) the Company defaults in the performance of or breaches any other
covenant or agreement in this Indenture or under the Notes (other than a
default specified in clause (a) or (b) above) and such default
or breach continues for a period of 60 consecutive days after written notice by
the Trustee or the Holders of 25% or more in aggregate principal amount of the
Notes;

 

(d)                                 there occurs with respect to any issue or issues of Indebtedness of the
Company, any Subsidiary Guarantor or any Significant Subsidiary having an
outstanding principal amount of $75.0 million or more in the aggregate for all
such issues of all such 

 

38

 

Persons,
whether such Indebtedness now exists or shall hereafter be created, (A) an
event of default that has caused the holder thereof to declare such
Indebtedness to be due and payable prior to its Stated Maturity and such
Indebtedness has not been discharged in full or such acceleration has not been
rescinded or annulled within 30 days of such acceleration and/or (B) the
failure to make a principal payment at the final (but not any interim) fixed
maturity and such defaulted payment shall not have been made, waived or
extended within 30 days of such payment default;

 

(e)                                  any final judgment or order (not covered by insurance) for the payment of
money in excess of $75.0 million in the aggregate for all such final judgments
or orders against all such Persons (treating any deductibles, self-insurance or
retention as not so covered) shall be rendered against the Company, any
Subsidiary Guarantor or any Significant Subsidiary and shall not be paid or
discharged, and there shall be any period of 60 consecutive days following
entry of the final judgment or order that causes the aggregate amount for all
such final judgments or orders outstanding and not paid or discharged against
all such Persons to exceed $75.0 million during which a stay of enforcement of
such final judgment or order, by reason of a pending appeal or otherwise, shall
not be in effect;

 

(f)                                    a court having jurisdiction in the premises enters a decree or order for
(A) relief in respect of the Company, any Subsidiary Guarantor or any
Significant Subsidiary in an involuntary case under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect,
(B) appointment of a receiver, liquidator, assignee, custodian, trustee,
sequestrator or similar official of the Company, any Subsidiary Guarantor or
any Significant Subsidiary or for all or substantially all of the property and
assets of the Company, any Subsidiary Guarantor or any Significant Subsidiary
or (C) the winding-up or liquidation of the affairs of the Company, any
Subsidiary Guarantor or any Significant Subsidiary and, in each case, such
decree or order shall remain unstayed and in effect for a period of 60
consecutive days;

 

(g)                                 the Company, any Subsidiary Guarantor or any Significant Subsidiary
(A) commences a voluntary case under any applicable bankruptcy, insolvency
or other similar law now or hereafter in effect, or consents to the entry of an
order for relief in an involuntary case under any such law, (B) consents
to the appointment of or taking possession by a receiver, liquidator, assignee,
custodian, trustee, sequestrator or similar official of the Company, any
Subsidiary Guarantor or any Significant Subsidiary or for all or substantially
all of the property and assets of the Company, any Subsidiary Guarantor or any
Significant Subsidiary or (C) effects any general assignment for the
benefit of creditors; or

 

(h)                                 any Subsidiary Guarantor repudiates its obligations under its Note
Guarantee or, except as permitted by this Indenture, any Note Guarantee is
determined to be unenforceable or invalid or shall for any reason cease to be
in full force and effect.

 

SECTION 6.02.                 Acceleration.  If an
Event of Default (other than an Event of Default specified in clause (f) or (g) of
Section 6.01 that occurs with respect to the Company) occurs and is
continuing under this Indenture, the Trustee or the Holders of at least 25% in 

 

39

 

aggregate
principal amount of the Notes then outstanding, by written notice to the
Company (and to the Trustee if such notice is given by the Holders), may, and
the Trustee at the request of such Holders shall, declare the principal of,
premium, if any, and accrued interest on the Notes to be immediately due and
payable.  Upon a declaration of
acceleration, such principal of, premium, if any, and accrued interest shall be
immediately due and payable.  In the
event of a declaration of acceleration because an Event of Default set forth in
clause (d) of Section 6.01 has occurred and is continuing, such
declaration of acceleration shall be automatically rescinded and annulled if
the event of default triggering such Event of Default pursuant to clause (d) of
Section 6.01 shall be remedied or cured by the Company, the relevant
Subsidiary Guarantor or the relevant Significant Subsidiary or waived by the
holders of the relevant Indebtedness within 60 days after the declaration
of acceleration with respect thereto.  If
an Event of Default specified in clause (f) or (g) of Section 6.01
occurs with respect to the Company, the principal of, premium, if any, and
accrued interest on the Notes then outstanding shall automatically become and
be immediately due and payable without any declaration or other act on the part
of the Trustee or any Holder.

 

Any
time after such declaration of acceleration, but before a judgment or decree
for the payment of money due has been obtained by the Trustee, the Holders of
at least a majority in principal amount of the outstanding Notes by written
notice to the Company and to the Trustee may waive all past defaults and
rescind and annul a declaration of acceleration and its consequences if (a) all
existing Events of Default, other than the nonpayment of the principal of,
premium, if any, and interest on the Notes that have become due solely by such
declaration of acceleration, have been cured or waived and (b) the
rescission would not conflict with any judgment or decree of a court of
competent jurisdiction.

 

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

 

The
Trustee may maintain a proceeding even if it does not possess any of the Notes
or does not produce any of them in the proceeding.

 

SECTION 6.04.                 Waiver of Past Defaults. 
Subject to Sections 6.02, 6.07 and 9.02, the Holders of at least a
majority in principal amount of the outstanding Notes, by notice to the
Trustee, may waive an existing Default or Event of Default and its
consequences, except a Default in the payment of principal of, premium, if any,
or interest on any Note as specified in clause (a) or (b) of Section 6.01
or in respect of a covenant or provision of this Indenture which cannot be
modified or amended without the consent of the Holder of each outstanding Note
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 Event of Default or
impair any right consequent thereto.

 

SECTION 6.05.                 Control by Majority.  The
Holders of at least a majority in aggregate principal amount of the outstanding
Notes may direct the time, method and place of conducting any proceeding for
any remedy available to the Trustee or exercising any trust or 

 

40

 

power
conferred on the Trustee.  However, the
Trustee may refuse to follow any direction that conflicts with law or this
Indenture, that may involve the Trustee in personal liability, or that the
Trustee determines in good faith may be unduly prejudicial to the rights of
Holders of Notes not joining in the giving of such direction and may take any
other action it deems proper that is not inconsistent with any such direction
received from Holders of Notes.

 

SECTION 6.06.                 Limitation
on Suits.  A Holder may not institute any proceeding,
judicial or otherwise, with respect to this Indenture or the Notes, or for the
appointment of a receiver or trustee, or for any other remedy hereunder, unless:

 

(i)                                     the Holder gives the Trustee written notice of a continuing Event of
Default;

 

(ii)                                  the Holders of at least
25% in aggregate principal amount of outstanding Notes shall have made a
written request to the Trustee to pursue such remedy;

 

(iii)                               such Holder or Holders offer the Trustee indemnity satisfactory to the
Trustee against any costs, liability or expense;

 

(iv)                              the Trustee does not comply with the request within 60 days after receipt
of the request and the offer of indemnity; and

 

(v)                                 during such 60-day period, the Holders of a majority in aggregate
principal amount of the outstanding Notes do not give the Trustee a direction
that is inconsistent with the request.

 

For
purposes of Section 6.05 of this Indenture and this Section 6.06, the
Trustee shall comply with TIA Section 316(a) in making any
determination of whether the Holders of the required aggregate principal amount
of outstanding Notes have concurred in any request or direction of the Trustee
to pursue any remedy available to the Trustee or the Holders with respect to
this Indenture or the Notes or otherwise under the law.

 

A
Holder may not use this Indenture to prejudice the rights of another Holder or
to obtain a preference or priority over such other Holder.

 

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

 

SECTION 6.08.                 Collection Suit by Trustee.  If an
Event of Default in payment of principal, premium or interest specified in
clause (a) or (b) of Section 6.01 occurs and is continuing, the
Trustee may recover judgment in its own name and as trustee of an express trust
against the Company or any other obligor of the Notes for the whole amount of
principal, premium, if any, and accrued interest remaining unpaid, together
with interest on overdue principal, premium, if any, and, to the extent that
payment of such interest is lawful, interest on overdue installments of
interest, in each case at the rate specified in the Notes, and such further 

 

41

 

amount
as shall be sufficient to cover the costs and expenses of collection, including
the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel.

 

SECTION 6.09.                 Trustee May File Proofs of Claim.  The
Trustee may file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including
any claim for the reasonable compensation, expenses, disbursements and advances
of the Trustee, its agents and counsel, and any other amounts due the Trustee
under Section 7.07) and the Holders allowed in any judicial proceedings
relative to the Company (or any other obligor of the Notes), its creditors or its
property and shall be entitled and empowered to collect and receive any monies,
securities or other property payable or deliverable upon conversion or exchange
of the Notes or upon any such claims and to distribute the same, and any
custodian, receiver, assignee, trustee, liquidator, sequestrator or other
similar official in any such judicial proceeding is hereby authorized by each
Holder to make such payments to the Trustee and, in the event that the Trustee
shall consent to the making of such payments directly to the Holders, to pay to
the Trustee any amount due to it for the reasonable compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any
other amounts due the Trustee under Section 7.07.  Nothing herein contained shall be deemed to
empower the Trustee to authorize or consent to, or accept or adopt on behalf of
any Holder, any plan of reorganization, arrangement, adjustment or composition
affecting the Notes or the rights of any Holder thereof, or to authorize the
Trustee to vote in respect of the claim of any Holder in any such proceeding.

 

SECTION 6.10.                 Priorities.  If the
Trustee collects any money or property pursuant to this Article Six, it
shall pay out the money or property in the following order:

 

First:  to the Trustee for all amounts due under
Section 7.07;

 

Second:  to Holders for amounts then due and unpaid
for principal of, premium, if any, and interest on the Notes 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 Notes for principal, premium, if any, and interest,
respectively; and

 

Third:  to the Company or any other obligors of the
Notes, as their interests may appear, or as a court of competent jurisdiction
may direct.

 

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

 

SECTION 6.11.                 Undertaking for Costs.   In
any suit for the enforcement of any right or remedy under this Indenture or in
any suit against the Trustee for any action taken or omitted by it as Trustee,
a court may require any party litigant in such suit to file an undertaking to
pay the costs of the suit, and the court may assess reasonable costs, including
reasonable attorneys’ fees, against any party litigant in the suit having due
regard to the merits and good faith of the claims or defenses made by the party
litigant.  This Section 6.11 does
not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07,
or a suit by Holders of more than 10% in principal amount of the outstanding
Notes.

 

42

 

SECTION 6.12.                 Restoration of Rights and Remedies.  If
the Trustee or any Holder has instituted any proceeding to enforce any right or
remedy under this Indenture and such proceeding has been discontinued or
abandoned for any reason, or has been determined adversely to the Trustee or to
such Holder, then, and in every such case, subject to any determination in such
proceeding, the Company, the Trustee and the Holders shall be restored
severally and respectively to their former positions hereunder and thereafter
all rights and remedies of the Company, Trustee and the Holders shall continue
as though no such proceeding had been instituted.

 

SECTION 6.13.                 Rights and Remedies Cumulative. 
Except as otherwise provided with respect to the replacement or payment
of mutilated, destroyed, lost or wrongfully taken Notes in Section 2.09,
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 6.14.                 Delay or Omission Not Waiver.  No
delay or omission of the Trustee or of any Holder 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 Six 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.

 

ARTICLE SEVEN

TRUSTEE

 

SECTION 7.01.                 General.  The duties
and responsibilities of the Trustee shall be as provided by the TIA and as set
forth herein.  Notwithstanding the
foregoing, no provision of this Indenture shall require the Trustee to expend
or risk its own funds or otherwise incur any financial liability in the
performance of any of its duties hereunder, or in the exercise of any of its
rights or powers, if it shall have reasonable grounds for believing that repayment
of such funds or adequate indemnity against such risk or liability is not
assured to it.  Whether or not herein
expressly so provided, every provision of this Indenture relating to the
conduct or affecting the liability of or affording protection to the Trustee
shall be subject to the provisions of this Article Seven.

 

Except
during the continuance of a Default, the Trustee will not be liable, except for
the performance of such duties as are specifically set forth in this
Indenture.  If an Event of Default has
occurred and is continuing, the Trustee will use the same degree of care and
skill in its exercise of the rights and powers vested in it under this
Indenture as a prudent person would exercise under the circumstances in the
conduct of such person’s own affairs.

 

SECTION 7.02.                 Certain Rights of Trustee. 
Subject to TIA Sections 315(a) through (d):

 

43

 

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

 

(ii)           before the Trustee acts or refrains
from acting, it may require an Officers’ Certificate or an Opinion of Counsel,
which shall conform to Section 11.04. 
The Trustee shall not be liable for any action it takes or omits to take
in good faith in reliance on such certificate or opinion;

 

(iii)          the Trustee may act through its
attorneys and agents and shall not be responsible for the misconduct or
negligence of any attorney or agent appointed with due care by it hereunder;

 

(iv)          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, unless such
Holders shall have offered to the Trustee satisfactory security or indemnity
against the costs, expenses and liabilities that might be incurred by it in
compliance with such request or direction;

 

(v)           the Trustee shall not be liable for
any action it takes or omits to take in good faith that it believes to be
authorized or within its rights or powers or for any action it takes or omits
to take in accordance with the direction of the Holders of a majority in
aggregate principal amount of the outstanding Notes 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 on the Trustee, provided that the Trustee’s conduct does
not constitute gross negligence or bad faith;

 

(vi)          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, conclusively rely upon an Officers’
Certificate;

 

(vii)         the Trustee shall not be bound to make
any investigation into the facts or matters stated in any resolution,
certificate, statement, instrument, opinion, financial statement, 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 be entitled, at the Company’s sole
cost and expense, to examine the books, records and premises of the Company
personally or by agent or attorney at the sole cost of the Company and shall
incur no liability or additional liability of any kind by reason of such
inquiry or investigation;

 

44

 

(viii)        the Trustee shall not be charged with
knowledge of any Default or Event of Default with respect to the Notes unless
either (1) a Responsible Officer shall have actual knowledge of such
Default or Event of Default or (2) written notice of such Default or Event
of Default shall have been given to the Trustee by the Company, any Subsidiary
Guarantor or by any Holder of the Notes;

 

(ix)           the Trustee may
consult with counsel of its selection and the 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;

 

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

 

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

 

(xii)          the Trustee may
request that the Company deliver a certificate setting forth the names of
individuals and/or titles of officers authorized at such time to take specified
actions pursuant to this Indenture.

 

SECTION 7.03.      Individual
Rights of Trustee.  The Trustee, in
its individual or any other capacity, may become the owner or pledgee of Notes
and may otherwise deal with the Company or its Affiliates with the same rights
it would have if it were not the Trustee. 
Any Agent may do the same with like rights.  However, the Trustee is subject to TIA
Sections 310(b) and 311.

 

SECTION 7.04.      Trustee’s
Disclaimer.  The Trustee
(i) makes no representation as to the validity or adequacy of this
Indenture or the Notes, (ii) shall not be accountable for the Company’s
use or application of the proceeds from the Notes and (iii) shall not be
responsible for any statement in the Notes other than its certificate of
authentication.

 

SECTION 7.05.      Notice
of Default.  If any Default or any
Event of Default occurs and is continuing and if such Default or Event of
Default is known to any Responsible Officer of the Trustee, the Trustee shall
mail to each Holder in the manner and to the extent provided in TIA Section 313(c) notice
of the Default or Event of Default within 90 days after it occurs, unless such
Default or Event of Default has been cured; provided,
however, that, except in the case of a default in the payment of the
principal of, premium, if any, or interest on any Note, the Trustee shall be
protected in withholding such notice if and so long as a trust committee of
Responsible Officers of the Trustee in good faith determine that the
withholding of such notice is in the interest of the Holders.

 

45

 

SECTION 7.06.      Reports
by Trustee to Holders.  Within 60
days after each May 15, beginning with May 15, 2011, the Trustee
shall mail to each Holder as provided in TIA Section 313(c) a brief
report dated as of such May 15, if required by TIA Section 313(a).

 

A
copy of each report at the time of its mailing to the Holders of Securities
shall be mailed to the Company and filed with the Commission and each stock
exchange on which the Securities are listed in accordance with TIA Section 313(d).  The Company shall promptly notify the Trustee
when the Securities are listed on any stock exchange or of any delisting
thereof.

 

SECTION 7.07.      Compensation
and Indemnity.   The Company shall
pay to the Trustee such compensation as shall be agreed upon in writing, from
time to time, for its services hereunder. 
The compensation of the Trustee shall not be limited by any law on
compensation of a trustee of an express trust. 
The Company shall reimburse the Trustee upon request for all reasonable
disbursements, expenses and advances incurred or made by the Trustee without
negligence or bad faith on its part. 
Such expenses shall include the reasonable compensation and expenses of
the Trustee’s agents and counsel.

 

The
Company and each Subsidiary Guarantor, jointly and severally, shall indemnify
each of the Trustee or any predecessor Trustee and their agents for, and hold
them harmless against, any and all loss, damage, claims, liability or expense,
including taxes (other than taxes based upon, measured by or determined by the
income of the Trustee), arising out of or in connection with the acceptance or
administration of the trust or trusts hereunder, including the costs and
expenses of defending itself against any claim (whether asserted by the
Company, or any Holder or any other Person) or liability in connection with the
exercise or performance of any of its powers or duties hereunder, or in
connection with enforcing the provisions of this Section, except to the extent
that such loss, damage, claim, liability or expense is due to its own negligence
or bad faith.  The Trustee shall notify
the Company promptly of any claim for which it may seek indemnity.  Failure by the Trustee to so notify the
Company shall not relieve the Company of its obligations hereunder, unless the
Company is materially prejudiced thereby. 
The Company shall defend the claim and the Trustee shall cooperate in
the defense provided, however, that the Trustee shall have the
right to defend such claim if, upon the advice of counsel, its interests may be
prejudiced by the conduct of such defense by the Company.  Unless otherwise set forth herein, the
Trustee may have separate counsel and the Company shall pay the reasonable fees
and expenses of such counsel.  The
Company need not pay for any settlement made without its consent, which consent
shall not be unreasonably withheld.

 

To
secure the Company’s payment obligations in this Section 7.07, the Trustee
shall have a lien prior to the Notes on all money or property held or collected
by the Trustee, in its capacity as Trustee, except money or property held in
trust to pay principal of, premium, if any, and interest on particular Notes.

 

If
the Trustee incurs expenses or renders services after the occurrence of an
Event of Default specified in clause (f) or (g) of Section 6.01,
the expenses and the compensation for the services will be intended to
constitute expenses of administration under Title 11 of the United States
Bankruptcy Code or any applicable federal or state law for the relief of
debtors.

 

46

 

The
provisions of this Section 7.07 shall survive the resignation or removal
of the Trustee and termination of this Indenture.

 

The
Trustee shall comply with the provisions of TIA Section 313(b)(2) to
the extent applicable.

 

SECTION 7.08.      Replacement
of Trustee.   A resignation or
removal of the Trustee and appointment of a successor Trustee shall become
effective only upon the successor Trustee’s acceptance of appointment as
provided in this Section 7.08.

 

The
Trustee may resign at any time by so notifying the Company in writing at least
30 days prior to the date of the proposed resignation.  The Holders of a majority in principal amount
of the outstanding Notes may remove the Trustee by so notifying the Trustee in
writing and may appoint a successor Trustee with the consent of the
Company.  The Company may remove the
Trustee if:  (i) the Trustee is no
longer eligible under Section 7.10; (ii) the Trustee is adjudged a
bankrupt or an insolvent; (iii) a receiver or other public officer takes
charge of the Trustee or its property; or (iv) the Trustee becomes
incapable of acting.

 

If
the Trustee resigns or is removed, or if a vacancy exists in the office of
Trustee for any reason, the Company shall promptly appoint a successor
Trustee.  Within one year after the
successor Trustee takes office, the Holders of a majority in principal amount
of the outstanding Notes may appoint a successor Trustee to replace the
successor Trustee appointed by the Company. 
If the successor Trustee does not deliver its written acceptance
required by the next succeeding paragraph of this Section 7.08 within 30
days after the retiring Trustee resigns or is removed, the retiring Trustee,
the Company or the Holders of a majority in principal amount of the outstanding
Notes may, at the expense of the Company, petition any court of competent
jurisdiction for the appointment of a successor Trustee.

 

A
successor Trustee shall deliver a written acceptance of its appointment to the
retiring Trustee and to the Company. 
Immediately after the delivery of such written acceptance, subject to
the lien provided in Section 7.07, (i) the retiring Trustee shall
transfer all property held by it as Trustee to the successor Trustee,
(ii) the resignation or removal of the retiring Trustee shall become
effective and (iii) the successor Trustee shall have all the rights,
powers and duties of the Trustee under this Indenture.  A successor Trustee shall mail notice of its
succession to each Holder.  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.

 

If
the Trustee is no longer eligible under Section 7.10 or shall fail to
comply with TIA Section 310(b), any Holder who satisfies the requirements
of TIA Section 310(b) may petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor
Trustee.  If at any time the Trustee
shall cease to be eligible in accordance with the provisions of this Section 7.08,
the Trustee shall resign immediately in the manner and with the effect provided
in this Section.

 

The
Company shall give notice of any resignation and any removal of the Trustee and
each appointment of a successor Trustee to all Holders.  Each notice shall include the name of the
successor Trustee and the address of its Corporate Trust Office.

 

47

 

Notwithstanding
replacement of the Trustee pursuant to this Section 7.08, the Company’s
obligation under Section 7.07 shall continue for the benefit of the
retiring Trustee.  Upon the Trustee’s
resignation or removal, the Company shall promptly pay the Trustee all amounts
owed by the Company to the Trustee.

 

SECTION 7.09.      Successor
Trustee by Merger, Etc.  If the
Trustee consolidates with, merges or converts into, or transfers all or
substantially all of its corporate trust business to, another corporation or
national banking association, the resulting, surviving or transferee
corporation or national banking association without any further act shall be
the successor Trustee with the same effect as if the successor Trustee had been
named as the Trustee herein, provided such corporation shall be otherwise
qualified and eligible under this Article.

 

SECTION 7.10.      Eligibility.  This Indenture shall always have a Trustee
who satisfies the requirements of TIA Section 310(a)(1).  The Trustee shall have a combined capital and
surplus of at least $25 million as set forth in its most recent published
annual report of condition that is subject to the requirements of applicable
federal or state supervising or examining authority.  If at any time the Trustee shall cease to be
eligible in accordance with the provisions of this Section 7.10, the
Trustee shall resign immediately in the manner and with the effect specified in
this Article.

 

SECTION 7.11.      Money
Held in Trust.  The Trustee shall not
be liable for interest on any money received by it except as the Trustee may
agree with the Company.  Money held in
trust by the Trustee need not be segregated from other funds except to the
extent required by law and except for money held in trust under Article Eight
of this Indenture.

 

ARTICLE EIGHT

DISCHARGE OF INDENTURE

 

SECTION 8.01.      Termination
of Company’s Obligations.  Except as
otherwise provided in this Section 8.01, the Company may terminate its
obligations under the Notes and this Indenture if:

 

(i)            all Notes previously authenticated
and delivered (other than destroyed, lost or stolen Notes that have been
replaced or Notes that are paid pursuant to Section 4.01 or Notes for
whose payment money or securities have theretofore been held in trust and
thereafter repaid to the Company, as provided in Section 8.05) have been
delivered to the Trustee for cancellation and the Company has paid all sums
payable by it hereunder; or

 

(ii)           (A) the Notes mature within one
year or all of them are to be called for redemption within one year under
arrangements satisfactory to the Trustee for giving the notice of redemption,
(B) the Company irrevocably deposits in trust with the Trustee during such
one-year period, under the terms of an irrevocable trust agreement in form and
substance satisfactory to the Trustee, as trust funds solely for the benefit of
the Holders for that purpose, money or U.S. Government Obligations sufficient
(in the opinion of a nationally recognized firm of independent public
accountants expressed in a written certification thereof delivered to the
Trustee), without consideration of any reinvestment of any interest thereon, to
pay principal, premium, if, any, and interest on 

 

48

 

the
Notes to maturity or redemption, as the case may be, and to pay all other sums
payable by it hereunder, (C) no Default or Event of Default with respect
to the Notes shall have occurred and be continuing on the date of such deposit,
(D) 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 and (E) the
Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel reasonably acceptable to the Trustee in each case stating that all
conditions precedent provided for herein relating to the satisfaction and
discharge of this Indenture have been complied with.

 

With
respect to the foregoing clause (i), the Company’s obligations under
Section 7.07 shall survive.  With
respect to the foregoing clause (ii), the Company’s obligations in
Sections 2.02, 2.03, 2.04, 2.05, 2.06, 2.07, 2.08, 2.09, 2.14, 4.02, 7.07,
7.08, 8.04, 8.05 and 8.06 shall survive until the Notes are no longer
outstanding.  Thereafter, only the
Company’s obligations in Sections 7.07, 8.04, 8.05 and 8.06 shall survive.  After any such irrevocable deposit, the
Trustee upon request shall acknowledge in writing the discharge of the Company’s
obligations under the Notes and this Indenture except for those surviving
obligations specified above.

 

SECTION 8.02.      Defeasance
and Discharge of Indenture.  The
Company will be deemed to have paid and will be discharged from any and all
obligations in respect of the Notes on the 123rd day after the deposit
referred to in clause (A) of this Section 8.02, and the provisions of
this Indenture will no longer be in effect with respect to the Notes (except
for, among other matters, certain obligations to register the transfer or
exchange of the Notes, to replace stolen, lost or mutilated Notes, to maintain
paying agencies and to hold monies for payment in trust) and the Trustee, at
the expense of the Company, shall execute proper instruments acknowledging the
same if:

 

(A)          With
reference to this Section 8.02, the Company has irrevocably deposited or
caused to be irrevocably deposited with the Trustee (or another trustee
satisfying the requirements of Section 7.10) and conveyed all right, title
and interest to the Trustee for the benefit of the Holders, under the terms of
an irrevocable trust agreement in form and substance satisfactory to the
Trustee as trust funds in trust specifically pledged to the Trustee for the
benefit of the Holders as security for payment of the principal of, or premium,
if any, on the Notes and dedicated solely to, the benefit of the Holders, in
and to (1) money in an amount, (2) U.S. Government Obligations that
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 (A), money in an amount or (3) a combination
thereof in an amount sufficient, in the opinion of a nationally recognized firm
of independent public accountants expressed in a written certification thereof
delivered to the Trustee, to pay and discharge, without consideration of the
reinvestment of such interest and after payment of all federal, state and local
taxes or other charges and assessments in respect thereof payable by the
Trustee, the principal of, premium if any, and accrued interest on the
outstanding Notes (i) on the Stated Maturity of such principal and
interest; provided that the Trustee shall have been irrevocably instructed to
apply such money or the proceeds of such U.S. Government Obligations to the
payment of such principal, premium, if any, and interest 

 

49

 

with respect to the Notes or (ii) on any
earlier Redemption Date pursuant to the terms of this Indenture and the Notes;
provided that the Company has provided the Trustee with irrevocable
instructions to redeem all of the outstanding Notes on such Redemption Date;

 

(B)           The
Company has delivered to the Trustee (1) either (x) an Opinion of
Counsel to the effect that the beneficial owners of the Notes will not
recognize income, gain or loss for federal income tax purposes as a result of
the Company’s exercise of its option under this Section 8.02 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, which Opinion of Counsel shall be based upon (and
accompanied by a copy of) a ruling of the Internal Revenue Service to the same
effect unless there has been a change in applicable federal income tax law
after the Closing Date such that a ruling is no longer required or (y) a
ruling directed to the Trustee received from the Internal Revenue Service to
the same effect as the aforementioned Opinion of Counsel and (2) an
Opinion of Counsel to the effect that the creation of the defeasance trust does
not violate the Investment Company Act of 1940 and that after the passage of
123 days following the deposit (except, with respect to any trust funds for the
account of any Holder who may be deemed to be an “insider” for purposes of the
United States Bankruptcy Code, after one year following the deposit), the trust
funds will not be subject to the effect of Section 547 of the United
States Bankruptcy Code or Section 15 of the New York Debtor and Creditor
Law in a case commenced by or against the Company under either such statute,
and either (I) the trust funds will no longer remain the property of the
Company (and therefore will not be subject to the effect of any applicable
bankruptcy, insolvency, reorganization or similar laws affecting creditors’
rights generally) or (II) if a court were to rule under any such law
in any case or proceeding that the trust funds remained property of the
Company, (a) assuming such trust funds remained in the possession of the
Trustee prior to such court ruling to the extent not paid to the Holders, the
Trustee will hold, for the benefit of the Holders, a valid and perfected
security interest in such trust funds that is not avoidable in bankruptcy or
otherwise except for the effect of Section 552(b) of the United
States Bankruptcy Code on interest on the trust funds accruing after the
commencement of a case under such statute and (b) the Holders will be
entitled to receive adequate protection of their interests in such trust funds
if such trust funds are used in such case or proceeding;

 

(C)           immediately
after giving effect to such deposit on a pro forma basis, no Event of Default, or event that
after the giving of notice or lapse of time or both would become an Event of
Default, shall have occurred and be continuing on the date of such deposit or
during the period ending on the 123rd day after the date of such deposit,
and such deposit shall not result in a breach or violation of, or constitute a
default under, any other material agreement or instrument to which the Company
or any of its Subsidiaries is a party or by which the Company or any of its
Subsidiaries is bound;

 

(D)          if
at such the Notes are then listed on a national securities exchange, the
Company has delivered to the Trustee an Opinion of Counsel to the effect that
the Notes will not be delisted as a result of such deposit, defeasance and
discharge; and

 

50

 

(E)           the
Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, in each case stating that all conditions precedent provided for herein
relating to the defeasance contemplated by this Section 8.02 have been
complied with.

 

Notwithstanding
the foregoing, prior to the end of the 123-day (or one-year) period referred to
in clause (B)(2) of this Section 8.02, none of the Company’s
obligations under this Indenture shall be discharged.  Subsequent to the end of such 123-day (or one
year) period with respect to this Section 8.02, the Company’s obligations
in Sections 2.02, 2.03, 2.04, 2.05, 2.06, 2.07, 2.08, 2.09, 2.14, 4.02, 8.04,
8.05, 8.06 and the rights, powers, trusts, duties and immunities of the Trustee
hereunder shall survive until the Notes are no longer outstanding.  Thereafter, only the Company’s obligations in
Sections 7.07, 8.04, 8.05 and 8.06 shall survive.  If and when a ruling from the Internal
Revenue Service or an Opinion of Counsel referred to in clause (B)(1) of
this Section 8.02 is able to be provided specifically without regard to,
and not in reliance upon, the continuance of the Company’s obligations under Section 4.01,
then the Company’s obligations under such Section 4.01 shall cease upon
delivery to the Trustee of such ruling or Opinion of Counsel and compliance
with the other conditions precedent provided for herein relating to the
defeasance contemplated by this Section 8.02.

 

After
any such irrevocable deposit, the Trustee upon request shall acknowledge in
writing the discharge of the Company’s obligations under the Notes and this
Indenture except for those surviving obligations in the immediately preceding
paragraph.

 

SECTION 8.03.      Defeasance
of Certain Obligations.  The Company
may omit to comply with any term, provision or condition set forth in Sections
4.03 through 4.05 and 4.11 and such omission shall be deemed not to be an Event
of Default under clause (c) of Section 6.01 and clauses (d) and
(e) of Section 6.01 of this Indenture, shall be deemed not to be
Events of Default, in each case with respect to the outstanding Notes if:

 

(i)            with reference to this Section 8.03,
the Company has irrevocably deposited or caused to be irrevocably deposited
with the Trustee (or another trustee satisfying the requirements of Section 7.10)
and conveyed all right, title and interest to the Trustee for the benefit of
the Holders, under the terms of an irrevocable trust agreement in form and
substance satisfactory to the Trustee as trust funds in trust, specifically
pledged to the Trustee for the benefit of the Holders as security for payment
of the principal of, premium, if any, and interest, if any, on the Notes, and
dedicated solely to, the benefit of the Holders, in and to (A) money in an
amount, (B) U.S. Government Obligations that, through the payment of
interest, premium, if any, 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 this clause (i), money in an amount or (C) a combination
thereof in an amount sufficient, in the opinion of a nationally recognized firm
of independent public accountants expressed in a written certification thereof
delivered to the Trustee, to pay and discharge, without consideration of the
reinvestment of such interest and after payment of all federal, state and local
taxes or other charges and assessments in respect thereof payable by the
Trustee, the principal of, premium, if any, and interest on the outstanding
Notes (i) on the Stated Maturity of such principal or interest; provided that the Trustee shall have been
irrevocably instructed to apply such money or the proceeds of such U.S.
Government Obligations to the payment 

 

51

 

of
such principal, premium, if any, and interest with respect to the Notes or (ii) on
any earlier Redemption Date pursuant to the terms of this Indenture and the
Notes; provided that the Company
has provided the Trustee with irrevocable instructions to redeem all of the
outstanding Notes on such redemption Date;

 

(ii)           the Company has delivered to the
Trustee an Opinion of Counsel to the effect that (A) the creation of the
defeasance trust does not violate the Investment Company Act of 1940, (B) after
the passage of 123 days following the deposit (except, with respect to any
trust funds for the account of any Holder who may be deemed to be an “insider”
for purposes of the United States Bankruptcy Code, after one year following the
deposit), the trust funds will not be subject to the effect of Section 547
of the United States Bankruptcy Code or Section 15 of the New York Debtor
and Creditor Law in a case commenced by or against the Company under either
such statute, and either (1) the trust funds will no longer remain the
property of the Company (and therefore will not be subject to the effect of any
applicable bankruptcy, insolvency, reorganization or similar laws affecting
creditors’ rights generally) or (2) if a court were to rule under any
such law in any case or proceeding that the trust funds remained property of
the Company, (x) assuming such trust funds remained in the possession of the
Trustee prior to such court ruling to the extent not paid to the Holders, the
Trustee will hold, for the benefit of the Holders, a valid and perfected
security interest in such trust funds that is not avoidable in bankruptcy or
otherwise (except for the effect of Section 552(b) of the United
States Bankruptcy Code on interest on the trust funds accruing after the
commencement of a case under such statute) and (y) the Holders will be
entitled to receive adequate protection of their interests in such trust funds
if such trust funds are used in such case or proceeding, (C) the
beneficial owners of the Notes will not recognize income, gain or loss for
federal income tax purposes as a result of such deposit and defeasance of
certain covenants and Events of Default 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 and (D) the
Trustee, for the benefit of the Holders, has a valid first-priority security
interest in the trust funds;

 

(iii)          immediately after giving effect to
such deposit on a pro forma basis, no Default or Event of Default shall have
occurred and be continuing on the date of such deposit or during the period
ending on the 123rd day after such date of such deposit, and such deposit shall
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 or any of
its Subsidiaries is a party or by which the Company or any of its Subsidiaries
is bound;

 

(iv)          if the Notes are then listed on a
national securities exchange, the Company has delivered to the Trustee an
Opinion of Counsel to the effect that the Notes will not be delisted as a
result of such deposit, defeasance and discharge; and

 

(v)           the Company has delivered to the
Trustee an Officers’ Certificate and an Opinion of Counsel, in each case
stating that all conditions precedent provided for herein relating to the
defeasance contemplated by this Section 8.03 have been complied with.

 

52

 

SECTION 8.04.      Application
of Trust Money.  Subject to Section 8.06,
the Trustee or Paying Agent shall hold in trust money or U.S. Government
Obligations deposited with it pursuant to Section 8.01, 8.02 or 8.03, as
the case may be, and shall apply the deposited money and the money from U.S.
Government Obligations in accordance with the Notes and this Indenture to the
payment of principal of, premium, if any, and interest on the Notes; but such
money need not be segregated from other funds except to the extent required by
law.

 

SECTION 8.05.      Repayment
to Company.  Subject to any
applicable escheat and abandoned property laws and Sections 7.07, 8.01, 8.02
and 8.03, the Trustee and the Paying Agent shall promptly pay to the Company
upon request set forth in an Officers’ Certificate any excess money held by
them at any time and thereupon shall be relieved from all liability with
respect to such money.  The Trustee and
the Paying Agent shall pay to the Company upon request any money held by them
for the payment of principal, premium, if any, or interest that remains
unclaimed for two years; provided
that the Trustee or Paying Agent before being required to make any payment may
cause to be published at the expense of the Company once in a newspaper of
general circulation in The City of New York or mail to each Holder entitled to
such money at such Holder’s address (as set forth in the Security Register)
notice that such money remains unclaimed and that after a date specified
therein (which shall be at least 30 days from the date of such publication or
mailing) any unclaimed balance of such money then remaining will be repaid to
the Company.  After payment to the
Company, Holders entitled to such money must look to the Company for payment as
general creditors unless an applicable law designates another Person, and all
liability of the Trustee and such Paying Agent with respect to such money shall
cease.

 

SECTION 8.06.      Reinstatement.  If the Trustee or Paying Agent is unable to
apply any money or U.S. Government Obligations in accordance with Section 8.01,
8.02 or 8.03, as the case may be, by reason of any legal proceeding or by
reason of any order or judgment of any court or governmental authority
enjoining, restraining or otherwise prohibiting such application, the Company’s
obligations under this Indenture and the Notes shall be revived and reinstated
as though no deposit had occurred pursuant to Section 8.01, 8.02 or 8.03,
as the case may be, until such time as the Trustee or Paying Agent is permitted
to apply all such money or U.S. Government Obligations in accordance with
Section 8.01, 8.02 or 8.03, as the case may be; provided that, if the Company has made any payment of principal
of, premium, if any, or interest on any Notes because of the reinstatement of
its obligations, the Company shall be subrogated to the rights of the Holders
of such Notes to receive such payment from the money or U.S. Government
Obligations held by the Trustee or Paying Agent.

 

ARTICLE NINE

AMENDMENTS, SUPPLEMENTS AND WAIVERS

 

SECTION 9.01.      Without
Consent of Holders.  The Company,
when authorized by a resolution of its Board of Directors (as evidenced by a
Board Resolution delivered to the Trustee), the Subsidiary Guarantors and the
Trustee may amend or supplement this Indenture or the Notes without notice to
or the consent of any Holder to:

 

(1)           cure
any ambiguity, defect or inconsistency in this Indenture;

 

53

 

(2)                                  comply with Article Five
or Section 4.13;

 

(3)                                  comply with any requirements
of the Commission in connection with the qualification of this Indenture under
the TIA or in order to maintain such qualification;

 

(4)                                  evidence and provide for the
acceptance of appointment hereunder by a successor Trustee;

 

(5)                                  to evidence the succession
of another Person to the Company and the assumption by any such successor of
the covenants of the Company in this Indenture and in the Notes;

 

(6)                                  to add to the covenants of the
Company for the benefit of the Holders, or to surrender any right or power
herein conferred upon the Company;

 

(7)                                  to add additional Events of
Default;

 

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

 

(9)                                  to conform the text of this
Indenture or the Notes to any provision of the “Description of notes” in the
Company’s Offering Memorandum dated August 10, 2010 related to the Notes,
to the extent that such provision in such “Description of notes” was intended
to be a substantially verbatim recitation of a provision of this Indenture or
the Notes;

 

(10)                            to allow any Subsidiary
Guarantor to execute a supplemental indenture and a Note Guarantee with respect
to the Notes or to release a Guarantee or a security interest under the Notes
or a Note Guarantee in accordance with the terms of this Indenture;

 

(11)                            to evidence and provide for
the acceptance of appointment under this Indenture by a successor Trustee;

 

(12)                            to make any change that
would provide any additional rights or benefits to the Holders;

 

(13)                            to comply with the rules of
any applicable securities depository;

 

(14)                            provide for the issuance of
Additional Notes; or

 

(15)                            make any change that does
not materially and adversely affect the rights of Holders.

 

SECTION 9.02.                 With Consent of Holders. 
Subject to Sections 6.04 and 6.07 and without prior notice to the
Holders, the Company, when authorized by its Board of Directors (as evidenced
by a Board Resolution delivered to the Trustee), the Subsidiary Guarantors and
the Trustee may amend this Indenture and the Notes with the consent of the 

 

54

 

Holders
of a majority in aggregate principal amount of the Notes then outstanding, and
the Holders of a majority in aggregate principal amount of the Notes then
outstanding by written notice to the Trustee may waive future compliance by the
Company with any provision of this Indenture or the Notes.

 

Notwithstanding
the provisions of this Section 9.02, without the consent of each Holder
affected, an amendment or waiver, including a waiver pursuant to Section 6.04,
may not:

 

(i)                                     change the Stated Maturity of the principal of, or any installment of
interest on, any Note;

 

(ii)                                  reduce the principal amount of, or premium, if any, or interest on, any
Note;

 

(iii)                               change the optional redemption dates or optional redemption prices of the
Notes from that stated in Section 3.01;

 

(iv)                              change the place or currency of payment of principal of, or premium, if
any, or interest on, any Note;

 

(v)                                 impair the right to institute suit for the enforcement of any payment on
or after the Stated Maturity (or, in the case of redemption, on or after the
Redemption Date) of any Note;

 

(vi)                              waive a Default in the payment of principal of, premium, if any, or
interest on the Notes;

 

(vii)                           modify any of the provisions of this Section 9.02, 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 Note affected thereby;

 

(viii)                        release any Subsidiary Guarantor from its Note Guarantee, except as
provided in this Indenture;

 

(ix)                                amend, change or modify the obligation of the Company to make and
consummate an Offer to Purchase under Section 4.05 after a Change of
Control has occurred, including, in each case, amending, changing or modifying
any definition relating thereto; or

 

(x)                                   reduce the percentage or aggregate principal amount of outstanding Notes
the consent of whose Holders is necessary for waiver of compliance with certain
provisions of this Indenture or for waiver of certain Defaults.

 

It
shall not be necessary for the consent of the Holders under this Section 9.02
to approve the particular form of any proposed amendment, supplement or waiver,
but it shall be sufficient if such consent approves the substance thereof.

 

55

 

After
an amendment, supplement or waiver under this Section 9.02 becomes
effective, the Company shall mail to the Holders affected thereby a notice
briefly describing the amendment, supplement or waiver.  The Company will mail supplemental indentures
to Holders upon request.  Any failure of
the Company to mail such notice, or any defect therein, shall not, however, in
any way impair or affect the validity of any such supplemental indenture or
waiver.

 

SECTION 9.03.                 Revocation and Effect of Consent.  Until
an amendment or waiver becomes effective, a consent to it by a Holder is a
continuing consent by the Holder and every subsequent Holder of a Note or
portion of a Note that evidences the same debt as the Note of the consenting
Holder, even if notation of the consent is not made on any Note.  However, any such Holder or subsequent Holder
may revoke the consent as to its Note or portion of its Note.  Such revocation shall be effective only if
the Trustee receives the notice of revocation before the date the amendment,
supplement or waiver becomes effective. 
An amendment, supplement or waiver shall become effective on receipt by
the Trustee of written consents from the Holders of the requisite percentage in
principal amount of the outstanding Notes.

 

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, supplement or
waiver.  If a record date is fixed, then,
notwithstanding the last two sentences 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,
supplement or waiver or to revoke any consent previously given, whether or not
such persons continue to be Holders after such record date.  No such consent shall be valid or effective
for more than 90 days after such record date.

 

After
an amendment, supplement or waiver becomes effective, it shall bind every
Holder unless it is of the type described in the second paragraph of
Section 9.02.  In case of an
amendment or waiver of the type described in the second paragraph of Section 9.02,
the amendment or waiver shall bind each Holder who has consented to it and
every subsequent Holder of a Note that evidences the same indebtedness as the
Note of the consenting Holder.

 

SECTION 9.04.                 Notation on or Exchange of Notes.  If an
amendment, supplement or waiver changes the terms of a Note, the Trustee may
require the Holder to deliver such Note to the Trustee.  At the Company’s expense, the Trustee may
place an appropriate notation on the Note about the changed terms and return it
to the Holder and the Trustee may place an appropriate notation on any Note
thereafter authenticated.  Alternatively,
if the Company or the Trustee so determines, the Company in exchange for the
Note shall issue and the Trustee shall authenticate a new Note that reflects
the changed terms.  Failure to make the
appropriate notation, or issue a new Note, shall not affect the validity and
effect of such amendment, supplement or waiver.

 

SECTION 9.05.                 Trustee to Sign Amendments, Etc.  The
Trustee shall be entitled to receive, and shall be fully protected in relying
upon, an Opinion of Counsel stating that the execution of any amendment,
supplement or waiver authorized pursuant to this Article Nine is
authorized or permitted by this Indenture and that it will be valid and binding
upon the Company.  Subject to the
preceding sentence, the Trustee shall sign such amendment, supplement or waiver
if the same does not adversely affect the rights, duties, liabilities or 

 

56

 

immunities
of the Trustee.  The Trustee may, but
shall not be obligated to, execute any such amendment, supplement or waiver
that affects the Trustee’s own rights, duties or immunities under this
Indenture or otherwise.

 

SECTION 9.06.                 Conformity with Trust Indenture Act.  Every
supplemental indenture executed pursuant to this Article Nine shall
conform to the requirements of the TIA as then in effect.

 

ARTICLE TEN

GUARANTEE OF NOTES

 

SECTION 10.01.           Note Guarantee.  Subject to
the provisions of this Article Ten, each Subsidiary Guarantor hereby,
jointly and severally, fully and unconditionally Guarantees to each Holder of
Notes hereunder and to the Trustee on behalf of the Holders:  (i) the due and punctual payment of the
principal of, premium, if any, on and interest on each Note, when and as the
same shall become due and payable, whether at maturity, by acceleration or
otherwise, the due and punctual payment of interest on the overdue principal of
and interest, if any, on the Notes, to the extent lawful, and the due and
punctual performance of all other obligations of the Company to the Holders or
the Trustee, all in accordance with the terms of such Note and this Indenture
and (ii) in the case of any extension of time of payment or renewal of any
Notes or any of such other obligations, that the same will be promptly paid in
full when due or performed  in accordance
with the terms of the extension or renewal, at Stated Maturity, by acceleration
or otherwise, subject, however, in the case of clauses (i) and (ii) above,
to the limitations set forth in the next succeeding paragraph.

 

Each
Subsidiary Guarantor and by its acceptance hereof each Holder hereby confirms
that it is the intention of all such parties that the Guarantee by any Subsidiary
Guarantor pursuant to its Note Guarantee not constitute a fraudulent transfer
or conveyance for purposes of the United States Bankruptcy Code, the Uniform
Fraudulent Conveyance Act, the Uniform Fraudulent Transfer Act or any similar
Federal or state law.  To effectuate the
foregoing intention, the Holders and each Subsidiary Guarantor hereby
irrevocably agree that the obligations of each Subsidiary Guarantor under its
Note Guarantee shall be limited to the maximum amount as will, after giving
effect to all other contingent and fixed liabilities of each Subsidiary
Guarantor and after giving effect to any collections from or payments made by
or on behalf of any other Subsidiary Guarantor in respect of the obligations of
such other Subsidiary Guarantor under its Note Guarantee or pursuant to the
following paragraph, result in the obligations of such Subsidiary Guarantor
under its Note Guarantee not constituting such fraudulent transfer or
conveyance.

 

In
order to provide for just and equitable contribution among the Subsidiary
Guarantors, the Subsidiary Guarantors agree, inter
se, that in the event any payment or distribution is made by any
Subsidiary Guarantor (a “Funding Guarantor”) under its Note Guarantee,
such Funding Guarantor shall be entitled to a contribution from all other
Subsidiary Guarantors in a pro rata
amount based on the Adjusted Net Assets of each Subsidiary Guarantor (including
the Funding Guarantor) for all payments, damages and expenses incurred by that
Funding Guarantor in discharging the Company’s obligations with respect to the
Notes or any other Subsidiary Guarantor’s obligations with respect to its Note
Guarantee.  “Adjusted Net 

 

57

 

Assets” of such
Subsidiary Guarantor at any date shall mean the lesser of the amount by which (x) the
fair value of the property of such Subsidiary Guarantor exceeds the total
amount of liabilities, including, without limitation, contingent liabilities
(after giving effect to all other fixed and contingent liabilities incurred or
assumed on such date), but excluding liabilities under the Note Guarantee, of
such Guarantor at such date and (y) the present fair salable value of the
assets of such Subsidiary Guarantor at such date exceeds the amount that will
be required to pay the probable liability of such Subsidiary Guarantor on its
debts (after giving effect to all other fixed and contingent liabilities
incurred or assumed on such date and after giving effect to any collection from
any Subsidiary of such Subsidiary Guarantor in respect of the obligations of
such Subsidiary under the Note Guarantee of such Subsidiary Guarantor),
excluding debt in respect of its Note Guarantee of such Subsidiary Guarantor),
excluding debt in respect of its Note Guarantee, as they become absolute and
matured.

 

Each
Subsidiary Guarantor hereby waives diligence, presentment, demand of payment,
filing of claims with a court in the event of merger or bankruptcy of the
Company, any right to require a proceeding first against the Company, the
benefit of discussion, protest or notice with respect to any such Note or the
debt evidenced thereby and all demands whatsoever (except as specified above),
and covenants that this Note Guarantee will not be discharged as to any such
Note except by payment in full of the principal thereof and interest thereon
and as provided in Sections 8.01,  8.02
and 8.03. In the event of any declaration of acceleration of such obligations
as provided in Article Six, such obligations (whether or not due and payable)
shall forthwith become due and payable by each Subsidiary Guarantor for the
purposes of this Article Ten.  In
addition, without limiting the foregoing provisions, upon the effectiveness of
an acceleration under Article Six, the Trustee shall promptly make a
demand for payment on the Notes under the Note Guarantee provided for in this Article Ten.

 

The
obligations of each Subsidiary Guarantor under its Note Guarantee are
independent of the obligations Guaranteed by the Subsidiary Guarantor
hereunder, and a separate action or actions may be brought and prosecuted by
the Trustee on behalf of, or by, the Holders, subject to the terms and
conditions set forth in this Indenture, against any Subsidiary Guarantor to
enforce this Note Guarantee, irrespective of whether any action is brought
against the Company or whether the Company is joined in any such action or
actions.

 

If
the Trustee or the Holder is required by any court or otherwise to return to
the Company or any Subsidiary Guarantor, or any custodian, receiver,
liquidator, trustee, sequestrator or other similar official acting in relation
to Company or any Subsidiary Guarantor, any amount paid to the Trustee or such
Holder in respect of a Note, this Note Guarantee, to the extent theretofore
discharged, shall be reinstated in full force and effect.  Each Subsidiary Guarantor further agrees, to
the fullest extent that it may lawfully do so, that, as between it, on the one
hand, and the Holders and the Trustee, on the other hand, the maturity of the
obligations Guaranteed hereby may be accelerated as provided in Article Six
hereof for the purposes of this Note Guarantee, notwithstanding any stay,
injunction or other prohibition extant under any applicable bankruptcy law
preventing such acceleration in respect of the obligations Guaranteed hereby.

 

Each
Subsidiary Guarantor hereby irrevocably waives any claim or other rights which
it may now or hereafter acquire against the Company or any other Subsidiary
Guarantor 

 

58

 

that
arise from the existence, payment, performance or enforcement of its
obligations under this Note Guarantee and this Indenture, including, without
limitation, any right of subrogation, reimbursement, exoneration, contribution,
indemnification, any right to participate in any claim or remedy of the Holders
against the Company or any Subsidiary Guarantor or any collateral which any
such Holder or the Trustee on behalf of such Holder hereafter acquires, whether
or not such claim, remedy or right arises in equity, or under contract, statute
or common law, including, without limitation, the right to take or receive from
the Company or a Subsidiary Guarantor, directly or indirectly, in cash or other
property or by set-off or in any other manner, payment or security on account
of such claim or other rights.  If any
amount shall be paid to a Subsidiary Guarantor in violation of the preceding
sentence and the principal of, premium, if any, and accrued interest on the Notes
shall not have been paid in full, such amount shall be deemed to have been paid
to such Subsidiary Guarantor for the benefit of, and held in trust for the
benefit of, the Holders, and shall forthwith be paid to the Trustee for the
benefit of the Holders to be credited and applied upon the principal of,
premium, if any, and accrued interest on the Notes.  Each Subsidiary Guarantor acknowledges that
it will receive direct and indirect benefits from the issuance of the Notes
pursuant to this Indenture and that the waivers set forth in this Section 10.01
are knowingly made in contemplation of such benefits.

 

The
Note Guarantee set forth in this Section 10.01 shall not be valid or
become obligatory for any purpose with respect to a Note until the certificate
of authentication on such Note shall have been signed by or on behalf of the
Trustee.

 

SECTION 10.02.           Obligations Unconditional. 
Nothing contained in this Article Ten or elsewhere in this
Indenture or in the Notes is intended to or shall impair, as among any
Subsidiary Guarantor and the holders of the Notes, the obligation of such
Subsidiary Guarantor, which is absolute and unconditional, upon failure by the
Company to pay to the holders of the Notes the principal of, premium, if any,
and interest on the Notes as and when the same shall become due and payable in
accordance with their terms, or is intended to or shall affect the relative
rights of the Holders and creditors of such Subsidiary Guarantor, nor shall
anything herein or therein prevent any Holder or the Trustee on their behalf
from exercising all remedies otherwise permitted by applicable law upon default
under this Indenture.

 

Without
limiting the foregoing, nothing contained in this Article Ten will
restrict the right of the Trustee or the Holders to take any action to declare
the Note Guarantee to be due and payable prior to the Stated Maturity of any
Notes pursuant to Section 6.02 or to pursue any rights or remedies
hereunder.

 

SECTION 10.03.           Release of Note Guarantees.  The
Note Guarantee issued by any Subsidiary Guarantor will be automatically and
unconditionally released and discharged upon:

 

(i)                                     any sale, exchange or transfer to any Person
(other than a Subsidiary of the Company) of any of the Capital Stock of such
Subsidiary Guarantor;

 

(ii)                                  in the event all or substantially all the
assets or Capital Stock of a Subsidiary Guarantor are sold or otherwise
transferred, by way of merger, consolidation or otherwise, to a Person in
compliance with the terms of this Indenture;

 

59

 

(iii)                               the release or discharge of the guarantee by
such Subsidiary Guarantor of Indebtedness of the Company or the repayment of
the Indebtedness (or Attributable Debt) of such Subsidiary Guarantor, in each
case which resulted in the obligation to Guarantee the Notes  or if such Subsidiary no longer Guarantees
the Credit Agreement; provided that such Subsidiary Guarantor has not
Guaranteed any other Funded Debt of the Company or incurred or otherwise become
liable for any other Indebtedness (or Attributable Debt) which would have
resulted in an obligation to Guarantee the Notes;

 

(iv)                              if the Notes
are rated Investment Grade by both Rating Agencies and no Default or Event of
Default shall have occurred and then be continuing;

 

(v)                                 in the event of
liquidation or dissolution of such Subsidiary or Guarantor; or

 

(vi)                              if the Notes
are defeased or discharged in accordance with the terms of this Indenture.

 

SECTION 10.04.           Notice to Trustee.  Each
Subsidiary Guarantor shall give prompt written notice to the Trustee of any fact
known to such Subsidiary Guarantor which would prohibit the making of any
payment to or by the Trustee in respect of the Note Guarantee pursuant to the
provisions of this Article Ten.

 

SECTION 10.05.           This Article Not to Prevent Events of
Default.  The failure to make a payment on account of
principal of, premium, if any, or interest on the Notes by reason of any
provision of this Article Ten will not be construed as preventing the
occurrence of an Event of Default.

 

ARTICLE ELEVEN

MISCELLANEOUS

 

SECTION 11.01.           Trust Indenture Act of 1939.  Prior
to the effectiveness of the Registration Statement, this Indenture shall
incorporate and be governed by the provisions of the TIA that are required to
be part of and to govern indentures qualified under the TIA.  After the effectiveness of the Registration
Statement, this Indenture shall be subject to the provisions of the TIA that
are required to be a part of this Indenture and shall, to the extent
applicable, be governed by such provisions.

 

SECTION 11.02.           Notices.  Any
notice, request or communication shall be sufficiently given if in writing and
delivered in person, mailed by first-class mail or sent by telecopier
transmission addressed as follows:

 

if
to the Company:

 

SPX
Corporation

13515
Ballantyne Corporate Place,

Charlotte,
North Carolina 28277

Telecopier
No.:  (704) 752-7436

 

60

 

Attention:  Office of Assistant General Counsel, SEC
Reporting

 

if
to the Trustee:

 

U.S.
Bank National Association

Corporate Trust Services

Hearst Tower - 214 N. Tryon Street, 27th Floor

Charlotte, NC 28202

Telecopier
No.:  (704) 335-4676

 

Attention:  Katherine A. Esber, CCTS,

    Vice
President & Account Manager

 

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

 

Any
notice or communication mailed to a Holder shall be mailed to it at its address
as it appears on the Security Register by first-class mail and shall be
sufficiently given to the Holder if so mailed within the time prescribed.  Any notice or communication shall also be so
mailed to any Person described in TIA Section 313(c), to the extent
required by the TIA.  Copies of any such
communication or notice to a Holder shall also be mailed to the Trustee and
each Agent at the same time.

 

Failure
to mail a notice or communication to a Holder as provided herein or any defect
in any such notice or communication shall not affect its sufficiency with
respect to other Holders.  Except for a
notice to the Trustee, which is deemed given only when received, and except as
otherwise provided in this Indenture, if a notice or communication is mailed in
the manner provided in this Section 11.02, it is duly given, whether or
not the addressee receives it.

 

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

 

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

 

Holders
may communicate pursuant to TIA Section 312(b) with other Holders
with respect to their rights under this Indenture or the Notes.  The Company, the Trustee, the Registrar and
anyone else shall have the protection of TIA Section 312(c).

 

SECTION 11.03.           Certificate and Opinion as to Conditions
Precedent.  Upon any request or application by the
Company to the Trustee to take any action under this Indenture, the Company
shall furnish to the Trustee:

 

61

 

(i)                                     an Officers’ Certificate stating that, in the opinion of the signers, all
conditions precedent, if any, provided for in this Indenture relating to the
proposed action have been complied with; and

 

(ii)                                  an Opinion of Counsel stating that, in the opinion of such Counsel, all
such conditions precedent have been complied with.

 

SECTION 11.04.           Statements Required in Certificate or Opinion.   Each
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture shall include:

 

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

 

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

 

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

 

(iv)                              a statement as to whether or not, in the opinion of each such person,
such condition or covenant has been complied with; provided, however, that, with respect to matters of fact, an
Opinion of Counsel may rely on an Officers’ Certificate or certificates of
public officials.

 

SECTION 11.05.           Rules by Trustee, Paying Agent or
Registrar.  The Trustee may make reasonable rules for
action by or at a meeting of Holders. 
The Paying Agent or Registrar may make reasonable rules for its
functions.

 

SECTION 11.06.           Payment Date Other Than a Business Day.  If an
Interest Payment Date, Redemption Date, Payment Date, Stated Maturity or date
of maturity of any Note shall not be a Business Day, then payment of principal
of, premium, if any, or interest on such Note, as the case may be, need not be
made on such date, but may be made on the next succeeding Business Day with the
same force and effect as if made on the Interest Payment Date, Payment Date or
Redemption Date, or at the Stated Maturity or date of maturity of such Note; provided that no interest shall accrue for
the period from and after such Interest Payment Date, Payment Date, Redemption
Date, Stated Maturity or date of maturity, as the case may be.

 

SECTION 11.07.           Governing Law.  This Indenture
and the Notes shall be governed by the laws of the State of New York.  The Trustee, the Company and the Holders
agree to submit to the jurisdiction of the courts of the State of New York in
any action or proceeding arising out of or relating to this Indenture or the
Notes.

 

62

 

SECTION 11.08.           No Adverse Interpretation of Other Agreements.  Any
other indenture, loan or debt agreement of the Company may not be used to
interpret this Indenture.

 

SECTION 11.09.           No Recourse Against Others.  No
recourse for the payment of the principal of, premium, if any, or interest on
any of the Notes, or for any claim based thereon or otherwise in respect
thereof, and no recourse under or upon any obligation, covenant or agreement of
the Company contained in this Indenture or in any of the Notes, or because of
the creation of any Indebtedness represented thereby, shall be had against any
incorporator or against any past, present or future partner, stockholder, other
equityholder, officer, director, employee or controlling person, as such, of
the Company or of any successor Person, either directly or through the Company
or any successor Person, whether by virtue of any constitution, statute or rule of
law, or by the enforcement of any assessment or penalty or otherwise; it being
expressly understood that all such liability is hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this
Indenture and the issue of the Notes.

 

SECTION 11.10.           Successors.  All
agreements of the Company in this Indenture and the Notes shall bind its
successors.  All agreements of the
Trustee in this Indenture shall bind its successor.

 

SECTION 11.11.           Duplicate Originals.  The
parties may sign any number of copies of this Indenture.  Each signed copy shall be an original, but
all of them together represent the same agreement.

 

SECTION 11.12.           Separability.   In case
any provision in this Indenture or in the Notes shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

 

SECTION 11.13.           Table of Contents, Headings, Etc.  The
Table of Contents, Cross-Reference Table and headings of the Articles and
Sections of this Indenture have been inserted for convenience of reference
only, are not to be considered a part hereof and shall in no way modify or
restrict any of the terms and provisions hereof.

 

SECTION 11.14.           Force Majeure.  In no event shall the Trustee be responsible
or liable for any failure or delay in the performance of its obligations
hereunder arising out of or caused by, directly or indirectly, forces beyond
its control, including, without limitation, strikes, work stoppages, accidents,
acts of war or terrorism, civil or military disturbances, nuclear or natural
catastrophes or acts of God, and interruptions, loss or malfunctions of
utilities, communications or computer (software and hardware) services; it
being understood that the Trustee shall use reasonable efforts which are
consistent with accepted practices in the banking industry to resume
performance as soon as practicable under the circumstances.

 

63

 

SIGNATURES

 

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

 

	
   

  	
  SPX
  CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Senior
  Vice President, Secretary and General

  
	
   

  	
   

  	
  Counsel

  

 

64

 

	
   

  	
  APV
  NORTH AMERICA, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

65

 

	
   

  	
  FLAIR
  CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

66

 

	
   

  	
  KAYEX
  CHINA HOLDINGS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

67

 

	
   

  	
  SPX
  COOLING TECHNOLOGIES, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

68

 

	
   

  	
  SPX
  HEAT TRANSFER INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

69

 

	
   

  	
  TCI
  INTERNATIONAL, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

70

 

	
   

  	
  THE
  MARLEY-WYLAIN COMPANY

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Daniel Watanapongse

  
	
   

  	
   

  	
  Daniel
  Watanapongse

  
	
   

  	
   

  	
  Vice
  President, Secretary and Treasurer

  

 

71

 

	
   

  	
  WAUKESHA
  ELECTRIC SYSTEMS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

72

 

	
   

  	
  XCEL
  ERECTORS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert B. Foreman

  
	
   

  	
   

  	
  Robert
  B. Foreman

  
	
   

  	
   

  	
  President

  

 

73

 

	
   

  	
  MARLEY
  ENGINEERED PRODUCTS LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

74

 

	
   

  	
  MCT
  SERVICES LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

75

 

	
   

  	
  SPX
  PRECISION COMPONENTS LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

76

 

	
   

  	
  THE
  MARLEY COMPANY LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

77

 

	
   

  	
  U.S.
  BANK NATIONAL ASSOCIATION, as

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Katherine A. Esber

  
	
   

  	
   

  	
  Katherine
  A. Esber

  
	
   

  	
   

  	
  Vice
  President

  

 

78

 

EXHIBIT A

 

[APPLICABLE LEGENDS]

 

[FACE OF NOTE]

 

SPX CORPORATION

 

6.875% Senior Note due 2017

 

[CUSIP
No.][ISIN][                    ]

 

	
  No. 1

  	
  $

  

 

SPX
CORPORATION a Delaware corporation (the “Company”, which term includes
any successor under the Indenture hereinafter referred to), for value received,
promises to pay to
                            ,
or its registered assigns, the principal sum of              Dollars
($    ) on September 1, 2017.

 

Interest
Payment Dates: March 1 and September 1, commencing March 1,
2011.

 

Regular
Record Dates: February 15 and August 15.

 

APV
North America, Inc., a Delaware corporation, Flair Corporation, a Delaware
corporation, Kayex China Holdings, Inc., a Delaware corporation, SPX
Cooling Technologies, Inc., a Delaware corporation, SPX Heat Transfer
Inc., a Delaware corporation, TCI International, Inc., a Delaware
corporation, The Marley-Wylain Company, a Delaware corporation, Waukesha
Electric Systems, Inc., a Wisconsin corporation, XCel Erectors, Inc.,
a Delaware corporation, Marley Engineered Products LLC, a Delaware limited
liability company, MCT Services LLC, a Delaware limited liability company, SPX
Precision Components LLC, a Delaware limited liability company, The Marley
Company LLC, a Delaware limited liability company and any future Subsidiary
Guarantors (collectively, the “Subsidiary Guarantors,” which term
includes any successors under the Indenture hereinafter referred to and any
Subsidiary Guarantor that provides a Note Guarantee pursuant to the Indenture),
has fully and unconditionally guaranteed the payment of principal of premium,
if any, and interest on the Notes.

 

Reference
is hereby made to the further provisions of this Note set forth on the reverse
hereof, which further provisions shall for all purposes have the same effect as
if set forth at this place.  Capitalized
terms used herein have the meanings assigned to them in the within-mentioned
Indenture unless otherwise indicated.

 

A-1

 

IN
WITNESS WHEREOF, the Company has caused this Note to be signed manually or by
facsimile by its duly authorized officers.

 

	
   

  	
  SPX
  CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

(Trustee’s Certificate of Authentication)

 

This
is one of the 6.875% Senior Notes due 2017 described in the within-mentioned
Indenture.

 

	
  Date:

  	
  U.S.
  BANK NATIONAL ASSOCIATION

  
	
   

  	
  as
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized
  Signer

  

 

A-2

 

[REVERSE SIDE OF NOTE]

 

SPX CORPORATION

 

6.875% Senior Note due 2017

 

1.             Principal and Interest.

 

The
Company will pay the principal of this Note on September 1, 2017.

 

The
Company promises to pay interest on the principal amount of this Note on each
Interest Payment Date, as set forth below, at a rate of 6.875% per annum,
subject to increase as described below.

 

Interest
will be payable semiannually in cash in arrears (to the holders of record of
the Notes at the close of business on the February 15 and August 15
immediately preceding the Interest Payment Date) on each Interest Payment Date,
commencing March 1, 2011.

 

If
(a) any Notes are not Freely Tradable as of the 395th day after the Notes
are issued and neither an Exchange Offer is consummated nor a shelf registration
statement (the “Shelf Registration Statement”) under the Securities Act with
respect to resales of the Notes is declared effective by the Commission within
150 days after the 365th day after the Notes are issued in accordance with the
terms of the Registration Rights Agreement dated August 16, 2010 among the
Company, the Initial Subsidiary Guarantors and J.P. Morgan Securities Inc.,
Banc of America Securities LLC, Deutsche Bank Securities Inc., Citigroup Global
Markets Inc., Scotia Capital (USA) Inc., Commerz Markets LLC and Mitsubishi UFJ
Securities (USA), Inc. or (b) after a Registration Statement has been
declared effective, such Registration Statement ceases to be effective or
usable at a time such Registration Statement is required to remain effective
pursuant to the terms of such Registration Rights Agreement, then the annual
interest rate borne by the Notes that are not Freely Tradable shall be
increased by 0.5% from the rate shown above, such additional interest accruing
from and including the date on which any such registration default has
occurred, payable in cash semiannually, in arrears, on each Interest Payment
Date, until the consummation of the Exchange Offer or the effectiveness of the
Shelf Registration Statement.  The Holder
of this Note is entitled to the benefits of such Registration Rights
Agreement.  The Company will not be
required to consummate the Exchange Offer if the Notes are Freely Tradable
before the Exchange Date (as defined in the Registration Rights Agreement).

 

Interest
on the Notes will accrue from the most recent date to which interest has been
paid or, if no interest has been paid, from August 16, 2010; provided that, if there is no existing
default in the payment of interest and this Note is authenticated between a
Regular Record Date referred to on the face hereof and the next succeeding
Interest Payment Date, interest shall accrue from such Interest Payment
Date.  Interest will be computed on the
basis of a 360-day year of twelve 30-day months.

 

The
Company shall pay interest on overdue principal and premium, if any, and
interest on overdue installments of interest, to the extent lawful, at a rate
per annum that is 2% in excess of the rate otherwise payable.

 

A-3

 

2.             Method of Payment.

 

The
Company will pay interest (except defaulted interest) on the principal amount
of the Notes as provided above on each : March 1 and September 1,
commencing March 1, 2011 to the persons who are Holders (as reflected in
the Security Register at the close of business on the February 15 and August 15
immediately preceding the Interest Payment Date), in each case, even if the
Note is cancelled on registration of transfer or registration of exchange after
such record date; provided that,
with respect to the payment of principal, the Company will make payment to the
Holder that surrenders this Note to a Paying Agent on or after September 1,
2017.

 

This
Note is a “book-entry” note and is being registered in the name of Cede &
Co. as nominee of The Depositary Trust Company (“DTC”), a clearing agency.  As long as this Note is registered in the
name of DTC or its nominee, the Trustee will make payments of principal,
premium, if any, and interest on this Note by wire transfer of immediately available
funds to DTC or its nominee.  With
respect to any Note that is not registered in the name of DTC or its nominee,
the Company may pay principal, premium, if any, and interest by its check
payable in such money of the United States that at the time of payment is legal
tender for payment of public and private debts. 
It may mail an interest check to a Holder’s registered address (as
reflected in the Security Register).  If
a payment date is a date other than a Business Day at a place of payment,
payment may be made at that place on the next succeeding day that is a Business
Day and no interest shall accrue for the intervening period.

 

The
Notes may be exchanged or transferred at the office or agency of the
Company.  Initially, the paying agent
office of the Trustee will serve as such office.

 

3.             Paying Agent and Registrar.

 

Initially,
the Trustee will act as authenticating agent, Paying Agent and Registrar.  The Company may change any authenticating
agent, Paying Agent or Registrar without notice.  The Company, any Subsidiary or any Affiliate
of any of them may act as Paying Agent, Registrar or co-Registrar.

 

4.             Indenture; Limitations.

 

The
Company issued the Notes under an Indenture dated as of August 16, 2010
(the “Indenture”), among the Company, the Initial Subsidiary Guarantors
and U.S. Bank National Association, as trustee (the “Trustee”).  Capitalized terms herein are used as defined
in the Indenture unless otherwise indicated. 
The terms of the Notes include those stated in the Indenture and those
made part of the Indenture by reference to the Trust Indenture Act.  The Notes are subject to all such terms, and
Holders are referred to the Indenture and the Trust Indenture Act for a
statement of all such terms.  To the
extent permitted by applicable law, in the event of any inconsistency between
the terms of this Note and the terms of the Indenture, the terms of the
Indenture shall control.

 

The
Notes are general unsecured unsubordinated obligations of the Company.

 

The
Company may, subject to and applicable law, issue additional Notes under the
Indenture.  The Indenture does not limit
the amount of Notes that may be issued.

 

A-4

 

5.             Optional Redemption.

 

Except
as set forth below, the Company may not redeem the Notes in whole or in part at
any time prior to the Maturity Date. The Company may redeem the Notes in whole
or in part at any time prior to the Maturity Date, at a Redemption Price equal
to 100% of the principal amount thereof plus the Applicable Premium as of the
Redemption Date, plus accrued and unpaid interest, if any, to the Redemption
Date (subject to the right of Holders of record on the relevant record date to
receive interest due on the relevant interest payment date).

 

At
any time prior to September 1, 2013, the Company may redeem up to 35% of
the aggregate principal amount of the Notes (including any Additional Notes)
with the Net Cash Proceeds of one or more sales of common stock of the Company
at any time as a whole or from time to time in part, at a Redemption Price
(expressed as a percentage of principal amount) of 106.875% plus accrued and
unpaid interest thereon, if any, to the Redemption Date (subject to the rights
of Holders of record on the relevant Regular Record Date that is prior to the
Redemption Date to receive interest due on an Interest Payment Date); provided that (i) at least 65% of the
aggregate principal amount of Notes (including any Additional Notes) remain
outstanding after each such redemption and (ii) notice of any such
redemption is mailed within 60 days after each such sale of common stock.

 

Notes
in original denominations larger than $2,000 may be redeemed in part.  On and after the Redemption Date, interest
ceases to accrue on Notes or portions of Notes called for redemption, unless
the Company defaults in the payment of the Redemption Price.

 

6.             Repurchase upon Change of
Control.

 

Upon
the occurrence of any Change of Control, each Holder shall have the right to
require the repurchase of its Notes by the Company in cash pursuant to the
offer described in the Indenture at a purchase price equal to 101% of the
principal amount thereof plus accrued and unpaid interest, if any, to the date
of purchase (the “Payment Date”).

 

A
notice of such Change of Control will be mailed within 30 days after any Change
of Control occurs to each Holder at its last address as it appears in the
Security Register.  Notes in original
denominations larger than $2,000 may be sold to the Company in part.  On and after the Payment Date, interest
ceases to accrue on Notes or portions of Notes surrendered for purchase by the
Company, unless the Company defaults in the payment of the purchase price.

 

7.             Denominations; Transfer;
Exchange.

 

The
Notes are in registered form without coupons in denominations of $2,000 of
principal amount and multiples of $1,000 in excess thereof.  A Holder may register the transfer or
exchange of Notes in accordance with the Indenture.  The Registrar may require a Holder, among
other things, to furnish appropriate endorsements and transfer documents and to
pay any taxes and fees required by law or permitted by the Indenture.  The Registrar need not register the transfer
or exchange of any Notes selected for redemption.  Also, it need not register the transfer or
exchange of any Notes for a period of 15 days before the day of mailing of a
notice of redemption of Notes selected for redemption.

 

A-5

 

8.             Persons Deemed Owners.

 

A
Holder shall be treated as the owner of a Note for all purposes.

 

9.             Unclaimed Money.

 

Subject
to any applicable escheat and abandoned property laws, if money for the payment
of principal, premium, if any, or interest remains unclaimed for two years, the
Trustee and the Paying Agent will pay the money back to the Company at its
request.  After that, Holders entitled to
the money must look to the Company for payment, unless an abandoned property
law designates another Person, and all liability of the Trustee and such Paying
Agent with respect to such money shall cease.

 

10.          Discharge Prior to Redemption or
Maturity.

 

If
the Company deposits with the Trustee money or U.S. Government Obligations
sufficient to pay the then outstanding principal of, premium, if any, and
accrued interest on the Notes (a) to redemption or maturity, the Company
will be discharged from the Indenture and the Notes, except in certain
circumstances for certain provisions thereof, and (b) to the Stated Maturity,
the Company will be discharged from certain covenants set forth in the
Indenture.

 

11.          Amendment; Supplement; Waiver.

 

Subject
to certain exceptions, the Indenture or the Notes may be amended or
supplemented with the consent of the Holders of at least a majority in
principal amount of the Notes then outstanding, and any existing default or
compliance with any provision may be waived with the consent of the Holders of
at least a majority in principal amount of the Notes then outstanding.  Without notice to or the consent of any
Holder, the parties thereto may amend or supplement the Indenture or the Notes
to, among other things, cure any ambiguity, defect or inconsistency and make
any change that does not materially and adversely affect the rights of any Holder.

 

12.          Restrictive Covenants.

 

The
Indenture imposes certain limitations on the ability of the Company and its
Subsidiaries, among other things, suffer to exist or incur Liens, enter into
sale-leaseback transactions, or merge, consolidate or transfer substantially
all of its assets.  Within 90 days after
the end of the last fiscal quarter of each year, the Company shall deliver to
the Trustee an Officer’s Certificate stating whether or not the signers thereof
know of any Default or Event of Default under such restrictive covenants.

 

13.          Successor Persons.

 

When
a successor person or other entity assumes all the obligations of its
predecessor under the Notes and the Indenture, the predecessor person will be
released from those obligations.

 

A-6

 

14.          Defaults and Remedies.

 

Any
of the following events constitutes an “Event of Default” under the
Indenture:

 

(1) default
in the payment of principal of (or premium, if any, on) any Note when the same
becomes due and payable at maturity, upon acceleration, redemption or
otherwise;

 

(2) default
in the payment of interest on any Note when the same becomes due and payable,
and such default continues for a period of 30 days;

 

(3) the
Company defaults in the performance of or breaches any other covenant or
agreement in the Indenture or under the Notes (other than a default specified
in clause (a) or (b) above) and such default or breach continues
for a period of 60 consecutive days after written notice by the Trustee or the
Holders of 25% or more in aggregate principal amount of the Notes;

 

(4) there
occurs with respect to any issue or issues of Indebtedness of the Company, any
Subsidiary Guarantor or any Significant Subsidiary having an outstanding
principal amount of $75.0 million or more in the aggregate for all such issues
of all such Persons, whether such Indebtedness now exists or shall hereafter be
created, (A) an event of default that has caused the holder thereof to
declare such Indebtedness to be due and payable prior to its Stated Maturity
and such Indebtedness has not been discharged in full or such acceleration has
not been rescinded or annulled within 30 days of such acceleration and/or (B) the
failure to make a principal payment at the final (but not any interim) fixed
maturity and such defaulted payment shall not have been made, waived or
extended within 30 days of such payment default;

 

(5) any
final judgment or order (not covered by insurance) for the payment of money in
excess of $75.0 million in the aggregate for all such final judgments or orders
against all such Persons (treating any deductibles, self-insurance or retention
as not so covered) shall be rendered against the Company, any Subsidiary
Guarantor or any Significant Subsidiary and shall not be paid or discharged,
and there shall be any period of 60 consecutive days following entry of
the final judgment or order that causes the aggregate amount for all such final
judgments or orders outstanding and not paid or discharged against all such Persons
to exceed $75.0 million during which a stay of enforcement of such final
judgment or order, by reason of a pending appeal or otherwise, shall not be in
effect;

 

(6) a
court having jurisdiction in the premises enters a decree or order for
(A) relief in respect of the Company, any Subsidiary Guarantor or any
Significant Subsidiary in an involuntary case under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect,
(B) appointment of a receiver, liquidator, assignee, custodian, trustee,
sequestrator or similar official of the Company, any Subsidiary Guarantor or
any Significant Subsidiary or for all or substantially all of the property and
assets of the Company, any Subsidiary Guarantor or any Significant Subsidiary
or (C) the winding-up or liquidation of the affairs of the Company, any
Subsidiary Guarantor or any 

 

A-7

 

Significant
Subsidiary and, in each case, such decree or order shall remain unstayed and in
effect for a period of 60 consecutive days;

 

(7) the
Company, any Subsidiary Guarantor or any Significant Subsidiary
(A) commences a voluntary case under any applicable bankruptcy, insolvency
or other similar law now or hereafter in effect, or consents to the entry of an
order for relief in an involuntary case under any such law, (B) consents
to the appointment of or taking possession by a receiver, liquidator, assignee,
custodian, trustee, sequestrator or similar official of the Company, any
Subsidiary Guarantor or any Significant Subsidiary or for all or substantially
all of the property and assets of the Company, any Subsidiary Guarantor or any
Significant Subsidiary or (C) effects any general assignment for the
benefit of creditors; or

 

(8)  any Subsidiary Guarantor repudiates its obligations under its
Note Guarantee or, except as permitted by the Indenture, any Note Guarantee is
determined to be unenforceable or invalid or shall for any reason cease to be
in full force and effect.

 

If
an Event of Default, as defined in the Indenture, occurs and is continuing, the
Trustee may, and at the direction of the Holders of at least 25% in aggregate
principal amount of the Notes then outstanding shall, declare all the Notes to
be due and payable.  If a bankruptcy or
insolvency default with respect to the Company occurs and is continuing, the
Notes automatically become due and payable. 
Holders may not enforce the Indenture or the Notes except as provided in
the Indenture.  The Trustee may require
indemnity satisfactory to it before it enforces the Indenture or the
Notes.  Subject to certain limitations,
Holders of at least a majority in principal amount of the Notes then
outstanding may direct the Trustee in its exercise of any trust or power.

 

15.          Guarantee.

 

The
Company’s obligations under the Notes are fully and unconditionally guaranteed,
jointly and severally, by the Subsidiary Guarantors.

 

16.          Trustee Dealings with the Company.

 

The
Trustee under the Indenture, in its individual or any other capacity, may make
loans to, accept deposits from and perform services for the Company, the
Subsidiary Guarantors or their Affiliates and may otherwise deal with the
Company, the Subsidiary Guarantors or their Affiliates as if it were not the
Trustee.

 

17.          No Recourse Against Others.

 

No
incorporator or any past, present or future partner, stockholder, other
equityholder, officer, director, employee or controlling person, as such, of
the Company or of any successor Person shall have any liability for any
obligations of the Company under the Notes 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
Note waives and releases all such liability. 
The waiver and release are part of the consideration for the issuance of
the Notes.

 

A-8

 

18.          Authentication.

 

This
Note shall not be valid until the Trustee or authenticating agent signs the
certificate of authentication on the other side of this Note.

 

19.          Abbreviations.

 

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

 

20.          Governing Law.

 

THIS SECURITY SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE LAWS OF THE STATE OF NEW YORK.

 

The
Company will furnish a copy of the Indenture to any Holder upon written request
and without charge.  Requests may be made
to SPX Corporation, 13515 Ballantyne Corporate Place, Charlotte, North Carolina
28277; Attention: Office of Assistant General Counsel, SEC Reporting.

 

A-9

 

[FORM OF TRANSFER NOTICE]

 

FOR
VALUE RECEIVED the undersigned registered holder hereby sell(s), assign(s) and
transfer(s) unto

 

Insert
Taxpayer Identification No.

 

	
   

  	
   

  

 

Please
print or typewrite name and address including zip code of assignee

 

	
   

  	
   

  

 

the
within Note and all rights thereunder, hereby irrevocably constituting and
appointing
                                                                    
attorney to transfer said Note on the books of the Company with full power of
substitution in the premises.

 

[THE FOLLOWING PROVISION TO BE INCLUDED ON ALL NOTES OTHER THAN
EXCHANGE NOTES, UNLEGENDED OFFSHORE GLOBAL NOTES AND UNLEGENDED OFFSHORE
PHYSICAL NOTES]

 

In
connection with any transfer of this Note occurring prior to the date which is
the earlier of (i) the date the Shelf Registration Statement is declared
effective or (ii) the end of the period referred to in Rule 144(d) or
any successor provision under the Securities Act, the undersigned confirms that
without utilizing any general solicitation or general advertising that:

 

[Check One]

 

o (a)   this Note is being
transferred in compliance with the exemption from registration under the
Securities Act of 1933 provided by Rule 144A thereunder.

 

or

 

o (b)   this Note is being
transferred other than in accordance with (a) above and documents are
being furnished which comply with the conditions of transfer set forth in this
Note and the Indenture.

 

A-10

 

If
none of the foregoing boxes is checked, the Trustee or other Registrar shall
not be obligated to register this Note in the name of any Person other than the
Holder hereof unless and until the conditions to any such transfer of
registration set forth herein and in Section 2.08 of the Indenture shall
have been satisfied.

 

	
  Date:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  NOTICE:  The signature to this assignment must
  correspond with the name as written upon the face of the within-mentioned
  instrument in every particular, without alteration or any change whatsoever.

  

 

Signature
must be guaranteed by a participant in a recognized signature guaranty
medallion program or other signature guarantor acceptable to the Trustee.

 

TO
BE COMPLETED BY PURCHASER IF (a) ABOVE IS CHECKED.

 

The
undersigned represents and warrants that it is purchasing this Note for its own
account or an account with respect to which it exercises sole investment
discretion and that it and any such account is a “qualified institutional buyer”
within the meaning of Rule 144A under the Securities Act of 1933 and is
aware that the sale to it is being made in reliance on Rule 144A and
acknowledges that it has received such information regarding the Company as the
undersigned has requested pursuant to Rule 144A or has determined not to
request such information and that it is aware that the transferor is relying
upon the undersigned’s foregoing representations in order to claim the
exemption from registration provided by Rule 144A.

 

	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  NOTICE:  To be executed by an executive officer

  

 

A-11

 

OPTION OF HOLDER TO ELECT PURCHASE

 

If
you wish to have this Note purchased by the Company pursuant to Section 4.05
of the Indenture, check the Box:

 

If
you wish to have a portion of this Note purchased by the Company pursuant to
Section 4.05 of the Indenture, state the principal amount: 
$                                      .

 

Date:

 

	
  Your
  Signature:

  	
   

  	
   

  

 

 

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

 

	
  Signature
  Guarantee:

  	
   

  	
   

  

 

Signature
must be guaranteed by a participant in a recognized signature guaranty
medallion program or other signature guarantor acceptable to the Trustee.

 

A-12

 

[include for Global Notes]

 

SCHEDULE OF INCREASES OR DECREASES IN GLOBAL NOTE

 

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

 

	
  Date

  	
   

  	
  Amount of

  decreases in

  principal amount

  	
   

  	
  Amount of

  increases in

  principal amount

  	
   

  	
  Principal amount

  of this Global

  Note following

  such decrease or

  increase

  	
   

  	
  Signature of

  authorized officer of

  Trustee or Notes

  Custodian

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

A-13

 

EXHIBIT B

 

Form of Certificate To Be Delivered

in Connection with Transfers

of Temporary Regulation S Global Notes

 

,

 

U.S.
Bank National Association

Corporate Trust Services

Hearst Tower - 214 N. Tryon Street, 27th Floor

Charlotte, NC 28202

 

	
   

  	
  Re:
  SPX Corporation (the “Company”)

  	
   

  
	
   

  	
  6.875%
  Senior Notes due 2017 (the “Notes”)

  	
   

  

 

Dear
Sirs:

 

This
letter relates to U.S. $                
principal amount of Notes represented by a Note (the “Legended Note”)
which bears a legend outlining restrictions upon transfer of such Legended
Note.  Pursuant to Section 2.02 of
the Indenture dated as of August 16, 2010 (the “Indenture”)
relating to the Notes, we hereby certify that we are (or we will hold such
securities on behalf of) a person outside the United States to whom the Notes
could be transferred in accordance with Rule 904 of Regulation S
promulgated under the U.S. Securities Act of 1933.  Accordingly, you are hereby requested to
exchange the legended certificate for an unlegended certificate representing an
identical principal amount of Notes, all in the manner provided for in the
Indenture.

 

You
and the Company are entitled to rely upon this letter and are irrevocably authorized
to produce this letter or a copy hereof to any interested party in any
administrative or legal proceedings or official inquiry with respect to the
matters covered hereby.  Terms used in
this certificate have the meanings set forth in Regulation S.

 

	
   

  	
  Very
  truly yours,

  
	
   

  	
   

  
	
   

  	
  [Name
  of Holder]

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized
  Signature

  

 

B-1

 

EXHIBIT C

 

Form of Certificate to Be

Delivered in Connection with

Transfers to Non-QIB Accredited Investors

 

,

 

U.S.
Bank National Association

Corporate Trust Services

Hearst Tower - 214 N. Tryon Street, 27th Floor

Charlotte, NC 28202

 

	
   

  	
  Re:
  SPX Corporation (the “Company”)

  	
   

  
	
   

  	
  6.875%
  Senior Notes due 2017 (the “Notes”)

  	
   

  

 

Dear
Sirs:

 

In
connection with our proposed purchase of $                  
aggregate principal amount of the Notes, we confirm that:

 

1.  We understand that any subsequent transfer of
the Notes is subject to certain restrictions and conditions set forth in the
Indenture dated as of August 16, 2010 (the “Indenture”) relating to
the Notes and the undersigned agrees to be bound by, and not to resell, pledge
or otherwise transfer the Notes except in compliance with such restrictions and
conditions and the Securities Act of 1933, as amended (the “Securities Act”).

 

2.  We understand that the offer and sale of the
Notes have not been registered under the Securities Act, and that the Notes may
not be offered or sold except as permitted in the following sentence.  We agree, on our own behalf and on behalf of
any accounts for which we are acting as hereinafter stated, that if we should
sell any Notes within the time period referred to in Rule 144(d) or
any successor provision of the Securities, we will do so only (A) to the
Company or any subsidiary thereof, (B) in accordance with Rule 144A
under the Securities Act to a “qualified institutional buyer” (as defined
therein), (C) to an institutional “accredited investor” (as defined below)
that, prior to such transfer, furnishes (or has furnished on its behalf by a
U.S. broker-dealer) to you and to the Company a signed letter substantially in
the form of this letter and, if such transfer is in respect of an aggregate
principal amount of less than $100,000, an opinion of counsel acceptable to the
Company that such transfer is in compliance with the Securities Act, (D) outside
the United States in accordance with Rule 904 of Regulation S under the
Securities Act, (E) pursuant to the exemption from registration provided
by Rule 144 under the Securities Act (if available) or (F) pursuant
to an effective registration statement under the Securities Act, and we further
agree to provide to any person purchasing any of the Notes from us a notice
advising such purchaser that resales of the Notes are restricted as stated
herein.

 

3.  We understand that, on any proposed resale of
any Notes, we will be required to furnish to you and the Company such
certifications, legal opinions and other information as you and the Company may
reasonably require to confirm that the proposed sale complies with 

 

C-1

 

the
foregoing restrictions.  We further
understand that the Notes purchased by us will bear a legend to the foregoing
effect.

 

4.  We are an institutional “accredited investor”
(as defined in Rule 501(a)(1), (2), (3) or (7) of Regulation D
under the Securities Act) and have such knowledge and experience in financial
and business matters as to be capable of evaluating the merits and risks of our
investment in the Notes, and we and any accounts for which we are acting are
each able to bear the economic risk of our or its investment.

 

5.  We are acquiring the Notes purchased by us
for our own account or for one or more accounts (each of which is an
institutional “accredited investor”) as to each of which we exercise
sole investment discretion.

 

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

 

	
   

  	
  Very
  truly yours,

  
	
   

  	
   

  
	
   

  	
  [Name
  of Transferee]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized
  Signature

  

 

C-2

 

EXHIBIT D

 

Form of Certificate to Be Delivered in

Connection with Transfers Pursuant to Regulation S

 

,

 

U.S.
Bank National Association

Corporate Trust Services

Hearst Tower - 214 N. Tryon Street, 27th Floor

Charlotte, NC 28202

 

	
   

  	
  Re:
  SPX Corporation (the “Company”)

  	
   

  
	
   

  	
  6.875%
  Senior Notes due 2017 (the “Notes”)

  	
   

  

 

Dear
Sirs:

 

In
connection with our proposed sale of U.S.$                
aggregate principal amount of the Notes, we confirm that such sale has been
effected pursuant to and in accordance with Regulation S under the Securities
Act of 1933 and, accordingly, we represent that:

 

(1) 
the offer of the Notes was not made to a person in the United States;

 

(2) 
at the time the buy order was originated, the transferee was outside the United
States or we and any person acting on our behalf reasonably believed that the
transferee was outside the United States;

 

(3) 
no directed selling efforts have been made by us in the United States in
contravention of the requirements of Rule 903(b) or Rule 904(b) of
Regulation S, as applicable; and

 

(4) 
the transaction is not part of a plan or scheme to evade the registration
requirements of the U.S. Securities Act of 1933.

 

You
and the Company are entitled to rely upon this letter and are irrevocably
authorized to produce this letter or a copy hereof to any interested party in
any administrative or legal proceedings or official inquiry with respect to the
matters covered hereby.  Terms used in
this certificate have the meanings set forth in Regulation S.

 

	
   

  	
  Very
  truly yours,

  
	
   

  	
   

  
	
   

  	
  [Name
  of Transferor]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized
  Signature

  

 

D-1Exhibit 10.2

 

REGISTRATION RIGHTS AGREEMENT

 

by and among

 

SPX Corporation

 

and

 

APV North America, Inc.

Flair Corporation

Kayex China Holdings, Inc.

SPX Cooling Technologies, Inc.

SPX Heat Transfer Inc.

TCI International, Inc.

The Marley-Wylain Company

Waukesha Electric Systems, Inc.

XCel Erectors, Inc.

Marley Engineered Products LLC

MCT Services LLC

SPX Precision Components LLC

The Marley Company LLC

 

and

 

J.P. Morgan Securities Inc.

Banc of America Securities LLC

Deutsche Bank Securities Inc.

Citigroup Global Markets Inc.

Scotia Capital (USA) Inc.

Commerz Markets LLC

Mitsubishi UFJ Securities (USA), Inc.

 

Dated as of August 16, 2010

 

1

 

REGISTRATION RIGHTS AGREEMENT

 

This
Registration Rights Agreement (this “Agreement”) is made and entered into as of
August 16, 2010, by and among SPX Corporation, a Delaware corporation (the
“Company”), APV North America, Inc., a Delaware corporation, Flair
Corporation, a Delaware corporation, Kayex China Holdings, Inc., a Delaware
corporation, SPX Cooling Technologies, Inc., a Delaware corporation, SPX
Heat Transfer Inc., a Delaware corporation, TCI International, Inc., a
Delaware corporation, The Marley-Wylain Company, a Delaware corporation,
Waukesha Electric Systems, Inc., a Wisconsin corporation, XCel Erectors, Inc.,
a Delaware corporation, Marley Engineered Products LLC, a Delaware limited
liability company, MCT Services LLC, a Delaware limited liability company, SPX
Precision Components LLC, a Delaware limited liability company, The Marley
Company LLC, a Delaware limited liability company (collectively, the “Guarantors”),
and J.P. Morgan Securities Inc., as representative of the initial purchasers
listed on Schedule A to the Purchase Agreement (as defined below) (collectively,
the “Initial Purchasers”), each of whom has agreed to purchase the Company’s
6.875% Senior Notes due 2017 (the “Initial Notes”) fully and unconditionally
guaranteed by the Guarantors (the “Guarantees”) pursuant to the Purchase
Agreement (as defined below).  The
Initial Notes and the Guarantees attached thereto are herein collectively
referred to as the “Initial Securities.”

 

This
Agreement is made pursuant to the purchase agreement, dated August 10,
2010 (the “Purchase Agreement”), among the Company, the Guarantors and the
Initial Purchasers (i) for the benefit of the Initial Purchasers and (ii) for
the benefit of the Holders from time to time of the Initial Securities,
including the Initial Purchasers.  In
order to induce the Initial Purchasers to purchase the Initial Securities, the
Company has agreed to provide the registration rights set forth in this
Agreement.  The execution and delivery of
this Agreement is a condition to the obligations of the Initial Purchasers set
forth in Section 5(h) of the Purchase Agreement.

 

The
parties hereby agree as follows:

 

SECTION 1.             Definitions.  As used
in this Agreement, the following capitalized terms shall have the following
meanings:

 

Additional Interest:  As defined in Section 5
hereto.

 

Broker-Dealer:  Any broker or
dealer registered under the Exchange Act.

 

Business Day:  Any day other than a Saturday, Sunday or U.S.
federal holiday or a day on which banking institutions or trust companies
located in New York, New York are authorized or obligated to be closed.

 

Closing Date:  The date of
this Agreement.

 

Commission:  The Securities
and Exchange Commission.

 

Consummate:  A registered
Exchange Offer shall be deemed “Consummated” for purposes of this Agreement
upon the occurrence of (i) the filing and effectiveness under the
Securities Act of the Exchange Offer Registration Statement relating to the
Exchange Securities to be 

 

 

issued
in the Exchange Offer, (ii) the maintenance of such Registration Statement
continuously effective and the keeping of the Exchange Offer open for a period
not less than the minimum period required pursuant to Section 3(b) hereof,
and (iii) the delivery by the Company to the Registrar under the Indenture
of Exchange Securities in the same aggregate principal amount as the aggregate
principal amount of Initial Securities that were tendered by Holders thereof
pursuant to the Exchange Offer.

 

Exchange Act:  The Securities
Exchange Act of 1934, as amended.

 

Exchange Date:  As defined in Section 3(a) hereof.

 

Exchange Offer:  The registration
by the Company under the Securities Act of the Exchange Securities pursuant to
a Registration Statement pursuant to which the Company offers the Holders of
all outstanding Transfer Restricted Securities the opportunity to exchange all
such outstanding Transfer Restricted Securities held by such Holders for
Exchange Securities in an aggregate principal amount equal to the aggregate
principal amount of the Transfer Restricted Securities tendered in such
exchange offer by such Holders.

 

Exchange Offer Registration Statement: 
The Registration Statement relating to the Exchange Offer, including
the related Prospectus.

 

Exchange Securities:  The 6.875%
Senior Notes due 2017, of the same series under the Indenture as the Initial
Securities and the Guarantees attached thereto, to be issued to Holders in
exchange for Transfer Restricted Securities pursuant to this Agreement.

 

FINRA:  Financial
Industry Regulatory Authority, Inc.

 

Freely Tradable:  Means, with
respect to a Security, a Security that at any time of determination
(i) may be sold to the public in accordance with Rule 144 under the
Securities Act (“Rule 144”) by a person that is not an “affiliate” (as
defined in Rule 144 under the Securities Act) of the Company where no
conditions of Rule 144 are then applicable (other than the holding period
requirement in paragraph (d) of Rule 144 so long as such holding
period requirement is satisfied at such time of determination), (ii) does
not bear any restrictive legends relating to the Securities Act and (iii) bears
an unrestricted CUSIP number.

 

Guarantees:  As defined in
preamble hereof.

 

Guarantors:  As defined in
preamble hereof.

 

Holders:  As defined in Section 2(b) hereof.

 

Indemnified Holder:  As defined in Section 8(a) hereof.

 

Indenture:  The Indenture,
dated as of August 16, 2010, by and among the Company, the Guarantors and
U.S. Bank National Association, as trustee (the “Trustee”), pursuant to which
the Securities are to be issued, as such Indenture is amended or supplemented
from time to time in accordance with the terms thereof.

 

2

 

Initial Purchasers:  As defined in
the preamble hereto.

 

Initial Notes:  As defined in
the preamble hereto.

 

Initial Placement:  The issuance
and sale by the Company of the Initial Securities to the Initial Purchasers
pursuant to the Purchase Agreement.

 

Initial Securities:  As defined in
the preamble hereto.

 

Interest Payment Date:  As defined in
the Indenture and the Securities.

 

Issuer Free Writing Prospectus:  As defined in Section 4(c) hereof.

 

Person:  An individual,
partnership, limited partnership, limited liability company, corporation, trust
or unincorporated organization, or a government or agency or political
subdivision thereof.

 

Prospectus:  The prospectus
included in a Registration Statement, as amended or supplemented by any
prospectus supplement and by all other amendments thereto, including
post-effective amendments, and all material incorporated by reference into such
Prospectus.

 

Registration Default:  As defined in Section 5
hereof.

 

Registration Statement:  Any
registration statement of the Company relating to (a) an offering of
Exchange Securities pursuant to an Exchange Offer or (b) the registration
for resale of Transfer Restricted Securities pursuant to the Shelf Registration
Statement, which is filed pursuant to the provisions of this Agreement, in each
case, including the Prospectus included therein, all amendments and supplements
thereto (including post-effective amendments) and all exhibits and material
incorporated by reference therein.

 

Registration Trigger Date:  As defined in Section 3(a) hereof.

 

Securities:  The Initial
Securities and the Exchange Securities.

 

Securities Act:  The Securities
Act of 1933, as amended.

 

Shelf Filing Deadline:  As defined in Section 4(a) hereof.

 

Shelf Registration Statement:  As defined in Section 4(a) hereof.

 

Trust Indenture Act:  The Trust
Indenture Act of 1939, as amended.

 

Transfer Restricted Securities:  The Securities;
provided that the Securities shall cease
to be Transfer Restricted Securities on the earliest to occur of (i) the
date on which a Registration Statement with respect to such Securities has
become effective under the Securities Act and such Securities have been
exchanged or disposed of pursuant to such Registration Statement, (ii) the
date on which such Securities cease to be outstanding or (iii) the date on
which such Securities are Freely Tradable.

 

3

 

Underwritten Registration or Underwritten Offering:  A registration in which
securities of the Company are sold to an underwriter for reoffering to the
public.

 

SECTION 2.             Securities Subject to this Agreement.

 

(a)           Transfer
Restricted Securities.  The
securities entitled to the benefits of this Agreement are the Transfer
Restricted Securities.

 

(b)           Holders of
Transfer Restricted Securities.  A
Person is deemed to be a holder of Transfer Restricted Securities (each, a “Holder”)
whenever such Person owns Transfer Restricted Securities.

 

SECTION 3.             Registered Exchange Offer.

 

(a)           Unless the Exchange
Offer shall not be permissible under applicable law or Commission policy (after
the procedures set forth in Section 6(a) hereof have been complied
with), all of the Securities are Freely Tradable on or before the 395th day
following the Closing Date (or if such 395th day is not a Business Day, the
next succeeding Business Day) (the “Registration Trigger Date”) or there are no
Transfer Restricted Securities outstanding, each of the Company and the
Guarantors shall (i) cause to be filed with the Commission, a Registration
Statement under the Securities Act relating to the Exchange Securities and the
Exchange Offer, (ii) use commercially reasonable efforts to cause such
Registration Statement to become effective, (iii) in connection with the
foregoing, file (A) all pre-effective amendments to such Registration
Statement as may be necessary in order to cause such Registration Statement to
become effective, (B) if applicable, a post-effective amendment to such
Registration Statement pursuant to Rule 430A under the Securities Act and (C) cause
all necessary filings in connection with the registration and qualification of
the Exchange Securities to be made under the state securities or blue sky laws
of such jurisdictions as are necessary to permit Consummation of the Exchange
Offer, (iv) upon the effectiveness of such Registration Statement,
commence the Exchange Offer, and (v) use its commercially reasonable
efforts to Consummate the Exchange Offer not later than 515 days following the
Closing Date (or if such 515th day is not a Business Day, the next succeeding
Business Day) (the “Exchange Date”).  The
Exchange Offer, if required pursuant to this Section 3(a), shall be on the
appropriate form permitting registration of the Exchange Securities to be
offered in exchange for the Transfer Restricted Securities and to permit
resales of Initial Securities held by Broker-Dealers as contemplated by Section 3(c) hereof.

 

(b)           If an Exchange Offer
Registration Statement is required to be filed and declared effective pursuant
to Section 3(a) above, the Company and the Guarantors shall use their
commercially reasonable efforts to cause the Exchange Offer Registration
Statement to be effective continuously and shall keep the Exchange Offer open
for a period of not less than the minimum period required under applicable
federal and state securities laws to Consummate the Exchange Offer; provided, however, that in no event shall such period be
less than 30 days after the date notice of the Exchange Offer is mailed to the
Holders.

 

(c)           The Company shall
indicate in a “Plan of Distribution” section contained in the Prospectus
forming a part of the Exchange Offer Registration Statement that any
Broker-Dealer who holds Initial Securities that are Transfer Restricted
Securities and that were acquired for its 

 

4

 

own account as a result of market-making activities
or other trading activities (other than Transfer Restricted Securities acquired
directly from the Company), may exchange such Initial Securities pursuant to
the Exchange Offer; however, such Broker-Dealer may be deemed to be an “underwriter”
within the meaning of the Securities Act and must, therefore, deliver a
prospectus meeting the requirements of the Securities Act in connection with
any resales of the Exchange Securities received by such Broker-Dealer in the
Exchange Offer, which prospectus delivery requirement may be satisfied by the
delivery by such Broker-Dealer of the Prospectus contained in the Exchange
Offer Registration Statement.  Such “Plan
of Distribution” section shall also contain all other information with respect
to such resales by Broker-Dealers that the Commission may require in order to
permit such resales pursuant thereto, but such “Plan of Distribution” shall not
name any such Broker-Dealer or disclose the amount of Initial Securities held
by any such Broker-Dealer except to the extent required by the Commission as a
result of a change in policy after the date of this Agreement.

 

Each
of the Company and the Guarantors shall use commercially reasonable efforts to
keep the Exchange Offer Registration Statement continuously effective,
supplemented and amended as required by the provisions of Section 6(c) hereof
to the extent necessary to ensure that it is available for resales of Initial
Securities acquired by Broker-Dealers for their own accounts as a result of
market-making activities or other trading activities, and to ensure that it
conforms with the requirements of this Agreement, the Securities Act and the
policies, rules and regulations of the Commission as announced from time
to time, for a period ending on the earlier of (i) 30 days from the date
on which the Exchange Offer Registration Statement is declared effective and (ii) the
date on which a Broker-Dealer is no longer required to deliver a prospectus in
connection with market-making or other trading activities.

 

The
Company shall provide sufficient copies of the latest version of such
Prospectus to Broker-Dealers promptly upon request at any time during such
180-day (or shorter as provided in the foregoing sentence) period in order to
facilitate such resales.

 

Notwithstanding
anything in this Section 3 to the contrary, the requirements to file and
the requirements to Consummate the Exchange Offer shall terminate at such time
as all the Securities are Freely Tradable. 
In addition, notwithstanding anything herein to the contrary, the
Company will have no further obligation under this Agreement upon the
Consummation of the Exchange Offer to any Holder of Transfer Restricted
Securities who was eligible to participate in the Exchange Offer and did not
participate in the Exchange Offer.

 

SECTION 4.             Shelf Registration.

 

(a)           Shelf
Registration.  With respect to
any Securities that are not Freely Tradable following the Exchange Date, if (i) the
Company is not required to file an Exchange Offer Registration Statement or to
consummate the Exchange Offer, in each case because the Exchange Offer is not
permitted by applicable law or Commission policy (after the procedures set
forth in Section 6(a) hereof have been complied with), (ii) for
any reason the Exchange Offer is not Consummated on or prior to the Exchange
Date, or (iii) prior to the 20th day following the consummation of the
Exchange Offer (A) the Initial Purchasers request from the Company with
respect to Transfer Restricted Securities not eligible to be exchanged for
Exchange Securities in the Exchange Offer or (B) with respect to any
Holder of Transfer Restricted Securities such Holder 

 

5

 

notifies the Company that (i) such Holder is
prohibited by applicable law or Commission policy from participating in the
Exchange Offer, or (ii) such Holder may not resell the Exchange Securities
acquired by it in the Exchange Offer to the public without delivering a
prospectus and that the Prospectus contained in the Exchange Offer Registration
Statement is not appropriate or available for such resales by such Holder, or (iii) such
Holder is a Broker-Dealer and holds Initial Securities acquired directly from
the Company or one of its affiliates, the Company and the Guarantors shall

 

(x)           cause to be filed a
shelf registration statement pursuant to Rule 415 under the Securities
Act, which may be an amendment to the Exchange Offer Registration Statement (in
either event, the “Shelf Registration Statement”) on or prior to 30 days after
such obligation arises (or if such 30th day is not a Business Day, the next
succeeding Business Day) (such date being the “Shelf Filing Deadline”), which
Shelf Registration Statement shall provide for resales of all Transfer
Restricted Securities the Holders of which shall have provided the information
required pursuant to Section 4(b) hereof; and

 

(y)           use commercially
reasonable efforts to cause such Shelf Registration Statement to be declared
effective by the Commission on or before the 30th day after the Shelf Filing
Deadline (or if such 30th day is not a Business Day, the next succeeding
Business Day).

 

Each
of the Company and the Guarantors shall use commercially reasonable efforts to
keep such Shelf Registration Statement continuously effective, supplemented and
amended as required by the provisions of Sections 6(b) and (c) hereof
to the extent necessary to ensure that it is available for resales of Initial
Securities by the Holders of Transfer Restricted Securities entitled to the
benefit of this Section 4(a), and to ensure that it conforms with the
requirements of this Agreement, the Securities Act and the policies, rules and
regulations of the Commission as announced from time to time, for a period of
at least two years following the effective date of such Shelf Registration
Statement (or shorter period that will terminate when all the Initial
Securities covered by such Shelf Registration Statement have been sold pursuant
to such Shelf Registration Statement, cease to be outstanding or are Freely
Tradable); provided that the Company may for a period of up to 60 days in any
three-month period, not to exceed 90 days in any calendar year determine that
the Shelf Registration Statement is not usable under certain circumstances
relating to corporate developments, public filings with the SEC and similar
events, and suspend the use of the prospectus that is part of the Shelf
Registration Statement (any such period, a “Blackout Period”). Notwithstanding
anything herein to the contrary, the requirements to file a Shelf Registration
Statement and to have such Shelf Registration Statement become effective and
remain effective shall terminate at such time as all the Securities are Freely
Tradable.

 

(b)           Provision by
Holders of Certain Information in Connection with the Shelf Registration
Statement.  No Holder of
Transfer Restricted Securities may include any of its Transfer Restricted
Securities in any Shelf Registration Statement pursuant to this Agreement
unless and until such Holder furnishes to the Company in writing, within 20
Business Days after receipt of a request therefor, such information as the
Company may reasonably request for use in connection with any Shelf
Registration Statement or Prospectus or preliminary Prospectus included
therein.  Each Holder as to which any
Shelf Registration Statement is being effected agrees to furnish 

 

6

 

promptly to the Company all information required to
be disclosed in order to make the information previously furnished to the
Company by such Holder not materially misleading.

 

(c)           Issuer Free
Writing Prospectuses.  Each
Holder represents and agrees that, unless it obtains the prior consent of the
Company, it will not make any offer relating to the Securities that would
constitute an “issuer free writing prospectus,” as defined in Rule 433 (an
“Issuer Free Writing Prospectus”), or that would otherwise constitute a “free
writing prospectus,” as defined in Rule 405, required to be filed with the
Commission. The Company represents that any Issuer Free Writing Prospectus,
when taken together with the information in the Shelf Registration Statement
and the Prospectus, will not include any untrue statement of a material fact or
omit to state any material fact necessary in order to make the statements
therein, in light of the circumstances under which they were made, not
misleading.

 

SECTION 5.             Additional Interest.  If
any of the Securities are not Freely Tradable Securities by the Registration
Trigger Date and either (i) by the Exchange Date, neither the Shelf
Registration Statement has been declared effective by the Commission, nor has
an Exchange Offer been Consummated with respect to the Exchange Offer
Registration Statement, if so required hereunder or (ii) any Registration
Statement required by this Agreement is filed and declared effective but shall
thereafter, at a time the Registration Statement is required to remain
effective, ceases to be effective or fails to be usable for its intended
purpose (other than pursuant to a Blackout Period) without being succeeded
immediately by a post-effective amendment to such Registration Statement that cures
such failure and that is itself immediately declared effective (each such event
referred to in clauses (i) through (ii), a “Registration Default”), the
Company hereby agrees that the interest rate borne by the Transfer Restricted
Securities shall be increased by 0.5% per annum (“Additional Interest”).  At the earlier of (i) the cure of all
Registration Defaults relating to the particular Transfer Restricted Securities
or (ii) the particular Transfer Restricted Securities having become Freely
Tradable, the interest rate borne by the relevant Transfer Restricted
Securities will be reduced to the original interest rate borne by such Transfer
Restricted Securities; provided, however,
that, if after any such reduction in interest rate, a different Registration
Default occurs, the interest rate borne by the relevant Transfer Restricted
Securities shall again be increased pursuant to the foregoing provisions.

 

All
obligations of the Company and the Guarantors set forth in the preceding
paragraph that are outstanding with respect to any Transfer Restricted Security
at the time such security ceases to be a Transfer Restricted Security shall
survive until such time as all such obligations with respect to such security
shall have been satisfied in full.

 

SECTION 6.             Registration Procedures.

 

(a)           Exchange
Offer Registration Statement.  In
connection with the Exchange Offer, if required pursuant to Section 3(a) hereof,
the Company and the Guarantors shall comply with all the provisions of Section 6(c) hereof,
shall use commercially reasonable efforts to effect such exchange to permit the
sale of Transfer Restricted Securities being sold in accordance with the
intended method or methods of distribution thereof, and shall comply with all
the following provisions:

 

7

 

(i)            If in the reasonable opinion of counsel to the Company
there is a question as to whether the Exchange Offer is permitted by applicable
law, each of the Company and the Guarantors hereby agrees to seek a no-action
letter or other favorable decision from the Commission allowing the Company and
the Guarantors to Consummate an Exchange Offer for such Initial
Securities.  Each of the Company and the
Guarantors hereby agrees to pursue the issuance of such a decision to the
Commission staff level but shall not be required to take commercially
unreasonable action to effect a change of Commission policy.  Each of the Company and the Guarantors hereby
agrees, however, to (A) participate in telephonic conferences with the Commission,
(B) deliver to the Commission staff an analysis prepared by counsel to the
Company setting forth the legal bases, if any, upon which such counsel has
concluded that such an Exchange Offer should be permitted and (C) diligently
pursue a favorable resolution by the Commission staff of such submission.

 

(ii)           As a condition to its participation in the Exchange Offer
pursuant to the terms of this Agreement, each Holder of Transfer Restricted
Securities shall furnish, upon the request of the Company, prior to the
Consummation thereof, a written representation to the Company (which may be
contained in the letter of transmittal contemplated by the Exchange Offer
Registration Statement) to the effect that (A) it is not an affiliate of
the Company, (B) it is not engaged in, and does not intend to engage in,
and has no arrangement or understanding with any Person to participate in, a
distribution of the Exchange Securities to be issued in the Exchange Offer and (C) it
is acquiring the Exchange Securities in its ordinary course of business.  In addition, all such Holders of Transfer
Restricted Securities shall otherwise cooperate in the Company’s preparations
for the Exchange Offer.  Each Holder
hereby acknowledges and agrees that any Broker-Dealer and any such Holder using
the Exchange Offer to participate in a distribution of the securities to be
acquired in the Exchange Offer (1) could not under Commission policy as in
effect on the date of this Agreement rely on the position of the Commission
enunciated in Morgan Stanley and Co., Inc. (available June 5,
1991) and Exxon Capital Holdings Corporation (available May 13,
1988), as interpreted in the Commission’s letter to Shearman &
Sterling dated July 2, 1993, and similar no-action letters (which may
include any no-action letter obtained pursuant to clause (i) above), and (2) must
comply with the registration and prospectus delivery requirements of the
Securities Act in connection with a secondary resale transaction and that such
a secondary resale transaction should be covered by an effective registration
statement containing the selling security holder information required by Item
507 or 508, as applicable, of Regulation S-K if the resales are of Exchange
Securities obtained by such Holder in exchange for Initial Securities acquired
by such Holder directly from the Company.

 

(b)           Shelf Registration
Statement.  In connection with
the Shelf Registration Statement, each of the Company and the Guarantors shall
comply with all the provisions of Section 6(c) hereof and shall use
their commercially reasonable efforts to effect such registration to permit the
sale of the Transfer Restricted Securities being sold in accordance with the
intended method or methods of distribution thereof, and pursuant thereto each
of the Company and the Guarantors will prepare and file with the Commission a
Registration Statement relating to the registration on any appropriate form
under the Securities Act, which form shall be available for the 

 

8

 

sale of the Transfer Restricted Securities in
accordance with the intended method or methods of distribution thereof in
accordance with the time periods set forth in Section 4.

 

(c)           General Provisions.  In connection with any
Registration Statement and any Prospectus required by this Agreement to permit
the sale or resale of Transfer Restricted Securities (including, without
limitation, any Registration Statement and the related Prospectus required to
permit resales of Initial Securities by Broker-Dealers), until such time as the
Securities become Freely Tradable, each of the Company and the Guarantors
shall:

 

(i)            use commercially reasonable efforts to keep such
Registration Statement continuously effective and provide all requisite
financial statements (including, if required by the Securities Act or any
regulation thereunder, financial statements of the Guarantors) for the period
specified in Section 3 or 4 hereof, as applicable; upon the occurrence of
any event that would cause any such Registration Statement or the Prospectus
contained therein (A) to contain a material misstatement or omission or (B) not
to be effective and usable for resale of Transfer Restricted Securities during
the period required by this Agreement, the Company shall file promptly an
appropriate amendment to such Registration Statement, in the case of clause
(A), correcting any such misstatement or omission, and, in the case of either
clause (A) or (B), use commercially reasonable efforts to cause such
amendment to be declared effective and such Registration Statement and the
related Prospectus to become usable for their intended purpose(s) as soon
as practicable thereafter;

 

(ii)           prepare and file with the Commission such amendments and
post-effective amendments to the applicable Registration Statement as may be
necessary to keep the Registration Statement effective for the applicable
period set forth in Section 3 or 4 hereof, as applicable, or such shorter
period as will terminate when all Transfer Restricted Securities covered by
such Registration Statement have been sold or are Freely Tradable; cause the
Prospectus to be supplemented by any required Prospectus supplement, and as so
supplemented to be filed pursuant to Rule 424 under the Securities Act,
and to comply fully with the applicable provisions of Rules 424 and 430A
under the Securities Act in a timely manner; and comply with the provisions of
the Securities Act with respect to the disposition of all securities covered by
such Registration Statement during the applicable period in accordance with the
intended method or methods of distribution by the sellers thereof set forth in
such Registration Statement or supplement to the Prospectus;

 

(iii)          advise the underwriter(s), if any, and selling Holders
promptly and, if requested by such Persons, to confirm such advice in writing, (A) when
the Prospectus or any Prospectus supplement or post-effective amendment has
been filed, and, with respect to any Registration Statement or any
post-effective amendment thereto, when the same has become effective, (B) of
any request by the Commission for amendments to the Registration Statement or
amendments or supplements to the Prospectus or for additional information
relating thereto, (C) of the issuance by the Commission of any stop order
suspending the effectiveness of the Registration Statement under the Securities
Act or of the suspension by any state securities commission of the
qualification of the Transfer Restricted Securities for offering or sale in any
jurisdiction, or the initiation of any proceeding

 

9

 

for any of the preceding
purposes, (D) of the existence of any fact or the happening of any event
that makes any statement of a material fact made in the Registration Statement,
the Prospectus, any amendment or supplement thereto, or any document
incorporated by reference therein untrue, or that requires the making of any
additions to or changes in the Registration Statement or the Prospectus in
order to make the statements therein not misleading.  If at any time the Commission shall issue any
stop order suspending the effectiveness of the Registration Statement, or any
state securities commission or other regulatory authority shall issue an order
suspending the qualification or exemption from qualification of the Transfer
Restricted Securities under state securities or blue sky laws, each of the
Company and the Guarantors shall use commercially reasonable efforts to obtain
the withdrawal or lifting of such order at the earliest possible time;

 

(iv)          furnish without charge to each of the Initial Purchasers,
each selling Holder named in any Registration Statement, and each of the
underwriter(s), if any, before filing with the Commission, copies of any
Registration Statement or any Prospectus included therein or any amendments or
supplements to any such Registration Statement or Prospectus (including all
documents incorporated by reference after the initial filing of such
Registration Statement), which documents will be subject to the review and comment
of such Holders and underwriter(s) in connection with such sale, if any,
for a period of at least three Business Days, and the Company will not file any
such Registration Statement or Prospectus or any amendment or supplement to any
such Registration Statement or Prospectus (including all such documents
incorporated by reference) to which an Initial Purchaser of Transfer Restricted
Securities covered by such Registration Statement or the underwriter(s), if
any, shall reasonably object in writing within three Business Days after the
receipt thereof (such objection to be deemed timely made upon confirmation of
telecopy transmission within such period). 
The objection of an Initial Purchaser or underwriter, if any, shall be
deemed to be reasonable if such Registration Statement, amendment, Prospectus
or supplement, as applicable, as proposed to be filed, contains a material
misstatement or omission;

 

(v)           make available at reasonable times for inspection, upon
written request, at the offices where normally kept, by a representative of the
Initial Purchasers, the managing underwriter(s), if any, participating in any
disposition pursuant to such Registration Statement and any attorney or one
firm of accountants retained by such Initial Purchasers or any of the managing
underwriter(s), all financial and other records, pertinent corporate documents
and properties of each of the Company and the Guarantors and cause the Company’s
and the Guarantors’ officers, directors and employees to supply all information
reasonably requested by any such Holder, underwriter, attorney or accountant in
connection with such Registration Statement or any post-effective amendment
thereto subsequent to the filing thereof and prior to its effectiveness and to
participate in meetings with investors to the extent reasonably requested by
the managing underwriter(s), if any; provided, that
if any such information is reasonably identified by the Company or any
Guarantor as being confidential or proprietary, each Person receiving such
information shall take such actions as are reasonably necessary to protect the
confidentiality of such information, and shall sign confidentiality agreements
requested by the Company or any Guarantor prior to the receipt of such
information;

 

10

 

(vi)          if requested by any selling Holders or the underwriter(s),
if any, promptly incorporate in any Registration Statement or Prospectus,
pursuant to a supplement or post-effective amendment if necessary, such
information as such selling Holders and underwriter(s), if any, may reasonably
request to have included therein, including, without limitation, information
relating to the “Plan of Distribution” of the Transfer Restricted Securities,
information with respect to the principal amount of Transfer Restricted
Securities being sold to such underwriter(s), the purchase price being paid
therefor and any other terms of the offering of the Transfer Restricted
Securities to be sold in such offering; and make all required filings of such
Prospectus supplement or post-effective amendment as soon as practicable after
the Company is notified of the matters to be incorporated in such Prospectus
supplement or post-effective amendment;

 

(vii)         cause the Transfer Restricted Securities covered by the
Registration Statement to be rated with the appropriate rating agencies, if so
requested by the Holders of a majority in aggregate principal amount of
Securities covered thereby or the underwriter(s), if any;

 

(viii)        furnish to each Initial Purchaser, each
selling Holder and each of the underwriter(s), if any, without charge, at least
one copy of the Registration Statement, as first filed with the Commission, and
of each amendment thereto, including financial statements and schedules, all
documents incorporated by reference therein and all exhibits (including
exhibits incorporated therein by reference);

 

(ix)          deliver to each selling Holder and each of the
underwriter(s), if any, without charge, as many copies of the Prospectus
(including each preliminary prospectus) and any amendment or supplement thereto
as such Persons reasonably may request; each of the Company and the Guarantors
hereby consents to the use of the Prospectus and any amendment or supplement
thereto by each of the selling Holders and each of the underwriter(s), if any,
in connection with the offering and the sale of the Transfer Restricted
Securities covered by the Prospectus or any amendment or supplement thereto;

 

(x)           enter into such agreements (including an underwriting
agreement), and make such representations and warranties, and take all such
other actions in connection therewith in order to expedite or facilitate the
disposition of the Transfer Restricted Securities pursuant to any Registration
Statement contemplated by this Agreement, all to such extent as may be
requested by any Initial Purchaser or by any Holder of Transfer Restricted
Securities or underwriter in connection with any sale or resale pursuant to any
Registration Statement contemplated by this Agreement; and whether or not an
underwriting agreement is entered into and whether or not the registration is
an Underwritten Registration, each of the Company and the Guarantors shall:

 

(A)          furnish to each Initial Purchaser, each selling Holder and
each underwriter, if any, in such substance and scope as they may request and
as are customarily made by issuers to underwriters in primary underwritten
offerings, upon the effectiveness of the Shelf Registration Statement:

 

11

 

(1)           a certificate, dated the date of effectiveness of the
Shelf Registration Statement, signed by (y) the President or any Vice
President and (z) a principal financial or accounting officer of each of
the Company and the Guarantors, confirming, as of the date thereof, the matters
set forth in paragraphs (i), (ii) and (iii) of Section 5(e) of
the Purchase Agreement and such other matters as such parties may reasonably
request;

 

(2)           use reasonable best efforts to obtain an opinion, dated
the date of effectiveness of the Shelf Registration Statement, of counsel for
the Company and the Guarantors, covering the matters set forth in Section 5(c) of
the Purchase Agreement and such other matter as such parties may reasonably
request, and in any event including a statement to the effect that such counsel
has participated in conferences with officers and other representatives of the
Company and the Guarantors, representatives of the independent public
accountants for the Company and the Guarantors, representatives of the
underwriter(s), if any, and counsel to the underwriter(s), if any, in
connection with the preparation of such Registration Statement and the related
Prospectus and have considered the matters required to be stated therein and
the statements contained therein, although such counsel has not independently
verified the accuracy, completeness or fairness of such statements; and that
such counsel advises that, on the basis of the foregoing, no facts came to such
counsel’s attention that caused such counsel to believe that the applicable
Registration Statement, at the time such Registration Statement or any
post-effective amendment thereto became effective contained an untrue statement
of a material fact or omitted to state a material fact required to be stated
therein or necessary in order to make the statements therein, in the light of
the circumstances under which they were made, not misleading.  Without limiting the foregoing, such counsel
may state further that such counsel assumes no responsibility for, and has not
independently verified, the accuracy, completeness or fairness of the financial
statements, notes and schedules and other financial data included in any
Registration Statement contemplated by this Agreement or the related
Prospectus; and

 

(3)           use reasonable best efforts to obtain a customary comfort
letter, dated the date of effectiveness of the Shelf Registration Statement,
from the Company’s independent accountants, in the customary form and covering
matters of the type customarily requested to be covered in comfort letters by underwriters
in connection with primary underwritten offerings, and covering or affirming
the matters set forth in the comfort letters delivered pursuant to Section 5(a) of
the Purchase Agreement, without exception;

 

(B)          set forth in full or incorporate by reference in the
underwriting agreement, if any, the indemnification provisions and procedures
of Section 8 hereof with respect to all parties to be indemnified pursuant
to said Section; and

 

12

 

(C)          deliver such other documents and certificates as may be
reasonably requested by such parties to evidence compliance with Section 6(c)(xi)(A) hereof
and with any customary conditions contained in the underwriting agreement or
other agreement entered into by the Company or any of the Guarantors pursuant
to this Section 6(c)(xi), if any.

 

If at any time the representations and warranties of the Company and
the Guarantors contemplated in Section 6(c)(x)(A)(1) hereof cease to
be true and correct, the Company or the Guarantors shall so advise the Initial
Purchasers and the underwriter(s), if any, and each selling Holder promptly
and, if requested by such Persons, shall confirm such advice in writing;

 

(xi)          prior to any public offering of Transfer Restricted
Securities, cooperate with the selling Holders, the underwriter(s), if any, and
their respective counsel in connection with the registration and qualification
of the Transfer Restricted Securities under the state securities or blue sky
laws of such jurisdictions as the selling Holders or underwriter(s), if any,
may reasonably request and do any and all other acts or things reasonably
necessary or advisable to enable the disposition in such jurisdictions of the
Transfer Restricted Securities covered by the Shelf Registration Statement; provided, however, that none of the Company nor the
Guarantors shall be required to register or qualify as a foreign corporation
where it is not then so qualified or to take any action that would subject it
to the service of process in suits or to taxation, other than as to matters and
transactions relating to the Registration Statement, in any jurisdiction where
it is not then so subject;

 

(xii)         shall issue, upon the request of any Holder of Initial
Securities covered by the Shelf Registration Statement, Exchange Securities
having an aggregate principal amount equal to the aggregate principal amount of
Initial Securities surrendered to the Company by such Holder in exchange
therefor or being sold by such Holder; such Exchange Securities to be
registered in the name of such Holder or in the name of the purchaser(s) of
such Securities, as the case may be; in return, the Initial Securities held by
such Holder shall be surrendered to the Company for cancellation;

 

(xiii)        cooperate with the selling Holders and
the underwriter(s), if any, to facilitate the timely preparation and delivery
of certificates representing Transfer Restricted Securities to be sold and not
bearing any restrictive legends; and enable such Transfer Restricted Securities
to be in such denominations (subject to the applicable requirements contained
in the applicable Indenture) and registered in such names as the Holders or the
underwriter(s), if any, may request at least two Business Days prior to any
sale of Transfer Restricted Securities made by such Holders or underwriter(s);

 

(xiv)        use commercially reasonable efforts to cause the Transfer
Restricted Securities covered by the Registration Statement to be registered
with or approved by such other governmental agencies or authorities as may be
necessary to enable the seller or sellers thereof or the underwriter(s), if
any, to consummate the disposition of such Transfer Restricted Securities,
subject to the proviso contained in Section 6(c)(xii) hereof, except
as may be required solely as a consequence of the nature of such selling Holder’s

 

13

 

business, in which case the
Company and the Guarantors will cooperate in all reasonable respects with the
filing of such Registration Statement and the granting of such approvals;

 

(xv)         if any fact or event contemplated by Section 6(c)(iii)(D) hereof
shall exist or have occurred, prepare a supplement or post-effective amendment
to the Registration Statement or related Prospectus or any document
incorporated therein by reference or file any other required document so that,
as thereafter delivered to the purchasers of Transfer Restricted Securities,
the Prospectus will not contain an untrue statement of a material fact or omit
to state any material fact necessary in order to make the statements therein in
light of the circumstances under which they were made, not misleading;

 

(xvi)        provide a CUSIP number for all Securities not later than the
effective date of the Registration Statement covering such Securities and
provide the Trustee under the Indenture with printed certificates for such
Securities which are in a form eligible for deposit with the Depository Trust
Company and take all other action necessary to ensure that all such Securities
are eligible for deposit with the Depository Trust Company;

 

(xvii)       cooperate and assist in any filings
required to be made with FINRA and in the performance of any due diligence
investigation by any underwriter (including any “qualified independent
underwriter”) that is required to be retained in accordance with the rules and
regulations of FINRA;

 

(xviii)      otherwise use commercially reasonable
efforts to comply with all applicable rules and regulations of the
Commission, and make generally available to its security holders, as soon as
practicable, a consolidated earnings statement meeting the requirements of Rule 158
(which need not be audited) for the twelve-month period (A) commencing at
the end of any fiscal quarter in which Transfer Restricted Securities are sold
to underwriters in a firm commitment or best efforts Underwritten Offering or (B) if
not sold to underwriters in such an offering, beginning with the first month of
the Company’s first fiscal quarter commencing after the effective date of the
Registration Statement;

 

(xix)        cause the Indenture to be qualified under the Trust Indenture
Act not later than the effective date of the first Registration Statement
required by this Agreement, and, in connection therewith, cooperate with the
Trustee and the Holders of Securities to effect such changes to the Indenture
as may be required for such Indenture to be so qualified in accordance with the
terms of the Trust Indenture Act; and to execute and use commercially
reasonable efforts to cause the Trustee to execute, all documents that may be
required to effect such changes and all other forms and documents required to
be filed with the Commission to enable such Indenture to be so qualified in a
timely manner;

 

(xx)         cause all Securities covered by the Registration Statement
to be listed on each securities exchange or automated quotation system on which
similar securities issued by the Company are then listed if requested by the
Holders of a majority in aggregate principal amount of Initial Securities or
the managing underwriter(s), if any; and

 

14

 

(xxi)        provide promptly to each Holder upon request each document
filed with the Commission pursuant to the requirements of Section 13 and Section 15
of the Exchange Act.

 

Each
Holder agrees by acquisition of a Transfer Restricted Security that, upon
receipt of any notice from the Company of the existence of any fact of the kind
described in Section 6(c)(iii)(D) hereof, such Holder will forthwith
discontinue disposition of Transfer Restricted Securities pursuant to the
applicable Registration Statement until such Holder’s receipt of the copies of
the supplemented or amended Prospectus contemplated by Section 6(c)(xvi) hereof,
or until it is advised in writing (the “Advice”) by the Company that the use of
the Prospectus may be resumed, and has received copies of any additional or
supplemental filings that are incorporated by reference in the Prospectus.  If so directed by the Company, each Holder
will deliver to the Company (at the Company’s expense) all copies, other than
permanent file copies then in such Holder’s possession, of the Prospectus
covering such Transfer Restricted Securities that was current at the time of
receipt of such notice.  In the event the
Company shall give any such notice, the time period regarding the effectiveness
of such Registration Statement set forth in Section 3 or 4 hereof, as
applicable, shall be extended by the number of days during the period from and
including the date of the giving of such notice pursuant to Section 6(c)(iii)(D) hereof
to and including the date when each selling Holder covered by such Registration
Statement shall have received the copies of the supplemented or amended
Prospectus contemplated by Section 6(c)(xvi) hereof or shall have
received the Advice; provided, however,
that no such extension shall be taken into account in determining whether
Additional Interest is due pursuant to Section 5 hereof or the amount of
such Additional Interest, it being agreed that the Company’s option to suspend
use of a Registration Statement pursuant to this paragraph shall be treated as
a Registration Default for purposes of Section 5 hereof.

 

SECTION 7.             Registration Expenses.

 

(a)           All expenses incident to the Company’s and the Guarantor’s
performance of or compliance with this Agreement will be borne by the Company
and the Guarantors, jointly and severally, regardless of whether a Registration
Statement becomes effective, including, without limitation: (i) all
registration and filing fees and expenses (including filings made by any
Initial Purchaser or Holder with FINRA (and, if applicable, the fees and
expenses of any “qualified independent underwriter” and its counsel that may be
required by the rules and regulations of FINRA)); (ii) all fees and
expenses of compliance with federal securities and state securities or blue sky
laws; (iii) all expenses of printing (including printing certificates for
the Exchange Securities to be issued in the Exchange Offer and printing of
Prospectuses), messenger and delivery services and telephone; (iv) all
fees and disbursements of counsel for the Company, the Guarantors and, subject
to Section 7(b) hereof, the Holders of Transfer Restricted
Securities; (v) all application and filing fees in connection with listing
the Exchange Securities on a securities exchange or automated quotation system
pursuant to the requirements thereof; and (vi) all fees and disbursements
of independent certified public accountants of the Company and the Guarantors
(including the expenses of any special audit and comfort letters required by or
incident to such performance).

 

15

 

Each
of the Company and the Guarantors will, in any event, bear its internal
expenses (including, without limitation, all salaries and expenses of its
officers and employees performing legal or accounting duties), the expenses of
any annual audit and the fees and expenses of any Person, including special
experts, retained by the Company or the Guarantors.

 

(b)           In connection with any Registration Statement required by
this Agreement (including, without limitation, the Exchange Offer Registration
Statement and the Shelf Registration Statement), the Company and the
Guarantors, jointly and severally, will reimburse the Initial Purchasers and
the Holders of Transfer Restricted Securities being tendered in the Exchange
Offer and/or resold pursuant to the “Plan of Distribution” contained in the
Exchange Offer Registration Statement or registered pursuant to the Shelf
Registration Statement, as applicable, for the reasonable fees and
disbursements of not more than one counsel, who shall be Cahill Gordon &
Reindel LLP or such other counsel as may be chosen by the Holders of a majority
in principal amount of the Transfer Restricted Securities for whose benefit
such Registration Statement is being prepared.

 

SECTION 8.             Indemnification.

 

(a)           The Company and the Guarantors, jointly and severally,
agree to indemnify and hold harmless (i) each Initial Purchaser and each
Holder and (ii) each Person, if any, who controls (within the meaning of Section 15
of the Securities Act or Section 20 of the Exchange Act) any Initial
Purchaser or any Holder (any of the Persons referred to in this clause (ii) being
hereinafter referred to as a “controlling person”) and (iii) the
respective officers, directors, partners, employees, representatives and agents
of any Holder or any controlling person (any Person referred to in clause (i), (ii) or
(iii) may hereinafter be referred to as an “Indemnified Holder”), to the
fullest extent lawful, from and against any and all losses, claims, damages,
liabilities, judgments, actions and expenses (including, without limitation,
and as incurred, reimbursement of all reasonable costs of investigating,
preparing, pursuing, settling, compromising, paying or defending any claim or
action, or any investigation or proceeding by any governmental agency or body,
commenced or threatened, including the reasonable fees and expenses of counsel
to any Indemnified Holder), joint or several, directly or indirectly caused by,
related to, based upon, arising out of or in connection with (i) any
untrue statement or alleged untrue statement of a material fact contained in
any Registration Statement (or any amendment or supplement thereto) or
Prospectus (or any amendment or supplement thereto) or any omission or alleged
omission to state therein a material fact required to be stated therein or
necessary in order to make the statements therein not misleading, or (ii) any
untrue statement or alleged untrue statement of a material fact contained in
any preliminary prospectus or any Issuer Free Writing Prospectus (or any
amendment or supplement thereto or any omission or alleged omission to state
therein a material fact necessary in order to make the statements therein, in
the light of the circumstances under which they were made, not misleading,
except, in each case, insofar as such losses, claims, damages, liabilities or
expenses are caused by an untrue statement or omission or alleged untrue statement
or omission that is made in reliance upon and in conformity with information
relating to any of the Initial Purchasers or any of the Holders furnished in
writing to the Company by J.P. Morgan Securities Inc. or any selling Holder,
respectively, expressly for use therein. 
This indemnity agreement shall be in addition to any liability which the
Company or any of the Guarantors may otherwise have.

 

16

 

In
case any action or proceeding (including any governmental or regulatory
investigation or proceeding) shall be brought or asserted against any of the
Indemnified Holders with respect to which indemnity may be sought against the
Company or the Guarantors, such Indemnified Holder (or the Indemnified Holder controlled
by such controlling person) shall promptly notify the Company and the
Guarantors in writing; provided, however,
that the failure to give such notice shall not relieve any of the Company or
the Guarantors of their obligations pursuant to this Agreement.  Such Indemnified Holder shall have the right
to employ its own counsel in any such action and the fees and expenses of such
counsel shall be paid, as incurred, by the Company and the Guarantors
(regardless of whether it is ultimately determined that an Indemnified Holder
is not entitled to indemnification hereunder). 
The Company and the Guarantors shall not, in connection with any one
such action or proceeding or separate but substantially similar or related
actions or proceedings in the same jurisdiction arising out of the same general
allegations or circumstances, be liable for the reasonable fees and expenses of
more than one separate firm of attorneys (in addition to any local counsel) at
any time for such Indemnified Holders, which firm shall be designated by the
Holders.  The Company and the Guarantors
shall be liable for any settlement of any such action or proceeding effected
with the Company’s and the Guarantors’ prior written consent, which consent
shall not be withheld unreasonably, and each of the Company and the Guarantors
agrees to indemnify and hold harmless any Indemnified Holder from and against
any loss, claim, damage, liability or expense by reason of any settlement of
any action effected with the written consent of the Company and the
Guarantors.  The Company and the
Guarantors shall not, without the prior written consent of each Indemnified
Holder, settle or compromise or consent to the entry of judgment in or
otherwise seek to terminate any pending or threatened action, claim, litigation
or proceeding in respect of which indemnification or contribution may be sought
hereunder (whether or not any Indemnified Holder is a party thereto), unless
such settlement, compromise, consent or termination includes an unconditional
release of each Indemnified Holder from all liability arising out of such
action, claim, litigation or proceeding.

 

(b)           Each Holder of Transfer Restricted Securities agrees,
severally and not jointly, to indemnify and hold harmless the Company, the
Guarantors, the Initial Purchasers and each of the  respective directors, officers of the Company
and the Guarantors who sign a Registration Statement, and any Person
controlling (within the meaning of Section 15 of the Securities Act or Section 20
of the Exchange Act) the Company or any of the Guarantors, and the respective
officers, directors, partners, employees, representatives and agents of each
such Person, to the same extent as the foregoing indemnity from the Company and
the Guarantors to each of the Indemnified Holders, but only with respect to
claims and actions based on information relating to such Holder furnished in
writing by such Holder expressly for use in any Registration Statement.  In case any action or proceeding shall be
brought against the Company, the Guarantors or their respective directors or
officers or any such controlling person in respect of which indemnity may be
sought against a Holder of Transfer Restricted Securities, such Holder shall
have the rights and duties given the Company and the Guarantors, and the
Company, the Guarantors, their respective directors and officers and such
controlling person shall have the rights and duties given to each Holder by the
preceding paragraph.

 

(c)           If the indemnification provided for in this Section 8
is unavailable to an indemnified party under Section 8(a) or (b) hereof
(other than by reason of exceptions provided in those Sections) in respect of
any losses, claims, damages, liabilities, judgments, actions or expenses 

 

17

 

referred to therein, then each applicable
indemnifying party, in lieu of indemnifying such indemnified party, shall
contribute to the amount paid or payable by such indemnified party as a result
of such losses, claims, damages, liabilities or expenses in such proportion as
is appropriate to reflect the relative benefits received by the Company and the
Guarantors, on the one hand, and the Holders, on the other hand, from the
Initial Placement (which in the case of the Company and the Guarantors shall be
deemed to be equal to the total gross proceeds to the Company and the
Guarantors from the Initial Placement), the amount of Additional Interest which
did not become payable as a result of the filing of the Registration Statement
resulting in such losses, claims, damages, liabilities, judgments actions or
expenses, and such Registration Statement, or if such allocation is not
permitted by applicable law, the relative fault of the Company and the
Guarantors, on the one hand, and the Holders, on the other hand, in connection
with the statements or omissions which resulted in such losses, claims,
damages, liabilities or expenses, as well as any other relevant equitable
considerations.  The relative fault of
the Company on the one hand and of the Indemnified Holder on the other shall be
determined by reference to, among other things, whether the untrue or alleged
untrue statement of a material fact or the omission or alleged omission to
state a material fact relates to information supplied by the Company or any of
the Guarantors, on the one hand, or the Indemnified Holders, on the other hand,
and the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent such statement or omission.  The amount paid or payable by a party as a
result of the losses, claims, damages, liabilities and expenses referred to
above shall be deemed to include, subject to the limitations set forth in the
second paragraph of Section 8(a) hereof, any legal or other fees or
expenses reasonably incurred by such party in connection with investigating or
defending any action or claim.

 

The
Company, the Guarantors and each Holder of Transfer Restricted Securities agree
that it would not be just and equitable if contribution pursuant to this Section 8(c) were
determined by pro rata allocation (even if the Holders were treated as one
entity for such purpose) or by any other method of allocation which does not
take account of the equitable considerations referred to in the immediately
preceding paragraph.  The amount paid or
payable by an indemnified party as a result of the losses, claims, damages,
liabilities or expenses referred to in the immediately preceding paragraph
shall be deemed to include, subject to the limitations set forth above, any
legal or other expenses reasonably incurred by such indemnified party in
connection with investigating or defending any such action or claim.  Notwithstanding the provisions of this Section 8,
none of the Holders (and its related Indemnified Holders) shall be required to
contribute, in the aggregate, any amount in excess of the amount by which the
total discount received by such Holder with respect to the Initial Securities
exceeds the amount of any damages which such Holder has otherwise been required
to pay by reason of such untrue or alleged untrue statement or omission or
alleged omission.  No Person guilty of
fraudulent misrepresentation (within the meaning of Section 11(f) of
the Securities Act) shall be entitled to contribution from any Person who was
not guilty of such fraudulent misrepresentation.  The Holders’ obligations to contribute
pursuant to this Section 8(c) are several in proportion to the
respective principal amount of Initial Securities held by each of the Holders
hereunder and not joint.

 

SECTION 9.             Rule 144A.  Each of the Company and the
Guarantors hereby agrees with each Holder, for so long as any Transfer
Restricted Securities remain outstanding, to make available to any Holder or
beneficial owner of Transfer Restricted Securities in connection with any sale
thereof and any prospective purchaser of such Transfer Restricted Securities
from such 

 

18

 

Holder or beneficial owner, the information required
by Rule 144A(d)(4) under the Securities Act in order to permit
resales of such Transfer Restricted Securities pursuant to Rule 144A under
the Securities Act.

 

SECTION 10.          Participation in
Underwritten Registrations.  No
Holder may participate in any Underwritten Registration hereunder unless such
Holder (a) agrees to sell such Holder’s Transfer Restricted Securities on
the basis provided in any underwriting arrangements approved by the Persons
entitled hereunder to approve such arrangements and (b) completes and
executes all reasonable questionnaires, powers of attorney, indemnities,
underwriting agreements, lock-up letters and other documents required under the
terms of such underwriting arrangements.

 

SECTION 11.          Selection of
Underwriters.  The Holders of
Transfer Restricted Securities covered by the Shelf Registration Statement who
desire to do so may sell such Transfer Restricted Securities in an Underwritten
Offering.  In any such Underwritten
Offering, the investment banker(s) and managing underwriter(s) that
will administer such offering will be selected by the Holders of a majority in
aggregate principal amount of the Transfer Restricted Securities included in
such offering; provided, however, that such
investment banker(s) and managing underwriter(s) must be reasonably
satisfactory to the Company.

 

SECTION 12.          Miscellaneous.

 

(a)           Remedies.  Each of the Company and the
Guarantors hereby agrees that monetary damages would not be adequate
compensation for any loss incurred by reason of a breach by it of the
provisions of this Agreement and hereby agree to waive the defense in any
action for specific performance that a remedy at law would be adequate.

 

(b)           No Inconsistent
Agreements.  Each of the
Company and the Guarantors will not on or after the date of this Agreement
enter into any agreement with respect to its securities that is inconsistent
with the rights granted to the Holders in this Agreement or otherwise conflicts
with the provisions hereof.  Neither the
Company nor any of the Guarantors has previously entered into any agreement
granting any registration rights with respect to its debt securities to any
Person.  The rights granted to the
Holders hereunder do not in any way conflict with and are not inconsistent with
the rights granted to the holders of the Company’s or any of the Guarantors’
securities under any agreement in effect on the date hereof.

 

(c)           Actions Affecting the
Securities.  The Company will
not take any action, or permit any change to occur, with respect to the
Securities that would materially and adversely affect the ability of the
Holders to Consummate any Exchange Offer.

 

(d)           Amendments and
Waivers.  The provisions of
this Agreement may not be amended, modified or supplemented, and waivers or
consents to or departures from the provisions hereof may not be given unless
the Company has (i) in the case of Section 5 hereof and this Section 12(d)(i),
obtained the written consent of Holders of all outstanding Transfer Restricted
Securities and (ii) in the case of all other provisions hereof, obtained
the written consent of Holders of a majority of the outstanding principal
amount of Transfer Restricted Securities (excluding any Transfer Restricted
Securities held by the Company or its Affiliates).  Notwithstanding the foregoing, a waiver or
consent to departure from the provisions hereof that relates 

 

19

 

exclusively to the rights of Holders whose
securities are being tendered pursuant to the Exchange Offer and that does not
affect directly or indirectly the rights of other Holders whose securities are
not being tendered pursuant to such Exchange Offer may be given by the Holders
of a majority of the outstanding principal amount of Transfer Restricted
Securities being tendered or registered; provided,
however, that, with respect to any matter that directly or
indirectly affects the rights of any Initial Purchaser hereunder, the Company
shall obtain the written consent of each such Initial Purchaser with respect to
which such amendment, qualification, supplement, waiver, consent or departure is
to be effective.

 

(e)           Notices.  All notices and other
communications provided for or permitted hereunder shall be made in writing by
hand-delivery, first-class mail (registered or certified, return receipt
requested), telex, telecopier, or air courier guaranteeing overnight delivery:

 

(i)      if to a Holder, at the address set forth on the records of the
Registrar under the Indenture, with a copy to the Registrar under the
Indenture; and

 

(ii)               if to the Company:

 

SPX Corporation

13515 Ballantyne Corporate Place

Charlotte, NC 28277

Telecopier No.: (704) 752-4505

Attention: Kevin L. Lilly, Esq.

 

With a copy to:

 

Fried, Frank, Harris,
Shriver & Jacobson LLP

One New York Plaza

New York, NY 10004

Telecopier No.: (212) 859-4000 

Attention: Stuart H. Gelfond, Esq.

 

All
such notices and communications shall be deemed to have been duly given:  at the time delivered by hand, if personally
delivered; five Business Days after being deposited in the mail, postage
prepaid, if mailed; when answered back, if telexed; when receipt acknowledged,
if telecopied; and on the next Business Day, if timely delivered to an air
courier guaranteeing overnight delivery.

 

Copies
of all such notices, demands or other communications shall be concurrently
delivered by the Person giving the same to the Trustee at the address specified
in the Indenture.

 

(f)            Successors and
Assigns.  This Agreement shall
inure to the benefit of and be binding upon the successors and assigns of each
of the parties, including, without limitation, and without the need for an
express assignment, subsequent Holders of Transfer Restricted Securities; provided, however, that this Agreement shall not inure to
the benefit of or be binding upon a successor or assign of a Holder unless and
to the extent such successor or assign acquired Transfer Restricted Securities
from such Holder.

 

20

 

(g)           Counterparts.  This Agreement may be executed in
any number of counterparts and by the parties hereto in separate counterparts,
each of which when so executed shall be deemed to be an original and all of
which taken together shall constitute one and the same agreement.

 

(h)           Headings.  The headings in this Agreement are
for convenience of reference only and shall not limit or otherwise affect the
meaning hereof.

 

(i)            Governing Law.  THIS AGREEMENT SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT
REGARD TO THE CONFLICTS OF LAW RULES THEREOF.

 

(j)            Severability.  In the event that any one or more
of the provisions contained herein, or the application thereof in any
circumstance, is held invalid, illegal or unenforceable, the validity, legality
and enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be affected or impaired
thereby.

 

(k)           Entire Agreement.  This Agreement is intended by the
parties as a final expression of their agreement and intended to be a complete
and exclusive statement of the agreement and understanding of the parties
hereto in respect of the subject matter contained herein.  There are no restrictions, promises,
warranties or undertakings, other than those set forth or referred to herein
with respect to the registration rights granted by the Company with respect to
the Transfer Restricted Securities.  This
Agreement supersedes all prior agreements and understandings between the
parties with respect to such subject matter.

 

21

 

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the date first
written above.

 

	
   

  	
  SPX
  CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Senior
  Vice President, Secretary and General Counsel

  

 

22

 

	
   

  	
  APV
  NORTH AMERICA, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

23

 

	
   

  	
  FLAIR
  CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

24

 

	
   

  	
  KAYEX
  CHINA HOLDINGS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

25

 

	
   

  	
  SPX
  COOLING TECHNOLOGIES, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

26

 

	
   

  	
  SPX
  HEAT TRANSFER INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

27

 

	
   

  	
  TCI
  INTERNATIONAL, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

28

 

	
   

  	
  THE
  MARLEY-WYLAIN COMPANY

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Daniel Watanapongse

  
	
   

  	
   

  	
  Daniel
  Watanapongse

  
	
   

  	
   

  	
  Vice
  President, Secretary and Treasurer

  

 

29

 

	
   

  	
  WAUKESHA
  ELECTRIC SYSTEMS, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

30

 

	
   

  	
  XCEL
  ERECTORS, INC.

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Robert B. Foreman

  
	
   

  	
   

  	
  Robert
  B. Foreman

  
	
   

  	
   

  	
  President

  

 

31

 

	
   

  	
  MARLEY
  ENGINEERED PRODUCTS LLC

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

32

 

	
   

  	
  MCT
  SERVICES LLC

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

33

 

	
   

  	
  SPX
  PRECISION COMPONENTS LLC

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Vice
  President and Secretary

  

 

34

 

	
   

  	
  THE
  MARLEY COMPANY LLC

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Kevin Lilly

  
	
   

  	
   

  	
  Kevin
  Lilly

  
	
   

  	
   

  	
  Exec.
  Vice President and Secretary

  

 

35

 

The
foregoing Registration Rights Agreement is hereby confirmed and accepted as of
the date first above written:

 

	
  J.P. MORGAN SECURITIES INC.,

  
	
  as Representative of the Initial Purchasers

  
	
   

  
	
   

  
	
  By:

  	
  J.P.
  Morgan Securities Inc.

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/
  Gerry Murray

  	
   

  
	
   

  	
  Managing
  Director

  	
   

  

 

36

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