Document:

Exhibit 4.14

 

EXECUTION VERSION

 

STEEL DYNAMICS, INC.,

 

as Issuer

 

and

 

SDI INVESTMENT
COMPANY

STEEL DYNAMICS
SALES NORTH AMERICA, INC.

NEW MILLENNIUM
BUILDING SYSTEMS, LLC

ROANOKE ELECTRIC
STEEL CORPORATION

NEW MILLENNIUM
BUILDING SYSTEMS, INC.

SOCAR OF OHIO,
INC.

SHREDDED PRODUCTS
II, LLC

JOHN W. HANCOCK,
JR., LLC

STEEL OF WEST
VIRGINIA, INC.

STEEL VENTURES,
INC.

SWVA, INC.

MARSHALL STEEL,
INC.

THE TECHS
INDUSTRIES, INC.

OMNISOURCE
CORPORATION

CAPITOL CITY
METALS, LLC

JACKSON IRON &
METAL COMPANY, INC.

MICHIGAN
PROPERTIES ECORSE, LLC

OMNISOURCE ATHENS
DIVISION, LLC

OMNISOURCE BAY
CITY, LLC

OMNISOURCE
INDIANAPOLIS, LLC

OMNISOURCE, LLC

OMNISOURCE MEXICO,
LLC

OMNISOURCE
TRANSPORT, LLC

RECOVERY
TECHNOLOGIES, LLC

SUPERIOR ALUMINUM
ALLOYS, LLC

CAROLINAS RECYCLING
GROUP, LLC

COHEN &
GREEN SALVAGE CO., INC.

LUMBERTON
RECYCLING COMPANY, INC.

OMNISOURCE
SOUTHEAST, LLC

RAEFORD SALVAGE
COMPANY, INC.

 

as Initial Subsidiary Guarantors

 

and

 

Wells Fargo Bank, National Association

 

as Trustee

 

 

Indenture

 

Dated as of March 17, 2010

 

 

 

7 5/8% Senior Notes due 2020

 

 

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

  	
  12

  
	
  SECTION 1.03.

  	
  Rules of
  Construction

  	
  12

  
	
   

  	
   

  	
   

  
	
  ARTICLE TWO

  THE NOTES

  
	
   

  	
   

  	
   

  
	
  SECTION 2.01.

  	
  Form and Dating

  	
  13

  
	
  SECTION 2.02.

  	
  Restrictive Legends

  	
  14

  
	
  SECTION 2.03.

  	
  Execution, Authentication
  and Denominations

  	
  16

  
	
  SECTION 2.04.

  	
  Registrar and Paying
  Agent

  	
  16

  
	
  SECTION 2.05.

  	
  Paying Agent to Hold
  Money in Trust

  	
  17

  
	
  SECTION 2.06.

  	
  Transfer and Exchange

  	
  18

  
	
  SECTION 2.07.

  	
  Book-Entry Provisions
  for Global Notes

  	
  18

  
	
  SECTION 2.08.

  	
  Special Transfer
  Provisions

  	
  20

  
	
  SECTION 2.09.

  	
  Replacement Notes

  	
  24

  
	
  SECTION 2.10.

  	
  Outstanding Notes

  	
  24

  
	
  SECTION 2.11.

  	
  Temporary Notes

  	
  25

  
	
  SECTION 2.12.

  	
  Cancellation

  	
  25

  
	
  SECTION 2.13.

  	
  CUSIP Numbers

  	
  25

  
	
  SECTION 2.14.

  	
  Defaulted Interest

  	
  25

  
	
  SECTION 2.15.

  	
  Issuance of Additional
  Notes

  	
  26

  
	
   

  	
   

  	
   

  
	
  ARTICLE THREE

  REDEMPTION

  
	
   

  	
   

  	
   

  
	
  SECTION 3.01.

  	
  Right of Redemption

  	
  26

  
	
  SECTION 3.02.

  	
  Notices to Trustee

  	
  26

  
	
  SECTION 3.03.

  	
  Selection of Notes to
  Be Redeemed

  	
  27

  
	
  SECTION 3.04.

  	
  Notice of Redemption

  	
  27

  
	
  SECTION 3.05.

  	
  Effect of Notice of
  Redemption

  	
  28

  
	
  SECTION 3.06.

  	
  Deposit of Redemption
  Price

  	
  28

  
	
  SECTION 3.07.

  	
  Payment of Notes Called
  for Redemption

  	
  28

  
	
  SECTION 3.08.

  	
  Notes Redeemed in Part

  	
  29

  
	
   

  	
   

  	
   

  
	
  ARTICLE FOUR

  COVENANTS

  
	
   

  	
   

  	
   

  
	
  SECTION 4.01.

  	
  Payment of Notes

  	
  29

  
	
  SECTION 4.02.

  	
  Maintenance of Office
  or Agency

  	
  29

  

 

i

 

	
  SECTION 4.03.

  	
  Limitation on Liens

  	
  30

  
	
  SECTION 4.04.

  	
  Limitation on Sale and
  Leaseback Transactions

  	
  31

  
	
  SECTION 4.05.

  	
  Repurchase of Notes
  upon a Change of Control

  	
  32

  
	
  SECTION 4.06.

  	
  Existence

  	
  32

  
	
  SECTION 4.07.

  	
  Payment of Taxes and Other
  Claims

  	
  33

  
	
  SECTION 4.08.

  	
  Maintenance of
  Properties and Insurance

  	
  33

  
	
  SECTION 4.09.

  	
  Notice of Defaults

  	
  33

  
	
  SECTION 4.10.

  	
  Compliance Certificates

  	
  34

  
	
  SECTION 4.11.

  	
  Commission Reports and
  Reports to Holders

  	
  34

  
	
  SECTION 4.12.

  	
  Waiver of Stay,
  Extension or Usury Laws

  	
  34

  
	
  SECTION 4.13.

  	
  Issuances of Subsidiary
  Guarantees

  	
  35

  
	
  SECTION 4.14.

  	
  Additional Interest
  Notice

  	
  35

  
	
   

  	
   

  	
   

  
	
  ARTICLE FIVE

  SUCCESSOR CORPORATION

  
	
   

  	
   

  	
   

  
	
  SECTION 5.01.

  	
  When Company or
  Subsidiary Guarantors May Merge, Etc.

  	
  35

  
	
  SECTION 5.02.

  	
  Successor Substituted

  	
  36

  
	
   

  	
   

  	
   

  
	
  ARTICLE SIX

  DEFAULT AND REMEDIES

  
	
   

  	
   

  	
   

  
	
  SECTION 6.01.

  	
  Events of Default

  	
  36

  
	
  SECTION 6.02.

  	
  Acceleration

  	
  38

  
	
  SECTION 6.03.

  	
  Other Remedies

  	
  39

  
	
  SECTION 6.04.

  	
  Waiver of Past Defaults

  	
  39

  
	
  SECTION 6.05.

  	
  Control by Majority

  	
  39

  
	
  SECTION 6.06.

  	
  Limitation on Suits

  	
  39

  
	
  SECTION 6.07.

  	
  Rights of Holders to
  Receive Payment

  	
  40

  
	
  SECTION 6.08.

  	
  Collection Suit by
  Trustee

  	
  40

  
	
  SECTION 6.09.

  	
  Trustee May File
  Proofs of Claim

  	
  40

  
	
  SECTION 6.10.

  	
  Priorities

  	
  41

  
	
  SECTION 6.11.

  	
  Undertaking for Costs

  	
  41

  
	
  SECTION 6.12.

  	
  Restoration of Rights
  and Remedies

  	
  41

  
	
  SECTION 6.13.

  	
  Rights and Remedies
  Cumulative

  	
  42

  
	
  SECTION 6.14.

  	
  Delay or Omission Not
  Waiver

  	
  42

  
	
   

  	
   

  	
   

  
	
  ARTICLE SEVEN

  TRUSTEE

  
	
   

  	
   

  	
   

  
	
  SECTION 7.01.

  	
  General

  	
  42

  
	
  SECTION 7.02.

  	
  Certain Rights of
  Trustee

  	
  42

  
	
  SECTION 7.03.

  	
  Individual Rights of
  Trustee

  	
  44

  
	
  SECTION 7.04.

  	
  Trustee’s Disclaimer

  	
  44

  
	
  SECTION 7.05.

  	
  Notice of Default

  	
  44

  
	
  SECTION 7.06.

  	
  Reports by Trustee to
  Holders

  	
  45

  
	
  SECTION 7.07.

  	
  Compensation and
  Indemnity

  	
  45

  

 

ii

 

	
  SECTION 7.08.

  	
  Replacement of Trustee

  	
  46

  
	
  SECTION 7.09.

  	
  Successor Trustee by
  Merger, Etc.

  	
  47

  
	
  SECTION 7.10.

  	
  Eligibility

  	
  47

  
	
  SECTION 7.11.

  	
  Money Held in Trust

  	
  47

  
	
   

  	
   

  	
   

  
	
  ARTICLE EIGHT

  DISCHARGE OF INDENTURE

  
	
   

  	
   

  	
   

  
	
  SECTION 8.01.

  	
  Termination of
  Company’s Obligations

  	
  47

  
	
  SECTION 8.02.

  	
  Defeasance and
  Discharge of Indenture

  	
  48

  
	
  SECTION 8.03.

  	
  Defeasance of Certain
  Obligations

  	
  50

  
	
  SECTION 8.04.

  	
  Application of Trust
  Money

  	
  52

  
	
  SECTION 8.05.

  	
  Repayment to Company

  	
  52

  
	
  SECTION 8.06.

  	
  Reinstatement

  	
  52

  
	
   

  	
   

  	
   

  
	
  ARTICLE NINE

  AMENDMENTS, SUPPLEMENTS AND WAIVERS

  
	
   

  	
   

  	
   

  
	
  SECTION 9.01.

  	
  Without Consent of
  Holders

  	
  53

  
	
  SECTION 9.02.

  	
  With Consent of Holders

  	
  53

  
	
  SECTION 9.03.

  	
  Revocation and Effect
  of Consent

  	
  55

  
	
  SECTION 9.04.

  	
  Notation on or Exchange
  of Notes

  	
  55

  
	
  SECTION 9.05.

  	
  Trustee to Sign
  Amendments, Etc.

  	
  55

  
	
  SECTION 9.06.

  	
  Conformity with Trust
  Indenture Act

  	
  56

  
	
   

  	
   

  	
   

  
	
  ARTICLE TEN

  GUARANTEE OF NOTES

  
	
   

  	
   

  	
   

  
	
  SECTION 10.01.

  	
  Note Guarantee

  	
  56

  
	
  SECTION 10.02.

  	
  Obligations Unconditional

  	
  58

  
	
  SECTION 10.03.

  	
  Release of Note
  Guarantees

  	
  58

  
	
  SECTION 10.04.

  	
  Notice to Trustee

  	
  59

  
	
  SECTION 10.05.

  	
  This Article Not
  to Prevent Events of Default

  	
  59

  
	
   

  	
   

  	
   

  
	
  ARTICLE ELEVEN

  MISCELLANEOUS

  
	
   

  	
   

  	
   

  
	
  SECTION 11.01.

  	
  Trust Indenture Act of
  1939

  	
  59

  
	
  SECTION 11.02.

  	
  Notices

  	
  59

  
	
  SECTION 11.03.

  	
  Certificate and Opinion
  as to Conditions Precedent

  	
  61

  
	
  SECTION 11.04.

  	
  Statements Required in
  Certificate or Opinion

  	
  61

  
	
  SECTION 11.05.

  	
  Rules by Trustee,
  Paying Agent or Registrar

  	
  61

  
	
  SECTION 11.06.

  	
  Payment Date Other Than
  a Business Day

  	
  61

  
	
  SECTION 11.07.

  	
  Governing Law

  	
  62

  
	
  SECTION 11.08.

  	
  No Adverse Interpretation
  of Other Agreements

  	
  62

  
	
  SECTION 11.09.

  	
  No Recourse Against
  Others

  	
  62

  
	
  SECTION 11.10.

  	
  Successors

  	
  62

  
	
  SECTION 11.11.

  	
  Duplicate Originals

  	
  62

  

 

iii

 

	
  SECTION 11.12.

  	
  Separability

  	
  62

  
	
  SECTION 11.13.

  	
  Table of Contents, Headings,
  Etc.

  	
  62

  
	
  SECTION 11.14.

  	
  Force Majeure

  	
  63

  

 

	
  EXHIBIT A

  	
  Form of Note

  	
  A-1

  
	
  EXHIBIT B

  	
  Form of
  Certificate

  	
  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

  

 

iv

 

EXECUTION VERSION

 

INDENTURE, dated as of March 17, 2010 among STEEL
DYNAMICS, INC., an Indiana corporation (the “Company”), the Initial
Subsidiary Guarantors (as defined herein), and Wells Fargo 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
$350,000,000 aggregate principal amount of the Company’s 7 5/8% Senior Notes
due 2020 (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, and the Initial  Subsidiary
Guarantors have done all things necessary to make the Note Guarantees valid
obligations of the Subsidiary Guarantors 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).

 

“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);

 

(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 two-thirds 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
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 

 

2

 

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” (as
defined in Rule 13d-3 under the Exchange Act) 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 Tangible Assets” means the total
amount of assets of the Company and its Subsidiaries (less applicable
depreciation, amortization and other valuation reserves), after deducting
therefrom all goodwill, trade names, trademarks, patents, unamortized debt
discount and expense and other like intangibles, all 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.

 

“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 230 West Monroe Street, Suite 2900, Chicago, IL
60606; Attention:  Corporate Trust
Services.

 

“Credit Agreement” means the Amended and
Restated Credit Agreement, dated as of June 19, 2007, among the Company,
as Borrower, certain designated “Initial Lenders,” National City Bank as
Collateral Agent, National City Bank and Wells Fargo Bank, National
Association, as Co-Administrative Agents, 
Bank of America, N.A. and National City Bank, as

 

3

 

Syndication Agents,
National City Bank, as Paying Agent, Bank of America, N.A., General Electric
Capital Corporation, Fifth Third Bank and BMO Capital Markets Financing, Inc.,
as Documentation Agents, and Banc of America Securities LLC and National City
Bank, as Joint Lead Arrangers, and the lenders from time to time party thereto,
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 and any refunding, refinancing, replacement or substitution 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 issuance 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.

 

“DTC” means The Depository Trust Company.

 

“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 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.

 

“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 Board of Directors, whose
determination shall be conclusive if evidenced by a Board Resolution.

 

“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.

 

“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 

 

4

 

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.

 

“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 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. 
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.

 

“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
Subsidiary of the Company that on the Closing Date has Guaranteed the Company’s
obligations under the Credit Agreement or its existing senior notes, including
SDI Investment Company, a Delaware corporation, Steel Dynamics Sales North
America, Inc., an Indiana corporation, New Millennium Building Systems,
LLC, an Indiana limited liability company, Roanoke Electric Steel Corporation,
an Indiana corporation, New Millennium Building Systems, Inc., a South
Carolina corporation, Socar of Ohio, Inc., an Ohio corporation, Shredded
Products II, LLC, an Indiana limited liability company, John W. Hancock, Jr.,
LLC, a Virginia limited liability company, Steel of West Virginia, Inc., a
Delaware corporation, Steel Ventures, Inc., a Delaware corporation, SWVA, Inc.,
a Delaware corporation, Marshall Steel, Inc., a Delaware corporation, The
Techs Industries, Inc., a Delaware corporation, OmniSource Corporation, an
Indiana corporation, Capitol City Metals, LLC, an Indiana limited liability
company, Jackson Iron & Metal Company, Inc., a Michigan
corporation, Michigan Properties Ecorse, LLC, an Indiana limited liability
company, OmniSource Athens Division, LLC, an Indiana limited liability company,
OmniSource Bay City, 

 

5

 

LLC, an Indiana limited
liability company, OmniSource Indianapolis, LLC, an Indiana limited liability
company, OmniSource, LLC, an Indiana limited liability company, OmniSource
Mexico, LLC, an Indiana limited liability company, OmniSource Transport, LLC,
an Indiana limited liability company, Recovery Technologies, LLC, an Indiana
limited liability company, Superior Aluminum Alloys, LLC, an Indiana limited
liability company, Carolinas Recycling Group, LLC, a South Carolina limited
liability company, Cohen & Green Salvage Co., Inc., a North
Carolina corporation, Lumberton Recycling Company, Inc., a North Carolina
corporation, OmniSource Southeast, LLC, a Delaware limited liability company
and Raeford Salvage Company, Inc., a North Carolina corporation.

 

“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 15 and September 15 of each year,
commencing September 15, 2010.

 

“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.

 

“Moody’s” means Moody’s Investors Service, Inc.
and 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).

 

“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

 

6

 

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 to purchase
Notes by the Company 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 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 

 

7

 

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 one Officer listed in clause (i) of the definition thereof and
one Officer listed in clause (ii) of the definition thereof or two
officers listed in clause (i) of the definition thereof.  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.

 

“Operating Property” means any real property,
including any manufacturing plant or warehouse erected thereon, or equipment
located in the United States owned by, or leased to, the Company, or any
Subsidiary of the Company, that has a market value in excess of $50.0 million.

 

“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 608 Second Avenue South, MAC N9303-121,
Minneapolis, MN 55479; Attention: Corporate Trust Operation.

 

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

 

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

 

8

 

“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
a “-”): 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 the registration rights agreement among the Company, the
Initial Subsidiary Guarantors, Banc of America Securities LLC, Goldman, Sachs &
Co., J.P. Morgan Securities Inc. and Morgan Stanley & Co. Incorporated
dated March 17, 2010.

 

“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 April 1 or October 1 (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 

 

9

 

be such officers,
respectively, with direct responsibility for the administration of this
Indenture and also means, with respect to a particular corporate trust matter,
any other officer to whom such matter is referred because of his or her knowledge
of and familiarity with the particular subject.

 

“Restricted Global Note” means a Global Note
that is a Restricted Note.

 

“Restricted Note” has the meaning set forth in Rule 144(a)(3) under
the Securities Act for the term “restricted securities”; provided, however,
that the Trustee shall be entitled to request and conclusively rely upon an
Opinion of Counsel with respect to whether any Note is a Restricted Note.  Restricted Notes are required to bear the
Private Placement Legend.

 

“Restricted Subsidiary” means any Subsidiary of
the Company other than an Unrestricted Subsidiary.

 

“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 have been or
are to be sold or transferred by the Company or any Subsidiary of the Company
to such Person.

 

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

 

“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 Restricted 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 7.5%.

 

“Stated Maturity” means, (1) with respect
to any debt security, the date specified in such debt security as the fixed
date on which the final installment of principal of such debt security is due
and payable and (2) with respect to any scheduled installment of principal
of or interest on any debt security, the date specified in such debt security
as the fixed date on which such installment 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 

 

10

 

contingency) is, or other
entity of which at least a majority of the common equity interests are, 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 the
Indenture and the Notes, until such Note Guarantee is released in accordance
with the terms of this Indenture.

 

“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.

 

“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.

 

“Unrestricted Global Note” means a Global Note
that is an Unrestricted Note.

 

“Unrestricted Notes” means one or more Notes
that do not and are not required to bear the Private Placement Legend,
including, without limitation, the Exchange Notes and any Notes registered
under the Securities Act pursuant to and in accordance with the Registration
Rights Agreement.

 

“Unrestricted Subsidiary” means STLD Holdings, Inc.,
Dynamic Aviation, LLC, Speedbird Aviation, LLC, Paragon Steel Enterprises, LLC
and each of their respective direct and indirect Subsidiaries; provided, however, in the event (a) any such Subsidiary
Guarantees Indebtedness of the Company or any Subsidiary Guarantor in an
aggregate amount exceeds $50 million or (b) the Company or any of its
Subsidiaries (other than an Unrestricted Subsidiary) contributes or otherwise
transfers (other than a sale for fair market value) any Operating Property
(including shares of stock of a Subsidiary that owns the Operating Property) to
such Subsidiary, in either case such Subsidiary shall cease to be an
Unrestricted Subsidiary and if such Subsidiary would be a Significant
Subsidiary, such Subsidiary will Guarantee payment of the principal of, premium
if any and interest on the Notes.

 

“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 full and timely 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 

 

11

 

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 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 and the Note Guarantees;

 

“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, each Subsidiary Guarantor 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)          “or” is not exclusive;

 

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

 

(v)           provisions apply to successive events
and transactions;

 

12

 

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

 

(vii)         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

 

(viii)        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 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.

 

13

 

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 (i) a Note is exchanged for an
Exchange Note or sold in connection with an effective Registration Statement
pursuant to the Registration Rights Agreement or (ii) the Private
Placement Legend has been removed from such Note in accordance with Section 2.08(e) or,
with respect to a Restricted Global Note, all of the beneficial interests in
such Restricted Global Note have been exchanged for beneficial interests in the
Unrestricted Global Note in accordance with Section 2.08(g), (x) each
U.S. Global Note and each U.S. Physical Note shall be a Restricted Note and
bear the legend set forth below on the face thereof and (y) each Offshore
Physical Note and each Offshore Global Note shall be a Restricted Note and 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 NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE ‘‘SECURITIES ACT’’), AND ACCORDINGLY, MAY NOT
BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR
BENEFIT OF, U.S. PERSONS EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS
ACQUISITION HEREOF, THE HOLDER (1) REPRESENTS THAT (A) IT IS A ‘‘QUALIFIED
INSTITUTIONAL BUYER’’ (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) OR (B) IT
IS AN INSTITUTIONAL ‘‘ACCREDITED INVESTOR’’ (AS DEFINED IN RULE 501(a)(1), (2),
(3) OR (7) OF REGULATION D UNDER THE SECURITIES ACT) (AN ‘‘INSTITUTIONAL
ACCREDITED INVESTOR’’) OR (C) IT IS NOT A U.S. PERSON AND IS ACQUIRING
THIS NOTE IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH REGULATION S UNDER THE
SECURITIES ACT, (2) AGREES THAT IT WILL NOT RESELL OR OTHERWISE TRANSFER
THIS NOTE EXCEPT (A) TO STEEL DYNAMICS, INC. OR ANY OF ITS SUBSIDIARIES, (B) TO
A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE
SECURITIES ACT, (C) INSIDE THE UNITED STATES TO AN INSTITUTIONAL
ACCREDITED INVESTOR THAT, PRIOR TO SUCH TRANSFER, 

 

14

 

FURNISHES TO THE TRUSTEE A SIGNED LETTER CONTAINING
CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE RESTRICTIONS ON TRANSFER
OF THIS NOTE (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM THE TRUSTEE),
AND, IF SUCH TRANSFER IS IN RESPECT OF AN AGGREGATE PRINCIPAL AMOUNT OF NOTES
OF LESS THAN $100,000, AN OPINION OF COUNSEL ACCEPTABLE TO STEEL DYNAMICS, INC.
THAT SUCH TRANSFER IS IN COMPLIANCE WITH THE SECURITIES ACT, (D) OUTSIDE
THE UNITED STATES IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH RULE 904 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 (3) AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE IS TRANSFERRED A NOTICE
SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH ANY TRANSFER OF
THIS NOTE, THE HOLDER MUST TRANSFER AND SUBMIT THIS CERTIFICATE TO THE TRUSTEE.
IF THE PROPOSED TRANSFEREE IS AN INSTITUTIONAL ACCREDITED INVESTOR OR NON-U.S.
PERSON, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO THE TRUSTEE AND
STEEL DYNAMICS, INC. 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 IN A TRANSACTION NOT SUBJECT TO,
THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. AS USED HEREIN, THE TERMS ‘‘OFFSHORE
TRANSACTION’’, ‘‘UNITED STATES’’ AND ‘‘U.S. PERSON’’ HAVE THE MEANINGS GIVEN TO
THEM BY REGULATION S UNDER THE SECURITIES ACT. THE INDENTURE CONTAINS
PROVISIONS REQUIRING THE TRUSTEE TO REFUSE TO REGISTER ANY TRANSFER OF THIS
NOTE IN VIOLATION OF THE FOREGOING RESTRICTION.

 

Each Global Note, whether or not an Exchange Note,
Restricted Global Note or Unrestricted Global 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.

 

15

 

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 one Officer of the Company.  The signature of this Officer on the Notes
may be by facsimile or manual signature in the name and on behalf of the
Company.

 

If the 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.

 

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

 

16

 

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 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

 

17

 

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 and 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).

 

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.

 

18

 

(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 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 

 

19

 

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 (i) a Note is exchanged for an
Exchange Note or sold in connection with an effective Shelf Registration
Statement pursuant to the Registration Rights Agreement or (ii) the
Private Placement Legend is no longer required pursuant to Section 2.02,
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 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 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.

 

20

 

(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 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:

 

21

 

(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
Unrestricted Notes, the Registrar shall deliver Unrestricted Notes that do not
bear the Private Placement Legend. Upon the transfer, exchange or replacement
of Restricted Notes or beneficial interests in Restricted Global Notes, the
Registrar shall deliver only Restricted Notes or credit the account of the
applicable transferee with a beneficial interest in a Restricted Global Note,
as the case may be, unless the Private Placement Legend is no longer required
by Section 2.02 and either (i) 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 or advisable in order to ensure that subsequent transfers of the
Notes are effected in compliance with the Securities Act or (ii) the
Trustee has received from the Company an Officers’ Certificate and an Opinion
of Counsel, in form and substance reasonably satisfactory to the Trustee, to
the effect that neither such legend nor the related restrictions on transfer
are required or advisable in order to ensure that subsequent transfers on the
Notes are effected in compliance with the Securities Act, including without
limitation, in connection with a mandatory conversion consummated in accordance
with Section 2.08(g).  In the case
of Global Notes, upon receipt of such Officers’ Certificate and Opinion of
Counsel as provided above, the Trustee shall direct the Registrar to exchange
the Restricted Global Notes for Unrestricted Global Notes with such exchange to
occur in accordance with Section 2.08(g).

 

(f)            General.  By
its acceptance of any Note bearing the Private Placement Legend, each Holder of
such a Note acknowledges receipt of a Restricted Note with restrictions on the
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 until such time as the Private Placement Legend is no longer required
pursuant to Section 2.02 and such Private Placement legend is removed
pursuant to Section 2.02. 

 

22

 

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 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 until such time
as the Private Placement Legend is no longer required pursuant to Section 2.02
and such Private Placement legend is removed pursuant to Section 2.02; 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.

 

(g)           Mandatory
Exchange from Restricted Global Note into an Unrestricted Global Note.  Beneficial interests in the Restricted Global
Note will be automatically exchanged into beneficial interests in the
Unrestricted Global Note on March 18, 2011 if (i) such exchange or
transfer complies with the requirements of Section 2.06 and (ii) the
provisions of the second sentence of Section 2.08(e) would not
prohibit the Registrar from delivering Notes that do not bear a Private
Placement Legend.  Upon satisfaction of
the conditions set forth in the immediately preceding sentence, the Company
shall (i) provide at least 10 days prior written notice to the Trustee
instructing the Trustee to direct the Depository to transfer all of the
outstanding beneficial interests in a particular Restricted Global Note to the
Unrestricted Global Note, which the Company shall have previously otherwise
made eligible for transfer within DTC, and (ii) provide prior written
notice to all Holders of such transfer, which notice must include the date of
such transfer to occur, the CUSIP number of the relevant Restricted Global Note
and the CUSIP number of the Unrestricted Global Note into which such Holders’
beneficial interests will be transferred. 
As a condition to any such transfer pursuant to this Section 2.08(g),
the  Company shall provide, and the
Trustee shall be entitled to rely upon, an Officers’ Certificate and an Opinion
of Counsel, in the form and substance reasonably satisfactory to the Trustee to
the effect that the Private Placement Legend and the related restrictions on
transfer are not required or advisable in order to maintain compliance with the
provisions of the Securities Act.  Upon
such transfer of beneficial interests pursuant to this Section 2.08(g),
the Registrar shall endorse the schedule identified as Schedule A to the relevant
Global Notes to reflect the relevant increase or decrease in the principal
amount of such Global Note resulting from the applicable transfer.  Following any such transfer pursuant to this Section 2.08(g),
the Relevant Global Note shall be cancelled.

 

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. The Trustee and the Registrar shall have no
obligation or duty to monitor, determine or inquire as to compliance with any
restriction on transfer imposed under this Indenture or under applicable law
with respect to any transfer of any interest in any Note (including transfers
between or among beneficial owners of interests in any Global Note) other than
to require delivery of such certificates and other documentation or evidence as
are expressly required by, and to do so if and when expressly required by the
terms of, this Indenture, and to 

 

23

 

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

 

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 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.

 

24

 

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,” “CINS”
or “ISIN” numbers (if then generally in use), and the Company and the Trustee
shall use CUSIP, CINS or ISIN numbers, as the case may be, in notices,
including 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 or 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,” “CINS” 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

 

25

 

Company shall mail to each Holder 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.

 

ARTICLE
THREE

REDEMPTION

 

SECTION 3.01.               Right of Redemption.

 

(a)           The
Notes are redeemable, at the Company’s option, in whole or in part, at any time
or from time to time, on or after March 15, 2015 and prior to maturity,
upon not less than 30 nor more than 60 days’ prior written notice mailed by
first-class mail to each Holder’s last address, as it appears in the Security
Register, at the following Redemption Prices (expressed in percentages of
principal amount), plus accrued and unpaid interest to the Redemption Date
(subject to the right 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), if redeemed during the 12-month period commencing on March 15
of the years set forth below:

 

	
   

  	
   

  	
  Redemption

  	
   

  
	
  Year

  	
   

  	
  Price

  	
   

  
	
  2015

  	
   

  	
  103.813

  	
  %

  
	
  2016

  	
   

  	
  102.542

  	
  %

  
	
  2017

  	
   

  	
  101.271

  	
  %

  
	
  2018
  and thereafter

  	
   

  	
  100.000

  	
  %

  

 

(b)           In
addition, at any time prior to March 15, 2013, the Company may redeem up
to 35% of the aggregate principal amount of the 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 107.625%, plus accrued and unpaid interest
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
originally issued on the Closing Date 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, the Redemption
Price and the principal amount of Notes to be redeemed and the clause of this
Indenture pursuant to which redemption shall occur. If the Redemption Price is
not known at the time such notice is to be given, the actual

 

26

 

Redemption Price, calculated as described in the terms of the Notes to
be redeemed, will be set forth in an Officers’ Certificate of the Company
delivered to the Trustee no later than two Business Days prior to the
Redemption Date.

 

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, subject to DTC procedures, 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, 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.

 

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, or manner of computation if not then known;

 

(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 

 

27

 

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, CINS or ISIN number as provided in Section 2.13, no
representation is being made as to the correctness of the CUSIP, CINS 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, 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

 

28

 

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
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. Except as
otherwise specifically stated herein or in the Notes, all calculations to be
made in respect of the Notes shall be the obligation of the Company.  All calculations made by the Company or its
agent as contemplated pursuant to the terms hereof and of the Notes shall be
made in good faith and be final and binding on the Holders absent manifest
error.  The Company shall provide a schedule
of calculations to the Trustee, and the Trustee shall be entitled to
conclusively rely upon the accuracy of the calculations by the Company without
independent verification.  The Trustee
shall forward calculations made by the Company to any Holder of Notes upon
request.

 

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

 

29

 

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

 

(ii)           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;

 

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

 

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

 

30

 

(v)           Mortgages 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 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;

 

(vi)          Mortgages to secure
obligations under Credit Facilities in an aggregate principal amount not to
exceed the greater of (A) $1,000 million and (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;

 

(vii)         Mortgages in favor
of the United States of America or any State thereof, or any department, agency
or instrumentality or political subdivision thereof, to secure partial,
progress, advance or other payments; and

 

(viii)        Mortgages existing
on the date of this Indenture or any extension, renewal, replacement or
refunding of any Indebtedness secured by a Mortgage existing on the date of
this Indenture or referred to in clauses (i), (ii), (iii) or (v) of
this Section 4.03; 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 clauses (i), (ii), (iii) and (v) of this Section 4.03,
and the principal amount of the Indebtedness secured thereby and not otherwise
authorized by clauses (i), (ii), (iii) or (v) 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.

 

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 restrictions (other than any Indebtedness secured by
Mortgages permitted as described in clauses (i) through (viii) of
this Section 4.03) plus all Attributable Debt of the Company and 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 Tangible
Assets.

 

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:

 

31

 

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

 

(ii)           the
lease is for a period not in excess of 24 months, including renewals;

 

(iii)          the
Company or such Significant Subsidiary would (at the time of entering into such
arrangement) be entitled under clauses (i) through (viii) 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 the Notes, other Funded
Debt of the Company ranking on a parity with the Notes or Funded Debt of a
Restricted Subsidiary or (ii) the purchase of property or assets; 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 (viii) 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 Tangible 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 a third party makes an offer to purchase the Notes in the manner, at the
times and price and otherwise in compliance with this Indenture applicable to
an Offer to Purchase and purchases all Notes validly tendered and not withdrawn
in such Offer to Purchase.

 

SECTION 4.06.               Existence.

 

Subject to Articles Four and Five of this Indenture,
the Company shall do or cause to be done all things necessary to preserve and
keep in full force and effect its existence and the existence of each of its
Restricted Subsidiaries in accordance with the respective organizational
documents of the Company and each Restricted Subsidiary and the rights (whether
pursuant to charter, certificate of formation, article of incorporation,
partnership certificate, agreement,

 

32

 

statute or otherwise), licenses and franchises of the Company and each
Restricted Subsidiary; provided that
the Company shall not be required to preserve any such right, license or
franchise, or the existence of any Restricted Subsidiary, if the maintenance or
preservation thereof is no longer desirable in the conduct of the business of
the Company and its Restricted Subsidiaries 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 Subsidiaries 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, (b) the income or profits of any such
Subsidiary which is a corporation or (c) the property of the Company or
any such Subsidiary 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; 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 Restricted
Subsidiaries 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 Restricted Subsidiary from discontinuing the
use, operation or maintenance of any of such properties or disposing of any of
them, if such discontinuance or disposal is, in the judgment of the Company,
desirable in the conduct of the business of the Company or such Restricted
Subsidiary.

 

The Company will provide or cause to be provided, for
itself and its Restricted Subsidiaries, insurance (including appropriate
self-insurance) against loss or damage of the kinds customarily insured against
by corporations similarly situated and owning like properties, including, but
not limited to, products liability insurance and public liability insurance,
with reputable insurers or with the government of the United States of America,
or an agency or 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 Restricted Subsidiary, 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 promptly deliver to the Trustee
an Officers’ Certificate specifying such Default or Event of Default, its
status and what action the Company is taking or proposes to take with respect
thereto.

 

33

 

SECTION 4.10.               Compliance Certificates.

 

The Company and each Subsidiary Guarantor shall
deliver to the Trustee, within 90 days after the end of the last fiscal quarter
of each year, an Officers’ Certificate that need not comply with Section 11.04
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 and
each Subsidiary Guarantor that a review has been conducted of the activities of
the Company and its Restricted Subsidiaries and the Company’s and its
Restricted Subsidiaries’ performance under this Indenture and that the Company
has complied with all conditions and covenants under this Indenture.  For purposes of this Section 4.10, such
compliance shall be determined without regard to any period of grace or
requirement of notice provided under this Indenture.  If any of the officers of the Company and
each Subsidiary Guarantor 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 after the execution of this Indenture.

 

SECTION 4.11.               Commission Reports and Reports
to Holders.

 

Whether or not the Company is required to file reports
with 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 Securities
Exchange Act of 1934 if it were subject thereto within the time periods
specified by the Commission’s rules and regulations.  The Company shall supply the Trustee and each
Holder who so requests or make available on its website to each such Holder,
without cost to such Holder, copies of such reports and other information.
Delivery of such reports and documents to the Trustee is for informational
purposes only and the Trustee’s receipt of such shall not constitute
constructive notice of any information contained therein or determinable from
information contained therein, including the compliance by the Company with any
of its covenants hereunder (as to which the Trustee is entitled to rely
exclusively on Officers’ Certificates).

 

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.

 

34

 

SECTION 4.13.               Issuances of Subsidiary
Guarantees.

 

The Company shall cause each Significant Subsidiary of
the Company (other than a Foreign Subsidiary or a Significant Subsidiary that
is already a Subsidiary Guarantor) that (a) Guarantees Indebtedness of the
Company or any Subsidiary Guarantor in an aggregate amount in excess of $50
million or (b) incurs or otherwise becomes liable for Indebtedness or
Attributable Debt in respect of Sale and Leaseback Transactions, in an
aggregate amount in excess of $50 million (other than (x) Indebtedness
secured by a Mortgage permitted by clause (i), (ii), (iii), (iv) or (v) of
Section 4.03 hereof or unsecured Indebtedness incurred to provide funds
for the cost of acquisition, construction, development or improvement of property
of such Significant Subsidiary and (y) Attributable Debt permitted by
clauses (i) through (iv) of Section 4.04 hereof) shall execute
and deliver a supplemental indenture to this Indenture providing for a Note
Guarantee by such Significant 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
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 and Opinion of Counsel, in each case 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

 

35

 

(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 confirmed
in writing 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 of the Company) of all 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 or the District of Columbia 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;

 

36

 

(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 other
than a default related to the obligations of the Company under Section 4.11)
and such default or breach continues for a period of 30 consecutive days after
written notice by the Trustee or the Holders of 25% or more in aggregate
principal amount of the Notes and (2) the Company defaults in the
performance of or breaches its obligations under Section 4.11 and such
default or breach continues for a period of 90 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 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;

 

(e)           any final judgment or order (not covered by insurance) for
the payment of money in excess of $75 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 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 

 

37

 

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 or any Subsidiary Guarantor) occurs and is
continuing under this Indenture, the Trustee or the Holders of at least 25% in
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
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 or any Subsidiary Guarantor, 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) the Company has paid or deposited with the Trustee
a sum sufficient to pay (i) all sums paid or advanced by the Trustee
hereunder and the reasonable compensation, expenses and disbursements and
advances of the Trustee, its agents and counsel, (ii) all overdue interest
on all Notes, (iii) the principal of and premium, if any, on any Notes
that have become due otherwise than by such declaration or occurrence of
acceleration and interest thereon at the rate prescribed therefor by such
Notes, and (iv) to the extent that payment for such interest is lawful,
interest upon overdue interest, if any, at the rate prescribed therefor by such
Notes, (b) 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 (c) the
rescission would not conflict with any judgment or decree of a court of
competent jurisdiction.

 

38

 

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, subject to Section 6.05,
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 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 has
previously given 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 reasonably satisfactory to the Trustee
against any costs, liability or expense;

 

39

 

(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. The Trustee shall mail to all Holders any notice it receives from
Holders under this Section.

 

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 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

 

40

 

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;
provided, however, the Trustee may vote for the election of a trustee in
bankruptcy or similar person and be a member of a creditors’ or other similar
committee.

 

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.

 

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.

 

41

 

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 an Event of Default,
the Trustee need only perform 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. The Trustee shall not be liable for any
action it takes or omits to take in good faith 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.

 

SECTION 7.02.      Certain Rights of Trustee.

 

Subject to TIA Sections 315(a) through (d):

 

42

 

(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, provided that the Trustee’s conduct does
not constitute 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;

 

(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;

 

43

 

(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 Trustee shall not be deemed to have
notice of any Default or Event of Default unless a Responsible Officer of the
Trustee has actual knowledge thereof or unless written notice of any event
which is in fact such a default is received by the Trustee at the Corporate
Trust Office of the Trustee, and such notice references the Securities and this
Indenture;

 

(xii)          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

 

(xiii)         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,
the Subsidiary Guarantors or their 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. To
the extent permitted by the TIA, the Trustee shall not be deemed to have a
conflicting interest with respect to any other indenture of the Company or
Subsidiary Guarantors by virtue of being a trustee under this Indenture with
respect to the Notes and the Note Guarantees.

 

SECTION 7.04.      Trustee’s Disclaimer.

 

The Trustee (i) makes no representation as to the
validity or adequacy of this Indenture, the Notes or the Note Guarantees, (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

 

44

 

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.

 

SECTION 7.06.      Reports by Trustee to Holders.

 

Within 60 days after each May 15, beginning with May 15,
2010, 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 7.07,
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.

 

45

 

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.

 

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.

 

46

 

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 7.08.

 

The Company or successor Trustee 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.

 

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:

 

47

 

(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 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, 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, 4.01, 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 

 

48

 

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 any reinvestment of such principal and
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 with respect to the Notes or (ii) on any earlier
Redemption Date pursuant to the terms of the 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 Holders 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) 

 

49

 

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 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

 

(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, 4.01, 4.02, 8.04, 8.05, 8.06 and the rights, powers, trusts, duties
and immunities of the Trustee hereunder and Article Eleven (with respect
to payments in respect of Senior Subordinated Obligations other than with the
assets held in trust as described in this Section 8.02) 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 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 

 

50

 

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 any reinvestment of
such principal and 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 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 the 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 Holders
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;

 

51

 

(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.

 

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

 

52

 

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;

 

(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)           provide for Additional Notes; or

 

(6)           make any change that, in the good
faith opinion of the Board of Directors, as evidenced by a Board Resolution,
does not materially and adversely affect the rights of any Holder.

 

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
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:

 

53

 

(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 any 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, any Note;

 

(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 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 the 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.

 

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.

 

54

 

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 and the Subsidiary Guarantors.  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 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.

 

55

 

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 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 

 

56

 

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 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, 

 

57

 

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 of any Subsidiary Guarantor will be automatically
and unconditionally released and discharged upon:

 

(i)            any sale, exchange or transfer
(including by way of merger or consolidation) to any Person (other than an
Affiliate of the Company) of all of the Capital Stock of such Subsidiary
Guarantor;

 

(ii)           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)

 

58

 

of such Subsidiary Guarantor, in each case which
resulted in the obligation to Guarantee the Notes; provided that such
Subsidiary Guarantor has not Guaranteed any other Indebtedness of the Company
or any Subsidiary Guarantor or incurred or otherwise become liable for any
other Indebtedness (or Attributable Debt) which would have resulted in an
obligation to Guarantee the Notes;.

 

(iii)          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; or

 

(iv)          if
the Notes are defeased in accordance with the terms of this Indenture.

 

At the request of the Company and upon being provided an Officers’
Certificate and an Opinion of Counsel complying with Section 11.04, the
Trustee shall execute and deliver an appropriate instrument evidencing such
release.

 

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:

 

Steel Dynamics, Inc.

7575 West Jefferson Blvd.

 

59

 

Fort Wayne, Indiana 46804

Telecopier No.:  [(219) 969-3590]

 

Attention:  Chief Financial
Officer

 

if to the Trustee:

 

Wells Fargo Bank, National Association

230 West Monroe Street, Suite 2900

Chicago, IL 60606

Telecopier No.:  (312) 726-2158

 

Attention:  Corporate Trust
Services

 

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).

 

60

 

 

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:

 

(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.

 

61

 

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.

 

SECTION 11.08.    No Adverse Interpretation of Other
Agreements.

 

This Indenture may not be used to interpret another
indenture, loan or debt agreement of the Company or any Subsidiary of the Company.  Any such indenture, loan or debt agreement
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

 

62

 

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

 

	
   

  	
  STEEL
  DYNAMICS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  Chief Financial Officer
  and Executive Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SDI
  INVESTMENT COMPANY

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Theresa
  E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NEW
  MILLENNIUM BUILDING SYSTEMS, LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:  Steel Dynamics, Inc., its sole member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  STEEL
  DYNAMICS SALES NORTH AMERICA, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ROANOKE
  ELECTRIC STEEL CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  JOHN
  W. HANCOCK, JR., LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:  ROANOKE ELECTRIC STEEL CORPORATION, MANAGER
  AND SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  Vice President

  

 

Indenture

 

 

	
   

  	
  NEW
  MILLENNIUM BUILDING SYSTEMS, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SOCAR
  OF OHIO, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  STEEL
  OF WEST VIRGINIA, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SWVA,
  INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  MARSHALL
  STEEL, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  STEEL
  VENTURES, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SHREDDED
  PRODUCTS II, LLC

  
	
   

  	
   

  
	
   

  	
  By:
   STEEL DYNAMICS, INC., MANAGER AND SOLE
  MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Executive Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  THE
  TECHS INDUSTRIES, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  

 

Indenture

 

 

	
   

  	
  CAPITOL
  CITY METALS, LLC

  
	
   

  	
   

  
	
   

  	
  By:
   OMNISOURCE INDIANAPOLIS, LLC, SOLE
  MEMBER

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  JACKSON IRON & METAL COMPANY, INC.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  MICHIGAN PROPERTIES ECORSE, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE BAY CITY, LLC

  
	
   

  	
   

  
	
   

  	
  By:  JACKSON IRON &
  METAL COMPANY, INC., SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE ATHENS DIVISION, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  

 

Indenture

 

 

	
   

  	
  OMNISOURCE INDIANAPOLIS, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE MEXICO, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE TRANSPORT, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  OMNISOURCE, LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  RECOVERY TECHNOLOGIES, LLC

  
	
   

  	
   

  
	
   

  	
  By:  OMNISOURCE CORPORATION,
  SOLE MEMBER

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SUPERIOR ALUMINUM ALLOYS, LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Theresa E. Wagler

  
	
   

  	
   

  	
  Name:  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:  Vice President

  

 

Indenture

 

 

	
   

  	
  OMNISOURCE SOUTHEAST, LLC

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Theresa E. Wagler, Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  COHEN &
  GREEN SALVAGE CO., INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Theresa E. Wagler, Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  LUMBERTON
  RECYCLING COMPANY, INC.

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Theresa E. Wagler, Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  RAEFORD
  SALVAGE COMPANY, INC.

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Theresa E. Wagler, Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  CAROLINAS
  RECYCLING GROUP, LLC

  
	
   

  	
   

  	
   

  
	
   

  	
  BY:  OMNISOURCE SOUTHEAST, LLC, MANAGER AND SOLE
  MEMBER

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Theresa E. Wagler

  
	
   

  	
   

  	
  Theresa E. Wagler, Vice
  President

  

 

Indenture

 

 

	
   

  	
  WELLS FARGO
  BANK, NATIONAL ASSOCIATION, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Gregory S. Clarke

  
	
   

  	
   

  	
  Name:  Gregory S. Clarke

  
	
   

  	
   

  	
  Title:  Vice President

  

 

Indenture

 

 

EXHIBIT A

 

[APPLICABLE LEGENDS]

 

[FACE OF NOTE]

 

STEEL DYNAMICS, INC.

 

7 5/8% Senior Notes due 2020

 

144A CUSIP:    
858119 AQ3

144A ISIN: 
US858119AQ33

 

REG S CUSIP:   
U85795 AG4

REG S ISIN:  USU85795AG47

 

	
  No.

  	
   

  	
  $           

  

 

STEEL DYNAMICS, INC. an Indiana corporation (the “Company”,
which term includes any successor under the Indenture hereinafter referred to),
for value received, promises to pay to CEDE & CO., or its registered
assigns, the principal sum of              
($      ) on March 15, 2020.

 

Interest Payment Dates:  March 15 and September 15,
commencing September 15, 2010.

 

Regular Record Dates: 
March 1 and September 1.

 

SDI Investment Company, a Delaware corporation, Steel
Dynamics Sales North America, Inc., an Indiana corporation, New Millennium
Building Systems, LLC, an Indiana limited liability company, Roanoke Electric
Steel Corporation, an Indiana corporation, New Millennium Building Systems, Inc.,
a South Carolina corporation, Socar of Ohio, Inc., an Ohio corporation,
Shredded Products II, LLC, an Indiana limited liability company, John W.
Hancock, Jr., LLC, a Virginia limited liability company, Steel of West
Virginia, Inc., a Delaware corporation, Steel Ventures, Inc., a
Delaware corporation, SWVA, Inc., a Delaware corporation, Marshall Steel, Inc.,
a Delaware corporation, The Techs Industries, Inc., a Delaware
corporation, OmniSource Corporation, an Indiana corporation, Capitol City
Metals, LLC, an Indiana limited liability company, Jackson Iron &
Metal Company, Inc., a Michigan corporation, Michigan Properties Ecorse,
LLC, an Indiana limited liability company, OmniSource Athens Division, LLC, an
Indiana limited liability company, OmniSource Bay City, LLC, an Indiana limited
liability company, OmniSource Indianapolis, LLC, an Indiana limited liability
company, OmniSource, LLC, an Indiana limited liability company, OmniSource
Mexico, LLC, an Indiana limited liability company, OmniSource Transport, LLC,
an Indiana limited liability company, Recovery Technologies, LLC, an Indiana
limited liability company, Superior Aluminum Alloys, LLC, an Indiana limited
liability company, Carolinas Recycling Group, LLC, a South Carolina limited
liability company, Cohen & Green Salvage Co., Inc., a North
Carolina corporation, 

 

A-1

 

Lumberton Recycling
Company, Inc., a North Carolina corporation, OmniSource Southeast, LLC, a
Delaware limited liability company and Raeford Salvage Company, Inc., a
North Carolina corporation and any future Subsidiary Guarantors (collectively,
the “Subsidiary Guarantors,” which term includes any successors under
the Indenture hereinafter referred to and any Restricted Subsidiary 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.

 

A-2

 

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

 

	
   

  	
  STEEL DYNAMICS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Theresa E. Wagler

  
	
   

  	
   

  	
  Title:

  	
  Chief Financial Officer and Executive Vice President

  

 

(Trustee’s Certificate of Authentication)

 

This is one of the 7 5/8% Senior Notes due 2020
described in the within-mentioned Indenture.

 

	
  Date:

  	
  WELLS FARGO BANK,
  NATIONAL ASSOCIATION 

  as Trustee

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized Signer

  

 

A-3

 

[REVERSE SIDE OF NOTE]

 

STEEL DYNAMICS, INC.

 

7 5/8% Senior Notes due 2020

 

1.             Principal and Interest.

 

The Company will pay the principal of this Note on March 15,
2020.

 

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 7 5/8% per annum, subject to increase as described below.

 

Interest will be payable semiannually (to the holders
of record of the Notes at the close of business on the March 1 or September 1
immediately preceding the Interest Payment Date) on each Interest Payment Date,
commencing September 15, 2010.

 

In certain circumstances, the Notes may be subject to
the payment of additional interest pursuant to the provisions of 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 March 17,
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.

 

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 15
and September 15, commencing September 15, 2010 to the persons who are
Holders (as reflected in the Security Register at the close of business on the March 1
or September 1 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 March 15,
2020.

 

This Note is a “book-entry” note and is being
registered in the name of Cede & Co. as nominee of The Depository
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 

 

A-4

 

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 March 17, 2010 (the “Indenture”), among the Company, the
Initial Subsidiary Guarantors and Wells Fargo 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 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.

 

5.             Optional Redemption.

 

The Notes are redeemable, at the Company’s option, in
whole or in part, at any time or from time to time, on or after March 15,
2015 and prior to maturity, upon not less than 30 nor more than 60 days’ prior
notice mailed by first-class mail to each Holder’s last address, as it appears
in the Security Register, at the following Redemption Prices (expressed in
percentages of principal amount), plus accrued and unpaid interest to the
Redemption Date (subject to the right 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), if redeemed during the 12-month period
commencing March 15 of the years set forth below:

 

A-5

 

	
   

  	
   

  	
  Redemption

  	
   

  
	
  Year

  	
   

  	
  Price

  	
   

  
	
  2015

  	
   

  	
  103.813

  	
  %

  
	
  2016

  	
   

  	
  102.542

  	
  %

  
	
  2017

  	
   

  	
  101.271

  	
  %

  
	
  2018
  and thereafter

  	
   

  	
  100.000

  	
  %

  

 

In addition, at any time prior to March 15, 2013,
the Company may redeem up to 35% of the aggregate principal amount of the Notes
with the Net Cash Proceeds of one or more sales of common stock of the Company
at a Redemption Price (expressed as a percentage of principal amount) of
107.625%, plus accrued and unpaid interest 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 originally issued on the
Closing Date remains outstanding after each such redemption and (ii) notice
of such redemption is mailed within 60 days after 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.

 

8.             Persons Deemed Owners.

 

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

 

A-6

 

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 Restricted 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
Officers’ 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.

 

14.           Defaults and Remedies.

 

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

 

A-7

 

(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 the Indenture or
under the Notes (other than a default specified in clause (a) or (b) above
and other than a default related to the obligations of the Company under Section 4.11
of the Indenture) and such default or breach continues for a period of 30
consecutive days after written notice by the Trustee or the Holders of 25% or
more in aggregate principal amount of the Notes and (2) the Company
defaults in the performance of or breaches its obligations under section 4.11
of the Indenture and such default or breach continues for a period of 90
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 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;

 

(e)           any final judgment or order (not covered
by insurance) for the payment of money in excess of $75 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 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 

 

A-8

 

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 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 or the Holders of at least 25% in
aggregate principal amount of the Notes then outstanding may declare all the
Notes to be due and payable.  If a
bankruptcy or insolvency default with respect to the Company or any Subsidiary
Guarantor 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-9

 

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 Steel Dynamics, Inc.,
7575 West Jefferson Blvd., Fort Wayne, Indiana 46804; Attention: Chief
Financial Officer.

 

A-10

 

[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 Note is
exchanged for an Exchange Note or sold in connection with an effective Shelf
Registration Statement pursuant to the Registration Rights Agreement or (ii) the
Private Placement Legend is removed from the Note pursuant to Section 2.02(ii) of
the Indenture, 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-11

 

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-12

 

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-13

 

[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-14

 

EXHIBIT B

 

Form of
Certificate

 

                         ,

 

Wells Fargo Bank, National Association

608 Second Avenue South, N9303-121

Minneapolis, Minnesota 55479

Attention: Corporate Trust Operations

Email: DAPSReorg@wellsfargo.com

 

Re:  Steel Dynamics, Inc. (the “Company”)

7 5/8% Senior Notes due 2020 (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 March 17,
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

 

Wells Fargo Bank,
National Association

608 Second Avenue South,
N9303-121

Minneapolis, Minnesota
55479

Attention:  Corporate Trust Operations

Email: DAPSReorg@wellsfargo.com

 

Re:  Steel Dynamics, Inc. (the “Company”)

7 5/8% Senior Notes due 2020 (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 March 17,
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, 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.

 

C-1

 

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 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

 

                            ,

 

Wells Fargo Bank,
National Association

608 Second Avenue South, N9303-121

Minneapolis, Minnesota 55479

Attention:  Corporate Trust
Operations

Email: DAPSReorg@wellsfargo.com

 

Re:  Steel Dynamics, Inc. (the “Company”)

7 5/8% Senior Notes due 2020 (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 10.1

 

SUPERMEDIA INC.

 

EMPLOYEE RESTRICTED STOCK AWARD AGREEMENT

 

[                                        ]

Grantee

 

	
  Date of Award:

  	
   

  	
  March 12, 2010

  
	
  Number of Shares:

  	
   

  	
  [                  ]

  
	
  General
  Vesting Schedule/Restricted Period:

  	
   

  	
  Three
  (3) years, with vesting in equal installments of one-third (1/3) on the
  anniversary date of the Date of Award in each of the years.

  

 

AWARD OF RESTRICTED
STOCK

 

1.                                      GRANT
OF RESTRICTED STOCK AWARD. 
The Human Resources Committee (the “Committee”)
of the Board of Directors of SuperMedia Inc., a Delaware corporation (the “Company”), pursuant to the SuperMedia Inc.
2009 Long-Term Incentive Plan (the “Plan”),
hereby awards to you, the above-named Grantee, effective as of the Date of
Award set forth above (the “Date of Award”),
that number of shares (the “Shares”)
of the Common Stock, set forth above as Restricted Stock on the following terms
and conditions:

 

During
the Restricted Period, the Shares of Restricted Stock will be evidenced by
entries in the stock register of the Company reflecting that such Shares of
Restricted Stock have been issued in your name. 
For purposes of this Agreement, the term “Restricted Period” means the period designated by the
Committee during which the Shares may not be sold, assigned, transferred,
pledged, or otherwise encumbered.

 

The
Shares that are awarded hereby to you as Restricted Stock shall be subject to
the prohibitions and restrictions set forth herein with respect to the sale or
other disposition of such Shares and the obligation to forfeit and surrender
such Shares to the Company (the “Forfeiture
Restrictions”).  The
Restricted Period and all Forfeiture Restrictions on the Restricted Stock
covered hereby shall lapse as to those Shares when the Shares become vested and
you meet all other terms and conditions of this Agreement.

 

2.                                      TERMINATION OF EMPLOYMENT/CHANGE IN CONTROL.  The following provisions will
apply in the event your employment with the Company and all Affiliates
(collectively, the “Company Group”)
terminates, or a Change in Control occurs, before the third anniversary of the
Date of Award (the “Third Anniversary Date”) under this
Agreement:

 

2.1           Termination
Generally.  If your
employment with the Company Group terminates on or before the Third Anniversary
Date for any reason, the Forfeiture Restrictions then applicable to the Shares
of Restricted Stock shall not lapse and the number of Shares of Restricted
Stock then subject to the Forfeiture Restrictions shall be forfeited to the
Company on the date your employment terminates, except that the Committee, at
its sole option and election, may permit the Forfeiture Provisions to lapse only
in part if you are terminated without cause.

 

2.2           Change in
Control.  If a Change in Control occurs
on or before the Third Anniversary Date, all remaining Forfeiture Restrictions
shall immediately lapse on the date the Change in Control occurs.

 

 

3.                                      TAX WITHHOLDING.  To the extent that the receipt of the Shares
of Restricted Stock or the lapse of any Forfeiture Restrictions results in income,
wages or other compensation to you for any income, employment or other tax
purposes with respect to which the Company has a withholding obligation, you
shall deliver to the Company at the time of such receipt or lapse, as the case
may be, such amount of money as the Company may require to meet its obligation
under applicable tax laws or regulations, and, if you fail to do so, the
Company is authorized to withhold from the Shares awarded hereby or from any
cash or stock remuneration or other payment then or thereafter payable to you
any statutory minimum tax required to be withheld by reason of such taxable
income, wages or compensation sufficient to satisfy the withholding obligation
based on the last per share sales price of the Common Stock for the trading day
immediately preceding the date that the withholding obligation arises, as
reported in the NASDAQ Composite Transactions.

 

4.                                      NONTRANSFERABILITY.  Notwithstanding anything in
this Agreement to the contrary and except as specified below, the Shares of
Restricted Stock awarded to you under this Agreement shall not be transferable
or assignable by you other than by will or the laws of descent and distribution
to the extent then subject to Forfeiture Restrictions. You may transfer the
Shares to (a) a member or members of your immediate family, (b) to a
revocable living trust established exclusively for you or you and your spouse, (c) a
trust under which your immediate family members are the only beneficiaries or (d) a
partnership of which your immediate family members are the only partners.  For this purpose, “immediate family” means
your spouse, children, stepchildren, grandchildren, parents, grandparents,
siblings (including half brothers and sisters), and individuals who are family
members by adoption.

 

The terms applicable to the assigned Shares
shall be the same as those in effect for the Shares immediately prior to such
assignment and shall be set forth in such documents to be executed by the
assignee as the Committee may deem appropriate. 
You may also designate one or more persons as the beneficiary or
beneficiaries of your Shares of Restricted Stock under the Plan, and those
Shares shall, in accordance with such designation, automatically be transferred
to such beneficiary or beneficiaries upon your death while holding those
Shares. Such beneficiary or beneficiaries shall take the transferred Shares of
Restricted Stock subject to all the terms and conditions of this Agreement.
Except for the limited transferability provided by the foregoing, outstanding
Shares of Restricted Stock under the Plan shall not be assignable or
transferable to the extent then subject to Forfeiture Restrictions.

 

None of the Company, its
employees or directors makes any representations or guarantees concerning the
tax consequences associated with the inclusion of this provision in this
Agreement or your transfer of the Shares of Restricted Stock.  It is your sole responsibility to seek advice from your own tax
advisors concerning those tax consequences. 
You are entitled to rely upon only the tax advice of your own tax
advisors.

 

5.                                      SALE
OF SECURITIES.  Shares awarded hereby that are no longer
subject to Forfeiture Restrictions may not be sold or otherwise disposed of in
any manner that would constitute a violation of any applicable federal or state
securities laws.  You also agree that (a) the
Company may refuse to cause the transfer of the Shares to be registered on the
stock register of the Company if such proposed transfer would in the opinion of
counsel satisfactory to the Company constitute a violation of any applicable
federal or state securities law and (b) the Company may give related
instructions to the transfer agent, if any, to stop registration of the
transfer of the Shares.

 

6.                                      CAPITAL ADJUSTMENTS AND REORGANIZATIONS.  The existence of the Shares of
Restricted Stock shall not affect in any way the right or power of the Company
to make or 

 

2

 

authorize any adjustment, recapitalization, reorganization or other
change in its capital structure or its business, engage in any merger or
consolidation, issue any debt or equity securities, dissolve or liquidate, or
sell, lease, exchange or otherwise dispose of all or any part of its assets or
business, or engage in any other corporate act or proceeding.

 

7.                                      RIGHTS REGARDING DISTRIBUTIONS MADE BY THE COMPANY DURING THE RESTRICTED
PERIOD.  During the Restricted Period, (a) any
securities of the Company distributed by the Company in respect of the Shares
of Restricted Stock will be evidenced by entries in the appropriate securities
register of the Company reflecting that such securities of the Company, if any,
have been issued in your name (the “Retained
Company Securities”) and (b) any securities of any company
other than the Company or any other property (other than regular cash
dividends) distributed by the Company in respect of the Shares of Restricted
Stock will be evidenced in your name by such certificates or in such other
manner as the Company determines (the “Retained
Other Securities and Property”) and may bear a restrictive legend to
the effect that ownership of such Retained Other Securities and Property and
the enjoyment of all rights appurtenant thereto, are subject to the
restrictions, terms, and conditions provided in the Plan and this
Agreement.  The Retained Company
Securities and the Retained Other Securities and Property (collectively, the “Retained Distributions”) shall be subject
to the same restrictions, terms and conditions as are applicable to the Shares
of Restricted Stock.

 

8.                                      RIGHTS WITH RESPECT TO SHARES OF RESTRICTED STOCK AND RETAINED
DISTRIBUTIONS DURING RESTRICTED PERIOD.  You shall have the right to vote the Shares
of Restricted Stock awarded to you and to receive and retain all regular cash
dividends (which will be paid currently and in no case later than the end of
the calendar year in which the dividends are paid to the holders of the Common
Stock or, if later, the 15th day of the third month following the date the
dividends are paid to the holders of the Common Stock), and to exercise all
other rights, powers and privileges of a holder of the Common Stock, with
respect to such Shares of Restricted Stock, with the exception that (a) you
shall not be entitled to have custody of such Shares of Restricted Stock until
the Forfeiture Restrictions applicable thereto shall have lapsed, (b) the
Company shall retain custody of all Retained Distributions made or declared
with respect to the Shares of Restricted Stock until such time, if ever, as the
Forfeiture Restrictions applicable to the Shares of Restricted Stock with
respect to which such Retained Distributions shall have been made, paid, or
declared shall have lapsed, and such Retained Distributions shall not bear
interest or be segregated in separate accounts and (c) you may not sell,
assign, transfer, pledge, exchange, encumber, or dispose of the Shares of
Restricted Stock or any Retained Distributions during the Restricted
Period.  During the Restricted Period,
the Company may, in its sole discretion, issue certificates for some or all of
the Shares of Restricted Stock, in which case all such certificates shall be
delivered to the Corporate Secretary of the Company or to such other depository
as may be designated by the Committee as a depository for safekeeping until the
forfeiture of such Shares of Restricted Stock occurs or the Forfeiture
Restrictions lapse.  When requested by
the Company, you shall execute such stock powers or other instruments of
assignment as the Company requests relating to transfer to the Company of all
or any portion of such Shares of Restricted Stock and any Retained
Distributions that are forfeited in accordance with the Plan and this
Agreement.

 

9.                                      EMPLOYMENT RELATIONSHIP.  For purposes of this Agreement, you shall be
considered to be in the employment of the Company Group as long as you have an
employment relationship with the Company Group. 
The Committee shall determine any questions as to whether and when there
has been a termination of such employment relationship, and the cause of such
termination, under the Plan and the Committee’s determination shall be final
and binding on all persons.

 

3

 

10.                               SECTION 83(B) ELECTION.  You shall not exercise the election permitted
under Section 83(b) of the Code with respect to the Shares of
Restricted Stock without the written approval of the Chief Financial Officer or
General Counsel of the Company.

 

11.                               NOT AN EMPLOYMENT AGREEMENT.  This Agreement is not an employment
agreement, and no provision of this Agreement shall be construed or interpreted
to create an employment relationship between you and the Company or any
Affiliate or guarantee the right to remain employed by the Company or any
Affiliate for any specified term.

 

12.                               SECURITIES ACT LEGEND.  If you are an officer or affiliate of the
Company under the Securities Act of 1933, you consent to the placing on any
certificate for the Shares of an appropriate legend restricting resale or other
transfer of the Shares except in accordance with such Act and all applicable rules thereunder.

 

13.                               REGISTRATION.  The Shares that may be issued under the Plan
are registered with the Securities and Exchange Commission under a Registration
Statement on Form S-8.

 

14.                               LIMIT OF LIABILITY.  Under no circumstances will the Company or
any Affiliate be liable for any indirect, incidental, consequential or special
damages (including lost profits) of any form incurred by any person, whether or
not foreseeable and regardless of the form of the act in which such a claim may
be brought, with respect to the Plan.

 

15.                               MISCELLANEOUS.  This Agreement is awarded pursuant to and is
subject to all of the provisions of the Plan, including amendments to the Plan,
if any.  In the event of a conflict
between this Agreement and the Plan provisions, the Plan provisions will
control.  This Agreement supersedes the
terms and conditions of, and fulfills and replaces in its entirety any
obligation to make grants under, any benefit plan or employment agreement,
arrangement or understanding, and in the event of an inconsistency or
difference between this Agreement and the provisions of the Company’s Executive
Transition Plan or any other benefit plan, or employment or other agreement,
arrangement or understanding, whether written or oral, this Agreement and the
Plan provisions will control.  The term “you” and “your”
refer to the Grantee named in this Agreement. 
Capitalized terms that are not defined herein shall have the meanings
ascribed to such terms in the Plan.

 

4

 

In accepting the award of Shares of Restricted Stock
set forth in this Agreement you accept and agree to be bound by all the terms
and conditions of the Plan and this Agreement.

 

 

	
   

  	
   

  	
  SUPERMEDIA
  INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
  Agreed
  and accepted

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  	
   

  
	
  Date: 

  	
  March     ,
  2010

  	
   

  	
   

  

 

5

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